According to ESPN, the 20-year-old is on his way to Stamford Bridge to be the latest signing in a summer spending spree by the club's owner Roman Abramovich.
There is no doubt that the move for Oscar will benefit the Chelsea midfield, the real question is how much effect will this move have on the Brazilian national team heading into the 2014 FIFA World Cup in Brazil.
The first line of business for Brazil is the 2012 Olympics, a tournament which will showcase Oscar as well young stars Leandro Damiao, Neymar and Lucas Moura, all three who have been chased by European clubs.
But the Olympics are just a mere stepping stone compared to what is ahead for the next two years for Brazilian football.
The weight of a nation will be upon the Selecao going into the World Cup and they will be expected to win the title on home soil.
The preparations have already started back home in Brazil, but it is time for the players to start to prepare themselves by playing world-class football overseas.
Plenty of the older Brazilian stars are playing in Europe already, but it is the younger core who will be the key to victory in 2014 and those players need to see playing time in world's best leagues.
It is thought that the Olympics will add more hype around players like Neymar and Leandro Damiao, who should be in Europe within the next year.
For Oscar, that time is now and with his move to Stamford Bridge imminent, it will give him the world-class experience he needs plus he will be playing alongside other Brazilians.
The 20-year-old would join defender David Luiz and midfielder Ramires at the West London club.
Both Luiz and Ramires should be considered in Mano Menezes' World Cup squad and if they can gain familiarity with Oscar, it would only be a positive for those three players going into 2014.
Oscar is not only following a trend of the top young South American players going to Europe to play, he is also setting a trend for his fellow young Brazilians who want to feature in the World Cup by moving to Europe to gain more experience.