New Zealand police have announced a "location of interest" while investigating the murder of UK backpacker Grace Millane.

A full scene examination is underway in a bush area on Scenic Dr, at Auckland's Waitakere Ranges, Detective Inspector Scott Beard said in a statement. It's expected to take all day on Sunday.

Insp Beard was unable to confirm if Ms Millane's body has been found at the site.

Ms Millane went missing just over a week ago while on holiday in New Zealand. On Saturday, police confirmed they believed she had been murdered and opened a homicide investigation.

Scenic Dr has been closed completely between the intersection of Mountain Rd/Scenic Dr and the Waitakere Reservoir carpark, and is expected to remain closed until around 7pm on Sunday.

Residents will be given access during this time.

An update is expected from police at around 4:30pm.