1667
139
Foreign and Commonwelth Office
_
Mendon SWIA 2AH
HK K16
16611
K
7 2 OCT 1980
PA
20 October 1980
Lord Nelson of Stafford
Chairman
GEC Limited
1 Stanhope Gate
LONDON W1
Dear George,
bbd:
220/10.
L
Mr. Morrice
Mr. Williams Jr01. Im offerzy
Sir E Youde Mr Donald
FED
HKGD JNU
>
Mr Havelock, MEE Div, DOI Mr Preston, CRE 4/2 DOT
NUCLEAR POWER IN CHINA
When we met on Friday evening you asked whether we had any confirmation of reports that during President Giscard's visit to Peking agreement had been reached for the supply of French nuclear reactors to China.
We have so far seen only the reports which appeared in the press on Saturday morning. From these it appears that no contract has yet been signed but that it has been agreed in principle to revive a 1978 agreement, subsequently cancelled, under which FRAMATOME were to supply two 900 MW reactors. Since President Giscard is quoted directly, there seems no reason to doubt these reports but we are awaiting confirmation from Percy Cradock. In the light of his comments we shall be considering the implications for the Guangdong nuclear project and possible British participation in it.
In the meantime you will no doubt have been informed that Cradock was able to raise the Guangdong project during meetings last week with the Chinese Prime Minister and, later, with the Vice-Chairman of the Import and Export Commission. It was clear from these conversations that the Chinese government have no objection in principle to the idea of a nuclear power station in Guangdong and approve the continuation of discussions between Guangdong and China Light and Power in Hong Kong. This was probably as much as we could reasonably have expected at this early stage.
As
As you
you know,
know, I'm off to Aprica today for 3 cod But I've asked Riddy Yanke to keep in torch conthi.
Vidael
Michael Palliser