The provincial government in Manus in Papua New Guinea hopes the PNG national government and Canberra will come back tomorrow with a new plan to involve them in the island's asylum seeker camp.
Australia intends sending its asylum seekers to Manus, off PNG's north coast, as part of its plan to discourage them from trying to reach Australia illegally by boat.
There are already nearly 400 asylum seekers on Nauru.
The governor of Manus, Charlie Benjamin, complained two weeks ago that his administration's joint venture plans with an Australia logistics company had been ignored by Canberra and Port Moresby.
He also raised concerns that the promise of aid for the island province had not eventuated.
Mr Benjamin says he expects some concessions to be made in planned talks on Wednesday but he says regardless of what is offered the camp is still likely to go ahead.
