The new deal will keep the 25-year-old former England U21 winger at the Molineux until the summer of 2013.
“It is nice that the club came to me and asked me to sign another year,” Kightly told the club’s official website.
“I understand after the last couple of years I’ve had I wouldn’t be offered another long term contract.
“At the same time I’m not the sort of person who would want to walk away on a free as some other players might do.
“Hopefully I can now get back out and prove my fitness and prove myself again as the same player I was two years ago.
“If that happens then there may well be the chance to commit my future to the club further and I’d be delighted to do that.”
