The New Zealand Defence Force says two missing Kiribati fishermen were found 300 kilometres from the atoll they set off from.

Photo: Supplied by NZDF

Air Commodore Andrew Clark said the crew of an Air Force Orion spotted the two men waving from their small aluminium boat about 9.30 last night, on the third day of their search.

He said they were safe and well.

The men left Nonouti atoll about 3am a week ago to fishing off the atoll.

Air Commodore Clark said the search of the priority areas was called off on Monday.

He said they then worked on developing a new search area by applying information gleaned during the initial search.

"We had to have a stock-take and inject some what-ifs, and talk again to crew about the kind of conditions they'd been experiencing in different parts of the wider search area. So based on that, we ran some new numbers, widened the area and started to look a bit further away."

Air Commodore Clark said the men didn't activate any locator beacon, but the small vessel's aluminium hull made it easier for radar to detect despite its size.

"We located a dinghy using the Orion's radar late last night and verified that there were two men on board using the aircraft's infrared camera," Air Commodore Clark said.

"The success of this latest search and rescue mission shows how our long-range aircraft, with their mix of sensors and skilled crew members, help the region in what are often life-threatening situations."

He said a Kiribati patrol boat was expected to reach the men today.

"The men are safe and well and their vessel is in good condition. The crew dropped them emergency supplies and a radio and were able to establish communications with them.

The Fiji Maritime Surveillance Rescue Co-ordination Centre requested NZDF support on Saturday, after an air and sea search directed by Kiribati authorities failed to find the men.