MANAMA, BAHRAIN, NOV. 15 -- Iraqi warplanes bombed a village in western Iran and Iran shelled the Iraqi city of Basra today in fighting that left 17 civilians dead and 26 wounded, reports from the warring nations said.

Iraqi planes struck the village of Vermhang near the district capital of Kamyaran, about 50 miles east of the Iraqi border, sending loads of bombs raining down, state-run Tehran radio said.

The Iranian radio said seven persons were killed and 16 wounded, many of them women and children. Iran said it used missiles to shoot down three Iraqi planes during attempts to bomb other civilian areas in southwestern Iran.

A spokesman for the Iraqi armed forces in Baghdad said Iraqi planes attacked oil refineries at Gachsaran in the southwestern province of Khuzestan and in the western Bakhtaran Province, the official Iraqi news agency said.

The Iraqi attacks, aimed at crippling the vital oil industry that fuels Iran's war machine, left the targets in flames, the agency reported.

An Iraqi military spokesman denied reports that three planes were shot down but acknowledged that one aircraft was missing.

The Iraqi news agency said Iranian long-range artillery pounded Basra overnight, killing 10 civilians, and wounding 10.

The round of shelling and bombing was a sharp escalation of fighting in recent weeks. It came at a time when Iran is claiming to be gearing up for an offensive.