India and Pakistan on Tuesday held secretary-level talks on the contentious Baglihar hydro-electric project across the Chenab in Jammu and Kashmir.
The two sides identified six technical issues, which do not conform to the Indus Water Treaty of 1960 and would be discussed again on Wednesday.
This comes a day after Islamabad said it would seek World Bank arbitration if the "last ditch effort" failed.
Prior to the two-day talks, the nine-member Pakistani delegation led by Ashfaq Mahmood, secretary, water and power, called on Union Water Resources Minister Priyaranjan Dashmunsi and had a 20-minute meeting with him.
Secretary,Water Resources, VK Duggal, who heads the 12-member delegation, and Pakistani High Commissioner to India Aziz Ahmed Khan, were also present.
Pakistan had accused india of adopting "dilatory tactics".
The last secretary-level meeting was held in June 2004 and ways and means to resolve the issues related to the 450-mw project were formulated.
Subsequently, a list of additional data and information was requested by Pakistan. India furnished all possible data/information and drawings on December 15, 2004.
Water talks