Their son Roderick Newall, 28, has said he alone murdered the couple. His brother Mark Newall, 27, a financier, has denied the murders.
The older brother arrived in Jersey on Saturday after being extradited from Gibraltar where he had been held since his arrest at sea off Morocco in August 1992. The younger man was extradited from France in April.
Police had been using a mechanical digger to search a field corner in Greve de Lecq, north-west Jersey, since Saturday. On Monday night Roderick Newall made a second visit to the site by helicopter. After that the police moved their search by 100 yards, then discovered what they believe to be remains beneath a sheet of black polythene, a few feet below the ground.
Barry Simpson, assistant chief officer of the Jersey police, said a full post- mortem examination would take place.
From the air blue plastic tents could be seen covering two holes in the ground. The search is expected to continue for several days, as forensic scientists meticulously examine the scene. A Home Office pathologist, Dr Gyan Fernando, has been to the site.
In court on the island yesterday, Mark Newall maintained his plea of not guilty to the murder of his parents. During a brief hearing his counsel, Advocate David Le Quesne, asked for a remand in custody of one week because of 'matters which may occur between now and then'.
On Monday, Roderick Newall, a former officer with the Royal Greenjackets, pleaded guilty to two charges of killing his parents with his brother.
After yesterday's hearing Mr Le Quesne made an unprecedented statement on behalf of Roderick Newall.
'Roderick has made a statement under caution in which he admits to alone killing his parents and in that statement it is quite clear that his brother Mark was not involved in the killings,' he said.
The missing couple, who were Scottish, were last seen in October 1987 enjoying a celebratory meal with their two sons at a restaurant near their home in Clos de l'Atlantique, St Brelade. They had moved to Jersey after Nicholas Newall, 57, retired from a successful career as a Lloyd's underwriter.
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