WASHINGTON, Sept. 2 (UPI) -- George Mitchell, President Obama's special envoy for Mideast peace, said Thursday he believes conflict between Israel and the Palestinians can be resolved.

After the conclusion of the first round of discussions between Israeli Prime Minister Benjamin Netanyahu and Palestinian Authority President Mahmoud Abbas, Mitchell, who was attended the session with U.S. Secretary of State Hilary Clinton, said the two leaders agreed most of their discussions must remain secret because of the sensitive issues involved.

"As you know, these men have known each other for a long time," Mitchell said in response to a question on the tone of the meeting. "This is not the first meeting between them. They are not in any way strangers politically or personally. And I felt that it was a very constructive and positive mood, both in terms of their personal interaction and in terms of the nature of the discussion that occurred."

Mitchell acknowledged deep differences between Israel and the authority and warned extremists on both sides will try to derail the talks.

"I believe very strongly, deeply, and personally that this conflict can be resolved and that these negotiations can produce a final agreement that enables the establishment of a Palestinian state and peace and security for both peoples," he said.

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