The 22-year-old impressed during a loan spell at Sunderland last season and the Black Cats were keen to re-sign the centre-back this summer.
But after returning to his parent club Wolves, Sanderson was subject to Championship interest and signed a season-long loan deal at Birmingham.
It was initially a frustrating start to the season with the defender still recovering from a back issue when he arrived at St Andrew’s.
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Birmingham City then acted swiftly to replace him, bringing in Teden Mengi on loan from Manchester United.
But with Toti Gomes starting for Wolves at the weekend in the Premier League, it has become apparent that Sanderson needs to go out again on loan once again to gain valuable experience.
The Daily Mail state that Wolves are assessing a number of enquiries for defender Dion Sanderson.
Sunderland are in the market for a new defender this month after West Ham defender Frederik Alves was recalled by his parent club after failing to break into Johnson’s starting XI.
However, the Black Cats aren’t mentioned as one of the teams linked with the centre-back seemingly destined for a move back to the Championship.
Birmingham City have been re-linked with Sanderson, whilst Bristol City and QPR are also said to be monitoring the situation.
The ex-Cardiff City loanee was also linked with a move to Sheffield United last summer.