SECRET

HMB063/1

Mr Store

22/

Дря

Paul, Hen)

munite

Antich

PS/Lord

Caithness

FROM:

DATE:

CC:

To see

A R Paul

Hong Kong Department

18 January 1991

Mr McLaren

Mr Burns

ROYAL NAVAL PRESENCE AFLOAT IN HONG KONG

previous papers

again! pls.

e

1. Lord Caithness has said that he would be willing to speak to Mr Hamilton to try to resolve the impasse over funding the RN presence afloat in Hong Kong. You asked to see a speaking note. I submit a speaking note.

2.

A

20,

In view of developments in the Gulf, this may not be the most propitious time to approach the MOD. Resolution of this issue, while important, could wait a little longer. problem could arise in April when Hong Kong would, under normal circumstances award the tender, estimated value HK$480 million, for the reprovisioning of the naval base at Tamar to Stonecutters Island. If there is no prospect of agreement by then the contract should be delayed: there would obviously be no point in moving the naval base if there was no Navy to occupy it.

Panc

A R Paul

BUGAEF/1

SECRET

6

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