Hurley has spent the past four seasons at Arizona State, leading the Sun Devils to the NCAA tournament each of the past two seasons.
Sources had told ESPN that Hurley was expected to be the top target of St. John's after Chris Mullin stepped down as coach earlier this week.
"I am thankful to President [Michael] Crow and [athletic director] Ray Anderson for entrusting me to lead the basketball program at Arizona State," Hurley wrote in a statement. "My family and I are proud to be Sun Devils and want to remain at Arizona State for a long time. We are in discussions to extend our agreement and I look forward to continuing to build our program for long-term success.
"I will have no further public comment on my contract status until our agreement is finalized. Thank you, Sun Devil Nation."
With Hurley out of the running, Iona's Tim Cluess is expected to be the top candidate for the St. John's job, sources told ESPN.
Cluess has led the Gaels into the NCAA tournament in six of his nine seasons in charge, including the past four years, though Iona has lost in the first round every time.
In a statement Friday morning, Iona said it had "not been contacted by St. John's or their representatives" in regard to Cluess.