Israeli and US officials said that Washington is “not optimistic” about reaching a hostage swap deal with Palestinian factions in the Gaza Strip, but will soon present a new proposal, Anadolu reports.

Washington is drafting a new proposal, which will be presented to Tel Aviv and mediators, although the US is not optimistic about finalizing a deal soon, state-run broadcasting authority KAN reported, citing unnamed Israeli and US officials.

The officials said the US has labeled the plan that is being drafted as a “last chance proposal.”

According to what the officials told KAN, the “US settlement proposal includes all the contentious points, foremost among them the Philadelphia Corridor between the Gaza Strip and Egypt.”