The Police National Dive Squad has recovered a body near the wreckage of fishing vessel Wendy J on the West Coast.
The body was found on Tuesday afternoon and has yet to formally identified, say police, although the man is believed to be one of two who went missing last week.
"A search of other areas of interest around the bay has failed to locate the second missing man," Sergeant Mathew Tailby said in a statement.
"Further searching of the shoreline and tracks by volunteers on the ground has revealed no further sign either."
The Greymouth-based fishing vessel got into trouble near Smoothwater Bay, near Jackson Bay, on Thursday night and wreckage of the vessel was first spotted on Saturday morning by a light aircraft flying in the area.
"Sadly, police have reached the point where the search has exhausted these areas without any sign of the missing man," Sergeant Mathew Tailby added.
The Police Dive Squad will attempt to complete their search on Wednesday.