A fire caused by an explosion at a chemical and fuel storage facility in the Chinese city of Jingjiang may affect thousands of nearby residents as well as key environmental resources, activists said Saturday.

The initial blast Friday morning recalled huge explosions caused by improper storage of chemicals in the northern city of Tianjin last August, which killed at least 165 and raised fears of toxic contamination.

The blaze, which took place in the eastern province of Jiangsu, raged for 16 hours before it was extinguished early Saturday morning, the official Xinhua news agency said.

Though no casualties have yet been reported, about 15,000 people live within five kilometres (three miles) of the blast site, which is also close to two drinking water and three ecological protection areas, Greenpeace said in a statement.

Located next to the Yangtze River, the facility stored up to 56 chemicals categorised as "hazardous" by the government, it added, calling the incident "yet another example of the worrying lack of oversight and management of China's chemical industry."

The findings from a government inquiry into the Tianjin accident released in February recommended 123 people be punished.