2. YESTERDAY'S ASIAN WALL STREET JOURNAL ALSO CARRIED SIMILAR STORY UNDER THE HEADLINES
CHINA ORDERING COAL MINE GEAR FOR DOLLAR300 MILLION ACCORD WITH UK LINKED WITH PEKING AGREEMENT TO SEND HONG KONG FUEL
FIRST 5 PARAS STATED
BEGINS
LONDON (AP) CHINA AGREED IN PRINCIPLE TO BUY DOLLAR300 MILLION OF MINING EQUIPMENT FROM BRITAIN, SOURCES SAID HERE. THE SALE IS LINKED WITH A RECENTLY ANNOUNCED DOLLAR200 MILLION ORDER FROM TWO HONG KONG POWER COMPANIES FOR GENERATING GEAR FROM THE UK. CHINA WILL SPEND THE DOLLAR300 MILLION ON MINING EQUIPMENT TO DEVELOP ITS CONSIDERABLE COAL DEPOSITS AND OTHER MINERAL RE- SOURCES. A SECOND ORDER FOR ABOUT THE SAME AMOUNT MAY FOLLOW, THE SOURCES SAID.
THE AGREEMENT IS TIED TO THE ORDER FROM HONG KONG FOR GEAR FOR A NEW GENERATING PLANT. THE FACILITY, BEING BUILT BY CHINA LIGHT AND POWER CO AND EASTERN ENERGY LTD, AN EX-XON CORP UNIT WILL BURN BOTH COAL AND OIL.
UNDER THE TERMS DISCLOSED IN LONDON, CHINA WILL SUPPLY HONG KONG WITH 3.5 MILLION TONS OF COAL FOR THE NEW STATION AND OTHER PURPOSES. THE LENGTH OF THE CONTRACT WASN'T DISCLOSED, NOR WAS THE PRICE.
THE ACCORD WAS ARRANGED LAST MONTH IN LONDON BETWEEN BRITISH
TRADE MINISTER EDMUND DELL AND HIS CHINESE COUNTERPART LI CHIANG. ENDS
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MR.CORTAZZI MR.MURRAY MR. THOMAS
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