The youngster, who has been with the club since 2004, made 10 first-team appearances last season and was nominated for the League Two Apprentice of the Year award.
"I've got a lot of time for him," Argyle manager John Sheridan told the club's official website. "From what I've seen of him in training, he's got some really good qualities in his game.
"He's made that little step up, he trains with the first team and, even in training, he needs to score more goals.
"This year will do him the world of good and, with a good pre-season in him, next year, he'll be pushing for a place."