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liberty of pointing out that the successful working of this railway depends very largely on its joint arrangements with the British section. Interchangeable rolling stock is an absolute necessity.

It will be to the great advantage of the line to construct workshops at Canton for the heavier class of repairs which may be available under joint arrangements for the British Section as well, as our own. From an engineering standpoint all these matters will be greatly facilitated by correspondence with the same Consulting Engineers as are acting for the British Section.

While I see nothing in such an arrangement that can be considered detrimental to the interests of our line, neither will its capital cost be increased beyond what Y.E. sanctions as reasonable and proper expenditure, the benefit in preparing the way for successful joint working arrangements must be appreciable. May I ask that Y.E. will afford me a reply at an early date?

Yours etc.

(sd.) Frank Grove.

Engineer-in-Chief.

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