NEW YORK, Feb 22: At least two people were confirmed dead and one severely injured in the Staten Island oil refinery blast on Friday morning which fuelled fears of terrorism in New Yorkers as thick smoke covered the clear blue skies over the city.

Authorities here said that they were examining whether a malfunctioning pump might have caused an explosion.

Flames continued shooting from a pier on the petroleum transfer facility on Saturday, a day after a barge exploded while unloading gasoline at the Staten Island facility.

“There is absolutely no evidence and no reason to think at this moment that this is anything other than a tragic industrial accident,” said New York City’s Mayor Michael Bloomberg.

Bloomberg said many potential hazards are associated with loading and unloading fuel — including the buildup of static electricity in pipes and other equipment, which can spark and cause a fire.

The body of one worker was pulled from the water in the early afternoon. The body of a second worker was recovered about 9 p.m., the police spokesman said.

An employee of Exxon Mobil Corp — the owner of the facility — was in critical condition with third-degree burns, officials said. The 48-year-old Middletown, New Jersey, man had burns over 15 per cent of his body.