Ten people died of smoke inhalation in an accident in a pharmaceutical company in the eastern Chinese city of Jinan, local authorities said Monday.

The accident occurred at 15:37 on Monday afternoon in the basement of Qilu Tianhe Pharmaceutical when welding sparks ignited a heat-transferring substance, generating smoke.

Eight people who were working on a pipeline renovation project suffocated to death on the spot, and two others died despite emergency medical treatment.

Twelve rescuers also sustained minor smoke inhalation injuries, which were not life-threatening.

The accident did not pose harm to the local environment, local environmental protection authorities said.

Investigation into the cause of the accident is underway.