Three men have been charged in Derry with terrorism offences, following the discovery of a home-made rocket similar to a style used in Iraq and Afghanistan.

The three suspects are charged with possession of explosives, conspiracy to murder and having articles for use in terrorism.

The men, two aged 47 and a 40-year-old, are due to appear before the magistrates court in Derry tomorrow.

A fourth man, aged 41, has been released.

The bomb was said to be similar to those used against security forces in Iraq and Afghanistan.

It was discovered in a car in Derry on Thursday, the night before US Secretary of State Hillary Clinton arrived in Northern Ireland.

The explosively formed projectile (EFP) is also capable of penetrating armoured vehicles.

The bomb was found after police stopped a black Renault Megane car in the Westway area of the Creggan.

Security chiefs claimed dissident republicans opposed to the peace process were planning an attack in the centre of the city of Derry, next year's UK City of Culture.