Heavy fighting has broken out near the Libyan port city of Benghazi between government soldiers and Islamist militants.
A navy ship is reported to have been hit and at least 13 people have been killed.
The latest battle is part of a wider crackdown by the army on militants blamed for an assault in 2012 on the former US consulate, in which the ambassador was killed.
Many residents are reported to have fled the area, with the Red Crescent organisation evacuating more than 50 foreign workers.
Libya is now divided into different rival tribes and political factions, with two governments attempting to assert control.