Merimbula local Bill Deveril was on Rex flight ZL 139 on Thursday evening August 29 when one of the two engines stopped.
"We had just left Moruya and were about over Narooma when there was a loud bang," Mr Deveril said.
He was sitting on the right hand side (starboard) of the aircraft and was able to see the engine.
"I noticed the propeller had stopped turning," he said.
READ MORE: Rex flight in emergency landing at Merimbula
I noticed the propeller had stopped turning.Bill Deveril
Mr Deveril said there was an announcement that there was a small problem but nothing to worry about and that they would be landing some 10 or 15 minutes late at Merimbula.
"I don't think some people even realised what was happening. Everybody sat there as though nothing (out of the ordinary) was happening," he said.
"It was the perfect landing.
"Of course it looked like Luna Park on the runway with all the emergency service lights," he added.
"When the pilots walked out I called for three cheers and everybody cheered them, they did a great job," he said.
"I know there has to be concern but the passengers did not seem that concerned," Mr Deveril said.
In a statement to Australian Community Media Regional Express said flight ZL139 operating from Sydney to Merimbula, 29 August 2019, experienced a cockpit indication associated with the aircraft's right engine en route to Merimbula.
"In accordance with company standard operating procedures, the pilots carried out the prescribed procedures and landed safely and without further incident at Merimbula airport at 8:42pm. The safety regulator has been notified and given all available information," the company said.
When the pilots walked out I called for three cheers.Bill Deveril
Fire & Rescue NSW said they were notified at 8:16pm of a 34 seat plane which had a engine issue, and was making a emergency landing at Merimbula Airport.
"We responded with three fire trucks, and a senior officer, and some RFS tankers also attended," a FRNSW spokesman said.
"Crews were in position at the airport prior to the landing, and the plane landed safely at approximately 8:45 pm, showing no signs of fire.
"Crews provided fire protection whilst all occupants exited the plane, there was approximately 19 passengers and three crew. All occupants were moved to the terminal.
"The plane was inspected and some fire damage was evident in the right hand side ( starboard ) engine, which had been extinguished by the crew utilising a inbuilt fire protection system.
T"he fire had no effect to the interior of the plane.
"Our duties were completed at 10pm," the spokesman added.