Unconfirmed reports suggest a launch has sunk near the Bowentown entrance.

The Waihi Beach Coastguard is currently dealing with the incident which is believed to have happened overnight.

The incident is understood to have happened near the Bowentown entrance.

The launch is understood to have sunk in Shelly Bay, just around the corner from Anzac Bay, where the Coastguard launch from.

Waihi Beach Coastguard referred comment to Tim Watts, who is dealing with the incident at present.

A 42ft launch is believed to have run in to trouble after the owner anchored too close in shore, and found himself aground when the tide went out.