The report states that the 30-year old was informed a fortnight ago that his contract would not be renewed for 2022.
Ferguson has played 39 of his 231 NRL games for the Eels since joining the club in 2019 on a three-year deal.
Parramatta would reportedly not stand in his way of joining a rival club on an extended deal.
This could open the door for the Eels to sign discarded Penrith winger Josh Mansour, however, they would not be in a position to do so with Ferguson on the roster.
“That has never been a discussion. I am his manager, no one has pushed it to me,” agent Sam Ayoub told the The Daily Telegraph earlier this week, who manages both Ferguson and and Mansour.
“As for Parramatta having interest in Josh Mansour, that has never been a discussion. I met with them a week and a half ago about a raft of issues at Parramatta. Not once was there a discussion around pushing Blake.
“In actual fact, can I tell you what was said to me: ‘We are looking forward to Blake (playing in 2021). We know it is a year he is coming off contract. He will want to have a good year and we are looking forward to that’. That is exactly what was said to me.”