There were four police cars and at least six unmarked police vehicles on a rural property on Kaitemako Rd.
The reporter said police were also searching outbuildings and vegetation, such as the underneath of planter tubs.
Mr Paxton said inquiries were continuing.
9.05am: Reports are coming in of a heavy police presence in Welcome Bay this morning.
Western Bay of Plenty police tactical response manager Inspector Karl Wright St-Clair confirmed police were in the process of holding a search warrant at a Welcome Bay address.
It is understood another address in Matapihi is also being searched.
Several police vehicles could be seen travelling up Kaitemako Rd about 7.30am today.