American-led forces are said to be meeting the stiffest resistance yet from militants in the Iraqi city of Fallujah.
Reports say militants are now trapped in the south of the city with no way out.
An American military spokesperson said that 1,200 militants have been killed in the week-long assault while 38 US soldiers and six Iraqi soldiers have been killed.
There are no figures available for civilian casualties.
Earlier, US forces said they targeted an underground bunker with reinforced tunnels leading to stores of weapons.
US commanders say the city is now under their control. However, they expect several more days of fighting with militants in the southern suburbs.
The Iraqi Interim Prime Minister, Iyad Allawi, said that the military offensive in Fallujah had, in effect, come to an end.
Aid agency in talks
Meanwhile, the Iraqi Red Crescent, one of the few aid agencies operating in Iraq, says it is still negotiating with the American forces after being denied access to the city.
It said there was a desperate need for food, clean water and medical supplies, as hundreds of civilians are still hiding in their houses, without drinking water and running low on food.
The US-led forces have said they can take care of Fallujah’s humanitarian needs themselves.
Elsewhere, US-led forces in the northern city of Mosul say calm is being restored following an upsurge in suicide car bombings in recent weeks.
