Dragons Suffer Heartbreaking 22-20 Loss to Knights After Missed Goals

St George Illawarra have suffered a heartbreaking 22-20 loss to the Newcastle Knights, coming agonisingly close to just their second win of the season.

The Dragons scored four tries to three against the Knights at Hunter Stadium, but goal kicking proved decisive on Friday night.

Knights five-eighth Sandon Smith was perfect from his five attempts, including two penalty goals in the final minutes of the first half.

But Valentine Holmes converted just two of his four attempts, with a miss next to the posts proving crucial.

Down 22-16, following winger Setu Tu scoring next to the posts, Holmes shanked his attempt, which would have reduced the deficit to four points.

Holmes nearly made up for it after Dylan Egan scored in the 71st minute to bring the score to 22-20, but the former Queensland State of Origin representative's attempt from the right touchline hit the post.

"I didn't even see it, I thought it went over," Dragons fullback Clunt Gutherson told ABC Sport when asked about Holmes's shank.

"That's footy. Things like that happen. We love Val, we love what he does."

The Dragons had a chance in the dying seconds to snatch the win when a bouncing ball went into the Newcastle in-goal.

But victory slipped through the fingers of halfback Kyle Flanagan, who was unable to gather the loose ball as he fell to the ground in a desperate scramble.

"We didn't get the result, which is really disappointing. But really proud of the players' effort and them sticking to the plan and sticking to what we practised during the week," Dragons interim coach Dean Young said.

"I think everyone played their role well tonight … There were some opportunities to win the game, but we didn't nail them.

"Unfortunately, we put all that effort in, we don't get the result."

The victory for Newcastle, who rested Origin players Kalyn Ponga and Dylan Lucas, provisionally moves them to third on the NRL ladder.