The tourist boat, names Hurricane had 15 tourists and 12 crew members on board. Three UK visitors are missing.
The yacht caught fire while cruising the beautiful Egyptian Red Sea coast.
Most likely, a short circuit in the boat’s engine room made the ship go into flames off the southern Red Sea resort town of Marsa Alam.
“An electrical short circuit in the boat’s engine room sparked the blaze.”
Marsa Alam is a town in south-eastern Egypt, located on the western shore of the Red Sea.
The town is seen as an emerging tourist destination and has shown significant developments following the opening of Marsa Alam International Airport in 2003
A search was launched to find the remaining three British tourists, whose identities were not revealed.
The boat was on a six-day cruise and due back on Sunday when the fire broke out approximately 25km (16 miles) north of Marsa Alam.
Images posted on social media showed a white motor yacht with the same name on fire at sea, with thick smoke billowing into the sky.
Ahmed Maher was watching the disaster unfold from the shore. He told Al Jazeera News the boat was about 9km from the beach.
On Thursday, a Russian tourist was eaten by a shark in the waters of the Egyptian Red Sea city of Hurghada.