Hunter Water says it is satisfied that a sewage pipeline that had been leaking into Belmont Bay has been fixed.
The water utility recently erected signs to warn visitors not to swim or fish in the area.
It followed the detection of a leak on Monday June 6 in an above-ground, pressurised wastewater pipeline that runs parallel to Cold Tea Canal. It transfers wastewater to Belmont Wastewater Treatment Works.
Crews stopped the leak and replaced the damaged section with new pipe.
"As a precaution we erected signs along the access track of Cold Tea Canal (where the leak occurred), near the Pacific Highway bridge over Cold Tea Canal and on the adjacent foreshore of Belmont Bay," a Hunter Water spokesman said.
"The bay itself was not obviously impacted, however, testing of water samples we collected showed minor impact."
Samples taken at the leak site indicated that site was affected and unsuitable for swimming.
Follow-up testing on Friday 9 June showed a return to typical water quality in the area.
"While testing showed very low impact, typically, we keep signs in place and visible for two weeks as a precaution," the spokesman said.
The signs were removed on Monday.
Overflows of heavily diluted wastewater can occur at various locations around Lake Macquarie due to the wastewater network being overwhelmed by heavy rainfall.
The overflows usually occur at controlled locations but can also occur from other locations in the network, depending on the severity of the event.
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