U.S. Special Representative for North Korea Stephen Biegun, center left, speaks to the media with South Korea's Special Representative for Korean Peninsula Peace and Security Affairs Lee Do-hoon, center right, at Foreign Ministry in Seoul, South Korea, Friday, Dec. 21, 2018. The Trump administration's special envoy for North Korea on Friday expressed optimism about the diplomatic push to resolve the nuclear crisis, a day after the North issued a surprisingly blunt statement saying it will never disarm unless the U.S. removes what it calls a nuclear threat. AP

South Korea and the United States agreed Friday that a highly symbolic inter-Korean event will be held in North Korea next week as scheduled, Seoul's top nuclear envoy said.

After a "working group" meeting with Washington's special representative for North Korea, Stephen Biegun, Lee Do-hoon said the two Koreas will also proceed with their joint war remains recovery program under the Trump administration's agreement.

The issue of providing North Korean residents with Tamiflu, an antiviral medication, has been also resolved, Lee told reporters.

The two Koreas plan to hold a groundbreaking ceremony in the North's border town of Kaesong on Wednesday for their work to modernize and re-connect cross-border roads and railways.

U.S. Special Representative for North Korea Stephen Biegun speaks to the media following the meeting with South Korea's Special Representative for Korean Peninsula Peace and Security Affairs Lee Do-hoon at Foreign Ministry in Seoul, Friday. AP

U.S. Special Representative for North Korea Stephen Biegun, right, talks with South Korean Unification Minister Cho Myoung-gyon, left, during a meeting at the Unification Ministry in Seoul, South Korea, Friday, Dec. 21, 2018. North Korea said Thursday it will never unilaterally give up its nuclear weapons unless the United States first removes what Pyongyang called a nuclear threat. AP

Seoul sought to head off a possible controversy over the ceremony, as Pyongyang is subject to a wide web of tough sanctions led by the U.S. and the United Nations for its nuclear and missile program.

The allies also agreed that they face a crucial moment in the coming months for the complete denuclearization of the peninsula and establishment of a peace regime, he added.

In that sense, Lee said, the allies agreed to work together for early working-level talks between Pyongyang and Washington. (Yonhap)