A rocket fired from Gaza has hit a petrol station in the southern Israeli city of Ashdod, triggering a major blaze as four days of Israeli airstrikes leave an estimated 100 Palestinians dead.
The Israeli fire service said several people were injured in the attack, including one man who is in a critical condition after he was unable to escape his car in time.
One witness told Sky News' Alex Rossi he was filling up his car when air raid sirens went off.
Israeli airstrikes have killed more than 80 people, most of them civilians He said: "We heard a huge explosion and after (that) a big ball of fire and (there were) a lot of people injured.
"We are lucky to be alive."
More than 550 rockets have been fired into Israel since Tuesday when the Israeli army launched an operation targeting Hamas militants who control Gaza.
News agency AFP has quoted health ministry spokesman Ashraf al Qudra as saying 100 Palestinians have been killed in the strikes.
Soldiers inspect a shell thought to have been launched from Lebanon With the death toll rising hourly, Hamas' armed wing has threatened to target Israel's main airport.
The Islamist group's Izz el-Deen al-Qassam Brigades released a statement warning airlines not to fly into Ben Gurion International Airport.
"In the light of Israel's ... attacks on the residents of Gaza Strip ... The armed wing of Hamas movement has decided to respond to the Israeli aggression and we warn you against carrying out flights to Ben Gurion airport, which will be one of our targets today because it also hosts a military air base," it said.
Most rockets fired from Gaza, including three spotted over Tel Aviv on Friday, have been intercepted by Israel's partly US-funded Iron Dome missile defence system and no Israeli fatalities have been reported.
Five Palestinians were killed overnight in a strike on a home in Rafah For the first time two rockets were also reportedly launched from southern Lebanon which, according to Israeli army spokesman Lt. Col. Peter Lerner, struck Israel's northern border, prompting the military to respond with artillery fire.
There were no reports of injuries on either side.
Lt Col. Lerner said it was unclear whether the attack was "symbolic or something more substantial."
It is not yet known who was responsible for the attack, although fire from Lebanon has previously been blamed on radical Palestinian factions.
Southern Lebanon is also a stronghold of the Shiite militant group Hezbollah which has battled Israel on numerous occasions.
In Gaza meanwhile, two men were killed in the Bureij area, hours after the military bombarded the city of Rafah, killing six people.
Five of them, including a seven-year-old child, died in a strike on the home of an apparent Islamist militant.
Rocket fire from Gaza aimed at Israel has increased in recent days Palestinian officials say most of the victims over the past four days have been civilians, many of them children.
The exchange of fire marks the heaviest fighting between Israel and Hamas since an eight-day battle in November 2012.
The Israeli cabinet has said it may now send in ground troops and has authorised the call-up of as many as 40,000 reservists.
With no end to the violence in sight, US President Barack Obama has told Israeli Prime Minister Benjamin Netanyahu the US would be willing to help negotiate a truce.
Obama said he was concerned the fighting could escalate and "called for all sides to do everything they can to protect the lives of civilians", the White House said.
"The United States remains prepared to facilitate a cessation of hostilities, including a return to the November 2012 ceasefire agreement."
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