Several buildings were also reportedly destroyed following the blast and set some other buildings on fire.
The explosion took place in mainly Shia Muslim area of Abbas town on Sunday evening and reports suggest that the blast was following by a second explosion.
Several people have also been trapped under the rubble and there are fears of increase in casualties.
This comes as a deadly blast killed at least 90 people in Shia area at the southern city of Quetta, the provincial capital of Baluchistan last month.
No group has so far claimed responsibility behind today’s incident.