The former Blackburn Rovers tactician is currently less than 12 months into the three-year contract he penned in June last summer.
It has proved something of an inconsistent season for City with Hughes' team marooned in mid-table having lost 14 of their 29 league outings to date.
Hughes' charges has also enjoyed impressive performances and now the 45-year-old Welsh tactician is open to sitting down with the club's wealthy owners and discussing his future.
Would be pleasedThe ex-Wales boss has stated he would be pleased to put pen-to-paper on a fresh terms at ambitious City.
"I've got two years left on my contact, but there have been talks about a new one," Hughes told the Sunday Express. "But you will have to speak to the owners about that.
"I hope something comes of this and if a new contract is a possibility then obviously I've be very pleased.
"I believe that where the club is now they have the best people in place, myself included.
"I have a lot of support from the owner and everybody. They understand what we are trying to do."