Nazare trained with Chiefs back in May while Gavin Hunt was at the helm and was said to have even undergone a medical check prior to returning home to Portugal – where he was born and resides.
A potential deal for weeks remained a possibility, with the Soweto giants eventually deciding to keep faith in their current options on the left flank.
Chiefs will go into the new season with Sifiso Hlanti and Sibusiso Mabiliso as the prime candidates at left-back while new signing Austin Dube can also fill in at the position.
While Happy Mashiane, Keagan Dolly and Kgaogelo Sekgota will provide the options further up the pitch.
Hlanti, Mabiliso, Dube, Dolly and Sekgota are all recent naturally left-footed players signed by Chiefs.
Nazare remains a free agent, who has been without a club since last year where he last featured for Georgian club FC Sarbutalo and before that played in Lithuania and in the Portuguese lower divisions.
Concerns were raised by Chiefs over a lack of fitness by the player during an assessment after being without action for an extended period.
The 26-year-old would have been the first-ever Sao Tome international to play in South Africa with the only other player from the islands to have featured locally being Jerry Adriano Pires who had a stint with Orlando Pirates.