Warren Gatland is discussing a new contract to take Wales through until the 2015 World Cup, the BBC has learnt.
It had been reported that the Wales coach was in discussions over a two-year extension to his current deal which expires after the 2011 World Cup.
New Zealander Gatland has admitted he has a "few options" as he considers his future beyond next year's tournament.
One possibility could be at Hamilton-based Chiefs, whose coach Ian Foster is to stand down after next season.
If Gatland were to take Wales through to the 2015 tournament, he would become the longest-serving national coach in Welsh rugby history.
The Kiwi made a huge impression when he took the job, taking on Wales' 2007 World Cup flops and leading them to the 2008 Grand Slam.
Wales were a competitive fourth in last year's Six Nations, but have struggled to just two wins this year, and have won just three of their last 10 - against Italy, Scotland and Argentina.
Gatland has won 14 and lost 14 of his 28 games in charge and has led his side to just one win over Tri Nations opposition, the 21-18 victory over Australia in Cardiff in November 2008.
Wales have a history of sacking coaches in the build-ups to World Cups and - although criticism of Gatland has grown over the past two seasons - pundits have been generally positive in their treatment of the Kiwi.
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For me the biggest question in that squad is over Warren
Former Wales captain Gareth Llewellyn
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Former Wales captain Gareth Llewellyn has been one of the more outspoken, stating earlier this year that "Wales have to drastically change the structure we are playing under".
"For me the biggest question in that squad is over Warren," the 92-cap second-row told BBC Wales' Scrum V rugby programme.
"Warren's success is built on playing the game a certain way. When he was coach of Wasps it was built on a fantastic pack and a team that was much better than anything else out there.
"He played a particular system that worked and he's carried that on.
"What Warren has built his success on is not going to sustain us at international level.
"We've probably got the best set of players any Welsh coach has ever had, but relative to the opposition we're not that much better than anyone else.
"We play in bursts, when we get desperate and think the game's gone away from us and we start having to play more.
"That's more down to individuals than what they practice [with the coaches].
"But we have more potential than in previous World Cups because we have better players, the most talented squad Wales have had since professional rugby started."
Gatland has promised to test his side against the best as they build to next year's World Cup in New Zealand.
Their next challenge is a formidable autumn series at the Millennium Stadium when they face Australia, South Africa, 2007 World Cup bogey team Fiji and New Zealand.
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