Iraqi forces have retaken a former government compound in Ramadi after weeks of fighting for the strategic provincial capital.
Fighters from the self-proclaimed Islamic State, or IS, are reportedly fleeing to Ramadi's eastern suburbs, along with their families and civilian hostages.
Julia Calixto has more.
It has been weeks of intense fighting between Iraqi forces and IS militants for the key provincial capital of Ramadi.
Now, government troops say they have recaptured a key part of the city from IS -- the provincial government compound.
The commander of Iraq's anti-terrorism contingent, Lieutenant General Abdul-Ghani al-Asadi, says Iraqi troops will be in control of Ramadi in a matter of days.
(Translated) "God willing, in the next few days. We don't want to fix an exact time, for security reasons, but our troops will take over the entire city of Ramadi."
Air strikes from an international coalition led by the United States have helped in the government troops' progress.
However, an audio message purported to be from IS leader Abu Bakr al-Baghdadi, published online, maintains the Iraqi offensive has not undermined the militant group.
(Translated)"Be confident that God will grant victory to those who worship him, and hear the good news that our state is doing well. The more intense the war against it, the purer it becomes and the tougher it gets."
In recent days, Iraqi troops have been making their way through streets and buildings, seizing several districts on the way to the city centre.
Iraqi Special Operations Commander Sami Al-Aridhi says progress has been slowed by improvised explosive devices left behind by IS.
(Translated)"Our forces advanced towards the city from the area of Humaira, which is the key to liberate all of Ramadi from three sides -- the Al-Aramel, Dhubat and Hawz neighbourhoods. Our troops are now advancing towards their targets but were delayed because IS has booby-trapped everything."
Ramadi, about 90 kilometres west of Baghdad, fell to IS in May in what was seen as an embarrasing defeat for Iraq's army.
If retaken, it would be one of the most important victories for Iraq's armed forces in a year.
Ramadi is one end of a major IS supply line to the Syrian city of Raqqa.
Military analyst and retired US army lieutenant colonel Rick Francona says controlling the town -- and its dam -- could be a key to defeating IS, also known as ISIS.
"This actually cuts off the supply line from Turkey down into Raqqa, so this is very important, this is critical. That dam controls ... It's the major energy-generating capability for northern Syria. It also controls the water of the Euphrates River. So this will be a big blow to ISIS, and it is yet one more step in what the coalition has to do to isolate them so they can finally kick them out of Iraq and Syria."
After Ramadi, the army plans to move to retake the northern city of Mosul, the biggest population centre under IS control in Iraq and Syria.
Dislodging the militants from Mosul would effectively abolish the group's state structure in Iraq and deprive them of a major source of funding.
Oil and fees and taxes on residents who remain trapped in the city have generated much of the group's funding.