North Korea's state news agency KCNA said it had lifted upright a capsized 5,000-ton naval destroyer on Saturday, after a failed launch in May.
The ship is now moored at a pier in the northeastern port of Chongjin. Experts will now look at its hull.
South Korean intelligence and satellite imagery also suggested that the ship was in an upright position in the harbour, according to the 38North website.
KCNA quoted Jo Chun Ryong, a senior official from the ruling Workers' Party, as saying that the "perfect restoration of the destroyer will be completed without fail" this month, a deadline set by leader Kim Jong Un.
Kim, who saw the destroyer as a crucial asset, had called the failed launch a "criminal act caused by absolute carelessness, irresponsibility, and unscientific empiricism." An investigation was launched and four officials were arrested.
Outside observers remain unclear on how the naval destroyer could have been damaged.
KCNA said last month that an underwater and internal inspection of the warship revealed the damage was "not serious."
North Korea's naval arsenal:
The ship is Pyongyang's second known destroyer, after the Choe Hyon, which was unveiled last month.
State media reports said it is capable of carrying different weapons, including nuclear missiles.
Seoul's military intelligence said the Choe Hyon could have been developed with Russian assistance, in exchange for North Korean troops helping Moscow's war in Ukraine.
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