Former Arsenal defender Stefan O'Connor is joining Newcastle on a free transfer, according to sources. Nick Potts / EMPICS Sport

Newcastle United have agreed a deal to sign former Arsenal defender Stefan O'Connor, sources close to the player have told ESPN FC.

O'Connor is a free agent after the expiration of his contract at Arsenal earlier this summer.

The 20-year-old has come through the ranks at Arsenal after joining from Crystal Palace at the age of 13 and the club were reportedly debating offering him a new deal, but an agreement failed to be reached.

O'Connor had already linked up with Newcastle for preseason training and the Premier League new boys have decided to offer him a two-year deal at St James' Park, according to the sources.

The former England Under-17 international made one first-team appearance for Arsenal during his time at the club in the Champions League against Galatasaray in the 2014-15 season.

O'Connor had two loan spells at York City and Dutch side MVV Maastricht during his time at Arsenal, but he made just four appearances each for the respective clubs.

And Newcastle boss Rafa Benitez is now ready to offer O'Connor a second crack at establishing himself in the Premier League and he should add depth to Newcastle's squad as he can play at centre-back as well as right-back.