hm. No wisdom from me, just observations: Talking, not talking, "lovely time" = how good for you! What a wide range of conversation topics and honesty you shared, including his owning up to his role in his failed marriage, you owning up to yours. Shared history, lack of expectations on both sides and the above seems like a great start.
It says a lot that he spent so much time trying to convince you to date again and that you have no strong need(iness) for dating and that you are enjoying happiness, contentment, and you for now. Very healthy.
I think you are wise to be factoring in the challenges of a long-distance relationship.
Honesty and comfort = companionship: a good start - or a good end goal if that's all you want or are ready for.
"What to do with it?" I'd just continue to go with it, see where/if it leads and enjoy this good thing you have at this moment.
You won't, "lose the intimacy and positive, healthy support" if it's real - which it seems to be right now.
Continue to be true to yourself and to be open to possibilities - not expectations.
Like I said, no wisdom, just observations from someone who would love to have your "dilemma" right now
What the hell. Enjoy it for all the good that it is right now. No more, no less.
Gardener
"My soul, be satisfied with flowers, With fruit, with weeds even; but gather them In the one garden you may call your own." Cyrano deBergerac
