Luiz’s current deal expires at the end of the season but Chelsea are planning to open talks over a one-year extension, according to the report in the London Evening Standard.
The Brazil star made just 16 appearances under Antonio Conte last season but has been a key figure for Maurizio Sarri this time around.
The 31-year-old has started all seven of the club’s Premier League games so far this term, with Gary Cahill left out in the cold by Sarri.
Cahill has since admitted that he may have to look elsewhere for regular first-team football as his own deal expires in the summer.
To that end, Chelsea are not keen on losing two experienced centre-backs in 2019 and are prepared to tie down Luiz.
Sarri is still said to be keen on landing a younger option in the position, having missed out on first choice target Daniele Rugani over the summer.
Chelsea’s policy is also to only hand players over 30 a 12-month contract extension, but there is a strong feeling that Luiz will be ready to sign up.
Speaking to BT Sport after last weekend’s 1-1 draw with Liverpool, he said: “In the first week I spoke with him (Sarri).
I said to him that ‘I am going to work hard to show you I want to play in your team, with your philosophy’.
“I had two offers from different clubs but I told Chelsea I wanted to stay.
Would I have gone if Conte stayed? For sure.
“But they changed for Sarri and I have tried to convince Sarri I want to stay at Chelsea. I am playing now and enjoying it.
I didn’t play (for most of) the last six months (under Conte).
“Sarri is human, he wants us to take pleasure in playing football. He said every day we have to enjoy it.”
Sarri has also expressed his admiration for Luiz’s performances since his arrival at Stamford Bridge.
He added: “When I arrived here, immediately I had the feeling he’s a very good player for my way of football because he’s a centre-back who is very technical.
“Then I appreciate his qualities as a man. He’s really better than I thought before.”
