The suspected remains of the 14-year-old girl, who has been missing since April 30, were found on a bush track near Nabowla, north-east of Launceston late yesterday.
Detectives arrested the Scottsdale man a short time ago in Launceston.
“The man remains in custody and investigations are continuing,” Tasmania Police said in a statement this afternoon.
“No charges have been laid at this stage.”
While forensic examinations are ongoing to identify the remains, police believe it is the missing teen.
Police expect forensic testing could take about a week to be completed.
The bushland search near Nabowla covered more than 50 square kilometres and involved helicopters, motorbikes, ATVs, drones, and horse riders.
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It was the largest search operation ever seen in northern Tasmania and the Australian Federal Police has also provided ground-penetrating radar resources.
“As I have said previously, we will not rest until we have answers,” Northern District Commander Kate Chambers said.
“This latest development is hopefully another step toward having those answers.
“Our investigators, and all those involved in this process so far, have worked tirelessly to try and find closure for Shyanne-Lee’s family and her loved ones, and we will continue those efforts until we are satisfied we have provided that closure.
“Once again I’d like to thank everyone that has been involved in this long and complex inquiry, as well as the Tasmanian community for its understanding and support throughout this major investigation.”
Shyanne-Lee was last seen near Henry Street, in Launceston, near the North Esk River, at about 8.30pm on Sunday, April 30.