CODE 18-77
SS 10/76
Reference.
FKK-1644
NOTE FOR THE FILE
COAL FOR HONG KONG POWER STATION
IND...
1 1 NGV
Nol द
Ac.on Toten
1. I attended a meeting called by Mr A J Macdonald in the Department of Industry to discuss the line to be taken should the visiting Chinese Minister of Foreign Trade at the end of the month raise the possibility of a barter deal under which they would buy British mining equipment in exchange for coal to be supplied to China Light and Power for their new power station in Hong Kong. Such a possibility has been mentioned before though the precise mechanics of the deal remain vague.
2. The upshot of a long and rambling discussion was that, while we accepted that such an arrangement would be broadly beneficial to Hong Kong, the advantages were not so great as to justify HMG's paying any financial penalty (eg by our providing extended credit other than on normal commercial terms). But it was not possible to form precise views on the proposal until we knew the full details.
10 November 1977
حكمر
Mr Thompson tp
see
W.Ch.
W E Quantrill
Hong Kong & General Department
235