Hamas is denying any connection to a ship seized by Israeli forces said to be planning to deliver weapons to the Gaza Strip.
Hamas, which controls Gaza, contends the allegations by the Israeli military is meant to justify its continuing embargo of the region.
Israeli forces on Wednesday captured an Iranian ship loaded with weapons in the Red Sea.
Israeli military spokesperson, Lieutenant-Colonel Peter Lerner.
"We found M302 surface-to-surface rockets. These rockets were en route to the terrorist organizations of the Gaza Strip. In their advanced model, the M302 can reach a range of up to 100 miles. If they would have reached their destination, it would have meant millions of Israelis at the mercy of the terrorists in Gaza."
Israel has been imposing an embargo on the Gaza Strip ever since Hamas took control of the region in 2007.
There's been an escalation of attacks by both sides in recent weeks, which is raising doubts about the stability of a ceasefire agreement the two sides managed to broker in 2012 which ended an Israeli incursion into Gaza.
This comes as Israeli Prime Minister Benjamin Netanyahu continues a tour of the United States, where he's been pressing for tougher international action against Iran over its nuclear program.