The Copa Libertadores holders are set to enter negotiations with the midfielder in the coming days with an improved deal apparently on the table
The 22-year-old attacking midfielder will be offered a new deal similar to the one tailored for club-mate Neymar, with the playmaker set to receive a higher salary increase as well as image and sponsorship rights.
According to the report, the new contract will run until February 2015 - the current end date for Ganso's existing deal - but the midfielder's international value will rise as a consequence.
Odilio Rodrigues, vice-president of Peixe, revealed that negotiations between the two parties should reach a conclusion soon.
"The negotiations have changed considerably since the time we came to deal directly with him [Ganso]. [However], we are very close." the club official said.
"It's all going to close in the coming days. It is of interest to Santos too, so that's what should happen."
Meanwhile, the player himself was reportedly happy at the club's decision to renew his contract.
"I want to renew with Santos. I have a contract until 2015, to renew is to improve my condition." the Brazil international was quoted as saying.
"If this happens, I'll be very happy, but it needs to continue anyway. You should think twice before taking any decision, [and] see the best side for everyone.
"I can not say that I will delay [a possible transfer abroad], only God knows our future, but I like the city. I am well adjusted so I took this decision to stay."
Santos resume their defence of the Copa Libertadores on Wednesday, trailing fellow Brazilian side Corinthians 1-0 in the semi-final.