At least 55 policemen were killed in the exchange of fire with the militants during a raid on a hideout near Cairo, Egypt.
The Ministry of Interior said in a statement late yesterday that a number of policemen were killed and injured, and some terrorists also died in the ensuing crossfire.
The Egyptian authorities have not released an official death toll yet.
The firefight occurred in the Bahariya oasis on the Western Desert, about 85 miles (135 km) southwest of the capital, after security forces received information on the militants' location. Cairo has struggled to contain an insurgency since its military led a coup against Egypt's first democratically-elected leader.
Two security sources said eight security personnel were injured in the clashes, while another source said that four of the injured were police officers and four others were suspected militants.
The security forces are understood to have gone into the desert following a tip-off about a possible hideout.
Sisi's remarks came during a meeting with Defense Minister Sedqi Sobhi, Interior Minister Magdy Abdel Ghaffar, and head of the Egyptian General Intelligence Service Khaled Fawzi, Presidential Spokesman Alaa Youssef said in a statement.
Egypt has been under a state of emergency since bombings and suicide attacks targeting minority Coptic Christians killed scores earlier this year. The Muslim Brotherhood denies this.
Terror attacks in Egypt used to be centered in North Sinai before spreading nationwide and killing hundreds of policemen and soldiers over the past few years.
In their statements, none of the militant groups claim any affiliation to the Muslim Brotherhood.
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He said the operation had to be halted to ensure the safety of the search and rescue operation personnel. He said the bodies of two Indonesians and an unidentified foreigner have been recovered.