Celtic are closing in on a new contract for youngster Daniel Kelly, according to a report.

The teenager has made his breakthrough into the first team at the champions this season but is out of contract come the summer. 

The Daily Record reports that an extension to his deal has been offered by club chiefs. 

Celtic want the 18-year-old on a long-term contract and are believed to be confident of securing his services for the foreseeable future. 

The midfielder was brought into Brendan Rodgers' team since the turn of the year. He scored his first goal for the club in the 7-1 hammering of Dundee a fortnight ago. 

He's been a regular with the B team and Under-18s side before he was drafted into the first-team fold. 

Both Bayer Leverkusen and RB Leipzig have been credited with an interest in the player, but it's said Kelly is keen to stay put in Glasgow.

As well as Kelly, Celtic remain in talks with both Liam Scales and Rocco Vata. 

There are deals on the table for the duo, but it's believed an agreement is not close at this stage with talks ongoing.

READ MORE: Luis Palma expected for international duty despite Celtic injury setback

Meanwhile, Honduras FA chief Gerardo Ramos has confirmed they will insist crocked Celtic star Luis Palma goes on international duty despite his latest injury setback.

The £4 million winger picked up a knock that kept him out of their 4-2 Scottish Cup quarter final win against Livingston at the weekend and is reportedly a huge doubt for their weekend game with St Johnstone.

But Honduras are desperate to call on their star man for their one-off Copa America play-off against Costa Rica in Texas, USA.

And Honduran FA general manager Ramos has confirmed Palma will definitely travel.