KARGIL (India), July 6: Pakistani shells slammed into an oil tanker truck convoy on a crucial Indian highway today as fierce fighting over Kashmir mountain peaks continued despite an agreement in Washington that Pakistan withdraw forces from India's side of a cease-fire line, report agencies.

US President Bill Clinton's meetings with Pakistan Prime Minister Nawaz Sharif had

raised hopes of a speedy end to the two-month battle in the snowcapped Himalayas.

But India says there has been no sign of withdrawal and no letup from nearly ceaseless shelling from both sides of the 1972 cease-fire line that divides Kashmir between the two nu- ' clear powers.

"We are not aware of any pullback. Our operations are continuing," a senior Indian

army official said. "In all sectors operations are continuing. There is no relenting."

"A final decision would be made after the prime minister returns” home, Pakistan Army Chief Gen. Pervez Musharraf was quoted as telling The Jang newspaper In Islamabad. “The Mujahideen will be requested to change their positions (but) it still has to be seen what their answer will be."

But Islamic guerillas fighting in Kargil said today they would die before withdrawing from their mountain bunkers.

"There is no question of a retreat ... if we don’t fight now Indians will press forward in our area.” said Mohammed Shoaib. a Muslim rebel, fresh from three weeks of fighting Indian troops in the Kargil mountains in India.

"Freedom fighters will not stop their struggle against Indian occupation of Kashmir.” Syed Salahuddin. top commander of Hizbul Mujahideen, told AFP in an interview.

Hizbul Mujahideen is considered the largest militant outfit operating in the Indian-controlled zone of the disputed Himalayan region, where Islamic fighters have held several strategic peaks since April.

Dozens of Pakistani shells, soared over the jagged hilltops on the Line of Control, aiming at an Indian 105mm gun position but hitting oil tanker truck and severely denting another. Thirty army trucks were trapped. Traffic backed up for seven kilometres on the narrow stretch of tortuous road that links Kashmir’s summer capital. Srinagar, to the northeastern Chinese border and the far-flung embattled mountains.

Meanwhile. Pakistan's information minister said today that India had lost 600 troops in the fighting over Kargil in northern Kashmir, more than in the 1971 war between India and Pakistan.

The official APP news agency said Mushahid Hussain told journalists in parliament that the official figure for Indian casualties in 1971 was about 250.