LONDON, England -- U.S. and UK officials have met a Libyan delegation for talks on bringing the former pariah state in from the cold, ahead of a landmark visit by Tripoli's foreign minister to Britain next week.

Prime Minister Tony Blair's meeting with Libyan foreign minister Abdel Rahman Mohammed Shalgam in London will be the highest-level talks between the two countries in more than 20 years.

The Foreign Office says Shalgam will on Tuesday discuss with Blair and British Foreign Secretary Jack Straw issues including Libya's commitment to rid itself of nuclear, chemical and biological weapons.

U.S. officials told Reuters their delegation to the talks with the Libyans, led by Assistant Secretary of State William Burns, could discuss easing sanctions and restoring an American diplomatic presence in Tripoli, although they have said they do not expect early decisions...

...Last year it agreed to pay $2.7 billion to relatives of the 270 people killed in a Pan Am airliner blown up by a Libyan agent in 1988 over Lockerbie, Scotland. Early this year, it also agreed to pay $170 million in compensation to the families of 170 people killed in the 1989 bombing of a French UTA airliner...

...In December, Libya announced it was halting chemical, biological and nuclear weapons programs. Its cooperation has helped unravel a global network of nuclear technology proliferation, culminating with the confession this week by Pakistan's top nuclear scientist that he sold secrets....

...Easing the sanctions could allow U.S. oil companies, including Oasis Group that includes Marathon Oil Co., ConocoPhillips and Amerada Hess, to resume activities in Libya, which they had to abandon when expanded U.S. sanctions forced them to pull out in 1986.

European oil firms such as France's Total and Italy's Agip have exploited the lack of competition from the U.S. to sign lucrative deals in Libya, which produces about 1.4 million barrels a day and is a member of OPEC.

The British Foreign Office's director for the Middle East and North Africa, Edward Chaplin, said Chalgam's visit to London next week would be a "milestone in what have been steadily improving relations."

"Our goal is to generally help Libya along the track to entering the international mainstream."