Colombo, Dec. 23 (AP): Tamil Tiger rebels are studying the Sri Lankan government's latest proposal to resume peace talks, which waters down its demand that the talks focus on a final settlement to the two-decade conflict, officials said on Wednesday.

The proposal seeks to extract a formal commitment from the rebels that they will honour Sri Lanka's sovereignty and integrity and not work for a separate Tamil state, sources close to the government said on condition of anonymity.

In exchange, the government would no longer insist that peace talks focus on a final settlement before addressing rebels' interim demands for broad autonomy in Tamil-dominated areas, the sources said.

The proposals were conveyed by Norway's special envoy Erik Solheim, who has tried to broker a solution to the conflict, to chief rebel negotiator Anton Balasingham on Monday in London.

Balasingham was quoted as saying on the TamilNet Web site, which reports on Tamil affairs, that the rebel leadership "is carefully studying the proposals and will discuss them before responding."

Harim Peiris, a spokesman for President Chandrika Kumaratunga, noted the comments and said that the government was trying to work out an agenda to restart the talks.

But analysts were pessimistic that the Tigers would agree to the proposals, which seek a commitment by the rebels not to threaten Sri Lanka's integrity. The result would be to give up the goal of an independent Tamil state, long a bedrock demand.