Newcastle are willing to be flexible over a price for Ryan Fraser.
The Scotland winger has impressed on-loan at Southampton so far this season.
It's been suggested Newcastle will demand £4m to sell Fraser in January or at the end of the season.
However, ChronicleLive says Newcastle are prepared to drop their valuation.
Southampton boss Russell Martin has previously said on Fraser: "We want good players and we want good characters - Ryan definitely fits into that.
"Knowing Ryan and his capabilities, would he be someone that we want as part of the project here for longer than we have him? Of course, but he has to do enough on the pitch to put himself in a position where everyone feels the same.
“Me and him are on the same page. He's on the same page as the coaching staff. Ryan will only get better."