Jacob Greig, 32, was formally refused bail during a brief hearing in Parramatta Bail Court on Sunday.
The teenager's body was found off Wilton Park Road at Wilton on Saturday morning, with Greig arrested and charged with murder after handing himself in at Narellan Police Station shortly after 4pm.
Police allege he stabbed the teen during a physical altercation.
Greig is next scheduled to appear in court via audio visual link on January 8.
State crime officers were called to the location to help. (Dean Lewins/AAP PHOTOS)
Police believe roughly a dozen young campers gathered on Friday evening near the area where the body was found.
Acting superintendent Tim Calman said state crime officers were called to the location to help as there were "a lot of moving parts".
Police believe the boy is from the Wilton area.
His family had been notified of his death, Supt Calman said, and were being supported by police.
"We put our thoughts out to the family," he said.Â
"They will be doing it tough this afternoon."
Police are appealing for anyone with knowledge of the incident or dashcam or mobile footage to come forward, as well as anyone who might have been in the area since 6pm on Friday.
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