Gudjohnsen talks ongoing - agent
The Scandinavian had a superb season last year with The Blues, as he and Dutch striking team-mate Jimmy Floyd Hasselbaink helped the West London club reach the FA Cup final.
Gudjohnsen has been eyeing a lucrative two-year extension to his current deal at Chelsea but Harrison had been told by The Blues` top brass that the club's financial difficulties put them in no position to offer what the striker wants.
Should the 23-year-old fail to receive a satisfactory extension to his current deal at Stamford Bridge, Harrison has stated that Gudjohnsen may consider a move away from Chelsea if he was to find a better deal with another Premiership club.
Despite the rumours of a possible departure from Chelsea, Harrison has now revealed that negotiations were far from finished over a contract extension for Gudjohnsen.
Harrison said: "There is no problem. Everyone is very relaxed about the situation and that means Eidur, Chelsea, and myself.
"Talks with Trevor Birch (Chelsea managing director) have taken place and are ongoing.
"There is no deadline that has been set and no one is saying 'pay me more of I'm off'.
"Eidur has always been committed to Chelsea.
"He is very happy there and likes living in London."