The 20-year-old endured a hugely frustrating first campaign at Stamford Bridge, being reduced to six starts and nine substitute outings in all competitions.
Ugochukwu did not make a single appearance between Christmas Eve and May 15 due to a hamstring injury that he sustained against Wolverhampton Wanderers.
However, he at least ended the season on a high, playing the final 26 minutes as Chelsea defeated Bournemouth on the final day of the 2023-24 Premier League to secure sixth place.
As it stands, it is unclear where Ugochukwu ranks in Chelsea's midfield pecking order now that Enzo Maresca has replaced Mauricio Pochettino in the dugout.
That said, the Blues hierarchy gave permission for the former Rennes youngster to be selected in the France preliminary squad ahead of their home Olympics.
Ugochukwu dropped from Olympic setup
Nevertheless, according to RMC Sport journalist Fabrice Hawkins, Ugochukwu is one of four players who have been dropped from the group.
Goalkeeper Theo De Percin, defender Chrislain Matsima and fellow midfielder Andy Diouf are the other three players left out by coach Thierry Henry.
Les Bleus have been drawn in a group alongside United States, Guinea and New Zealand as the nation bid to win their first gold medal in this competition since 1984.
For the time being, Ugochukwu will remain with the squad in the event of an injury, although that is at the discretion of Chelsea.
Not the first Olympic disappointment for Chelsea...
With the football tournament at the Olympics not regulated by FIFA, clubs have the right to prevent their players from participating in the competition.
Ugochukwu's French compatriot Malo Gusto was unable to link up with the squad due to Chelsea preferring to keep him within their ranks ahead of the new season.
The same applied with Enzo Fernandez, who has spoken publicly of his disappointment of missing out on representing his country at another tournament.