Mercado said the Joint Defense Assessment group will have its final meeting this month in the US and is expected to present its final report by mid-December.
"With that (report), it would be easier for us and for them to determine what type of assistance, specifically equipment, the Philippines can avail itself of," he said.
The Joint Defense Assessment group met at least four times this year. It was formed after the Philippine-US Mutual Defense Treaty was "revived" following the ratification of the Visiting Forces Agreement.
US Defense Secretary William Cohen, in a letter shortly before the US presidential elections, informed Mercado that with the group’s assessment in its final stage, "we can establish priorities on necessary resources."
"I am fully confident that our shared values and common security objectives will contribute to a close defense relationship in the years to come," Cohen said.
"Our strong and expanding security relationship is. . . important," he said.
The United States can deliver military assistance to the AFP under its "excess defense articles" program.
US President Bill Clinton promised to deliver helicopters, spare parts for C-130 cargo planes and a patrol boat to the AFP during President Estrada’s visit to Washington early this year.
During Cohen’s visit to the country days before the AFP launched an offensive against the Abu Sayyaf, he proposed the setting up of an AFP counter-terrorist strike force which will receive training and equipment assistance from the US.