Palermo vice-president Guglielmo Micciche earlier claimed the 22-year-old was "very likely " to move to Stamford Bridge but Maurizio Zamparini, the president of the Sicilian club, has since told Italian television that PSG are also contenders.
The Parisians, recently taken over by the Qatar Investment Authority, have emerged as big-hitters in the transfer market this summer and Zamparini told Sky Sport 24: "(PSG sporting director) Leonardo is a great man. He called me and told me he was very interested in Pastore."
Zamparini is hoping a deal can be struck this week.
"On Tuesday, we have a meeting with his agent," he said. "PSG and Chelsea are the two teams in the lead on this issue. There are one or two opportunities in Spain but, either way, he will not stay in Italy."
Pastore was instrumental as Palermo finished eighth in Serie A last season and reached the final of the Coppa Italia, in which they lost to Inter Milan.
Micciche is a huge admirer of Pastore and hinted he would be playing in the Premier League next season.
He told Radio Sportiva: "We are talking about a great player who, in my opinion, is extraordinary. There is no doubt that he should be sold for several reasons. He wants a big club and negotiations are well advanced with a very important team.
"His agent is working well and if someone pays the right amount we are happy to let him go. Very likely he will go to Chelsea but I think there are many other clubs of that level looking at the boy.''
Source: PA
Source: PA