Sir,
Enclosure No.1.
THE ASIATIC PETROLEUM COMPANY, (SOUTH CHINA) LIMITED.
16
Hong Kong. 15th March,1938
PROPOSED INSTALLATION AT YAU TONG.
With reference to our recent conversations in connection
with the possible transfer of our proposed new Installation at Tsun
Wan to a site at Yau Tong, we confirm our willingness to undertake
such a move, should it be so desired, subject to a satisfactory
understanding on the following points:-
(1) While we should be quite willing to take for our
account indirect losses incurred through any consequent delay in
the opening date of the new Installation, our readiness to move
would have to be subject to the cost of reclaiming the land and
building the Installation at Yau Tong being reasonably in line
with our similar estimates for Tsun Wan.
(2) The provision of road communication by the
Government between Kowloon and Yau Tong.
To enable us to determine the position under (1) we
should be very grateful if you could furnish us with replies to
the following points:-
(a) LAND COSTS: A rough survey of the land at Yau Tong
shows that we should require some 40 acres of land to be reclaimed
and something between 20 and 30 acres of hillside. Would the
Government be prepared to accept the same upset price for this
land as that actually paid by us at Tsun Wan i.e. $32,055.00
representing 2,137,000 sq.ft. at l1⁄2 cts per sq.ft? In this
connection would it be possible to avoid an auction by putting the
deal through on the basis of an exchange of one piece of property
for another? We take it that the Hongkong Government would be
unlikely to build a road unless we were the successful bidders so
that the conditions of sale would in any case be somewhat peculiar and might therefore, without forming a precedent, be subject to