The good news is that this feature has always been available, albeit masked by the fact that it only works in offline search mode and that it works in both Nokia Dive (WP7.5 & WP7.8) and Nokia Drive+ (WP8).
Below is a simple How-To on how it works.
1) Switch Nokia Drive app to “Offline” mode (Settings –> Connection –> Offline)
2) Navigate to Search (Set destination –> Search) and enter the GPS coordinates as follows:
N ##.######, E ##.###### (you can also omit the "N" and "E")
3) Hit "enter" and the location will show on the map.
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