Israel has warned it may be forced to intervene in Lebanon if it remains a base for Hezbollah guerrilla attacks.
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Deputy foreign minister Mr Michael Melchior said Hezbollah has been building up bases in Lebanon since Israel withdrew in 2000 and Israel may need to act to protect itself.
"If they continue the escalation and attacks on Israel, we risk coming to the point that there has to be an intervention in Lebanon. I'm afraid that could become the situation," Mr Melchior said, adding his concern was shared by the Israeli Prime Minister, Mr Ariel Sharon.
In recent months, Hezbollah repeatedly fired rockets from Lebanon into Israel during its reoccupation of Palestinian areas.
Hezbollah has supported the Palestinians in their struggle against Israel. Israel also accuses the guerrillas of attempting to smuggle arms to the Palestinians and of creating tensions along the border.
Israel invaded southern Lebanon in 1982 and fought an 18-year war against Hezbollah. A United Nations force monitor a boundary known as the Blue Line.
Mr Melchior said the boundary was approved by the United Nations and by the Lebanese prime minister, yet "Hezbollah has upgraded its bases" on the Lebanese side.
AP