[1] Parramatta was assigned to the Red Sea Force in July 1940, and arrived in Aden at the month's end.

While operating off Tobruk on 24 June 1941, Parramatta, the British sloop HMS Auckland, and the petrol carrier Pass of Balmaha were attacked by over 70 dive bombers.

[3] The Australian warship shot down three aircraft during the engagement without receiving major damage, but Auckland was sunk.

[3] Early in the morning of 27 November 1941, Parramatta was escorting transports resupplying the Allied garrison at Tobruk, when she was hit by a single torpedo from U-559 under the command of Hans Heidtmann.

[1][4] The damage was so significant that the sloop's captain only had time to order 'abandon ship' before Parramatta rolled to starboard and sank at 32°20′N 24°35′E / 32.333°N 24.583°E / 32.333; 24.583.