Islamic Hamas movement Sunday said talks to exchange prisoners with Israel are underway but still far from end.

Negotiations are going on and they are being led by the German mediator, said Osama al-Muzini, a Hamas official based in the Gaza Strip.

"The talks are good and active, but still do not reach the end of the road despite the progress," he told reporters, without revealing what progress has been achieved.

The discussions are meant to free an Israeli soldier Gilad Shalit to exchange about 1,000 Palestinian and Arab prisoners. Shalit has been held in Gaza by Hamas since his capture in 2006.

Al-Muzini said Hamas would not give up any of its demands. He said Israel refuses to include the jailed Arabs who were living in Israel, while Hamas insisted that those Arabs, who have Palestinian origin, should be released.

"This is one of the obstacles," he added.

(Xinhua News Agency November 16, 2009)