Sunni insurgents have assaulted the final area of the Iraqi town of Dhuluiyah still outside their control, after tribesmen rejected an offer to let them enter uncontested.
Jihadist-led militants began a major offensive on 9 June that has overrun large areas north and west of Baghdad.
They appear to be making a renewed push to gain ground after a period in which battle lines were relatively static.
The militants began their attack on Dhuluiyah, just 80km north of Baghdad, on Sunday and have overrun most of the town.
The militants negotiated with tribesmen in Al-Jubur, a lone area of the town still holding out, offering to spare the lives of their fighters and security forces if they surrendered.
But the tribesmen rejected the offer and insurgents began a renewed assault on the area in southern Dhuluiyah.
A resident said the fighting was ongoing and that Al-Jubur was the last area that has yet to fall.
A senior police officer confirmed there had been negotiations with the militants and said people were fleeing across the River Tigris in boats.
The militants demolished a bridge across the river and also blew up police stations, a courthouse and the main municipality building.