Nepal, Feb. 8 -- After nearly two months of drama, a series of failed negotiations and the eleventh hour trip to Singapore aimed at bringing the Melamchi project back on track, the government has officially terminated the contract with its Italian builder on Thursday.

The Melamchi Water Supply Development Board has dispatched a final project termination letter to the contractor Cooperativa Muratori e Cementisti di Ravenna, its executive director Surya Raj Kadel told the Post.

Unlike the previous letter sent to the CMC on January 20, in which the contractor was given a 14-day window to respond, this correspondence does not contain such provision.

Read: Officials and Italian contractor have differing stories on Melamchi dispute and trave...