Tuesday, February 8 2005 19:26 Hrs (IST) - World Time -

Sharm el-Sheikh (Egypt): Prime Minister Ariel Sharon said today (Feb 8, 2005) that Israel would halt military operations against the Palestinians and said he hoped the deal would lead to a new era of peace in the Middle East.

He said at a landmark summit in Egypt that the Palestinians had agreed to end anti-Israeli actions and that in parallel "Israel will cease its military operations against the Palestinians in all areas."

"Today will be the day that marks the re-launching of the process for a better future that will lead us towards mutual respect and peace in the Middle East," he said.

"We have an opportunity to turn our back on the bloody path imposed on us over the last four years."

But he said it was a "fragile opportunity" for peace, warning that there were still "extremists" waiting to derail the process.

Sharon also said that Israel would release hundreds of Palestinian prisoners.

"Israel is going to release hundreds of Palestinian prisoners," Sharon said at the summit.

Israel has already announced it planned to free about 900 Palestinians.