as possible, investigate and select
mines in the mining areas in South Manchuria specified hereinunder,
except those being prospected for or worked, and the Chinese Government
will then permit them to prospect or work the same; but before the
Mining regulations are definitely settled, the practice at present in
force shall be followed.

1 Provinces Fengtien.

|Locality |District |Mineral
| | |
|1. Niu Hsin T'ai |Pen-hsi |Coal
|2. Tien Shih Fu Kou |Pen-hsi |Coal
|3. Sha Sung Kang |Hai-lung |Coal
|4. T'ieh Ch'ang |Tung-hua |Coal
|5. Nuan Ti T'ang |Chin |Coal
|6. An Shan Chan region |From Liaoyang to Pen-hsi |Iron

KIRIN (_Southern portion_)

|1. Sha Sung Kang |Ho-lung |C. & I.
|2. Kang Yao |Chi-lin (Kirin) |Coal
|3. Chia P'i Kou |Hua-tien |Gold

"I avail, etc.,

(Signed) "HIOKI EKI."

His Excellency,
Lou Tseng-tsiang,
Minister of Foreign Affairs of the Republic of China.

EXCHANGE OF NOTES RESPECTING RAILWAYS AND TAXES IN SOUTH MANCHURIA AND
EASTERN INNER MONGOLIA

--Note--

Peking, the 25th day of the 5th month of the 4th year of the Republic of
China.

Monsieur le Ministre,

In the name of my Government.

I have the honour to make the following declaration to your
Government:--

China will hereafter provide funds for building necessary railways in
South Manchuria and Eastern Inner Mongolia; if foreign capital is
required China may negotiate for a loan with Japanese capitalists first;
and further, the Chinese Government, when making a loan in future on the
security of the taxes in the above-mentioned places (excluding the salt
and customs revenue which has already been pledged by the Chinese
Central Government) may negotiate for it with Japanese capitalists
first.

I avail, etc.,

(Signed) LOU TSENG-TSIANG.

His Excellency,
Hioki Eki,
Japanese Minister.

--Reply--

Peking, the 25th day of the 5th month of the 4th year of Taisho.

Excellency,

I have the honour to acknowledge the receipt of Your Excellency's note
of this day's date respecting railways and taxes in South Manchuria and
Eastern Inner Mongolia in which you stated:

"China will hereafter provide funds for building necessary railways in
South Manchuri