Islamabad: China would extend Rs 30 billion loan to Pakistan to build its third nuclear power plant at Chashma so as to boost its nuclear power generation.

Pakistan was all set to formally initiate work on the 325 MW second power plant at Chashma in Punjab which would cost around (Pak) Rs 55 billion and China has agreed to extend Rs 30 billion assistance local newspaper 'Daily Times' quoted officials of the Pakistan Atomic Energy Commission (PAEC) as saying.

The balance money would be generated locally, they said.

China has already helped Pakistan to set up a nuclear power plant at Chashma which was inaugurated in 2002. The Chashma Nuclear Power Plant-1, which was the second in the country produced about 325 MW of power.

The country's first nuclear power project, the Karachi Nuclear Power Plant, (KANUPP), built with Canadian help currently generated about 137 MW of power.

PAEC officials said the second nuclear power project at Chashma would be completed by 2010. "With the initiation of this project, Pakistan would be able to generate 787 MW electricity from the country's nuclear power plants," they said adding that plans were a foot to set up a 600 MW second power plant at KANUPP also. However it would be taken up after completion of Chasma-II.

PTI