for a phased approach, with the road and then the port facilities

constructed in advance of the new airport. Mr Wu maintains that

this would be both technically feasibly and financially viable.

5. In advance of any final Hong Kong Government decision on the

project the DTI have agreed to make a grant to British companies

wishing to conduct feasibility studies. This will of course in no

way prejudge the Hong Kong Government's own decision, but is a

demonstration of support for British companies who hope to be

involved in this very substantial project if it comes about.

total value of the project is estimated at £2.16 billion.

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