An “Interference Canceller” provides a computationally efficient real-time technique for removing stationary-tone interference from signals. Typical sources of stationary tone contamination of signals include noise from power wiring (i.e., 50/60 Hz or 400 Hz and their harmonics), frame or line frequencies from electronic devices, and noise from computer fans, hard disk drives, etc. In general, the Interference Canceller adaptively builds and updates a model of stationary tone interference in consecutive frames of an input signal. This adaptively updated model is then used to extrapolate and subtract noise from subsequent frames of the input signal to generate a “clean” output signal. This output signal exhibits significant attenuation of stationary tone interference without eliminating important portions of the underlying signal or distorting the underlying signal with artifacts such as musical noise or nonlinear distortions. The Interference Canceller is applicable for use either alone, or as pre-processor to conventional noise suppression.