GLADSTONE police have confirmed a light aircraft linked to a local parachuting club has crashed about 4 kilometres west of Gladstone Airport.
The plane went down on Gladstone Ports Corporation land near Wiggins Island and Red Rover Road just before 11am.
The plane took off from Gladstone airport at 10.30am. The work safety office received a mayday call from the plane at 10.43am, reporting engine failure on the Cessna 206 aircraft. After receiving the call, the officer called Triple-0. Workers then liaised with crews to provide information on the plane's whereabouts.
"There is some difficulty locating the site," a Gladstone Airport spokesperson said.
"It is believed emergency services are working with crews to locate the plane."
A local helicopter company was sent out to search for the plane and retrieve passengers.
Emergency services from throughout the region were deployed. Seven people were on board - including a father and two sons, three tandem jump masters and the pilot. All on board were able to walk away from the crash site. The pilot was reported to have facial injuries.
The wife and mother of the family on board was visibly relieved to see her family walk from the rescue helicopter which brought some of the passengers back to Gladstone airport from the crash site.
"I thought it was a joke when they told me about the plane crashing," the woman said.
More details will be posted as they come to hand.