CONFIDENTIAL

IMMEDIATE

TO PARIS

INFO PRIORITY BTC HONG KONG, HONG KONG, PEKING

GUANGDONG NUCLEAR

YOUR TELNO INDUS 182

1. MIFT contains a speaking note for meeting with the Quay d'Orsay dealing with continuing French involvement in operation of the plant.

2. From the meeting with Ravier it appears that the French already envisage extending their involvement beyond the six months allowed for in EdF's current contract, but under the Sino/French nuclear co-operation agreement.

3.

For this to be of value in easing the current difficulties in Hong Kong

it is important that the French intentions

are made public before contract signature. We understand that the French are reluctant to do this, on a number of grounds. Our objective must be to persuade them that some public commitment at this stage is in their own interest, in improving the prospects for a smooth path to contract signature by helping to reassure Hong Kong public opinion.

4. If the French contend that no decision on continuing support has yet been made, the position is more difficult.

However

we should still point out that one of Hong Kong's key concerns

Safe

is the continuing operation of the plant, and the benefits

[the

which could accrue in terms of reassuring Hong Kong public

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