Two people have been arrested over the "gruesome" murder of Danielle Easey, whose plastic-wrapped body was found dumped in a creek near Newcastle in August.
A man, 33, was arrested in Cardiff, Lake Macquarie, on Thursday and taken to Belmont Police Station.
A woman, 32, was arrested at a home in the Newcastle suburb of Holmesville an hour later.
The body of the 29-year-old mother-of-two was found floating in Cockle Creek at Killingworth on August 31.
NSW Police Detective Chief Inspector Grant Taylor said Ms Easey had suffered "significant injuries" when she was murdered and "died a gruesome death".
A post-mortem revealed she had been seriously assaulted and stabbed. Police believe she may have been killed weeks before she was found.
Strike Force Furzer searched the two properties near where the arrests were made, as well as a home in the Central Coast suburb of Narara. A Mitsubishi Delica was also seized.
Ms Easey, who was known to police, lived in Booragul in Lake Macquarie but more recently was couch surfing at multiple homes around the area.
Police said she had recently become involved in the drug scene and her family last had contact with her several weeks before the discovery of her body.
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