The military exercise of the North's special operation forces -- carried out as Kim watched with binoculars at an observation post -- was aimed at "destroying specified targets of the enemy," including the South's Blue House, KCNA said.
The ruling Workers' Party newspaper Rodong Sinmun also carried a two-page report of the drill, showing several pictures of a building resembling the Blue House being invaded by the North's troops and set on fire, as well as one of Kim roaring with laughter as he watched the simulated attack.
No date was given for the military exercise.
"Well done, the enemy troops will have no space to hide themselves, far from taking any counteraction," KCNA quoted Kim as saying.
There are growing concerns of fresh provocation by Pyongyang following Friday's impeachment of South Korean President Park Geun-Hye.
Prime Minister Hwang Kyo-Ahn, who has temporarily taken on the role and authority of acting president, held an emergency cabinet meeting and ordered the military to be extra vigilant against the North.
The UN Security Council slapped its toughest sanctions yet on the North this month for its fifth nuclear test in September, capping the North's annual coal exports -- its top external revenue source.
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