Paterson is a small township in the lower Hunter Valley of New South Wales, Australia. Located within Dungog Shire it is situated on the Paterson River and has a population of roughly 340 people. It is in the middle of what was once dairy and timber country and is now more significantly a feeder town for the nearby mining industry in the Upper Hunter and the city of Newcastle. It is approximately 15 minutes drive north along either Tocal or Paterson Roads from the nearest major township of Maitland, and has a station on the main North Coast Railway Line between Sydney and Brisbane. Adjoining areas include Duns Creek, Martins Creek and Vacy.