UFC: Kiwi Dan Hooker set to take on Michael Chandler on Fight Island

Kiwi lightweight Dan Hooker will make his return to the Octagon on 'Fight Island' in Abu Dhabi next month.

Newshub understands 'The Hangman' has been granted the highly-sought after task of welcoming marquee signing Michael Chandler to the promotion in a stylistic match-up that promises high levels of entertainment.

In September, the 34-year-old Chandler inked an exclusive, multi-fight deal with the UFC, after a 10-year tenure with Bellator, where the former lightweight champion established a reputation as one of the world's premier 155lbers.

While contracts are yet to be signed, Newshub understands both fighters have agreed to the bout.

A date is also yet to be locked in, but the fight will be part of one of the three cards scheduled for the UFC's 'Triple Header Week', which runs from January 17 (NZ Time) to January 24.

The last of those events  - UFC 257 -  features the hugely anticipated comeback of Irish megastar Conor McGregor in a rematch with Dustin Poirier.

With the UFC certain to include Chandler's promotional debut as part of a pay-per-view, it would make sense that his clash with Hooker slides in as the co-main event, offering the Kiwi his biggest stage yet to stake his claim for a lightweight title shot.

And with undefeated champion Khabib Nurmagomedov having announced his retirement, the race to his vacated belt is now wide open.

An impressive outing for the sixth-ranked Hooker could put him near the front of the queue to contest for the belt, alongside the likes of McGregor, Poirier, the surging Charles Oliveira and Justin Gaethje in a logjam at the top of promotion's most competitive division.

Hooker was last in action in June, where he lost a Fight of the Year contender against Poirier, snapping a three-fight win streak.