KATHMANDU: The China Three Gorges Corporation (CTGC) and Nepal Electricity Authority (NEA) have signed an agreement to jointly invest in the West Seti Hydropower project.

NEA executive director Kulman Ghising and CTGC representative signed on the agreement paper on Thursday.

The planned West Seti Hydropower Project will be one of the largest reservoir type hydro projects in Nepal.

The agreement was reached after 10 months of preliminary agreement signed between these two bodies. According to NEA spokesperson, Parbal Adhikari, as per the agreement a joint company would be established to make joint investment for the project.

Accordingly, the Chinese company will invest 75 per cent of the construction cost while 25 per cent shall be borne by the NEA.

The project is estimated to cost Rs. 160 billion.