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Aug 7, 2007

N Korea energy aid talks resume

North Korea joined the US and representatives of four other countries on Tuesday for talks at the heavily armed border dividing North and South Korea on an aid package the North would receive for its nuclear disarmament.

The two-day meeting at the truce village of Panmunjom is being held under the auspices of the six-nation talks on North Korea's nuclear program - which include China, Japan, Russia and South Korea.

The countries were to discuss technical details of how to provide North Korea with the equivalent of 950,000 tons of oil in exchange for abandoning all its nuclear programs and disabling its facilities under a February agreement.

North Korea has already received 50,000 tons of oil for shutting down its sole operating nuclear reactor last month and inviting UN nuclear inspectors to ensure it stays closed.

''After many twists and turns, the six-party process has gained momentum again,'' South Korean nuclear envoy Chun Yung-woo said as he opened the session.

The nuclear talks are usually held in Beijing and Tuesday's session is the first time the six-nation group has convened in Panmunjom, where North and South Korean soldiers stand face-to-face.

''This truce village symbolizes a particular legacy of division of the Cold War, which I believe should be remedied through the peace process to proceed in parallel with the denuclearization process,'' Chun said.

Agreements on ending the North Korea's nuclear weapons programs include proposals for discussions on a peace plan for the peninsula, which remains technically at war since the 1950-53 Korean War ended in a cease-fire that has never been replaced with a peace treaty.

On the eve of the talks, North and South Korean soldiers briefly exchanged gunfire along their border, South Korea's Joint Chiefs of Staff said.

North Korean soldiers fired several shots toward a South Korean guard post in the eastern part of the Demilitarized Zone that divides the Korean peninsula.

South Korean soldiers immediately returned fire, a statement said.

No one was hurt on the southern side, and it was unclear if there were any casualties on the northern side.

On Tuesday, Chun said the nuclear talks would focus on finding a ''cost-effective and feasible'' package of options for aid. North Korea has limited storage facilities for oil and its facilities are rundown.

The US has previously said some of the assistance could be infrastructure improvement.

The South Korean diplomat said there would be ''obstacles and pitfalls'' in the talks, but also higher expectations for speedy progress in disarming North Korea.

''Our task only becomes more difficult and challenging,'' Chun said.

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