The Biden administration is advancing a diplomatic effort aimed at halting hostilities in Lebanon and restarting negotiations on a Gaza ceasefire and hostage exchange, according to multiple U.S. and Israeli officials, along with sources familiar with the matter.

The initiative, which could be unveiled as early as Wednesday, is seen as a move by the White House to prevent further escalation between Israel and Hezbollah.

Conversations around the initiative began following a phone call last Monday between White House National Security Adviser Jake Sullivan and Israeli Minister of Strategic Affairs Ron Dermer, according to U.S. and Israeli officials.

In recent days, the U.S. has been coordinating with France, Israel, Lebanon, and other Arab nations, according to a U.S. official and a European diplomat.

“We are working with several countries on a proposal for a diplomatic solution for the north,” a U.S. official confirmed. An Israeli official added, “Netanyahu has given the green light to discuss this initiative.”

The objective is to secure a temporary halt in fighting to allow space for broader diplomatic negotiations. These talks aim to prevent a wider regional war, facilitate the return of displaced civilians on both sides of the border, and reignite momentum toward a Gaza ceasefire and hostage agreement, a source with knowledge of the plans told Axios.

“If Hezbollah allows for a diplomatic solution, it could push Hamas leader Yahya Sinwar toward a potential deal,” the source said.

During an Axios event on Tuesday, White House Deputy National Security Adviser Jon Finer emphasized that the Biden administration sees a potential path to de-escalating tensions on the Israel-Lebanon border. “We’re working on it in real-time in New York and capitals around the world,” Finer said.

Lebanese Speaker of Parliament Nabih Berri warned on Wednesday that the next 24 hours will be “crucial” for diplomatic efforts to prevent further conflict.

The White House has yet to comment on the proposed initiative.

On Wednesday morning, Hezbollah launched a surface-to-surface missile at Tel Aviv—the group's longest-range strike against Israel to date. Hezbollah claimed the target was Mossad headquarters, describing the attack as retaliation for Israeli operations involving pager and walkie-talkie disruptions.

Air raid sirens blared across the Tel Aviv region, but the missile was intercepted.

In response, the Israeli army carried out extensive strikes against Hezbollah positions in Lebanon on Wednesday and deployed two reserve infantry brigades to reinforce the border area. The commander of Israel’s northern command indicated that the next phase of the conflict could include a ground invasion.

Israel's security cabinet is expected to convene on Wednesday evening to deliberate on further military actions.

Meanwhile, Lebanese Prime Minister Najib Mikati arrived in New York for the UN General Assembly, while Israeli Prime Minister Benjamin Netanyahu is set to arrive on Thursday.