176. Letter From the Ambassador to Saudi Arabia (Porter) to Saudi Minister of Foreign Affairs Prince Sa’ud Faisal ibn Abd al-Aziz1
Before the departure of His Majesty King Khalid bin Abd al-Aziz on his trip to the Gulf States, Your Royal Highness raised with me the question of the Hawk missile air defense system for Jordan. I requested that His Majesty’s government make no final decision on this matter until my government could look further into the question and develop alternative proposals to meet Jordan’s needs for an air defense system. You will recall the initial proposals involved fourteen batteries of Hawk missiles and 100 Vulcan rapid-fire anti-aircraft guns at a cost of over $700 million.
My government has now completed a study of this matter and I submit the results for Your Royal Highness’ consideration. I do this in the hope that our two governments might reach agreement on an alternate course of action which we could jointly present to King Hussein.
We have determined that the initial costs of an adequate air defense system for Jordan can be substantially reduced by dividing the air defense package into two stages. The first stage would omit certain command and control equipment; certain logistical support items and facilities; desirable but marginal depot, maintenance and firing range arrangements in Jordan; all but the most essential training; and all but minimal spare parts required for initial operations in Jordan.
In addition to eliminating these lower-priority items, we will make an effort to minimize termination or contract interruption costs which have already been incurred. Though considerably reduced in scope, this first stage package would have to be sound militarily. We believe it would have to provide basic but adequate air defense for at least three of the priority areas which King Hussein has indicated that he wishes to protect, which are: Amman/Zarqa; the Azraq military complex; Prince Hassan Air Force base; and Qatrana.
Payment for the first stage package would extend through mid-1978 for hardware and probably longer for software costs such as [Page 587] training and contractor services. In accordance with the commitment which the Administration has made to the Congress, we would not be able to involve ourselves financially in the first stage; it would have to be financed as originally proposed by Jordan and Saudi Arabia.
The second stage of the air defense system can be negotiated and carried out after supplementary financing has been arranged using whatever mix of internal Jordanian resources and external financing may be developed. Although, as indicated above, the US Government will not participate financially in the first stage, we will consider—in consultation with the Congress—using guaranteed credit arrangements in the second stage. We would hope at that time that Your Royal Highness’ government would continue to be helpful in the matter of developing a Jordanian air defense system, but we are not seeking a financial commitment from your government for the second stage. Our present thinking is that King Hussein should try for help with the second stage from some of the other states of the Gulf.
While we believe that the proposed two-stage approach has merit, and deserves your consideration, we wish Your Highness to be fully aware that the combined cost of the first stage and a deferred second stage will be considerably more than the $713 million which has been estimated for a one stage package.
Even under the two-stage approach there would have to be a greater Saudi Arabian financial contribution than the $300 million originally commited by your government to this project. How much more would depend upon the option which is chosen. Within the two-stage approach which I have described, we have prepared several options for the first stage as follows:
A. Fourteen Hawk batteries and 100 Vulcan anti-aircraft guns. The first stage of a project of this size would cost $520.5 million (or $598.6 million if a 15% contingency figure is added for possible inflation and other unforseen needs.)
B. Fourteen Hawk batteries and 36 Vulcans would cost $456.5 million (or $525 million with 15% for contingency.)
C. Fourteen Hawk batteries with no Vulcans would cost $420.5 million (or $483.6 million with 15% for contingency.)
D. Nine Hawk batteries with 36 Vulcans would cost $348.5 million (or $400.8 million with 15% for contingency.)
The fourteen batteries which would be provided under the first three options above (A, B, and C) are necessary if adequate missile coverage is to be given to the four areas which King Hussein has indicated he regards as of priority importance. Additionally, it is the opinion of military experts that Hawk batteries such as those Jordan is interested in acquiring need a sufficient number of air defense weapons such as the Vulcan to achieve the maximum firing advantage of the Hawks. We understand that Jordan does not have anti-aircraft equip [Page 588] ment which it could substitute for the Vulcans. Options B and C above would therefore be deficient in this regard.
The fourth option above (Nine Hawk batteries, 36 Vulcans) provides a reasonably good mix of Hawks and Vulcans, but the air defense equipment could not be arranged to cover all four of the areas which King Hussein has told us require protection. Adequate protection, however, could be given to up to three of the four areas of importance to King Hussein. Since the Azraq and Qatrana installations will not be completed for at least another two years, one of these could be left for the second stage.
I would appreciate an early opportunity to discuss with Your Royal Highness the proposals which I have outlined in this letter and look forward to hearing your wishes in this matter, including your comments on our desire to have a joint Saudi-US position to present to King Hussein.
With respectful warm regards,
Sincerely,
Summary: Porter wrote to Prince Sa’ud explaining the options for financing the Jordanian air defense scheme and asked to discuss the matter further.
Source: National Archives, RG 84, Jidda Embassy Files: Lot 79F80, DEF 12–5 Jordan January–April. Secret. Published from a copy that bears Porter’s typed signature.
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