Geomagnetically induced currents (GICs) are referred to the quasi-DC current flows in power networks, driven by complex space weather-related phenomena. Such currents are a potential threat to the power delivery capability of electrical grids. To mitigate the detrimental impacts of GICs on critical infrastructures, the GICs should be monitored in power systems. Being inherently DC from the power frequency point of view, the components of GICs are, however, challenging and costly to monitor in AC power grids. This paper puts forward a novel methodology for the real-time estimation of GICs in power transformers. Such aim is attained by means of an extended Kalman filter (EKF)-based approach, mounted on the nonlinear state-space model of the transformer, whose parameters can be derived from standard tests. The proposed EKF-based algorithm employs the available measurements for the transformer differential protection. The proposed approach, relying on the differential current, can properly deal with the external sources of interference like harmonic excitation and loading. The EKF-based estimator presented is validated by simulation and experimental data. The results verify the ability of the proposed approach to robustly estimate the GIC level during various operating conditions.@en