WASHINGTON, July 14: A high-powered Indian delegation is arriving in Washington on Monday for talks on finalising the Indo-US nuclear deal. “The United States stands ready to resolve the remaining outstanding issues on the 123 agreement,” State Department spokesman Sean McCormack told reporters on Saturday.

The 123 agreement, called so because of a US law which requires a formal agreement between the United States and the country receiving assistance, has to be finalised before a nuclear deal can be implemented.

“The United States understands the importance of the agreement to our relationship and the benefits it will bring to both nations,” Mr McCormack said. “We are confident that with continued hard work, flexibility, and good spirit, we will reach a final agreement.”

Although initiated two years ago and already approved by the US Congress, the nuclear deal has delayed because of the conditions attached by the lawmakers.

Under the proposals approved by Congress, the deal will terminate automatically if India conducts another nuclear test.

The proposals also restrict India’s capability to reprocess nuclear fuel retrieved from the plants it will receive from the US.

Both conditions are unacceptable to India.

The Indian delegation, which will stay in the US capital from July 16 to 19, includes Indian National Security Adviser M. K. Narayanan, Department of Atomic Energy Chairman Anil Kakodkar and Foreign Secretary Shivshankar Menon.

On July 17, US Undersecretary of State for Political Affairs R. Nicholas Burns will host the Indian delegation for meetings and a dinner to discuss the US-India Civil Nuclear Cooperation Initiative, including the bilateral agreement for peaceful nuclear cooperation, also known as the 123 agreement.

Indian officials will also participate in meetings with US National Security Adviser Stephen Hadley at the White House.

In addition, Under Secretary Burns and Assistant Secretary for South and Central Asian Affairs Richard Boucher will hold discussions with the Indian delegation on broader bilateral relationship, and ways to work together to bring stability to the South Asia region, the State Department said.