Four people that were stranded onboard a launch after it caught fire off the Coromandel Peninsula are safe and making their way back to shore.
The vessel was about 500 metres offshore when a fire broke out in its engine just after 2.30pm.
Fire Service Northern communications shift commander Jaron Phillips said the boat was making its way back to shore and was being shadowed by a fire service rescue boat.
The rescue boat was launched from Pauanui and other vessels in the area were informed by a radio broadcast.
The Pauanui Surf Life Saving Club was also informed and head guard Martine Smith said the club sent out a surf rescue boat.