LAGOS (Reuters) - At least two people were killed and dozens injured when explosives stored at a private residence detonated in Nigeria's Oyo state, its governor said on Wednesday.

Several houses collapsed from the impact of Tuesday's blast, witnesses said, sending panicked residents into the streets.

In a statement, the governor, Seyi Makinde, said there were two deaths while 77 people were treated for injuries, most of them being discharged.

"Preliminary investigations by the security agencies revealed that illegal miners occupying one of the houses in Bodija had stored explosive devices there which caused the blast," Makinde added.

The explosion was heard in the state's capital of Ibadan, 130 km (80 miles) from Nigeria's commercial capital of Lagos.

Makinde said search and rescue operations were underway and the state government would provide temporary accommodation for those who lost their homes.

(Reporting by Tife Owolabi and Ardo Hazzad; Writing by MacDonald Dzirutwe; Editing by Howard Goller and Clarence Fernandez)