By KWANG-TAE KIM
The Associated Press
Tuesday, August 7, 2007; 12:12 AM

PANMUNJOM, Korea -- North Korea joined the U.S. and four regional powers Tuesday at the heavily armed border dividing the Korean Peninsula to hash out details of the aid that Pyongyang will 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 also include China, Japan, Russia and South Korea.

Experts from the countries were to discuss the 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.

Plans from this week's working-level meeting would need to be finalized by chief arms negotiators at the full six-nation talks, which are expected to reconvene in September.

North Korea has already received 50,000 tons of oil for shutting down its sole operating nuclear reactor last month and inviting U.N. 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 Tuesday's session.

The nuclear talks are usually held in Beijing and this week is the first time any group under the six-nation forum 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. There were no known injuries.

On Tuesday, Chun said the nuclear talks would focus on finding a "cost-effective and feasible" package of options for the aid. North Korea has limited storage facilities for oil and its facilities are rundown. The U.S. has previously said some of the assistance could be in infrastructure improvement.

There will be "obstacles and pitfalls" in the talks, Chun said, adding there are also higher expectations for speedy progress in disarming North Korea.

"Our task only becomes more difficult and challenging," he said.