A dubious penalty against retiring Knights back-rower Jeremy Smith in the play-the-ball gave Gareth Widdop the chance to kick an 80th-minute goal at Kogarah Oval on Saturday afternoon in the final round of the regular season for both clubs.

In a game which saw the captains challenge system trialled but not used, the Knights were closing in on their second win of the entire season with the scores tied heading into the final few minutes of regulation time.

That's when Smith was penalised by referee Henry Perenara for kneeing Kurt Mann in the tackle, but it appeared a tough call.

Widdop kicked the 39m penalty goal to give the Dragons a winning end to a disappointing season in what could be Benji Marshall's final first-grade game.

Asked about the game-deciding penalty, coach Nathan Brown said: "She was no penalty, that one — you can find 1000 of them."

Smith added: "He put the ball on my foot and I was just getting up. That's the story of our year."

After a shocking 2016, Newcastle will start next season seeking to end the worst losing streak in the NRL.

It is the first time since Gold Coast in 1993 that a team has won just one game in a season.

Reflecting on a poor year, Brown said: "I'm just happy with the development of a lot of the young players. The club got the wooden spoon the year before, we lost 1300, 1400 games worth of experience.

"We've brought in a lot of younger players and now we're under the salary cap. We're in a far better position than we were this time last year.

"In a 15-minute window, we basically lost the game." Despite the lack of finals importance, it was an entertaining match at Kogarah, punctuated by silly errors from both sides.

Marshall led the way for the Dragons and Trent Hodkinson steered Newcastle well around the park. But, when the Knights had a field-goal chance late, before Widdop's penalty, the ball wrongly went to Jarrod Mullen.

Newcastle started the game strongly to lead 10-0 after 10 minutes on the back of tries to Nathan Ross and Jacob Saifiti.

But the Dragons came storming back scoring four tries in 15 minutes to grab a generous lead.

Joel Thompson bagged tries in the 25th and 30th minutes. Jason Nightingale helped himself to his first in the 17th minute and Jake Marketo streaked away in the 32nd to give the home side a 22-10 halftime lead.

Newcastle started the second half as they did the first. Dane Gagai crossed out wide two minutes after the resumption and Peter Mata'utia did likewise five minutes later to peg the gap to two points.

Nightingale crossed for his second in the 58th minute before Mitchell Barnett's try and Trent Hodkinson's conversion in the 73rd minute tied up the scores at 26-26 before 8726 fans.

Dragons coach Paul McGregor could not sugar-coat the result as he reflected on the season.

"It was a disappointing year," he said.

"Not many people outside ... thought we'd make the eight. We did (think that). So it was hard.

"Outside pressures certainly had an impact.

"The uncontrollables, we let them control too much. In the end, in the fundamentals of the game, we just weren't good enough."

McGregor paid tribute to departing stars Benji Marshall, Ben Creagh, Mitch Rein and Mike Cooper.

Despite neither team using the captain's challenge yesterday McGregor said he is a fan of the concept.

"Asked about the captain's challenge, McGregor said:

"I don't mind it but I'd still like the referee to have the opportunity to go upstairs.

"I'd rather see it used in trials when there isn't as much pressure. I got an email last night, you can see straight away ... there wasn't really any need for a challenge.

"I'd like to see it used in other areas of the game."