Sharjah24 – Reuters: Dozens of people were killed in an attack on the northern Mozambique town of Palma this week, a spokesman for the country's defence and security forces said, including seven people when a convoy of cars was ambushed in an escape attempt.

Hundreds of other people, both local and foreigners, have been rescued from the town, next to gas projects worth $60 billion, Omar Saranga told journalists on Sunday.

"The defence and security forces registered the loss of seven lives of a group of citizens that left the Amarula hotel in a convoy that was ambushed by the terrorists," Saranga said.

Calls to officials at the foreign ministry and provincial government went unanswered or did not go through on Sunday.

The boats arriving in Pemba on Sunday carried both locals and foreigners, including employees from the gas projects, the aid official and diplomat said. One boat was carrying around 1,300 people, said the diplomat.

Witnesses have described bodies in the streets of Palma, some of them beheaded. On Friday, militants ambushed a convoy of people, including foreign workers, attempting to escape a hotel.

Government-contracted helicopters were searching for more survivors on Sunday. Lionel Dyck, who runs a private security firm working with the government, said his helicopters had rescued some 120 people overall.