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The incident occurred around noon on Sunday in an area controlled by the Taung National Liberation Army, or TNLA, about two miles south of the border with China.
The TNLA is one of the ethnic armed organizations opposed to central rule and signed its latest ceasefire with Myanmar's military in October under pressure from China.
In a statement, the group said the area where the explosion took place was used to store explosives for mining and that an investigation is underway.
Independent and social media reports showed smoke from the explosion and damaged buildings.
Rescue workers took dozens of the injured to a nearby hospital.
For NPR News, I'm Michael Sullivan in Chiang Rai, Thailand.
With the economy struggling the way it is, inflation rising,
and consumer sentiment at an all-time low, this money that's coming back into the economy will be a huge boost.
The men were among a group of seven who entered the twisting narrow cave system in remote Saisambun Province on May 20, searching for gold.
They'd been stuck there since after flash flooding and a landslide cut off their way out.
But a post on the Thailand Rescue Diver Facebook page says four made their way out Saturday afternoon local time.
Another man was rescued on Friday.
In a video posted on one of the rescue workers' social media accounts, people cheered as the men emerged and were then covered by foil blankets as they received medical attention.
For NPR News, I'm Michael Sullivan in Chiang Rai.
Senior General-turned-President Min Aung Hlaing led the coup that ousted the elected government of Aung San Suu Kyi in 2021.
He became president after the recent general election won widely dismissed by Western governments and human rights groups as a sham, with the war denying millions the chance to vote.
Suu Kyi's National League for Democracy was also barred from contesting.
Neighboring India was one of the few countries to recognize the election and says the visit is expected to, quote, further strengthen relations between the two countries.
Likely topics include shared security concerns along their porous shared border and Myanmar's supply of rare earths New Delhi is keen to acquire.
For NPR News, I'm Michael Sullivan in Chiang Rai.