West Ham United manager Sam Allardyce admits he is in the dark about the destination of wantaway striker Mauro Zarate following reported interest from Crystal Palace.

The 27-year-old Argentine had looked set to join Harry Redknapp's side on loan until the end of the season, but following Alan Pardew's appointment at Palace the striker is now a target of the Eagles, according to the Daily Mirrror.

However the move has been delayed despite the former Internazionale and Birmingham City hitman agreeing personal terms and completing a medical with the Hoops.

Speaking ahead of West Ham's visit to Everton in the FA Cup third round on Tuesday, Allardyce said of Zarate's anticipated exit.

"I thought it was all done and dusted with QPR but that doesn't seem to be the case for whatever reason. When the situation has been decided we'll deal with it from there."

Asked if he would attempt to replaced Zarate, he replied: "I don't think so. What Mauro's problem is, is that he feels he hasn't played enough here at West Ham.

"He feels he needs to go play somewhere else, and if he goes elsewhere he'll have a better chance of playing.

"I think his problem is that if he'd played better here, he would have played more often. But I haven't heard of any other club that is interested in him apart from QPR."

Zarate has made just eight appearances for the Hammers this term, scoring twice, having only joined from Velez Sarsfield in the summer.