Chelsea youngster Levi Colwill is set to sign a new four-year contract and head out on a loan deal to the Championship for the 2021-22 campaign.
The 18-year-old spent the end of last season training with Thomas Tuchel's first team as an emergency back-up for Andreas Christensen, who was injured towards the end of the campaign.
It is understood that he was convinced to sign a contract based on an exciting pathway being offered at Stamford Bridge that will see him eventually come into contention for a first-team place.
Why renewing Colwill's deal matters
Colwill is regarded as the most exciting defensive prospect at the Cobham academy who is yet to make a senior appearance.
There were fears that Chelsea could lose the England Under-18 international, who predominantly operates as a left-footed central defender but can also play at full-back.
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He will, however, spend the 2021-22 campaign on loan with a Championship club as he looks to further his development.
Any other business in the academy?
The Blues are in talks to keep hold of fellow youth-team star Lewis Bate, who is attracting loan interest from clubs in the Championship and League One.
There are concerns that Chelsea could lose Tino Livramento, however, with the 18-year-old drawing admiring glances from the likes of Aston Villa and AC Milan, amongst a host of other clubs.
Livramento's pathway could be blocked by the Blues' pursuit of Achraf Hakimi, with Tuchel's side battling PSG for the Inter full-back's signature.
The 18-year-old is eligible for a Portuguese passport which means that he is a more than viable transfer option for clubs in the European Union.
Chelsea won't lose him without a fight, however, and talks to renew his contract are continuing, with just one year left on his current deal.
The contract of another top young defender, Dynel Simeu, expires this summer and Chelsea are also fighting to keep him.
The likes of Jack Wakely, Danilo Pantic, Jamal Blackman, Izzy Brown and Marco van Ginkel have, meanwhile, all been released by the club.
Van Ginkel has joined PSV, Brown has signed for Preston and Pantic has sealed a permanent move to Partizan Belgrade.