According to Spanish newspaper AS, Costa could be on his way back to the Spanish capital after just two seasons at Stamford Bridge, where he has scored 32 goals in 54 Premier League appearances.
Chelsea have already splashed the cash on striking reinforcements this summer, landing the highly-rated Belgian Michy Batshuayi for £33million from Marseille.
But they appear ready to part with Brazil-born Spaniard Costa, as long as they can seal a deal to replace him with Napoli’s Higuain.
The 28-year-old is in high demand this summer after scoring a staggering 36 goals in just 35 Serie A outings last term, attracting the attention of both Arsenal and Liverpool.
Higuain has a minimum fee release clause of £78m set in his contract and Napoli insist they will not sell for any less.
But this report has claimed that Chelsea are confident of landing him for less than that and are currently drawing up a suitable bid.