Helicopters and coastguard boats have been dispatched to the scene, while ambulances have been stationed on the beach ready to receive rescued passengers.
Üstel wrote on social media that the “priority right now is human life”, adding that security forces, rescue teams and health officials were all on the scene.
He added the disaster will be thoroughly investigated and “even the slightest negligence will be uncovered”.
“No one will be spared, regardless of who they are, who is found to be at fault or responsible,” Üstel said.
Erhan Arikli, the transport minister of the self-declared Turkish Republic of Northern Cyprus (TRNC), which is only recognised by Turkey, told local media that 100 passengers had been taken to shore.
Turkey’s President Recep Tayyip Erdogan sent his condolences to Turkish Cypriots and said efforts to reach those who were still missing “continue uninterrupted”.
“Immediately after the accident, we launched extensive search-and-rescue operations in co-operation with the authorities of the Turkish Republic of Northern Cyprus,” he said at a military ceremony on Sunday.
