This is the observing base (pier) made of granite blocks, built as the stand for the observing station for the officers and men of the USS Palos, part of the US Navy Telegraphic Determination of Longitude Expedition, 1874-1882, when the expedition visited Hong Kong from 24th August 1881 until early February 1882. The pier was housed in a temporary wooden shelter and the whole located in what was then known as the 'Artillery Yard' in an open area between North Barracks and the seawall.
The image appeared in the Old Hong Kong column by "Colonial" (VCH Jarrett) on 27th October 1933.
Following the departure of the USN expedition, though it is not known when, the pier was preserved in situ with a commemorative plaque and with its top decorated by a sundial. It remained in place through the extension of the dockyard 1902-1910 and the Japanese occupation. It was destroyed with the reduction of the dockyard and the creation of Harcourt Road and the relocated HMS Tamar stone frigate in c.1962, probably as part of the rubble to fill the naval dockyard dry dock.
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There's more information from Stephen about the Palos Pier at https://gwulo.com/node/40903