The local resident said he was still in a state of shock after making the discovery.

"It's incredible; what wonderful news," he said.

"I can't believe it, especially to win this prize on a free ticket.

"I feel very, very lucky. I've been playing for such a long time, I buy tickets, but I never expect to win so this is such a great surprise."

It's not every day that someone can say they won $200,000 while gambling, but the man says he plans to put the money to good use.

"I'm not too sure what I'll do with it at the moment," he said.

"I would say we will start by helping out the kids. We will really be able to enjoy it; there's no doubt about that."

The Lotto player, who wishes to remain anonymous, purchased his winning entry of two consecutive numbers at the Nambucca Heads Newsagency.

The owner, Thea Kimber, said the win marked a special milestone for the outlet in Nambucca Heads.

"This is the biggest winning entry we've sold since owning the newsagency," she said.

"We're all very excited, and our staff were so happy when the customer came in to check his ticket.

"Congratulations to him. We hope this is the beginning of plenty more big wins for our customers."

This isn't the first time the Nambucca Heads Newsagency has sold someone a winning ticket for a large prize.

In 2017, they sold a Powerball ticket which made a local man over $25 million richer after taking out the division one prize and 19 division two wins.

There were only two division one winners across Australia in that draw, a man from Nambucca, and a grandmother in Victoria.

The golden ticket from Nambucca Heads was unregistered, and the town was buzzing as everyone waited to see who would claim the $25 million.

Up until that point, it had been the first division one prize sold sat the Nambucca Heads Newsagency in 16 years.

A Urunga resident was also fortunate enough to hit the jackpot with a $200,000 prize in another Lucky Lotteries Mega Jackpot draw.

The New South Wales woman, who wished to remain anonymous, purchased her winning entry of four random numbers online.

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