The project is located in Phaktanglung Gaunpalika (Tapethok/Linkhim/Ikhabu, Lelep, Khejenim VDCs) and Phungling Nagarpalika (Phurumbu VDC) in Taplejung District. Geologically, the project area is located in the Lesser Himalaya region. It falls within the Taplejung Formation and Mitlung Augen Gneiss Formation.

The nearest roadhead to the project site is in Phungling, the district headquarters of Taplejung. Phungling is the terminal point of the Mechi Highway which connects to the East West highway at Charali, Jhapa District. The length of Mechi highway from Charali to Phungling is about 235 km.  The highway is double lane and blacktopped.

The project’s powerhouse site at Sisne is about 4 hours walking distance from Phungling, whereas it takes another 5 hours to reach the headworks site at Tapethok from Sisne. There is also an all season airport at Suketar about 4 km from Phungling but only limited flights are available. The nearest airport with regularly scheduled flights is in Bhadrapur. The nearest seaport is in Calcutta, India which is about 770 km from Charali. Charali is about 60 km from Siliguri, the nearest town in India, across the eastern boarder of Nepal.

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