Veteran Schalke and Spanish striker Raul has pledged his future to the club amid rumor he was set to leave.
Raul met club officials this week to resolve his future after he was left out of the squad that lost 2-0 away to HJK Helsinki in the first leg of their Europa League play-off in midweek.
After Schalke rejected a bid from Blackburn for the 34-year-old last week there was speculation Raul was keen on leaving after one season at the Royal Blues.
But the former Real Madrid star, who started in the Sunday Bundesliga trip to Mainz, denied such talk and instead stated he was happy to remain in Gelsenkirchen for the final year of his contract.
"I never tire of repeating that I feel at home at Schalke," he said in a statement on the club's website.
"The affection shown to me by the Schalke fans is extraordinary and unforgettable. I'm definitively staying at Schalke and I will fulfil my contract.
"I'm fortunate to have a great family. My wife and my children and fully integrated in German life and I'm proud to be playing in the Bundesliga."
The Spaniard denied any rift with Schalke manager Ralf Rangnick and claimed he had been left out of the squad that flew to Finland to improve his fitness.
"It's good, proper and professional, as it should be between a coach and a player," he added.
"There are no problems. We're all concentrating on working together to achieve the best for Schalke this season."
Speaking about his exclusion in Helsinki, he added: "Although I can understand it being interpreted in various ways, perhaps because people didn't have the background knowledge, but I had spoken to the coach and we took the joint decision that I would have a rest and do some special customised training.
"There is nothing else to say."
Schalke general manager Horst Heldt welcomed the news after Raul scored 14 times in 36 games for the Royal Blues last season and helped encourage their run to the semi-finals of the Champions League.
"This clarity was important because it means we can now put the subject to bed and turn our focus back to our most important task, that of achieving success on the pitch with FC Schalke 04," he said.
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