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Javier Solana, foreign policy chief for the European Union, said in Brussels on Monday that the group would reconsider its relationship with Israel if it did not remain committed to establishing a Palestinian state.

Mr. Lieberman also has few fans in Egypt, which has acted as an intermediary for Israel in several matters. Some months ago Mr. Lieberman complained that President Hosni Mubarak of Egypt had not agreed to come to Israel. “If he doesn’t want to, he can go to hell,” he added.“Imagine that Hossein Mousavi wins the Iranian presidency this spring and he names Mohammad Khatami as his foreign minister,” said Meir Javedanfar, an Iran analyst in Israel, referring to two Iranian leaders widely viewed as in the pragmatist camp. “With Lieberman as foreign minister here, Israel will have a much harder time demonstrating to the world that Iran is the destabilizing factor in the region.”

Secretary of State Hillary Rodham Clinton has already criticized Israeli plans to demolish Palestinian homes in East Jerusalem, and her department has criticized Israel’s banning of certain goods from Gaza.This represents a distinct shift in tone from the Bush era. An internal Israeli Foreign Ministry report during the Gaza war noted that compared with others in the United States, “liberals and Democrats show far less enthusiasm for Israel and its leadership.”

Some Israeli officials say they believe that what the country needs is to “rebrand” itself. They say Israel spends far too much time defending actions against its enemies. By doing so, they say, the narrative is always about conflict.“When we show Sderot, others also see Gaza,” said Ido Aharoni, manager of a rebranding team at the Foreign Ministry. “Everything is twinned when seen through the conflict. The country needs to position itself as an attractive personality, to make outsiders see it in all its reality. Instead, we are focusing on crisis management. And that is never going to get us where we need to go over the long term.” Mr. Gilboa, the political scientist, said branding was not enough. “We need to do much more to educate the world about our situation,” he said. Regarding the extra $2 million budgeted for this, he said: “We need 50 million. We need 100 million.”

On Thursday, visiting British lawmakers met with the head of Hezbollah's 12-member bloc in parliament, Mohammed Raad. Britain's Foreign Office announced in March that it has contacted Hezbollah's political wing in an attempt to reach out to its legislators. It said its ultimate aim is to encourage the militant group to turn away from violence and become a positive force in Lebanon's politics.

Britain's Foreign Office announced in March that it has contacted Hezbollah's political wing in an attempt to reach out to its legislators. It said its ultimate aim is to encourage the militant group to turn away from violence and become a positive force in Lebanon's politics.

Egyptian and Palestinian officials told AP news agency that Egypt is suggesting the US would accept a commitment from Hamas to "respect" existing Palestinian agreements with Israel, rather than "commit" to them.

Hamas's charter calls for the destruction of Israel, although the group has also offered a long-term truce if Israel withdraws to its pre-5 June 1967 borders.

Egyptian Foreign Minister Ahmed Abul Gheit is currently in Brussels for talks with officials including European Union foreign policy chief Javier Solana.

Obama has already expressed a readiness to have face-to-face diplomatic contacts with Tehran, a major shift from former President George W. Bush's policy of trying to isolate a country he once branded part of an "axis of evil".

Mohammad Hassan Khani, assistant professor of international relations at Tehran's Imam Sadiq University, described Obama's appeal as a positive gesture but noted it came only a week after the extension of US economic sanctions. "This is somehow conflicting and making people here confused," he said. President Mahmoud Ahmadinejad has demanded Washington say sorry for decades of "crimes" against the Islamic Republic. Tehran also says it cannot let down its guard as long as US troops are posted on its borders in Iraq and Afghanistan. Analysts have said that Iran is setting tough conditions for dialogue with the United States to buy time for its ponderous and opaque decision-making process, which is facing a dilemma on whether or not to open up.

European Union foreign policy chief Javier Solana said he hoped Iran would pay close attention to Obama's appeal. "I hope that that will open a new chapter in relations with Iran," he told reporters before going into an EU summit. To stress the seriousness of Obama's overture, the White House distributed the videotape with Farsi subtitles and posted it on its website to coincide with Iranian observance of the ancient festival of Nowruz, celebrating the arrival of spring. But his appeal was not shown nor mentioned on Iran's main 2pm state television news, although it was reported by Iranian news agencies including the official agency IRNA.

The project was the initiative of the Czech Republic, which holds the rotating EU presidency till the end of next month.

Prague was unable to convince key EU leaders to attend -- with British Prime Minister Gordon Brown, French President Nicolas Sarkozy, Spanish Prime Minister Jose Luis Rodriguez Zapatero and Italian counterpart Silvio Berlusconi among the no-shows.

Overall the meeting was turned into something of a semi-summit, with just over half of the 27 EU nations represented by their heads of state or government.     A senior European Commission official said the absences increase the danger of "policy for the East made by countries from the East (of the EU), and a policy for the Mediterranean made by Mediterranean countries".

The draft shows some of the tensions over the eastward rapprochement, with subtle but key text changes in the final version reflecting the wishes of western Europe -- France, Germany and the Benelux countries in particular -- not to go too far with the project.     The six partner nations are clearly referred to as "Eastern European Partners" whereas the Czechs wanted to drop the "Eastern" tag.

The reference "long-term goal" was also added to a paragraph on visa liberalisation.

No mention of EU membership goals for the six is made, with several EU nations feeling they have enough on their hands with the European aspirations of the Balkan nations.

The Eastern Partnership was promoted by Czech, Polish and Swedish concerns that the EU's political focus had moved to areas where it had little real influence rather than stay on more "European" states.

While most international attention is focussed on Iran's uranium enrichment activities, the inauguration of the new plant in Isfahan shifts attention to a parallel programme that also has outside observers worried, BBC diplomatic correspondent Jonathan Marcus reports. Once it is fully operational it could produce sufficient plutonium for two nuclear weapons a year, should Iran choose to separate the plutonium from the reactor's spent fuel, he says.

The newly-opened plant will produce pellets of uranium oxide that could be used to fuel a heavy-water reactor in Arak expected to be completed some time between 2011 and 2013.

It signals Iran has reached the final stage in the nuclear fuel cycle, analysts say.

"The Iranian nation has from the beginning been after logic and negotiations, but negotiations based on justice and complete respect for rights and regulations," Mr Ahmadinejad was quoted as saying on Thursday. "One-sided negotiations, conditional negotiations, negotiations in an atmosphere of threat are not something that any free person would accept," he said.

Iran needs to "convince us all of the exclusively peaceful character of its nuclear programme", Russian Foreign Minister Sergei Lavrov said. On Wednesday, the five permanent UN Security Council members and Germany said they would ask EU foreign policy chief Javier Solana to approach Iran with the talks offer.

Signalling a policy shift, US Secretary of State Hillary Clinton said the US would be a "full participant" in talks. "Obviously we believe that pursuing very careful engagement on a range of issues that affect our interests and the interests of the world with Iran makes senses," she said. "There is nothing more important than trying to convince Iran to cease its efforts to obtain a nuclear weapon."

Iran has so far reacted cautiously to U.S. overtures since Obama took office in January, saying it wants to see a real shift in Washington's policies rather than a change in words. Ahmadinejad said on Wednesday Iran sought "interaction and negotiation based on honor, justice and respect."

Analysts say Iran may be setting tough conditions for dialogue in a bid to buy time. Adding to uncertainty, it holds a presidential vote in June in which Ahmadinejad faces a challenge from a moderate politician seeking detente with the West.

One Iranian analyst said he expected Ahmadinejad to say in Isfahan, where Iran has a uranium conversion facility, that it has perfected the last of several phases of fuel output, with the production of uranium pellets and fuel rods for reactors.