Despite the war of words - including a description by Cambodia's prime minister of the contested land as 'a life-and-death battle zone' - hostilities did not break out, although the two countries disagreed on what had actually happened, and who backed down.

A Cambodian general said that Thailand had acceded to the demand, but a Thai army spokesman later said the troops had not moved.

Thailand's prime minister said his country's troops had been on their own territory all along.

'If there is a problem, we will use peaceful means with an emphasis on negotiations,' said Thai Prime Minister Somchai Wongsawat. 'I want to insist that we will use peaceful negotiations. We will not be an invader. We will not use violence.'

Mr Somchai is also under intense political pressure at home from anti-government militants seeking his resignation.

The dispute was a continuation of one that arose between the two neighbors earlier this year over the land around Preah Vihear, an 11th century temple and landmark long claimed by both countries but awarded to Cambodia by the World Court in 1962. Sovereignty over some of the land around the temple has not been clearly resolved.

Tensions flared July 15 after Unesco, the United Nations agency, approved Cambodia's bid to have the temple named a World Heritage Site.

Cambodia deployed about 800 troops to the border, and Thailand sent some 400 soldiers.

Both sides pulled back most of their troops in late August, but it is not clear how many remain in the area and at other spots along the disputed border. They have been having talks to end the tension.

Cambodian Prime Minister Hun Sen said on Tuesday morning that Thai troops had tried a day earlier to advance into Cambodia's territory but Cambodian soldiers 'waved them back and said, 'If you want to die, keep coming.'' 'They must withdraw,' Mr Hun Sen said during a speech at an economic conference in the capital, Phnom Penh. 'I have set the timeline for them to withdraw by 12 o'clock (1pm Singapore time).'

Cambodian army commander Brig. General Yim Pim later said all Thai troops had retreated about 90 minutes ahead of the deadline and were back inside their camp about half a mile (1 kilometre) from the contested territory.

'The tense situation has now eased,' Yim Pim told The Associated Press.

But a Thai army spokesman denied that any soldiers had been withdrawn.

'There has been no troop movement,' Thai army spokesman Sansern Kaewkumnerd said in a telephone interview. 'The army wants the two countries to continue with bilateral talks, but if the situation escalates, we are ready. But we will not attack first.' -- AP