Bomb squad surrounds house in Numurkah after reports of shooting and explosive discovery

The bomb squad has surrounded a house in Victoria’s north after reports of a shooting and the discovery of an explosive device in the rural town.

The emergency response is unfolding on Bitcon Street in Numurkah, near Shepparton, around 230 kilometres from Melbourne.

WATCH THE VIDEO ABOVE: Bomb squad surrounds Numurkah home after shooting

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Heavily armed specialist police and the bomb squad’s robot descended on the street at 11.30am following reports of a shooting.

Footage obtained by 7NEWS shows a man appearing from behind a fence before firing a single shot at a passing ute.

Witness Dylan Russell said the bomb squad discovered an explosive device at a house on the corner of the street.

“So there’s a bomb squad here now. They found a bomb in the end of the street at the house on the corner,” he said.

Footage appears to show a man firing a single round. Credit: 7NEWSBomb squad is seen at the scene. Credit: 7NEWS

“And they’ve dug a hole and put it in the ground with sandbags around it to set it off in the next half an hour.”

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Russell said the situation had left his family shaken.

“We’ve got two young kids here, me and my partner and stuff. We’re a bit shaken up, a bit worried about it,” he said.

Residents have been told to stay inside as the emergency response continues.

A man is understood to be in custody, but police are yet to provide an official update on the incident.