Essien has worked with five different managers since joining the club in 2005 from French side Olympique Lyon for an African record transfer fee.
The 27-year-old is familiar with the new manager, who served as a scout for Jose Mourinho during his successful stint with the London-based club.
Essien's future has been speculated despite confirming he would stay at the club and contest for a Uefa Champions League silverware.
Villas-Boas, a Uefa Europa League winner with FC Porto last season, has a agreed a three-year deal.
The 33-year-old took his first coaching post at Académica de Coimbra in October 2009.
An 11th-placed finish in his first campaign was enough to persuade Porto to hire him in June 2010, making him the club's youngest ever coach aged just 32.
GHANASOCCERNET
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