According to a report in WalesOnline, a spokesman for the authority said that talks are still at an early stage.
Swansea Council leader Rob Stewart said: "A large indoor arena would be a valuable addition to what we already offer. But it’s important to stress that these talks are at a very early stage and it wouldn’t be appropriate to go into any further detail for the time being."
Plans are currently in the pipeline for a convention centre in Cardiff, while the Celtic Manor Hotel in Newport, which is building the Wales International Convention Centre, recently released images of what the conference centre will look like.
Swansea Council recently unveiled ambitious plans for a seafront-based city centre, to include an aquarium, hotels and a tree-lined pedestrian bridge, while Swansea University will unveil a range of more than 20 event spaces and conference facilities with the opening of its new £450m Bay Campus this September.