HMAS Katoomba was involved in a collision with the US tanker Pecos just outside Darwin Harbour. Holed on the port side and taking water, she was in danger of sinking. She was subsequently secured alongside her sister ship HMAS Lithgow and towed into Darwin Harbour where she was immediately taken into the floating dry dock (AD1001) during the afternoon of 23 January. She was still in teh floating dock being repaired during the japanese raid on Darwin on 19 Feb 1942.