As reported by The Newcastle Herald's Barry Toohey, the Knights currently have five remaining list spots on offer for the 2022 season, however are set to hand promising duo Enari Tuala and Chris Randall senior deals past this season.
The Knights will farewell Connor Watson and Josh king to the Roosters and Storm respectively at season's end, however look to have plugged the gaps with the pending arrivals of Souths veteran Dane Gagai and St George Illawarra playmaker Adam Clune.
The Knights have also lost Gehamat Shibasaki to Japanese rugby side NEC Green Rockets.
According to Toohey's report, remaining list places could fall to Lee - who is looking to overcame a foot injury - and to a potential recruitment option as the club looks to bolster their second-rower stocks.
Contracted for next season, the NSW forward could join Clune in trading Kogarah for the Hunter, potentially aiding the Knights' push for a premiership.
Newcastle are understood to be requiring a premiership win either this year or next for superstar forward Kalyn Ponga to be able to take up his player options for the 2023 and 2024 seasons.
Newcastle will finish in seventh place despite Saturday's result against Brisbane, with Adam O'Brien's side likely to face Parramatta in week one of this year's finals series.