Tellemicus' Note: Lightly inspired by 'Tragic Accident' by zenzeigan

The Experiment
Ray Sphere in Konoha

During a common day shortly before the Academy Exams, a vast explosion erupts inside Konoha. The explosion devastates four city blocks, centered on the Academy, and releases a highly-toxic gas into the air. Seeing the danger immediately, the Konoha ninja erect large makeshift earth walls to quarantine the gas to the area, reluctantly sacrificing those trapped inside. Despite the devastation, there were survivors scattered throughout the area, even from within the heart of the blast radius itself (Rookie 9 are the only Academy students to survive).

As they slowly recover over the next few days, each of the Rookie Survivors (as they start calling themselves) comes to realize they have strange new powers and slowly begin to learn how to master them. Naruto, Kiba, and Sasuke are the ones to realize that they can learn control fastest by getting into fights with their powers. Helping them along is the ever-pleasant Kabuto, who had 'coincidentally' gotten caught behind the wall when it was raised.

Power Ideas:
Naruto—Fire (Natsu, Will of Fire)
Sasuke—Electricity (Cole MacGrath)
Sakura—Strength, Healing
Choji—Extreme Strength (w/out size change)
Shikamaru—Shadows and Darkness
Ino—Telekinesis, minor Telepathy
Kiba/Akamaru—Canine tendencies, animal communication
Shino—Insubstantial (Shadowcat), Vapor Control (like ghosts)
Hinata—Byakugan, Invisibility (can't be seen by either Byakugan or Sharingan)

As the Survivors begin to understand themselves, Konoha tries to understand the full implications of what's happened, why, and what's to come.

The Ray Sphere (created by Orochimaru) was an experiment set up by Danzo to test its effects and Kabuto was 'trapped' within the quarantine to study the side-effects. This was a test that Danzo and Orochimaru reluctantly decided to ally together in order to explore the possibilities. The Ray Sphere was originally intended to give a ninja heightened levels of chakra stamina and psychic control over it, allowing them to perform jutsu without needing handseals. This was done by draining the life forces of nearby living beings and channeling them into people who had access to and control of their chakra. However, as the Ray Sphere blast demonstrated, only children with naturally high levels of potential and aged averagely between 9-13 years can absorb the full powers of the Ray Sphere. It's a discovery that angered Danzo immensely since he was not compatible with the Sphere.