Cyprus rivals in 'fruitful' talks

Mr Talat says both sides have a shared language of peace

Rival leaders of the island of Cyprus have held "productive" talks aimed at reunifying the island after 34 years of division and stalemate.

Cyprus President Demetris Christofias and rival Turkish Cypriot leader Mehmet Ali Talat met at a compound in Nicosia.

After the four-and-a-half hour talks, UN envoy Alexander Downer emphasised that there was still a long way to go.

"This is the very beginning of the process," said the former Australian foreign minister.

"There have been no particular timelines agreed but obviously both leaders are doing what they can to push the process at an appropriate speed," he added.

Although there is no deadline for the talks, Mr Talat has indicated that he hopes to reach an accord by the end of the year.

'Big issues'

One of the key issues that will be thrashed out is a possible power-sharing structure for a united Cyprus.

Both leaders agree in principle on a future federal structure but there is not yet a shared understanding on how power would be divided in a central government.

"These are big issues and discussing something like governance and power-sharing for a constitution is a big question, inevitably it will take a bit of time," Mr Downer said.

Mr Talat expressed optimism as the talks opened, speaking of "a unique language of peace" shared by both negotiatiors.

However, neither Mr Christofias not Mr Talat made any immediate comment after the talks.

Security issues, property disputes and Turkey's military presence on the island remain key issues also to be resolved.

EU hopes

Analysts say the talks have a real chance of bringing the dispute - which threatens Turkey's EU membership hopes - to an end.

Crumbling symbol of a divided isle Cyprus explained Q&A: Peace process Your views

The island has been divided since a Turkish invasion in 1974, triggered by a brief Greek-inspired coup in Nicosia.

Turkey has 35,000 troops in the breakaway Turkish Cypriot north.

Mr Christofias and Mr Talat - both seen as moderates - are expected to meet at least once a week after this second round of talks.

They have also agreed to set up a hotline so they can remain in constant telephone contact throughout the negotiations.

However, the UN has warned that talks should not continue indefinitely without concrete progress being made.

The last attempt at a negotiated solution - in 2004 - collapsed when Turkish Cypriots voted in favour of a UN settlement plan which was rejected by Greek Cypriot voters.

As a result, Cyprus joined the European Union that year as a divided island with Turkish Cypriots denied the bloc's membership benefits.