The Eagles are ready to discuss a new contract for Mateta, who will see his current deal expire in 2026.
Officials had sounded out Leicester City’s Kelechi Iheanacho, but have since moved away from pursuing out-and-out strikers in favour of more versatile forward options.
RB Leipzig and Borussia Dortmund expressed an interest in Mateta over the last month, with Leipzig having a loan bid and a £7million permanent offer rejected.
Wilfried Zaha’s summer exit on a free transfer to Galatasaray remains a blow to Roy Hodgson’s plans, but keeping Eberechi Eze, Michael Olise and Cheick Doucoure is a major boost for the south London club.
Palace have also added Manchester United’s Dean Henderson to early summer signings Jefferson Lerma and Matheus Franca.