JERUSALEM ( CNN ) -- Clashes between Hamas militants and Israeli soldiers raged to the north and east of densely populated Gaza City early Sunday , the 16th day of an Israeli offensive , witnesses and medical sources said . A photo provided by the Israel Defense Forces shows troops in Gaza on Saturday . Heavy gunfire could be heard to the east of Gaza City -- home to about 400,000 of Gaza 's 1.5 million people -- as fighting moved closer , according to a CNN stringer in the area . Israeli shelling north of the city killed two people , sources at Shifa hospital told CNN . Sunday 's fighting came after one girl was killed and 49 other people were severely burned by fires caused by Israeli shelling in southern Gaza on Saturday , local hospital sources said . The shelling ignited several buildings , including a U.N. school , near the city of Khan Younes , sources said . The girl died of burns she suffered in one of the fires , the sources said . Also Saturday , a family of nine was killed when a shell hit their home in the village of Jebalya in northern Gaza , Palestinian medical sources said . The Israeli military was `` not operating in the area of this house , and no fire was directed in that direction , '' a spokesman for the Israel Defense Forces said . Later Saturday , the IDF said that two rocket-launching squads near Jebalya were hit . Meanwhile , Hamas militants fired 20 Grad long-range rockets into Israel on Saturday , injuring four civilians , according to an IDF spokesman . And the Hamas commander in charge of launching rockets into Israel from the Gaza City area was killed Saturday by Israeli ground fire , the IDF said . Amir Mansi was spotted firing a rocket Saturday from the Jabel Rise area , east of Gaza City , during a ground force operation , the IDF said . Israeli forces opened fire , killing Mansi and wounding two other Hamas operatives , who were captured , the Israelis said . Watch what overnight air attacks did » . Mansi was the leading Hamas authority on the Grad long-range missile-launching system , the IDF said . Grad rockets have allowed Hamas to reach farther into Israel than in previous attacks . Israelis say their Gaza military operation , which started December 27 , is aimed at stopping Hamas militants from sending rockets into southern Israel . The operation began with airstrikes ; a week later , the Israeli military launched a ground assault . More than 800 Palestinians have been killed in the attacks , including 235 children , and about 3,300 people have been wounded , according to Palestinian medical sources . Thirteen Israelis , including 10 soldiers , have died since the operation began . See images from the offensive » . On Saturday evening , two pair of Israeli F-16 fighter jets that were on bombing runs in southern Gaza violated Egyptian airspace , a CNN team observed . `` We can tell they 're coming through Egyptian airspace because they 're over the far side of the building where we 're standing , '' CNN 's Karl Penhaul reported from Rafah , Egypt . He was atop a building about 500 meters ( 547 yards ) from the Gaza border . The Israelis have been bombing tunnels that run under the border of southern Gaza and Egypt . Israel says Hamas smuggles weapons and munitions through them into Gaza . A spokesman for the Egyptian prime minister 's office said the Israeli aircraft did not have permission to use the airspace . Israeli government spokesman Mark Regev said no airspace violation had occurred . Before strafing the area in and around Rafah , the Israeli air force dropped leaflets warning residents to leave their homes because more Israeli attacks were imminent , Palestinian security sources said . According to an IDF spokesman , the leaflets say : `` Two days ago , the IDF distributed leaflets in Rafah in which the residents were warned to evacuate their homes for their own safety . As they heeded the IDF instructions , the harming of residents in combat was avoided . `` Over the coming period , the IDF will continue to target tunnels , weapon caches and terrorist operatives with growing intensity . For your safety and that of your family , stay away from terrorist elements or places where weapons are stored or places where terrorist elements operate . '' In Gaza City on Saturday afternoon , heavy black smoke rose during a three-hour period during which Israel was to halt its attacks on militants so Palestinians could stock up on supplies . CNN 's Ben Wedeman said the lulls , which have been tried before , are n't `` rock solid . '' Limited military activity continues during that period , he said . A United Nations spokesman said Saturday 's pause was not long enough to resume the transport of humanitarian supplies from Israel into Gaza . iReport.com : Share thoughts , reactions to crisis in the Middle East . Meanwhile , in Cairo , Egypt , Palestinian Authority President Mahmoud Abbas was meeting with Egyptian President Hosni Mubarak to discuss a possible cease-fire . Exiled Hamas leader Khaled Mashaal said during a televised news conference Saturday night that his followers will consider any proposals to stop the violence if conditions are met : the Israelis stop their `` aggression '' and all crossings between Israel and Gaza are opened . `` These are our just demands , and with an open mind we will interact with any initiative , '' Mashaal said .
NEW : Fighting nears densely populated Gaza City , witnesses say . Sources : Israeli artillery ignites buildings , killing 1 and wounding 49 . Leader of Gaza City rocket teams is killed , Israel says . Israeli jets apparently violate Egyptian airspace .