The Swift  discovered GRB 080319B was by far the most distant source ever observed at naked eye brightness , reaching a peak apparent magnitude of 5.3 at a redshift of z = 0.937 . We present our late-time optical ( HST , Gemini & VLT ) and X-ray ( Chandra ) observations , which confirm that an achromatic break occurred in the power-law afterglow light curve at \sim 11 days post-burst . This most likely indicates that the gamma-ray burst ( GRB ) outflow was collimated , which for a uniform jet would imply a total energy in the jet E _ { jet } \mathrel { \hbox to 0.0 pt { \lower 4.0 pt \hbox { $ \sim$ } } \raise 1.0 pt \hbox% { $ > $ } } 10 ^ { 52 } erg . Our observations also show a late-time excess of red light , which is well explained if the GRB was accompanied by a supernova ( SN ) , similar to those seen in some other long-duration GRBs . The latest observations are dominated by light from the host and show that the GRB took place in a faint dwarf galaxy ( r ( { AB } ) \approx 27.0 , rest-frame M _ { B } \approx - 17.2 ) . This galaxy is small even by the standards of other GRB hosts , which is suggestive of a low metallicity environment . Intriguingly , the properties of this extreme event – a small host and bright supernova – are entirely typical of the very low-luminosity bursts such as GRB 980425 and GRB 060218 .