Published Monday, 16 August 2010
Two 12-year-old girls and a two-year-old toddler were slightly injured when the bomb went off in a wheelie-bin on Saturday afternoon.
Police were searching for a device near a school when the bomb exploded in another part of the town.
Chief Inspector Sam Cordner said it was a "miracle" they were not seriously hurt in what he described as a "sickening attack".
He said the vague nature of the warning police were given of the device had echoes of the Omagh bombing, which led to 29 deaths.
"There are stark similarities here with the Omagh bomb, with police being told there is a device in one location while terrorists detonate a device in another location," he said.
"The only saving grace was that there weren't more people in the vicinity where the device exploded, or we could be dealing with another Omagh bomb."
Dissident republicans are being blamed for the attack which happened on the eve of the twelfth anniversary of the 1998 atrocity.
The Chief Inspector said a full investigation was underway into the bomb and overnight violence in Lurgan, in which police came under fire from petrol bombs and gun shots.
First Minister Peter Robinson and deputy First Minister Martin McGuinness condemned those responsible for the attack and overnight disturbances.
Mr Robinson said: "There can be no doubt as to just how depraved and evil these criminals are. Attacking young innocent children is callous and shows a complete disregard for the people of Northern Ireland."
Mr McGuinness said: "There is no justification whatsoever for yesterday's attack. No cause or belief will be served by attacks on our children. These attacks must stop and stop now, this is not the way forward for any section of our society."
Last week, PSNI Chief Constable Matt Baggott warned that dissident republicans were in danger of causing another Omagh bomb-style massacre.
"Dissidents are becoming more and more reckless", he said.
"These are the same people or the same mindset that ultimately led to the Omagh tragedy all those years ago."
"Their recklessness can be associated with the same recklessness that ended in Omagh".
His warning came amid an escalation in dissident attacks across Northern Ireland in recent weeks.