The Pencil Nebula (NGC 2736) is part of the Vela supernova remnant. It is located near Pulsar Vela in the constellation of Veils. The Vela pulsar or Pulsar of the Veils (PSR B0833-45) is a young pulsar located 959 light years from Earth. The pencil-like linear appearance of this nebula gave it its popular name. This nebula was formed from part of the shock wave from the explosion of the supernova Vela.
On March 1, 1835, John Herschel discovered this object at the Cape of Good Hope and described it as an extraordinary, long, narrow streak of very low luminosity. The study of the radiation of this region (1958) identified three radio sources: Vela-X, Vela-Y, and Vela-Z.
Supernova Vela is surrounded by clouds of gas that were ejected from the dying star about 11,000 years ago.
nota: For more than thirty years, the Vela pulsar was the most highly compressed pulsar. Since about twenty other younger pulsars have been discovered, all are in the southern sky.