Israel is to freeze the transfer of building materials to Gaza after discovering what it described as a Palestinian “terror tunnel”.
The 1.7 kilometre long underground excavation reinforced with concrete supports ran along its fortified border with the enclave.
Israeli intelligence has blamed Hamas for its construction.
Prime Minister Benjamin Netanyahu brought the find up at a meeting of the Israeli cabinet on Sunday.
After praising the work of the army he said his government remained committed to following a robust anti-terror policy.
Back in 2006 Hamas along with other militant groups tunnelled into Israel and seized an Israeli soldier, holding him for five years before exchanging him for 1400 Palestinians in Israeli jails.
Meanwhile on the Egyptian side of the Rafah crossing into Gaza, the military there have blown up a house suspected of hiding what they said was another Hamas dug tunnel.
Egypt accuses Hamas of aiding Islamist militants in its Sinai desert, using tunnels to smuggle in weapons.
There has been no claim of responsibility for either tunnel from Hamas.