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Oil leaked from one of China’s state-owned oil company Sinopec’s pipeline, flowed into the municipal pipe network, and caused an explosion on Friday morning.
The explosion caused a blaze that took several hours to bring under control, halting operations at a major oil port.
Water, gas and electricity were cut off in parts of the district after Friday’s blast.
“China will mobilize the best doctors and medical resources to treat the injured and reduce disability and death,” said Chinese State Councilor Wang Yong, who is directing rescue work.
The local government is distributing food and water for residents since Friday night.
The State Council has decided to establish an investigation team to find the cause of the accident and hold relevant parties accountable, according to Wang.
So far, electricity has been restored in all but two communities in the district, the local government said.
President Xi Jinping on Friday called on local authorities to “spare no effort to rescue the injured and strengthen safety to eradicate such incidents”.