Tevez's two-year loan contract with United will expire by the end of the season, and it was rumoured that Ferguson was not keen on making the deal permanent.

The 25-year-old player earlier stated that he feels unwanted by the club. However, Ferguson said that Tevez has been offered a new deal.

"Tevez is a fantastic little player," the Scottish tactician told Sky Sports.

"He knows I want him to stay. I’ve had a chat with him today, the club's chief executive David Gill also had a meeting with him today and it has progressed."

Tevez is technically owned by his representative company MSI, who paid £2million to release the player from his former club West Ham and loan him to United.

"We’re not negotiating with a football club and that is the problem. Carlos himself is OK and the terms he has been offered are good," Ferguson added.

Contradiction

From their side, an MSI spokesman contradicted Ferguson by saying that his client is yet to be offered a new contract.

"It is true David Gill came to see MSI president Kia Joorabchian and they had a cordial meeting," the spokesman was quoted as saying by The Daily Mail.

"But it is categorically untrue that Manchester United made an offer to try and persuade Carlos Tevez to stay at the club.

"In 2007 they agreed a two-year loan for Carlos and at the same time agreed the terms that would make the transfer permanent. They have not taken up that option."

Despite impressing for United since he joined the club, Tevez never managed to secure a first team spot in the presence of Wayne Rooney and Dimitar Berbatov.