At least three policemen were wounded in an explosion inside the armoury of a local police station in Srinagar on Wednesday afternoon.

"The police station building caught fire after an accidental explosion inside the armoury, where weapons and explosives seized from the militants were stored," a senior police officer said.

Panic gripped the entire area, as flames engulfed the Nowgam police station, in uptown Srinagar, following series of explosions inside.

The police guards responded with firing, apprehending a militant strike at the police station building.

Senior police and security force officers rushed to the spot as fire tenders were trying to control the blaze.

Policemen retrieved their service weapons from inside the police station as raging flames destroyed the major portions of the building.

Seized weapons and explosives are stored in the various armouries across the state, most of which are located inside the various police stations.

"We heard a loud explosion followed by heavy firing and then suddenly flames rose from the police station building," a resident said.