UPDATE, 1:45pm: Senior sergeant Ian Brooks said the sole occupant of the vehicle, a 79-year-old woman from a small town north of Bendigo, died on impact.
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"It appears the driver's lost control and diverged off the left hand side of the road before striking a tree and a tree stump," he said.
Senior Sergeant Brooks said investigations into the crash were ongoing but it did not appear speed was a factor.
EARLIER: A woman has died following a car crash in Marong this afternoon.
It is believed the woman was travelling west on Allies Road shortly after midday when her car hit a tree.
Paramedics were called but have since left the scene.
Police and firefighters are still in attendance.