Alexandra historian Jeff Sawers, who led the project, said it was ``quite a discovery'' to find out the exact location of the grave, which was previously unknown.
Lye Bow was the best-known Chinese historical figure in the Alexandra district, Mr Sawers said.
He came to the region as a miner but later became an orchardist and market gardener.
He was one of the first Chinese to be naturalised in New Zealand and as such was then allowed to purchase property. He bought and tended land around Butchers Dam, which in modern times became known as Lye Bow Gardens.
Mr Sawers said Lye Bow was known for being ``civic minded'', selling his water right to the then Alexandra Borough Council in 1907. This became Alexandra's town water supply.
Lye Bow was the last Chinese to be buried in the Alexandra cemetery, in 1930, Mr Sawers said.
