East Timor's President Jose Ramos-Horta was in stable condition after surgeons worked throughout the night to remove bullet fragments from his body after he survived a failed coup attempt on Monday morning.

Describing the president's state as "extremely serious," Australian hospital administrator Dr. Len Notaros told the Australian Broadcasting Corp. that "the next few days will be the telling point."

He said the three surgeons who operated on the president believed he had been shot two or three times. The most serious of the gunshots hit Ramos-Hortega in the lower part of his right lung, near his liver, and would possibly require further surgery, said Notaros, adding the president is still at risk of contracting a blood infection.

After being attacked by two carloads of rebel soldiers in his home at dawn on Monday, the 58-year-old was treated in an Australian army hospital in East Timor before being airlifted to a hospital in the northern Australian city of Darwin. Soldiers also ambushed the country's prime minister, Xanana Gusmao, who escaped unhurt.

The extracted bullet fragments will be handed to Australia Federal Police for the investigation into the shooting, Notaros said. At least one fragment that had been determined non-threatening was being left inside Ramos-Hortega's body.

Coup attempted fails

Army spokesman Maj. Domingos da Camara said rebel leader Alfredo Reinado and one of his men was shot and killed. One of the president's guards was also killed in the early morning shootout.

Ramos-Horta was apparently outside the compound when the gunmen began shooting. He tried to return home after hearing the gunfire but was shot on the way in, UN officials told the BBC.

The prime minister said Monday the operation was meant to "paralyze the government and create instability.''

"I consider this incident a coup attempt against the state by Reinado and it failed,'' Gusmao told reporters."The attempt to kill the prime minister and president today failed, and only the president was injured.''

He said the government won't fall because of the attacks. "I appeal for Reinado's supporters to remain calm and reflect on his death," Gusmao said in a televised address to the nation. "This is not the time for people to kill each other."

Gusmao declared a 48-hour state of emergency and a curfew, despite notably calm streets in Dili, the nation's capital. The United Nations control security in East Timor, and said checkpoints had been set up on main thoroughfares.

Repeat of mutiny in 2006

In 2006, the firing of 600 mutinous soldiers sparked violence that killed 37 people. More than 150,000 people were displaced and the government eventually collapsed.

Reinado was part of those who joined the mutiny. He had remained in hiding until reemerging for the assassination attempts, although emerging to meet with Ramos-Horta on several occasions, who was trying to persuade him to surrender.

Australia said Monday it would send more soldiers into the region to help maintain stability. There are currently about 1,400 UN-led forces in East Timor.

"Someone out there tried to assassinate the political leadership of our friend, partner and neighbour,'' Australian Prime Minister Kevin Rudd told a news conference in the capital, Canberra. "They have asked for some help, and we are about to provide it.''

He was elected president in May 2007 in peaceful elections.

With files from The Associated Press