Japan's Meteorological Agency urged nearby residents to stay away from Mt. Kusatsu Shirane after it detected what it said was "slight volcanic activity".
According to the Japanese government's top spokesman, Yoshihide Suga, four people in a ropeway gondola at a ski resort in Gunma, northwest of Tokyo, were injured by shattered glass.
Local fire department official Yuji Shinohara also told AFP there were four injured, adding: "We are still trying to help them."
"The avalanche was apparently caused by a volcano explosion," said Shinohara, with another local official confirming that authorities were also hunting for one person still missing.
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