"Titanic" director James Cameron, who has explored the wreckage site himself, called the implosion "quite surreal" and noted that one of the passengers killed, Paul-Henri Nargeolet, was a friend of his.

"For him to have died tragically in this way is almost impossible for me to process," Cameron told ABC News Thursday.

Coast Guard officials said a remote-operated vehicle found the tail cone of the Titan submersible about 1,600 feet from the bow of the Titanic Thursday morning.

Additional debris found was "consistent with the catastrophic loss of the pressure chamber," Rear Adm. John Mauger, the First Coast Guard District commander, said during a press briefing.

The passengers' families were immediately notified.

Five major pieces of debris were found, including the nose cone, officials said.

The debris indicates there was a "catastrophic implosion" of the vessel, Mauger said.

It's too early to tell when the implosion occurred, officials said.

"This is an incredibly unforgiving environment down there on the seafloor," Mauger said.

All five aboard the missing submersible are believed to be lost amid a search for the vessel, OceanGate said.

"We now believe that our CEO Stockton Rush, Shahzada Dawood and his son Suleman Dawood, Hamish Harding, and Paul-Henri Nargeolet, have sadly been lost," OceanGate said in a statement.

"These men were true explorers who shared a distinct spirit of adventure, and a deep passion for exploring and protecting the world’s oceans," the statement continued. "Our hearts are with these five souls and every member of their families during this tragic time. We grieve the loss of life and joy they brought to everyone they knew."

A Royal Canadian Navy ship HMCS Glace Bay has been on scene since about 8 a.m. ET Thursday morning. The ship provides a medical team specializing in dive medicine and a six-person mobile hyperbaric recompression chamber, according to officials.

Canadian Coast Guard ships John Cabot, Ann Harvey and Terry Fox are on scene and ready to provide rescue equipment and personnel should assistance be required. A Royal Canadian Air Force CP-140 Aurora aircraft is also maintaining continuous on-scene support with additional aircrews and assets, according to officials.

-ABC News' Luke Barr

The company behind the submersible that imploded exaggerated the details of the industry partnerships behind the development and engineering of the underwater vessel.

In some public statements, OceanGate suggested the Titan -- its only vessel able to reach Titanic depths -- was designed and engineered with the assistance of entities such as Boeing, the University of Washington and the National Aeronautics and Space Administration. In statements to ABC News, each entity described its role, or lack thereof, as more limited than sometimes stated by OceanGate.

When asked about these exaggerations about the role of partnerships in the development of the Titan submersible, an OceanGate representative declined to comment on the matter.

Read more here.

-ABC News' Peter Charalambous