The Counter-Terrorism Department (CTD) on Tuesday claimed to have foiled a terror bid targeting police personnel in Lahore's Saggian Bridge area hours after a blast at nearby Outfall Road wounded at least 46 people.

Four suspected Tehreek-i-Taliban Pakistan terrorists were "found dead" after a gunfight with CTD personnel, whereas three to four others fled the scene of the "encounter".

The CTD team in Sheikhupura received information from a credible source saying that six or seven TTP terrorists were coming to Lahore from Sheikhupura to "launch [an] attack on police personnel deployed on duty" around 12:30am today, read a CTD press release.

The CTD cordoned off the area near Saggian Bridge on the Sheikhupura side. "Police party saw the terrorists coming and challenged them to surrender," the CTD said. "Instead, the terrorists started firing at CTD officials who took precautions."

Four 'terrorists' were "found dead" after the ensuing gunfight, the CTD said, while "three to four fled away taking benefit of darkness."

Explosives, two Kalashnikov rifles, pistols and ammunition were recovered from the suspected terrorists, who are being identified.

An investigation has been launched for the arrests of the remaining terrorists.

The CTD also lodged an FIR at its own police station in Lahore against the perpetrators of the Outfall Road blast.

The blast occurred in a truck carrying crates of apricots, which had been parked at a parking stand on Outfall Road for the last three days. The fruit was being transported from Swat to Lahore, authorities said during an initial investigation.

Officials said a huge cache of explosives had been stored in the truck. They caused a powerful blast which damaged, partially or heavily, more than 100 vehicles, such as cars, mini-trucks and motorcycles parked at the stand, and left a 10 to 15 feet crater on the spot.