08 06 99 13 57 ®202 456 9500 @001 OVP NSA the vice president WAS M 1 N iTO N June 22 199 IV His Excettency Zhu Rongji Prime Minister People's Republic of China Beijing Dear Mr Premier Premier 0 add a-y persana p' Td ' aya pamias go ou 0 he fan ilfes c the victims and the Chinese people vyhan con ova slaa ca a r visit here I view that cooperation on jto that end I wanted to o o°c s'U you so™ 003 on nax stags wa might taKe in the Forum Already many Fomm “ j® ®5 r™igned a Le««' n°eo with next several months The U S ral uctivity and other China's National Bur u of Sta'«‘“» issues The National O ic W »h iU sf I X i % UL with the State Oceanic Meteorological Administration r Adminisffation will hold a workshop jium with the Chinese sg «s will visit China in June and early July g-vironmental agreements reached In April The Up4 if n PWNTiD ON RECYCLED PAPER I % 08 06 99 13 58 ©202 456 9500 OVP NSA ®002 Let me draw your attention in particular to next montfrs meeting of the U S China Oil and Gas Industry Forum in Houston Texas which provides an opportunity to strengthen cooperation between the petroleum and gas sectors of both countries in support of our common energy and environmental objectives The session will focus on natural gas production and market development including interaction between the government and private sector transportation and market economics as well as recent developments under the APEC Natural Gas Initiative During the meeting in Houston we plan to cover relevant “lessons learned” from the U S and other countries in setting up regulatory regimes which stimulate investment and promote the development of natural gas markets We look forward to your representatives discussing the progress made toward reorganizing your state petroleum enterprises and developing your natural gas policy and market for natural gas The U S petroleum and gas industry is ready to cooperate with yours and offers unparalleled world-class technology and expertise I hope we can build on the significant achievements of the last Forum including rmplarnentation of the $100 million Clean Energy Program agreed upon by the U S Export-Import Bank Department of Energy China Development Bank and State Development Planning Commission Once the first projects are selected and move forward the Ex-Im Bank would be pleased to discuss the possibility of additional financing - up to several billion dollars - for the purchase of U S equipment and services to address China’s environmental health and safety needs Ex‘lm Bank would also be open to discuss other potential financing structures consistent with OECD export credit rules including foreign hard currency guarantees I would also like to explore further joint steps to reduce greenhouse gas emissions I envision two types of complementary cooperation that should proceed in tandem - one dealing with international efforts to mitigate climate change and the other dealing with specific projects Concerning international efforts on climate change Under Secretary of State Frank Loy has suggested holding the next session of our high-level dialogue on climate change in July This dialogue provides an Important opportunity to explore current and future issues of mutual concern related to the international negotiations and provides a broader context for our growing bilateral cooperation We might consider the possible usefulness of a joint study of the economic benefits to China of various forms of international action On the joint projects we should continue our discussion of how forestry and other projects including those that could produce emissions reduction credits have the potential to support a wide variety Of sustainable development goals relating to water quality flood control provision of energy and sequestration of greenhouse gases In addition to our ongoing cooperation on such efforts ERA Administrator Carol Browner has proposed a joint U S -China technical workshop later this year to explore project-level cooperation I look forward to your response to these suggestions 08 06 99 13 58 0202 456 9500 OVP NSA Sincerely Al Gore AG to ®003