The US envoy to talks on dismantling North Korea's nuclear programs said Friday that negotiations could resume in a week or two after they abruptly ended without progress because of a financial dispute.

This week's failed session was the latest blow to the six-nation negotiations and could imperil a fragile disarmament process. Delegates are scrambling to meet a series of tight deadlines on shutting down the North's main nuclear reactor and delivering energy aid in return before an April 14 deadline.

US envoy Christopher Hill said Friday morning before departing Beijing that it was "quite possible" the talks could start again within a week or two once the financial issue had been cleared up.

Meanwhile, South Korean Unification Minister Lee Jae-joung said he believes the United States and North Korea could establish diplomatic relations "within two years" and that such a move would mean that the "North Korean nuclear issue will be resolved."

The talks between the Koreas, the United States, Japan, Russia and China opened Monday with the aim of fine-tuning ways to implement a hard-fought Feb. 13 agreement under which the North would ultimately fully disclose and dismantle all its nuclear programs.

But discussions never got off the ground because of a drawn out dispute over the transfer of North Korean funds that had been frozen in Banco Delta Asia in Macao.

North Korea refused to participate in full six-party talks until all $25 million was released.

The other envoys became impatient and on Thursday China issued a statement saying they would take a recess, but did not give a restart date.

Even before China called the recess, chief North Korean negotiator Kim Kye Gwan had flown out of Beijing, upset that the funds remained stuck at the Macao bank.

Hill said another six party session would be arranged "as soon as we get their bank transfer done."

South Korea's envoy, Chun Yung-woo, said the key issue is not the date of the next talks but whether North Korea sticks to the timetable of its agreements.

"What is important is whether North Korea shuts down its Yongbyong nuclear facility and allows the return of the IAEA (inspectors) to meet the April 14 deadline," Chun said. "That is the important factor that will determine the future of the Feb. 13 agreement."

Under the February deal, the North is to receive energy and economic aid and a start toward normalizing relations with the US and Japan, in return for beginning the disarmament process. The country would ultimately receive assistance equivalent to 1 million tons of heavy fuel oil if it fully discloses and dismantles all its nuclear programs.