Demonstrators in southern China angered by the death of two people during clashes with police said Wednesday they would protest again even after authorities agreed to suspend a power plant project.

Residents in Haimen, a town in Guangdong province, said a 15-year-old boy and a middle-aged woman died and more than 100 were injured when police fired tear gas and beat protesters on Tuesday.

AFP has not been able to confirm the deaths independently. Oriental TV, a Hong Kong-based television station, said six residents had died and nearly 200 were injured in the violent confrontation.

Demonstrators have vowed to protest again on Wednesday even after the Shantou city government, which is responsible for Haimen, issued a statement saying it would suspend the coal-fired power plant project.

"We haven't heard that the local government will suspend the project. If we hear of that we will stop the protest," a protester surnamed Zheng told AFP.

Residents are also demanding the power plant be moved, saying it is damaging their health.

State media reported last month that a 7.4-billion-yuan ($1.17-billion) expansion of the power plant had failed environmental tests and toxic metals found in local waterways "exceeded the standard level".

Three decades of rapid economic growth have left most waterways in China severely contaminated and protests over environmental pollution are increasing.

AFP calls to the Shantou government went unanswered, but an official statement Wednesday said it would suspend the project and refer the case to "supervisory authorities" to handle.

In the meantime further protests were banned, it said.

"The Shantou government requires people in Haimen to obey the law and deal with problems through legal channels," the statement said.

"People who act against the laws will be held accountable".

Haimen is only around 115 kilometres (70 miles) northeast of Wukan village, where residents have been in open revolt against the local government after what they say is years of illegal land grabs.

There is no indication that the protests are related, but they are part of an upsurge in social unrest in Guangdong, China's wealthiest province and the country's manufacturing hub.

A Haimen protester told AFP on Tuesday that 100 to 200 riot police had confronted residents and fired tear gas.