In a statement, Prime Minister Ismail's office said a Russian civilian plane has crashed in the central Sinai.
Security forces surrounded the area of the crash and ambulances rushed to the place of the incident.
The Egyptian air traffic control had lost contact with the Airbus shortly after it took off from the Red Sea resort of Sharm El-Sheikh to St. Petersburg, sources said.
Prime Minister Ismail formed a cabinet level crisis committee and called for an urgent meeting to deal with the incident.
The aircraft belonged to Kogalymavia airline, a small airline based in Western Siberia, Russian media reported.
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