The coalition partners are reportedly confident of reaching agreement on future aviation policy during a cabinet meeting later this week.
A rift has opened up between Fianna Fáil and the Progressive Democrats in recent weeks over the second terminal planned for Dublin Airport.
The PDs want the terminal to be operated privately in competition with the state-run terminal, but Fianna Fáil wants the planned new facility to remain in state hands.
Last week, Transport Minister Martin Cullen said competing terminals had been an "abject failure" elsewhere, suggesting the two sides were still at loggerheads on the issue.
However, reports this morning said sources in both parties were confident a solution would be found this week.
This solution will apparently be based on a compromise that would see the Dublin Airport Authority being allowed to compete to run the second terminal.
This morning's reports said the compromise would also include a commitment to having a third, independently-operated terminal at the airport at some point in the future.