Ok, this might be way too much detailed information for most readers, but the curfew in the Malakand and the Mingora-area was lifted at noon, Pakistan time, on Wednesday.
The Pakistan army is massing its troops in the village of Kabal, west of Mingora. According to good sources, there are around 10.000 army troops. And, believe it or not, they are based at a golf course (yes, only a year ago, the Swat area was a very popular tourist destination in Pakistan). So except for heavy artillery, helicopter gunships and machine guns, the pak army might use golf balls!
In the mean time, Pakistan Taliban militants loyal to Maulana Fazlullah have captured a place called Alpuri, in the Shangla district. This is very dangerous, since the militants are getting now very close to the Karakoram Highway. This is the one and only land connection between Western-China and Pakistan, heavily used by Chinese- and Pakistani businesses. The capture of parts of the Karakoram highway would be a major, and i repeat, a major blow for Musharraf. No way ever, will Musharraf let this happen, since it would cripple Pakistan economically.
The talibanisation of northern Pakistan is still going on, if Musharraf and his army do not respond quickly a rather limited rebellion might get really out of control and spill over into eastern area's.
By the way - if all these names are abracadabra to you, please search on the web for a detailed map of northern Pakistan, Swat area. You might wanna use this, zoom in on greater Mingora-area. Golfcourse is bit west of Mingora. Militants are basically between Mingora and Kalam, around 100 kms north. Karakoram highway a little bit to the east (at Besham).
And don't underestimate the importance of this islamic insurgency - the future of Pakistan depends on it.