North Korea warned Saturday that it is prepared to risk an "all-out war" against South Korea amid an exchange of artillery fire on their border.

"Our military and people are prepared to risk an all-out war not just to simply respond or retaliate, but to defend the system our people chose," North Korean foreign ministry said in a statement on Saturday, according VOA News.

"The situation has reached the verge of war and can no longer be reversed," the ministry said in statement, released by official KCNA news agency. South Korea resumed broadcast of the propaganda message with loudspeakers from Aug. 10.

Kim Jong-un declared a semi state of war and placed his frontline troops on war footing after an emergency meeting on Thursday, as previously reported by HNGN.

North Korea also fixed 5:00 p.m. (0800GMT) Saturday as the deadline for South Korea to stop propaganda broadcasts along Demilitarised Zone (DMZ) and has threatened to launch military action if Seoul defies its ultimatum.

"A strong military counteraction will be launched if South Korea does not meet a Saturday deadline for removing loudspeakers broadcasting anti-North Korean propaganda along their border," North Korea's deputy UN ambassador An Myong Hun told reporters, according to the Associated Press. "I would say that our military will not make any empty talks."

South Korean defence minister Han Min-koo warned the North of a harsh price for any provocations, reported Xinhua.

North Korea also deployed artillery to the demilitarized zone on Saturday for a possible attack, according to Korea Times. The North Korean military brought 76.2-millimeter artillery guns into the DMZ.