Plans for the construction of Pakistan’s Munda dam have progressed with a letter of implementation reported to have been delivered to US-based firm Amzo Corp.

‘It is our first project in Pakistan and we have plans to complete it by 2012 with a 20:80 equity-debt ratio,’ Shahid Iqbal, a partner in the company, told the Reuters news agency. Amzo is now to carry out a feasibility study into the project before it can proceed.

The agreement was confirmed earlier this week by federal minister for water and power Aftab Ahmad Khan Sherpao, according to Pakistani media reports.

The multi-purpose dam project in Pakistan’s north west frontier province is to include a 740MW hydroelectric facility with total costs estimated to be US$1.2B.