In an audio message published by his press service on the messenging app Telegram, Prigozhin said: "Today the settlement of Krasna Hora was taken by the assault troops of the Wagner private military company".

Prigozhin also published a short video, apparently showing Wagner fighters at the entrance sign to Krasna Hora, which had a pre-war population of 600.

Reuters could not independently verify that the village had been taken.

The Wagner Group, a once secretive mercenary force that fought for Moscow's allies in Africa and the Middle East, has for months spearheaded the assault on Bakhmut, making small but steady gains in a battle that has raged since last summer.

(Reporting by Reuters; Editing by Susan Fenton)