Russian President Dmitry Medvedev said Wednesday that Libyan leader Muammar Gaddafi still has influence and military potential despite some successes by the rebels.

He said there were still two powers in Libya, where Gaddafi and his supporters still had a certain influence.

The Russian president made the remarks after Libyan rebels captured Gaddafi's Bab al-Aziziya compound in the capital of Tripoli after heavy fighting Tuesday.

Medvedev called on the two warring sides to sit down and have talks to end the crisis as soon as possible.

He also said Russia did not recognize the rebel National Transitional Council as the sole government power in Libya, unless it could bring the war-torn country together.

"If the rebels have the power and opportunity to unite the country on a new democratic basis, then we will consider establishing relations with them," Medvedev said following talks with visiting DPRK top leader Kim Jong Il in Russia's Siberian city of Ulan-Ude.