Israel intensifies Gaza assault, Egyptians revise truce plan

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By Nidal al-Mughrabi and Dan Williams GAZA/JERUSALEM (Reuters) - Israel k**cked out Gaza's only power plant and pounded dozens of other high-profile targets on Tuesday, while Egyptian mediators prepared a revised proposal for halting its war with Islamist guerrillas in the enclave. Israel's Channel Two TV said progress was being made on such a deal in Cairo, where a Palestinian delegation is expected later on Tuesday, although the station retracted an earlier report that a truce had already been provisionally agreed. Health officials said at least 85 Palestinians died in some of heaviest bombardments from air, sea and land since Israel's offensive began on July 8 in response to rocket salvoes fired by Gaza's dominant Hamas Islamists and their guerrilla allies. UNRWA, the main U.N. relief agency in Gaza, said it was at "breaking point" with more than 200,000 Palestinians having taken shelter in its schools and buildings following calls by Israel for civilians to evacuate whole neighborhoods before military operations.

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