Pennant has been at Elland Road since August and has featured in every game except the Carling Cup tie against Swindon Town.
But Wenger stated on the official Arsenal website: "He is doing very well and I have had very positive vibes from Peter Reid. Jermaine is gaining experience and the manager is happy with his attitude and the way he plays.
"They want to extend the loan and I might consider it if we are not decimated by injuries or suspensions."