61525 Prequalification Document (PQD) -Model Coal Mine.Pdf

PRE-QUALIFICATION DOCUMENT (PQD)

INSTRUCTION TO PROSPECTIVE APPLICANTS

FOR PREQULIFICATION OF INTERNATIONAL FIRM/CONSORTIA

FOR CONSULTANCY SERVICES FOR THE PROJECT TITLED

“STUDY FOR ESTABLISHMENT OF MODEL COAL MINE(S) BASED ON SEMI- MECHANIZED MINING TECHNIQUES IN SALT RANGE AND/OR SURGHAR RANGE, DISTRICT KHUSHAB/CHAKWAL/JHELUM, MIANWALI, PUNJAB, PAKISTAN”

SECRETARY, PUNJMIN/PROJECT DIRECTOR PUNJAB MINERAL DEVELOPMENT CORPORATION 2ND FLOOR, ALFALAH BUILDING, THE MALL, LAHORE, PUNJAB, PAKISTAN +92-042-99205185 Email: [email protected]

Disclaimer

This Prequalification Document ("PQD") has been prepared by Punjab Mineral Development Corporation ("PUNJMIN" or the "Client") and it constitutes no commitment on the part of PUNJMIN to enter into any arrangements with any person / entity. PUNJMIN reserves the right to withdraw from or cancel the process or any part thereof or to vary any of its terms at any time without giving any reason whatsoever. No financial or other obligation whatsoever shall accrue to PUNJMIN in such an event. The information contained in this PQD or subsequently provided to Applicants, whether verbally or in documentary or any other form by or on behalf of PUNJMIN or any of its employees or advisors, is provided to them on the terms and conditions set out in this PQD and such other terms and conditions subject to which such information is provided. This PQD does not constitute an agreement; its sole purpose is to provide interested parties with information that may be useful to them in submitting their Expressions of Interest ("EOIs") pursuant to issuance of this PQD. Any document and information submitted in response to this PQD becomes the property of PUNJMIN and PUNJMIN does not accept any responsibility for maintaining the confidentiality of the material including any trade secrets or proprietary data submitted to PUNJMIN. PUNJMIN shall not be responsible for non-receipt of correspondence sent by post / courier / email / fax. No decision should be based solely on the basis of the information provided in this PQD. PUNJMIN has no liability for any statements, opinions or information provided in this PQD. In submitting an EOI in response to this PQD, each Applicant certifies that it understands, accepts and agrees to the disclaimers set forth above. Nothing contained in any other provision of this PQD nor any statements made orally or in writing by any person or party shall have the effect of negating or suspending any of the disclaimers set forth in this disclaimer.

TABLE OF CONTENTS

DEFINITIONS AND INTERPRETATIONS ...... 5

SUBMISSION LETTER ...... 7

SECTION - A: INFORMATION TO APPLICANTS ...... 9

SECTION - B: TERMS OF REFERENCE ...... 18

SECTION - C: INSTRUCTIONS TO APPLICANTS ...... 22

SECTION - D: SUBMISSION AND EVALUATION OF EOIs ...... 25

SECTION - E: FORMATS ...... 35

SECTION - F: ANNEXURE ...... 42

ANNEXURE – 1 POWER OF ATTORNEY FROM APPLICANT ...... 43 IN FAVOUR OF ITS AUTHORIZED SIGNATORY

ANNEXURE – 2 POWER OF ATTORNEY BY APPLICANT MEMBER ...... 44 IN FAVOUR OF LEAD APPLICANT MEMBER

ANNEXURE – 3 AFFIDAVIT …...... 45

ANNEXURE - 4 PARENT COMPANY LETTER OF COMFORT ...... 46

DEFINITIONS AND INTERPRETATIONS

In this PQD, unless the context otherwise requires, the following terms shall have the meanings set forth below: 1. Definition 1.1 “Applicable Laws” means all laws and orders promulgated or brought into force and effect by a Government Authority, including regulations and rules made there under, and judgments, decrees, injunctions, writs and orders of any court of law, as may be in force and effect during the subsistence of the Project Agreement. 1.2 "Applicant" means a Firm or a Consortium participating in the Prequalification Process for the Project. The term Applicant has been interchangeably used with the term "Firm / Consortium" in this PQD. 1.3 “Client” or "PUNJMIN" means Punjab Mineral Development Corporation. 1.4 "Consortium" means a group of entities submitting a joint EOI for participating in the Prequalification Process for the Project. 1.5 “Consultant” means the selected Firm/Consortium that undertakes the Services under the Project Agreement. 1.6 "EOI" means an Expression of Interest submitted by an Applicant, in accordance with the guidelines provided in the PQD, for participating in the Prequalification Process for the provision of Services for the Project. 1.7 "EOI Submission Date" is defined in paragraph 1.3 of Section - D of this PQD. 1.8 "Firm" means an entity participating in the Prequalification Process for the provision of Services for the Project. 1.9 “Government” means the Federal Government of Pakistan, the Government of the province of the Punjab, and the relevant local authorities and public sector corporations therein. 1.10 “Government Authority(ies)” means any person or entity exercising executive, legislative, regulatory, administrative or judicial functions of any Government. 1.11 “PPRA Rules” means the Punjab Procurement Rules, 2014, as may be amended from time to time. 1.12 "Project" means the “Study for Establishment of Model Coal Mine(s) based on Semi- Mechanized Mining Techniques in Salt Range and/or Surghar Range, District Khushab/Chakwal/Jhelum, Mianwali, Punjab, Pakistan”. 1.13 “Project Agreement” means the legally binding written agreement to be signed between the Client and the Consultant. 1.14 "Services" means services and obligations required to be undertaken/performed by the Consultant, for the Project, in accordance with Section B: Terms of Reference of this PQD including any revisions in such Terms of Reference as are included in the Project Agreement to be signed between the Consultant and the Client. 1.15“Terms of Reference” (TOR) means the document included in this PQD as Section B which explains the Scope of Work of the Consultant, including activities and tasks to be performed by the Consultant.

2. Interpretations In this PQD, unless the context otherwise requires: 2.1 any reference to a statutory provision shall include such provision as is from time to time modified or re-enacted or consolidated so far as such modification or re-enactment or consolidation applies or is capable of applying to any transactions entered into hereunder; 2.2 the words importing singular shall include plural and vice versa, and words denoting natural persons shall include partnerships, firms, companies, corporations, joint ventures, trusts, associations, organizations or other entities (whether or not having a separate legal entity); 2.3 the headings are for convenience of reference only and shall not be used in, and shall not affect, the construction or interpretation of this PQD; 2.4 the words "include" and "including" are to be construed without limitation; 2.5 any reference to any period of time shall mean a reference to that according to Pakistan Standard Time; 2.6 any reference to day shall mean a reference to a calendar day; 2.7 any reference to month shall mean a reference to a calendar month; 2.8 any reference to GoPb shall mean Government of the Punjab; 2.9 the Annexure to this PQD or any Addenda issued later on to clarify matters, if any, form an integral part of this PQD and will be in full force and effect as though they were expressly set out in the body of this PQD; 2.10 unless otherwise stated, any reference to any period commencing "from" a specified day or date and "till" or "until" a specified day or date shall include both such days or dates; 2.11 any reference to "Prequalification Process" shall mean the entire process commencing from the invitation of EOIs until prequalification of Applicants; 2.12 any reference to "Bidding Process" shall mean the entire process for selection of Consultant commencing from issuance of Request for Proposals (RFP) to prequalified Applicants until signing of Project Agreement for Services for the Project; 2.13 any reference to "Consultant" shall mean the selected Applicant with whom Project Agreement for Services for the Project will be signed; 2.14 Net Worth means the value of total assets less total liabilities of the entity concerned at the end of a financial year; 2.15 Gross Annual Revenues/Turnover/Sales means the value of gross revenues / turnover / sales of the Firm/Consortium concerned for a given financial year as mentioned in its financial statement for that year.

SUBMISSION LETTER (This letter shall be submitted by the Applicant or Lead Member, in case of a Consortium, on its letter head) Date: Month, Day, Year Project Director, Punjab Mineral Development Corporation, 2nd Floor, Alfalah Building, The Mall, Lahore, Punjab, Pakistan.

Dear Sir, SUBJECT: PREQUALIFICATION OF APPLICANTS FOR PROVISION OF CONSULTANCY SERVICES FOR THE PROJECT “STUDY FOR ESTABLISHMENT OF MODEL COAL MINE(S) BASED ON SEMI-MECHANIZED MINING TECHNIQUES IN SALT RANGE AND/OR SURGHAR RANGE, DISTRICT KHUSHAB/CHAKWAL/JHELUM, MIANWALI, PUNJAB, PAKISTAN The undersigned, being duly authorized to represent and act on behalf of (Applicant), applying to be prequalified for provision of Services for the Project cited above, is pleased to enclose one (1) original (together with two printed copies and one electronic copy) of our EOI in accordance with the terms set forth in the PQD and declare the following: a. We have examined and have no reservations to the PQD issued; b. We agree to comply with all the tender rules, laws and regulations governing the tender as issued by Client from time to time; c. We accept the exclusive application of the federal laws of Pakistan and provincial laws of Punjab with respect to procedures laid down in the PQD; d. We accept the right of the Client to (i) request additional information reasonably required to assess the EOI, (ii) amend the procedures and rules or make clarifications thereof, and (iii) extend or amend the schedule of the Prequalification Process and the Bidding Process; e. We understand that you may cancel the Prequalification Process at any time and that you are not bound either to accept any Application that you may receive or to invite the prequalified Applicants for the subject Project; f. Prequalified Applicants will be subjected to verification of all information submitted for prequalification at any time during the Prequalification Process; g. [Name of Applicant or lead member, in case of a Consortium] hereby represents and warrants that as of the date of this letter: All the information submitted is accurate in all respects; (Applicant members individually and as Consortium) has(ve) not been subject to any voluntary or involuntary bankruptcy or insolvency or similar proceeding during the last five (5) years; and (Applicant members individually and as Consortium), has(ve) paid all taxes due, except those which are being contested in good faith by appropriate proceedings and for which adequate reserves have been established. Capitalized terms used which have not been defined herein shall bear the meaning ascribed to them in the PQD.

PUNJMIN and its authorized representatives may contact the following person(s) for further information, if needed: Name: Phone #: Cell #: Email: The undersigned declares that the information provided and the statements made in this EOI are complete, true and correct in every detail. Signature of Authorized Signatory: ______Name and Title of Signatory: ______Name of Firm/Consortium: ______Address: ______

SECTION - A: INFORMATION TO APPLICANTS

1. PROJECT DEVELOPMENT PROCESS AT A GLANCE

The sequence of activities to be performed during the Prequalification Process and Bidding Process is provided below for comprehension of the way forward leading to award of contract for Services for the Project: Prequalification Process (i). Invitation of EOIs including issuance of Prequalification Document (PQD); (ii). Pre-Submission meeting with Prospective Applicants (iii). Submission of EOIs; (iv). Opening and Evaluation of EOIs; (v). Prequalification of Applicants; Bidding Process (i). Issuance of Request for Proposal (RFP) to the Prequalified Applicants. (ii). Pre-bid Meeting; (iii). Submission of Proposals including Bid Bond; (iv). Opening and Evaluation of Technical Proposals; (v). Opening of Financial Proposals (of the Firms/Consortia with technically responsive proposals); (vi). Notice of Award to successful bidder through Issuance of Letter of Acceptance; (vii). Signing of Project Agreement for Services for the Project; (viii). Placement of Performance Security and Release of Bid Bond; (ix). Commencement of Work; and (x). Project Completion. 2. PROPOSED SCHEDULE PUNJMIN shall endeavor to adhere to the following schedule during the Prequalification Process:

Event Description Date

Prequalification Process Issuance of Prequalification Document (PQD) November 15, 2016 Pre-submission meeting with Prospective November 24, 2016 Applicants (Venue: Clients office at 11 AM-PST) Submission of EOIs December 05, 2016 Evaluation of EOIs December 22, 2016

Prequalification of applicants December 23, 2016 Bidding Process Issuance of Request for Proposal (RFP) to the December 29, 2016 Prequalified Applicants Pre -bid Meeting January 07 , 2017 Submission of Proposals including Bid Bond January 23, 2017

Opening of Technical Proposals January 23, 2017 Evaluation of Technical Proposals February 09, 2017 Opening of Financial Proposals February 10, 2017 Notice of Award through Issuance of Letter of February 21, 2017 Acceptance Signing of Agreement for Works / Services for February 23, 2017 the Project

1. INTRODUCTION AND BACKGROUND OF THE PROJECT

PURPOSE The purpose of this Prequalification Document (PQD) is to invite Expressions of Interest (EOIs) from the prospective Applicants for their prequalification. The prequalified applicants will be invited to participate in the Bidding Process for award of contract for Consultancy Services for the Project. Information regarding the Project is set forth below: BRIEF INTRODUCTION

1.1 Pakistan Economy Overview1 Pakistan is improving quantitatively and qualitatively as the current growth rate of 4.24 % is the highest since 2008-09. Fiscal year 2014-15 registered some remarkable achievements. Inflation hit the lowest level at 2.1 % on YoY in April since 2003-04. The policy rate decelerated at 7 percent which was lowest in last 42 years, capital market created history, grading by international rating agencies improved, historical agreement with Chinese Government on China Pakistan Economic Corridor (CPEC) for an investment portfolio of USD 45 billion, successful reviews with IMF, issuance of Ijara Sukuk Bond after a period of 9 year, decline in unemployment rate from 6.2 to 6.0 percent etc. are few economic highlights of Pakistan.

1.1.1 Growth and Investment1 Supported by a favorable slump in international oil prices, and stellar implementation of the IMF reform program; growth recovery remains underway, with projected GDP growth now at 4.3-4.6 percent. Preliminary data for the first semester of FY 2015 show growth picking up, driven mainly by agriculture and services. Growth of large-scale manufacturing (LSM) was positive arising from strong performance of pharmaceuticals (6%), electronics (8%), automobiles (17%), iron and steel (36%). The LSM will also benefit from the backward and forward linkages of huge infrastructure projects under CPEC and increasing demand for housing triggering sharp demand for iron, cement and related construction industries. China and Pakistan have made agreements to establish China Pakistan Economic Corridor between the two countries. The game changer agreements have been signed between Pakistan and China worth US$45 billion. The corridor will serve as a driver for connectivity, trade in the world is expected to increase and Pakistan will take benefits through multiple dimensions. Pak-China Economic Corridor will lead to greater investment and rapid industrialization in Pakistan. This is a great initiative which will open new avenues for prosperity and co-operation in the whole region and certainly it will uplift socio-economic condition of Pakistan on fast track with multiple dimensions. Present government has launched comprehensive plan to create investment friendly environment and to attract foreign investors in the country. As is evident, the capital market has reached new height and sending positive signals for restoring the investor’s confidence. Pakistan's policy trends have been consistent, with liberalization, de-regulation, privatization, and facilitation being its foremost cornerstones. Board of Investment (BOI) under the Prime Minister’s office and Punjab Board of Investment & Trade (PBIT) in Province have stable investment policies to provide more investment friendly environment to investors. Foreign private investment has reached to $1666.2 million during July-April 2015 as compared to $1050.3 million showing 58.6% increase as compared to last year.

1.1.2 Mining and Quarrying Sector1: Pakistan is bestowed with all kinds of resources including minerals. It has abundance of economically exploitable resources of metallic and non-metallic minerals including Iron, Copper, and Cobalt etc. Other key minerals include coal, rock salt, limestone and onyx marble, china clay, dolomite, fire clay, gypsum, silica sand and granite, as well as precious and semi- precious stones. This sub-sector contains 14.4 % share of the industrial sector and

1 Pakistan Economic Survey 2014- 15 12 contributes 2.9% in GDP of the country. Mining and quarrying has recorded a growth of 3.8% against the last year growth of 1.6%. 1.2 Mineral Potential in Punjab Punjab is the largest province of Pakistan with 53% contribution in national GDP whereas Punjab’s Gross Regional Product is approximately USD 132.95 billion (PKR 13,532 billion). Government of the Punjab, under the visionary and dynamic leadership of Chief Minister Punjab is fully committed to develop its metallic and industrial mineral resources. The Minerals of Punjab provide the resource base of its Industrial Sector. There are 35 Minerals under Excavation Including coal, iron ore, limestone, gypsum, rock salt etc. by 2300 Entrepreneurs. The Government of Punjab has issued 56 Industrial Leases to large Corporations/Multinationals for industrial production of cement, soda ash, caustic soda, fertilizer, glass, ceramics, and marble etc. Moreover, Punjab has the World’s largest rock salt deposits in Salt Range. Mines & Minerals Department, Punjab is already conducting "Review of Underground Coal Mines Survey in Punjab, Pakistan” through Fugro and SST consultant, to assess the actual coal production from each coal mine/coal lease and assess the coal potential in each coal lease. 1.3 The Client: Punjab Mineral Development Corporation (PUNJMIN) The Client (PUNJMIN) is an autonomous body working under Mines & Minerals Department, Government of the Punjab, Pakistan, which was established under the Punjab Mineral Development Corporation Act No. XXXIII of 1975, which has the mandate for minerals development in the province of Punjab. It is actively involved in exploration, development, exploitation and sale of various minerals in Punjab, since its inception in 1975. PUNJMIN is keen to develop Model Coal Mine(s) based on semi-mechanized mining techniques in Salt Rang and/or Surghar Range. However, prior to commencing the development, it deems necessary to conduct the study for the same through a Mining Consultant having sufficient relevant international experience of planning & designing and/or operating the mines including the coal mines for thin coal seam(s). 1.4 Background of the Project Coal mining is being carried out in Punjab, Pakistan since long from the coal fields located in Salt Range & Surghar Range (Trans-Indus Range).The produced coal from both the Ranges is mainly consumed in brick kilns present in the provinces of Punjab and Khyber Pakhtunkhwa, whereas partially it is used by some industrial units. The scale of mechanization in the coal mines in both the coal fields is limited only up to the installation of diesel or electric driven haulages in horizontal/inclined tunnels or vertical shafts, where mine tubs are used for hauling of excavated coal as well as mine debris, to the surface. All the underground work such as development of tunnels & shafts, coal excavation and advancement of coal faces & galleries is conducted manually using picks & spades except where there is hard strata, such as limestone etc., blast holes are drilled with pneumatic drill machines which are charged & blasted with high explosive. Moreover electric driven water pumps & ventilation fans are installed in the mines for dewatering (if any) of the mines & mines ventilation respectively. Structurally both the coal fields of Salt Range and the Surghar Range are different in a way that the overall bedding of the rock beds & coal seam in the former is almost horizontal with some exceptions of Tilla Jogian & some other parts, whereas in the later it is dipping at an average angle of 30o. Moreover most of the coal bearing Hangu Formation in Surghar Range is overlain by younger rocks that exceed in thickness over 4500 meters. In view of the recent endeavors of the government of Punjab for the installation of Mine Mouth Type Coal Fired Power Plants, it is imperative to increase the coal production to such a level that an unhindered coal supply to these plants is ensured and this can only be done if the scale of mechanization of the coal mines is upgraded by introducing efficient mechanical 13 techniques & mine machinery for the development of tunnels/shafts and coal excavation & its hauling. Officially the yearly coal production in the province varies between 500,000 tons to 600,000 tons, while unofficially it is estimated at more than 2.000 million tons.

Following are the main reasons for less coal production from both the coal fields: - 1. Salt Range i. Thin coal seam with an average thickness of 0.45 meters; ii. Unpredictable, erratic thinning & swelling behavior of coal seam;

iii. Encountering of water mainly from permeable limestone of Sakesar & Nammal Formations lying over the coal bearing Patala Formation as well as, at some occasions, from coal seam; iv. Structural issues such as folding and faulting; v. Little mechanization; vi. Seasonal market of coal due to its major use in brick kilns. 2. Surghar Range i. Thin coal seam; ii. Dipping of the beds at an average angle of more than 30o; iii. Encountering of water in the mines from the permeable rocks lying over the coal bearing Hangu Formation; iv. Little mechanization; v. Seasonal market of coal due to its major use in brick kilns.

PUNJMIN is carrying out coal mining since long in its different coal leased areas located in Salt Range with little mechanization and excavating coal from these leases. However, it has no coal lease in Surghar Range. The leased areas of PUNJMIN are located near village Padhrar in district Khushab and near villages Dandot, Waula, Ratuchha, Khajula and Wahali in district Chakwal. Status of mining in these PUNJMIN coal leased areas is given as under: - i. Padhrar Area In this area, five mining units, namely PCP-I, PCP-II, PCP-III, PCP-IV & PCP-V were developed, wherefrom coal is being excavated successfully except the units PCP-III & PCP-IV where the mining operation has been stopped due to heavy inrush of water due to monsoon rains, which flooded both the mining units. ii. Dandot Area This area is almost exhausted and only one mine is in operation wherefrom the left over coal is being excavated. iii. Waula Area Development of a mining unit comprising one incline & a shaft was commenced in the area in 1992, but it was suspended due to heavy inflow of water from Sakesar Limestone, which didn’t permit further drivage to reach the coal seam in both the entries. A new mining unit was developed in 2008 in the northern uplifted part of the area wherefrom coal is being excavated regularly. iv. Ratuchha Area Mining in this area was commenced about 100 years back. The quality and seam thickness in most of the area remained better but the structural disturbance and presence of water in limestone lying over the Patala Formation and even in the coal seam, didn’t permit development of any large mine in the area. Most of the area is exhausted and little mining is being carried out in those parts of the area where coal mining could not be conducted earlier due to presence of water in limestone of Sakesar & Nammal Formations lying over the coal bearing Patala Formation.

15 v. Khajula Area Mining in this area is commenced recently. Only one mine has reached the coal seam. Development of more mining units in the area is expected to start very soon. vi. Wahali Area Development of a mining unit in this area was commenced in 1990 by the drivage of two inclined tunnels. However, after reaching one of the tunnels at coal level and thereafter the drivage of underground crosses, it was observed that the coal seam behavior is unpredictable, erratic and unstable. So this unit was closed. If all the above stated areas are compared, it can be stated that Padhrar area is comparatively better in terms of access, geological structure, quality of coal and continuity of seam as it does not totally disappear in the area. However, coal seam of this area has a thinning & swelling erratic behavior. In the light of above, PUNJMIN intends to develop coal mine(s) based on semi-mechanized mining techniques for enhanced coal production, however, before going for development, it is necessary to conduct the Project through a Mining Consultant having sufficient relevant international experience of planning & designing of mines including coal mines for thin coal seam. As PUNJMIN has limited coal leases in Salt Range and no coal lease in Surghar Range, it will have to enter into a joint venture with private lease holder(s), through establishing its own Company as per Clause 18(a) of Punjab Mineral Development Corporation Act, 1975 (Pb. Act XXXIII of 1975), if the consultant proposes any site(s) for model mine(s) in leased area(s) of private coal mining firm(s)/company(ies) in Salt Range and/or in Surghar Range. The virtual underground coal model mine project should be a guideline how to develop and run a mechanized underground coal mine with its entire inventory and based on real world coal deposit data. The spatial computer based model should help authorities as well as the mine owners to optimize their mining operations and increase production. It should also explain how to stay away from general mining problems or how to solve them. The virtual computer mine should then be used as an e-learning model for training purposes. The main technical aspects of the computer simulation should also be transformed into a paper handbook version, which could be used if computerized infrastructure is not available. 1.5 Underground Mining The mine(s) will be planned & designed for underground mining due to thin coal seam lying under the overlying thick beds of limestone and other rocks. The coal bearing Patala Formation in Salt Range is hidden under the Chorgali, Sakesar & Nammal Formations in most of the areas, and where the strata is almost horizontal and depth of coal seam ranges between 100 meters to 150 meters. While in some areas, the depth of coal seam even reaches to about 300 meters due to the presence of Murree & Kamlial Formations over the Chorgali Formation. However, in Tilla Jogian area of Salt Range, the strata is dipping at angles ranging between 25o to 45o and the mines are developed in the areas where Patala Formation or overlying Sakesar & Nammal Formations are exposed. However, the depth of coal bearing Patala Formation increases substantially along the dip. Further, the coal seam in Trans-Indus Range is also dipping at an average angle of 30o, so the overlying rocks over coal bearing Hangu Formation reach to the thickness of 4500 meters along the dip in North and West directions. It is therefore necessary that the mine(s) planning & designing must be carried out keeping in view the above stated factors, and supported by the geological data, coal mines data, available & mineable coal resource, development & production costs, and clearly depicting the economic viability of the mine(s) supported by the spatial computer aided 3D model(s) of the

16 coal seam, quality parameters, mining method(s), coal seam extraction height, level of mechanization, production scheduling and the life of the mine(s). 1.6 Location/ logistics information of the Project area(s) (i) Salt Range extends in Districts Jhelum, Chakwal, Khushab and Mianwali, while Surghar Range is located in District Mianwali only. Coal in Salt Range is present only in Jhelum, Chakwal & Khushab districts, while in Surghar Range it is present in most of the areas, where coal mining is being carried out. (ii) Adequate infrastructure facilities/connectivity is available in both the ranges and can be approached easily. (iii) Skilled / semi-skilled manpower and labour is abundantly available in the areas. (iv) Tertiary health care facilities are available in Jhelum, Chakwal, Khushab and Mianwali District Headquarter Hospitals. 1.7 Justification for the Project The following justify the Project to be undertaken: - i. The country particularly and the province specifically is facing acute power shortage which is hampering not only its economic growth but leading to unemployment also. Government of the Punjab is committed to overcome this shortage through the installation of Coal Fired Power Plants using indigenous coal. ii. The requirement of the said power plants can only be met through enhanced coal production by the establishment of new coal mining units based on semi-mechanized techniques. iii. The engagement of the International Mining Consultant, having sufficient relevant international experience in planning, designing and/or operating mines including coal mines for thin coal seams, will provide a guideline to carry out the development of the coal mines on modern lines by employing maximum mechanization, which will lead to the enhanced coal production from the mines in the province of Punjab, without relying much on conventional mine labor. 1.8 Objective for Selection of Firm/Consortium to undertake the Project PUNJMIN / Client intends to engage an International Mining Consultant having sufficient relevant experience of mine planning, mine designing and/or mine(s) operations including coal mines for thin coal seams, through a competitive bidding process, for undertaking the Services for the Project titled “Study for establishment of Model Coal Mine(s) based on semi- mechanized mining techniques in Salt Range and/or Surghar Range, District Khushab/Chakwal/Jhelum, Mianwali, Punjab, Pakistan”. 1.9 Selection of Firm/Consortium for the Project In the backdrop of above, the Client desires to select a Firm/Consortium, possessing sufficient capabilities and relevant experience, through competitive Bidding Process to act as Consultant to provide Services in accordance with acceptable international standards as part of its scope of work defined in Section - B: Terms of Reference, of this PQD. Applicants, as part of submission of EOI, are encouraged to propose any revisions / amendments in the scope of work of the consultant to make this function of providing Services more effective and fruitful for the Project. In this connection, PUNJMIN intends to hold a pre-submission meeting with the prospective Applicants to analyze any changes in scope of work that they would like to propose. The meeting would be convened at the Client office (2nd Floor, Alfalah Building, The Mall, Lahore, Punjab, Pakistan) at 11 AM (Pakistan Standard Time) on November 24th, 2016.

SECTION - B: TERMS OF REFERENCE

1. SCOPE OF WORK OF THE PROJECT Mines & Minerals Department, Punjab is already conducting "Review of Underground Coal Mines Survey in Punjab, Pakistan” through Fugro and SST consultant, to assess the actual coal production from each coal mine/coal lease and assess the coal potential in each coal lease. The scope of work of the Project to be executed by the Consultant therefore includes, but not limited to, the extent summarized below: 1.1. Data, Reports and Literature Review (i). Careful study, review and evaluation of the existing studies, data and available reports, provided by the Client, including but not limited to the available maps, geological & geophysical logs and coal samples analyses, carried out in the past by various national / international organizations. The Consultant may collect and study any other reports and images / data etc., at its own, if so required; (ii). Compile an inception report on the outcome of the reviewed studies / data, reports and maps etc. for submission to the Client; (iii). The Consultant will plan and conduct the entire study as per the detailed scope of work, to achieve the objectives of the Project while assuring quality standards. The breakup of the Scope of Work includes, but is not limited to the following: (i) Study and review of the available data, boreholes logs, geophysical logs, lab tests, maps & reports; and the data of all the mines operative in both the ranges; and wherever required verify the mines data; (ii) Compile a report on the outcome of the review of above stated data and, where needed, visit the existing coal mines; and keeping in view the thickness, quality & behavior of the coal seam and the coal resource; and structure & hydrological conditions of the area(s), submit computer software aided plan & design of the proposed Model Coal Mine(s) along with the demarcation of the mine(s) area(s) along with the detail of proposed machinery, equipment, manpower, cost estimates and other relevant details in respect of the development and operation of the mine(s) for the excavation of coal on leading international standards; along with the completion time, production schedule & operational life as well as the economic/financial viability along with financial model of the same and the solution to encountering of water, if any; (iii) The model should be set up on the real world data of a representable lease area, respectively mining zone. Also the hydrogeological and rock mechanical data should be the same real world data set; (iv) The mine model should represent the following main objectives of a mining operation as a 3D simulation: Basic input - Geology resource model including coal quality data - Overburden data - Hydrogeology data (v) Prepare PC-I Scheme(s) for the development of the Model Mine(s) on the basis of planning and designing of mine(s) by the Consultant. 1.2. Submission of Report (i). Submit draft and final reports in respect of the planned and designed model coal mine(s) along with available resource of the same on leading international standards. The report must include recommendations for the Client (PUNJMIN) to carry out the development of the mine(s) adopting most efficient techniques to meet the Project objective.

2. DELIVERABLES TO BE SUBMITTED BY THE CONSULTANT The main Project deliverables to be submitted by the Consultant will be as under: 2.1. Inception Report A report incorporating the outcome of the Consultant review of existing studies and data, setting out in detail the concept regarding coal seam thickness, its quality & behavior and execution plan of the Project till its completion. Moreover, the entire work plan should clearly be elucidated on a standard Gantt chart. 2.2. Periodic Progress Reports The Consultant will furnish, throughout the course of the Project execution, fortnightly and monthly progress reports of all the activities on a pre-agreed format, in accordance with the work plan. 2.3. 3-D Model of Model Coal Mine(s) and General Mining technology The mine design should be shown in a 3D computer aided model, which could be used for e- learning procedures: - Mine(s) design according to the general mining technology - Roof protection and its various technology solutions for different areas of the mine(s) based on rock mechanical calculations - Ongoing exploration & quality control The Consultant will demonstrate 3D model of plan & design of model coal mine(s) along with mine(s) area(s) keeping in view the depth, thickness, behavior, quality of coal seam, available resource(s) and structural & hydrological conditions in the area(s). 2.4. Coal production and equipment According to the different stages of mechanization the coal production should be modelled and shown as typical operation forms in 3D. Parts of this model will be:

- Coal winning o Type of coal loosening  Manual; Shearer; Plough o Long wall; Short wall - Underground transport o Manual; Rail; Overhead Mono Rail o Belt conveyor 2.5. Technical infrastructure inventory The technical inventory should be part of the underground virtual mine and should include all necessary infrastructure equipment as, - Electrical power supply underground - Mechanical and electrical maintenance and repair infrastructure

2.6. Ventilation All ventilation procedures should be integrated and demonstrated as part of a computerized simulation and calculation as under: - Main- and auxiliary fans - Air tube system - Air shafts

2.7. Model Coal Mine(s) Report along with Coal Resource(s) A report, compliant with international standards providing the plan & design of the model coal mine(s) along with the mine(s) area(s), and economic viability of the same in the following manner is to be prepared: (i) Draft report of plan & design of model coal mine(s), comprising depth, thickness, behavior, quality of coal seam, available resource(s) and structural & hydrological conditions in the mine(s) area(s) estimate(s) along with 3D models, the cost estimates for the development of the model coal mine(s) including machinery & equipment, manpower as well as for the operations of the coal mine(s) along with the capital & operational cost(s) of the same, and economic/ financial viability of the same along with financial model (also referred to as model coal mine(s) report) to be submitted for Client’s review, comments and acceptance as per its satisfaction. (ii) Final model coal mine(s) report to be submitted for Client’s review, comments and acceptance as per its satisfaction, in the light of scope of work as already elaborated (including 3D model(s) of model coal mine(s), costs, manpower, and equipment etc. (iii) The final model coal mine(s) report on international standards should lead to development of the economically viable semi-mechanized model coal mine(s). (vi) PC-I Scheme(s) for the development of the Model Mine(s) on the basis of planning and designing of mine(s) by the Consultant. The Consultant will provide ten (10) hard and soft sets of each of all the Project deliverables along with all the electronic data of the 3D coal resource model(s), plan & design of mine(s) and illustrations / drawings on a viewable scale and in a presentable manner. Additionally, the Consultant may also need to present such Project deliverables in review meeting(s) in Lahore, Pakistan, as required by the Client. All Project deliverables must be on the international standards. 3. TIMELINES FOR COMPLETION OF DELIVERABLES Consultant are required to complete all the above specified works / services and deliver the relevant Project deliverables within a period of four months from the commencement date (to be defined in the Project agreement). 4. REQUISITE QUALIFICATION AND EXPERIENCE OF THE CONSULTANT Project team shall comprise of the personnel as prequalified in the EOI submitted by the Applicant and the said team shall only be changed subject to the condition that their qualification/experience would not be less than the requirement specified in PQD and their EOIs and that prior written approval of the Client has been obtained. Without prejudice to the generality of the foregoing, the team leader proposed by the Firms/Consortia in the EOI shall not be replaced except with another individual having similar experience and belonging to the same Consortium member as that of the replaced team leader. Moreover, the team leader will have to be available physically during critical meetings and will have to be present at the project site for most of the time. However, if the team leader is physically not available, he/she will have to be available remotely as and when required for effective provision of services for the Project till its completion. Furthermore, the Consultant shall ensure availability of appropriate manpower and other recourses for conducting the Project till its completion. In case, during the execution phase of the Project, it is revealed to the Client that the Project team or any member thereof deputed by the Consultant does not have the skill set required for effective Services, the Consultant shall forthwith replace such member of the Project team with a member possessing the required skill set.

SECTION - C: INSTRUCTIONS TO APPLICANTS

1. INSTRUCTION TO APPLICANTS 1.1. Language of EOI The EOI and any related information will be written in English language for the ease of comprehension and comparability. Additionally, any original or pre-printed information (e.g. brochures) furnished by the Applicant may be written in native language, provided that it is accompanied by a certified translation of its pertinent passages in English. 1.2. Costs The Applicant shall bear all the costs and expenses associated with the preparation and submission of its EOI, including, without limitation, all costs and expenses related to Applicant's preparation of responses to questions or requests for clarification issued by the Client. 1.3. Evaluation Requirements If the Applicant is a Consortium, it shall clearly indicate, in its EOI, which Consortium member(s) are to be evaluated for each such criteria. In case, it does not specify the same, the Lead Member of the Applicant will be considered for evaluation. 1.4. Applicant Lead Members An Applicant may be a single entity or may take the form of a Consortium comprising of companies, firms, corporate bodies or other legal entities. Each Consortium Applicant shall appoint and authorize one (1) lead member ("Lead Member"), through submission of duly executed Power of Attorney in the form set forth in Annexure 2 of Section - F of this PQD, to represent and irrevocably bind all members of the Applicant in all matters connected with the Prequalification Process, including but not limited to the submission of the EOI on behalf of the Applicant. 1.5. Consortium Participation Restrictions No Applicant may prequalify if it owns more than five per cent (5%) of the shares (directly or indirectly, in terms of voting rights and/or rights to dividends) of another Applicant. No Applicant may prequalify if it has any representative on the Board of Directors of another Applicant. No Firm or Applicant member may prequalify if any of the Client’s advisors or external consultants, holds any shares or has any representatives in the Board of Directors of the Applicant. Notwithstanding the foregoing, an Applicant may prequalify if it can present evidence reasonably satisfactory to the Client that, arrangements have been established such that any such cross shareholdings do not materially affect the independent decisions of the Applicant in which such cross shareholding exists. 1.6. Ineligibility of an Applicant If an Applicant has been barred by any Central, State or local government or government instrumentality in Pakistan or in any other jurisdiction to which the Applicant belongs or in which the Applicant conducts its business, from participating in any project, and the bar subsists as on the EOI Submission Deadline, such entity shall not be eligible to submit an EOI, either individually or as a member of an Applicant Consortium. 1.7. Prequalification Criteria Each Applicant's general and particular experience, personnel and financial position, as demonstrated by the Applicant's responses in the prescribed forms will be evaluated as per prequalification criteria given in this PQD. The Client reserves the right to waive minor deviations, if these do not materially affect the capability of an Applicant to perform the contract.

Sub-Consultant(s) experience and resources shall not be taken into account for determining the Applicant’s compliance with the prequalification criteria. 1.8. Partnering between Prequalified Applicants Any prequalified Applicant shall be precluded from partnering (directly or indirectly) with another prequalified Applicant without the express written approval of the Client, who shall be free to accept or refuse at its discretion, and in all cases taking into account the likely effects of the proposed partnering on the competitiveness of the Bidding Process. If the Applicant is a Consortium, the above procedure shall apply to all members of the Applicant. 1.9. Partnering between Prequalified Applicant and Non-Prequalified Applicant Non-prequalified Applicant shall not be entitled to partner with a prequalified Applicant.

SECTION - D: SUBMISSION AND EVALUATION OF EOIs

1. SUBMISSION OF EOI 1.1. Format and Signing of the EOI The EOI shall be submitted in triplicate (one original and two copies) and one electronic copy (on DVD or USB drive) placed in a sealed envelope clearly marked “EOI – Services for the Project titled “Study for Establishment of Model Coal Mine(s) based on Semi-Mechanized Mining Techniques in Salt Range and/or Surghar Range, District Khushab/Chakwal/Jhelum, Mianwali”. The EOI shall be signed by a duly authorized representative of the Applicant. The EOIs shall include a Power of Attorney (Annexure - 1 of Section - F of this PQD) authorizing such representative to sign and submit the EOIs to PUNJMIN on behalf of the Applicant. Authorized representative of Applicants shall make initials on each page of EOI. The Applicant may modify, substitute or withdraw its EOI after submission, provided that written notice of the modification, substitution or withdrawal is received by PUNJMIN prior to the EOI Submission Date. No EOI shall be modified, substituted or withdrawn by the Applicant on or after the EOI Submission Date. The modification, substitution or withdrawal notice shall be prepared, sealed, marked, and delivered with the envelopes being additionally marked “MODIFICATION”, “SUBSTITUTION” or “WITHDRAWAL”, as appropriate. Any alteration/ modification in the EOI or additional information supplied subsequent to the EOI Submission Date shall be disregarded. 1.2. Sealing and Marking of EOI The Applicant shall seal the original EOI and each copy in separate envelopes and shall mark the envelopes as "Original" and "Copies" (all duly marked as required herein). The envelopes shall be sealed in an outer envelope. The inner and outer envelopes shall be addressed to the Client (PUNJMIN) at the following address: Managing Director, Punjab Mineral Development Corporation, 2nd Floor, Alfalah Building, The Mall, Lahore, Punjab, Pakistan PH: +92-042-99205195 The inner and outer envelopes shall each bear the words: “EOI – SERVICES FOR THE PROJECT “STUDY FOR ESTABLISHMENT OF MODEL COAL MINE(S) BASED ON SEMI- MECHANIZED MINING TECHNIQUES IN SALT RANGE AND/OR SURGHAR RANGE, DISTRICT KHUSHAB/CHAKWAL/JHELUM, MIANWALI”. The outer envelope shall indicate the name and address of the Applicant to enable the relevant EOI to be returned unopened in the event that it is declared "late". If the outer envelope is not sealed and marked as required, the Client will assume no responsibility for any misplacement or premature opening of the EOI. 1.3. Deadline for Submission of EOIs EOIs shall be submitted to the Client at the address specified above no later than 14:00 hrs. PAKISTAN TIME, December 05th, 2016 (the "EOI Submission Date") which will be opened on the same date. Any EOI submitted after the EOI Submission Date shall be rejected and shall be returned unopened to the Applicant. PUNJMIN may, at its discretion, extend the EOI Submission Date by amending this PQD, and in such case, all rights and obligations of PUNJMIN and the Applicants subject to the previous deadline shall thereafter be subject to the deadline as extended.

1.4. Addendum At any time prior to the EOI Submission Date of EOIs, the Client may amend this PQD by issuing addenda. Any addendum issued shall be part of this PQD and shall be communicated through email or other suitable means as decided by PUNJMIN to all who have requested to obtain this PQD in pursuance to the advertisement inviting EOIs. 2. EVALUATION OF EOI 2.1. Preliminary Examination of EOIs The Client will carry out a preliminary examination of each EOI to determine whether it is complete, whether the documents have been properly signed, and whether it is generally in order. Where the Client deems it convenient or necessary, it may request supplementary information or documentation from an Applicant for determining its eligibility for prequalification. Whenever such request is made, the Applicant shall provide the same to the Client by such date as may be specified by the Client. Any EOI found to be non-responsive may be rejected by the Client and not included for further consideration. 2.2. Evaluation of EOIs The Client will carry out a detailed evaluation of the EOIs that have not been rejected after the preliminary examination. Subsequently, the Client will examine the information provided by the Applicant in the EOI for its prequalification to be done in accordance with prequalification criteria specified in the following pages. Applicant whose EOI is determined by the Client to be substantively responsive thereby meeting the prequalification criteria specified shall be invited to participate in the next stages of the Bidding Process. Applicant whose EOI is determined by the Client to be substantively non-responsive thereby not meeting the prequalification criteria specified shall be disqualified from participating in the Bidding Process. Verification of the information provided by the Applicant in the EOI submitted for prequalification may be made in such manner as the Client may decide. 2.3. Test of Responsiveness Prior to detailed evaluation of EOIs, PUNJMIN shall determine whether each EOI is responsive to the requirements of this PQD. An EOI shall be considered responsive only if: (i) It is duly signed and each page is initialed on behalf of the Applicant by the duly authorized representative; (ii). It is prepared and received as per the formats and Annexure given in Section – E and Section F of this PQD; (iii). It is received by the EOI Submission Date including any extension thereof, if any; (iv). It is sealed and bound together in hard cover and marked as stipulated in the above clauses; (v). It is accompanied by the latest three years Audited Financial Statements in accordance with Form – 4 of Section - E of this PQD; (vi). It is accompanied by the Power(s) of Attorney in accordance with Annexure – 1 and Annexure - 2 of Section - F of this PQD; (vii). It is accompanied by the Affidavit in accordance with Annexure – 3 of Section - F of this PQD;

(viii). It is accompanied by Parent Company Letter of Comfort (if applicable) in accordance with Annexure – 4 of Section - F of this PQD; and (ix). It does not contain any condition i.e. it is unconditional.

PUNJMIN reserves the right to reject any EOI which is non-responsive and no request for alteration, modification, substitution or withdrawal shall be entertained in respect thereof. 2.4. Invitation for Request for Proposal (RFP) At the end of evaluation activity, the Client will issue RFP to the prequalified Applicants for participating in the next stages of the Bidding Process. Moreover, if the prequalified Applicant is a Consortium, it shall not change the structure of the Consortium for participating in the Bidding Process without the prior written consent of the Client. 3. PREQUALIFICATION CRITERIA The maximum marks are 100 with the following weightage distribution. (i) Weightage for technical criteria is 80% (ii) Weightage for financial criteria is 20% Minimum 50% marks for each section/segment of technical and financial criteria are required for prequalification. Cumulative/Aggregate (technical + financial) prequalifying marks after assigning above mentioned weightages will be 65%. Final Score for prequalification shall be calculated as follows:

Prequalification Score Marks obtained in Technical Criteria x (0.80) – A Marks obtained in Financial Criteria x (0.20) – B Total Score (A+B) This score should be exceeding 65 for an Applicant to prequalify.

3.1. Technical Criteria The following technical criteria shall be used to prequalify the Applicants: A. Applicant's Profile and Strengths B. Relevant Experience C. Profile of Proposed Team D. Equipment and Software Prequalification of Applicants will be done on the basis of score obtained out of 100 according to the following table:

Evaluation Areas Maximum Score Obtained Score A. Applicant's Profile and Strengths 25 B. Relevant Experience 30 C. Profile of Proposed Team 30 D. Equipment and Software 15

Total = 100 Minimum qualifying score in each sub section will be 50% for the Applicant to prequalify in technical criteria. 28

A. Applicant's Profile and Strengths Total Marks = 25

Criteria Range Max. Score Obtained Score Overall experience (relevant to the scope of One & half (1.5) 22.5 work) of the international firm / consortium marks will be (regarding planning & designing and/or awarded for one operating the mines including coal mines year of observing international standards. international experience with a capping of 22.5 marks

Two & half (2.5) additional marks shall be Two & half (2.5) 2.5 awarded only for experience of mine marks will be planning & designing and/or operating coal awarded for one mine for thin coal seam. international project on thin coal seam Note: a) The firms/consortia will submit details of their OVERALL EXPERIENCE in their Expression of Interest (EOI) and a brief resume in Form-1 (Section-I) about the planning & designing and/or operating the mines including coal mines for thin coal seams observing international standards, data interpretation /due diligence, 3D Modelling, on international standards. b) Since the overall experience of the firm/consortium would be the focus under this section of evaluation, therefore, it is not essential that the total scope of work given by the client must be found in all individual projects comprising the portfolio of projects of the firm/consortium. It is the cumulative relevant experience and set of skills of the firms which would be gauged under this part. However, cumulative experience in the broader domain of planning & designing and/or operating the mines including coal mines for thin coal seam must be substantiated by appropriate supporting evidence.

B. Relevant Experience Total Marks = 30

Range Maximum Obtained Criteria Score Score Evaluation of top four (4) international projects as selected/stated by the Firm/ Consortium from its portfolio of projects, based on its relevance to scope of work (i.e. planning & designing and/or operating the mines including coal mines for, 3D modeling, data processing, etc. on leading international standards). The relevance of four (4) international projects completed or in progress by International Firm/ Consortium needs to be indicated. For each project the Firm/ Consortium will specify each of the following activities undertaken. Accordingly, following marking scheme will be observed for marking each project mentioned:

Matrix for relevance of projects Each project 24 Activity Marks will carry six a) Planning & designing and/or operating 3.0 marks mine b) Mine plan & design 3D modeling 1.5 c) Financial analysis 1.5

Note: Three additional marks shall be awarded to the Each project 6 Firm/Consortium for each international project completed or will carry three in progress, for planning & designing and/or operating the marks underground coal mine for thin coal seam with the maximum capping of six (6) marks, as mentioned by it. Note 1: Each Applicant shall fill Form -1 (Section-II) to express its experience. Note 2: Each Applicant shall clearly demonstrate its experience of undertaking the project in the form of a completion / ongoing work certificate from the client to which services were rendered or being rendered in case of ongoing projects.

Max. Marks Marks Criteria Marking Scheme (30 marks) Obtained TEAM LEADER holding minimum B.Sc. 10 degree or equivalent in Mining discipline from  Ten (10) marks shall be given to the team recognized institution, having minimum 12 leader having years of international experience in planning experience of & designing and/or operating mines out of minimum five similar which one mine should be preferably for thin international projects coal seam preferably. out of which at least two coal mines projects for thin coal seam (2 marks per project).  Eight (8) marks shall be given for the team leader having experience of minimum five similar international projects out of which at least one coal mine project for thin coal seam (1.6 marks per project).  Six (6) marks shall be given for the team leader having experience of minimum five similar international projects but no project of thin coal seam (1.2 marks per project). Mining Expert holding minimum B.Sc. degree One (1) mark per similar 05 or equivalent in Mining discipline from nature project.. recognized institution with minimum eight (8) years of international experience in planning & designing and/or operating mines out of which preferably one mine should be for thin coal seam.

Geologist holding minimum Master degree or One (1) mark per similar 05 equivalent in Geological discipline from nature project. recognized institution with at least eight (8) years of international experience in mineral exploration & resource estimation with preferably one project for resource estimation of thin coal seam.

3D Modeler holding minimum B.Sc. degree One (1) mark per similar 05 or equivalent in geological or mining nature project. discipline from recognized institution and having minimum five (5) years of international experience in preparation of 3D models of ore bodies and/or mine plan & design.

Note: Each Team member shall fill Form -2 to demonstrate its experience.

D. Equipment/Software Total Marks = 15

Criteria Range Max. Obtained Score Score b) Geo-Statistical and Resource Estimation & 15 Mine Planning Software (Maximum Marks - 15) The ability of the firm/consortium to engage appropriate internationally acceptable software/ analysis system for Geo-statistical analysis, assays and 3D modeling aimed at resource estimation and mine plan & design, must be substantiated by suitable supporting evidence.

Note: Each Applicant shall fill Form -3 to demonstrate its Equipment capabilities.

3.2. Financial Criteria The following financial criteria shall be used to prequalify the Applicants: Prequalification of Applicants will be done on the basis of score obtained out of 100 according to the following table:

Evaluation Areas Maximum Score Obtained Score Applicant's Financial Strength: A. Average Net Worth 50 B. Average Gross Annual Revenue /Sales/Turnover 50 Total = 100 Minimum qualifying score in each sub section will be 50% for the Applicant to prequalify in financial criteria. Applicant's Financial Strength Total Marks = 100 Criteria Range Max. Obtained Score Score

A. Average Net Worth Total Marks = 50

Greater or equal to Pak 50 Rupees 20 million Greater or equal to Pak 40 Rupees 15 million but less Average Net Worth than Pak Rupees 20 million Greater or equal to Pak 30 Rupees 10 million but less than Pak Rupees 15 million

B. Average Gross Annual Total Marks = 50 Revenue/Sales/Turnover Average Gross Annual Revenue For the firms/consortia ranked/marked on net worth criteria, the firms/consortia having higher annual revenues (as determined through their audited annual financial statements) would carry additional weightage as compared to the firms/consortia ranked/marked on net worth basis but having lower annual revenues The firms/consortia ranked/marked on net worth criteria would be further evaluated as under: (a) The firms/consortia (among all firms/consortia selected/evaluated on the basis of net worth) would be further ranked on the basis of gross annual revenues/turnover/sales (as determined through their annual audited financial statements) in descending order. (b) Following would be the slabs for marking with reference to the annual revenues of the firms/consortia which have been arranged in descending order as elaborated just above at (a): i. Top 50% firms/consortia as ranked on 50 gross annual revenues.

ii. Middle 30% firms/consortia as ranked 40 on gross annual revenues.

iii. Lowest 20% firms/consortia as ranked 30 on gross annual revenues. i. Net Worth means the value of total assets less total liabilities of the entity concerned at the end of a financial year. The Applicant Firms/Consortia shall provide information regarding the above, based on the audited annual financial statements for the latest three (3) full financial years, for which such statements are available, including the consolidated balance sheet, income statement, statement of cash flows and the accompanying notes. Further elaboration regarding financial capability has been given below. ii. Gross Annual Revenues/Turnover/Sales means the value of gross revenues/turnover/ sales of the firm/consortium concerned for a given financial year as mentioned in its financial statement for that year. iii. Financial Capability - Submission of Evidence from Parent Company The Firm and if it is a Consortium then the relevant Consortium member, may choose to present financial statements of the Parent Company to satisfy financial criteria. For purposes of the above, “the Parent Company” means any corporate entity controlling the Applicant Firm, or if the Applicant Firm is a Consortium, the relevant Consortium member, and "Control" means having, directly or indirectly, a majority of the voting securities and a majority representation in the Board of Directors (or other similar constituent body) of the given corporate entity. In case the Applicant Firm, or if the Applicant Firm is a Consortium, the relevant Consortium member, chooses to present financial statements from a Parent Company, it shall submit, in addition to all other documentation required by this Prequalification Document with respect to the Parent Company. In such cases, the Parent Company shall guarantee to the Client the Applicant Firm's financial obligations under the Project Agreement. For purposes of the above, the Parent Company shall provide an executed letter of support in the form attached in Annex 4 (Parent Company Letter of Comfort). NOTE: (1) For Conversion of Net Worth and Annual Revenues of the Firm/Consortium into PKR (Pakistan Rupees), the Exchange Rate of USD 1 = PKR 105 would be applied. (2) The AVERAGE of latest three years for net worth and gross annual revenues, as determined from the audited annual financial statements of the firms/consortia (for the latest three years) would form the BASIS for marking/ranking during evaluation process. (3) Each Applicant shall fill Form - 4 to express its Financial Strength.

SECTION - E: FORMATS

FORM – 1: RELEVANT EXPERIENCE Applicants shall provide the details of overall experience (relevant to scope of work) of international firm/consortium using the below Form: SECTION I - Details of overall experience (relevant to scope of work) of the international firm / consortium (regarding data processing, resource estimation, mine planning & designing and/or mine operating etc.) of mineral projects including coal in accordance with leading international standards:

1. Name of Firm/Consortium: Overall experience relevant to scope of work (Years): Details of overall experience (relevant to scope of work)

Note: Each Applicant shall clearly demonstrate its experience along with suitable evidence thereof to facilitate evaluation under this section.

SECTION II - Details of top four projects as selected/stated by the firm/consortium from its portfolio of projects, based on its relevance to scope of work 1. Name of Project: Country of Execution: (a) Resource estimation (b) Mine planning & mine designing and/or operating mine (c) 3D modeling (d) Financial analysis 2. Name and Contact Details of Procuring Agency: 3. Nature and scope of work executed: 4. Value of Services Provided in PKR for each component: (a) Resource estimation (b) Mine planning & mine designing and/or operating mine (c) 3D modeling (d) Financial analysis 5. Date of Award: 6. Date of Completion:

FORM – 2: RELEVANT PROJECT PERSONNEL

Title of Position: Personnel Name Date of birth Information Professional qualifications Profession experience (Years) Present Name of employer Employment Address of employer Telephone Contact (Manager / Personnel Officer) Fax E-mail Job title / Position Years with present employer

Please summarize professional experience in reverse chronological order. Indicate particular technical and managerial experience relevant to the proposed Project. Serial # Project From To Particulars Name 1 Company Name: Position Held: Work Done on the project: 2 Company Name: Position Held: Work Done on the project:

Note: The Applicant shall not change the proposed team for the project while submitting its Technical Proposal except with prior written approval of the Client.

FORM – 3: EQUIPMENT/SOFTWARE The Applicant Firm/Consortium shall provide adequate information to demonstrate clearly that it has the capability to meet or arrange the requirements for the key equipment in the light o scope of work reflected at Section B (Terms of Reference). The firm/consortium is required to provide appropriate supporting evidence for the equipment and machinery which may be either owned or may be arranged on rent or lease. Item of Equipment/Software Equipment/Software Name of Manufacturer and Model Information Specification Current location Current Status Details of current commitments Source Indicate source of the equipment □ Owned □ Rented □ Leased

In case of Ownership Name of owner Address of owner Telephone Contact name and title Fax Telex Proof of ownership in case of proprietary equipment In Case of Equipment/Software arrangement on Rent/ Lease

Supporting Evidence/ Documents/Undertaking

FORM – 4: FINANCIAL STATUS a. Summarize the required financial data in the form below, based on audited financial statements for the latest three (3) financial years. b. For Conversion of Net Worth, Gross Annual Revenue/Turnover/Sale of the Applicant into PKR (Pakistan Rupees), the Exchange Rate of USD 1 = PKR 105 will be used.

Particulars Latest Year 1 Year 2 Year 3

1. Net Worth

2. Gross Annual Revenue

Note: The Applicant shall fill this table based on the audited financial statements, which statements shall be submitted by the Applicants with their EOIs duly translated in English language from a certified translator.

FORM – 5: LITIGATION HISTORY Applicants, including each of the members of an Applicant Consortium, shall provide information on any history of litigation or arbitration resulting from contracts executed in the last five years or currently under execution. A separate sheet should be used for each Consortium member. A consistent history (50% or more) of award against the Applicant or any member of a Consortium may result in rejection of the application.

A. Decided Litigation: Year Award For or Name of client, Disputed amount Against Applicant cause of litigation, (Current value Pak and matter in Rs. or equivalent) dispute

B. Pending Litigation: Year Matter in Dispute Value of Pending Value of Pending Claim in Pak Rs. Claim as a or Equivalent Percentage of Net Worth

SECTION - F: ANNEXURE

ANNEXURE – 1 POWER OF ATTORNEY FROM APPLICANT IN FAVOUR OF ITS AUTHORIZED SIGNATORY

Date:

Power of Attorney

Know all men by these presents, We______name and address of the registered office) do hereby constitute, appoint and authorize Mr./ Ms. ______name and residential address) who is presently employed with us and holding the position of ______as our attorney, to do in our name and on our behalf, all such acts, deeds and things necessary in connection with or incidental to our EOI for Prequalification of Applicant for the provision of Consultancy Services for the Project titled “Study for establishment of Model Coal Mine(s) based on semi-mechanized mining techniques in Salt Range and/or Surghar Range, District Khushab/Chakwal/Jhelum, Mianwali, Punjab, Pakistan”, including signing and submission of all documents and providing information / responses to the Punjab Mineral Development Corporation (PUNJMIN), representing us in all matters before PUNJMIN, and generally dealing with PUNJMIN in all matters in connection with our EOI for the said Services of the Project. We hereby agree to ratify all acts, deeds and things lawfully done by our said attorney pursuant to this Power of Attorney and that all acts, deeds and things done by our aforesaid attorney shall and shall always be deemed to have been done by us.

Signature of Authorized Attorney ______

Name and Title of Attorney: ______

Name of Firm: ______

Address: ______

Note: To be executed by all the members in case of a Consortium. The mode of execution of the Power of Attorney should be in accordance with the procedure, if any, laid down by the applicable law and the charter documents of the executant(s) and when it is so required the same should be under common seal affixed in accordance with the required procedure.

ANNEXURE – 2 POWER OF ATTORNEY BY APPLICANT MEMBERS IN FAVOUR OF LEAD APPLICANT MEMBER

Power of Attorney

Whereas, the Punjab Mineral Development Corporation (PUNJMIN) has invited EOIs from interested parties for the Prequalification of Applicant for the provision of Consultancy Services for the Project titled “Study for establishment of Model Coal Mine(S) based on semi-mechanized mining techniques in Salt Range and/or Surghar Range, District Khushab/Chakwal/ Jhelum, Mianwali, Punjab, Pakistan”. Whereas, the undersigned members of the Applicant are interested in prequalification for the above mentioned Works / Services Project in accordance with the terms and conditions of the Prequalification Document (PQD). Whereas, it is necessary under the PQD for the members of the Applicant to designate one of them as the Lead Member with all necessary power and authority to do for and on behalf of the Applicant and its members, all acts, deeds and things as may be necessary in connection with the Applicant’s EOI for the Project. NOW THIS POWER OF ATTORNEY WITNESSETH THAT; We, M/s. ______M/s ______and M/s ______(the respective names and addresses of the registered office) do hereby designate M/s ______being one of the members of the Applicant, as the Lead Member of the Applicant, to do on behalf of the Applicant and all its members, all or any of the acts, deeds or things necessary or incidental to the Applicant’s EOI for the Project, including submission of EOI, responding to queries, submission of information / documents and generally to represent the Applicant in all its dealings with PUNJMIN, any other Government Agency or any person, in connection with the Services of the Project until culmination of the process of prequalification. We hereby agree to ratify all acts, deeds and things lawfully done by the Lead Member pursuant to this Power of Attorney and that all acts deeds and things done by our aforesaid attorney shall and shall always be deemed to have been done by us/Applicant.

Dated this the ______Day of ______201___

(Executants)

Signature of Authorized Attorney ______

Name and Title of Attorney: ______

Name of Firm: ______

Address: ______

(To be executed by all the members of the Applicant)

Note: The mode of execution of the Power of Attorney should be in accordance with the procedure, if any, lay down by the applicable law and the charter documents of the executant(s) and when it is so required the same should be under common seal affixed in accordance with the required procedure.

ANNEXURE – 3 AFFIDAVIT

Date:

The Project Director, Punjab Mineral Development Corporation (PUNJMIN), 2nd Floor, Alfalah Building, The Mall, Lahore, Punjab, Pakistan.

We, [insert name of Applicant] hereby represent and warrant that, as of the date of this letter [Name of Applicant / Lead Member of Applicant], and each member of Applicant (if applicable): a. is not in bankruptcy or liquidation proceedings; b. has not been convicted of, fraud, corruption, collusion or money laundering; and c. is not aware of any conflict of interest or potential conflict of interest arising from prior or existing contracts or relationships which could materially affect its capability to comply with the obligations in respect of the subject Project for which prequalification is being done.

We further represent and warrant that all information and documentation submitted as part of our Expression of Interest is true and accurate. We have also attached a clearance certificate duly attested by the chamber of commerce / registration authority evidencing registration (if applicable).

Yours sincerely,

Signature of Authorized Signatory ______

Name and Title of Signatory: ______

Name of Firm: ______

Address: ______

ANNEXURE - 4 PARENT COMPANY LETTER OF COMFORT

Date: Month, Day, Year

The Project Director, Punjab Mineral Development Corporation (PUNJMIN), 2nd Floor, Alfalah Building, The Mall, Lahore, Punjab, Pakistan

Sub: STUDY FOR ESTABLISHMENT OF MODEL COAL MINE(S) BASED ON SEMI- MECHANIZED MINING TECHNIQUES IN SALT RANGE AND/OR SURGHAR RANGE, DISTRICT KHUSHAB/CHAKWAL/JHELUM, MIANWALI, PUNJAB, PAKISTAN

Dear Sir,

We refer to the prequalification document ("Prequalification Document") issued by the PUNJMIN, dated ...... , inviting prequalification applications from Applicant firms/consortia for the Project titled “Study for establishment of Model Coal Mine(s) based on semi-mechanized mining techniques in Salt Range and/or Surghar Range, District Khushab/Chakwal/Jhelum, Mianwali, Punjab, Pakistan”.

According to the Prequalification Document (Financial Capacity - Submission of Evidence from Parent Company), the Applicant Firm, or if the Applicant Firm is a Consortium, at least one of the Consortium members, may choose to present financial statements from a Parent Company to satisfy Financial Criteria. For this purpose, the "the Parent Company" means any corporate entity Controlling the Applicant firm, or if the Applicant firm is a consortium, the relevant consortium member, and "Control" means having, directly or indirectly, a majority of the voting securities and a majority representation in the Board of Directors (or other similar constituent body) of the given corporate entity.

In consideration of the above, we hereby confirm and undertake that: i. we are the Parent Company of [name of subsidiary], which is seeking to prequalify for the Project as [Applicant firm/consortium Member]; and ii. we will make available sufficient funds [name of subsidiary] to enable it to meet its obligations as and when these arise as a result of this pre-qualification process and its subsequent outcome.

Yours faithfully,

[Name of Parent Company]

By: ______

Name: ______

Title: ______(Authorized signatory)