"With Javier Aguirre's contract extension, Real Zaragoza begins putting together their 2011/12 campaign, of which the coach is the first piece and the cornerstone of the new project," the club said on their website on Sunday.
The 52-year-old former Mexico boss, who has also coached La Liga sides Atletico Madrid and Osasuna, was appointed in November to replace the sacked Jose Aurelio Gay.
Zaragoza occupied the final relegation place heading into the last day of the season but a 2-1 victory at Levante preserved their top-flight status.
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