HOF 0029/13
PP TI
RR PEKING
PR FCO
GR 500
•HKD
WH 31
FILE
NO DISTRIBUTION
HICK
НСК бани
46
See 47
See 1,20
HEK 295/1 (1984)
ATI/OTH
4384 47
RESTRICTED
FM BTC HONG KONG 1909152 DEC 82
TO PRIORITY DTI
TELEGRAM NUMBER OTTER 267 OF 19 DECEMBER
INFO PEKING (FOR TOWLSON) FCO
215-3946
FOR HENDERSON, PEP, FROM PERRY
SHENZHEN INTERNATIONAL AIRPORT (SIA)
-S JARED
L
Taken
1. YOUR CTTER 266 GAVE ME USEFUL WARNING FOR THE VISIT I RECEIVED ON 16 DECEMBER FROM MIKE HALPER, MD OF EPITISH AIPFORTS INTERNATIONAL (BAT) AND MIKE HUGHES OF BAA, THEY HAD SPENT 3 DAYS IN SHENZHEN, ACCOMPANIED BY AN INTERPRETER-ASSISTANT FROM VOCEN I PEKING, AUD HAD SIGNED AN AGREEMENT TO EXPLORE THE MODALITIES OF FORMING A JOINT VENTURE TO DESIGN, CONSTRUCT AND PUN AN INTERNATIONAL AIRPORT IN XIXIANG, JUST OUTSIDE THE WESTERN BORDER OF THE SE?.
2. HALPER AND HUGHES HAD SPENT ALL 3 DAYS WITH OFFICIALS FROM SHENZHEN SEZ DEVELOPMENT CORFORATION (SEZDC) AND THE SHENZHEN INTERNATIONAL AIRPORT PLANNING AND CONSTRUCTION OFFICE (SIAPCO), AND HAD VISITED THE PROPOSED SITC. THE CHINESE CAID THAT PEKING
HAD AUTHORISED PLANNING TO PROCEED FOR AN AIRPORT WITH TWO RUNWAYS CAPABLE OF TAKING 7473. THE SITE CHOSEN MEANT THAT AT LEAST HALF THE AIRPORT WOULD BE ON LAND TO BE RECLAIMED NEXT TO THE FROPOCED ROUTE OF GORDON WU'S SUPER-HIGHWAY TO CANTON. 3A1 ESTIMATED THE AIRPORT CONSTRUCTION COST TO BE AT LEAST US DOLLARS 300 MILLION, AND SAID THAT THE CHINESE WERE CALCULATING 2-3 YEARS FOR PLANNING AND THE SAME FOR CONSTRUCTION, WHEREAS BAI WOULD PECKON A 13 YEAR TOTAL TO BE NORMAL.
3. THE FINANCIAL VIABILITY OF THIS PROJECT WILL DEPEND NOT ONLY ON DUTY-FREE ASPECTS OF THE GEZ AND ON ITS TOUPIST AND INDUSTRIAL DEVELOPMENT (241 WERE MORE IMPRESSED BY THE POTENTIAL OF THESE
THAN MANY RECENT VISITORS TO CHENZHEN). OTHER MAJOR FACTORS WILL BE: WHETHER OR HOT OIL IS DISCOVERED IN COMMERCIAL QUANTITIES OFF
THE PEARL RIVER ESTUARY, AND WHETHER OR NOT HONG YONG'S FUTURE
GROWTH DEMANDS A SECOND AIRPORT (AND IF SO, WHETHER ONE IS
BUILT IN HONG KONG). THE CHINESE MADE IT CLEAR TO 3A1 THAT THEY
REGARDED THE FUTURE OF SIA AS HONG KONG'S SECOND AIRPORT.
•
4. BAI SET OUT WITH THE INTENTION OF SEEKING TO SECURE A CONTRACT
FOR A FEASIBILITY STUDY THE CHINE E HOWEVER WISHED TO DISCUSS
THE FORMATION IF A JV TO DESIGN, NANCE, CONSTRUCT AND MANAGE
THE AIRPORT. DAY AGPEED TO EXPLORE THE POSSIBLE FINANCIAL AND