"There is no way I am quitting," said Hakkinen just days after it was claimed he would hang up his helmet and be replaced by Olivier Panis.

Hakkinen, whose last victory was in Belgium 11 months ago, insists his main aim is to return to winning ways, beginning in Sunday's British Grand Prix at Silverstone.

"After the French Grand Prix I had a great vacation in Finland but was made aware of the media speculation about my future career," added the 32-year-old.

"The team has an option on my services for 2002. I am currently in discussion with Ron Dennis.

"I am very relaxed about the situation but, as I have repeatedly said, my main objective is to win races this year and this is what I shall be focusing on at Silverstone."

Hakkinen, whose team-mate David Coulthard is understood to have already re-signed, is believed to want a two-year deal while McLaren have offered a one-year contract.

Team chief Dennis said: "This year, in common with every other year, we have certain carefully chosen criteria we apply in selecting our driver line-up for next year.

"We are very comfortable with the options open to us and will make announcements, in conjunction with the drivers, as and when appropriate.

"Our decisions not only involve the selection of race drivers but also the very important third driver slot that contributes so much to our testing and development programme.

"It is also our intention to enhance our medium-term options by reinforcing our young driver line-up."