The 18-year-old midfielder has been attracting the prying eyes of some of the biggest clubs in Europe for a while with his performances in Brazil.
Some of the biggest names in club football have been after him and Newcastle are also amongst the teams who want him.
The Magpies were preparing to make a move to sign him in the winter window, but it seems he is now Chelsea-bound.
A deal is close to getting agreed upon between the Blues and Vasco da Gama for Santos to move to Stamford Bridge.
Newcastle were pushing to land him but have now given up on the hope of getting the midfielder.
The Magpies have been following a policy of landing some of the best young talents in world football under the new regime.
They convinced Australia’s 18-year-old World Cup player Garang Kuol to move to Newcastle in the winter window.
A move for Santos was being lined up as well but they are set to lose out to Chelsea to his signature.
