Kathmandu, Jan 7 (IANS): Nepal Prime Minister K.P. Sharma Oli said on Sunday that the Himalayan country has been working on developing cross-border railways linking China and India in cooperation with the two neighbouring countries.

Addressing the lower house of parliament, Oli said the Nepal government was preparing to sign a Memorandum of Understanding (MoU) with China for preparing Detailed Project Report (DPR) of a proposed cross-border railway connecting Chinese border town of Kerung (Geelong port) and Nepal's capital Kathmandu.

"Its pre-feasibility study has already been conducted with Chinese assistance," he said, Xinhua reported.

Officials of Nepal's Ministry of Physical Infrastructure and Transport and the National Railway Administration of China have held discussion on the development of the proposed project in Kathmandu during the second of week of December.

According to Oli, the Nepali government is also preparing to sign an MoU with China to conduct pre-feasibility study of two other railway lines -- one connecting Kathmandu and Pokhara, a tourism city in western Nepal and another linking Kathmandu and Lumbini, southwestern city of Nepal.

Likewise, the Nepali premier also said that Nepal has signed an MoU with India to conduct detailed study on a cross-border railway linking Kathmandu and Indian border town Raxual with India's assistance.