The Otago Rural Fire Authority says the fire at Ardgour Station in Tarras, Central Otago, is now contained.
The authority said the fire has been estimated to be burning through approximately 80 hectares of grassland and scrub.
Principal rural fire officer Stephanie Rotarangi said crews would work through the night to put the fire out.
"Firefighting at night is difficult - however now the fire has been contained, I'd expect the crews and the helicopters will make good progress before nightfall. During the night, the crews will just maintain the borders and make sure the fire's not going to spread."
About 50 firefighters have been fighting the fire, which the fire authority said has been moving on two fronts about half a kilometre long.
Firefighters from Otago Rural Fire, the Fire Service and the Department of Conservation has been on site, with nine appliances, two tankers and three helicopters.