The deal is worth an average of $4.25 million per year, according to a source, but is front-loaded to include $20 million in the first four years, during which there also is a full no-trade clause. There is a partial no-trade clause after the first four seasons.
The 28-year-old Abdelkader, who is making $2.25 million this season, has four goals and three assists in 15 games this season. He was due to become an unrestricted free agent July 1.
Picked in the second round of the 2005 draft by Detroit, Abdelkader scored 23 goals last year, more than doubling his previous personal best of 10 goals, and had a career-high 44 assists. He has 65 goals and 74 assists in 413 games since 2008, when he made his debut in the league.
He has five goals and 12 points in 59 career playoff games.
Abdelkader, who is from Muskegon, Michigan, scored the game-winning goal for Michigan State in the 2007 NCAA final.
ESPN Staff Writer Craig Custance and The Associated Press contributed to this report.