A man working at a Deeragun convenience store was allegedly threatened by a man armed with a knife during a tense stand-off with police last night.

Police will allege they were called to the Bruce Highway business around 10pm following reports a man armed with a knife was holding an employee captive and threatening to injury him.

Police attended the scene, entering the store and negotiating with the man who police will allege had grabbed hold of a 21-year-old male employee and was threatening to harm him.

After several minutes of intense negotiations the man surrendered the knife and was taken into custody without incident.

The male employee was not physically injured, nor was a male customer who was inside the store at the time, and who was also not allowed to exit the store.

A 20-year-old Mount Low man, who was not known to the employee, has been charged with two counts each of deprivation of liberty, and one count each of armed robbery and enter premises with intent to commit an indictable offence. He is due to appear in the Townsville Magistrates Court this morning.