He said at least three fighters of the Kurdish People's Protection Units (YPG) and four IS jihadists were killed in clashes on Wednesday.
YPG spokesman Redur Khalil confirmed that the town had been secured.
"The Daesh group that entered the Mashur al-Fawqani district... was eliminated completely and expelled from the area," he told AFP, using an Arabic acronym for IS.
He said three IS fighters had been killed in the fighting, and a fourth died detonating an explosive belt.
Tal Abyad, on the border with Turkey, was formerly an IS stronghold, which served as a key conduit for the group to bring in weapons and fighters, and export black market oil.
But just over two weeks ago, Kurdish forces, backed by Syrian rebel allies and US-led air strikes, seized the town from the extremist group.
IS forces launched a surprise attack against the town on Tuesday, overrunning the Mashur al-Fawqani district in heavy fighting.
But by late Wednesday morning, the town was back under full Kurdish control, the Observatory said.
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YPG spokesman Redur Khalil confirmed that the town had been secured.
"The Daesh group that entered the Mashur al-Fawqani district... was eliminated completely and expelled from the area," he told AFP, using an Arabic acronym for IS.
He said three IS fighters had been killed in the fighting, and a fourth died detonating an explosive belt.
Tal Abyad, on the border with Turkey, was formerly an IS stronghold, which served as a key conduit for the group to bring in weapons and fighters, and export black market oil.
But just over two weeks ago, Kurdish forces, backed by Syrian rebel allies and US-led air strikes, seized the town from the extremist group.
IS forces launched a surprise attack against the town on Tuesday, overrunning the Mashur al-Fawqani district in heavy fighting.
But by late Wednesday morning, the town was back under full Kurdish control, the Observatory said.
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