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Hikmet Hajijev, Foreign Policy Advisor to the President of Azerbaijan, tweets that more than ten civilians died and another 40 were injured.
According to Hajijev, more than 20 houses have been destroyed.
Ten civilians were killed when another residential area in Ganja was hit by a similar attack last Saturday.
A resident told AFP that he saw seven people being pulled out of the ruins after the attack. It is not clear what his health status is. Dozens are searching the site for survivors.
Attack in Nagorno-Karabakh
The attack took place around 3 a.m. local time, a few hours after an attack was reported in Stepanakert, the main city of the breakaway Nagorno-Karabakh republic.
Azerbaijani authorities say the rocket was fired from Armenian territory, writes the Russian news agency TASS.
Ganja is the second largest city in Azerbaijan. Authorities say an industrial area of the city was also hit by a rocket on Friday, but few details are known so far about a possible second attack.
Brutal war
Since a ceasefire in 1994 ended a brutal war in which 30,000 people lost their lives, the region has been controlled by Armenian separatists.
The escalation of the conflict since September is the deadliest and longest since the war.
Both parties to the conflict accuse each other of having attacked civilian targets and of having started the fighting. Hundreds have been reported dead, many of them civilians.
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