The clash took place close to an area where Hizbollah guerrillas killed two soldiers and wounded nine others on Wednesday. The army says two Hizbollah members died in the latest combat. Israel has launched more airstrikes against targets in Lebanon while there have also been further rocket attacks by Hizbollah.
Recent bombardments struck at what Israel claims were bunkers used by Hizbollah leaders. But the group claims none of its senior members were killled.