High in the Himalayas, near the militarized zone that divides Kashmir, a dispute over water resources is shaping up as a new flashpoint in the unstable region. Last year, India began work on a $925 million effort to dam the Kishanganga River in the Indus Basin and build a long tunnel to divert water through electricity-generating turbines. But the Kishanganga is a tributary of the Jhelum River, and a 50-year-old treaty gives Pakistan the right to use all of the Jhelum9s water. India insists that its "run of the river" hydropower project will not stem flows into the Jhelum. But Pakistan is not convinced—and tempers are flaring.