09
'GRS 225
PRORITY
CYP CAT A
FM PEKING 39073AZ JAN
RESTRICTED
RESTRICTED
TO PRIORITY FCO TELNO 48 OF 30 JAN.
HKK 164/1
RECLIVSE
30 JAN 1978
DESK OFFICE INDEX
No
PA
INFO ROUTINE BTC HONG KONG, DOT CREDA (CRE4), DI INDUS (MACDONALD ICS2).
YOUR TELNO 5 TO BTC HONG KONG: POWER STATION PROJECT. 1. I WILL TELL THE MFT THIS WEEK THAT THE AP STORY DID
NOT ORIGINATE FROM OFFICIAL SOURCES IN LONDON. IF
POSSIBLE I SHALL CONFINE MYSELF TO THAT STATEMENT RATHER
THAN SAY THAT WE REMAIN ANXIOUS TO CONCLUDE A DEAL SINCE SUCH A STATEMENT IS LIKELY TO PROVOKE QUESTIONS ABOUT THE
WAY IN WHICH WE THINK THE THREE POINTS OF THE TRIANGLE MIGHT BE CONNECTED FINANCIALLY. THIS IS AN ASPECT ON WHICH I STILL AWAIT GUIDANCE (DTI CREDA 4 TO ME). (8
NIR
THIS
2. YOU WILL HAVE SEEN FROM MY TEL CREDA 13 THAT THE
TOTAL CHINESE ORDER MIGHT BE ABOUT £127 MILLION. IS A GUESS BASED ON A HINT WHICH MORRIS OF ANDERSON STRATHCLYDE MANAGED TO GET FROM ONE OF HIS CHINESE INTERLOCUTORS WHO SAID THAT THE TOTAL ORDER MIGHT WELL BE BIGGER THAN THE LAST ONE (WHICH WAS ABOUT C109 MILLION).
I SEE NO SIGNIFICANCE IN RESPECT OF POSSIBLE SALES OF BRITISH MINING EQUIPMENT TO CHINA IN THE FACT OF HK
LEFT WING PAPERS CARRYING THE STORY PROMINENTLY. THE POLITICAL ADVISER WILL NO DOUBT COMMENT ON THIS, BUT I WOULD GUESS THAT THE LEFT WING PRESS WERE MORE INTERESTED
IN THE COAL FOR HONG KONG ANGLE ON WHICH THEY MAY WELL
HAVE HAD BRIEFING AS TO THE PARTY LINE.
4. THE PEOPLES DAILY HAS MADE NO MENTION OF THE SUBJECT NR (YOUR TEL NO 33) BUT THERE IS NOTHING SURPRISING IN THIS. THEY WOULD NORMALLY ANNOUNCE ONLY A FORMAL AGREEMENT
BETWEEN GOVERNMENTS.
133
YOUDE
FILES
HK & GD TRED FED
NEWS D
MR MURRAY
OID
MR CORTAZZI
AZZI MR THOMAS
RESTRICTED
COPIER TO
CREA DOT
MR MACDONALD ICS2 DOI