North Korean leader Kim Jong Un has sent a letter to President Donald Trump praising progress in relations between the two countries and bringing up the possibility of another meeting between the two state heads.
Kim also expressed optimism that "the strong will, honest efforts and unique approach" by the two leaders will open up a "new future" between the US and the North.
Pompeo had visited Pyongyang last week in a bid to ease any misunderstandings between the two parties and find areas where they could make progress.
Pompeo underscored the importance he places on the issue earlier this week when he tweeted that North Korea had committed to repatriating remains.
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But U.S. Defense Department and United Nations Command officials were left waiting in the DMZ's Joint Security Area, with no immediate explanation for the North Korean absence, according to South Korean's Yonhap news agency and U.S. officials who spoke to CNN and The Washington Post.
Defence officials have already shipped dozens of cases to Panmunjom in anticipation of receiving the remains of United States troops.
Following the North Koreans' no-show at Thursday's meeting, the USA state department said the two delegations had agreed to meet on 15 July.
"We had expected that the USA side would offer constructive measures that would help build trust based on the spirit of the leaders' summit. we were also thinking about providing reciprocal measures", Pyongyang's Foreign Ministry said in a statement, according to The Associated Press.
But in stark contrast, Pyongyang's take was overwhelmingly negative, with the North warning that the future of the peace process was being jeopardized by overbearing USA demands for its unilateral nuclear disarmament.
According to the United States information, a Russian-flagged tanker identified as Patriot transferred fuel to a tanker on April 10 which then arrived at North Korea's Nampo port five days later.
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An estimated 30,000 USA soldiers died in the Korean war.
According to Choi's source, the North Korean government says it has already unofficially presented its findings to Japan, but Kim has ordered the probe outcome to be explained again since Prime Minister Shinzo Abe's administration claims to have never been briefed about it.
Pompeo, Trump's point person for all things North Korea, conceded Washington and Pyongyang "still have a long ways to go".
Their meeting - the first between a sitting U.S. president and North Korea, led to claims that the latter would work towards dumping its nuclear weapons. Pyongyang has asked the UN Command Armistice Commission to upgrade the talks to a higher level to include a USA general, South Korea's foreign ministry said.
Trump has repeatedly voiced optimism that Kim will dismantle the regime's nuclear weapons program despite recent news reports that North Korea continues to expand its nuclear facilities.
While the details are unclear, a setback on talks over the remains wouldn't bode well for broader negotiations about North Korea's nuclear program.
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But Pyongyang warned that the future of the peace process was being jeopardised by "unilateral and gangster-like" USA demands.