Two junk dealers were killed while eight sustained injuries in a blast at Luv Kush Nagar here on Monday evening, police said.
The blast took place when the junk dealers were dismantling some metal object, police said.
The deceased were identified as Rattan Lal (55) and Rajinder Singh (52), said Assistant Sub-Inspector Paramjit Singh.
The blast took place at the residence of scrap dealer Manjit Kaur, who was also injured, police said.
An ex gratia of Rs 2 lakh was announced for the family of the each deceased.
"Saddened to learn about the blast in Putlighar area of Amritsar which has left 2 dead and 5 injured. I have ordered @PunjabPoliceInd to investigate the root cause of the blast. My condolences to the family members of the deceased and prayers for the speedy recovery of the injured," Amarinder Singh tweeted.