The PSNI’s Terrorism Investigation Unit made the arrest on Tuesday morning under section 41 of the Terrorism Act.
The device was discovered following a search operation in Creggan Heights area of the city in September 2019.
The woman has been taken to the Serious Crime Suite at Musgrave Police Station for questioning as part of Op Ledging, targeting the New IRA’s bomb making activities as well as the group’s storage of explosive devices and equipment.
Police are also searching a property in the area as part of this operation.
Detective Inspector Heaton from the Terrorism Investigation Unit said: “The Command Wire Initiated Improvised Explosive Device, discovered in September 2019 was made safe by Ammunition Technical Officers.
“Whilst there is no doubt the New IRA had intended to use this device to murder police officers trying to keep the community in Derry safe, it was also evident that, by bringing a bomb into a built up residential area, they had a total disregard for the lives of everyone living in Creggan.
“We are mindful of the impact that searches have on the community and we seek to ensure all of our interactions are professional, respectful and courteous.
“The search and arrest operation today is focused on keeping the community safe and protecting them from the threat posed by these violent groups.”Anyone with information or any suspicions of violent criminal activity in the community is being urged to contact police on 101 or alternatively, information can be provided to the independent charity Crimestoppers.
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