Hamilton has spent the last two seasons at the Australian WorldTour team, and this year took the overall title at the Coppi e Bartali stage race ahead of teammates Damien Howson and Nick Schultz in March, and a stage victory and second overall – behind teammate Daryl Impey – at the Czech Tour in August.
This year also saw Hamilton ride his first Grand Tour – the Giro d'Italia in May, where he finished a very credible 25th overall, with fourth place on stage 7.
"I love it here," he said in a press release. "I appreciate the team taking me on for the extra year; it shows that they have confidence in me, and I get a kick out of that.
"This year was probably the biggest leap I have made, in terms of racing, in my career," continued Hamilton. "I did all ranges of racing: I did lower [categorised] ones, which I was able to target myself, and was able to pull off a couple of wins, and then the Giro, obviously, getting my first Grand Tour under the belt, trying to get that consistency for three weeks, and it was a good experience."
Head sports director Matt White added: "It's definitely been a breakout year for Lucas, and we can certainly see a big future for him, and hence the reason we would like to lock him in long-term with the team.
"Lucas has played an important role in a lot of races during the season, both in a support role at his first Grand Tour and in winning some smaller races. We can see he has big potential and we believe his home is here," he said.