Two Egyptian security sources said on Sunday that Israel and Hamas are both open to a renewed ceasefire and hostage release, although disagreements remain on how it would be implemented.
Egypt and Qatar, which had previously negotiated a week-long ceasefire and hostage release, insisted on expediting aid and the opening of the Kerem Shalom crossing before any negotiations could begin, the sources said.
An Israeli official said aid had been allowed to enter Gaza, after Egyptian sources initially said it had been held up.
Hopes for peace were raised on Saturday when a source said Israel's spy chief had spoken on Friday with Qatar's prime minister.
Hamas is insisting on setting the list of hostages to be released unilaterally, and demanding that Israeli forces withdraw behind pre-determined lines, the sources told Reuters.
While Israel agreed on Hamas setting the list, the sources said it demanded a timeline and to see the list before setting the time and duration of the ceasefire.
Israel refuses to withdraw, the sources added.
Hamas says a complete ceasefire is a prerequisite to hostage release, the sources said.
"It is important for me to make clear, the IDF (Israel Defense Forces) is determined to complete the task of dismantling Hamas," Israeli military spokesman Rear Admiral Daniel Hagari said in a news conference on Sunday.
"We are open to any efforts aimed at ending the Israeli aggression. This is the ground for any discussion," said Hamas official Sami Abu Zuhri when asked for comment by Reuters on Israel and Hamas's openness to talks according to the Egyptians.
Israeli Prime Minister Benjamin Netanyahu's office did not immediately respond to a request for comment.
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