A 17 year old boy sparked a security scare on a bus from Nelson Bay to Newcastle last night.
A female passenger noticed the teen had what looked like a gun in his bag, and got off the bus to call 000.
Police intercepted the bus near Williamtown Airport.
Officers searched the boy's bag and discovered the gun was a replica.
They say he wasn't making any threats to fellow passengers.
The boy has been released into the care of his parents, as investigations continue.