The Ospreys have reportedly withdrawn their contract offer to Adam Jones, who is believed to be close to signing a WRU deal.
WalesOnline reports that, with the veteran tighthead on the verge of penning a central contract with the Welsh Rugby Union, the region has retracted the offer it had tabled.
Earlier on Tuesday, it was apparent that the Wales and British and Irish Lions hero was mulling over both deals, but had not yet decided on which route to take.
A move to the Dragons has also been mooted, with boss Lyn Jones remaining tight-lipped on the subject after confirming Gavin Henson would not be joining the Rodney Parade side.
"Someone has just told me actually about half an hour ago that he is probably, is he, signing a contract with the Union, something like that. Is that right?" Jones told WalesOnline.
"I have no idea (about Jones playing for the Dragons.
"I thought there was an agreement that centrally contracted players weren't to play for the regions. I don't know if that's true or if that's just something I've heard.
"Adam is a mature man and if he's signed for the governing body, then I guess it's up to him where he wants to play his rugby.
"There are too many ifs and buts for me to give you an answer or a headline."
If confirmation of Jones' central contract arrives, he will become just the second player to ink such a deal with the WRU, following Wales captain Sam Warburton.
At present, the regions have agreed via a legally binding accord that they will not field centrally contracted players.