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Skukuza Airport Ppp Agreement

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Skukuza Airport Ppp Agreement SKUKUZA AIRPORT PPP AGREEMENT PUBLIC PRIVATE PARTNERSHIP AGREEMENT FOR THE MANAGEMENT AND OPERATION OF THE SKUKUZA AIRPORT IN THE KRUGER NATIONAL PARK October 2008 PPP Agreement – Skukuza Airport TABLE OF CONTENTS 1. DEFINITION AND INTERPRETATION..........................................................................7 2. INTRODUCTION ..........................................................................................................20 3. PROJECT TERM..........................................................................................................21 4. STATUS OF THIS PPP AGREEMENT........................................................................21 5. PPP RIGHTS ................................................................................................................21 5.1 EXCLUSIVE GRANT OF PPP RIGHTS ............................................................................21 5.2 SKUKUZA AIRPORT RIGHTS ........................................................................................22 5.3 SERVICE DELIVERY .....................................................................................................23 6. OPERATION, MANAGEMENT AND MAINTENANCE...............................................25 6.1 OPERATION , MANAGEMENT AND MAINTENANCE BY THE PRIVATE PARTY ....................25 6.2 UNAUTHORISED PAYMENTS ........................................................................................26 6.3 THIRD PARTY CONTRACTS ..........................................................................................27 7. LABOUR LAWS ...........................................................................................................27 8. PRIVATE PARTY COVENANTS .................................................................................28 9. COMMERCIAL BRANDING ........................................................................................30 10. PROJECT SITE ............................................................................................................30 10.1 SKUKUZA AIRPORT .................................................................................................30 10.2 ACCESS FOLLOWING COMMENCEMENT ...................................................................30 10.3 SUITABILITY AND CONDITION OF THE SKUKUZA AIRPORT ........................................31 11. HANDOVER..................................................................................................................31 12. THE ENVIRONMENT ...................................................................................................32 13. SANPARKS’ REMEDIAL RIGHTS..............................................................................33 14. SANPARKS’ UNDERTAKINGS AND RESPONSIBILITIES ......................................33 15. BLACK ECONOMIC EMPOWERMENT......................................................................35 16. FINANCIAL PROVISIONS AND PAYMENT...............................................................35 16.1 GROSS REVENUE ....................................................................................................35 Page 2 of 118 PPP Agreement – Skukuza Airport 16.2 PPP FEES ...............................................................................................................36 16.3 NOTWITHSTANDING THAT ALL CONSIDERATION PAYABLE HEREUNDER SHALL BE DEEMED TO BE EXCLUSIVE OF VALUE ADDED TAX PAYABLE IN TERMS OF THE THE VAT ACT ”, AND ANY OTHER RATES , TAXES , DUTIES , CHARGES OR IMPOSTS WHICH MAY BE OR BECOME PAYABLE THEREON , THE PRIVATE PARTY SHALL BE OBLIGED, AT ALL TIMES , TO PAY VALUE ADDED TAX , AS REQUIRED BY THE VAT ACT . .........................................................................37 17. PERFORMANCE BOND..............................................................................................37 18. SALE OF BUSINESS...................................................................................................39 18.1 INTRODUCTION ........................................................................................................39 18.2 SALE ASSETS .........................................................................................................40 18.3 PURCHASE PRICE ...................................................................................................40 18.4 PAYMENT ................................................................................................................41 18.5 POSSESSION ...........................................................................................................41 18.6 DEBTORS ................................................................................................................41 18.7 AUTOMATIC BUY -BACK ...........................................................................................41 18.8 INSOLVENCY ACT PUBLICATION ..............................................................................42 18.9 VOETSTOOTS ..........................................................................................................43 18.10 EMPLOYEES ............................................................................................................43 19. INSURANCE.................................................................................................................43 19.6 THE PRIVATE PARTY SHALL BE OBLIGED TO UTILISE THE PROCEEDS OF ANY POLICY IN RESPECT OF THE DAMAGE TO OR DESTRUCTION OF ANY PROJECT ASSET TO REPAIR OR REPLACE SUCH PROJECT ASSET . ..........................................................................................44 20. INDEMNITIES AND LIABILITY ...................................................................................44 20.1 PRIVATE PARTY INDEMNITY .....................................................................................45 20.2 LEGAL ACTION ........................................................................................................45 21. GENERAL REPORTING AND FINANCIAL REPORTING REQUIREMENTS...........46 21.1 GENERAL REPORTING .............................................................................................46 21.2 ANNUAL FINANCIAL REPORTING ..............................................................................47 21.3 REQUESTS FOR INFORMATION ................................................................................47 22. DEFAULT INTEREST ..................................................................................................47 23. FORCE MAJEURE.......................................................................................................47 23.1 DEFINITION AND PROCEDURE ..................................................................................48 23.2 TERMINATION FOR FORCE MAJEURE .......................................................................49 Page 3 of 118 PPP Agreement – Skukuza Airport 24. PRIVATE PARTY DEFAULT .......................................................................................50 24.1 DEFINITION ..............................................................................................................50 24.2 SANP ARKS ’ OPTIONS .............................................................................................51 24.3 SANP ARKS ’ COSTS ................................................................................................52 24.4 TERMINATION AMOUNT ON PRIVATE PARTY DEFAULT .............................................52 25. SANPARKS DEFAULT................................................................................................53 25.1 DEFINITION ..............................................................................................................53 25.2 TERMINATION FOR SANP ARKS DEFAULT ................................................................53 25.3 TERMINATION AMOUNT FOR SANP ARKS DEFAULT .................................................53 26. TERMINATION BY NOTICE ........................................................................................53 27. CORRUPT GIFTS AND FRAUD..................................................................................54 27.1 DEFINITION AND WARRANTY ...................................................................................54 27.2 TERMINATION AMOUNT FOR CORRUPT GIFTS AND FRAUD .......................................55 28. CONFIDENTIALITY......................................................................................................55 29. DISPUTE RESOLUTION..............................................................................................56 29.1 REFERABLE DISPUTES ............................................................................................56 29.2 INTERNAL REFERRAL ..............................................................................................56 29.3 PERFORMANCE TO CONTINUE .................................................................................57 29.4 LITIGATION ..............................................................................................................57 30. EFFECT OF EXPIRY OR TERMINATION...................................................................57 31. EXIT PROVISIONS.......................................................................................................59 32. CHANGES IN CONTROL ............................................................................................60 33. CESSION, TRANSFER AND SUBSTITUTED ENTITY ..............................................60 34. INTELLECTUAL PROPERTY......................................................................................63
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