The military ammunition dump at Salawa area in Avissawella, 30 kms east of Colombo, caught fire at around 5 PM (local time) yesterday, setting off huge explosions that went on through the night.
Rocket-propelled grenade shells and shrapnel triggered by the explosions destroyed a hospital and hundreds of nearby homes, creating panic among thousands of people who rushed for cover, officials said.
He said the army will appoint a court of inquiry to probe the incident in which more than 40 people were also injured.
Firefighters had to struggle for more than 12 hours to douse the blaze at the Salawa military complex.
Thousands of people living close to the site were asked to vacate their homes and move to schools, temples and other places for cover as intermittent blasts were still erupting.
Disaster officials said over 25,000 people were affected by the explosions.
An aerial shot of the army complex from a nearby hilltop showed only a water tower remained relatively intact. All the buildings were either fully destroyed or had their roofs blown out in the explosion.
The incident is termed as the worst ammunition depot fire in Sri Lanka's history. The armoury is one of the largest ammunition storage of the Sri Lankan Army.
The cause behind the incident was not immediately known.
Residents said loud explosions were heard with raging fire within the complex which houses weapons ranging from T56 rifles to mortar bombs.
Residents said the fire could be seen even this morning, more than 12 hours after the first explosions were heard.
President Maithripala Sirisena has ordered police's Crime Investigation Department to probe the incident.
Prime Minister Ranil Wickremesinghe visited the area and pledged compensation for damages suffered to property.
"We will rebuild houses partially and fully damaged (by the explosions)," Wickremesinghe said.
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