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The incident occurred around 2.45 pm when the workers were working on the roller coating unit. A big chimney, fixed to the unit, exploded injuring workers near the chimney.
Initial reports indicated most of the victims were members of the security forces, but ministry spokesman Najib Danish said civilians, including several women, had borne the brunt of the carnage.
An investigation into the cause of the accident was underway, state-run Xinhua news agency reported.
The victims were identified as Gyanaranjan Mishra and his wife Jhunamani Mishra.
The explosion took place in Rajwar area when the grenade went off when the officer was giving a demonstration to the soldiers in the forest area.
Locals said the underground cable was laid a few weeks ago and it exploded, injuring the kids.
A jawan of Central Reserve Police Force (CRPF) hailing from Gokak of Belagavi was killed on the spot in a grenade explosion in Imphal on Saturday evening.
The incident took place at the HPCL's CNG station near Milap Cinema on the busy S.V. Road, around 8 a.m.
They triggered a blast on Pulwama-Lassipora road in the south Kashmir district, a police official said.
According to the complaint filed by the couple, who are running a catering business, they suspect a man from Kerala, whom they had sheltered, behind the blast.
The blast happened when workers were sealing off the mouth of the pit.
All the injured were working as daily wage labourers at the iron plant in Simara Sub-Metropolitan City-2 of Jitpur, Bara, according to reports.
A day after 12 employees of the Bhilai steel plant died in an explosion, the Union government removed the state-owned steel unit's CEO, M Ravi, and suspended two senior officers.
However, the cause of the explosion is yet to be ascertained, he added.
The authorities said that an issue with gas service may have prompted several explosions in Lawrence, Andover and North Andover