Israel says its naval blockade of the Gaza Strip is meant to prevent weapons from reaching militant groups, including Hamas, the Islamist movement that controls the Palestinian enclave.
A 15-year-old Palestinian boy succumbed on Saturday morning to wounds he sustained on the 19th Friday of "The Great March of Return" protests alongside the eastern borders of the besieged Gaza Strip.
They also demand an end to Israel's 11-year blockade of the Gaza Strip, which has gutted the coastal enclave's economy and deprived its roughly 2 million inhabitants of many basic commodities.
Israeli troops shot dead a Palestinian and wounded at least 220 others at protests on the Gaza border on Friday, a Gaza hospital official said.
Over forty fires broke out in southern Israel over the weekend sparked by incendiary balloons launched over the border from the Gaza Strip, according to reports in the Hebrew-language media.
Earlier the ministry reported the killing of Ghazi Abu Mustafa 43, and said he was shot by Israeli soldiers, also in the head, near the frontier fence, east of the southern town of Khan Yunis.
In one incident, several Palestinians crossed the border fence, entered Israeli territory at the Kerem Shalom crossing, and threw firebombs and stones, before fleeing back into Gaza.
Israel and Hamas have fought three wars since 2008.
On Friday Ezzat al-Rishaq, a member of the Hamas political office, told protesters along the border they were "committed to calm".
The deal would purportedly include the improvement of living conditions inside Gaza, in addition to a sea port and an airport in Egypt.
Similar attempts by activists to challenge the Israeli naval blockade of Gaza have been foiled before.
The Freedom Flotilla Coalition, an umbrella group for pro-Palestinian and Islamic charities from around the world, said Friday the Swedish-flagged vessel, Freedom, was almost 60 miles (95 kilometers) off the coast.
Israeli Prime Minister Benjamin Netanyahu canceled his visit to Colombia to discuss the latest developments in a cabinet meeting.
Hamas officials had no immediate comment on the ship's seizure.
Freedom was the second boat of the "Freedom Flotilla" to be intercepted en route to break the blockade on Gaza, organisers said.