Lithography has been faced with a challenge to bring resolution down to the 10-nm level. One of the promising approaches for such ultra-high-resolution printing is self-imaging Talbot lithography with extreme ultraviolet (EUV) radiation. However, as the size of structures on the mask approaches the wavelength of the radiation, diffraction influence needs to be evaluated precisely to estimate the achievable resolution and quality of the patterns. Here, the results of finite-difference time-domain simulations of the diffraction on EUV transmission masks in dependence to the period (pitch) of the mask are presented with the aim to determine the resolution that can be realistically achieved with the EUV Talbot lithography. The modeled experimental setup is utilizing partially coherent EUV radiation with the wavelength of 10.9 nm from Xe/Ar discharge plasma EUV source and Ni/Nb-based amplitude transmission mask. The results demonstrate that the method can be used to produce patterns with resolution down to 7.5-nm half-pitch with mask demagnification utilizing achromatic Talbot effect and transverse electric (TE)-polarized light.