The earthquake struck about 9:30pm on Saturday with its epicentre near Ensay, approximately 350 kilometres east of Melbourne. Geoscience Australia received 346 reports from people who felt the quake.

Residents in the neighbouring town of Swifts Creek described the experience. Stephen Richardson initially thought a falling gumtree had hit his house. "It was a big thump beside the house and then I ran to the back door and heard it rumble up the valley," he said. He compared the sound to a massive machine driving up the highway towards Omeo, but reported no damage.

Ray Gallagher, another Swifts Creek resident, said the quake "felt different to anything else I'd ever felt before" and rattled the house so much that he heard glass shaking. He initially wondered if lightning had struck a nearby tree during a storm.

Senior seismologist Jonathan Griffin of Geoscience Australia said the earthquake was the most powerful of 27 recorded within 100 kilometres of Ensay in the past decade. "If you happen to be close to it, it would have given you a decent shake," he said.

Dr Griffin explained that the earthquake was caused by Australia's position at the centre of a tectonic plate, which is moving about 7 centimetres a year. The resulting compression stresses occasionally trigger earthquakes in south-eastern Australia. He warned that aftershocks were possible in the coming days and weeks, and that a larger quake could not be ruled out.

The State Emergency Service provided a map of the epicentre. No injuries or structural damage have been reported.