Mikel, 25, joined the Blues in 2006 and has made 261 appearances, scoring two goals, as a defensive midfielder.
"Chelsea seems like my home now because I have been here for over six years and I enjoy my time here. I come into the training ground every day to work and I value my time there. I am happy and want to keep going and win trophies for this club," the Nigeria international said.
"I have basically won everything with Chelsea and those years have been really special for me, winning trophies with big names like Didier Drogba, John Terry and Frank Lampard who have had very long Chelsea careers.
"Last season to win the Champions League was even more special... and I hope these next five years will bring even more success and I can win trophies with the new players we have here.
"Being 25 I think I am now hitting my peak but as a player you want to improve every day and there is still room for that. I want to learn from the players and the manager and I just want to keep going."
Mikel has won four FA Cup medals, one Premier League title, a Carling Cup and last season's Champions League at the West London club.