A town in Labrador has declared a state of emergency because a fire has spread to an area containing explosive material.

RCMP are warning residents of Happy Valley-Goose Bay and the city’s Canadian Forces base about an uncontrolled fire in the area.

Police say an explosion is expected.

Mayor George Andrews says the fire broke out in several buildings on the city’s north side.

The city is asking all residents in that area, known locally as the Canadian side, to evacuate immediately.

Authorities are encouraging people to stay away from the area while efforts are underway to extinguish the fire.

RCMP say five streets are directly affected: Ottawa Avenue, as well as Halifax, Toronto, Winnipeg and London streets.

The city says there is also concern for the safety of the animals because the SPCA is located there.

Newfoundland and Labrador Premier Andrew Furey says he spoke with local legislature member Perry Trimper and offered his support to the city’s mayor.