Yesterday's preparatory talks, held in the border truce village of Panmunjom where the armistice ending the 1950-53 Korean War was signed, were the first between the two rivals for more than two years.
In a sign of the trust deficit that remains six decades after the armistice agreement, they dragged on into this morning as the two sides struggled to agree a framework for a more substantive dialogue.
"Both sides issued separate statements on the outcome after failing to narrow differences over the level of chief delegate and agenda," the South's Unification Ministry said.
Agreed topics for discussion in Seoul include the future of the Kaesong joint industrial complex which the North effectively shut down as the recent military tensions between the historic rivals peaked.
More From This Section
The resumption of South Korean civilian tours to the North's Mount Kumgang resort and reunions between families divided since the Korean War will also figure, the separate statements said.
South Korea responded swiftly by offering a meeting in Seoul between its Unification Minister and his North Korean counterpart, which yesterday's talks in Panmunjom were meant to set up.
The two Koreas have not held ministerial talks since 2007.
In the end, it was unclear who exactly would attend, with the North and South statements vaguely alluding to "authorities" with ministerial-level responsibilities.
"Inter-Korean talks have always been like this -- pretty opaque with lots of ups and downs, and ins and outs," said Yang Moo-Jin, a professor at the University of North Korean Studies in Seoul.