Boko Haram had taken control of the area last week but state forces have pushed them out.
What is Boko Haram?
- Founded in 2002
- Means "Western education is forbidden"
- Tried to create Islamic State in 2009
- Has killed thousands of people across Nigeria
It's the same town from where more than 200 schoolgirls were kidnapped in April.
Spokesman General Olajide Olaleye told AFP: "Mopping up ops ongoing. [The] town is now secured."
It's thought the town was re-taken in a joint operation between local vigilantes and the military.
Leading elder Pogu Bitrus told AFP army soldiers "stayed outside the town to mop up the insurgents trying to escape" as the vigilante fought inside.
Chibok was captured by Boko Haram on Thursday amid little fight back from the Nigerian military.
Eyewitnesses say soldiers didn't put up any challenge to the extremists and fled leaving the town open to capture.
The insurgent group is trying to create an Islamic state and has killed more than 10,000 people in the past five years.
Since the government announced a 'ceasefire' with Boko Haram on October 17 the militants have taken control of several towns.
Revd Canon Hassan John from the Diocese of Jos told Premier the government was 'definitely not' doing enough to protect Christians.
He said: "We keep seeing again and again that the most vulnerable areas in Nigeria are the local governments that are predominantly Christian."