While the team did not disclose details of the new deal, the San Jose Mercury News, New York Times, and ESPN reported the deal would pay Durant about US$30 million (RM121 million) next season and a player option for the 2019-20 season at around US$31 million (RM125 million).
The Warriors made a deal with free agent centre DeMarcus Cousins that will make them the first team in 40 years to boast an all-All-Star starting lineup alongside Durant, forward Draymond Green, and guards Stephen Curry and Klay Thompson.
After winning the 2015 NBA crown but losing to Cleveland in a 2016 finals rematch, the Warriors landed Durant and have beaten the Cavaliers in the past two finals, going a combined 8-1.
Durant, 29, averaged 28.8 points, 10.8 rebounds, 7.5 assists, and two blocks as the Warriors swept Cleveland to capture the title last month in his 11th career NBA season.
The only other players with back-to-back NBA Finals MVP awards are LeBron James, Kobe Bryant, Shaquille O’Neal, Michael Jordan, and Hakeem Olajuwon.
Durant averaged 26.4 points, 6.8 rebounds, 5.4 assists, and a career-high 1.8 blocks a game in the 2017-18 campaign.