China International Water and Electric Corp (CWE), a subsidiary of the Three Gorges Corporation, has signed an agreement with Associated Technology Limited (ATL) of Pakistan to build the 720MW Korrak hydropower project.

The US$1.2B project will be built on the border area between Punjab and Azad Jammu and Kashmir, and will take four years to complete, The News International in Pakistan has reported.

The project will be the first hydro scheme developed as a joint venture between a Chinese public sector company and a private company of Pakistan, and could help pave the way for similar developments in the country.