A 7.7 metre fly bridge cruiser reported missing with two men on board early this week was located off Broughton Island by Marine Rescue Port Stephens on Wednesday.
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The Nelson Bay-based Marine Rescue unit was tasked by water police to locate the cruiser, which had left Swansea about 8am on Monday, when it failed to arrive in Forster as scheduled on Tuesday.
On Tuesday afternoon police were notified that the cruiser had not arrived at its destination and organised a large search of the coastline to locate it and the two men on board.
Port Stephens Marine Rescue vessel 31 was tasked to search between Port Stephens and Seal Rocks and support a search from Forster to Swansea.
This search involved vessels from Marine Rescue units in Forster, Lemon Tree Passage, Newcastle and Lake Macquarie plus water police.
"PS31 departed the dock early [Wednesday] and first searched the outer islands of Port Stephens," Port Stephens Marine Rescue said.
"The next area was to search the inlets of Broughton Island. On leaving Esmerelda Cove and heading east the crew noticed on radar a vessel to the north east.
"On investigation it was the target vessel."
The unit added that it had been a "great relief" to find the cruiser and men unharmed.
The cruiser had been anchored for two nights before before being discovered and rescued after experiencing drive and communication problems.
PS31 towed the cruiser and men back to Nelson Bay.
"Well done to our skipper and crew - great job with a very pleasing and professional outcome," Port Stephens Marine Rescue said.