The United States on Monday condemned the deadly attack launched by militants on the Israel- Egypt border, calling on the Egyptian government to address the security issue on the Sinai Peninsula.

Denouncing "in the strongest terms" what she called the " terrorist attacks" on civilians in Israel from Sinai, State Department spokeswoman Victoria Nuland said "We remain concerned about the security situation in the Sinai Peninsula and call for restraint on all sides."

"More broadly, we encourage the Egyptian government to find a lasting resolution to the issue of Sinai security," she told reporters at a regular news briefing.

A group of gunmen crossed into Israel from Sinai early Monday morning and carried out a combined shooting, bombing and rocket- propelled grenade attack against two vehicles of Israeli workers, killing one person and injuring several others.

Israeli Defense Minister Ehud Barak said the attack showed Egypt's "disturbing deteriorating" in its control of Sinai.