"We were some 22 nautical miles northeast of Tripoli when at around 9 am (0700 GMT) we spotted...A group of people in the water," said Mohammed al-Kone, an officer on board a Libyan oil tanker.
"They were near a rubber boat which had deflated but was carrying seven bodies, including that of a small child," he told AFP, adding that the survivors had reported four pregnant women missing.
The tanker alerted the coast guard and took the survivors to Tripoli port, towing the inflatable. At the port, a grief- stricken survivor recognised his child among the victims.
People smugglers have taken advantage of chaos in Libya since its 2011 revolution to step up their lucrative business.
Earlier this month, Libya's coastguard said it rescued more than 100 migrants off Qarabulli, 60 kilometres east of Tripoli, after the engine on their rubber dinghy broke down.
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