The Moruya and North Head beaches were closed by life guards after a two to two-and-a-half meter shark was spotted 10 meters from shore.
The shark was seen from the NSW Department of Primary Industries helicopter, on one of it’s twice daily surveillance flights from Kiama to Eden.
The sighting set off alerts and life guards closed the beaches.
Lifeguarding Services Australia chief lifeguard Stan Wall said the beach would remain closed for two to three hours.
Mr Wall said they had deployed a jet ski to track the shark and had engaged the Lifesaver 23 helicopter to run a patrol of the coastline in the afternoon.