Israel and Hamas will begin indirect negotiations on a second stage of the Gaza ceasefire deal, officials said on Tuesday, as the Palestinian militant group said it would hand over more hostages, including the bodies of two children, this week.

Axar.az reports that Khalil al-Hayya, leader of Hamas in Gaza, said the bodies of four hostages, including those of the Bibas family, would be returned on Thursday. Six living hostages would follow on Saturday.

Israeli Prime Minister Benjamin Netanyahu's office confirmed a deal was reached in Cairo to secure the release of six living hostages on Saturday, four deceased hostages on Thursday and four more next week, but stopped short of naming any of them.

An Israeli official said deceased hostages will undergo identification in Israel before they are named.

Negotiations for the second phase of the deal were supposed to start on February 4 but Qatar, which together with Egypt and the United States is mediating between the sides, said the talks have not officially started yet.

"It will happen this week," Israeli Foreign Minister Gideon Saar told a press conference in Jerusalem.