The striker joined the Blues in the January transfer window when they paid £13.5 million to Lokomotiv Moscow for his services.
It has proven to be a poor piece of business so far though, with a series of uninspired performances at the end of last season under Roberto Martinez.
Ronald Koeman has since replaced the Spaniard at the club, and the Senegal forward has not managed to impress him.
The Dutchman has spent the last week in Austria assessing his squad, and has informed the club that Niasse will find it difficult to break into his team.
As a result he will be offered out on loan, with the Toffees unlikely to find a club that would be willing to pay what they did for his services just seven months ago.
A return to Russia is the most likely destination for the struggling forward, as he looks set to go down as another black mark on Martinez’s less than impressive transfer record at Goodison Park.