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Brad Arthur will reportedly sign a two-year contract extension at Parramatta, while the NRL club has given captain Clint Gutherson an ultimatum on his future.

Parramatta are set to lock in coach Brad Arthur and play hard ball with captain Clint Gutherson as drawn out contract talks at the NRL club reach their climax.

Fox Sports is reporting a two-year contract extension for Arthur will be finalised this week, keeping him at the club until at least the end of 2021, while multiple reports suggest the skipper has until Friday to take or leave a tabled three-year deal.

It would be welcome clarity for the Eels, fresh off a 64-10 loss to Melbourne and with more than a dozen of their top 30 players not having deals for next season.

Earlier on Monday, Eels chairman Sean McElduff said Arthur deserved a chance to prove himself worthy of an extension given the side - sitting eighth and three wins off top spot - had had no homes games until round six.

"We designed it (a June deadline) at the start to give him every opportunity and, so far, so good," he said on Monday.

"A bit of misfortune on Saturday night, but we're 5-4. We won six games last year."

The chairman denied players were holding out due to uncertainty over the coach. However, reports suggest patience has worn thin with skipper Gutherson, who is understood to be holding out for a four-year deal.

Gutherson has already knocked back several Parramatta offers, with other clubs certain to jump at the possibility of signing him if the Eels and their the 24-year-old skipper can't agree to terms.

Penrith flyer and New Zealand captain Dallin Watene-Zelezniak is reportedly in the Eels' sights if Gutherson doesn't sign.

The Eels announced on Monday the club had secured $15 million in federal government funding towards their new $40 million community rugby league facility at Kellyville in Sydney's northwest.

Parramatta play North Queensland on Saturday in Townsville.