Barry-Murphy signed for Preston in 1999 on a Bosman free transfer from Shelbourne's rivals Cork City but has failed to make any real impact at the club.
The former Republic of Ireland Under-21 international made just five appearances for the Lancashire club last season and was loaned out to Southend United in 2001, scoring once in eight appearances for The Shrimpers.
The 24-year-old midfielder is surplus to requirements under Craig Brown at Deepdale and has already spent some time on loan at Division Three side Hartlepool United this season.
Hartlepool were reportedly interested in signing the player permanently until Preston recalled him and he could now be destined to return to the Emerald Isle.
