An explosive device exploded Tuesday morning near the Kissufim crossing along the border with the Gaza Strip.
The blast occurred shortly after 8 am, as an IDF force patrolled the border fence in the southern Gaza Strip.
An Arab television station reported that an Israeli soldier was killed when his patrol was hit by Tuesday's explosion.
Details of the incident are still sketchy, but three other Israeli soldiers are believed to have been injured during a bomb blast and ensuing gun battle.
A 27-year-old Palestinian farmer has also reportedly been killed by Israeli fire in the area.
Local residents near the Kissufim crossing have told the Reuters news agency that they saw a small group of gunmen approaching the border early this morning before the battle broke out.
The residents say they later saw Israeli soldiers inside the Gaza Strip and Israeli helicopters in the air above the territory.
The incident is the first outbreak of violence since Israel and Palestinian militant groups declared unilateral ceasefires more than a week ago following Israel's three-week bombardment of Gaza.
Source: Reuters