A resupply port in the Seychelles, an island country in the western Indian Ocean 1,600 kilometres (990 miles) off the African coast, could raise concerns in India, which has been wary of China's growing military reach.
The Chinese Ministry of Defence, however, said the Seychelles proposal was still just under consideration.
"According to escort needs and the needs of other long-range missions, China will consider seeking supply facilities at appropriate harbours in the Seychelles or other countries," the ministry said on Monday, according to the China Daily.
Chinese Defence Minister Liang Guanglie visited the Seychelles earlier this month, said the report.
Li Jie, a scholar at China's Naval Military Studies Institute, told the paper that "as China will not send troops to protect the supply stop in the Seychelles, by no means can it be called an overseas military base."
In an effort to douse fears about Chinese plans, Beijing has repeatedly said it does not want military bases abroad.
In 2009, Chinese officials distanced themselves from comments by a rear admiral, Wu Shengli, who urged the nation to set up navy supply bases overseas for the anti-piracy fight.
Chinese ships have undertaken anti-piracy operations off Somalia since late 2008, and in early 2010 Beijing agreed to join the multi-nation effort to protect shipping in the Gulf of Aden and nearby stretches of the Indian Ocean.
Experts have said the effort has helped China master some of the logistical challenges of operating naval forces far from their home ports.