The Provincial Administrator in the Papua New Guinea province of Morobe says flooding from heavy rain around Lae has subsided.
Tera Gauba says they are working around the clock on flood damage control in the worst affected areas, including Four Mile.
He says the Bumbu river banks has flooded onto the main highway and there have been unconfirmed reports that people have been swept away by the flood waters.
"The flood has gone down now so what we are doing now is we are assessing the situation, working out the cost of damage and how many people have been misplaced, and so forth."
Mr Gauba says the Red Cross is also assisting the Provincial Government in providing emergency assistance to the flood victims.