2010-08-12 00:59

Israel's Prime Minister Benjamin Netanyahu attends the weekly cabinet meeting at his office in Jerusalem August 1, 2010. [Agencies]

JERUSALEM -- President Barak Obama's envoy says there's still no agreement to start direct peace talks between Israel and the Palestinians.

This comes despite optimism expressed in Washington that direct talks could begin by September 1.

Envoy George Mitchell met Wednesday with Israeli Prime Minister Benjamin Netanyahu, who repeated his support for direct negotiations without conditions.

Mitchell said the US shared that objective and was continuing its efforts.

Netanyahu replied, "So let's get on with it."

Palestinian negotiator Saeb Erekat rejected that and said "the key is in Netanyahu's hands."

Palestinians insist Israel must stop all settlement construction and agree to general borders before talks.