A 7.9 magnitude earthquake caused large-scale casualties in Nepal on Saturday, with possibly hundreds of people killed, one of the Himalayan nation's diplomats said.

"We have received reports that there is a big loss of property and life in Nepal," Krishna Prasad Dhakal, the deputy chief of mission at Nepal's Embassy in New Delhi, told AFP.

"Possibly hundreds of people have died in various parts of the country, particularly in Kathmandu and Pokhara."