The Mehdi Army loyal to Iraqi cleric Moqtada al-Sadr are grouped around their leader today inside one of Shia Islam's most sacred shrines in preparation for an expected US offensive.
New attempts to end the stand-off emerged today when Iraqi leaders meeting to pick an interim national assembly agreed to send a delegation to the holy city of Najaf to help broker a peace.
But both sides appear ready for what could be a decisive battle with reports of fighting around the city emerging this evening.
Sadr's heavily armed militia are positioned inside Imam Ali shrine and along surrounding alleyways and rooftops. And today around 2,000 impassioned civilian "volunteers" from around Iraq cheered the cleric at the mosque showing the significant level of support he enjoys.
Sadr's swelling support has led to US fears that launching a full-scale offensive could lead to him becoming a credible future leader of the country. If he were killed, then he could become a martyr around which anti-Western feeling could rally - stymieing stable government and potentially leading to disruption to Iraq's oil and gas supply.
"These people [supporters] are a deterrent to the Americans because they are civilians. They are here so that the Americans won't attack the Imam Ali shrine," said Sheikh Ahmed Shaibani, a senior Mehdi Army commander and top aide to Sadr.
Last week, thousands of Iraqis staged pro-Sadr protests in several cities and called for the downfall of interim Prime Minister Iyad Allawi. Sadr is also said have close connections with the powerful religious hierarchy in neighbouring Iran - a country which is edging towards nuclear capability and has shown itself willing stand up to the US.
If US forces cause any serious damage to the shrine would enrage millions of Shi'ites around the world, including those who make up about 60 per cent of Iraq's population.
Thousands of US soldiers backed by massive firepower and armoured vehicles are positioned on the outskirts of the city. And above the skirmishes today US aircraft circled ominously.
With reporters ordered out of the city and the US refusing state their intentions, it is unclear whether the latest negotiation efforts - details of which have yet to emerge - will rpove successful.
But late last night an interior ministry spokesman was reported saying that "a major assault" will launched to end the fighting in Najaf.
Agencies