Britain will begin a massive year-long clean-up of oil pollution at the former HMS Malabar before summer, it was confirmed yesterday.

Premier David Saul was speaking after he toured caves used as an oil dump by the Royal Navy with UK Foreign Office Minister of State Sir Nicholas Bonsor and Finance Minister Grant Gibbons.

Dr. Saul said yesterday Sir Nicholas had been horrified at the level of pollution.

He added: "Both Sir Nicholas and the Governor did not appreciate how bad it was until they saw it -- and smelled it.

"But Sir Nicholas gave a firm commitment that Her Majesty's Government would get it cleaned up and start before June.'' Dr. Saul said that UK experts in oil pollution had examined the Dockyard site of the dumping and had estimated it would take 12 months to put right.

He added: "Fifty years of Royal Navy ships have been dumping their excess sludge and filling their tanks up with new diesel.

"All of that sludge, for decades, has been going into these caves and has seeped into the surrounding substrata. But Britain has acknowledged its responsibility to clean it up.'' Sir Nicholas -- who is the Foreign Office Minister responsible for Bermuda and the five Caribbean British Dependent Territories -- was on the Island last week for a top-level meeting for Governors, hosted by Bermuda Governor Lord Waddington.

Sir Nicholas also underlined that Britain preferred Dependent Territories route to Independence to be by referendum, rather than through a general election.

Dr. Saul said: "They would not automatically proceed to Independence for those who sought it as part of an election platform, simply because that is not the only reason why people vote.

"They would want a clear-cut referendum on it. That is the UBP's position, it has always been the UBP's position and will continue to be so.'' He added that once a decade -- if there was enough demand -- was about right for a nation-wide poll on Bermuda going it alone.

Progressive Labour Party leader Jennifer Smith said that the PLP position was that a move towards Independence would be determined by second General Election victory.

She added: "I think it's something we could work out with the British Government after ascertaining the will of the people.'' But she said: "We can't concentrate on what we might do after winning a second election.

"We are not in that position -- you are asking me to speculate on something far in the future.

"I'm sure we would have talks and negotiations with Britain if that was the case.'' Shadow Home Affairs Minister Alex Scott added that Sir Nicholas' statement of the UK position was "totally wrong.'' He said: "The whole Commonwealth has gone to Independence by an election. The only country ever to try it by a referendum was Bermuda.

"When a government is successful and one of its main planks is Independence, that's taken by Britain as an indicator.

"If a party campaigns for Independence and it's successful, it's nonsense for Sir Nicholas to talk about other issues.'' But he added: "Don't take this issue as a prime concern of the PLP. It's not.

It's only an issue because Sir Nicholas talked about it.'' Premier David Saul ENVIRONMENT ENV