The Libyan regime on Friday rejected a conditional ceasefire offer made by the rebels, saying Moamer Gaddafi's forces would not withdraw from towns they control, the government spokesman said.
"The rebels never offered peace. They don't offer peace, they are making impossible demands," Mussa Ibrahim told reporters in the capital.
Earlier on Friday, the head of the opposition Transitional National Council announced that the rebels are ready for a ceasefire provided Gaddafi's forces end their assault on rebel-held cities.
"We agree on a ceasefire on the condition that our brothers in the western cities have freedom of expression and that the forces besieging the cities withdraw," Mustafa Abdul Jalil said in the rebel stronghold Benghazi.
He added, however, that the revolution still aimed to topple the regime.
But Ibrahim called the truce offer a "trick."
"We will not leave our cities. We are the government, not them," he said, adding however that the government was always ready to negotiate and wanted peace.
The announcement came two days after rebels were driven out of a string of key oil terminals in eastern Libya they had twice seized during the weeks-old revolt aimed at toppling Gaddafi's 41-year-old regime.