Israel has not rejected the list of prisoners Hamas has demanded in exchange for kidnapped soldier Gilad Shalit, the Egyptian security delegation head in Gaza, General Burhan Hamad, said.

Egypt acted as an intermediary in transmitting the Hamas list to Israel.

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"I will be meeting with the Israeli side this week to hear their final answer," Hamad said.

Meanwhile, Hamas spokesmen in the Gaza Strip have threatened to renew terror attacks, and Hamas invited Palestinian media representatives to watch its military force practice taking over an Israeli position and kidnapping a soldier.

The Palestinian government yesterday said it was doing everything possible to allow a prisoner exchange with Israel. Prime Minister Ismail Haniyeh called on all Palestinian leaders to avoid unnecessary statements that might damage the deal.

Israel has received a list of 350 prisoners from Hamas, and not 450, as was first published. Hamas is expected to deliver about 100 additional names soon. Controversy among the various factions holding Shalit as to which prisoners should be on the list may be the reason that only a partial list was submitted.

Israeli security and government sources have reiterated recently that Israel cannot release all the prisoners Hamas is demanding, since some were behind mass-victim suicide bombings in the second intifada. However, it is expected to continue negotiations.