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The explosion took place inside the school in Narbal village of Kakapora area in the south Kashmir district this afternoon, a police official said.
He said at least 12 students of class 10 were injured in the blast that rocked the school when they were taking winter tuition.
The injured students have been rushed to a hospital for treatment and there condition is stated to be stable, the official said.
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A case has been registered and investigation taken up.