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He will arrive in the UK with two Super 12 titles under his belt with the Brumbies and seeking to add a Heineken Cup crown to his collection.
"Owen is a world class player, and his decision to join us despite interest from other top sides is an indication of where we are heading as a club," said Falcons director of rugby Rob Andrew.
"He offers us a real physical presence in the pack as well as great experience, and is the sort of seasoned international player who can make a big difference for us.
"I see this signing being every bit as significant as the likes of Matthew Burke or Colin Charvis, and we look forward to working with Owen during the summer ahead of what promises to be an exciting season for us with all the players we have in place so far."
"It will be an interesting challenge for me and my family to be part of the Falcons' future success, and hopefully I can play my part for the team both on and off the pitch, following in the footsteps of two recent Australians who have gone to Newcastle - Andrew Blades and Matt Burke."
