Two loud explosions heard in Eilat are believed to have been caused by a long-range Grad rocket attack.
After the Wednesday evening explosions, security forces began searching the area for the rockets, which could have been fired from the Sinai.
No reports of injuries or damage were logged following the alleged attack in the southern Israeli city, a popular resort area.
A beach concert by the Israeli singer Eyal Golan was stopped after 10 minutes due to the alleged threat.
Rockets have been fired at Eilat and its environs from the Sinai several times in the past two years.
In June, two rockets landed in open areas near Mitzpe Ramon and Ovda, near Eilat. In April, at least two rockets struck Eilat in an empty area near an apartment building. In 2010, rockets struck both Eilat and Aqaba, Jordan.