The 21-year-old then enjoyed 41 outings in all competitions last term, notching a couple of goals along the way as the East Midlanders rallied towards the end of the campaign.
Former Birmingham City ace Gray, also linked with Tottenham Hotspur in the past, has admitted to being frustrated by his lack of playing time at the King Power Stadium since joining from the Blues in January 2016.
Now, The Mirror report that Gray is close to signing a new contract to stay with Leicester, and he will hope to challenge Marc Albrighton for a starting spot on the left of midfield this season and beyond.
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Gray had been wanted by both Bournemouth and Crystal Palace, with the Cherries having a £25million bid rejected on deadline day. I want to work hard and get myself into the team. "He wants more game time and, in an ideal world, we want to give him that game time and he wants to develop here", he added.
He said: "I've said and stated a long time ago that for me Demarai has a big future and I want it to be with this football club".
Gray said: 'We're in talks so I'll leave that to my representatives to deal with.
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