The violence took place as Palestinians in Gaza continue their weekly March of Return protests amidst heightened attacks between the Israel Defense Forces and Hamas' al Qassam Brigade.
Friday's protests followed a day of heavy exchanges between Israel during which three Palestinians were killed by Israeli strikes and seven Israelis were injured by missiles launched by Gaza-based factions.
Thursday had seen extensive Israeli air strikes on Gaza in retaliation for the launching of more than 180 rockets and mortar rounds by Hamas and its allies on Wednesday night.
Ahmed Abu Lulu was shot in a section of the border east of the southern city of Rafah and died of his wounds in hospital on Saturday morning.
Two other Palestinians, including a paramedic, also lost their lives and hundreds of others sustained injuries on Friday as Gazans protested in large numbers following deadly Israeli airstrikes and artillery shelling on the besieged costal enclave. During that time, a Gaza sniper killed an Israeli soldier.
Israeli men stand next to a auto that was damaged after a rocket fired by terrorists from the Gaza Strip fell in the southern Israeli town of Sderot on August 9, 2018.
He said another 25 Palestinians were hit by Israeli fire, with one in critical condition after being shot in the head.
The 40-year-old was among 131 Palestinians wounded by Israeli bullets during the protest, breaking an unofficial ceasefire after less than 24 hours.
The Israeli security cabinet and the Hamas leadership met separately on Thursday, with the truce offer brokered by Egypt and the United Nations on the table.
The Israeli army said a grenade was thrown at troops guarding the border with northern Gaza without causing any casualties.
The European Union said Gaza and Israel are "dangerously close" to a new conflict, calling for urgent "de-escalation" to keep civilians from further risk. Saeed Aloul was reported dead by the Health Ministry.
The violence came as Gaza's militant Islamic Hamas rulers and Israel had been honoring a cease-fire. It said over 300 people were hurt, of whom dozens were shot by Israeli troops.
Israel has also been battling nearly daily airborne arson attacks from Gaza caused by kites and balloons rigged with incendiary devices flown across the border that have sparked large fires that destroyed forests, burned crops and killed wildlife and livestock.
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