The accident occurred at around 9 PM yesterday in Yangpu district.
The walls of the second and third floors of the four-storey building collapsed following the explosion, they said.
One resident, with minor injuries, was taken to a local hospital, they said.
The residents of the building said they heard a loud noise when the incident occurred.
A preliminary investigation indicated a natural gas leak as the suspected cause of the accident.
Residents of the building have been relocated, state run Xinhua news agency reported.
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