Liverpool owner John W Henry believes that tying down Luis Suarez to a new contract shows that the club is making significant progress.

The Uruguayan international has signed a new long-term contract just months after he tried to orchestrate a move away from Anfield.

Rumours regarding a possible exit for Suarez have been rumbling for some time, but the prolific frontman has put an end to the speculation.

"We are committed to working hard to keep our best players and this is an indication that we are moving in the right direction and moving at a pace that impresses one of the best players in world football," Henry told the club's official website.

"The club has made major strides forward in recent years and we are all committed to delivering the success our supporters want and deserve."

Liverpool chairman Tom Werner added: "This demonstrates our commitment, as an ownership group, to building a team that competes at the highest level both in the Barclays Premier League and in Europe."

Reports have claimed that the contract will keep Suarez at the club until 2018.