(CNN) -- Formula One driver Nico Rosberg has committed his future to Mercedes, after signing a new multi-year deal with the German team.
The former Williams racer is nearing the end of his second season with Mercedes and was delighted to have extended his stay with the marque.
"I am very excited to have extended my contract with the team," the 26 year-old told the sport's official website.
"To win in a Silver Arrow will be one of the highlights of my life so far, and I greatly enjoy helping to lead our team in our quest to become the best in Formula One."
German driver Rosberg registered three podium finishes in his first season with Mercedes, but has been less successful in 2011 managing only two fifth place finishes in China and Turkey.
"We are delighted to have extended our contract with Nico as we know that he is a driver who can win races and championships," team principal Ross Brawn said.
"Nico has performed exceptionally well for our Silver Arrows team over the past two seasons, achieving results at the very limit of the technical capabilities of our current car."
Rosberg forms an all-German driving line-up at Mercedes with seven-time world champion Michael Schumacher. Brawn expressed his belief that the partnership would help push the team forward in 2012 and beyond.
"He has an excellent work ethic and, together with Michael, this gives us a driver pairing who consistently push the team to improve and progress.
"We look forward to providing Nico with a car which will enable him to compete right at the front of the field and achieve his deserved first win in Formula One."
Rosberg is seventh in the drivers' championship on 75 points, five-points clear of Schumacher, heading into Sunday's Abu Dhabi Grand Prix, the penultimate race of the 2011 season.
The season will conclude at the Brazilian Grand Prix in Sao Paulo on November 27.