Mubarak briefed the king on "the latest contacts between the Palestinian Authority and the United States," the official told AFP, adding "Israeli obstacles to a resumption of the negotiations are unacceptable."
The Palestinians insist that for direct peace talks that started on Sept. 2, only to stumble to a halt three weeks later, Israel must cease all Jewish settlement activity in occupied territory.
The September negotiations ended at the same time as a 10-month moratorium on settlement building in the West Bank.
Israel is currently mulling plans for a fresh 90-day ban on West Bank settlement building in return for a generous US package of political and military benefits.
The one-off freeze would halt new building in the West Bank but not in annexed east Jerusalem, which the Palestinians want as the capital of a future state.
Palestinian President Mahmoud Abbas on Sunday said he would not return to the negotiating table unless the freeze included East Jerusalem. Mubarak said Gulf countries agreed with Cairo that the peace talks must resume, but "in a manner that safeguards Palestinian rights," the official said.
The Egyptian president was in Bahrain on the final stage of a Gulf tour that also took him to the United Arab Emirates and Qatar.
Earlier, King Hamad appointed a Jew and a Christian among four women to the 40-member upper chamber, following a parliamentary election last month, state media reported.
The king kept 30 members of the outgoing Shoura, or consultative, council including the speaker, Ali Saleh Al-Saleh, according to a royal decree published by BNA news agency.
Nancy Khadhori joined the chamber after a fellow Jew, Huda Nono, left the house to take the role of Bahrain's ambassador to the United States.
"I am very happy to receive the royal trust. I hope I will be up to the responsibility," said Khadhori, one of only 37 Bahraini Jews who originated from Iraq.
Meanwhile, Hala Qarrisah entered the house as fellow Christian Alice Samaan, who was deputy head of the council, exited the Parliament.
Bahrain's Christian community numbers around 1,000. The Shiite opposition emerged as the largest single bloc in Bahrain's lower chamber following the parliamentary election on Oct. 23.
