Israeli Prime Minister Benjamin Netanyahu has vowed "severe" retaliation against Lebanon-based Hezbollah following a deadly weekend attack on the Israeli-occupied Golan Heights.

Israel says Hezbollah was responsible for Saturday's strike, which hit a soccer field and killed 12 people, including children.

The Israeli government, in a cabinet meeting on Sunday, authorized Prime Minister Netanyahu and Defense Minister Yoav Gallant to decide on the manner and timing of a retaliation.

Netanyahu visited the site of the attack on Monday to mourn the victims. He said Israel "will not, and cannot, ignore this. Our response will come and it will be severe."

Hezbollah denied any role in the attack. The Associated Press quoted an official from a Lebanese group as saying it had started moving precision-guided missiles to prepare for a possible Israeli retaliatory strike.

The official said Hezbollah's stance has not changed and that it does not want a full-blown war with Israel, but if war breaks out it will fight "without limits."

Israel and Hezbollah continue to exchange fire. Hezbollah said Israeli military attacks killed two fighters on Monday.