During Sunday night's episode, the pair seemed to be back to being good friends again as they caught up over drinks at a bar in Marbella.
Danni tells us: "We're fine. We didn't see each other at all in the summer, which has done us the world of good. We're going to be around each other a lot now and on the show you'll just see what happens naturally."
We ask Danni if a reunion could ever be on the cards for the former couple: "I'm always lost for words when it comes to him because you never know what's going to happen," she says. "Right now, no, I don't think so, but who knows?
"It is TOWIE, it isn't a normal situation. You wouldn't go to Marbs with your ex, would you? He's nice looking and I do get on with him. We are actually good friends, but yeah, we'll see what happens."
Danielle and James split on the last series, just as he was planning to propose to her in Marbella. They cleared the air in the series finale and agreed they needed to cut back on contact in order to move on.
TOWIE airs every Wednesday and Sunday at 10pm on ITVBe.
Try Reveal's digital edition on iPhone & iPad. Subscribe now & never miss an issue!
10 reasons why we want to be in TOWIE: