Chechen rebel leader Aslan Maskhadov said he has named a top aide to conduct peace negotiations with Moscow, but the Kremlin dismissed the move, saying it refused to deal with "terrorists."

Maskhadov, believed to be hiding out in Chechnya's rugged southern mountains, confirmed that he had ordered a temporary truce in the war-torn breakaway republic until February 22 as a "goodwill gesture" aimed at Russian President Vladimir Putin.

"I hope for an adequate response. Because following my order for a temporary halt to all offensive operations I ordered the formation of a delegation to hold contacts with the Russian side," Maskhadov told Russian daily Kommersant.

The guerrilla leader said he had chosen Umar Khambiyev, a former health minister in Maskhadov's separatist administration who is now living in exile, to lead the peace effort in a bid to end the more than five-year conflict.

"If reason triumphs among our Kremlin opponents, we can end this war at the negotiating table. If not, then most likely blood will be spilled for a long time to come but we will not be morally responsible for the continuation of this madness," said Maskhadov.

However, a senior presidential official said that the Kremlin had not changed its policy of refusing to negotiate with Maskhadov.

"These are not people with whom we can hold talks. Maskhadov does not control the situation and more importantly, he's a terrorist. No country in the world is willing to deal with terrorists," Kremlin spokesman Dmitry Peskov told AFP.

Maskhadov was elected as president of Chechnya in 1997 in elections recognized by Moscow after it sued for peace to end a disastrous 1994-96 war, although Russia has since branded him a terrorist.

Once seen as a moderate figure, the former Soviet artillery officer's influence has waned as radicals led by warlord Shamil Basayev and linked to al-Qaeda have staged a series of deadly attacks on Russians civilians.

More than five years after pouring in troops in October 1999 to restore control in Chechnya, Russia remains bogged down in a bloody guerrilla war despite setting up a pro-Moscow local administration.

After a spate of major clashes in three neighboring republics in the past month, analysts suggested the Chechen rebels appeared to be responding to a secret peace initiative from the Kremlin, anxious about the conflict enflaming the Caucasus.

Pro-Moscow Chechen leaders, who control lucrative reconstruction funds allocated for the war-shattered republic, also dismissed the talks offer.

"Our stand is unwavering, there will be no political contacts with Maskhadov and his circle," the Chechen state council chief, Taus Dzhabrailov, told the Interfax news agency.

The official Russian death toll from the war stands at over 4,700 soldiers though independent observers claim the true toll may be three times higher.

The rebels are believed to have suffered large losses as well and now operate in small gangs through tough terrain they know well while reverting primarily to mine warfare and hit-and-run strikes.

Their single biggest recent attack came in the southern Russian town of Beslan where more than 340 people -- half of them children -- died in a September school hostage raid masterminded by Basayev.

In a chilling British television interview broadcast last week sparking angry Russian protests, Basayev warned of future attacks on Russian targets like Beslan.