TNAG-1658-FCO40-2306-Daya-Bay-nuclear-power-station-project-safety-concerns-in-Ho-1987 — Page 281

CODE 18-77

3

Reference.......

НКС 166

RECEIVED IN REGISTRY

30 SEP 1987

DESK OFFICER

REGATRY

INDEX

PA

Action Taken

P

166/3

99

PTA 21/9

CALL BY IAN JORDAN, EWBANK PREECE, 24 AUGUST 1987

1.

Power Generation

Ewbank Preece were interested in a number of projects. One possibility was at Yanshi where WB would finance a 2 x 350 mw station. There was a possibility that co-financing might be of interest to the Chinese. I pointed out that co-financing had rarely worked in the past. He said he would get his colleagues to follow up with DTI.

2. EP were advising DTI on Yueyang and Daya Bay. During discussions with HIPDC neither project had been mentioned.

3. EP were architect/engineer in a consortium bidding for a station at Luohuang outside Chengdu, Sichuan. The consortium also included NEI/ Parsons, Combustion Engineering, CE (USA), and was led by Marabini (Japan). The project included an option on flue-gas desulpherisation. If the Chinese went for this, it would be their first in China. Sulphur content of the coal to be burnt is 31⁄2 per cent. Another consortium had been called to the table but Jordan did not think EP were out of the picture. He thought HIPDC did not like to negotiate with a company on two projects at once. It might be they were waiting for talks with CE on Shidongku and with NEI on Yueyang to be concluded successfully before starting detailed discussion on another project.

4. Shenzhen Airport

She

EP were in touch with Eileen Wu. She had already run two successful joint ventures and was reported to have connections with Deng Pufang. It was also said her father was Zhou Enlah's ADC on the Long March. had told EP that she could influence Beijing to draw down US$ 50 million in aid money already offered by foreign governments and agencies. This would be used to buy radio navigation aids, electrical and mechanical services, specialised vehicles, fire-fighting equipment, fuel handling systems, etc. DTI's tentative offer of training for flight controllers would be a significant card to play. The chief opposition came from a group led by Gibb Australia but wholly financed by Kumagai. The Japanese were offering finance on condition that Kumagai won exclusive rights for flights between Shenzhen and Japan.

He was quietly confident that with Mme Wu's help, EP would nonetheless get the nod.

5.

Jordan believed the project would go ahead as a domestic airport irrespective of developments in Hong Kong. He said Gordon Wu accepted this. He also thought the Hong Kong airport would definitely go ahead. Sir David Akers-Jones' talks on transport with the Guangdong authorities showed that the Hong Kong Government also accepted this.

16.