Al Fahim took over as Pompey chairman this morning after passing the Premier League's new 'fit and proper person' test and he has agreed a deal "in principle" to buy the club from current owner Alexandre Gaydamak.

Hart, who secured Portsmouth's top-flight status last season after taking over from Tony Adams in a caretaker capacity, met with Al Fahim at the club's training ground and has signed a two-year deal.

"The players responded brilliantly to the challenge when I was handed the role last season and I'm looking forward to continuing that relationship as we prepare for our seventh straight season in the Premier League," said Hart.

Hart, who joined the club in 2007, replaced Adams in February when only goal difference separated Portsmouth from the relegation zone but he helped guide the club to Premier League safety with two games to spare.

Al Fahim said: "Paul did a great job keeping the team in the Premier League last season and having previously worked as director of youth operations he knows the club inside out.

"He has immense experience and a great knowledge of the game and commands the respect of the players. I'm looking forward to working with him."

The challenge is a huge one for Hart given the summer clearout at Fratton Park, including the sale of Glen Johnson to Liverpool and Peter Crouch's expected departure.

Al Fahim has promised, however, to deliver a bright future to the club after taking his place on the board of directors.

Portsmouth confirmed that Gaydamak had reached an outline agreement to sell the club to Al Fahim Asia Associates.

Al Fahim, the sole owner and chairman of the company, said: "I very much look forward to working closely with the club's management and supporters to develop Portsmouth Football Club and deliver future success. The club has a long and fine history of achievement that I intend to build on."

The Premier League, however, will be keeping a close eye on developments at Fratton Park.

Al Fahim passed their stringent new suitability test to join the board - but the Premier League will need to be satisfied where the money is being sourced before allowing the tycoon to complete his takeover.

The Premier League said it "will continue to monitor any material changes in circumstance" as Al Fahim and Gaydamak complete their deal.

Al Fahim was the initial figurehead of the Abu Dhabi United Group when they took control of Manchester City in the summer of 2008.

He is no longer involved but did not drop his interest in the Premier League.

In January, Al Fahim was linked with a bold move for Chelsea, who are owned by Russian billionaire Roman Abramovich, before agreeing to buy out Portsmouth.

Gaydamak announced last December he was looking for a buyer because he was unable to devote sufficient time to the club and he struck an initial deal with Al Fahim in May.

Peter Storrie, who has agreed to continue as Portsmouth's chief executive, added: "This appointment brings stability to the club and is excellent news for Pompey supporters.

"I have every reason to believe that together with the new chairman we will be able to take the club forward to further achievements, building on the successes of the past three years."