Seoul and Washington have agreed "in principle" on a defense cost-sharing agreement that has been stalled for about a year.
Seoul's foreign affairs ministry said on Monday that the two sides plan to officially sign the Special Measures Agreement after concluding internal procedures.
The ministry added it hopes the new deal will contribute to a stronger alliance.
It was reached on Sunday after three days of negotiations in Washington D.C. led by Seoul's chief negotiator Jeong Eun-bo and his American counterpart Donna Welton.
It was the first face-to-face meeting on the matter since President Biden took office.
The Wall Street Journal reports the U.S. is pleased to have "reached consensus on a proposed text".
It's likely the official agreement will be unveiled when U.S. Secretary of State Antony Blinken and Secretary of Defense Lloyd Austin travel to Seoul in the coming weeks.
They are reportedly planning visits to South Korea and Japan later this month.
The specifics of the deal were not disclosed, including exactly how much the deal will amount to in monetary terms.
Seoul had been suggesting an increase of about 13 percent from its last payment.
The deal may also be a multi-year one that could span at least five years.
Talks on a deal have been stalled for about a year after the Trump administration demanded a sharp increase.
But the agreement was reached less than two months since President Biden took office, as he declared his will to restore U.S. alliances, including striking a deal with Seoul as soon as possible.
Yoon Jung-min, Arirang News.