ESPN.com's Buster Olney reports the Tigers could pay Verlander $202 million under terms of his new deal including $180 million over next seven seasons, plus vesting option of $22 million.
The deal would make him the highest-paid pitcher in the game, besting Seattle Mariners pitcher Felix Hernandez's seven-year, $175 million deal he signed last month.
Verlander hinted at the new deal with a previous tweet, then followed up with his love for Detroit and a promise to bring another World Series to to the city following the announcement.
The 30-year-old Verlander went 17-8 with a 2.64 ERA last season, finishing second in the Cy Young voting. In 2011, he went 24-5 with a 2.40 ERA and 250 strikeouts when he won both the Cy Young and the American League's Most Valuable Player awards.