The 27-year-old seemed close to completing a switch to the Premier League side but disagreements over the transfer fee look set to scupper the deal
The striker, who marked 25 goals in 36 La Liga appearances last season, has sparked the interest of Manchester City and Atletico Madrid in recent weeks, leading coach Unai Emery to concede that selling the Spain international would be the best option.
However, it now looks as though Negredo will spend at least another season at Ramon Sanchez Pizjuan after Del Nido admitted that City had failed to match their valuation of the player, believed to be at around €23 million.
"We are far from reaching a deal with City," the 56-year-old told reporters.
"Right now they are further away than where we were at [in negotiations] with Atletico Madrid. There have been advances, but we are still far from a deal.
"Sevilla have valued the player at a certain amount and that will vary depending on if it's a fixed sum or with variables. Either they pay what we ask, or the player stays with Sevilla for another three years.
"The chance that he goes right now is one per cent. In the last 15 days I have lowered the price by €0, I'm very generous.
"The substitute for Negredo is Negredo. For me the best thing is that he renews his deal for another two years and raises his clause."
It emerged last week that City had been given the green light to launch a firm bid for Negredo after Sevilla captured Carlos Bacca from Club Brugge, with Manuel Pellegrini prepared to double his current salary to €87,000 per week at the Etihad Stadium.
Meanwhile, Del Nido revealed that Jose Campana is set to join Crystal Palace for €2m after the 20-year-old rejected the chance to stay in Andalusia.
"We made him an offer and he didn't accept," Del Nido told his club's official website. "He wanted to go. We accepted that his agent might put him on the market and he has reached a deal with Crystal Palace for €2m, plus bonuses and a percentage of a future transfer.
"The logical thing is that he signs [Monday] and [on Tuesday] he travels to the United Kingdom to do the medical."