Mid-East talks continue in secrecy

Clinton has been mediating between Arafat and Barak

The US is expected to present the Israelis and Palestinians with proposals aimed at bridging their differences, as the Middle East peace summit goes into its fourth day.

A strict news blackout has been imposed on the talks, which are taking place at Camp David near Washington.

US officials have stressed that the mood of the discussions is serious and that the issues are very tough.

The two sides are trying to thrash out issues such as the status of Jerusalem, the future of Palestinian refugees and the establishment of a new Palestinian state.

Palestinians may not accept a deal without Jerusalem

"The goal here... is to try to make these talks successful," said US State Department spokesman Richard Boucher. "We are not trying to characterise optimism or pessimism at any given moment."

He was speaking after US Secretary of State Madeleine Albright had met senior negotiators from both sides.

But Mr Boucher provided no details on what had been discussed. US President Bill Clinton has said he believes that the less there is reported about the talks, the greater the chance of their success.

The talks are expected to last for another five days.

Land swap?

One compromise - which both Palestinian and Israeli sources have said is under discussion - is an offer from Mr Barak to hand over unpopulated land within Israel in exchange for continuing control of Jewish settlements in the mainly-Palestinian West Bank.

The two parties have said the future status of Jerusalem, which both sides claim as their capital, is the most difficult subject on the table.

"These are not easy issues," said Hanan Ashrawi, a former minister in the Palestinian self-rule authority.

The US is pushing for a single comprehensive settlement to resolve all outstanding issues.