The 20-year-old, who is currently in England on Olympics duty with the Selecao and was a standout performer in their 2-0 warm-up victory over Team GB, claimed on Friday that he had undergone a medical at Stamford Bridge but would delay any decision on his future until after the conclusion of the Games.
However, it now appears that confirmation of a switch is imminent with Luigi claiming that a verbal agreement has been finalised between the two clubs.
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"There is a verbal agreement between the two parties. But we have to put that on paper and the lawyer of both clubs have to discuss the matter," the official told Radio Guiaba.
Oscar joined Internacional from Sao Paulo in 2009, and scored a hat-trick in Brazil’s Under-20 World Cup final victory over Portugal.
Premier League rivals Tottenham have also been linked with a move for the €32 million-rated youngster as a potential replacement for midfield schemer Luka Modric, who is reportedly on the verge of a move to La Liga champions Real Madrid.