CANBERRA, 8 April 1946 Cablegrams 161, 112

TOP SECRET IMMEDIATE

Your telegram D.316. [1] United States request for bases.

1. On 20th March Department of State handed to Australian Legation
a memorandum suggesting informal conversations concerning use of
base in Admiralty Islands. [2] Two documents were attached, namely
a preliminary draft of a proposed agreement on bases and a draft
of clauses for inclusion in any trusteeship agreement in respect
of New Guinea. These documents followed closely terms of drafts
submitted to New Zealand by United States. We shall not of course
enter into discussions with United States on these matters prior
to forthcoming discussions in London.

2. We feel that a communication to United States along lines of
last two sentences in paragraph 7 of your telegram D.316 [3] may
lead United States to expect early agreement on bases on terms
satisfactory to them.

We do not think it would be wise to create any such expectation
pending completion of London talks.