Israeli troops opened fire on two Palestinian militants Saturday in the Gaza Strip, as the militants attempted to plant explosives along the Israeli border.
A militant faction of Fatah said two of its fighters were killed in the incident.
Israeli military officials said soldiers had fired warning shots.
In a separate development Saturday, Palestinian officials say some Palestinians who have been stranded in Egypt for several weeks will be allowed to travel through Israel and into the Hamas-controlled Gaza Strip.
The officials announced that 100 people will be able to enter Israel on Sunday through a border crossing near the town of Rafah. They said 500 more Palestinians will follow the same path on Monday.
That border crossing has been closed since mid-June, when Hamas seized control of the Gaza Strip.
At least 6,000 Palestinians fled to Egypt to escape the bloodshed, and have been living there under steadily dire circumstances.
The Palestinians are being allowed to return to Gaza after a deal was reached between Egypt and Israel.
Some information for this report was provided by AFP, AP and Reuters.