In 1972, the Hong Kong government authorised construction of the "Initial System", a 20-km system that roughly translates to the Kwun Tong Line today (except the line now extends to Tiu Keng Leng). Negotiations with four major construction consortia started in 1973. The government's intention was to tender the entire project, based on the British design, as a single tender at a fixed price. A consortium from Japan signed an agreement to construct the system in early 1974, but in December of the same year it pulled out from the agreement, stemming from fears of the Arab oil crisis.