Brig. Gen. Romeo Tolentino, commander of Operation Endgame, the military unit running after the bandits, said Pieter Lerrich who was held hostage for almost ten months was found in Sitio Tan Kapitan in Barangay Maligay, at about 12 noon.
At Malacañang, President Arroyo welcomed the rescue of Lerrich, the news of which was relayed to her by newly installed Armed Forces chief Gen. Narciso Abaya.
Abaya flew to Manila with the freed hostage last night to present Lerrich to the President and formally turn him over to Indonesian embassy officials.
Tolentino said villagers reported seeing Lerrich to the 4th Marine Battalion Landing Team.
Tolentino said Lerrich, chief engineer of the tugboat M/T Sentil Marine 88, wanted to return to Patikul to retrieve the remains of their captain who died in captivity last February.
"His allegation was that the Abu Sayyaf assassinated Munto Jacobo Winowatan because he was very weak after he sustained a gunshot wound in the previous encounter between the military and Abu Sayyaf," he said.
Lerrich said he was not going home without his captains remains.
"I am not going home. No! I must bring his body because my heart bleeds," the freed hostage told reporters after he was given initial medical check-up by Col. Ariel Serrudo at the Camp Navarro General Hospital inside the Southern Command headquarters here.
Lerrich arrived here aboard a military helicopter with Tolentino and other officials.
Brig. Gen. Renato Miranda, commander of Marine Forces South, said Lerrich escaped from the Abu Sayyaf as his men were pressing their offensive against the bandits led by Radulan Sahiron in Barangay Mampalam.
Miranda said he does not know the fate of the four Filipino women evangelists of the Jehovahs Witness who are still being held by the Abu Sayyaf.
"We have information about them but we would like to keep it for operational purposes," he said, adding Marines led by Col. Nelson Allaga are hot on the trail of the fleeing bandits.
Lerrich, who recounted his ordeal to the media, said some of his companions including the four Filipina evangelists were battered and maltreated.
"Flora (Montulo) was kicked by the guard, I dont know (for) what reason," he said.
According to Lerrich, he escaped while his guard was asleep, and kept running toward the highlands until villagers who initially thought he was an Abu Sayyaf bandit, spotted him.
"I escape when the guard sleep. No gun on me," he said in his broken English. Lerrich, who has three children, said he wonders what will happen to Winowatans four children now that their father is gone.
Last March 28, another Indonesian seaman also escaped from the Abu Sayyaf in Barangay Taglibi, also in Patikul, during pursuit operations by Marines.
Lerrich and Winowatan, along with two other Indonesian seamen were snatched by the Abu Sayyaf from their tugboat near Capual island off Jolo, Sulu last June 17.
But the fourth one, Ferdinand Joel, escaped hours after they were taken at gunpoint.
Earlier, the Abu Sayyaf reportedly lowered to P4 million the ransom for the freedom of the hostages.
Col. Alexander Aleo, commander the Armys 104th Infantry Brigade, said the Abu Sayyaf under Sahiron and Khaddafi Janjalani have been evading government troops in the jungles of Sulu.
"Our efforts continue but... the Abu Sayyaf continued evading the troops using the jungle for their advantage," he said.
Last year, the US government put a $5-million bounty on the heads of Hapilon, Janjalani, Jainal Sali alias Abu Solaiman, and Hamsiraji Sali for the kidnapping and murder of Americans Guillermo Sobero and Martin Burnham.
Sobero was beheaded in June 2001, while Burnham was killed when the Abu Sayyaf clashed with troops sent to rescue him the following year. Martins wife Gracia was rescued. With Marichu Villanueva