Kumari Bank Leads Financing Agreement for 61.11 MW Nar Khola Hydropower Project in Manang

Kumari Bank has led a financial loan investment agreement for the construction of the 61.11 MW Nar Khola Hydropower Project in Manang, with Singati Hydro Energy Limited (SHEL) as the main investor. The agreement was signed on Monday by Nar Khola Hydro Energy Pvt. Ltd. Chairman Batu Lamichhane and Kumari Bank Regional Credit Officer Arpan Pokharel.

The project will utilize water from the Nar Khola and Soti Khola rivers, with structures located in Narpa Land Rural Municipality, and electricity generation occurring via a penstock pipeline to the power house in Naso Rural Municipality. The project features a gross head of 588.82 meters, an 8 km headrace tunnel, and is expected to generate 366.48 GWh annually, supplying power to the Dharapani substation under the Power Purchase Agreement with NEA.

The total project cost is NPR 12.84 billion, with NPR 9.63 billion in bank loans and NPR 3.21 billion in equity, primarily funded by Singati Hydro Energy Limited. Other banks involved include Nepal SBI Bank, Agricultural Development Bank, NIC Asia Bank, and Muktinath Development Bank.