Army technical Officers have confirmed that a viable explosive device has been uncovered during the security alert in Strathfoyle.
The security alert in Westlake, in Derry was coming to an end at around 11.40am on Tuesday.
The explosive device was discovered at around 7am on the ground behind the rear wheel of a parked car.
It was examined by ATO and a controlled explosion was carried out.
The device, which is described as ‘viable’, was rendered safe and removed for examination.
A PSNI spokesman said: “Detectives say they are keeping an open mind as to the motivation behind this morning’s alert and they are appealing for witnesses or for anyone with information that could assist the investigation to get in touch with them.
“Officers can be reached at Strand Road CID on 101. If someone would prefer to provide information without giving their name, they can contact the Crimestoppers charity anonymously on 0800 555 111.”
A number of homes had to be evacuated in the Westlake area.
Earlier on Tuesday, Sinn Fein councillor for the local area, Paul Fleming, condemned those responsible.
“This has caused nothing but disruption for people living in the community.
“Several families have had to be evacuated from their homes early in the morning as a result of this security alert.
“Whoever is behind this has caused distress and disruption to residents in the area who do not want to see this kind of thing happening.”
One local resident, Stephen Latimer, and his young family, were one of those families forced to leave their homes by police.
Mr. Latimer posted a picture of the incident on Facebook.
“Awoken to a suspicious device next door. Brilliant,” he said.