Cotabato City, Philippines  - One soldier was killed and two were injured in a clash with Muslim secessionist rebels in the southern Philippines Tuesday, a regional army spokesman said.

Colonel Jonathan Ponce said the fighting erupted when patrolling troops encountered at least 20 Moro Islamic Liberation Front (MILF) rebels in Alamada town in North Cotabato province, 960 kilometres south of Manila.

Ponce said there was no report of MILF casualties in the firefight that lasted for one hour. The rebels withdrew to the jungles.

Manila  - The International Committee of the Red Cross (ICRC) urged Muslim militants in the southern Philippines to spare the lives of three Red Cross workers amid a threat to behead one of the hostages on Tuesday.

The Abu Sayyaf rebel group has given the Philippine government until Tuesday afternoon to meet a demand to pullout all soldiers, policemen and militiamen from practically the entire Jolo island, 1,000 kilometres south of Manila.

Manila /Geneva - The Red Cross on Monday issued an emotional plea for the lives of its staff members being held hostage by Abu Sayyaf rebels in the Philippines who threatened to behead one of the aid workers.

"Our message to Abu Sayyaf is: Please spare and release Mary Jean, Eugenio and Andreas," Jakob Kellenberger, the president of the Geneva-based International Committee of the Red Cross (ICRC) said in a statement.

Manila - Muslim militants holding captive three Red Cross workers in the southern Philippines have issued new demands for the release of one hostage, an official said Monday.

Interior Secretary Ronaldo Puno said the Abu Sayyaf rebels warned they would behead one of the hostages on Jolo island, 1,000 kilometres south of Manila, on Tuesday afternoon if their new demands were not met.

Manila - Two soldiers were killed in a clash with Muslim secessionist rebels in the southern Philippines, an army spokesman said Monday.

Lieutenant Colonel Romeo Brawner said the fighting erupted Sunday when patrolling troops encountered 10 Moro Islamic Liberation Front (MILF) rebels in Alamada town in North Cotabato province, 960 kilometres south of Manila.

Brawner said government troops also lost an M-14 assault rifle to the rebels, who fled to the mountains after nearly 30 minutes of fighting.

Manila - The Philippines and Japan on Monday signed nine grant contracts worth 660,000 dollars for various education, health and agriculture projects in conflict areas in the southern region of Mindanao.

Philippine presidential peace adviser Avelino Razon and Japanese Ambassador Makoto Katsura signed the contracts for the projects under the Japan-Bangsamoro
(Muslim nation) Initiatives for Reconstruction and Development.