Israel's Security Cabinet met on Sunday to consider Gaza proposals.
Tel Aviv has set out limited goals for the initial negotiations on the situation in the Gaza Strip, which has seen mass protests, shootings and the use of firebomb kites by Palestinians along the Gaza-Israel fence. "A complete ceasefire [by the Palestinians] will lead, on Israel's part, to the reopening of the Kerem Shalom crossing and renewal of the permits given in respect to the fishing zones", an Israeli official said as cited by Reuters.
On Friday, it was announced that Hamas had agreed to a long-term ceasefire deal with Israel, as proposed by Egypt. Israel's security cabinet met on Sunday to discuss the deal.
United Nations officials have called for the blockade to be lifted, citing deteriorating humanitarian conditions in the Palestinian enclave run by Islamist movement Hamas where 80 percent of the two million population are dependent on aid.
According to one Egyptian official, the Foreign Ministry in Cairo instructed its diplomats in a June 10 cable to emphasize that Egypt would not budge from its position that Israel is the country with exclusive, ultimate responsibility for Gaza.
The PA, which has placed several economic sanctions on Gaza in an attempt to pressure Hamas, is no expected to play a major role in the Strip's hoped-for development projects that will reportedly be funded by cash from Washington, Brussels and wealthy Gulf states.
Hamas is holding hostage at least two Israeli civilians who crossed into Gaza during episodes of poor mental health, as well as the bodies of two Israeli soldiers who were killed in action. "I will support any plan that includes establishing Egyptian infrastructure on land and sea for Gaza - under worldwide supervision".
But after a meeting of Palestinian faction representatives including Fatah, Hamas's Badran said: "There will be no state in Gaza and no state without Gaza".
Palestinian sources said a drone was used by the army but that no one was wounded in the attack.
Zur Goldin (R), brother of Israeli soldier Hadar Goldin, and other family members talk to the media outside their home in the central Israeli city of Kfar Saba August 2, 2014. Twenty-four of slain protesters were minors, the ministry has said.