The US began targeting Islamic State fighters with airstrikes a little over a week ago, allowing Kurdish forces to fend off an advance on their regional capital Irbil and to help tens of thousands of members of religious minorities escape the extremists' onslaught.
Recapturing the dam would be a significant victory against the Islamic State group, which has seized vast swaths of northern and western Iraq and northeastern Syria. The dam on the Tigris supplies electricity and water for irrigation to a large part of the country.
Another commander said Kurdish forces later were hindered by roadside bombs planted by retreating Islamic State fighters. He added that peshmerga forces had taken the nearby town of Tel Kasouf by today morning.
"They are advancing slowly. The obstacles are the roadside bombs. It's a Daash tactic," he said, referring to the Islamic State by an Arabic acronym. The commander spoke on condition of anonymity in line with military regulations.
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He said the peshmerga are now waiting for 15 Iraqi military Humvees with mechanised bomb-disposal units. He said some of the explosives had been placed in abandoned buildings by Iraqi troops in an earlier bid to stall the militants' advance.
Yesterday, the US Central Command said nine airstrikes had been launched near the dam, destroying four armoured personnel carriers, seven armed vehicles, two Humvees and another armoured vehicle.