Police are investigating the circumstances surrounding an armed robbery in Merewether last night.

About 9.40pm (Monday 6 November 2017), two men entered a service station on Watkins Street, one armed with a metal pole.

They approached the counter where they threatened the 25-year-old employee demanding cash and cigarettes.

The employee complied and handed over an amount of cash from the till along with cigarettes.

The pair left the store and were last seen running north towards The Junction.

Police from Newcastle attended the scene and commenced an inquiry.

One of the men has been described as Caucasian in appearance and aged in his mid twenties with a medium build and about 185cm tall.

He was wearing dark long pants with a dark jacket, a black beanie and had a red cloth covering his face. He was armed with a metal bar.

The second man has been described as Caucasian in appearance and aged in his mid twenties with a medium build and about 175cm tall.

He was wearing grey long pants with a black hooded jumper and he had a black and grey cloth covering his face.

The employee was not injured during the incident and police are now seeking anyone who may have information that could assist.