The Los Angeles County Fire Department provided an update on the incident in a social media post Thursday morning.
The fire was reported shortly after 8:30 p.m. Wednesday at 211 Basin A, where flames engulfed the multi-level, 100-foot boat, the agency said.
Residents in the area said they heard multiple explosions resonating throughout the harbor as yacht was consumed by flames. Fire officials said two people were able to get off the boat uninjured.
Fire crews poured water onto the burning vessel, which later sank into the harbor.
Luxury yacht docked at Marina del Rey sinks after fire
An environmental hazard team was expected to arrive in Marina del Rey Thursday to assist with the cleanup of the burned vessel.
A United States Coast Guard Incident Management Team from Sector Los Angeles-Long Beach is monitoring the cleanup efforts, according to the Coast Guard, which said that the yacht "caught fire and discharged red-dye diesel."
"The fire did not appear to damage any other vessels in the harbor," the USCG said in a statement Thursday. "The Coast Guard is working with Patriot Environmental Services and Clean Harbors organizations to contain and recover the discharge from the yacht."
The yacht's fuel capacity was reported to be 6,000 gallons, according to the Coast Guard. Crews from California Department of Fish and Wildlife's Office of Spill Prevention and Response and the L.A. County Sheriff's Department are also assisting in the efforts.
The Oiled Wildlife Care Network was also notified and was on standby for wildlife response. "No observations of oiled wildlife have been reported at this time," the Coast Guard said Thursday morning. "For your safety and the safety of the animals, do not attempt to capture oiled animals." Witnesses were urged to report oiled wildlife to (877) 823-6926.
City News Service contributed to this report.