This was the third time Karajeh is detained by Israel, he was released from Israeli prisons a year ago; he was previously detained twice, once in 2013 and another time in 2016, during which he served nearly 40 months of imprisonment.
The Palestinian used a homemade gun in the attack, known locally as a Carlo, according to Conricus.
A third woman was moderately injured, Israel's medical emergency service said.
According to Israeli and Palestinian estimates, roughly 650,000 Jewish settlers now live in settlements across the occupied West Bank and East Jerusalem.
A second woman, aged 54, was taken to hospital with gunshot wounds to her upper body, MDA said. The Barkan Industrial Park includes approximately 120 businesses and factories and a workforce of 20,000, half of them Palestinian Arabs.
The Israeli army has launched a manhunt for the attacker.
Israel's Prime Minister Benjamin Netanyahu on Sunday reportedly told his cabinet that a military operation in Gaza would be imminent should violent tensions worsen.
More than 260 Palestinians have also been killed over the same period.
Israeli forces conduct overnight detention raids nearly on a daily basis across the West Bank, triggering clashes with residents.
Some Israeli media reported the Palestinian suspect had been recently fired from his job at the site, raising speculation the attack may have been motivated by a personal vendetta.
Qatari-bought fuel arrived at the Gaza Strip's only power station after entering through Israel, sources said, in a bid to alleviate conditions in the besieged enclave and stem any escalation in Israeli-Palestinian violence.
Palestinians often face tough choices in finding employment under Israeli occupation, especially in the economically struggling West Bank.
Israel settlements are considered illegal under global law and major stumbling blocks to peace as they are built on land the Palestinians see as part of their future state.
Clashes broke out Friday between stone-throwing Palestinian youths and Israeli troops in different parts of the occupied West Bank.