The young Scotland international striker has put-pen-to-paper on a new four-and-a-half-year deal that will keep him at Ewood Park until the summer of 2008.
"All I want to do is progress my career with Rovers and to sign up for such a long period is great by me," he told the clubs official website.
"It has been a fairytale few months and this is just the icing on the cake. To become part of the first team squad with the club you have supported all your life is brilliant.
"On top of all of that, I am very happy here."