to the Convention.

244

9.

I may point out, however, that

should Chinese Government be disposed to dispute the

statements made in Mr.Chamberlain's despatch, there would

appear to be the basis of a possible settlement in the

acceptance by the British Government. on the one hand,

+

the definition of the N.W. boundary as given on the stone

to set up on the N. side of Lantao, viz. that, the Northwards

of

けんち

the boundary runs due North until it meets the parallel of

the Southern extremity of Namtao peninsula (i.e. the British

Government would resign all claim to the waters of Tai Chan

Bay), while on the other hand the Chinese Government would

agree that the lease of the islands included in the limits

fixed by the Convention confers upon His Majesty the usual

territorial rights over waters within the three mile limit

(1.e. the Chinese Government would resign all claim to the

waters within three miles of the Lantao coast west of

meridian 113° 52′ E). The matter might thus be compromised

by mutual concessions.

10.

In these circumstances it seems

very desirable that action should be taken upon the clause

of the Convention which recites:- "The exact boundaries

Shall

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