Talks to gain the release of seven European observers held captive by pro-Russian militias are said to have made some progress.<br /><br />That is according to the self proclaimed mayor of Slovyansk who wants to exchange them for separatists held by the Ukrainian authorities.<br /><br />However no one from the OSCE delegation has commented on the situation.<br /><br />With Pro-Moscow rebels seemingly tightening their grip in the east, Kyiv has admitted it will only be able to hold elections on May 25 in parts of the country.<br /><br />The town of Luhansk won’t be one of them. Separatists there stormed government buildings on Tuesday and have now appointed a new police chief.<br /><br />The operation appears to give the pro-Russian rebels control of a second provincial capital, they already have much of neighbouring Donetsk province where recently they declared an independent people’s republic.