The forces of the blasts have shattered the windows of surrounding buildings, reports said.
There are reports that 12 terrorists are inside the military base and at least one airplane – a P-3C Orion recently given to Pakistan by the US – has been destroyed.
A large fire and a thick cloud of smoke has also been reported. Security forces have sealed the area.
Four security personnel have been reportedly killed in the attack. Two injured have been moved to a hospital.
Navy commandos have sent to battle the attackers, who responded with gunfire and grenades, said a senior security official, speaking on condition of anonymity because of the sensitivity of the issue.
Pakistan Interior Minister Rehman Malik also confirmed that it is a terror attack and that navy ship PNS Mehran has also been attacked by terrorists.
Pakistani Prime Minister Yousuf Raza Gilani condemned the attack, saying such a “cowardly act of terror could not deter the commitment of the government and people of Pakistan to fight terrorism.”