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Argentina, Chile settle touchy channel dispute

Argentina and Chile have successfully concluded negotiations at the Vatican on a treaty to settle the Beagle Channel dispute, which brought the two countries to the brink of war in 1978, Foreign Ministry sources said Monday.

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The heads of the Argentine and Chilean delegations at the talks will now return to inform their governments about the progress achieved. Sources say the signing of a formal treaty is only a matter of time.

The Vatican had been mediating for five years in a dispute over several islands in the Beagle Channel, at the tip of South America.

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