Company to stop leave in NSW town (7)

I believe the answer is:

cobargo

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'nsw town' is the definition.
I don't know anything about this answer so I cannot judge whether this works.

'company to stop leave' is the wordplay.
'company' becomes 'co' (abbreviation).
'to stop' becomes 'bar' (bar can mean to stop or prevent).
'leave' becomes 'go' (to go is to depart or leave).
'co'+'bar'+'go'='COBARGO'

'in' is the link.

Can you help me to learn more?

I've seen this clue in the Sydney Morning Herald.

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