The shallow tremor was centred about 78 kilometres west-northwest of Lata in the Solomon Islands and about 583 kilometres from the capital Honiara, it said, after revising it down from an initial estimate of 7.5.
Geoscience Australia, which estimated the quake at 7.3-magnitude, said it was possible that a local tsunami could have been generated within several hundred kilometres (miles) of the jolt.
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"Minor sea level fluctuations of up to 0.3 metres above and below the normal tide may continue over the next few hours," it added.
The Solomons are part of the Pacific "Ring of Fire", a zone of tectonic activity known for its frequent earthquakes and volcanic eruptions.
"It's large but it's not the largest," Geoscience's Eddie Leask told AFP of today's quake.
"The main risk is obviously the earthquake shaking. This is an area which regularly experiences these throughout history."
In 2013, the Solomons were hit by a tsunami after an 8.0-magnitude quake, leaving at least 10 people dead and thousands homeless after buildings were destroyed.
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