This article describes progress on a new technique to detect pipeline features and leaks using signal processing of a pressure wave measurement. Previous work (by the present authors) has shown that the analysis of pressure wave reflections in fluid pipe networks can be used to identify specific pipeline features such as open ends, closed ends, valves, junctions and certain types of bends. It was demonstrated that by using an extension of cross-correlation analysis, the identification of features can be achieved using fewer sensors than are traditionally employed. The key to the effectiveness of the technique lies in the artificial generation of pressure waves using a solenoid valve, rather than relying upon natural sources of fluid excitation. This paper, uses an enhanced signal processing technique to improve the detection of leaks. It is shown experimentally that features and leaks can be detected around a sharp bend and up to seven reflections from features/leaks can be detected, by which time the wave has traveled over 95 meters. The testing determined the position of a leak to within an accuracy of 5%, even when the location of the reflection from a leak is itself dispersed over a certain distance and, therefore, does not cause an exact reflection of the wave.