The Opposition Leader, Tony Abbott, has said Nauru isn't the only option for offshore processing and the Coalition would be ''perfectly happy for boat people to go to Manus Island''.

Speaking on radio yesterday, Mr Abbott nominated re-opening the Manus Island centre in Papua New Guinea as common ground with the federal government on border protection.

It is understood that the Immigration Minister, Chris Bowen, is willing to negotiate with the opposition on a compromise deal that would include both Nauru and Malaysia.

As both sides refused to bow to the other's first demand - that the Prime Minister put a proposal in writing before Mr Abbott considers it; and Mr Abbott allow his immigration spokesman, Scott Morrison, to negotiate directly before Ms Gillard commits to paper - a crucial meeting to solve the asylum seeker impasse remained elusive.

Mr Abbott and Mr Bowen pledged they were prepared to work through Christmas Day if that's what it took to strike a deal to deter dangerous boat voyages, but this appeared unlikely.

''My holidays are not as important as sorting this out, but we can only sort it out if the government is prepared to take a position,'' Mr Abbott said.

Mr Bowen said: ''I'm happy to have turkey with Tony Abbott on Christmas Day, but first we've got to talk turkey.''

A frustrated West Australian Premier, Colin Barnett, whose state is the front line for sea rescues of asylum boats, said the situation was ''becoming petty''.

''Both sides are playing the same political game. I think most Australians think this is not an issue for politics. They are looking for national leadership on it. Most people, myself included, want to see some agreement about this … You are talking about men, women and children drowning at sea,'' Mr Barnett said. He called for the two major party leaders to sit down together.

The Greens deputy leader, Christine Milne, proposed a multi-party committee to resolve the issue, but Mr Bowen, who has described the Greens refusal to support offshore processing as ''naive'', dismissed the idea.

The rural NSW independent MP Tony Windsor said the Greens should allow the government's Malaysia swap legislation to pass in the Senate if they wanted to save lives.

As many as 50 bodies were found yesterday by Indonesian search and rescue, floating off the coast of East Java, victims of the disastrous sinking of a boat laden with asylum seekers heading for Australia on Saturday.

The bodies were found 300 kilometres from where the boat sank and are being ferried ashore at Grajakan. Authorities have also found the 25-metre boat that had carried about 250 people, and brought it into a port near Jember.

At least 47 people survived the disaster. Many still hold hope of more miraculous survivals, and there was a small protest yesterday demanding Indonesian authorities step up their efforts.

Among the grieving for as many as 200 dead, there was one heartwarming story. The father of a girl presumed to be orphaned was rescued on Tuesday.

Atena Hardani, a young Iranian girl whose parents and brother were thought to have perished, was rescued on Saturday. Two days later, her father, Muhammad, was found 200 kilometres away with 13 others.

The pair were expected to speak by phone late yesterday, and could be reunited as early as today at an immigration detention centre.

http://www.smh.com.au/national/abbott-offers-png-option-but-no-one-is-talking-turkey-20111221-1p5lj.html