U.S. diplomats are confirming sensitive negotiations "at the highest level with the Government of Uruguay" to provide a home for former terror suspects at Guantanamo.

Uruguay's weekly Busqueda magazine reported Thursday that President Jose Mujica agreed to accept five of the prisoners at President Barack Obama's request. It said that U.S. Secretary of State John Kerry personally thanked Mujica on Monday.

The deal reportedly included a requirement that the former detainees remain inside Uruguay's borders for at least two years.

But U.S. Ambassador Julissa Reynoso denies it's a done deal. She said Thursday that talks are still underway.

Mujica aide Diego Canepa tells The Associated Press he is unaware of the issue.

There are 154 detainees still held at the prison.