Diplomats said President Ange Felix Patasse's loyalists had captured a dissident stronghold yesterday in the Central African Republic's capital, Bangui, where bodies littered the streets after five days of fighting.
Former army ruler Andre Kolingba called on mutineers to stop fighting on Thursday evening after the arrival of Libyan troops and helicopters and a contingent of Congolese rebels to shore up President Patasse's forces in the former French colony.
But new clashes erupted early yesterday in dissident-held areas to the southeast of the city, including Bangui's main barracks - which was also a hotbed of disaffection in army mutinies in 1996 and 1997.
"Camp Kassai has surrendered," one diplomat said.
Other sources said they believed Camp Kassai had been taken, but the rebels appeared to have struck back again from positions further south and heavy fighting continued in the area.
President Patasse seemed in no mood to negotiate, despite French attempts to broker a deal.
"The president has not given me instructions to announce any negotiations. I can't see what there is to negotiate," the president's spokesman Mr Prosper Ndouba said.
"He [Kolingba] has attempted a coup and he has failed. He should assume his responsibilities. He should surrender and face justice."