Webb watched from outside the ropes, her heart racing.
Ariya, who has 10 LPGA victories, including two majors, the 2018 U.S. Women's Open and the 2016 Women's British Open, was happy with her form at the tournament so far.
Green was one of those recipients four years ago.
Wie sat out a month and returned at the LPGA's first major and then her hometown event in Hawaii, both times missing the cut.
Thailand's Ariya Jutanugarn is alone in second place, three strokes behind Hannah Green of Australia, after two rounds of the Women's PGA Championship.
With Webb looking on nervously from the galleries, the 22-year-old Green kept her composure to get up-and-down from a greenside bunker at the last, sinking a four-foot putt to pip defending champion Park Sung-hyun by a stroke.
"To be winning a major as my first event, I'm really over the moon".
Green, in only her second full year on the LPGA Tour, is the first wire-to-wire victor of this major since 2011.
Six players shot a 6-under 64 to tie for lead, with defending champion Bubba Watson (69), two-time victor Phil Mickelson (67) and 79 others within five shots going into the second round. Jutanugarn didn't make a birdie in her round of 77. MacKenzie Hughes sank an 18-foot birdie putt on his final hole, Abraham Ancer shot a 30 on his back nine, and Kyoung-Hoon Lee shot his lowest round on the Tour. The group at 71 included major champions So Yeon Ryu and Lydia Ko.
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Green, who is ranked 114th in the world, made four birdies to go with a bogey during her second round.
"I got a cute little poem saying that I had given her a ball and also said, "You can win this", Green said. "You didn't do it yourself, but you supported someone who realized that dream".
"Made bogey" she said with a laugh after her 70.
Karrie Webb, Australia's most prolific major champion, has been offering scholarships to two amateurs for the last several years.
Green stands at stands at 7-under 137, followed by 10-time LPGA victor Ariya Jutanugarn of Thailand, who shot 70 to finish alone in second at 4-under 140.
Green's unlikely save at her third hole, the par-four 12th, came after she had hit her second shot into a penalty area she barely knew existed at Hazeltine National. With the group ahead still waiting to tee off, a 7-year-old girl handed her a blue sheet of paper. "She made a couple of clutch putts at the right time, and that's what happens when you win golf tournaments".
"As soon as I had the chance to come to the U.S. Open, that's when Karrie was my idol", Green said.
"I'm very grateful to her and I know everyone that has had her scholarship is very grateful, too".
The nerves didn't really leave, especially after making three bogeys in a four-hole stretch that dropped her to 8 under, a four-shot lead suddenly down to one.