Defence Minister General Boonrawd Somtas yesterday softened his position on dialogue with Muslim separatist movements and welcomed the idea of having the Malaysian government mediate future talks with the militants.

Malaysian Prime Minister Abdullah Badawi told reporters that his government was willing to help mediate if requested - but did not go into the specifics.

A number of exiled leaders from Thailand's Malay-speaking south are residing in Malaysia. Abdullah appeared to be banking on the hope that the older separatists could help influence the current group of militants who are behind the daily attacks.

Boonrawd had earlier dismissed suggestions the old guard would make much difference, but appeared to change his stance yesterday after Abdullah's three-day visit during which violence and insurgency in the deep South was high on the agenda.

Boonrawd said the foreign ministries of the two countries have been instructed to be the channel of communication on the South. But Thai and Malaysian sources said the foreign ministries' involvement was a matter of protocol.

Rebel sources and Thai security officials said most of the so-called "representatives of the Thai government" sent to meet with separatist leaders in Malaysia, Europe and the Middle East over the past decades were mainly junior or mid-ranking army officers who were not in the position to influence policy change or recommendations.

But this time around, both Thailand and Malaysia would like to set-up a task force to co-ordinate their work on the South to ensure continuity.

However, separatist leaders said they did not trust Kuala Lumpur to be an honest broker. The Patani United Liberation Organisation (Pulo) has suggested that international monitors be present to ensure transparency and credibility.

Meanwhile, fighting continued yesterday as a security detail assigned to protect teachers at a school in Narathiwat's Reusoh district became engaged in a fierce fire-fight with militants. Three marines were seriously injured during the exchange that lasted for about 10 minutes, police said.

In a separate incident, gunmen opened fire at a husband and wife riding on a motorbike on a back road of the same district.

Sintu Rintharak, 48, was shot dead, while her husband Kliang Rajboun, 71, is being treated for at least eight gunshot wounds.