The 24-year-old Senegal international said: "I know there are people out there saying things about me but I have spoken with the manager and told him I want to stay here.
"I know the club want to keep me too so I will continue to give my best for them. I'm very happy at this club."
Diame joined the Hammers last summer on a three-year contract that reportedly includes a £3.5m buyout clause.
"I knew when I signed that West Ham were going to make their mark on the Premier League," Diame said of the Hammers, who were promoted from the Championship via the play-offs last season.
"Since I came here I am enjoying every game I play on the pitch."