The midfield powerhouse has spent four years at Molineux and only signed a new contract through to 2011 last October.
However, Wolves have now confirmed that Olofinjana's name has been circulated following a previous agreement between the club and player.
"At the time of signing a new contract with Seyi last year, we agreed that, should the club miss out on promotion at the end of the 2007/08 season, we would circulate his name for transfer if that is what he wished," Wolves' CEO Jex Moxey told the club's official website.
"As expected, Seyi has made that request and we are therefore following through on our commitment and he has been placed on the transfer list.
"As an experienced senior international player who has not only served Wolves well, but re-signed instead of holding out to become a free agent this summer, he has given us the opportunity of recouping our financial investment in him to help buy new players."