N.Korea, UNC to resume dialogue

Pyongyang has previously demanded to send a high-level panel to the South to inspect evidence dredged from the seabed, but Seoul rejected the demand.

"As North Korea is conceiving a serious threat to its national security, it may conduct a third nuclear test, and small exchanges of fire are even possible along the border," analyst Lü told the Global Times.

"However, the tension will not escalate to a large-scale conflict, because both Koreas are aware that neither could benefit from war," he added.

Also Thursday, North Korea signed a new accord on economic and technical cooperation with China, the KCNA reported, without disclosing details.

The accord was signed in Pyongyang between the North's Foreign Trade Minister Ri Ryong-nam and Chinese ambassador to Pyongyang Liu Hongcai.

The new accord came after a Chinese delegation led by Assistant Minister of Foreign Affairs Hu Zhengyue visited Pyongyang.

Hu met Kim Yong-il Thursday, director of the international department of the Workers' Party's central committee, KCNA said.

Agencies contributed to this story