Both Gardai and ambulance crews are at the scene from just after 4.30am today.
Gardai confirmed a Moville man who was 25-years-old has died in the incident.
It is understood the man’s car left the road at Carnagarve and struck a telegraph pole. He died at the scene.
A series of road diversions are in place while accident investigators begin their work.
Superintendent Kevin English said: “Gardai in Buncrana are investigating a single vehicle fatal road traffic collision that occurred at Greencastle Road, Moville at approximately 4.25a.m. this morning 19th July, 2012.
“A man in his mid 20’s was fatally injured when his car left the road and collided with a telegraph pole. He has been removed to Letterkenny General Hospital.
“The road has been closed pending completion of an examination by Garda Forensic Collision Investigators. Local diversions are in place but please note that no articulated lorries or heavy good vehicles will have access between Moville & Greencastle in both directions untill the road re-opens.”
Gardaí are appealing for witnesses to contact Buncrana Garda Station on 074 – 9320540, The Garda Confidential Telephone Line 1800 666 111 or any Garda Station. Forensic officers are at the scene which has been cordoned off.
Local people have expressed shock at the incident.
“It is just dreadful that someone else has lost their life on our roads,” said one local man this morning.
“The road is closed off and Gardai are re-directing traffic.
“There is just utter shock that this has happened here so close to us.”