Egypt's Muslim Brotherhood has said on its website that the attack on a police station in Sinai on Sunday in which 16 policemen were killed "can be attributed to Mossad."
The statement said it was an attempt to thwart Islamist President Mohammed Mursi.
It also said Mossad, the Israeli intelligence agency, was trying to abort the Egyptian uprising that toppled president Hosni Mubarak last year and that it was "imperative to review clauses" of the agreement between Egypt and Israel.
Earlier, Mr Mursi said the killers of the soldiers on the Gaza/Israel border "will pay dearly".
He said: "I have ordered our armed forces and police forces to move to arrest the perpetrators and whoever helped them in this cowardly aggression."
The Israeli military said the attack was part of a plot to abduct an Israeli soldier, and that two vehicles commandeered by the attackers crashed into Israel, where one blew up.
In a statement, Israel's Defence Minister Ehud Barak said Israel's military and the internal security agency "thwarted an attack that could have injured many''.
''The militants' attack methods again raise the need for determined Egyptian action to enforce security and prevent terror in the Sinai," he said.
The attack took place around sunset in the Egyptian border town of Rafah, when the troops were having the traditional meal at the end of the daily fast during the Islamic holy month of Ramadan.
Egyptian state TV said the attack was coordinated between Palestinians who entered Egypt from Gaza and Egyptians in Sinai.
Emergency services official Ahmed el-Ansari told Egypt's news agency that seven were wounded by gunfire.
Mr Mursi convened an emergency meeting with military and security leaders following the attack.
In a statement from the president's office, Mr Mursi offered his condolences to the families of the dead and said the "cowardly" attack will not go "without a response".
"There is no room for appeasing this treason, this aggression and criminality," he said.
