KATHMANDU: A joint venture (JV) agreement has been signed between China Harbour Engineering Company Ltd and Salasungi Power Ltd for the construction of the 78-megawatt Sanjen Khola hydropower project.

Under the agreement, China Harbour will contribute much needed foreign investment of approximately $150 million to Nepal’s economy.

It will develop the project in an international standard under the model of Nepal-China cooperation, as per a media statement issued by the company.

The project has already obtained all necessary government approvals including the Power Purchase Agreement, Generation Licence and Environmental Impact Assessment approvals.

The project will commence construction in 2018 and will be completed by 2022.