RESTRICTED
136171
MDLIAN 1720
DREDGING. IT IS HOPED THAT THIS WOULD REDUCE BY ONE-THIRD THE COST OF THE DREDGING ELEMENT. SINCE THIS WOULD REQUIRE MANY FEWER DREDGING BARGES THERE WOULD BE LESS PROSPECT OF A CARTEL AMONG THE DUTCH AND BELGIUM DREDGING FIRMS, SO THE PROVISIONAL AIRPORT AUTHORITY BELIEVE.
4. THE PAA ARE DETERMINED TO KEEP COSTS DOWN FOR THE TOTAL PLATFORM CONTRACT TO AROUND HKD10 BILLION CI.E. APPROXIMATELY 730 MILLION) (WHICH IS A LOT LESS THAN THE FIRST ROUND OF BIDDING AND A LOT LESS THAN MOST INDUSTRY ESTIMATES OF THE LIKELY COST). COSTAIN AND BALFOUR BEATTY EACH HAVE TEAMS HERE AT PRESENT. NEITHER WILL BE HAPPY WITH THIS DEVELOPMENT, EVEN ALTHOUGH IT PROBABLY WILL NOT BE UNEXPECTED, GIVEN THE VERY HIGH COST OF PREPARING THEIR PREVIOUS BID AND GIVEN THE ADDITIONAL UNCERTAINTIES, TOGETHER WITH THE LOS OF THEIR POSITIONS AS LOWEST AND SECOND LOWEST BIDDER RESPECTIVELY.
HEAP
YYYY
DISTRIBUTION
30
ΜΑΙΝ
27
HKD
FED//HD
PUSD//HD
PUSD//DPTY HD
ECONOMIC ADVISERS//HD
ERD//HD
RAD//MR WYE
PS
PS/LORD CAITHNESS
PS/PUS
SIR J COLES
MR BURNS
MR BONE
ADDITIONAL
3
MR HALL HD/PEP DTI
SIR P CRADOCK NO 10.
MS B CORNER, CAB OFF
NNNN
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