RFS Brigades from Molong, Cheeseman's Creek, Borenore, Towac, Cumnock and North West Orange, joined the local unit of Gamboola and Molong Fire and Rescue at the site, about 6km east of Molong on Amaroo Road.

Acting manager RFS Canobolas Brett Bowden said the building was engulfed by fire when crews arrived.

"The original timber building was almost at the ground when the first truck arrived, there was no chance what so ever to save anything," Mr Bowden said.

"The fire had been going for sometime before the alarm was raised."

Fire crews set about containing the fire and protecting nearby buildings with some concern waist-high grass could enable the fire to spread. The scene was secured in about three hours.

Mr Bowden said the alarm was raised by a Molong shop owner travelling into Orange to collect bread. He dialled 000.

"He knew exactly what it was, he said don't just send one truck out, send a few," Mr Bowden said.

Mr Bowden said the cause of the fire will be investigated, with police on scene later on Saturday.

"But we can eliminate lighting and there's no electricity connected," he said.

This is the second fire at Fairbridge Farm with the principal's cottage destroyed in July, 2018.

The property has had a chequered past, starting as Britain's child migration scheme that saw almost 1000 children travel from the UK to Australia to attend Fairbridge Farm residential school between 1938 and 1973.

Former child resident David Hill lifted the lid on conditions at Fairbridge, including physical, sexual and emotional abuse, in his 2007 book The Forgotten Children.

Subsequently victims of abuse at Fairbridge Farm were awarded a $24 million compensation payout.

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