CONFIDENTIAL

MR GOODLAD ́S VISIT TO HONG KONG: 7-9 JANUARY 1994

BRIEF NO,

6

BLACK POINT POWER STATION IN TUEN MUN

Background

1.

In December 1992 CAPCO, a company formed by China Light and Power (CLP) and Exxon Energy, awarded the GEC-Alstom/GE (USA) Consortium a contract for the 8 x 300 mw gasfire combined cycle power station of Black Point. The UK content is around 530 million pounds. Babcock Energy will be supplying the waste heat boilers. This was a major coup for GEC-A as the project was won in the face of intense international competition, notably from Siemens.

2.

The plant will be fuelled by natural gas piped to Hong Kong from the South China Sea. The gas supply contract with China National Offshore Oil Corporation and its partners was signed in December 1992, securing 20 years of piped natural gas supply. The construction programme started on 1 February 1993 when access to Black Point site was obtained. Contracts for site formation, cooling water works, piling, main civil works and chimney works have been placed. All site work is currently proceeding to programme.

3.

Deliveries of the first major items of generating plant will commence in mid 1994. The first two units, corresponding to a total of 625 MW, will enter into commercial operation in 1996. It is intended that the ultimate capacity of the power station will be about 6,000 MW.

4.

An important objective of the visit to Castle and Peak Black Point is to emphasise to CLP and in public, GEC's major stake in power generation in Hong Kong and China.

It is a very big one and includes Castle Peak Power Stations, Daya Bay Nuclear Power Station and plans for no less than 10 new power plants in China.

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CONFIDENTIAL

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