The club has reached an agreement with Billy Arce to terminate his contract, which will allow him to pursue opportunities elsewhere.
Acting technical director David Weir said, "With the transfer window still open for various leagues until the end of February, we came to this agreement as it was to the benefit of both the player and the club.
"Billy was keen to play regular football and at this moment we are unable to give him that guarantee. We wish him well in his aim to achieve that and all the very best for the future."
The 23-year-old signed for Albion in 2018 from Ecuadorian club Independiente del Valla. Since then he has spent time out on loan with four clubs: Extremadura UD. CS Semelec, CS Barcelona and Quito.
He returned to Albion in January, having completed the season with Quito in his native Ecuador.