Dempsey has led the cast of the hit TV medical drama for eight seasons, but his contract expired this month (May12) and he recently admitted he was unsure about continuing his role as top neurosurgeon Dr. Derek Shepherd as he also wanted to pursue his passion for car racing and build on his film career.
He said, "The question is will I do a full season, a half season or come back at all? There are a lot of things I'd like to do: racing, films... so if I'm able to balance all those things and continue on with the show, why not?"
And producers appear to have bowed to his requests to accommodate his busy schedule - Dempsey has signed on until 2014.
Breaking the news to fans on his Twitter.com blog, he writes, "Looks like two more years on Grey's".
News of the contract renewal came on Thursday (10May12), as his fellow leading castmembers Ellen Pompeo, Sandra Oh, Justin Chambers and Chandra Wilson also followed suit.