U.S. helps Libyan rebels, fighting rages in west

TRIPOLI, (Reuters) – The United States took steps  to throw a financial lifeline to rebels controlling eastern  Libya while forces loyal to Muammar Gaddafi focused their  firepower on pockets of resistance in the west.  

Rebels said Gaddafi’s forces fired Russian-made Grad  rockets, which rights groups say should not be used in civilian  areas, at the rebel-held western towns of Misrata and Zintan  following NATO strikes to free Misrata’s port.  

In Zintan, the rebels struck back.  

“Rebels attacked posts belonging to Gaddafi forces east of  Zintan in the early evening. The posts have been used to fire  rockets into Zintan,” the spokesman, called Abdulrahman, told  Reuters.  

“The rebels destroyed at least three tanks and captured two  others.” 

Remoter areas of western Libya also came under fire from  forces loyal to Gaddafi, trying to break an uprising against his  four-decade rule that has put most of the east in rebel hands  since it began in mid-February. 

“Many in the Western Mountains in towns such as Yefrin,  Zintan and Kabau are being killed by this indiscriminate  shelling,” senior rebel National Council spokesman Abdel Hafiz  Ghoga told a news conference in Benghazi in the east.  

The United States voiced confidence in the Benghazi-based  main opposition council Wednesday as the U.S. Treasury moved to  permit oil deals with the group, which is struggling to provide  funding for the battle-scarred areas under its control.  

The order by the U.S. Treasury Department’s Office of  Foreign Assets Control may help to clear up concerns among  potential buyers over legal complications related to ownership  of Libyan oil and the impact of international sanctions.  

The first major oil shipment from rebel-held east Libya,  reported to be 80,000 tonnes of crude, was expected to arrive in  Singapore today for refuelling but oil traders told  Reuters finding a buyer was not straightforward, with many of  the usual traders still worried about legal complications.  

A tanker booked for Italian oil company Eni to carry crude  to Italy from Gaddafi-held territory in Libya never arrived in  port and left empty last week because the sanctions meant the  government would not have got paid, trade sources said.  

“They didn’t want the crude to go, because they wouldn’t  have gotten any money for it,” an industry source said on  Wednesday, adding, “They could use it to refine into gasoline.”
  
   
 FIGHTING OUT OF SIGHT 
 

Residents say pro-Gaddafi forces have been surrounding  mountain-top towns in western Libya, cutting them off from food,  water and fuel supplies and unleashing indiscriminate  bombardments on their homes with rockets and mortars.  

Libyan officials deny targeting civilians, saying they are  fighting armed gangs and al Qaeda sympathisers who are  terrorising the local population.  
Rebels who seized a remote post on the western border with  Tunisia hurriedly dug trenches after hearing that forces loyal  to Gaddafi were on their way to re-take the crossing.  

The sound of distant explosions could occasionally be heard  coming from the Libyan side of the border, signs of a battle  that has been going on for weeks in the Western Mountains  region, largely out of sight of the outside world.  

The rebel spokesman in the Western Mountains town of Zintan,  scene of some of the region’s most intense fighting, said there  was heavy bombardment there on Wednesday, that at least 15  people were wounded and five houses destroyed.  

Misrata also came under fire from Grad missiles, the rebels  said, after NATO air strikes forced Gaddafi’s troops away from  the port, the only connection the besieged city has with the  outside world.  

Both the rebels and the European Union said the shelling of  the Misrata port threatened a vital supply and rescue route.  

“We are receiving reports of hospitals being overwhelmed by  a growing number of wounded,” EU Commissioner Kristalina  Georgieva said in a statement.  

An aid ship took advantage of a brief lull in the fighting  to rescue Libyans and a French journalist wounded in the  fighting in Misrata, along with migrant workers, from the  western rebel enclave and headed for Benghazi, centre of the  rebel heartland in the east.  

“Despite heavy shelling of the port area … about 935  migrants and Libyans have been rescued and are now safely en  route to Benghazi,” the International Organisation for Migration  (IOM) said.  

A U.N. human rights group is in Libya to investigate  accusations pro-Gaddafi forces have violated human rights and  attacked civilians.