Newcastle is located south of Wichita Falls
on Hwy 251 off Hwy 79, on the banks of the Brazos River near Lake Graham.
Coal mining brought this Young County town together in 1908. The Wichita Falls and Southern Railway used coal from Newcastle, as did other small industries in Wichita Falls and other area towns, but by 1942 coal production had ended.
Because Newcastle was near old Fort Belknap, former Indian fighters held reunions there for some years. The population of Newcastle was 1,000 in 1950; income came from farms, vineyards, and oil. In 1965 the town had a bank, a newspaper, a school, and five churches. Its population was 617 in 1960 and 624 in 1970. By 1980 the population had grown to 688, and the town had been incorporated.
In 1990 it had 505 residents.