TNAG-0426-FCO40-472-Construction-of-an-underground-railway-system-in-Hong-Kong-1973 — Page 131

KESWICK CERTAIN FON MASS

TRANSIT SYSTEM

52 HE CHAIRMAN of Jordino, Matheson

and Company, Mr Henry Keswick, said today he was almost certain tho Japanoso consortium would sign tho contract to build the first four stages of Hongkong's multi-million-dollar mass transit system.

Ho said prospects for the Japanese looked very good" and he hoped the contract would be signed soon.

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Mr Keswick was commenting on Government announcement yesterday enter into stating it had decided to negotiations with tho Japancso consor- tlum regarding the transit system.

Jardino, Matheson and Company consortium in represents the Japanese Hongkong.

Mr Koswick said he hoped negotiations, would go on smoothly and ho was confi- dent the Japanese would be ablo to moot the requiroments laid down by tho Government. a

A Government spokesman said lest night negotiations, which will begin im- mcdiatoły, would tsko a Wow months."

"Whether or not the negotiations can bo brought to a successful conclusion will depend upon the Japenoso consortium's cbility and willingness to conform to the Government's detalled requirements for a contract, the spokesman said.

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Ho said one of the most important requirements laid down by the Govern- ment was that the contract price should not excood $5,000 millien.

Mo oxplained this was becauso it was considered this was the maximum sum tho railway could afford within a given faro structuro and bearing in mind the long pcriad over which tho dobr hes to bo repaid, rosulting in a very heavy interest burdon.

"The Japenoso consortium's proposal was the only one which was within this limitation, "the spokesman said.

Should it not be possible to concludo a contruct with tho Jepanose consortium, the spokesman added, considoration, would be given to negotiating with ono or both of the other consortia.

They cro the Anglo-islian Group,- represented locally by Hurchison Inter- nuilonel, and the Anglo-French-Gorman consortium' represonted by Hongkong Metro Constructors.

STAR

12-12-73

MR HENRY KESWICK

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