On Tuesday police launched a search of the riverbank at Butlers Falls, south of Dubbo, after a bone discovered by a member of the public late last month was found to belong to Ms Nolan.

The femur was discovered less than two metres from a site pointed out by convicted murderer Malcolm Naden in 2012, Homicide Squad Commander Detective Superintendent Mick Willing has revealed.

He said the news that partial remains had been discovered came “ as a shock”, and said police were determined to return Ms Nolan’s remains to her family.

“We have never given up on finding Lateesha’s remains,” Superintendent Willing said.

“It is very personal to a lot of people who have been involved in this case over many, many years.

“To find Lateesha is a great result at this point but again there’s more work to be done and hopefully we can provide further answers to her family.”

Ms Nolan disappeared from her Dubbo home in January 2005.

Her cousin Naden became a prime suspect in her case after Kristy Scholes was found murdered in his bedroom at his grandparent's house later that year.

In 2012 Naden was arrested and convicted of both murders, following one of the biggest manhunts in NSW history. 

While Naden gave police information on the whereabouts of his cousin's body, her remains had never been found.

The search is expected to take a number of days, and involved police from the Orana Local Area Command (LAC), Western Region Operations Support Group and the Volunteer Rescue Association (VRA) in addition to the Homicide Squad’s Strike Force Durkin.