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Enclosure 2.

REVISED ESTIMATE.

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In forwarding this Revised Estimate amounting to $7,947,580 for the British Section of the Kowloon Canton Railway, I would give the following explanation of the great increase over the preliminary Estimate made by Mr. Bruce.

Mr. Bruce's Estimate for the Line was $4,470,500 and the Estimate by the Honourable Director of Public Works for the reclamation of Kowloon Station Yard was $585,000. The sum of these two Estimates is therefore exceeded by $2,900,000 approximately.

It is very difficult to make out from his report how Mr. Bruce made his Estimate as he gives no quantities or rates. Some of the figures are extremely low.

Take for instance "Earthwork" which he estimates at $651,700. According to the section which he drew, his banks far exceeded his cuttings especially round the coast between Shatin and Taipo. The total amount allotted to Earthwork would not have been nearly sufficient for his alignment even at half the rates usually paid in the Colony. The amount allocated to protection of Banks is much less than my estimate though his line was far more exposed and I do not think the rates I am calculating my estimate on are any too large.

The original Estimate for the tunnel is about right as it included plant which in this revised estimate is charged to a separate head.

Mr. Bruce in my opinion very much underestimated the Bridges. His section shows 49 Bridges for a total cost of $393,000 giving only an average of $8,000 per bridge.

The most expensive Bridge on his alignment was 20 spans of 20 feet on screw piles in a depth of 30 feet water at L.W.O.S.T. The other Bridges near Taipo would all have to be on well foundations or on cylinders as they are out...

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