North Korea says it will continue to honor a memorandum of understanding with a U-S led-consortium on building two nuclear reactors in the North.

Seoul officials on Wednesday said the North reaffirmed its commitment to the MOU with the Korean Peninsula Energy Development Organization during working-level inter-Korean talks last week.

The North had earlier hinted at canceling the MOU due to KEDO's lack of cooperation.

The agreement protects about one hundred-20 South Korean personnel assigned to preserve and maintain the reactor site in the remote North Korean village of Kumho.

The two reactors were slated for completion in 2003, but tension over the North's nuclear program and other issues have delayed construction.