Wilkinson had planned to retire at the end of the season but signed a one-year extension to his contract with the French giants last month.
The 33-year-old has declared that playing in France has allowed him to recapture form and his love for the game.
He told BBC Sport: "If it wasn't for these guys, and the coaches and the area, it would have been a decision the other way.
"What makes it work is that guys are bringing personalities and values to the table. Searching for excellence week in and week out has been the foundation of their careers. That doesn't just go when you hit 32.
"It's a fabulous place, a fabulous club environment. To play alongside guys that you spent so long playing against, the respect level works brilliantly."
The World Cup winning fly-half will be in Heineken Cup action this weekend as Toulon face Leicester Tigers on Sunday.