Knill confirmed Hibs had approached the Iron about O’Connor, a 24-year-old Northern Ireland international.
“We’ve had an offer,” Knill said on the BBC website. “I spoke to the Hibs boss Pat Fenlon late last week about a general inquiry.
“In the meantime, they’ve made an offer and the board is considering it. At the moment he’s our player until the end of the season.”
Sheffield United could have leading scorer Leon Clarke back for their home game against Nottingham Forest.
St Johnstone midfielder Murray Davidson is determined to use their derby exploits as a springboard to rid them of inconsistency.
Lincoln will once again be without skipper Luke Waterfall for Saturday's League Two derby clash with Grimsby.
Leeds boss Paul Heckingbottom is expected to choose from an unchanged squad for the home game against Sheffield Wednesday.
Derek Fazackerley will take the Oxford helm on the 56th day of his caretaker stint in Saturday's match against Peterborough.