Police received a call from a concerned member of the public who had seen a man "acting suspiciously" near the Co-op store on Dunkirk Lane at around 2am today (April 28).
When officers arrived at the scene a man was spotted leaving the area on a bike.
The man was found shortly afterwards and was seen throwing away a bag which contained a large kitchen knife on further investigation, according to police.
A 33-year-old man from Chorley was subsequently arrested on suspicion of possessing a knife and is currently in custody.
A spokesperson for Lancashire Police said: "When something doesn’t look or feel right it’s usually for a reason, and so we would like to thank the person that reported the suspicious activity to us, as it resulted in us making an arrest and seizing a potentially dangerous weapon."