Jordan Slew has agreed a new deal with the Blades.
The 18-year-old striker, a star of last season's FA Youth Cup run, has signed a new two-year deal that will tie him to Bramall Lane until the summer of 2013.
Sheffielder Slew, who also netted first team goals against Preston North End and Bristol City at the end of last season, commented: "I'm delighted everything is sorted and now I can fully concentrate on the remainder of pre-season and getting ready for the start against Oldham next month.
"This is my hometown and where I want to continue my development. The aim now is to play as many games and score as many goals as possible."
Boss Danny Wilson, who, since his arrival in May has continually expressed his desire for Slew to remain a Blade, added: "It has been a protracted process but all along we have been quietly confident that Jordan would remain with us.
"We've had interest in him, and no doubt there will be more, but we pitched our case to him - a lot of hard work has gone on behind the scenes - and we are really pleased that he has opted to stay with us to continue to progress.
"Jordan knows that we think of a lot of him, he's got a load of potential, but there's also a lot of hard work in front of him to realise his full potential."