diff --git a/src/pyedb/dotnet/edb_core/components.py b/src/pyedb/dotnet/edb_core/components.py
index 694859bce8..3409e91023 100644
--- a/src/pyedb/dotnet/edb_core/components.py
+++ b/src/pyedb/dotnet/edb_core/components.py
@@ -926,6 +926,7 @@ def create_port_on_component(
         solder_balls_height=None,
         solder_balls_size=None,
         solder_balls_mid_size=None,
+        extend_reference_pins_outside_component=False,
     ):
         """Create ports on a component.
 
@@ -958,6 +959,9 @@ def create_port_on_component(
         solder_balls_mid_size : float, optional
             Solder balls mid-diameter. When provided if value is different than solder balls size, spheroid shape will
             be switched.
+        extend_reference_pins_outside_component : bool
+            When no reference pins are found on the component extend the pins search with taking the closest one. If
+            `do_pingroup` is `True` will be set to `False`. Default value is `False`.
 
         Returns
         -------
@@ -1016,7 +1020,7 @@ def create_port_on_component(
                 self._logger.error(
                     "No reference pins found on component. You might consider"
                     "using Circuit port instead since reference pins can be extended"
-                    "outside the component automatically when not found."
+                    "outside the component when not found if argument extend_reference_pins_outside_component is True."
                 )
                 return False
             pad_params = self._padstack.get_pad_parameters(pin=cmp_pins[0], layername=pin_layers[0], pad_type=0)
@@ -1067,8 +1071,14 @@ def create_port_on_component(
                 if not p.IsLayoutPin():
                     p.SetIsLayoutPin(True)
             if not ref_pins:
-                self._logger.warning("No reference pins found on component, the closest pin will be selected.")
-                do_pingroup = False
+                self._logger.warning("No reference pins found on component")
+                if not extend_reference_pins_outside_component:
+                    self._logger.warning(
+                        "argument extend_reference_pins_outside_component is False. You might want "
+                        "setting to True to extend the reference pin search outside the component"
+                    )
+                else:
+                    do_pingroup = False
             if do_pingroup:
                 if len(ref_pins) == 1:
                     ref_pins.is_pin = True
@@ -1111,16 +1121,22 @@ def create_port_on_component(
                         if ref_pins:
                             self.create_port_on_pins(component, pin, ref_pins)
                         else:
-                            _pin = EDBPadstackInstance(pin, self._pedb)
-                            ref_pin = _pin.get_reference_pins(
-                                reference_net=reference_net[0], max_limit=1, component_only=False, search_radius=3e-3
-                            )
-                            if ref_pin:
-                                self.create_port_on_pins(
-                                    component,
-                                    [EDBPadstackInstance(pin, self._pedb).name],
-                                    [EDBPadstackInstance(ref_pin[0], self._pedb).id],
+                            if extend_reference_pins_outside_component:
+                                _pin = EDBPadstackInstance(pin, self._pedb)
+                                ref_pin = _pin.get_reference_pins(
+                                    reference_net=reference_net[0],
+                                    max_limit=1,
+                                    component_only=False,
+                                    search_radius=3e-3,
                                 )
+                                if ref_pin:
+                                    self.create_port_on_pins(
+                                        component,
+                                        [EDBPadstackInstance(pin, self._pedb).name],
+                                        [EDBPadstackInstance(ref_pin[0], self._pedb).id],
+                                    )
+                            else:
+                                self._logger.error("Skipping port creation no reference pin found.")
         return True
 
     def _create_terminal(self, pin, term_name=None):
diff --git a/tests/legacy/system/test_edb.py b/tests/legacy/system/test_edb.py
index dca761bef5..925f0cc926 100644
--- a/tests/legacy/system/test_edb.py
+++ b/tests/legacy/system/test_edb.py
@@ -1657,30 +1657,32 @@ def test_workflow(self, edb_examples):
         edbapp.close()
 
     def test_create_port_ob_component_no_ref_pins_in_component(self, edb_examples):
+        from pyedb.generic.constants import SourceType
+
         edbapp = edb_examples.get_no_ref_pins_component()
-        sim_setup = edbapp.new_simulation_configuration()
-        sim_setup.signal_nets = [
-            "net1",
-            "net2",
-            "net3",
-            "net4",
-            "net5",
-            "net6",
-            "net7",
-            "net8",
-            "net9",
-            "net10",
-            "net11",
-            "net12",
-            "net13",
-            "net14",
-            "net15",
-        ]
-        sim_setup.power_nets = ["GND"]
-        sim_setup.solver_type = 7
-        sim_setup.components = ["J2E2"]
-        sim_setup.do_cutout_subdesign = False
-        edbapp.build_simulation_project(sim_setup)
+        edbapp.components.create_port_on_component(
+            component="J2E2",
+            net_list=[
+                "net1",
+                "net2",
+                "net3",
+                "net4",
+                "net5",
+                "net6",
+                "net7",
+                "net8",
+                "net9",
+                "net10",
+                "net11",
+                "net12",
+                "net13",
+                "net14",
+                "net15",
+            ],
+            port_type=SourceType.CircPort,
+            reference_net=["GND"],
+            extend_reference_pins_outside_component=True,
+        )
         assert len(edbapp.ports) == 15
 
     def test_create_ping_group(self, edb_examples):