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In order to find solutions to transboundary water allocation conflicts and establish the systems of transboundary water resource compensation institutions, scientific theories are used to clarify the relationships between the two players and play the function of basin management organizations. This paper takes Zhang River as an example, uses F-H method which is the abbreviation of Fraser and Hipel to model the real world. The decision of different parts including upstairs, downstairs and left bank, right bank and the game relations among them are analyzed. Four balanced finals of complete cooperation and partial cooperation are educed, based on which water conflicts are made peace.