The striker and the club have agreed to a deal that will keep him under contract until the summer of 2025 with a 12-month extension option.
Jimenez, who joined Wolves in 2018 on a loan from Benfica and then signed a permanent deal the following year, has spent a total of five seasons with the team. His contract with Wolves has one year remaining.
Prior to sustaining a broken skull away at Arsenal in November 2020, the Mexico striker netted 44 goals in the first two seasons he spent with the club.
He is expected to depart the club with 57 goals in 166 appearances, having scored only 15 goals since then.
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