CONFIDENTIAL
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south coast off-shore oil development, simply because oilmen on their way in and out of southern China will pass through here.
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Down stream processing (particularly of plastics for Hong Kong industry) of course depends on assured supply of refined product. By far the best guarantee of this would of course be the establishment of a refinery here. This in turn depends as much as anything on Chinese plans for disposal of their crude. You will know from CREDA 123 of 12 June that the Hong Kong Government are again beginning to examine such a possibility and have sought specialist advice from BP. But it remains something for the future, and substantive predictions at this stage would be dangerous. We would expect things to become clearer over the next twelve months and in the meantime we should of course always welcome any signals you pick up from the industry in London.
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Such
D. M. March
CONFIDENTIAL
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