Something for the record-books as Newcastle have a dreadful record at penalty deciders.
The match finished 3-3, with ex-Newcastle striker scoring a hat-trick for Boro.
Ex-United full-back John Beresford, himself a scorer in the final, said: "We came here to win it and that's what we've done - albeit on penalties. It's not quite the World Cup but there was still a tremendous amount of pressure on the lads and we did very well. You can see how competitive it was out there and I must praise our goalkeeper Iain Archibald, who came in at the last minute for the injured Gary Kelly. He's won it for us really."
Archibald was a surprise to us all, but apparently he was Newcastle's books as a youngster and played last season at Blyth Spartans.
Newcastle's first game brought a comfortable 3-1 over Hartlepool and a brace from Beardsley. United then beat Boro 3-1, with another Beardsley double and a screamer from John Beresford.
Sunderland lost 5-2 through goals from Bogey, Ferris, Barton and yet another Beardsley brace.
Newcastle will now play in the grand final on September 3 at the National Indoor Arena in Birmingham.