TNAG-0422-FCO40-468-Construction-of-an-underground-railway-system-in-Hong-Kong-1973 — Page 8

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22 MARCH

D.

SECOND DISCUSSION WITH SIR DOUGLAS CLAGUE : 21. 3.73

I reported my talks with Mr Ozu and I asked for Sir Douglas Clague's appreciation of how the talks had gone. He said that the atmos- phere was good. He had had the chance of a private word with Mr Haddon-Cave and he was clearly pleased with the stage reached, particularly as signs had not been hopeful at the end of the first meeting. Sir Douglas Clague said that he had spoken separately to the heads of the British teams and emphasised what was expected of them before the end of April. All in all, he was more optimistic now than at any time of the British consortium securing the full order but we had still to have a comparison of prices and what the Japanese produced "in the last furlong". We should concentrate on the main prize but keeping lines open for other possibilities where we saw the course clearly. We could rely in London on Hutchinson's playing the hand to our best advantage.

2. We agreed that I should see Mr Haddon-Cave to give him a formal account of the Japanese approaches. I should emphasise the optimism we felt about the British chances of success and ask for his frank assessment of the position. Sir Douglas Clague emphasised how much Mr Haddon-Cave was our friend and we should do everything possible to help him secure a decision in principle by the end of April.