The man in his early 20s was bodyboarding with five friends when the shark attacked, a police spokesman said.
He died at the scene in the surfing haven known as The Farm, off Bunker Bay near the western town of Dunsborough. The beach was closed after the attack.
About 30 surfers were in the water when the shark attacked, according to beachside cafe employee, Deb Pickett, who called police and an ambulance after hearing the disturbance.
“We had some sharks spotted far out at sea a few months ago, but they never come this close to the shore,” Pickett said.
She added that helicopters were still searching the area for the shark late Sunday, while rescue staff searched for the man’s arms and legs, which she believed had been taken by the shark.
Local official Ian Stubbs says it was the first shark attack in the area for more than 20 years.
