diff --git a/src/agents/model-auth.ts b/src/agents/model-auth.ts
index 680d0f53c..238e6395d 100644
--- a/src/agents/model-auth.ts
+++ b/src/agents/model-auth.ts
@@ -275,6 +275,7 @@ export function resolveEnvApiKey(provider: string): EnvApiKeyResult | null {
     groq: "GROQ_API_KEY",
     deepgram: "DEEPGRAM_API_KEY",
     cerebras: "CEREBRAS_API_KEY",
+    ollama: "OLLAMA_API_KEY",
     xai: "XAI_API_KEY",
     openrouter: "OPENROUTER_API_KEY",
     "vercel-ai-gateway": "AI_GATEWAY_API_KEY",
diff --git a/src/commands/model-picker.ts b/src/commands/model-picker.ts
index 5cceb1e94..d2179c797 100644
--- a/src/commands/model-picker.ts
+++ b/src/commands/model-picker.ts
@@ -145,6 +145,14 @@ export async function promptDefaultModel(
   );
 
   const hasPreferredProvider = preferredProvider ? providers.includes(preferredProvider) : false;
+
+  // If preferredProvider is specified but not in catalog, skip the picker.
+  // This handles auto-discovering providers (e.g., Ollama) where models aren't
+  // in the static catalog but were already configured by the auth handler.
+  if (preferredProvider && !hasPreferredProvider) {
+    return {};
+  }
+
   const shouldPromptProvider =
     !hasPreferredProvider && providers.length > 1 && models.length > PROVIDER_FILTER_THRESHOLD;
   if (shouldPromptProvider) {
diff --git a/src/commands/models/list.status-command.ts b/src/commands/models/list.status-command.ts
index 8aa7015c8..1c2d2e78a 100644
--- a/src/commands/models/list.status-command.ts
+++ b/src/commands/models/list.status-command.ts
@@ -131,6 +131,7 @@ export async function modelsStatusCommand(
     "cerebras",
     "xai",
     "openrouter",
+    "ollama",
     "zai",
     "mistral",
     "synthetic",