Although a spokesman at the Libyan foreign ministry has said a settlement of the Lockerbie affair is "close", the official news agency Jana has suggested a resolution could be some time off.

The comments follow Saturday's meeting between Libyan leader Colonel Gaddafi and UN Secretary-General Kofi Annan, who described the talks as "positive and fruitful".

Stephen Gibbs: Further frustration for victims' relatives

Mr Annan was on a mission to clarify, face to face, the British and American position on the handing over of two men suspected of carrying out the bombing of a passenger plane over Lockerbie in 1988, which killed 270 people.

Meeting 'insignificant'

A Jana editorial said: "It is not logical and reasonable to solve the Lockerbie problem under the pressure of what is called the 10th anniversary of the Pan Am accident," which falls on 21 December.

He poured scorn on the idea that Mr Annan's meeting with the colonel at a desert camp was of some significance:

"Kofi Annan did not hold talks with the brother leader of the revolution. He merely went to see him where he was in the Libyan desert, to salute him and greet him on his recovery." (Colonel Gaddafi was on crutches)

Decision timetable

In theory the Libyan People's Congress has the final say, but correspondents say it is not clear whether this is going to be used as a reason for refusal, or as a means of giving public endorsement to a risky decision by Colonel Gaddafi to agree to a trial.

It had been thought that the Congress, which is holding its annual meeting in a five day session on Tuesday, could take a decision on the suspects.

But Jana has also dampened those hopes.

"Normally a debate in the General People's Congress takes three to 10 days, depending on what foreign or domestic issues are on the agenda. Sometimes it takes 10 days of debate and when they finish we take a final decision."

Even after congress approval, any surrender of the two men would require unspecified "arrangements", it said.

Gaddafi unpredictable

Saturday's meeting, at a secret location in the desert, came at the end of a day fraught with delay and confusion.

Annan: Postive talks with Gaddafi

Mr Annan said Tripoli had accepted the men should be tried in a foreign country.

"Libya has confirmed its seriousness and readiness to find a solution to the Lockerbie problem," he said.

"Libya has also agreed to a trial in a third country and believes that it ought to be possible to find answers to all other outstanding issues relating to this matter. It will require some time but not an inordinate amount."

Our diplomatic correspondent in Tripoli says that since a final deal was what Mr Annan went to Libya to achieve, the outcome must be regarded as a setback.

The United States Government said it was disappointed that the mission had not ended with Libya handing over the suspects.

The main sticking point is thought to be the question of where the suspects would serve a sentence if they were found guilty.

Cook: No move on Scotland trial

UK Foreign Secretary Robin Cook said he was encouraged by the talks.

"Kofi assured me this morning that he has made it very clear to Colonel Gaddafi that there is no point holding out for agreement for imprisonment somewhere other than Scotland, " he told BBC One's Breakfast with Frost programme.

Families look to trial

In August, Britain and America offered a compromise arrangement under which the Libyan suspects would be tried in the Netherlands under Scottish law before Scottish judges in return for the lifting of UN sanctions.

Dr Jim Swire, whose daughter died in the bombing and who is founder of the support group for British victims' families, said the planned trial must go ahead.

"Unless this trial is allowed to take place there is no way in which Libya will be able to escape the implication that she was guilty," he said.

A spokesman for the families of American victims, George Williams, was also optimistic about the prospect of a trial.

"Usually a world leader won't go somewhere unless he knows he's coming away with something concrete - so I believe we'll hear something in a short period of time."

Key facts on Lockerbie
Profile: Muammar Gaddafi, Libyan maverick
Profile: Kofi Annan, Master of diplomacy