Hamas has released three Israeli hostages in Gaza's southern city of Khan Yunis on February 15 under a continuing ceasefire agreement with Israel.

The released men were identified as Iair Horn, 46, a dual Argentine-Israel citizen, Sagui Dekel Chen, 36, an American-Israeli, and Alexander Troufanov, 29, who holds Russian citizenship.

All three were abducted during the October 7 attack and held in undisclosed locations in southern Gaza, according to sources close to the matter. More than 45,000 Palestinians in Gaza have died since the October 7, 2023 attack on southern Israel by Hamas and Islamic Jihad. Another 1,200 Israelis were killed in the initial attack by Palestinians.

The hostages were paraded before a crowd and made to address them before their handover to the Red Cross, according to witnesses.

Masked Hamas fighters lined the stage which was decorated with Palestinian flags while music played from loudspeakers.

One of the men received a gold coin following news that his wife had a child while he was in captivity.

The exchange marks the sixth swap since the ceasefire began on January 19, with 21 hostages and more than 730 Palestinian prisoners freed during the first phase of the truce.

Among the Palestinians set for release is Ahmed Barghouti, 48, a close aide of militant leader Marwan Barghouti. Israeli authorities had sentenced him to life imprisonment for dispatching suicide bombers during the Second Intifada in the early 2000s.

The hostages appeared pale but in better physical condition than three men released the previous Saturday who emerged emaciated after 16 months in captivity, witnesses said.

Of the 251 people originally abducted, 73 remain in Gaza, with approximately half believed to be dead.

The majority of remaining hostages are men, including Israeli soldiers, Hamas said.