It looks like Paul Millsap is staying in Denver.

According to ESPN's Adrian Wojnarowski, the Nuggets will pick up the option on Millsap's $30.3 million contract.

If they elected not to exercise the option, he would have become a free agent Sunday night. 

Wojnarowski notes that Denver still has their $9.2 million mid-level exception available and is set to remain under the luxury tax. 

Millsap, 34, averaged 12.6 points per game on 48.4 per cent shooting to go along with 7.2 rebounds in 70 games for the Nuggets last season.   

Next season will be his third with the Nuggets.