TNAG-2411-FCO40-3506-Proposed-airport-in-Macao-(Macau)-1992 — Page 33

CONFIDENTIAL

072776

HKA 182/4

MDLIAN 8130

CONFIDENTIAL

FM BTC HONG KONG

TO PRIORITY DTI

TELNO INTRA 98

OF 101125Z APRIL 92

AND TO ROUTINE PEKING, F C O, LISBON, HONG KONG

FOR PEP FROM GRAHAM

MACAU AIRPORT

SUMMARY

RUNWAY TO BE ON RECLAIMED LAND NOT NOT PILES. FINANCES LOOK CLEARER. TERMINAL EQUIPMENT TENDER DEADLINE AGAIN DELAYED. UKAG CONSORTIUM WELL PLACED AFTER TACTICAL CHANGES.

DETAIL

1.

THE MACAU AIRPORT COMPANY (CAM) HAD DECIDED CON SCOT WILSON KIRKPATRICK'S ADVICE), THAT THE RUNWAY WILL BE ON RECLAIMED LAND, NOT ON PILES. THEY BELIEVE IT WILL BE NO MORE EXPENSIVE AND POSSIBLY QUICKER. CHINA HARBOUR WILL DO THE ADDITIONAL RECLAMATION. THIS MEANS THE ORIGINAL BALLAST NEDAM CONTRACT IS IN DISARRAY, BUT A RESIDUAL CONTRACT MAY STILL BE SIGNED.

FINANCE

2. A SHAREHOLDERS MEETING OF 15 MARCH DECIDED ON INCREASED SHAREHOLDERS OF PATACAS 700 MILLION. A FURTHER PATACAS 3.2 BILLION WILL BE LOANED FROM THE BANK OF CHINA AND OTHER BANKS, WHICH APPEARS TO CONFIRM THE BANK OF CHINA'S COMMITMENT TO THE PROJECT. FINANCE FOR THE TERMINAL/EQUIPMENT CONTRACT STILL HAS TO

BE RESOLVED.

TERMINAL/EQUIPMENT

3.

WE HAVE MET WITH REPRESENTATIVES OF CEGELAC (LEADING THE UKAG BID IN THE CONSORTIUM WITH BALLAST NEDAM AND CONSTRUCOES TECHNICAS). CEGELAC HAVE ENCOURAGED BALLAST NEDAM TO LEAD THE

GROUP. IT WILL MAKE NO DIFFERENCE TO THE WEIGHTING OF THE CONSORTIUM'S INTERESTS BUT GIVES BETTER LEADERSHIP. WE BELIEVE

THIS WILL BE WELCOMED BY EVERYONE INCLUDING CAM AND THE GOVERNOR.

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