Drone strike kills two as Gaza ceasefire standoff continues

By James Mackenzie and Nidal al-Mughrabi

JERUSALEM/CAIRO (Reuters) -An Israeli drone strike killed two people in Gaza on Friday, local Palestinian medical authorities said, underscoring the uncertainty surrounding a fragile ceasefire deal that has halted fighting in the enclave for weeks.

The Israeli military said the drone struck a group of suspected militants operating near its troops in northern Gaza and planting an explosive device in the ground, but gave no details on casualties.

The military, under new army chief Lieutenant General Eyal Zamir, has made preparations for a return to war in Gaza if no agreement can be reached with Hamas on extending the 42-day ceasefire agreed last month.

But with a visit in coming days from U.S. President Donald Trump's special Mideast envoy Steve Witkoff, who has held direct talks with Hamas, there has been no indication that Israel has given up on continuing the ceasefire.

A delegation from Hamas arrived in Cairo for talks with Egyptian mediators who have been helping facilitate the talks along with officials from Qatar, aiming to proceed to the next stage of the deal, which could open the way to ending the war.

In an apparent effort to pressure Israel, Hamas released a video showing Israeli soldier Matan Angrest, one of 59 Israeli and foreign hostages still held in the Gaza Strip.

Despite a number of hiccups, the ceasefire has largely held since Jan. 19, allowing the exchange of 33 Israeli hostages and five Thais for around 2,000 Palestinian prisoners and detainees.

But it is unclear whether talks to release the remaining hostages and complete the Israeli withdrawal will go ahead, despite pressure from Trump, who has demanded that Hamas hand over all those still held or face devastating consequences.

Israel has demanded the return of its hostages and an extension of the truce through the Muslim holy month of Ramadan until after the Jewish Passover holiday in April. But it has refused to agree to opening talks that would cover issues including the final withdrawal of its troops from Gaza and a post-war administration for the enclave.

Israel's new military chief, Lieutenant General Eyal Zamir, has been visiting troops since assuming command of the Israel Defence Forces this week and says the army is prepared to return to combat in Gaza if ordered.

The Palestinian health ministry and officials at the Al-Ahly hospital said two people were killed in Friday's drone strike in the Shejaia area of Gaza City. A similar incident on Thursday killed three people. The military said that strike also targeted individuals seen planting a bomb near Israeli troops.

RAMADAN

In Jerusalem, the first Friday in Ramadan saw thousands enter the walled Old City to pray at al-Aqsa mosque, with Israel allowing a limited number of older Palestinians and children from the occupied West Bank to cross into the city.

"We have not come for three or four years but thank God for the happiness and joy that we were able to reach Al-Aqsa mosque, this is the greatest joy for Muslims," said Salah Aleiwi, who came in from the West Bank.

The mosque, on a site in Jerusalem's Old City that Jews call the Temple Mount and revere as the site of two ancient temples, is a holy place for both religions and has long been a focus for clashes that have at times spiralled into wider conflict.

Tensions in the West Bank have risen amid a weeks-long Israeli operation against Palestinian refugee camps where troops have demolished dozens of houses and destroyed roads and other infrastructure, sending tens of thousands of camp residents out of their homes.

Israel says the operation is directed against Iranian-backed Palestinian militant groups entrenched in the camps.

On Friday, there was a heavy deployment of police in the narrow cobbled streets of Jerusalem's walled Old City but no reports of serious trouble.

"The Israeli police are spread out across Jerusalem and across Israel in order to allow the safe environment for the arrival of all these worshippers coming here," police spokesperson Dean Elsdunne said.

In recent years, Israeli authorities have regularly restricted access to the mosque compound, citing security needs, and entry on Friday was conditional on approval from police, even for those qualified by age.

Ibtisam Abdul Fattah, a 65-year-old from the West Bank, said she had been turned back twice at the West Bank checkpoint of Qalandiya, just north of Jerusalem. "We are in our land but we are not allowed," she said.

(Reporting by James Mackenzie; editing by Mark Heinrich)