Collison still has two years to run on his current deal, but West Ham are keen to extend it to ward off ward off potential suitors.
A number of Premier League clubs, including Stoke and West Brom, are thought to be monitoring Collison's situation at Upton Park with the player returning to fitness at the back end of last season.
Collinson's agent, John Mac, has confirmed talks are ongoing and that the player has been impressed by new Hammers boss Sam Allardyce.
"Talks over Jack's contract are ongoing and we are hoping we will have a successful resolution soon," Mac told skysports.com.
"Jack is enjoying pre-season and he has been impressed with what Sam Allardyce has planned at West Ham.
"He has also been impressed by the signings of Kevin Nolan and Matt Taylor and he is looking forward to the start of the season.