Hundreds of people have been seriously injured and one person has died after an explosion on a music stage at a waterpark in Taiwan caught a crowd of spectators up in a freak inferno, when a coloured theatrical powder ignited, creating a firestorm.

516 people were injured, 200 seriously, at the Formosa water park in New Taipei City after the starch-based powder ignited on-stage and sprayed onto the crowd of around 1000, engulfing a large portion of the dance area in flames almost instantaneously.

The powder, intended for festive lighting at the Color Play Asia event, resulted in many of those injured suffering burns to their lower bodies. According to local media, seven people have life-threatening injuries, while 184 are still in intensive care. 20-year-old Lee Pei-yun died on Monday (29 June) after suffering 90 per cent burns to her body.

Since the incident, the waterpark has been closed and the park and its organisers have had their assets seized. Charges of neglect or public endangerment could be brought against four people including the organiser, according to reports. A ban in Taiwan has also been placed by the country’s government on the use of coloured theatrical powder at private events.

Fire officials are still investigating the cause of the explosion, which is suspected to have been caused by a mixture of air and concentrated combustible particles.

“Our initial understanding is this explosion and fire was caused by the powder spray,” said a spokesperson for the New Taipei City fire department. “It could have been due to the heat of the lights on the stage.”