One of the two Italian hostages, Claudio Colangelo, was released on Sunday by Maoists while another remained captive.

Rebels have also scaled down their demands to two from the original 13.

A group of journalists received Colangelo from the Maoists and approached the Saroda police station to hand him over into their responsibility.

About 12 days ago, Puri-based tour operator Paolo Bosusco and Italian tourist Claudio Colangelo were abducted by Maoists when they violated the restricted area, undermining the warning about presence of extremists by the Daringibadi police.

The other two, a driver and a cook, who were with the Italians, were later freed by the Maoists.

Since the Maoists have brought the number of their demands down and released one of the hostages, the possibility of ending the ongoing hostage crisis has brightened.

Meanwhile, the abduction of BJD MLA from Laxmipur, Jhina Hikaka, on Saturday has increased the burden for the government in Maoists-hit Odisha.