The incident took place this noon when a group of boys were taking bath in a tank close to steel plant's bounday wall at Meramundali in Dhenkanal district.
The injured persons, hailing from Talabahala village under Banarapala block, were rushed to a private hospital where they are undergoing treatment.
Protesting against the firing and demanding compensation for the victims, residents of the village closed the main gate of the plant.
However, the reason behind the guards shooting at the locals is yet to be ascertained.
However, no officials from the Bhusan Steel was available for comment over the incident.