Mick Miners, a New South Wales farmer thought the shrapnel was a dead tree but on closer inspection and after involvement from the Australian Space Agency, it was confirmed to have come from a SpaceX capsule.
The discovery - which was dubbed “rare” and “exciting” but likely to become more likely - is believed to have landed on July 9 but was not discovered until recently, along with a two other parts.
The ASA have asked people who uncover more to contact a debris hotline run and managed by SpaceX, which is founded by tech billionaire, Elon Musk.
Dr Brad Tucker, an astrophysicist at the Australian National University was tasked with inspecting the site, was shocked by what he found as he is often called to sites with objects that turned out not be from outer space.
In a video online, he said: “This has been super exciting to see this all up close, I've never seen a piece of space junk fall like this.”
According to Dr Tucker, most items that tumble to Earth from space mainly land in the sea.
The only person to have been recorded to being hit by an falling space debris is Lottie Williams, who was unscathed after a piece landed on her shoulder in Oklahoma in 1997.
Professor Dan Pollacco, a professor of astrophysics at Warwick University explained to the BBC it was unlikely for people to be victims of falling items but detailed the likelihood of being killed was increasing, agreeing with a report from the the University of British Columbia that found their were currently a 10 per cent chance of someone dying after being hit by a piece of debris in the next 10 years.
Professor Pollacco said: "I don't think people need to be frightened, the likelihood of them getting hit is unbelievably small."
SpaceX did not respond to requests for comment.