People gather near the engine of a plane, after it crashed into a neighbourhood in Ishaga disrict, an outskirt of Nigeria's commercial capital Lagos June 3, 2012. [Photo/Agencies]

A passenger plane crashed into a densely populated part of Lagos, Nigeria's commercial hub, on Sunday, killing all 147 people on board, the airline said.

President Goodluck Jonathan declared three days of national mourning and ordered an investigation into the cause of the crash which jolted residents of Lagos' Agege suburb where most live in tin-roofed buildings along unpaved streets.

The McDonnell Douglas MD-83, operated by privately owned domestic carrier Dana Air, was coming into land on a flight from the capital Abuja when it hit the building, not far from Lagos's Murtala Muhammed Airport, at 2:44 pm (1344 GMT) and burst into flames, according to the airline.

Among the dead was the spokesman for the Nigeria National Petroleum Corporation, Levi Ajuonuma, according to a passenger list released by the airline. Ajuonuma was also de facto spokesman for the oil minister in OPEC member Nigeria, Africa's biggest crude producer.

Dana Air said it was still investigating what caused the crash.

"Plunged into sorrow"

"We heard a huge explosion, and at first we thought it was a gas canister," said Timothy Akinyela, 50, a local newspaper reporter who was watching a soccer match on TV with friends in a nearby bar.

"Then there were some more explosions afterwards and everyone ran out. It was terrifying. There was confusion and shouting," he said, showing a video he had taken on his phone.

Smoke billowed from the windows and roof of the building that had somehow survived being completely demolished by the crash. Locals climbed on top of walls to try to look in. Bits of the twisted metal were scattered on the muddy ground.

"The President joins all Nigerians in mourning all those who lost their lives in the plane crash which has sadly plunged the nation into ... sorrow," a statement from Jonathan's office said.

"President Jonathan assures air travellers in the country that every possible effort will be made to ensure that the right lessons are learnt ... and that further measures will be put in place to boost aviation safety in the country."

Air crashes are not uncommon in Nigeria, Africa's second biggest economy, which has had a poor airliner safety record, although it has improved in the past few years.

Dana Air operates flights to cities around Nigeria out of Murtala Muhammed Airport.

Nigeria opens probe into deadly air crash

Nigeria's aviation authority on Sunday announced the start of an investigation into the crash of a passenger airplane which killed nearly 200 people.

Speaking to reporters here, Harold Demuren, director general of the Nigeria Civil Aviation Authority (NCAA), said that the investigation into the air crash has begun.

"We don't believe there are survivors," he said, adding that the flight originated from Nigeria's capital city Abuja.

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Nigerian President Goodluck Jonathan declared three days of national mourning after one of the West African country's worst plane crashes killed at least 193 people in the economic capital Lagos on Sunday.

The Nigerian leader has directed that the Nigerian flag be flown at half-mast for national mourning.

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At least six Chinese were among the 153 people on board a passenger plane which crashed near the Lagos airport in Nigeria on Sunday, the Chinese Embassy in the West African country has confirmed.

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Cargo plane crashes in Ghana, killing at least 10

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