Mark Hughes has taken up the option to keep the South African World Cup star at Craven Cottage until the end of next season.
Dikgacoi has played just four minutes under Hughes and the player's agent, Mike Makaab is furious.
He said: 'I have been notified that they have exercised the option on the contract to extend it for a year but I'm completely bewildered by the news to be honest. KG was not even on the bench for the FA Cup match against Peterborough at the weekend so for the manager to say he is still in their plans is very surprising, especially because they have just signed another player in his position in Steve Sidwell.'