Wanaka Police and 15 volunteers from LandSAR Wanaka spent three hours during the night searching from a helicopter, using night vision equipment which can pick up even faint light sources from more than a kilometre away.
Fresh teams were called in at dawn yesterday.
Mr Nicholson said the search for Mr Laing was helped by perfect conditions in the area, but unfortunately the 23-year-old was found dead.
"We are very fortunate to have a team as expert and dedicated as LandSAR Wanaka," he said.
"On behalf of everyone involved in the search, our deepest sympathy goes out to Mr Laing's family," Nicholson said.
The death has now been referred to the Coroner.
Mr Laing is the second person to die after falling in the Mt Aspiring National Park. Wellington man Michael Gillard Taylor, 60, died while climbing Mt Twilight on New Year's Eve.
The accident also followed the tragic death of Palmerston 15-year-old Dion Latta, who died after getting trapped upside-down in a waterfall in the Motatapu Gorge near Wanaka.