The Moro Islamic Liberation Front and the Moro National Liberation Front discussed possible unification to aid in the development of a peace plan with the Philippine government, Voice of America reported Friday.
Gadhafi is working to develop a road map for the unification goal following a three-day visit to the Philippines.
The Moro Islamic Liberation Front and Manila discussed ending the 40-year-old conflict in the south while the Moro National Liberation Front discussed strengthening economic developments.
Diplomatic officials said negotiations may culminate with agreements by September 2008.
Analysts view the unification of the rebel groups as a key to reaching a lasting peace in the Philippines.
The Organization of the Islamic Conference is monitoring the negotiations.