Olofsson, 26, was a restricted free agent. He's entering his fifth NHL season, all with the Sabres. Olofsson will be an unrestricted free agent at the end of his term.
Olofsson has hit the 20-goal mark twice with Buffalo and hit a career high with 49 points in 72 games last season, despite missing 10 games in 2021-22 with an injury that impacted his shooting ability.
He was a seventh-round pick in 2014. He has 127 points in 188 career NHL games.