The comments were made as intensive diplomacy took place around the world to agree a deal which would form the basis for a Kosovo peace settlement.

US State Department spokesman James Rubin said: "We will have a resolution today that meets all of our objectives and that will have all the necessary decisions to allow for the peacekeeping force with Nato at its core to operate in Kosovo. "

He was speaking in Germany where the foreign ministers of the G8 industrialised countries - in their second days of discussions - have been trying to resolve the remaining three sticking points.

Their discussions had been adjourned on Monday so that the Russian Foreign Minister, Igor Ivanov, could consult Moscow.

As the talks reconvened in Germany, the Russian President, Boris Yeltsin denounced Nato "aggression" against Yugoslavia, which he said had "seriously complicated the international climate."

But he made no comment on the draft peace deal.

Elsewhere, the EU's Balkans envoy, Martti Ahtisaari, has briefed Chinese leaders in Beijing, where he is hoping to secure vital Chinese support for the planned UN resolution.

And President Yeltsin is reported to have discussed the deal with his Chinese counterpart Jiang Zemin by phone.

Diplomats on both sides of the Atlantic hope the meeting in Germany, of foreign ministers from the Group of Eight nations, will agree a draft resolution ready for consideration by the United Nations Security Council on Tuesday.

Hashim Thaci, the political leader of the Kosovo Liberation Army, says the rebel group is ready to publicly pledge that it will not attack Serb troops leaving the province.

But Yugoslav Deputy Foreign Minister Nebojsa Vujovic says Belgrade officials should be allowed to check who is entering Kosovo under the terms of the peace deal.

He said: "The Serbian border crossing people and customs officials should stay to see there are only refugees coming back, not the people from Albania proper including those separatists and terrorists."

Hashim Thaci: Ready to guarantee Serb safety

A BBC correspondent in Belgrade says the condition is not likely to be well received by Nato.

Fighting has continued on the Kosovo Albanian border with Reuters news agency reporting artillery shells landing about 25km into Albanian territory.

A spokesman for the Organisation for Security and Cooperation in Europe said it was the first time shells had landed so deep inside Albania.

Nato air attacks have gathered pace again following a lull in the days after President Slobodan Milosevic first signalled his intention to agree to a peace deal.

On Monday more than 660 sorties were flown by Nato, General Sir Charles Guthrie said a British Ministry of Defence briefing.

Optimism about outcome

The UK Foreign Secretary, Robin Cook, said a final agreement on the resolution was close, and would lead to a peace deal acceptable to all sides.

Yugoslav officials have also expressed optimism that a settlement to the conflict can be reached shortly.

There are reported to be three outstanding issues after the ministers reached agreement on about 20 other matters on Monday.

They are said to cover Nato's proposed control over a Kosovo peace force and its enforcement powers it will have, and the role of the international war crimes tribunal.

There are also understood to be problems over the "sequencing" for the end of Nato's military campaign.

Nato wants a verifiable Serbian withdrawal from Kosovo before it stops bombing.

Russia and China - both permanent security council members with the power to veto a resolution - are arguing for a pause in bombing before they will support the resolution.

And Serbia says it will only withdraw after a UN resolution is signed.

Resumed bombing

As the meeting in Germany ended the Nato alliance resumed bombing of Yugoslavia.

Brian Hanrahan in Bonn: "Most of Russia's objections have been overcome"

Huge palls of smoke and flames rose from Serbian oil refineries early on Tuesday after they were attacked, and explosions were heard in central Belgrade for the first time in several days.

Serbian local radio said the huge oil refinery at Pancevo near Belgrade was bombed. Residents in the centre of the capital heard intense anti-aircraft fire and several explosions.

(Click here to see a map of last night's Nato strikes)

Two missiles hit civilian houses in Belgrade suburbs without exploding or without causing casualties, the official Yugoslav news agency Tanjug said.

The BBC's Ben Brown: "Each day that passes without a final peace deal is another day of misery"

Yugoslav media also reported that fires raged at a major refinery in the northern city of Novi Sad after it was bombed around midnight, killing one civilian and wounding five.

Talks between Nato and Yugoslavia over the latter's retreat from Kosovo made little progress on Monday, with only informal contact between the sides.

The BBC's John Simpson: "I think Milosevic's aim is to try and win back some self respect"

But late on Monday a formal session lasting two hours was held at Kumanovo in the Former Yugoslav Republic of Macedonia, according to the Itar-Tass agency.

Nato spokesman Jamie Shea said the door remained open for further peace talks with Yugoslav generals, but not for negotiations.

• 'No negotiation' with Milosevic - Blair
• Russia sides with Serbs
• Full text of the peace document
• KFOR: How it will work