Manila - Three people were killed when a grenade exploded during an argument between drinking companions in the southern Philippines, police said Monday.

The incident occurred late Sunday in Parang town in Maguindanao province, 930 kilometres south of Manila, said Superintendent Danilo Bacas, a regional police spokesman.

Bacas said the fatalities were a Marine sergeant, his 7-year-old daughter and a 50-year-old female neighbour.

He said the soldier threatened his drinking buddies with a hand grenade during an argument, but was pacified by his wife.

The soldier was about to put the grenade back into his pocket when it exploded, killing him, his daughter and a female neighbour. The sergeant's wife was also injured.

Bacas said the grenade's safety pin was apparently removed during the argument, but the soldier might have failed to notice it because he was already drunk. (dpa)