The former Chelsea wing-back triggered the option after appearing in victory over Tottenham.
He told ChronicleLive: "I am here now as a Newcastle player and I really enjoy it. The future looks really good for the club with so many young and talented players.
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"It is going in the right direction."
"I played a lot of my early senior appearances at left-back or wing-back. But I like to be versatile and play in other positions if required.
"I used to be a midfielder when I was younger but wherever the gaffer wants me to play I will play."