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They've suggested that they are willing to give their nuclear weapons program if they get political and diplomatic recognition from the United States, a normalize relationship, and some kind of economic help.
NPR: Bush Conditionally Offers Talks to North Korea
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On the other hand, to give Mr Ocalan asylum in Italy might be construed as coming close to diplomatic recognition of him and his movement.
ECONOMIST: Turkey and Italy
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What's ironic, though, about this offer is that it's essentially the same offer that the Clinton administration was negotiating with North Korea in 1999 and 2000, which was political recognition, diplomatic recognition, economic help for the North Koreans if they give up their nuclear weapons program.
NPR: Bush Conditionally Offers Talks to North Korea