The project lies in the northern part of Albania, in the Thethi and shala river valley, which is part of the "National Park of Thethi", located about fours hours drive east of Skhodra.
The area is well known for being sparsely populated, and in times of heavy snow fall is practically inaccessible. Only few communities are used to reside in the valley year-round. The project location is characterized by ample rainfalls and snow. These conditions offer a priori an intersting potential for the development of the water resources of Thethi and Shala River for hydro power generation.
The Thethi river stems from severals sources and streams above elevation 800 masl and flows north to south before merging with Lumi i Zi- Black river (Fig 2). it Becomes then the River Shala and ultimately flows into Lake Koman.