An explosion occurred in a factory in China's east Shandong Province on Monday morning, Xinhua reported.
The blast happened at around 1:00 a.m. on Monday in the loading area of a petrochemical factory in Tuanlin town of Linyi City.
Fires were spotted at the scene and casualties are feared as rescue operations are underway.
The factory, operated by Jinyu Petrochemical, was established in 2010, and mainly produces liquefied petroleum gas.
Back in August last year, the company was warned of inadequate safety standards by provincial authorities.