The twice-capped England youngster will have surgery to repair labral damage following consultation with a specialist today and he will be out of action for at least 12 weeks after picking up the injury during England's defeat to Ireland last Saturday.
"It's an horrendous blow for Olly, Gloucester and England," his club coach Dean Ryan told www.gloucesterrugby.co.uk
"In the last 12 months he has really matured rapidly as a Premiership player. He has outstanding potential to be an international-quality full-back and we wish him all the very best for the operation and his recovery.
"We at Gloucester will certainly miss a player of Olly's ability, control and bravery at this crucial stage of the season and it is obviously a major blow to England."
Morgan, who has made 18 appearances in all competitions for Gloucester this season with four tries, made his international debut against Scotland in the Six Nations Championship this season as a replacement for his Gloucester team-mate Iain Balshaw and started for the first time at Croke Park last Saturday.
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