Libyan rebels admitted on Saturday that they retreated from the strategically important city of Ras Lanuf before the troops loyal to Muammar Gaddafi.

General Abdel-Fattah Younis, Libya’s interior minister before his defection to the rebel side, said Gaddafi's forces now control both the town and the oil refinery in Ras Lanouf, the AP news agency reported.

Younis, however, added that by Sunday “at the latest”, the rebels will regain control over the city.

The Libyan army bombarded rebels and forced them to retreat, moving the front line some 20 kilometers away from Ras Lanuf overnight, Reuters reported.

In spite of air and artillery attacks, the rebels on Friday managed to hold their positions near the Ras Lanuf’s oil refineries.

Taking over the port of Ras Lanuf means that Gaddafi’s forces regrouped after the initial confusion which occurred when unrests started in Libya on February 15.

Ras Lanuf is located 615 kilometers southeast of Tripoli.