Two children and a woman die after incident on Sydney waterway

The bodies of two children were found after a massive search in a bay southwest of Sydney, Australia, hours after a woman was pulled from the waterway.

The trio were seen in distress in Floyd Bay, Lansvale, about 10.15am on Saturday, NSW Police said in a statement.

The woman was located shortly after emergency services arrived but could not be revived.

Authorities were initially unable to locate the children and carried out an extensive search involving police, Marine Area Command and the State Emergency Service.

Rescuers were seen searching the canal on jetskis and boats.