At least 27 people died after a ferry sank off the coast of Guyana, while 83 others remain missing, according to Prime Minister Mark Phillips on Monday, as search and rescue operations continued.

Phillips said 69 people were rescued from the ferry, which was carrying about 180 people, according to the German news agency dpa.

Family members of victims of the MV Barima ferry disaster (Reuters)

The aging MV Barima ferry sank in the Atlantic Ocean on Saturday evening while sailing from the capital Georgetown to the remote port of Kaituma in Guyana's oil-rich Essequibo region, near the border with Venezuela.

The cause of the sinking was not immediately known. Authorities said the captain, who survived the incident, tested positive for cannabis use.

In a televised address, President Irfaan Ali said: 'I assure the people that a full, thorough, and independent investigation will be conducted into this tragedy.'

Rescue efforts continue after the sinking of the MV Barima ferry, which was carrying passengers off the coast of Guyana in South America (Reuters)

Local media reported that the ferry issued a distress call about eight hours into its journey, which was expected to last 24 hours. One survivor told News Source that he heard a loud noise before seeing water rush into the ferry, which then began to list and sink.

The MV Barima ferry, which was traveling from the capital Georgetown to the village of Port Kaituma in the northwest of the country, capsized off the coast over the weekend (Reuters)

The government said search teams later located the ferry on the seabed about 15 kilometers off the coast.