TNAG-1058-FCO40-1308-Guangdong-nuclear-power-station-project-1981 — Page 45

CONFIDENTIAL

DRAFT

GUANGDONG NUCLEAR POWER STATION PROJECT

HKK 166/1

RECEIVED IN REGISTRY NO. 51

24 FEB 1981

DESK OFFICER

REGISTRY

INDEX

PA

Action Taken

1

NOTE OF OFFICIALS MEETING HELD AT ASHDOWN HOUSE ON 13 FEBRUARY

Present :

Mr A G Manzie

Chairman

Mr R Clift

HKG/FCO

Mr RJT McLaren

FED/FCO

Mr M Roberts

JNU/FCO

Mr I Manley

Mr G Stevens

Mr C Benjamin Mr AJ Havelock

Mr R A Brown

Mr N R Brice

Atomic Energy Division D Energy Atomic Energy Division D Energy PEP, Trade

The meeting was held immediately folloiwng the Strategy Team meeting to discuss

what recommendations should be made to Ministers.

#

The meeting opened with a discussion on the implications of the Guangdong

project for the Castle Peak 'B' Station. The view of the Department of Industry

was that the two were closely related; if GEC did not get the Castle Peak 'B'

order, there was absolutely no chance of their obtaining any business in Guangdong.

The Governor of Hong Kong was becoming concerned about Sir Lawrence Kadoorie's

position and his possible loss of 'face' with the Chinese if some commitment

from the UK and action with the French were not taken soon. A potentially

adverse atmosphere with Sir Lawrence Kadoorie and Mr W F Stones which could

have an important bearing on forthcoming negotiations must be avoided. CLP

had already committed about £2m through participation in the joint feasibility

study, and felt that HMG was dragging its feet. The FCO noted that to resist

the Governors advice for an Anglo French proposal could strain relations at a

time when the Nationality Bill and continued problems over textiles emphasised

the need for minimising tensions wherever possible. The FCO consideredt

that as the likelihood of Guangdong project proceeding was receeding, more

emphasis should be placed upon getting the 'B' Station order.

Mr Manley said that, in view of the opinions expressed at both this and the

previous meeting, he would be prepared to use his best endeavours to persuade

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