SEOUL, Sept. 30 (Xinhua) -- South Korea and the Democratic People's Republic of Korea (DPRK) held rare working-level military talks Thursday, the first time in nearly two years, the defense ministry said.

Three officials from both sides of the border met in the truce village of Panmunjom at the border at around 10:00 a.m. local time. It was the first military contacts since the deadly sinking of a South Korean warship in March.

The two Koreas, whose relations remain at their lowest ebb in years following the incident, are expected to discuss pending military issues possibly including the fatal sinking that killed 46 sailors.

The meeting, initially proposed by Pyongyang in what Seoul believed might be part of its peace overtures, coincides five-day joint anti-submarine exercises by Seoul and Washington in the Yellow Sea held in response to the sinking.

The last such military talks between Seoul and Pyongyang, former wartime rivals, were held in October 2008.