A huge 8.8-magnitude earthquake rocked Chile today killing at least 64 people, toppling buildings and triggering a tsunami warning around the Pacific rim of fire.

Santiago was plunged into darkness, with telephones down and power and communication systems disrupted. People in pyjamas fled onto the streets.

Buildings shook when the quake struck at 3:34am (4.34pm Malaysian time), with many still engaged in their Friday night partying in restaurants and clubs.

An AFP correspondent said buildings "shook like jelly".

The US Geological Survey estimated the first quake at magnitude 8.8 and shortly after, the area was quickly hit by 6.2 and 5.6 magnitude aftershocks.

Chile's President Michelle Bachelet warned the toll could rise.

"There were five fatalities in the area of Maule and one in the region of Araucania. But with a quake of this magnitude, we cannot rule out other casualties," Bachelet said.

But the Chilean government also urged people to remain calm and stay home.

The US Pacific Tsunami Warning Center issued a tsunami warning for Chile and Peru, and a tsunami watch for Ecuador, Colombia, Antarctica, Panama and Costa Rica.

"Sea level readings indicate a tsunami was generated. It could have been destructive along coasts near the earthquake epicenter and could also be a threat to more distant coasts," the center said.

Philippines on alert

On the other side of the Pacific, the Philippines' government warned coastal communities to prepare for possible evacuation after a powerful earthquake in Chile triggered a tsunami.

The Philippine Institute of Volcanology and Seismology said that the Chile earthquake could generate a destructive tsunami that could hit coastlines on the western Pacific.

The epicenter of the quake was just off the coast, 115km northeast of Concepcion. Santiago is 325km northeast of the epicenter.

The quake was at a depth of 35km, the USGS said in its latest bulletin.

Chile is located in an active seismic zone and has had devastating quakes in the past including the biggest tremor of the 20th century.

In May 1960, the country was ravaged what is now known as Valdivia or Great Chilean Earthquake, which was rated 9.5 on the Moment Magnitude scale.

The resulting tsunami affected southern Chile, Hawaii, Japan, the Philippines, reaching as far as eastern New Zealand and southeast Australia.

The estimated death toll from that disaster ranged from over 2,200 to 5,700.

The quake magnitude reading is based on the open-ended Moment Magnitude scale which is used by US seismologists and measures the area of the fault that ruptured and the total energy released.

- AFP