Lead guitarist Keith Richards, who is also known as "Keef" was infuriated that the Stones' bassist, Wood was smoking purified cocaine in a method known as freebasing.
"After a row with Keith one day, he stormed off to get his gun. I warned everyone to clear the decks'" the Daily Mail quoted Wood as saying.
The incident was disclosed in Wood's startling memoir, which revealed how Richards's fury at the cocaine habit frequently spilled into violence.
Wood has explained the whole incident very vividly in his memoir.
"Keith came back with his Derringer, pointed it at me and yelled, 'You f****** b****** Woody!'" he said.
"But I had my own gun, a .44 Magnum. I didn't have any bullets in it, but I calmly pulled it out. And that was the last time Keith pulled a gun on me... until the next time," he added.
The autobiography, called Ronnie, is the first time a member of the Rolling Stones has ever disclosed the incredible inside story of the world's most popular rock band.