The Taoiseach and the British Prime Minister will consider putting forward an agreed set of proposals to resolve the political deadlock in the North.
Informed sources said last night such proposals would outline how aspects of the Belfast Agreement which have not been implemented should be carried forward. This would involve plans - and possibly timetables - for the implementation of police and criminal justice reform, demilitarisation and human rights aspects of the agreement.
The key element would involve suggestions as to how the devolution/decommissioning impasse could be resolved in a way that satisfied both unionists and the republican movement.
Speaking after a short meeting in Lisbon with the British Prime Minister Mr Blair, the Taoiseach said the two governments would now "go through the remaining aspects of the Good Friday agreement, get a clear understanding of what is left to do, how we will do it and a timescale in which we will do it".
While he did not confirm that there would be joint proposals, he said the governments would now attempt "to get a clear line on each and every aspect of the agreement so that the two governments are absolutely at one on these". He said they would then "try to bring the other parties along", but he warned: "Nothing is going to happen overnight."
Any joint proposals would probably be tabled before Easter if all parties have indicated they are interested in further negotiation, but have failed to reach agreement. Easter is seen as the working deadline for agreement, although sources say if progress has been made by then, talks could continue.
Sources in both governments say Mr David Trimble has, by his comments in Washington last Friday, indicated a willingness to consider new proposals. However, a similar indication from the republican movement is still awaited.
The two governments may initiate a further series of bilateral meetings between the parties and the governments to start next week. However, no announcement of a detailed strategy is likely until Mr Trimble has negotiated his Ulster Unionist Council meeting in Belfast tomorrow.
British sources suggest the governments have no "strategy", in the sense of having devised at this stage a specific "deal" to be agreed at the end of talks. The current plan, they say, is simply to set up a further round of talks between the parties and the governments to try to reach agreement on the re-establishment of the North's political institutions.
Mr Ahern said the views of all parties would have to be taken into account and he would have discussions with some of the smaller parties next week. Referring to the prospects of success, he said: "It's getting no easier."
The Taoiseach and the British Prime Minister's official spokesman yesterday declined to comment directly on tomorrow's challenge to Mr Trimble's leadership of the Ulster Unionist Party.
Mr Ahern said the Government had "worked very closely" with Mr Trimble and his leadership. "We work with them very well and look forward to continuing to do that after Saturday."
Mr Blair's official spokesman said the Prime Minister "has huge admiration for David Trimble and his role in the peace process".