A grass fire has forced people in Kronau, Sask., to evacuate the area.

It broke out Friday morning near the town, southeast of Regina.

Staff at an insurance broker in the community told CBC News they've been told to leave the community as a precaution.

Officials later told CBC that the entire village of about 260 people has been asked to leave.

The concern is that the fire is situated near the railroad tracks and it's believed there are tanker cars loaded with oil nearby.

Fire departments from surrounding communities were dispatched to assist.

By 1 p.m., the fire was mostly out and crews were taking care of hot spots.