The Victorian Environmental Protection Agency has launched an investigation into a leak from the UniGrain Smeaton premises which turned a nearby stream bright blue.
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The contamination occurred on Tuesday when the substance spilled and entered the storm water system before making it to a creek on a neighbouring property.
The substance, which is still being cleared, is not believed to have made its way to nearby Birch’s Creek.
UniGrain managing director Bill May said the bright blue substance was a non-toxic seed colourant which managed to enter the waterway after a drum spilled.
He said less than 20 litres of the liquid made it to the storm water system and expected the clean would be completed by the end of Friday.
In a statement, the EPA said officers would “continue to monitor the site over the coming days and (encourage) community members who may be able to assist EPA to contact its pollution hotline on 1300 372 842”.