The fuel depot of Gaza's only power plant was practically destroyed this morning, potentially cutting electricity to the enclave's 1.8 million residents.
The power plant supplies two thirds of the territory's energy needs and was engulfed in flames sending a column of black smoke into the air.
The power station supplies two thirds of the territory's energy needs According to a spokesman for Gaza's electricity distribution company, the power plant was hit by shells fired from an Israeli tank, a claim which could not be verified.
An Israeli military spokeswoman had no immediate comment and said she was checking the report.
The plant's director said the facility was "finished". The power station was hit last week and had been operating on a reduced capacity providing only a few hours of electricity per day to Gaza's residents.
"The power plant is finished," said its director, Mohammed al Sharif, who added the local fire brigade was not equipped to extinguish the blaze.
A Palestinian girl at the scene of an explosion that killed nine children The depot was hit after another night of continued Israeli bombardment on Gaza, the heaviest in three weeks of fighting.
The home of Hamas leader Ismail Haniyeh was hit by a missile early this morning causing damage but no casualties, Gaza's Interior Ministry said.
Mr Haniyeh said in a statement: "My house is not more valuable than the houses of other people. Destroying stones will not break our determination."
The Al Aqsa TV headquaters after being hit by an Israeli shell Israeli aircraft, tanks and gunboats pounded targets in Gaza City that were symbols of Hamas government control, including the headquarters of the Hamas satellite TV station Al Aqsa and Al Aqsa radio.
Hamas said that despite the attack the stations continued to broadcast.
In two separate incidents on Monday, 10 Israeli soldiers were killed during firefights with Hamas militants who infiltrated Israel through tunnels near the community of Nahal Oz.
An Israeli soldier hurt in a mortar attack is stretchered away by comrades Israeli Army Radio said the Hamas gunmen fired a rocket-propelled grenade at the soldiers who were in a watchtower and then tried to drag one of the soldiers' bodies back into the tunnel, but failed when troops fired at them, killing one militant.
Hamas said nine of its fighters carried out the attack.
Also on Monday two rockets struck Gaza's main hospital and a refugee camp, killing nine children.
A building within Gaza port is seen on fire after several missile strikes A Palestinian official said at least 10 people were killed in the strike on the camp, and a further 46 injured.
Palestinians said the rockets were fired by Israel, while Israel said the rockets were misfired by Hamas.
Iran's supreme leader Ayatollah Ali Khamenei this morning accused Israel of committing "genocide" in Gaza and called on the Islamic world to arm Palestinians fighting "the Zionist regime".
Israeli soldiers with the coffin of their comrade Liad Lavi Israel started its offensive against Gaza on July 8, declaring its aim was to halt rockets fired by Hamas and its allies into Israel.
But Israel's Prime Minister Benjamin Netanyahu later said he was widening the objectives, adding the only solution would be a complete demilitarisation of Gaza.
A Palestinian health official said the overall Gaza death toll stands at 1,110.
Israel said a total of 53 soldiers have been killed, including two civilians and a Thai national.
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