Defying global pressure to stop attacks on civilians, Muammar Gaddafi's fighter jets on Thursday carried out fresh strikes on the rebel-held oil terminal town of Brega in eastern Libya, a day after clashes between the two sides left at least 14 people dead in the region.

The warplanes swooped down on the town on Thursday morning, according to eyewitnesses. The Libyan army, backed by mercenaries, continued its efforts to penetrate the rebel-held eastern parts of the country.

However, the rebels claimed that they had routed forces loyal to 68-year-old Gaddafi, who had launched a counter-offensive aimed at recapturing areas held by them. They said they were in total control of the oil terminal town of Brega.

The strike in Brega came a day after clashes between rebels and government troops left 14 people dead in the region. Nearly 300 men loyal to the Libyan leader attacked Brega, located 500 km east of Tripoli, on Wednesday.

An air force bomber encircled the town, firing a missile without causing any casualties. The warplane struck a beach near a university campus where the two sides were fighting, Al Jazeera reported.

It said the opposition managed to repel the strike, maintaining control of the town they had seized a week ago.

Witnesses in the nearby Ajdabiyah town also reported fresh fighting.

A defiant Gaddafi has refused to give up power as he warned against any foreign intervention, saying it will lead to "a bloody war" in which "thousands of Libyans would die".