He's 44 so its going to be hard to find an opponent that works for him. He hasn't fought since 2007 and that was against an aging Sakuraba. Hasn't fought in the UFC since 2006 in his lose to Hughes aside from that hasn't fought int he UFC regularly since the early 90's.
You would assume they would need to find a somewhat big name to fight him for such a big Brazilan show and have him near the top of the card. Not sure you would want to discredit him by putting him in as an opening round fight against some random newcomer.
If he loses it tarnish the final image of a UFC legend at him hometown show. I don't think Dana wants to have him go out that way. If he beats a young talent then that guys stock drops dramatically, but Dana still have no real use for promoting Gracie after that. So either way Gracie would probably be done with the UFC.
Unfortunately, the guys past his UFC prime age wise and verses the hybrid techniques that have developed in MMA. Dana should be using the hell of him in Brazil though. Honer him by hyping the heck out of the guy who made the UFC into what it is today during the show, have him as the Master of Ceremonies, make him into the king of Brazil for the day, etc....... However, using him as a fighter may not be the best move for anyone involves and Dana probably see's that. There are several other very talented Brazilians to choose from.