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The quake struck at a depth of 10km (six miles), GFZ said. The geophysics agencies of the Philippines, Japan and Indonesia issued tsunami warnings.
There were no immediate reports of major damage.
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GFZ had earlier pegged the earthquake at 8.2. The US Tsunami Warning System issued a tsunami threat to the earthquake.
Phivolcs, the Philippine agency, said the quake was magnitude 7.0 and warned of damage and tsunami waves above one metre (three feet), which could continue for several hours.
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The epicentre was 24.7km west-southwest of Burias, the US Geological Survey said. It struck at 7.37am.
The Philippines Seismology Agency has advised people in coastal areas in some southern provinces to evacuate to higher ground or move further inland.
