Ukraine rebels speak of heavy losses in battle against government troops

SIVERSK Ukraine (Reuters) - Ukrainian troops and pro-Russian separatists were locked in fierce fighting in the east of Ukraine on Thursday and a rebel commander acknowledged big losses among separatists heavily outgunned by government forces.

Even as President Petro Poroshenko and his team prepared to unveil their blueprint for ending more than two months of rebellion, government forces, using artillery and heavy armour, said they were tightening the noose on separatists near Krasny Liman, north of the main regional hub of Donetsk.