The new deal will keep the 31-year-old at Stoke until the summer of 2013.
“We wanted to cement Danny’s future with the Club because he is such a good professional and it is important we look after certain players at the Football Club who started all this off,” said Stoke boss Tony Pulis.
“I’ve got a lot of time for Danny because he is one who falls into that category. He may not be in the side on a regular basis at the moment, but he still has a crucial role to play, as do a number of other players in a similar situation.
“The fabric of a Football Club is made up of the whole cloth, not bits and pieces, so we are delighted Danny will remain a part of that.”