(Recasts with Magna statement)
VIENNA, Jan 30 (Reuters) - German automaker BMW has extended its contract with Magna Steyr in Austria to manufacture group vehicles, Magna said, confirming an earlier report on Thursday.
Magna said the new contract would begin following the end of production of the Mini Countryman and Mini Paceman currently being assembled by Magna Steyr in Graz.
Austria's Kleine Zeitung had reported that BMW would sign a contract to extend beyond the existing manufacturing contract that expires in 2016. The new accord will not assign Magna a particular model, instead reserving capacity for various models depending on demand.
Magna, which had been a partner of BMW since it started manufacturing the BMW X3 in 2003, said it would give further details at a later date.
Canada-based Magna International was co-founded by Frank Stronach, who resigned from the Austrian parliament this week after founding a pro-enterprise political party that won 11 seats in September elections but quickly lost support. (Reporting by Michael Shields and Georgina Prodhan in Vienna and Irene Preisinger in Munich; Editing by Elaine Hardcastle)