AL-ARISH - A bomb exploded Monday near Egyptian troops demolishing houses along the border with the Gaza Strip, causing no casualties but prompting authorities to raise security alert levels in the area as Egypt clears a buffer zone to halt weapons smuggling, military officials said.

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The border town of Rafah and its surrounding areas in the northern part of the Sinai Peninsula have been under a state of emergency for more than a week since an October 24 militant assault killed 31 troops. It was the deadliest attack on Egyptian troops in recent times.

No one claimed responsibility for the bombing, but the Northern Sinai has become a stronghold of Islamic militants who have carried out scores of attacks in recent months, mainly targeting soldiers and police.

Despite a nearly yearlong military offensive, the insurgency has expanded at times to reach Cairo and other cities.

Following the killing of the 31 troops, the government declared it will create a 500-meter (550-yard) buffer zone along Egypt's 13-kilometer (8-mile) border with Gaza extending from the Mediterranean Sea. Over the past week, troops demolished 300 houses out of more than 800 targeted, home to more than 10,000 residents.

Speaking Monday, President Abdel-Fattah al-Sisi said the military is capable of dealing with the threat of the militants, though it had wanted to avoid shedding blood.

"We don't want the military to enter a confrontation with anyone. We want to protect Egyptian lives," al-Sisi said. "The military has been patient and put up with much."

Since the attack, al-Sisi has called on Egyptians to unite and rally behind him in the fight against the militants, calling it an "existential" battle. He earlier blamed foreign powers he did not name for involvement in the attack.

Al-Sisi also linked the militant attacks to the overthrow of Islamist President Mohammed Morsi last summer by the military he once led. Al-Sisi didn't blame Morsi or the Brotherhood directly Monday, but said: "They had no other option but confrontation."

"This is our battle, all of us. The battle of all Egyptians," he said.

Authorities initially gave residents a 48-hour ultimatum to leave their homes. The demolition angered many residents who already hold decades-long grievances against the central government. Many Sinai natives long have complained of being neglected by Cairo and now feel they are being collectively punished by its heavy-handed counterterrorism and security measures.

Seeking to assuage their frustration, al-Sisi praised them for cooperating in the demolition efforts. He said the government has allocated up to 1 billion Egyptian pounds (nearly $140 million) as compensation for the residents being forced to leave their homes, citing it as a constitutional obligation.

"We won't forget their sacrifice," he said.

Authorities had also imposed a dusk-to-dawn curfew and on Monday limited the movement of armored vehicles and tanks on main roads around Rafah believed to be booby-trapped with roadside bombs, the officials said. The officials spoke on condition of anonymity because they were not authorized to speak to journalists.