A 24-year-old man was stabbed outside a home in Huntlee in the Cessnock area, police say.
The alleged offender, a 19-year-old man, was due to face Newcastle Bail Court on Sunday over the matter.
Police said the incident happened at about 11pm on Friday.
"Two men - known to each other - were involved in a physical altercation outside a home on Lockwood Street, Huntlee," a police statement said.
"A short time later, one of the men, aged 24, discovered he had been stabbed in his side. He was then driven to Cessnock Hospital by a woman known to him, before being transferred to John Hunter Hospital where he remains in a stable condition."
Hunter Valley police are investigating the matter.
The alleged offender was arrested at Cessnock Police Station shortly before 7pm on Saturday and held in custody ahead of Sunday's bail court hearing.
He was charged with reckless wounding and armed with intent to cause an indictable offence.
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