"I am very happy to have agreed a new deal. This is a great club with fantastic supporters, so I'm delighted," Hyypia told the club's official website earlier today.
"This is great news for the club," said Rafael Benitez.
"Sami has a lot to offer. He is a fantastic professional who is an example to all young footballers. He understands the game and is clever. All these things mean he can help other players.
"He has shown this year how important he is to us on the pitch and he can continue to do that next season."