BANGKOK - The Thai cabinet is likely to approve next week a scheme of China investing in an 867-m dual- track rail, local media reported on Friday.

The rail project connecting northeast Thailand's Nong Khai province, capital Bangkok and eastern Rayong province will be developed through a government-to-government contract, Transport Minister Prajin Juntong was quoted by Bangkok Post as saying.

The route will use the 1.435-meter standard gauge and trains will be operated at speeds of 160-180 km per hour, according to Prajin.

The minister said he would set up and lead a working panel to work out details of the project.

The panel's conclusions will be submitted to the National Legislative Assembly before Thailand and China sign a Memorandum of Understanding, expectedly next month, he added.

The investment of the project is estimated to total 400 billion baht (12.2 billion US dollars), with the mode of investment or investment ratios between China and Thailand yet to be decided, Prajin said.

The construction is tentatively slated to begin in 2016, according to the minister.

The rail project is part of the Sino-Thai efforts to develop a strategic network and promote the regional economy, Prajin commented.