A deal, which is still being negotiated, is expected to be signed in the next three to four weeks and the Emirates logo will appear on the La Liga club's shirts for a duration of between four and six years, the official, who didn't want to be named because an agreement is yet to be signed, said.
"We are signing in a few weeks time," the person said. "Sports sponsorship has worked well for us. The beauty of sponsorship is that it's exclusive."
Emirates currently has an agreement with Real Madrid to advertise on its sign boards at the Santiago Bernabeu Stadium, as well as some hospitality rights. The airline is also currently the shirt sponsor for Arsenal Football Club in the English Premier League, Paris Saint Germain in French Ligue 1 and AC Milan in Serie A.
The sponsorship of Real Madrid's shirts wouldn't affect the current deals with other teams around Europe, the official said. Local Spanish media first reported the deal on Friday.
In February, Emirates signed a five-year, multi-million dollar deal with motorsport company Formula One World. The size of that deal was above $10 million.