Explosive device found in plane at Sydney

9.23am

SYDNEY - An investigation is under way into what police describe as an explosive device found in the cargo bay of a jet at Sydney airport, The Daily Telegraph has reported.

The newspaper said baggage-handlers discovered the device in a knotted plastic bag, along with matches, in the cargo hold of a Virgin Blue 737-300 jet at 11.30am AEST (1.30pm NZT) on Monday.

An initial NSW Police report has concluded the substance was thermite, a chemical used in grenades, the paper said.

It was found wrapped in a cardboard toilet roll tube with a firework sparkler attached as a 30-second fuse.

The newspaper said the discovery was kept quiet while the Australian Federal Police (AFP) attempted to trace its origin.

The paper quoted a spokesman for Virgin last night as playing down the threat, declining to comment about the substance.

However, he confirmed it was an inflammable substance and Virgin was reviewing how staff inadvertently carried the package into the passenger terminal, the newspaper said.

The package was found lying loose in the baggage hold of the airliner on Monday on flight DJ-747 from Maroochydore to Sydney, according to the paper.

The Daily Telegraph said a NSW Police report has concluded it was a "non-electrical improvised explosive device" containing the compound thermite.

It said the AFP was now having the substance more thoroughly analysed by laboratory technicians.

Investigators had not ruled out the possibility it was planted by a disgruntled airport or aircraft worker, the paper said.

- AAP