The Scottish Sun says Toon Army gaffer Alan Pardew is resigned to losing left-back Jose Enrique in the summer and has targeted the Celtic star as a replacement.
Magpies scouts have raved about Izaguirre after heading north to watch their on-loan keeper Fraser Forster.
Now Pardew, who has a huge transfer warchest after the £35million sale of Andy Carroll last January, is ready to move for the Honduras World Cup star.
Newcastle will start the bidding at £2.5m - but that is a figure sure to be kicked out by Hoops chiefs.
But the Geordies are ready to go toe to toe with Liverpool and others in an auction for the full-back who took the SPL by storm in his first season.