The Hunter outfit's owners had walked away from the club three weeks ago but after a face-to-face meeting with FFA chairman Frank Lowy they've brokered a compromise deal
HSG had on April 10 announced an intention to hand back their licence, due to a continuing row on a series of matters, including the acquisition fee they paid for the club and and the Jason Culina insurance saga.
The decision had plunged the make-up of the A-League into doubt, with Gold Coast United axed by the FFA five days before HSG's decision.
The Jets' players and staff had been told to look for new clubs, and the future of a club from the Hunter Valley in Australia's top football league appeared grim.
But, after FFA chairman Frank Lowy met with HSG chairman Nathan Tinkler, a deal has now been brokered to keep the club in the competition.
"It was a good opportunity for Nathan and I to meet face-to-face and resolve the issues that had affected the relationship between FFA and HSG," Lowy said in the statement on Tuesday.
"FFA has made some concessions in good faith in order to resolve the matters. When Nathan first took on Newcastle Jets, I welcomed his commitment to running a strong and successful A-League club in Newcastle on behalf of the community of the Hunter region.
"Today, my confidence is renewed over Nathan’s personal drive to make the Jets and the Hyundai A-League successful. We agreed on a way forward that addresses the issues HSG have raised and we are now going to get on with developing the game together in a key region for football.
"With more than 10,000 Jets members and an average crowd this season over 12,000, HSG has demonstrated its ability to engage with the community and to run a successful team and club."
Tinkler added he was pleased with Lowy's goodwill in flying to meet him in person.
"Frank Lowy flew to Brisbane to meet with me face-to-face and I took that as a sign of goodwill. It was a gesture I certainly appreciated," he said.
"I welcomed the opportunity to meet and discuss these issues in person. We now have a way forward and I remain committed to ensuring Newcastle Jets is one of the most successful clubs in the Hyundai A-League."
In their own statement on Tuesday, the Jets revealed little detail on the agreement reached with the FFA, but reiterated their commitment to football in the area.
"We are pleased to confirm that following a series of confidential negotiations with the Football Federation of Australia [FFA], the HSG has agreed to continue and honour its 10-year licence agreement," the statement read.
"... We take confidence from the FFA's determination to have the HSG continue its work with the community, to continue building a model that is recognised as the best in the league. We now take this confidence forward.
"We also would like to thank our members for fighting for the existence of an A-League team in the Hunter."