The Bombers announced the decision on Thursday, like many clubs have done this week, after the completion of Trade Week, as well as some clarity from the AFL on list sizes going forward.

Townsend leaves Essendon after one season, where he played in 12 of the Bombers' 17 games for the year.

The 27-year-old has now played 60 AFL games after previous stints with Richmond and Greater Western Sydney (GWS).

Essendon general manager of list and recruiting, Adrian Dodoro, thanked Townsend and Henry Crauford for their contributions to the Bombers after both were delisted this week.

"On behalf of everyone at Essendon, I'd like to thank both Jacob and Henry for their services during their 12 months at the club," Dodoro told the club's website.

"They are both terrific young men and it's always a difficult part of the year having to say goodbye so we wish them all the very best for their futures."

Townsend won a premiership with Richmond in 2017 during his four seasons at the Tigers. He previously was part of the inaugural GWS squad and played 28 AFL games across four seasons.

The decision to delist Townsend comes after a busy off-season for the Bombers, where they have bid farewell to Joe Daniher, Adam Saad, Orazio Fantasia, Tom Bellchambers, Conor McKenna, Shaun McKernan, Mitch Hibberd, Kobe Mutch, Josh Begley and Noah Gown.

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