The Under Secretary to Mr. Webster.

I am directed by the Hon. Mr. Richardson to acknowledge the receipt of your letter of the 18th June, and in reply to inform you that the Government have directed a further advance of £250 to be scheduled towards completing the Collingwood drive. This additional advance is made contingent upon the Company being able to raise the balance necessary to complete the work. The best way to effect this will be to reduce the proportional payments made by the Government from 75 per cent, to 30 per cent, of the amounts due from time to time under the contract, which course be good enough to follow.