Israeli ground forces entered Lebanon overnight, the Israeli military said in a statement at daybreak on Monday, but added that it was not a large-scale invasion.
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Israel Radio reported that the forces were moving on the town of Bint Jbail in southern Lebanon, known as a stronghold of Hezbollah guerrillas, after a heavy artillery barrage in the area.
Over the weekend, other Israeli ground troops took control of the hilltop town of Maroun al-Ras, another Hezbollah center, after a fierce battle, the military said.
The military said its forces were operating north of Maroun al-Ras on Monday morning but would not confirm the radio report.
Israel Radio also reported that Israeli airstrikes destroyed nine rocket launchers in the area of Tyre, a Lebanese port 20 kilometres north of the Israeli border, where Hezbollah guerrillas have been firing rockets at the port of Haifa, Israel's third-largest city.
The report said one attack knocked out a 14-tube launcher that was to be used today for further rocket strikes.
Israeli military officials said that Israeli forces captured two Hezbollah fighters during the battle in Maroun al-Ras.
The officials, speaking on condition of anonymity because they were not authorised to talk to reporters, had no further details. The Israeli military had no immediate comment.
Israel Army Radio reported that the two were the first prisoners Israeli forces have taken in the current offensive.