The 22-year-old full-back has impressed in recent weeks having scored on his St James' Park debut against Liverpool on October 19, and the home-grown youngster is mulling over a new long-term deal.
"We have a deal in place for Paul that we have talked about," said Pardew.
"That has been talked about for a while. Whether it gets resolved in the next week or so - I don't know."
Dummett has been ruled out of Saturday's match with Chelsea, with Fabricio Coloccini and Steven Taylor doubtful for the game at St James' Park.
"He (Dummett) has an injury that will rule him out on Saturday," added Pardew.
"We don't think it is too bad but is a shame because we really love him and he's on the crest of a wave.
"We are pretty stretched for Chelsea.
"But we have four senior players that are playing well at the moment in our back four."