Introduction of Highwall Mining on Area

Eastern Coalfields Limited ( A Subsidiary of Coal India Limited ) Office of the General Manager (CMC) Contract Management Cell. Sanctoria, P.O. Disergarh, Dist. Burdwan PIN-713333 e-MAIL [email protected]

Ref. No : ECL/HQ/CMC/Pre-NIT/ 615 Dated : 20/12/2014

PRE-NIT NOTICE

A pre-NIT meeting for the work “INTRODUCTION OF HIGHWALL MINING ON HIRING BASIS AT NIMCHA BLOCK (SATGRAM AREA) & SRIPUR BLOCK (SRIPUR AREA) ” will be held on 21/01/2015 at 11.00 A.M in the Conference Room of CMD’s Office ,ECL,(HQ) , Sanctoria Po : Dishergarh , Dist : Burdwan (WB) Pin - 713 333 . Interested Bidders are requested to visit the proposed site at their own cost and go through the terms & conditions of the draft tender document before taking part in the Pre-NIT meeting. They are also requested to come prepared with list of proposed addition /deletion/ modification, if any, in writing for submission to ECL and seek clarification / information related to the Bid document in the meeting. The draft bid document is available in our website www.easterncoal.gov.in from 23/12/2014 up to 19/01/2015 for downloading which shall form the basis of discussion. Necessary modification of the draft NIT may be considered on the basis of written submission by Participating agencies during Pre-NIT meeting subject to acceptance.

General Manager(CMC)/ECL

GLOBAL BID DOCUMENT

FOR INTRODUCTION OF HIGHWALL MINING ON HIRING BASIS

NIMCHA BLOCK (SATGRAM AREA) & SRIPUR BLOCK (SRIPUR AREA) ECL

DECEMBER 2014

EASTERN COALFIELDS LIMITED (A Subsidiary of Coal India Limited) SANCTORIA, DISHERGARH BURDWAN-713333 (INDIA)

INDEX 1.1 GLOBAL TENDER NOTICE………………………………………………………..……………….…… ..4 1.2 QUALIFICATION CRITERIA OF BIDDER…………………………………………..…………….………4 1.3 EARNEST MONEY/BID SECURITY……………………………………………………………..…...... 5 1.4 APPLICATION FEE FOR TENDER DOCUMENT ...... 6 1.5 AVAILABILITY OF TENDER DOCUMENTS ...... 6 1.6 GENERAL INSTRUCTIONS FOR SUBMISSION OF TENDER ...... 6 1.7 VALIDITY PERIOD OF OFFER ...... 7 1.8 RECEIPT OF TENDERS ...... 7 1.9 PRE-BID MEETING ...... 7 1.10 OPENING OF THE TENDERS ...... 7 1.11 DEPUTATION OF REPRESENTATIVES FOR CLARIFICATION…………………………………….. ….7 1.12 PURCHASE PREFERENCE ...... 7 1.13 INTEGRITY PACT ...... 7 1.14 ECL’S Right ...... 8

2. INSTRUCTIONS TO BIDDERS………………………………………………………………………...8 2.1 SCOPE OF TENDER………………………………………………………………………..………………..8 2.2 ELIGIBLE TENDERER……………………………………………………………………….…………...... 8 2. 3 QUALIFICATION OF THE TENDERER……………………………………………………………….…...10 2.4 ONE BID PER BIDDER………………………………………………………………………………….…...11 2.5 COST OF BIDDING………………………………………………………….…………………….……..…..11 2.6 SITE VISIT ………………………………………………………………….…………………..…….…...12 2.7 CONTENT OF BID DOCUMENTS……………………………………………………………….… ……12 2.8 CLARIFICATION OF BID DOCUMENTS…………………………………………………….……… ..12 2.9 AMENDMENT OF BID DOCUMENTS……………………………………………………….…………..13 2.10 LANGUAGE OF BID……………………………………………………………………………… ……..13 2.11 DOCUMENTS COMPRISING THE BID…………………………………………………….……………13. 2.12 BID PRICES & TAXES:……………………………………………………………………………………14 2.13 CURRENCIES OF BID AND PAYMENT…………………………………………………………………15 2.14 BID VALIDITY ...... 15 2.15 BID SECURITY / EARNEST MONEY DEPOSIT (EMD) ...... 15 2.16 FORMAT AND SIGNING OF BID ...... 16 2.17 SEALING, MARKING AND SUBMISSION OF BIDS ...... …16 2.18 LAST DATE FOR SUBMISSION OF BIDS……………………………………………………………….17 2.19 LATE BIDS……………………………………………….……………………………………...………….17 2.20 MODIFICATION AND WITHDRAWAL OF BIDS…………………………………………………….…17 2.21 BID OPENING……………………………………………………………………………………………....17 2.22 PROCESS TO BE CONFIDENTIAL……………………………………………………………….…….…. 18 2.23 CLARIFICATION OF BIDS………………………………………………………………………….…. 18 2.24 EXAMINATION OF BIDS AND DETERMINATION OF RESPONSIVENESS………………….…….…18 2.25 CORRECTION OF ERRORS…………………………………………………………………….….……..18 2.26 EVALUATION AND COMPARISON OF BIDS ………………………………………………...... 19 2.27 AWARD CRITERIA……………………………………………………………………………………….…19 2.28 EMPLOYER’S RIGHT TO ACCEPT ANY BID AND TO REJECT ANY OR ALL BIDS……………………………………………………………………………………………………….…….19

2.29 NOTIFICATION OF AWARD AND SIGNING OF AGREEMENT………………………………….……. 19 2.30 LEGAL JURISDICTION …………………………………………………………..…………...…………….19 2.31 NIT AND TENDER DOCUMENTS IN THE WEBSITE ……………………………………………..…….19

3. FORMS OF BID AND QUALIFICATION INFORMATION ......

Section 1 ...... …….20 Section 2………………………………………………………………...... 22 3.0 INDIVIDUAL BIDDERS OR INDIVIDUAL MEMBERS OF JOINT VENTURE COMPANY / CONSORTIUM…………………………………………………………………….…….…..22 3.1 CONSTITUTION OR LEGAL STATUS OF BIDDER(ATTACH COPY)……………………...... ……22 3.2 GENERALINFORMATION……………………………………………………….…./………………...... 22 3.3 DETAILS OF PERFORMANCE OF EQUIPMENT FOR SIMILAR NATURE OF WORK………………………………………………………………………….……….……...... …….…..23 3.4 ANNUAL AUDITED FINANCIAL REPORT OF THE LAST 3 YEARS:BALANCE SHEET,P&L STATEMENT,AUDITOR REPORT ETC ……………..…………………...…………… ……...24 3.5 EVIDENCE OF ACCESS TO FINANCIAL RESOURCES TO MEET THE QUALIFICATION REQUIREMENT…………………….…………………………..…..………..………..….24. 3.6 DETAILS OF BANKERS……………………………………………………………………..….…….…..24 3.7 INFORMATION ABOUT LITIGATION,IF ANY,IN WHICH BIDDER IS INVOLVED………………………………………………………………………………………..…………….25 3.8 DETAILS OF THE EQUIPMENT (CM/SIMILAR EQUIPMENT) PROPOSED TIO BE DEPLOYED FOR THE WORK……..………..………….25 3.9 PERFORMANCE OF THE EQUIPMENT(CM/SIMILAR EQUIPMENT)PROPOSED TO BE USED…………….……...... 25 3.10 PERMANENT INCOME TAX ACCOUNT NO.(PAN) ………………………… ……………….….....26 3.11 DETAILS OF EARNEST MONEY / BID SECURITY………………………… ..... ……………………26

CHECK LIST TO BE FURNISHED BY THE BIDDER (To be submitted in Part I)………………………...27 Data/Information Sheet (To be submitted in Part I)…………………………………………………………..….28

4. CONDITIONS OF CONTRACT ...... 4.1 DEFINITIONS...... 29 4.2 CONTRACT DOCUMENTS ...... 31 4.3 DISCREPANCIES AND ADJUSTMENTS THERE OF: ...... 32 4.4 SECURITY DEPOSIT/ PERFORMANCE GUARANTEE ...... 32 4.5 TIME FOR COMPLETION OF CONTRACT - EXTENSION THEREOF ...... 32 4.6 QUALITY ASSURANCE ...... 33 4.7 MEASUREMENT AND PAYMENT ...... 33 4.8 TERMINATION, SUSPENSION, CANCELLATION & FORE CLOSURE OF CONTRACT ...... 34 4.9 LIABILITY FOR ACCIDENTS AND DAMAGES ...... 35 4.10 FORCE MAJEURE ...... 35 4.11 SETTLEMENT OF DISPUTES ...... 35 4.12 SUB-CONTRACTING ...... 35 4.13 CERTIFICATE NOT TO AFFECT RIGHT OF OWNER AND ...... 36 4.14 COMMITMENT TOWARDS MINIMUM GUARANTEED PRODUCTION ...... 36 4.15 DGMS APPROVAL ...... 36 4.16 APPLICABLE LAWS ...... 37 4.17 INSURANCE...... 37 4.18 ACCESS TO SITE AND WORKS ON SITE ...... 37 4.19 COMPLETION CERTIFICATE ...... 37 4.20 SPECIAL TERMS AND CONDITIONS / OBLIGATION OF Contractor ...... 37

5 TECHNICAL DOCUMENT OF HIGHWALL MINING TECHNOLOGY……………………………..…..40 5.1 Preamble……………………………………………………………………………………………….…….41 5.2 SALIENT FETURES OF EQUIPMENT CONFIGURATION…………………………………..…………42 5.3 COAL CONVEYANCE SYSTEM…………………………………………………….………….………...43 5.4 METHOD OF MINING………………………………………………………………………….………….44 5.5 STRENGTH OF HIGHWALL MINING TECHNOLOGY………………………….…………..………....45 5.6 HIGHWALL DESIGN, GROUND CONTROL ISSUES, SPONTANEOUS HEATING & INUNDATION………………………………………………………..………………...……... ..46 5.7 BLOCKS PROPOSED FOR HIGHWALL MINING………………………………….……………….…...47 5.8 Reserves…………………………………………………………………………………………………. ….47 5.9 Mine Closure……………………………………………………………………………………………..…..48 5.10 Nimcha Block……………………………………………………………………………….……….. ...…..48 5.11 Sripur Block……………………………………………………………………………...………….….. ….51 5.12 EMP……………………………………………………………………………………..…………... …..…55 5.13 Summary of Extractable Reserves and Land Requirement……………………………………………..…..55 5.14 Manpower……………………………………………………………………………..…………… …..…..56 5.15 Production Schedule……………………………………………………………………….…………..……56 5.16 Economics………………………………………………………………………………………..…….…...56 5.17 SENSITIVITY ANALYSIS…………………………………………………………….……………….….60

6.0 TENDER DRAWINGS 6.1 LIST OF DRAWINGS :…………………………………………………………………………………...61

7. SCOPE OF WORK, TIME SCHEDULE AND ...... 7.1 SCOPE OF WORK ...... 62 7.2 OBLIGATIONS OF OWNER ...... 63 7.3 FORM OF PRICE BID ...... 65

8. FORMATS ...... 8.1 BANK GUARANTEE PROFORMA FOR ...... 66 8.2 BANK GUARANTEE PROFORMA FOR ...... 68 8.3 FORMAT FOR CONTRACT AGREEMENT ...... 70 8.4 PROFORMA FOR INTEGRITY PACT ...... 73

NOTICE INVITING TENDER NIT No. Date

GLOBAL TENDER NOTICE Sealed tenders are invited in triplicate (one original Bid & two copies) under two bid systems for “Introduction of Highwall Mining on Hiring Basis at Nimcha Block (Satgram area) & Sripur Block (Sripur Area) of ECL.

Particulars of Work Minimum Guaranteed Total Production per Annum Contract Period Introduction of Highwall Mining on Hiring 1st Production Year 0.30 MTY Basis at Nimcha Block(Satgram 2nd Production Year 0.50 MTY 7 years (1+6) area)&Sripur Block(Sripur Area) with associated equipment for winning coal 3rd Production Year 0.50 MTY without blasting in Nimcha block and 4th Production Year 0.50 MTY Sripur block of Satgram area and Sripur areas of ECL on hiring basis inclusive of: 5th Production Year 0.50 MTY a) To get conducted scientific study for 6th Production Year 0.40 MTY obtaining DGMS permission for the Introduction of Highwall Mining on Hiring Total of 2.70MT Basis at Nimcha Block(Satgram area)&Sripur Block(Sripur Area) Package in the above mines and strata monitoring as required by DGMS b) To supply all necessary compatible Equipment of Highwall Mining Package, spares, consumables for the Introduction of Highwall Mining on Hiring Basis at Nimcha Block(Satgram area)&Sripur Block(Sripur Area) Technology and its operation during the contract period. c) To deploy, operate and maintain the Highwall Mining package (drivage upto 300m) to produce & transport coal from face to the designated stock yard. d) To prepare bench/trench for deployment of Highwall Mining equipment. e)To arrange for Required Pumping works.

1.2 QUALIFICATION CRITERIA OF BIDDER 1.2.1 The bidders shall be a private, public or government owned legal entity or a combination of them.

A. The Bidder must be a manufacturer of Highwall Miner and the same or similar equipment manufactured by the manufacturing organization and which is proposed for deployment must 4

have produced at least 0.36 million tonne of coal/HIGHWALL MINER from Highwall mines in any one production year in the preceding 7 years ending on 31.03.2014. OR B. The bidder must have a legally binding agreement with a manufacturing organization or his authorized agent / dealer (provided the such authorized agent / dealer has such delegation of power on behalf of the Manufacturer to do so) which have successfully manufactured and supplied Highwall Miner and the same or similar equipment manufactured by the manufacturing organization and which is proposed for deployment must have produced at least 0.36 million tonne of coal/HIGHWALL MINER from Highwall mines in any one production year in the preceding 7 years ending on 31.03.2014, and the agreement must clearly confirm that the bidder would have all the supports and services from the said organization or his authorized agent / dealer upto the period / tenure of the contract.

OR C. The bidder must have produced at least 0. 36 million tonne of coal/HIGHWALL MINER from Highwall mines in any one production year using Highwall Miner in the preceding 4 years ending on 31.03.2014

1.2.2 The intending Bidder must have minimum financial turnover of INR 26.32 Crs . Or equivalent US $ in any year during last 7 years ending last day of month previous to the one in which bid applications are invited.

Note : Financial Turnover shall be given a weightage of 5% per year ( average annual rate of inflation ) to bring them at current price level.

1.2.3 The intending Bidder must provide evidence of possessing adequate working capital of INR 8.10 Cr or equivalent US $ inclusive of access to lines of credit and availability of other financial resources to meet the requirement.

In case, the Bidder is a subsidiary of a company and consolidated financial report is prepared by the holding company showing information / financial turnover of subsidiary separately, the same in respect of the subsidiary only shall also be considered to meet the eligibility criteria. In such case copy of a letter from the holding company to that effect will be required.

1.2.4 For calculating equivalent US $, the Bill selling rate of SBI on the last date of submission of bid shall be considered.

1.3 EARNEST MONEY / BID SECURITY Rs. 50,00,000 (fifty lakhs) as Earnest Money / Bid Security is to be deposited in the form of irrevocable Bank guarantee with validity 28 days beyond the validity of the Bid in the format given in the Bid Document. Demand drafts will also be acceptable as Earnest Money / Bid Security drawn in favour of EASTERN COALFIELDS LIMITED payable at its branch at ASANSOL (WB). Bank Guarantee / Demand Draft should be furnished either from a Scheduled Nationalised Bank in India or from first class International Bank of repute, having an operational branch in India , if the bidder chooses to submit Bank Guarantee / Demand Draft issued by Foreign Bank Financial Institute. Earnest Money / Bid Security of the unsuccessful bidders shall be refunded as promptly as possible after finalization of tender and shall bear no interest.

1.4 APPLICATION FEE FOR TENDER DOCUMENT The price of a tender document will be Rs. 5,725.00 (Out of total amount Rs. 725 .00 is for Vat ) payable either in cash or by bank draft drawn in favour of EASTERN COALFIELDS LIMITED, on any scheduled bank payable at its branch at ASANSOL(WB) (non-refundable) .

1.5 AVAILABILITY OF TENDER DOCUMENTS Tender documents including terms and conditions of work, shall be available on payment, from the following places and time, during the period as stated below: from ------to ------.

Place: Office of General Manager (CMC),ECL/HQ, Sanctoria Po : Dishergarh, Pin-713 333 ,Dist : Burdwan (WB), INDIA on payment of cost of tender document in cash

Time 11.00 Hrs to 14.00 Hrs (Monday to Friday) and 11.00 Hrs to 12.00 Hrs (Saturday only)

1.5.1 TENDER DOCUMENT FROM WEBSITE Complete tender document can be also downloaded from our website www.easterncoal .gov.in OR www.tennders .gov.in. If the tender document is down loaded from the website the bidder has to furnish a Bank Draft of Rs. 5,725.00 (Rupees Five Thousand seven hundred twenty five) drawn in favour of EASTERN COALFIELDS LIMITED payable at ASANSOL (WB) as the price of tender document and an undertaking as per the enclosed format in a separate envelope.

1.6 GENERAL INSTRUCTIONS FOR SUBMISSION OF TENDER

A tenderer should strictly comply with the following instructions: a. A tenderer is required to submit his offers in a sealed cover giving reference to this Tender Notice No. and Date, containing four separate sealed envelopes prominently superscribed as " Part I", "Part II (Price bid)", "Earnest Money Deposit", & "Cost of Tender Document and Undertaking" respectively. b. The above four envelopes of the offer shall contain details as follows:

Part I – i) Full details of the firms (bidder) as per format given in Chapter 3; documentary evidences in support of qualification criteria, projects handled, financial capabilities and any other relevant information. Letter of the bidder submitting the bid along with affidavit as per the format given.

ii) Technical offer along with detailed technical specifications of the Equipments, know-how. offered, drawings, pamphlets, etc. strictly in terms of tender enquiry

Part II – Price bid only in the format given in the tender document.

Earnest Money / Bid security in the prescribed form (Bank guarantee or demand draft) is to be submitted in the envelope superscripted as "Earnest Money Deposit" .

Envelope marked as “Cost of Tender Document and Undertaking” shall contain either of the following:

- Attested notarized copy of Receipt of the application fee for tender document. Or - If the tender document is downloaded from the website, a Bank Draft of Rs. 5725 as the price of tender document and an undertaking.

1.7 VALIDITY PERIOD OF OFFER

The rates offered in Part II should be valid for six calendar months from the date of opening of Part I of the tender.

1.8 RECEIPT OF TENDERS Tenders are to be received in sealed covers up to 15.00 hrs on ------at the following office:

Office of General Manager (CMC), ECL/HQ, Sanctoria Po : Dishergarh, Pin-713 333 ,Dist : Burdwan (WB), INDIA

1.9 PRE-BID MEETING A pre-Bid meeting will be held at 11.30 Hrs (IST) on ------at the office of the General Manager (CMC), Eastern Coalfields Limited HQ, Sanctoria Po : Dishergarh, Pin-713 333 ,Dist : Burdwan (WB), INDIA

1.10 OPENING OF THE TENDERS Tenders will be opened at 15.30 hrs on ------at the office of the General Manager (CMC), Eastern Coalfields Limited, ECL/HQ, Sanctoria Po : Dishergarh, Pin-713 333 ,Dist : Burdwan (WB), INDIA

Part II of the offer shall be opened only in respect of such tenders as are found valid after scrutiny of Part I.

1.11 DEPUTATION OF REPRESENTATIVES FOR CLARIFICATION After opening of the tender, if the company requires any clarification, the tenderers should be in a position to depute their representatives, at short notice, with full authority for clarification on the technical as well as commercial terms and conditions of the contract.

1.12 PURCHASE PREFERENCE Purchase Preference as applicable shall be extended to Indian Central Public Sector Enterprises (CPSEs) as per Purchase Preference policy of Government of India, if applicable at the time of award of work 1.13 INTEGRITY PACT The bidders are required to sign the integrity pact as per format given in the Bid Document Name and address of Independent External Monitor : -

Sl.No. Name of IEM & e-mail ID Address 1. Sri J.N.Mishra, IAS (Retd.) 2/77, Vijay Khand, Gomti Nagar, Lucknow-226010 e-mail: [email protected] Mobile : 09452775435; 08009007744 2. Sri Rakesh Jaruhar. Sector-B/9, Flat No. 6457, Vasant Kunj, New Delhi- e-mail: [email protected] 110070

1.14 ECL’S RIGHT ECL reserves the right to accept or reject any or all tenders without assigning any reasons whatsoever. ECL also reserves the right to award full or part job at its discretion.

General Manager (C M C), Eastern Coalfields Limited, Sanctoria Po : Dishergarh, Pin-713 333 ,Dist : Burdwan (WB), INDIA Distribution: 1. Sri J.N.Mishra, IAS (Retd.) 2/77, Vijay Khand, Gomti Nagar, Lucknow-226010

2 Sri Rakesh Jaruhar. Sector-B/9, Flat No. 6457, Vasant Kunj, New Delhi-110070

3. C. M. D., ECL 4. DT(P&P)/DT(O)/D(F)/D(P) ECL, 5. CVO, ECL, 6. GM/TS to CMD 7. GM(E&M)/HOD 8. GM(P&P)/HOD 9. RD, RI-I, CMPDIL, Asansol 10. CGMs/GMs- All Areas 11. G.M.(F) 12. GM(System), ECL. 13. Chief Cashier, ECL 14. Notice Board 15. PM(PR)ECL, for arranging paper publication & display of the Global NIT in ECL’s Website as per Norms.

INSTRUCTIONS TO BIDDERS

2.1 SCOPE OF TENDER The Eastern Coalfields Limited (referred to as Employer in this document) invites bids for the work of Introduction of Highwall Mining on Hiring Basis at Nimcha Block(Satgram area)&Sripur Block(Sripur Area) on hiring basis (as defined in this document and referred to as “the works”) detailed in NIT.

2.2 ELIGIBLE TENDERER 2.2.1 The invitation of Bid is open to all Bidders eligible to participate as per qualifying criteria laid down separately hereinafter.

2.2.2 All bidders shall provide in their bid (Part-I), Forms of Bid and Qualification Information,

2.2.3 Joint Venture Company: A joint venture company may undertake the contract.

Joint Venture Company shall comply with the following: i) Documentary evidence (Certificate of registration) of formation of the joint venture company must be included with the bid. ii) The bid shall include all the information regarding capability, experience as required for a bidder for each partner. For the purpose of eligibility criteria, credentials of the members of a joint venture company will be considered collectively. iii) A party can be a member in only one Joint Venture company. Bids submitted by other Joint Venture companies including the same party, as member will be rejected. iv) Separate bid by a member of a Joint Venture company will not be accepted.

2.2.4 Consortium: Two or more (maximum three) companies / parties may jointly undertake contract. The consortium shall comply with the following requirements: i) One of the partners responsible for performing a key component of the contract (i.e. extraction of coal by the Highwall Miner shall be designated as Lead member.

Authorisation in favour of lead member of the Consortium shall be evidenced by submitting with the bid a Power of Attorney signed by legally authorised signatories of each Consortium member. ii) The bid shall include all the information regarding capability, experience as required for a bidder for each Consortium member. iii) The lead member shall be authorised to incur liabilities and receive instructions for and on behalf of any & all members of the consortium, and the entire execution of Contract, including payment, shall be done exclusively with the lead member. iv) Lead member of the consortium shall be overall responsible for entire scope of work. The other member(s) of the Consortium shall be responsible for the respective scope of work. The lead member will submit the Bank Guarantees whenever required. v) Memorandum of Understanding (MOU) (in original) entered into by the consortium members shall be submitted with the bid containing division of work of each member, their responsibilities which shall be followed by firm agreement on becoming a successful bidder and to be submitted along with security deposit. vi) A party can be a member in only one consortium. Bids submitted by other consortium including the same party as member will be rejected. vii) Separate bid by a consortium member will not be accepted. viii) Different subsidiary of a parent company will not be allowed to take part as member of other consortium in the same tender. ix) Notwithstanding the above, all the consortium members shall be jointly and severally liable to ECL. 9

Individual company representing group of companies where different companies of the same group fulfill the eligibility criteria, it may participate in this tender. The representative company should have to furnish a teaming agreement to this effect.

2.2.5 The Company reserves the right to allow Indian Central Public Sector Enterprises purchase preference facility as admissible under prevailing policy.

2.3 QUALIFICATION OF THE TENDERER 2.3.1 The bidders shall be a private, public or government owned legal entity or a combination of them.

A. The Bidder must be a manufacturer of Highwall Miner and the same or similar equipment manufactured by the manufacturing organization and which is proposed for deployment must have produced at least 0.36 million tonne of coal from Highwall mines in any one production year in the preceding 7 years ending on 31/03/2014.

OR B. The bidder must have a legally binding agreement with a manufacturing organization or his authorized agent / dealer (provided the such authorized agent / dealer has such delegation of power on behalf of the Manufacturer to do so) which have successfully manufactured and supplied Highwall Miner and the same or similar equipment manufactured by the manufacturing organization and which is proposed for deployment must have produced at least 0.36 million tonne of coal from Highwall mines in any one production year in the preceding 7 years ending on 31/03/2014, and the agreement must clearly confirm that the bidder would have all the supports and services from the said organization or his authorized agent / dealer upto the period/ tenure of the contract.

OR C. The bidder must have produced at least 0.36 million tonne of coal from Highwall mines in any one production year using Highwall Miner in the preceding 4 years ending on 31/03/2014.

2.3.2 The intending Bidder must have minimum financial turnover of INR 26.32 Crs . Or equivalent US $ in any year during last 7 years ending last day of month previous to the one in which bid applications are invited. Note : Financial Turnover shall be given a weightage of 5% per year ( average annual rate of inflation ) to bring them at current price level.

2.3.3 The intending Bidder must provide evidence of possessing adequate working capital of INR 8.10 Cr. or equivalent US-$ inclusive of access to lines of credit and availability of other financial resources to meet the requirement. (For calculating equivalent US $, the Bill selling rate of SBI on the last date of submission of bid shall be considered.)

2.3.4 In case, the Bidder is a subsidiary of a company and consolidated financial report is prepared by the holding company showing information / financial turnover of subsidiary separately, the same in respect of the subsidiary only shall also be considered to meet the eligibility criteria. In such case copy of a letter from the holding company to that effect will be required.

2.3.5 All bidders shall include the following information and documents with their bids (copies of all documentary evidences are to be duly authenticated by the bidders/ constituted attorney of the bidders with full signature and seal. All signed declarations are to be made in the bidder’s letter head.) a. Copies of original documents defining the constitution or legal status, place of registration and principal place of business; written power of attorney of signatory of the Bid to commit the bidder. b. Total monetary value of contractual work performed for each of the last 3 years. c. List of major items of equipment proposed to carry out the contract. d. Qualifications and experience of key site management and technical personnel proposed for the contract. e. Evidence of adequacy of working capital for this Contract (access to lines of credit and availability of other financial resources). f. Authority to seek references from the bidder’s bankers. g. Permanent Income Tax Account No. (PAN). However, in case foreign bidder is participating the bid and is not having PAN No. at the time of submission of bid shall have to submit the same before submission of the bills for first payment provided the foreign bidder becomes the successful bidder. h. The bidders would give a declaration that they have not been banned or delisted by any Govt. or Quasi-Govt. agencies or PSU’s. If a bidder has been banned by any Govt. or Quasi-Govt. agencies or PSU’s that fact must be clearly stated and it may not necessarily be a cause for disqualifying him. If this declaration is not given, the bid will be rejected as non-responsive. i. The bidder who participated as consortium must submit original copy of MOU for the formation of consortium. Any bid by a consortium without it is likely to be rejected. Note: The intending bidder will have to submit a declaration in support of the authenticity of the credential submitted by them along with the tender in the form of an affidavit as per the format provided in the bid document. 2.3.6 Even though the bidders meet the qualifying criteria, they are subject to be disqualified if they have: a. made misleading or false representations in the forms, statements and attachments submitted in proof of the qualification requirements; and/or b. record of poor performance such as abandoning the works, not properly completing the contract, inordinate delays in completion, litigation history, or financial failures etc. b. having negative net-worth in any one of the past three years (based on audited accounts submitted in table 3.4).

2.4 ONE BID PER BIDDER Each Bidder shall submit only one Bid, either individually or a partner in Joint Venture company /consortium. A Bidder who submits or participates in more than one Bid will cause all the proposals with the Bidder’s participation to be disqualified. If two or more subsidiaries of a parent company / one or more subsidiary company and the parent company participate in the tender, they must be within a single consortium / JV, otherwise their bids shall be rejected.

2.5 COST OF BIDDING The Bidder shall bear all costs associated with the preparation and submission of his Bid, and the Employer will in no case be responsible or liable for those costs.

2.6SITE VISIT 2.6.1 The Bidder at the Bidder’s own responsibility, cost and risk shall inspect and examine the site and its surrounding, and shall satisfy themselves fully before submitting bids as to the form and nature of the site, the geological and strata conditions decisive for the success of the project, the means of access to the site, the loading and unloading facilities etc. In general, the Bidders shall themselves obtain all necessary information as to risks, contingencies and other circumstances susceptible to influence or affect their bids. 2.6.2 Although certain information are provided in Technical Volume of this NIT, it should be checked by the Bidders, any neglect or failure to obtain or confirm such information will not relieve the Bidders from any liability or responsibilities to carry out the works according to the contract. ECL will assist the Bidders in obtaining the data required but will not assume responsibility either for the data obtained or for their completeness. 2.6.3 Bidders shall acquaint themselves on their own responsibility with laws and regulations in India under which the work is to be performed including those which may influence, in general or in detail, design, supply, transportation, erection, operation of the equipment and requirement of manpower. Any failure or neglect to do so will not absolve the potential Contractor from his contractual obligation. 2.6.4 It is specially emphasized that it shall be the responsibility of the Bidders to have themselves familiarized with the prevailing conditions and that no claim relating thereto for additional payment or adjustment of a Contract price will be acceptable after the submission of their Bid. 2.6.5 It shall be deemed that the tenderer has visited the site/area and got fully acquainted with the working conditions and other prevalent conditions and fluctuations thereto whether he visits the site/area or not and has taken all the factors into account while quoting his rates.

2.7 CONTENT OF BID DOCUMENTS The set of bid documents comprises the chapters listed below and addenda issued in accordance with Clause 2.9: Chapter 1 Notice Inviting Tender: Chapter 2 Instructions to Bidders Chapter 3 Forms of Bid and Qualification Information Chapter 4 Conditions of Contract Chapter 5 Mine Profile & Geo-mining information Chapter 6 Tender Drawing Chapter 7 Scope of work, Time schedule and Form of price bid Chapter 8 Formats.

2.8 CLARIFICATION OF BID DOCUMENTS

2.8.1 A prospective bidder requiring any clarification of the bid documents may notify the Employer in writing at the Employer’s address indicated in the Notice Inviting Tender. The Employer will respond to any request for clarification received before pre-NIT meeting . Copies of the Employer’s response will be forwarded to all purchasers of the tender document, including a description of the inquiry but without identifying its source.

2.8.2 Pre-BID meeting: A pre-Bid meeting will be held on ------at 11.30 hrs. in the office of the General Manager (CMC), Eastern Coalfields Limited, HQ, Sanctoria Po : Dishergarh, Pin- 713 333 ,Dist : Burdwan (WB), INDIA, to clarify the issue and to answer questions on any matter that may be raised at that stage.

2.9 AMENDMENT OF BID DOCUMENTS 2.9.1 Before the last date for the submission of Bids, the Employer may modify the bid documents by issuing addenda. 2.9.2 Any addendum thus issued shall be part of the bid documents and shall be communicated in writing to all purchasers of the bid documents. Prospective Bidders shall acknowledge receipt of each addendum by fax to the Employer. 2.9.3 To give prospective Bidders reasonable time in which to take an addendum into account in preparing their Bids, the Employer shall extend, as necessary, the last date for submission of Bids, in accordance with Sub-clause 2.18.2. And the same is also to be communicated simultaneously to all the purchaser of the bid document.

2.10 LANGUAGE OF BID All documents relating to the Bid shall be in the English language. In case any certificate / printed literature furnished by the Bidder, is written in another language it must be accompanied by a translation of all its pertinent passages in the English language, duly certified to be the true representation of the original content, for the purposes of interpretation of the bid, such translation shall govern.

2.11 DOCUMENTS COMPRISING THE BID The Bid will be submitted by the bidder in the following manner: a. Part I of the bid to be submitted in 1st inner sealed envelope comprising of (i) Letter of the bidder submitting the bid along with Affidavit in the forms as stipulated in the document (Chapter 3, Section 1). (ii) Qualification information and the Documents as required in accordance with stipulations and any other materials required to be submitted by the bidder in accordance with these instructions. (iii) Technical offer along with detailed technical specification of equipments /knowhow offered, drawings, pamphlets etc. strictly in terms of Tender enquiry provided in Bid document. (iv) The original Bid document issued to the bidder or downloaded bid document as the case may be, duly signed by the authorized signatory of the bidder on all pages as proof of accepting the conditions of the contract. b. Part II of the bid to be submitted in the 2nd inner sealed envelope shall comprise Price Bid only in the Pro-forma given in the tender document. c. Earnest Money Deposit / Bid Security to be submitted in the 3rd inner sealed envelope. d. 4th inner sealed envelope marked as “Cost of Tender Document and Undertaking” shall contain either of the following: - Attested notarized copy of Receipt of the application fee for tender document. Or - If the tender document is downloaded from the website, a Bank Draft of Rs. 5725 as the price of tender document and an undertaking. e. All the inner sealed envelopes will then be placed in one outer envelope, sealed and marked properly as per Clause 2.17 and submitted to the Employer at its address before the last date for submission of the bid as described in Clause 2.18. f. Failure to comply with any of the instruction / requirement will constitute submission of ‘incomplete bid’ and may entail disqualification of the tender (for further participation in the tender) without making any further reference and without assigning any reason whatsoever.

2.12 BID PRICES & TAXES:

2.12.1 Bidder shall quote the price ensuring minimum guaranteed production for six years mentioned in NIT. 2.12.2 The bidders shall quote the following in their price bid: - Specific price per tonne of coal produced in Rs. /Te Note: a) Conditional Offer will be considered non responsive. b) All Bidders have to quote the specific price per tonne in INR only. Payments shall be made in INR only. c) Electricity shall be provided by ECL to the Contractor will be charged on actual and arrangements for all other consumables, diesel etc. are to be made by the Contractor at his own cost. 2.12.3 The price quoted would include the cost of the following: - Cost of scientific study. - Cost of hiring of Equipment to be supplied by the bidder for cutting of coal, transportation of coal to designated site. - Cost of all spare parts and all consumables for operation of Equipment. - Cost of wages for manpower deployed by the bidder. - Cost of Electricity consumption. - Cost of POL consumption. - Cost of trench cutting/bench preparation including blasting if required, transportation of overburden,etc. - Cost lighting the designated mining area under its jurisdiction/area of work. - Cost of pumping and related activities. - All duties, taxes (including service tax & cess on service tax) and other levies payable by Contractor under the Contract, or for any other cause shall be included in the rates and total Bid Price. All incidentals, overheads, etc. as may be attendant upon execution and completion of works shall also be included in the rates and total Bid Price submitted by the Bidder. - Any other cost to fulfill the Bidder’s obligations under the contract. 2.12.4 The rates quoted by the Bidder shall be fixed for the duration of the contract and shall not be subject to variations on any account except to the extent variations allowed as per Clause 2.13 below.

2.12.5 Service provider must furnish invoice as per Rule 4A of the Service Tax Rules indicating therein the following:-

(1) Name, address and service tax registration no. of the service provider. (2) Name and address of the service provider i.e. ECL. (3) Description and value of taxable service provided indicating the abatement taken or method of valuation used for arriving at the taxable value. (4) Service Tax payable thereon indicating clearly the service tax payable by the service tax provider. (5) Invoice has to be submitted by the service providers with the information indicated above, even if the turnover of the service provider is less than the threshold limit of Rs. 10 Lakhs, because ECL has to pay its share.

2.12.6 All new taxes and all amendments related to Service Contract after submission of bid to existing taxes which is notified after the last date of submission of tender will be borne by ECL except when such taxes are on the personnel of the successful bidder or related to income tax on the successful bidder or its employees and similarly returned / deducted to / by ECL in case of decrease. 2.12.7 R&D Cess, if applicable in India will be payable by ECL. 2.12.8 Incase Contractor avails Cenvat credit, the same shall be passed on to the ECL.

2.13 CURRENCIES OF BID AND PAYMENT 2.13.1 The specific rates for per tonne of coal produced shall be quoted by the Bidder in INR only. Payment under contractual obligation shall be made to the successful bidder only for coal produced. 2.13.2 Total contract period will be of sevenYears as indicated in the NIT. For payment to the successful bidder the Specific Price/Te shall be subject to variation on quarterly basis as follows: Revised Specific Price/Te = (0.55 X Specific Price/Te) + (0.45 X Specific Price/Te X Average WPI on the subject quarter / Base WPI ) Average WPI on the subject quarter = Average Wholesale Price Index prevalent to the subject quarter. Base WPI - Wholesale Price Index prevalent for the month immediately preceding the month in which tender (Price Bid or revised Price Bid whichever is later) was submitted.

2.14 BID VALIDITY 2.14.1 The Bid shall remain valid for six calendar months from the date of opening of Part I of the tender. A bid valid for a shorter period shall be rejected by the Employer. 2.14.2 In exceptional circumstances, prior to expiry of the original time limit, the Employer may request that the bidders may extend the period of validity for a specified additional period. The request and the bidder’s responses shall be made in writing. A bidder may refuse the request without forfeiting his bid security. A bidder agreeing to the request will not be required or permitted to modify his bid but will be required to extend the validity of his bid security for a period of the extension and in compliance with Clause 2.15 in all respects.

2.15 BID SECURITY / EARNEST MONEY DEPOSIT (EMD) Rs. 50,00,000 (fifty lakhs) as Earnest Money / Bid Security is to be deposited in the form of irrevocable Bank guarantee with validity 28 days beyond the validity of the Bid in the format given in the Bid Document. Demand drafts will also be acceptable as Earnest Money / Bid Security drawn in favour of EASTERN COALFIELDS LIMITED payable at its branch a ASANSOL (WB). Bank Guarantee / Demand Draft should be furnished either from a Scheduled Nationalised Bank in India or from first class International Bank of repute, having an operational branch in India if the bidder chooses to submit Bank Guarantee / Demand Draft issued by Foreign Bank Financial Institute. 2.15.1 Any Bid not accompanied by an acceptable Bid Security / EMD shall be rejected by the Employer as non-responsive. 2.15.2 Earnest Money / Bid Security of the unsuccessful bidders shall be refunded as promptly as possible after finalization of tender and shall bear no interest. 2.15.3 The Bid Security / Earnest Money may be forfeited:

a) if the bidder withdraws the Bid after Bid opening during the period of Bid validity; or b) in the case of successful bidder, if the Bidder fails within the specified time limit to: i) Sign the Agreement; or ii) furnish the required Performance Security / Security Deposit. or c) if the bidder does not accept the correction of the bid price pursuant to clause 2.25. 2.15.4 The Bid Security/EMD deposited with the Employer will not carry any interest.

2.16 FORMAT AND SIGNING OF BID 2.16.1 The Bidder shall prepare the Bid comprising the documents as described in Clause 2.11. No additional terms/conditions other than prescribed in the tender documents will be entertained and conditional tender shall be rejected. 2.16.2 All documents of the Bid shall be typed or computer printed or written in indelible ink and shall be signed by a person duly authorized to sign on behalf of the Bidder, pursuant to Sub-clause 2.3.5. All pages of the Bid document shall be signed and stamped by the Bidder. 2.16.3 The Bid shall contain no alterations, or additions, except those to comply with instructions issued by the Employer or as necessary to correct errors made by the Bidder, in which case such corrections shall be signed by the Bidder. Erasing or overwriting in the bid document may disqualify the Bidder. 2.16.4 The bidder shall submit bid in 3 sets, one “Original “ and two copies of it clearly marking as “ Original Bid” and “Copy of Bid“ as appropriate.

2.17 SEALING, MARKING AND SUBMISSION OF BIDS 2.17.1 The Bidder shall submit the Bid in four inner sealed envelopes and one outer sealed envelope, duly marking the inner envelopes in the following manner: 1st inner sealed envelope will be marked “ Part I " – Bid for Introduction of Highwall Mining on Hiring Basis at Nimcha Block(Satgram area)&Sripur Block(Sripur Area) on hiring basis at Nimcha and Sripur blocks in Satgram and Sripur Area in ECL comprising of qualification information, Technical and Commercial Part”. 2nd inner sealed envelope will be marked “ Part II (Price Bid )" - for Introduction of Highwall Mining on Hiring Basis at Nimcha Block(Satgram area)&Sripur Block(Sripur Area) on hiring basis at Nimcha and Sripur blocks in Satgram and Sripur Area in ECL." 3rd inner sealed envelope will be marked "Earnest Money Deposit". 4th inner sealed envelope will be marked "Cost of Tender Document and Undertaking" Outer Sealed envelope will be marked as “Bid for Introduction of Highwall Miner Package on hiring basis at Nimcha and Sripur blocks in Satgram and Sripur Area in ECL”

2.17.2 The outer envelope and inner envelopes placed in outer envelope shall: a. be addressed to the Employer at the following address and submitted accordingly on or before the last date for submission of bid as indicated in Clause 2.19: General Manager (CMC), Eastern Coalfields Limited, HQ Sanctoria, Asansol, Dist: Burdwan (WB) – 713333, and

b. inner and outer envelopes will bear the following additional identification: - Tender Notice No. ------Date ------DO NOT OPEN BEFORE 15.30 HRS on ------2.17.3 In addition to the identification required as above, the inner and outer envelopes shall indicate the name and address of the Bidder. 2.17.4 If the outer as well as inner envelopes are not sealed and marked as above, the Employer will assume no responsibility for the misplacement or premature opening of the Bid.

2.18 LAST DATE FOR SUBMISSION OF BIDS 2.18.1 Bids shall be submitted to the Employer at the address specified above not later than ------. In the event of the specified date for the submission of bids being declared a holiday for the Employer, the Bids will be received up to the appointed time on the next working day. 2.18.2 The Employer may extend the last date for submission of Bids by issuing an amendment in accordance with Clause 2.9, in which case all rights and obligations of the Employer and the Bidders, previously subject to the original last date, will then be subject to the new last date.

2.19 LATE BIDS Any Bid received by the Employer after the last date prescribed in Clause 2.18, due to any reason whatsoever, will not be accepted.

2.20 MODIFICATION AND WITHDRAWAL OF BIDS 2.20.1 Bidders may modify or withdraw their Bids by giving notice in writing before the last date prescribed in Clause 2.18, in case the bidder has submitted the bid well before the last date or extended last date. 2.20.2 Bidder’s modification shall be prepared in line with the original, but withdrawal shall be a plain paper letter with the outer and inner envelopes additionally marked “MODIFICATION” or “WITHDRAWAL”, as appropriate. 2.20.3 No Bid may be modified after the last date / extended last date for submission of Bids. 2.20.4 Withdrawal of a Bid between the last date / extended last date for submission of Bids and the expiration of the period of Bid validity specified in the Bid document or as extended pursuant to Sub- clause 2.14.2 may result in the forfeiture of the Bid Security pursuant to Clause 2.15.

2.21 BID OPENING 2.21.1 The Employer will open Part- I of the bids first, including modifications made pursuant to Clause 2.20 in the presence of the bidders or their representatives who choose to attend at the time and in the place specified in Clause 1.9 of NIT (Chapter 1). In the event of the specified date of Bid opening being declared a holiday for the Employer the Bids will be opened at the appointed time and location on the next working day. 2.21.2 Bids for which an acceptable notice of withdrawal has been submitted pursuant to Clause 2.21 shall not be opened. 2.21.3 The Bidder’s names, Bid modifications and withdrawals, the presence or absence of Bid Security and other details as the Employer may consider appropriate, will be announced by the Employer at the opening. 2.21.4 After examination and evaluation of Part -I of the bids in accordance with Clause 2.24, the bids which are technically and commercially at par and substantially responsive in accordance with specifications, scope, terms and conditions and fulfilling the requirements of the instructions to the bidders, Part -II of the bid shall be opened.

2.22 PROCESS TO BE CONFIDENTIAL 2.22.1 Information relating to the examination, clarification, evaluation and comparison of Bids and recommendations for the award of a contract shall not be disclosed to Bidders or any other persons not officially concerned with such process until the award to the successful Bidder has been announced. Any effort by a Bidder to influence the Employer’s processing of Bids or award decisions may result in the rejection of his Bid. 2.22.2 The tenderer may note that indulgence in submitting unsolicited offers or submitting unsolicited correspondence after closure of bid submission is liable to debar him from participating in ECL tenders.

2.23 CLARIFICATION OF BIDS 2.23.1 No document presented by the Bidder after closing date and time of the bid will be taken into account by the Evaluation Committee unless otherwise called for during technical scrutiny by the tender committee as clarification. This however, will have no bearing with the price quoted in the price bid. 2.23.2. To assist in the examination, evaluation and comparison of Bids, the Employer may, at the Employer’s discretion, ask any Bidder for clarification of the Bidder’s Bid, including breakups of unit rates. The request for clarification and the response shall be in writing.

2.24 EXAMINATION OF BIDS AND DETERMINATION OF RESPONSIVENESS 2.24.1 Prior to the detailed evaluation of Bids, the Employer will determine whether each Bid: a. meets the eligibility criteria defined in Clause 2.3; b. has been properly signed; c. is accompanied by the required securities; and d. is substantially responsive to the requirements of the Bid documents. 2.24.2 A substantially responsive Bid is one, which confirms to all the terms, conditions & specifications of the Bid documents without material deviation or reservation. A material deviation or reservation is one: a. which affects in any substantial way the scope, quality or performance of the works; b. which limits in any substantial way, inconsistent with the Bid documents, the Employer’s rights or the Bidder‘s obligations under the Contract; or c. whose rectification would affect unfairly the competitive position of other Bidder’s presenting substantially responsive Bids. 2.24.3 If a Bid is not substantially responsive, the Employer at its sole discretion may reject it.

2.25 CORRECTION OF ERRORS 2.25.1 Bids determined to be substantially responsive will be checked by the Employer for any arithmetical errors. Errors will be corrected by the Employer as follows: a. where there is a discrepancy between the amounts in figures and in words, the amounts in words will govern; and b. where there is a discrepancy between the unit rate and the line item total resulting from multiplying the unit rate by the quantity, the unit rate as quoted will govern, c. discrepancy in totaling or carry forward in the amount quoted by the bidder shall be corrected. The tendered sum so corrected and altered shall be substituted for the sum originally tendered and considered for evaluation instead of the original sum quoted by the tenderer along of the amount instead of in totals of various sections of the offer. 2.25.2 The amount stated in the Bid will be adjusted by the Employer in accordance with the above procedure for the correction of errors and, shall be considered as binding upon the Bidder. 18

2.26 EVALUATION AND COMPARISON OF BIDS 2.26.1 The Employer will evaluate and compare only the Bids determined to be substantially responsive in accordance with Clause 2.24. 2.26.2 In evaluating the Bids, the Employer will determine for each Bid, the evaluated Bid Price, by adjusting the Bid Price as follows: a. making any correction for errors pursuant to Clause 2.25 b. making up appropriate adjustment for any other quantifiable acceptable variations, deviations. c. making appropriate adjustments to reflect modifications offered in accordance with Clause 2.20. 2.26.3 If the Bid of the successful Bidder is seriously unbalanced in relation to the Company’s estimate of the cost of work, if any, the Employer may require the Bidder to produce detailed price analysis for any or all items of the work, to demonstrate the internal consistency of those prices with the methods and schedule proposed. 2.27 AWARD CRITERIA In final evaluation, Quoted Price per tonne of coal produced will be considered for evaluation.

2.28 EMPLOYER’S RIGHT TO ACCEPT ANY BID AND TO REJECT ANY OR ALL BIDS Notwithstanding Clause 2.27, the Employer reserves the right to accept or reject any Bid, and to cancel the bidding process and reject all Bids, at any time prior to the award of Contract, without thereby incurring any liability to the affected Bidder or Bidders or any obligation to inform the affected Bidder or Bidders of the grounds form the Employer’s action.

2.29 NOTIFICATION OF AWARD AND SIGNING OF AGREEMENT 2.29.1 The Bidder, whose Bid has been accepted, will be notified of the award by the Employer prior to expiration of the Bid validity period by fax & confirmed by registered letter. This letter hereinafter and in the Conditions of the Contract called the “Letter of Acceptance” or “LoA” will state the sum that the Employer will pay the Contractor in consideration of the execution and completion of the works by the Contractor as to be prescribed in the Contract (hereinafter and in the Contract to be called “the Contract Price”) 2.29.2 The notification of award will constitute the formation of the Contract, subject only to the furnishing of a Performance Security / Security Deposit in accordance with Clause 4.4. 2.29.3 The Agreement will incorporate all agreements between the Employer and the successful Bidder within 30 days following the notification of award along with the letter of Acceptance.

2.30 LEGAL JURISDICTION Matter relating to any dispute or difference arising out of this tender and subsequent contract awarded based on the bid shall be subject to the jurisdiction of Asansol (WB) Court only.

2.31 NIT AND TENDER DOCUMENTS IN THE WEBSITE 2.31.1 The complete bid documents shall be available on the Company’s website http// www.ECL.gov.in for the purpose of downloading and tender submitted on such downloaded bid documents shall be considered valid for participating in the tender process. 2.31.2 The company shall not be responsible for any delay / difficulties / inaccessibility of the downloading facility for any reason whatsoever. The downloading facility shall be available during the dates as mentioned in Clause 1.5.

2.31.3 The bidders will be required to submit an undertaking that they will accept the tender documents as available in the website and their tender shall be rejected if any tampering in the tender document is found to be done at any stage after opening of tender. 2.31.4 In case of any discrepancy between the tender documents downloaded from the web site and the master copy available in the office, the latter shall prevail and will be binding on the tenderers. No claim on this account will be entertained.

FORMS OF BID AND QUALIFICATION INFORMATION SECTION : 1 CONTRACTOR’S BID

Sub: BID for the Work - Introduction of Highwall Mining on Hiring Basis at Nimcha Block(Satgram area)&Sripur Block(Sripur Area)on hiring basis at Nimcha and Sripur blocks in Satgram and Sripur Area in ECL

To …………………………………. …………………………………. Dear Sir, We offer to execute the Works described above in accordance with the Conditions of Contract accompanying the Tender document issued to us. The Bid Security/Earnest Money in accordance with the Tender document amounting to Rs…………….. (in figures) ……………………………….. (in words) in the form as stipulated in Clause 2.15 is enclosed herewith (to be filled in by the Bidder). The Bid and your written acceptance of it shall constitute a binding contract between us. We understand that you are not bound to accept the lowest or any Bid you receive. We hereby confirm that this Bid complies with the Bid validity and Bid security required by the Bid documents. We also confirm that E.M.D. and other required documentary evidences related to this part of the Bid are enclosed (as listed below) herewith either in original / copies attested by Gazetted officer / copies duly authenticated by us with signature and seal alongwith affidavit as per the format provided in the bid document.

Yours faithfully, Authorised Signature………………………………… Name and Title of the Signatory……………………… Name of the Bidder…………………………….. Address…………………………………………………………. Date………………… (To be filled in by the Bidder) Enclo: i) E.M.D of Rs. ………………………………vide………………dt……. ii) ……………………. iii) …………………… iv) ……………………. v) …………………….

FORMAT FOR AFFIDAVIT Non-Judicial Stamp Paper AFFIDAVIT

I, ...... , Partner/Legal Attorney/ Accredited Representative of M/S...... , solemnly declare that: 1. We are submitting Tender for the Work ………………...... against Tender Notice No...... dated ……………….. 2. None of the Partners of our firm is relative of employee of ……………………...... …………………..(Name of the Company) 3. All information furnished by us in respect of fulfillment of eligibility criteria and qualification information of this Tender is complete, correct and true. 4. All documents / credentials submitted along with this Tender are genuine, authentic, true and valid. 5. If any information and document submitted is found to be false/ incorrect at any time, department may cancel my Tender and action as deemed fit may be taken against us, including termination of the contract, forfeiture of all dues including Earnest Money and banning/ delisting of our firm and all partners of the firm etc.

Signature of the Bidder , Dated ...... Seal of Notary

UNDERTAKING We, ...... undertake that the tender submitted by is downloaded from ECL Website www.ECL.gov.in OR www.tenders.gov.in and is same in content and form (verbatim), and any deviation, if detected, at any stage, would entitle ECL to reject our bid /offer without assigning any reason or recourse to any penal action, and would be legally binding on us. Signature ...... (Bidder) Seal.

SECTION: 2 QUALIFICATION INFORMATION (The information to be submitted by all the Bidders)

3.0 INDIVIDUAL BIDDERS OR INDIVIDUAL MEMBERS OF JOINT VENTURE COMPANY / CONSORTIUM 3.1 Constitution or Legal status of Bidder (attach copy)

Place of registration…………………………………………

Principal place of business …………………………………

Power of Attorney of signatory Bid: (attach)

3.2 GENERAL INFORMATION

Name of the Tenderer : Participating as Single entity Joint Venture Consortium (Please tick) Details of Single Entity /JV / consortium members : I Name ( Single entity or Lead member ) : Postal address Tel.No. Fax-No. e-mail, website License or registration Bankers name & address Responsibility of the member

Turnover < Year> < Year> < Year> ( in…………) II Name ( member ) : Postal address Tel.No. Fax-No. e-mail, website License or registration Bankers name & address Responsibility of the member

Turnover < Year> < Year> < Year> ( in…………) Note : In case of more than two members in JV / Consortium the above information shall be furnished on the same format separately. 22

3.3 DETAILS OF PERFORMANCE OF EQUIPMENT FOR SIMILAR NATURE OF WORK ( In last 7 years i.e. after <……>)

(Experience should be of similar nature as proposed in the Bid) (Please use separate sheet for each work/project)

Brief description of the Job (Production of coal using Highwall Miner / Similar Equipment) Name of the Member responsible for the job Contract No. Name of mine & Location Client’s Details Address, Tel.No. Fax-No. e-mail, website Type of Equipment deployed Targeted Annual production (average) Average Annual production achieved

Maximum production achieved in a year Using a set of Highwall Mining /

Similar Equipment) Value of total Contract

Date of award

Schedule date of completion

Date of actual completion

Name :

Designation: Signature with seal Date

Note : Similar nature of work means winning coal without blasting by Highwall Mining / Similar Equipment with associated equipments. 23

3.4 Annual audited Financial reports of the last three years: balance sheets, profit and

loss statement, auditors report etc. (copies to be submitted and the following format be filled in)

Financial Actual: Previous three years information in Rs. 1 2 3 1. Total assets 2.Current assets 3.Total liabilities 4.Current liabilities 5.Profit before tax 6.Profit after tax

3.5 Evidence of access to financial resources to meet the qualification requirements:

Cash in hand, liquid assets, unencumbered real assets, lines of credit and other financial means etc. sufficient to meet the construction cash flow (the copies to be submitted and the following format to be filled-up).

Source of financing Amount in Rs. 1. 2.

3.6 Details of bankers:

Banker Name of the banker

Address of the banker

Telephone Contact name and title Fax Telex

3.7 Information about litigations, if any, in which bidder is involved:

Year Award FOR or Name of the client, Cause of Disputed AGAINST applicant Litigation and Matter of dispute amount in Rs.

3.8 Details of the Equipments (for Highwall Mining / Similar Equipment) Proposed to be deployed for the work:

Sl. Equipment type Make & model Number No. and capacity

Detailed specification of all the equipment is to be included with the Technical offer. Bidders are to submit dully filled Check list and Data/Information sheet furnished in the NIT.

3.9 Performance of the Equipments ( for Highwall Mining / Similar Equipment) Proposed to be used : Sl. Name and address of Mine / Year wise production of the package Project where the same type during equipment’s life No. equipment package were deployed

25 3.10 Permanent Income Tax Account No. (PAN)

3.11 DETAILS OF EARNEST MONEY / BID SECURITY

Deposit of Earnest Money by:

Draft No.: Bank Guarantee (BG) Details:

Drawn on: Name of the Bank:

Amount (Rs): Amount of BG:

Bank Guarantee valid up to :

OTHER DETAILS (a) Details of registration/ enlistment with Government organizations/ PSUs/ Subsidiaries of Coal India Limited. (b) Certificate of registration as per statutory requirements under Sales Tax, Contract Labour Laws etc. as may be applicable (c) Certificate of registration with CMPF authorities. (d) Acceptance by the Tenderer of the conditions of contract as per Tender Documents (attach signed copies of the bid document downloaded from website along with the tender as proof of acceptance). (e) List of minimum and maximum number of person grade and designation wise to be deployed in a shift by the bidder.

------Signature of the Tenderer

NOTE: 1. Separate sheets may be attached to furnish details, if necessary 2. In case of Joint Venture Company or Consortium, Separate information for each member should be submitted. 3. Documentary evidence of qualifications of the bidder (as per qualification criteria) is to be submitted. 26

CHECK LIST TO BE FURNISHED BY THE BIDDER (To be submitted in Part I)

Bidders are requested to fill column 3 and 4 and submit it along with their offer. Sl. Information/data/confirmation/ Yes (Y) Ref. Page No. documentary proof furnished or no. of offer No (N) 1 2 3 4 1 EMD deposited as per NIT and submitted 2 Proof of fulfilling the eligibility criteria furnished. 3 Proof of Financial Soundness furnished 4 Furnished Audited/Certified Account/Financial Statement of last 3 years. 5 Furnished P&L account and Balance sheet of last 3 years. 6 Furnished Annual Turn over of last 3 years 7 Furnished Average turn over in last 3 years. 8 Furnished status of DGMS approval of each equipment 9 Whether site of work visited 10 Whether attended Pre bid meeting held at ECL HQ 11 Offer has been submitted strictly as per Clause 2.11 under heading document comprising the Bid (Ref. page 15) 12 Furnished document establishing good eligibility and conformity to bidder documents. 13 Furnished detailed specification of equipment offered 14 Furnished documents regarding past performance of offered equipment 15 All pages of offer has been numbered and signed by duly authorized person. 16 Letter of authorization (Power of attorney) enclosed 17 Furnished a certificate that Bidder agree to the scope of work of NIT and all terms and conditions. 18 Furnished mine/district layout and sequence of operation. 19 Furnished detailed Network of implementation. 20 List of manpower (grade-wise) to be provided by the bidder in each AAP 21 Furnished sign copy of Bid Document along with the tender as proof of acceptance of all terms and condition..

Data/Information Sheet (To be submitted in Part I)

A. Equipment Data proposed to be deployed

Sl. No. Equipment details/ specifications To be filled by bidder 1 1. HIGHWALL MINING 1.1.1 Make 1.1.2 Machine model 1.1.3 Number of Machine Offered 1.1.4 Number of such Machine working elsewhere 1.1.5 Status of DGMS Approval 1.2 Operating parameters 1.2.1 Cutting height range (mm) 1.2.2 Ground clearance (mm) 1.2.3 Tramming speed (m/min) 1.2.4 Loading rate (t/min) 1.2.5 Ground pressure (k Pa) 1.2.6 Machine weight (t) 1.2.7 Radio Remote Control 1.3 Dimensions 1.3.1 Overall length (mm) 1.3.2 Width (mm) 1.3.3 Height (mm) 1.4 Cutting unit 1.4.1 Cutter drum diameter (mm) 1.4.2 Cutter drum width (mm) 1.4.3 Cutter drum speed (rpm) 1.5 Electrical 1.5.1 Machine voltage (V) 1.5.2 Cutting head power (kW) 1.5.3 Traction power (kW) 1.5.4 Conveyor/ Loading power (kW) 1.5.5 Hydraulic unit power (kW) 1.5.6 Dust suppression unit power (kW ) 1.5.7 Total installed power (kW) 1.6 1.6 Traction unit 1.6.1 Crawler chain width (mm) 1.6.2 Crawler speed (m/sec) 1.7 1.7 Loading unit 1.7.1 Conveyor width (mm) 1.7.2 Conveyor speed (m/min) 1.7.3 Loading capacity (TPH)

Details of Launcher and associated equipment including those for trench preparation/bench preparation. Signature of Bidder

NOTE: Separate sheets may be attached to furnish details, if necessary.

28 4 CONDITIONS OF CONTRACT

4.1 DEFINITIONS i. ‘Accepting Authority’ shall mean the management of the Company and includes an authorized representative of the Company or any other person or body of persons empowered in this behalf by the Company. ii. When the words “Approved”, “Subject to Approval”, “Satisfactory”, “Equal to”, “Proper”, “Requested”, “As directed”, “Where directed”, “When directed”, “Determined by”, “Accepted”, “Permitted”, or words and phrases of like import are used, the approval, judgment, direction etc. is understood to be a function of the Owner/Engineer/Engineer-in-charge. iii. “Bank Guarantee” shall mean the Bank Guarantee to be provided by the bidder to the Owner. iv. “Codes” shall mean the following, including the latest amendments, and/or replacements, if any: (a) Standards of Bureau of Indian Standards relevant to the works under the contract and their specifications. (b) Other internationally approved Standards and/or rules and regulations touching the subject matter of the contract. i) A.S.M.E. Test codes. ii) A.I.E.E. Test codes. iii) American Society of Materials Testing Codes. iv) Indian Electricity Act and Rules and Regulations made thereunder. v) Indian Explosive Act and Rules and Regulations made thereunder. vi) Indian Petroleum Act and Rules and Regulations made thereunder. vii) Indian Mines Act and Rules and Regulations made thereunder. (c) Any other laws, rules, regulations and Acts applicable in the country with respect to labour, safety, compensation, insurance etc. v. The word “Company” or “Employer” or “Owner” or “ECL” wherever occurs in the tender document, means the Eastern Coalfields Limited, Asansol (WB), represented at head quarter of the company by the Director Technical or his authorized representative or any other officer specially deputed for the purpose. vi. The ‘Contract’ shall mean the notice inviting tender, the tender as accepted by the company and the formal agreement executed between the company and the Successful bidder together with the documents referred to therein including conditions of contract, special conditions, if any, specifications, designs & drawings including those to be submitted during progress of work, scope of work with rates and amounts. vii. "Contract period" shall start from the date of commencement of contract and include six production years of cumulative coal production starting within Twelve months from the date of issuance of Letter of Acceptance (LOA) and shall continue upto three months from last full and final payment released by ECL to the Contractor after issue of contract completion certificate by ECL. viii. "Contract Price" is the amount in INR equal to the product of "Specific price per tonne of coal" and “sum of the minimum guaranteed production of all production years in tonne". It is not the total amount payable to the Contractor which will be dependant of amount of coal produced. ix. The word “Contractor” wherever occurs means the successful Bidder / Bidders who has / have been given written intimation about the acceptance of tender and has / have deposited the necessary performance security and shall include legal representative of such individual or persons composing a firm or a company or the successors and permitted assignees of such individual, firm or company, as the case may be. x. A ‘Day’ shall mean a day of 24 hours from midnight to midnight. xi. “Date of commencement of Contract” shall mean the date of issuance of the ‘Letter of Acceptance’. xii. “DGMS” means Directorate General of Mines Safety, the Indian Government Regulatory agency for safety in mines and oil-fields.

29 xiii. “Drawings”/ “Plans” shall mean all: a) drawings furnished by the owner/consultant as a basis for proposals,

b) drawings submitted by Contractor with his proposal provided such drawings are acceptable to the Owner/Consultant, c) drawings furnished by the Owner/Consultant to Contractor during the progress of the work, if any and d) engineering data and drawings submitted by Contractor during the progress of the work provided such drawings are acceptable to the Engineer. xvi. The word “Engineer” or “Engineer in-charge” or “Designated Officer-in-charge” wherever occurs, means the authorized representative or any other officer specially deputed by the Company for the purpose of Contract. He will be responsible for supervising and administering the contract, certifying payment due to Contractor, valuing variations to the contract, awarding extension of time and valuing compensation events. Engineer/ Engineer-in-charge/ Designated Officer-in-charge may further appoint his representatives i.e. another person or any other competent person and notify to Contractor who is directly responsible for supervising the work being executed at the site, on his behalf under the delegation of powers of the company. However, overall responsibility, as far as the contract is concerned will be that of the Engineer/Engineer-in-charge/ Designated Officer-in-charge. xvii. “Final Acceptance” shall mean the owner’s written acceptance of the works performed under the contract after successful completion. xviii. “Inspector” shall mean the Owner or any person nominated by the Owner from time to time, to inspect the equipments, stores or Works under the contract and/or the duly authorised representative of the owner. xix. “Letter of Acceptance” of the tender shall mean the official notice issued by the company notifying the successful bidder that his tender has been accepted. xx . “Highwall Mining means the technology with coal production system, which is continuous in nature and without deploying drilling and blasting as a major means of getting coal.. xxi. “The mine or Site” shall mean the designated block or site of the contract work including land and any building and erections thereon and any other land allotted by the company for Contractor’s use in the performance of the contract. xxii. “Month” shall mean a calendar month according to the Gregorian calendar. xxiii. Words importing “Person” shall include firms, companies, corporations, and associations or bodies of individuals, whether incorporated or not. xxiv. “Production Year” shall mean 6100 production hours spread over one calendar year having normally 305 working days starting from the first day of the succeeding month immediately following deployment of bidder’s equipment and the date of commencement of production. In case of stoppages for which Employer is responsible, working on weekly rest days and public holidays will be allowed to compensate such stoppages. Stoppages of less than half an hour shall be disregarded entirely for the purpose of accumulation. “One day of additional work shall be allowed for every 20 hours of stoppages accumulated. The actual hours worked on any Sunday or a public holiday will reduce the accumulated hours of stoppages on ‘hour by hour’ basis. No additional hours will be permitted for any such stoppage on a Sunday or a public holiday. First Production Year therefore shall last for 305 working days from commencement plus any extensions as provided in this sub clause. Each of the subsequent Production Years shall commence on the expiry of the previous Production Year and shall last for 305 working days plus any extension as provided in this sub-clause. Where accumulated hours could not be covered by working on Sundays and holidays as mentioned above, the Production Year shall be extended (week-days and Sundays) to reduce the accumulated hours as quickly as practicable before the commencement of the next Production Year. Time required for shifting of the equipments from one entry to another entry shall be included in the production year. However, time period required in shifting the equipments from Nimcha to Sripur, one seam to another seam and overhauling the machines shall not be included in the production year.`

A “Hindrance Register” shall be maintained by both the Company and the Contractor at site to record the various hindrances, as mentioned above, encountered during the course of Contact execution. 30 xxv. "Extraction" means extraction of coal blocks formed after development/Planning with a reasonable percentage of recovery of coal. The method of extraction should be approved in writing by DGMS .

xxvi. "Site Investigation and Monitoring Services" means those expert services which the Bidder shall procure from a suitably qualified firm. The Bidder has the responsibility for engaging such firm, coordinating provision of services for the Contract Period, and making payment to the firm. xxvii. “Specification” shall mean the technical specifications forming a part of the contract and such other schedules and drawings as may be mutually agreed upon. xxviii. The term “sub-contractor”, means any person to whom execution of any part of the work including supply of any Equipment is sub-Contracted by the Contractor with written permission of ECL, and includes his legal successors or permitted assigns. xxix. The "Works" shall mean the works required to be executed in accordance with the contract or parts thereof as the case may be and shall include all extra or additional or any work of emergent nature, which in the opinion of the Engineer-in-charge, become necessary during the progress of the works to be obviate any risk or accident or failure or become necessary for security. xxx. ‘Written Notice’ shall mean a notice or communication in writing and shall be deemed to have been duly served if delivered in person to the individual or to a member of the firm or to an office of the Contractor /Company for whom it is intended, or if delivered at or sent by registered mail to the last business address known to him who gives the notice. xxxi. Words importing singular only shall also include the plural and vice-versa where the context so requires. 4.2 CONTRACT DOCUMENTS 4.2.1 The successful bidder shall enter into a Contract Agreement with the Owner within 30 (thirty) days from the date of ‘letter of acceptance' of tender or within such extended time as may be granted by the owner. If the successful bidder is a consortium / Joint Venture company, the contract agreement should be signed jointly by each member of consortium / Joint Venture Company. The performance Bank Guarantee for the proper fulfillment of the contract shall be furnished by the successful bidder in the prescribed form within 15 (fifteen) days from the date of ‘letter of acceptance'. 4.2.2 The contract shall be considered as having come into force from the date of issue of the ‘Letter of Acceptance’ . 4.2.3 The following documents shall constitute the contract documents: (i) Articles of Agreements, (ii) Notice Inviting Tender, Addendum (if any), Offer and various clarification furnished by the successful bidder (iii) Letter of Acceptance of tender indicating deviations, if any, from the conditions of contract incorporated in the Bid/ Tender document issued to the bidder, (iv) Scope of Work (v) Conditions of contract, (vi) Special Terms and Condition (vii) Price/Rate and Price Variation (viii) Technical Specification of Equipment. (ix) Other Documents a. Time Schedule b. List of equipment to be deployed c. List of Manpower to be deployed d. Designated Mining Area e. Integrity Pact (x) Any other relevant documents.

4.2.4 The agreement will be signed in 2 (two) originals and Contractor shall be provided with one signed original. After Letter of Acceptance Contractor shall proceed with the work, Contractor shall be furnished, free of charge, two copies of contract documents (certified true copies), excepting those drawings to be supplied during the progress of work. Contractor shall keep copy of these documents on the site/place of work in proper manner so that these are available for inspection at all reasonable times by the engineer-in-charge, his representatives or any other officials authorized by company for 31 the purpose. None of these documents shall be used by Contractor for any purpose other than this

contract and Contractor shall ensure that all persons employed for this contract strictly adhere to this and maintain secrecy, as required of such documents.

4.3 DISCREPANCIES AND ADJUSTMENTS THERE OF: 4.3.1 The documents forming part of the contract are to be treated as mutually explanatory of one another. In the event varying or conflicting provisions made in any of the document/ documents forming part of the contract, the 'Accepting Authority's decision/clarification shall hold good with regard to the intention of the document or contract, as the case may be. 4.3.2 Any error in description, quantity or rate in schedule or quantities or omission there from, shall not vitiate the contract or release Contractor from discharging his obligations under the contract including execution of work according to the specifications forming part of particular contract document.

4.4 SECURITY DEPOSIT/ PERFORMANCE GUARANTEE 4.4.1 Security Deposit is the guarantee kept with the Company during the contract period. Security deposit / Performance Guarantee is intended to secure the performance of the entire Contract. Security Deposit shall consist of two parts; i) Performance Security to be submitted at award of work and ii) Retention Money. The security deposit shall bear no interest. 4.4.2 Performance Security should be 5% of annualised Contract amount and should be submitted by the successful bidder within 15 days of issuance of Letter of Acceptance in the form of irrevocable Bank guarantee from Scheduled Indian bank in the prescribed format. The bid security (EMD) deposited by the successful bidder shall be returned to them after submitting the Performance Security. Failure of the successful bidder to comply with the requirement as above shall constitute sufficient ground for cancellation of the award of work and forfeiture of the bid security (EMD). 4.4.3 Retention Money should be deducted @ 5 % from running bills. 4.4.4 The total of Performance Security and Retention Money shall be limited to 10% of annual contract amount 4.4.5 Performance Security and Retention Money shall be refunded without any interest within 60 days of the issue of Contract completion certificate by ECL. The refund of Performance security deposit and Retention money shall be subject to company's right to deduct/ appropriate its dues against the Contractor under this contract or under any other contract.

4.5 TIME FOR COMPLETION OF CONTRACT - EXTENSION THEREOF 4.5.1 Immediately after the contract coming into force, the Engineer-in-charge and Contractor shall agree upon time and progress chart prepared on the basis of a work schedule to be submitted by Contractor showing the order in which the work is proposed to be carried out within the time specified in the contract document. 4.5.2 If Contractor without reasonable cause or valid reason commits default in commencing the execution of the work within the aforesaid date, the company shall without prejudice to any other right or remedy be at liberty, by giving 15 days notice in writing to Contractor to commence the work, failing which to forfeit the Security Deposit and terminate the contract at no cost to ECL.

4.5.3 However, Contractor may request the company in writing for extension of time giving full reason for the delay in commencing the execution of the work within the aforesaid date which the company may consider on basis of merit and may allow reasonable extension of time. Such extension shall be communicated to Contractor in writing by the company within 1 month from the date of receipt of such request. 4.5.4 Contractor shall however use his best efforts to prevent or make good the delay by putting his endeavors constantly as may be reasonably required of him. 4.5.5 Time required for shifting from one entry to another shall be included in the production year. However, time period required in shifting the equipments from Nimcha to Sripur, one seam to another seam shall be given additionally as per mutually agreed. 32

4.6 QUALITY ASSURANCE Contractor shall carry out and the complete the work in every respect in accordance with the contract and shall ensure that work conforms strictly to the instructions of the Engineer-in-charge. The Engineer-in-charge may issue from time to time further detail instructions/ directions in writing to Contractor. Contractor shall adopt prudent industrial practices to avoid mixture of foreign materials like stones and metallic objects during mining of Coal and take measures to the satisfaction of ECL to ensure that to the extent possible no stones or foreign material extraneous to Coal shall be delivered. Contractor is responsible to produce -200 mm size of coal .

4.7 MEASUREMENT AND PAYMENT 4.7.1 Before execution of work, the area from where coal / coal-measure-strata is to be extracted by Contractor, shall be properly demarcated and a plan thereof shall be prepared maintained and kept up- to-date at weekly intervals. During course of execution, measurement shall be taken at weekly intervals (if necessary at closer intervals) and the measurement shall be plotted on the same plan. Measurement shall be taken jointly by the Engineer-in-charge or his authorized representative and by Contractor or his authorized representative. At the end of every measurement period, wherever possible the in-situ volume thus excavated and removed by Contractor, will be calculated. In case the quantity of coal produced is to be decided on the basis of survey, the specific gravity of coal shall be determined on the basis of joint sampling of coal. 4.7.2 Measurement of coal will be in metric tonne. Net weight of coal will be derived from weighment readings of the weigh bridge installed at the site/nearby , which will be provided by the ECL. The weigh bridge shall be calibrated and stamped as per the schedule specified by the Department of weights & measures of the State in which the mine is located. Wherever possible, it would be cross checked by means of survey/any mutually agreed means .In case of breakdown of weigh bridge , measurement by survey of face advance/stock yard/etc. will be adopted. Calibration of weigh bridge and measurements shall be taken jointly by the Engineer-in-Charge or his authorized representative and by the Contractor or his authorized representative. Before taking up calibration of weigh bridge or measurements of any work, the Engineer-in-Charge or the person deputed by him for the purpose shall intimate the Contractor to attend or to send his representative to attend the calibration / measurement. Every calibration / measurement thus taken shall be signed and dated by both the parties on the site on completion of the calibration / measurement. In the event of failure on the part of Contractor to attend or to send his authorized representative to attend the calibration / measurement after receiving the intimation, the calibration / measurement taken by the Engineer-in-Charge or by his authorized representative shall be taken to be the correct measurement. 4.7.3 ECL and Contractor shall conduct a joint survey to determine the progress of the works at the end of each calendar month. This measurement shall be completed by the 5th day of the following month and summarized by Contractor and documented as 'Progress Certificate' to be delivered to ECL.

4.7.4 Payment on Account - Contractor shall submit monthly bill/bills for the work carried out in accordance with Contract. The engineer-in-charge shall then arrange for verification of the bill/bills and payment of verified amount after adjustment, if any, within 30 days of bill submitted by Contractor. Payment on account shall be made on the Engineer-in-charge certifying the sum to which Contractor is considered entitled by way of interim payment for the following: a) The work executed as covered by the bill/bills after deducting the amount already paid, the Retention Money, electricity charges and such other amounts as may be deductible or recoverable in terms of the contract. 4.7.5 The company reserve the right to recover/ enforce recovery of any overpayments detected after payment as result of post-payment audit or technical examination or any other means, notwithstanding the fact that amount of disputed claim, if any, of the Contractor exceeds the amount of such overpayment and irrespective of the fact whether such disputed claims of Contractor are the subject matter of arbitration or not. The amount of such over payment may be recovered from the subsequent bills under the contract, failing that from Contractor claim under any other contract with the company or from Contractor's security deposit or Contractor shall pay the amount of overpayment on demand. 33

4.7.6 2% of the gross amount of each bill with applicable cess will be recovered on account of income tax which would be paid to the Income Tax Authority as per rules and ECL shall furnish TDS certificates to Contractor promptly for such deduction.

4.8 TERMINATION, SUSPENSION, CANCELLATION & FORE CLOSURE OF CONTRACT 4.8.1 The company shall, in addition to other remedial steps to be taken as provided in the conditions of contract, be entitled to cancel the contract in full or in part, if Contractor a) makes default in proceeding with works with due diligence and continues to do so even after a notice in writing from Engineer-in-charge, then on the expiry of the period as specified in the notice or b) commits default/ breach in complying with any of the terms and conditions of the contract and does not remedy it or fails to take effective steps for the remedy to the satisfaction of the Engineer-in-charge, then on the expiry of the period as may be specified by the Engineer-in-charge in a notice in writing or c) shall offer or give or agree to give any person in the service of the company or to any other person on his behalf any gift or consideration of any kind as an inducement or reward for act/acts of favour in relation to the obtaining or execution of this or any other contract for the company or d) transfers, sublets, assign the entire work or any portion thereof without the prior approval in writing from the Engineer-in-charge. The Engineer-in-charge may be giving a written notice, cancel the whole contract or portion of it in default. 4.8.2 The contract shall stand terminated under the following circumstances: In the case of Contractor being a company, its affairs are under liquidation either by resolution passed by the company or by an order of court, not being a voluntary liquidation proceedings for the purpose of amalgamation or reorganization, or a receiver or manager is appointed by the court on the application by the debenture holders of the company, if any. 4.8.3 On cancellation of the contract or on termination of Contractor, the Engineer-incharge shall have powers to carry out the incomplete work by any means at the risk and cost of Contractor .

4.8.4 Suspension of work - The company shall have power to suspend the progress of the work, any part thereof and the Engineer-in-charge may direct Contractor in writing to suspend the work, for such period and in such manner as may be specified therein, on account of any default on the part of Contractor or on ground of the safety of the work or part thereof. In the event of suspension for reason other than any default on the part of Contractor, extension of time shall be allowed by the company equal to the period of such suspension. 4.8.5 Foreclosure of contract in full or in part - If at any time after acceptance of the tender, the company decides to abandon or reduce the scope of the work for any reason whatsoever the company, through its Engineer-in-charge, shall give notice in writing to that effect to the contractor. In the event of abandonment/reduction in the scope of work, the company shall be liable to pay the contractor at the contract rates full amount for works executed and measured at site upto the date of such abandonment/reduction in the work. The contractor shall, if required by the Engineer-in-charge, furnish to him books of accounts, papers, and relevant documents as may be necessary to enable the Engineer-in-charge to assess the amount payable. The contractor shall not have any claim for compensation whatsoever either for abandonment or for reduction in the scope of work, other than those as specified above.

4.9 LIABILITY FOR ACCIDENTS AND DAMAGES 4.9.1 The Company will not be responsible for any accident during work to any workman / staff or any one who is assigned job by Contractor under the contract. Company shall have no responsibility/ liability whatsoever for compensation payment in case of such accident. Contractor shall be responsible for loss or damage to their equipments etc. during entire Contract period. 34

4.9.2 The contractor shall take adequate Insurance coverage (ref. Clause 4.18) for payment of any compensation to any workmen / staff of contractor or of ECL if the said workman / staff / officers of either contractor or ECL dies or suffers an injury from any accident arising during the course of operation of the Highwall Miner / Similar Equipment.

4.10 FORCE MAJEURE 4.10.1 Should Force Majeure prevent or hinder the execution by either party of any of its obligations under this Contract, then the parties so affected shall be excused performance of its obligations for so long as such performance is thereby prevented or delayed. Both parties shall make every reasonable effort to minimize the effects of Force Majeure upon the Contract as far as possible. 4.10.2 The affected party shall notify the other by fax immediately but not later than 72 hrs from the time of occurrence of Force Majeure and confirm forthwith thereafter by registered letter enclosing therein reasonable evidence. Should the effect of Force Majeure last more than ninety (90) consecutive days, the parties to the Contract shall settle further execution of the Contract in an amicable way and arrive at an agreement within a reasonable time limit. 4.10.3 For the purposes hereof “Force Majeure” shall means and include Acts of God, War, Hostilities, Riot, Civil War, Insurrection or Civil Commotion, Malicious Damage, Blockades, Embargoes, Strikes and Lockouts, Sabotage, Explosions, Government Actions or non actions, Earthquake, Flood. Fire or other natural physical disaster, Plague or other epidemic, extra-ordinary thinning of coal seam, major geological disturbance, which is beyond the control of the party claiming force majeure which prevent or hinder the carrying out of obligations under Contract. Regarding major geological disturbance the opinion of ECL will be the final.

4.11 SETTLEMENT OF DISPUTES It is incumbent upon the Contractor to avoid litigation and disputes during the course of execution. However, if such disputes take place between the Contractor and the department, effort shall be made first to settle the dispute at company level. The Contractor should make request in writing to the Engineer-in-charge for settlement of such disputes/claims within 30 (thirty) days of arising of the cause of dispute/claim, failing which no disputes/claims of the Contractor shall be entertained by the company. If differences still persist, the settlement of the dispute with Govt. Agencies shall be dealt with, as per the Guidelines issued by the Ministry of Finance, Government of India in this regard. In case of parties other than Govt. Agencies, the redressal of the dispute may be sought in the Court of Law.

4.12 SUB-CONTRACTING No Sub-Contracting Without Permission The Contractor must not sub-contract its obligations under this Agreement without the prior written approval of ECL. Any approval to sub-contract given by ECL in accordance with this Clause shall not discharge the Contractor from any liability under the Agreement and Contractor remains subject to all of its obligations under the Agreement. The Contractor must ensure any sub- Contractor so approved by ECL observes all the provisions of the Agreement as if the sub-Contractor is also a party to this Agreement.

4.13 CERTIFICATE NOT TO AFFECT RIGHT OF OWNER AND LIABILITY OF CONTRACTOR No interim payment certificate of the engineer, nor any sum paid on account, by the owner, nor any extension of time for execution of the works granted by the engineer shall affect or prejudice the rights of the owner against Contractor or relieve Contractor of his obligations for the due performance of the contract, or be interpreted as approval of the works done or of the equipment furnished and no certificate shall create liability for the owner to pay for alterations, amendments, variations or additional works not ordered, in writing, by the engineer or discharge the liability of Contractor for the payment of damages whether due, ascertained, or certified or not, or any sum against the payment of which he is bound to indemnify the owner, nor shall any such certificate nor the acceptance by him of any sum paid on account or otherwise affect of or prejudice the rights of Contractor against the owner. 35 4.14 COMMITMENT TOWARDS MINIMUM GUARANTEED PRODUCTION

Contractor would guarantee to produce the minimum guaranteed production of coal from the mining districts and delivery the same on the Gate belt. 4.14.1 Commitment Charges: In case, the Contractor fails to meet the agreed annual guaranteed production, he will pay commitment charges as indicated below:

Actual Production in % of Annual Penalty to be Deducted Minimum Guaranteed production From <100% to 85% @10% of price per tonne charged on the difference of production from minimum guaranteed production of that production year.

From < 85% to 70% Amount calculated in above penalty (for <100% to 85% ) plus 20% of price per tonne charged on the difference of production from 85% of minimum guaranteed production of that production year

Less than 70% Amount calculated in above penalty (for <85% to 70% ) plus 30% of price per tonne charged on the difference of production from 70% of minimum guaranteed production of that production year

4.14.2 Payment of coal production during commercial production period will be made monthly. The interim adjustment for penalty will be done quarterly and the final adjustment will be made on the basis of coal production in that particular production year.

4.15 DGMS APPROVAL 4.15.1 All equipments/goods requiring permission under the law and to be supplied under the Contract must be approved by the Director General of Mines Safety (DGMS), Dhanbad, India for use in gassy coal mines. Approval has to be obtained by Contractor at his own expense.

4.15.2 DGMS approval for the deployment of the Highwall Miner Package (approved by DGMS) in the Designated mine for development would be obtained by ECL with the help of Contractor. ECL would put up application and Contractor will provide all necessary assistance to ECL for obtaining DGMS approval. 4.15.3 Shipment of the equipment shall be made by Contractor, only after the approval of concerned equipment and Technology by DGMS has been obtained.

4.16 APPLICABLE LAWS 4.16.1 The contract shall be governed by the laws of India being in force for the time being. The Contractor shall be governed by any applicable National, Municipal, Local or other law and any requirement or regulations of any Indian Governmental Authority or Agency in connection with the performance of the work.

4.16.2 The Contractor shall observe all the safety rules and regulations as required under the statutory Acts of the Government of India including specially, Mine Safety Regulations of India. The Contractor shall be well acquainted with all such laws applicable in connection with the performance of the contract and diligently observe and comply with all such laws.

4.16.3 ECL shall have the right to object to an unsafe practice followed by the Contractor and direct that the work be carried out in a safe manner.

4.17 INSURANCE 4.17.2 The Contractor shall carry and keep current during the Term of this Agreement adequate insurance coverage for the Contractor’s employees, the coal mining, handling & transportation facilities, the contracted facilities and equipment, Third Party Liability policies and Motor vehicle insurance covering own damage, Third Party Property damage and Third Party Personal Injury insurance to the satisfaction of ECL The Contractor shall upon request of ECL, furnish ECL with particulars of the insurance policies procured by the Contractor for the purpose of the Works. 4.17.3 The Contractor shall indemnify ECL against any losses as above that may result due to lack of required insurance cover.

4.18 ACCESS TO SITE AND WORKS ON SITE 4.18.1 Suitable access to and possession of the site shall be accorded to Contractor by the owner in reasonable time. 4.18.2 In the execution of the works, no persons other than Contractor or his duly appointed representative and workmen, shall be allowed to do work on the site, except by the special permission, in writing of the engineer or his representative. 4.18.3 Contractor shall establish a site office at the site and keep posted an authorised representative for the purpose of the contract. Any written order or instruction of the engineer or his duly authorised representative shall be communicated to the said authorised resident representing Contractor and the same shall be deemed to have been communicated to Contractor at his legal address.

4.19 COMPLETION CERTIFICATE On completion of the contract period and notifying the same by Contractor to the Engineer-in- Charge, the Contract Completion Certificate shall be issued by the Engineer-in-charge. Payment of final bill shall be made thereafter and refund of security deposit shall, however, be made as per relevant clause of the contract.

4.20 SPECIAL TERMS AND CONDITIONS / OBLIGATION OF CONTRACTOR 4.20.1 Contractor, before starting the work, shall furnish to the Engineer in charge the list of equipments, proposed to be deployed for the work. No equipments shall be deployed for the work without the approval of the Company. 4.20.2 The Company shall have the right to inspect or arrange inspection of the equipments deployed by Contractor for the work at any time and declare any equipment unsafe and ask for its immediate withdrawal from the site/ operation. Contractor shall ensure prompt/ immediate compliance of the same. 4.20.3 Contractor shall at his own cost, arrange for regular checking/ maintenance/ repair of the equipment and keep them in good and safe condition at all times. Proper records of such checking/ maintenance/ repair shall be maintained in a Log Book kept for the purpose, which shall be readily available for inspection whenever required. 4.20.4 Only experienced, skilled and disciplined worker of sound health, good behavior and antecedents having experience shall be deployed by Contractor to operate the equipments deployed for the work. 4.20.5 Contractor shall bring/ take back and arrange for the transportation of the equipments/ men and material required for the work at his own cost. However, the existing facilities available in the mine may be used by Contractor with the permission of the Engineer.

4.20.6 The work may be executed round the clock on all the days of week, if required or as directed by the Engineer in charge and Contractor shall be obliged to comply with the same. 4.20.7 Contractor shall at his own cost arrange for all materials, stores, spares, tools, tackles etc. and maintenance/repairs of the equipments required/ deployed for the work. The company shall have no liability whatsoever on this account. 4.20.8 Contractor shall maintain proper records in English/ Hindi of the equipments/persons etc. deployed for the work, work done, daily attendance of the employee, payment to the employees etc.

and the Company shall have the right of access to and inspection of these records or to call for any or all these records or ask Contractor to submit such reports as it considers necessary and Contractor shall be bound to comply with such instructions. 4.20.9 The Company shall have no responsibility/ liability whatsoever for compensation payment in case of accident / damage to Contractor's equipments in the transit or while engaged in the work. 4.20.10 Contractor shall familiarize himself and fully comply with the provisions of all the Acts/ Rules/ Regulations/ Bye-laws and orders of the Local authority/ Municipality/ State Govt./ Central Govt. applicable to the worker, Mines Act, Payment of Wages Act, Workmen's Compensation Act, etc. and shall be fully responsible and liable for due observance of the same. The company shall have no responsibility / liability whatsoever on these account and Contractor shall fully indemnify the Company against any claim/ dispute / reference Award, etc. arising out of the same. 4.20.11 Contractor shall post adequate number of competent, experienced, skilled and disciplined persons having good antecedents for satisfactory execution of the work. A list of all such persons shall be kept in the office of Contractor and a copy of the same shall be furnished to the Engineer in charge as and when required. All these persons shall be in the direct employment and under direct administrative control of Contractor and the management shall have no responsibility / liability whatsoever in this regard. 4.20.12 Contractor shall issue an identity card/ employment card to each employee with photograph duly attested by him which the employee shall always carry with him, while on work and produce for inspection whenever required. 4.20.13 Contractor shall not engage any person less than 18 years of age or female as required by relevant law. 4.20.14 Contractor shall not pay less than the minimum wages to the workers engaged by them as per Minimum Wages Act or such other legislation or award or the minimum wages fixed by the respective State Government as may be in force. 4.20.15 Contractor shall make payment to his employees at the place (s) and manner specified by the Engineer in charge and in the presence of Company's authorized representative who shall duly witness all payments by Contractor to his employees. For this purpose Contractor shall notify to the Engineer in charge the wage period (s) day/ date and time of payment. 4.20.16 Contractor shall prepare the wage sheet for his employees in duplicate, a copy of which shall be regularly submitted to the Engineer in charge. 4.20.17 Contractor shall make timely payment of all salary / wages / dues to his employees and shall also provide all benefits to his employees as per various Acts/ Rules, Regulations, Orders applicable to the work e.g. bonus under Coal Mines Bonus Scheme and Payment of Bonus Act. Sunday Wages, Overtime, Holiday Wages, Leave Wages, Sick Leave etc. 4.20.18 Contractor shall also comply with the provisions of the Coal Mines Provident Fund Scheme and regularly deposit the contributions in accordance with the same. The company shall have no liability whatsoever in this regard. 4.20.19 The responsibility of Contractor in respect of all-payments to his employees will be complete and absolute. The company shall have no liability whatsoever in this regard and shall be fully indemnified by Contractor against any claim arising out of any non pay-payment/ short-payment/ dispute/ award.

4.20.20 Contractor shall arrange for the training of his employees in accordance with the Mines Vocational Training Rules, 1966 as amended from time to time, at his own cost. However, ECL shall provide their existing vocational training centre for undergoing the said training free of cost. 4.20.21 Contractor shall provide footwear, helmets and other protective equipments, to his employees as provided in law at his own cost. 4.20.22 Initial Medical Examination (IME) of all contractual mining workers is mandatory and an amount as per prevailing rate shall be charged towards conducting IME for each worker, which shall be recovered from the bills of Contractor. 4.20.23 Payment to Contractor will be done through Electronic mode. For this the desired information are to be furnished by the bidder after becoming successful . 4.20.24 The Contractor shall keep Company indemnified against all damages caused to any employee and / or property of company due to negligence of the Contractor and / or its men and agents.

TECHNICAL DOCUMENT FOR INTRODUCTION OF HIGHWALL MINING ON HIRING BASIS

NIMCHA BLOCK (SATGRAM AREA) & SRIPUR BLOCK (SRIPUR AREA) ECL

DECEMBER 2014

EASTERN COALFIELDS LIMITED (A Subsidiary of Coal India Limited) SANCTORIA, DISHERGARH BURDWAN-713333 (INDIA)

5.0 PREAMBLE:

5.1.0 Raniganj Coalfield is having number of coal seams, which in-crop at several places. These seams cannot be exploited economically either by open cast mining due to high cut off ratio or by underground technology due to low thickness and less hard cover. There are also certain OC patches which cannot be extended further due to economic considerations or further mining is restricted due to surface constraints.

5.1.1 There are few prospective sites in ECL where recovery of coal from these coal seams may be possible by Highwall Mining. In the first phase two sites namely Nimcha Block and Sripur block have been identified for application of Highwall mining technology.

5.1.2 Highwall mining is a remotely controlled mining method which extracts coal from the base of an exposed high wall, typically via a series of parallel entries driven to a significant depth within the seam horizon and conveying the coal by some means back to the surface. The method allows recovery of coal from surface pits that have reached final high wall position, or in areas where coal has become sterilized, for example in service corridors. Highwall mining is a hybrid system capable of accessing these reserves for substantially less capital cost and lead time than a full underground mine, while being capable of producing over one million tonnes per year per system. Highwall mining also has a significant operating cost advantage over underground mining, because it is less labour intensive. There is a limitation of length of drivages in coal seam due to various reasons. In case of flat virgin seams, entries to the seam can be made by cutting a trench to expose the coal seam and Highwall mining can be done along the exposed coal seam available both at dip & rise side. This is commonly known as Trench Mining.

On perusal of literature, it is established that Highwall Mining continues to grow its importance as a Mass Production Technology. Currently there may be up to 60 Highwall Mining Systems operating in USA. Recent estimate suggest that upwards of 45 MT of cleaned coal representing about 4% of the total coal production of USA comes from this technology. 41

5.2.0 SALIENT FETURES OF EQUIPMENT CONFIGURATION

Base unit/advancing launcher Reels and chains Controls Push beam Cutter Unit

5.2.1 Base Unit /Advancing Launcher

Main Base unit is placed at surface/trench where most of the drives and all controls are positioned. On the top of the Base unit, there is a closed operator’s main control cabin from where all the main operations are controlled. It also houses hydraulic power-pack to feed power to push rams and cutter heads. Two push rams which push the push beams inside the drivage holes, can exert push-in & pull out force of 170 tonne and 350 tonne respectively. The length, width and height of the base unit is approximately 22 m, 8.3 m and 6.5 m respectively. The total installed power ranges from 1057 KW to 1370 KW depending on type of cutter unit.

5.2.2 Reel and Chains

Reel automatically unwinds and winds considering the movement of the push beam and contains the following Cables & Hoses. Power cable for cutter head Control cable for cutter head Methane sensor cable Hydraulic pressure hose for cutter Cooling water hose for cutter motor 5.2.3 Control Total operation can either be by automatic programmable logic controller or manual through touch screen technology or manual. It contains self-diagnostic health monitoring system to know the status and health of the machine as well as environment where the cutter works. 42

5.2.4 Push Beam Push beam plays an important role for parallel drivage of entries as well. It is rigid in construction and contains two contra-rotating augers for transportation of coal from the coal face. Articulation in-joint between two push beams provides vertical movement, which allows the cutter head to negotiate the undulating contour of the coal seam. Rigidity of the structures does not provide any horizontal movement. Moreover, auger being placed inside the push beam, possibility of contamination of coal due to roof fall is eliminated and dilution of grade of coal is completely avoided.

5.2.5 Cutter Unit The cutter unit that goes inside the coal seam is basically the cutter head of continuous miner and the operation is fully remote controlled from the operator’s cabin, positioned at main base unit. Depending upon the height of coal seam, there are three types of cutter modules i.e. thin seam, medium seam and thick seam. It can cut coal seams having the thickness ranging from 76 cm to 4.87 meter. Diameter of cutter motor varies from 61 cm to 112 cm while power of cutter motor varies from 246 KW to 350 KW. The entire cutter modules are interchangeable with the machine. 5.3.0 COAL CONVEYANCE SYSTEM Highwall Mining is a continuous process of mining and there is no provision of any pumping in the drivage. Whatever make up of water comes from strata is mixed with coal and possibility of high wet/slurry coal cannot be ignored. Under such situation, conveyance system by auger plays a very important role over other system of conveyance of coal from face. It is a pair of large diameter augers rotating in opposite direction and carries the coal mixed with water from coal face to the main base unit, where it delivers it to chain conveyor placed in the center of base before it discharges to rear belt conveyor.

5.4.0 METHOD OF MINING The technology is quite flexible depending upon the availability of the coal block. Generally three types of method is being practiced for creating highwall mining under different mining condition.

Contour mining Trench mining Bench mining

5.4.1 Contour Mining Method When any coal seam, particularly thin seam appears at incrop/outcrop, conventional method of mining i.e. opencast or underground mining may not be the best economic choice, Highwall mining can be done economically and safely. Since, Highwall mining follows the contour of the coal seam, method is known as Contour Mining by Highwall method.

5.4.2 Trench Mining Method There is a limitation of length of drivages due to various reasons. For a dipping seam, with the length of drivages, the depth of overburden increases but if the seam is flat, further entries can be made by excavating a trench to expose the coal seam and Highwall mining can be done along the exposed coal seam available both at dip and rise side. This is commonly known as Trench Mining.

5.4.3 Bench Mining Method For working multi-seam deposit, a bench is prepared in the top seam and mining operation is undertaken top downwards. Highwall Mining can also be done by preparation of benches from bottom upwards but there is possibility of damages to the coal of upper seams if there is any failure of web pillars at the bottom seams. Mining by preparation of benches in each seam for multi-seam working is called Bench Mining.

5.4.0 WHERE TECHNOLOGY CAN BE APPLIED As far as the application of the technology is concerned it is quite flexible and can be used for wide application for extraction of coal from: • Thin seams of thickness over 0.8 m. • Beyond economic strip limit of opencast mines. • Coal blocked in Highwall boundaries. • Below sterilized overburden dump. • Below permanent structures like road, rail and power line. • Below villages.

5.5.0 STRENGTH OF HIGHWALL MINING TECHNOLOGY 5.5.1 Safety Since no man is going inside the drivages, it is a safe method of mining. However, approval of DGMS will have to be taken for deployment of Highwall Machinery. 5.5.2Highwall Production Potential Production potential of the machines depends upon the thickness of the coal seam and the condition of the side. Highwall machines can produce approx. 7200 TPD for thick seams, 4000 TPD for medium seams and 2500 TPD from the thin seams having thickness 0.9 to 1.4 m. Production over 100000 Tonne per month are being achieved in a sustained manner in other countries. 5.5.3Higher Productivity The machine is being operated with 3-4 crew members per shift with very high productivity. Depending on the thickness of seam, output per man shift can be as high as 300-400 T. This cannot be achieved by any other technology.

5.5.4 No Ash Dilution Since the machine is cutting only the coal and being transported inside the closed push beam, coal is not getting contaminated with the fallen roof, if it occurs. Hence there is no ash dilution. 5.5.5Conservation Of Coal This technology recovers that coal which in normal case cannot be taken out by any other technology. Percentage of recovery of coal by this technology is quite high as compared to conventional underground mining technology. Depending upon the thickness of coal seam, strength of coal and depth of cover of the seam, recovery of coal to the extent of 50% to 70% is possible. 5.5.6Mobility Machine is mounted on four hydraulically powered crawlers with 90 0 movement. This allows the machine to move both in straight and transverse directions. This helps the machine to position itself in the next hole accurately with least time. Moreover, the machine is modular in construction and can be broken into modules in one day and can be assembled in 3 - 4 days.

5.6 HIGHWALL DESIGN, GROUND CONTROL ISSUES, SPONTANEOUS HEATING & INUNDATION 5.6.1 Design of Highwall Design of a highwall mining is based on the following site and working parameters.

1. Mining height 2. Hardness of coal and in-situ strength of coal 3. Depth of cover at start and finish 4. Width of drivages

The pillar strength, applied stress on the pillar and desired pillar stability factor are required to be ascertained. Based on the above parameters, width of web pillar, number of web pillars between two barrier pillars and width of barrier pillar are determined. The factor of safety of web and barrier pillar as per DGMS guideline is to be kept such that there is no chance of surface subsidence. Hence, cost of land below which webs will be driven has not been considered in this report. 5.6.2 Highwall Mining technology is a well proven technology is well proven technology in USA. It has been introduced in SECL and SCCL and those are working for about 3 years. The method of mining has been approved by DGMS based on the scientific studies and characteristics of coal. DGMS has not stipulated to incorporate a special condition to prevent spontaneous

heating. As per the mining method, after completion of the drivage the mouth of the hole is to be filled up with non-combustible materials. 5.6.3 The risk of inundation to the lower seams if any can be avoided by drivages of upward boreholes from lower seams so that if there is accumulation of water, that can be drained out.

5.7 BLOCKS PROPOSED FOR HIGHWALL MINING There are some patches in ECL where the top/ bottom seams have not been worked totally near the in crop due to low thickness, surface constraints or due to limited reserves and are lying undisturbed. Because of limited reserves and size of the patch, it is not feasible to exploit economically by underground methods. Due to high stripping ratio and surface constraints, the coal cannot be extracted economically by opencast method either. It may be mentioned that all the three identified blocks are amenable to Highwall Mining by Trench cutting. In the first phase, two sites namely Nimcha Block and Sripur Block have been identified at ECL for application of Highwall mining technology. A brief description of the blocks has been given in the subsequent pages.

5.8 Reserves The reserves falling within the zone amenable to Highwall Mining has been considered on the basis of the following: (i) Minimum thickness of hard rock cover from the roof of the seam has been kept at 8m at the shallow limit of extraction. (ii) Maximum length of extraction from the trench bottom has been kept as 250m/300 m. (iii) The percentage of extraction of coal by Highwall Mining depends on the thickness of the coal, depth of cover and strength of the coal. The thickness of the coal ranges from 1.2 to 2.2m, average will be 1.5m and depth of cover varying from 20-70m and average 50m.The percentage extraction of coal at 20m depth will be around 75% and at 70m depth, it will be 60%. However, a uniform percentage of extraction of 60% has been considered for the identified sites.

5.9 Mine Closure This can be viewed in different perspective considering the impact by Highwall on the below seams. This can be viewed as under depending on the criticality of the mining: Method is available to go for back filling of the drivages but that would be an additional cost separately for the back filling. However in practice, mining is done 47

by depillaring in a manner of top downwards below caved goaf. Same type of precautions are to be taken against water, if filled in the already driven drivages by making holes from bottom to up or vice versa. Moreover, the layout of the trenches and the Highwall drivages shall be done, as far as practicable, in a manner that water will drain out automatically from the drivages to the dip side of the trench. The trenches will be back filled by OB after end of mining operation, provision for which has been made in the scheme.

5.10.0 Nimcha Block 5.10.1.1 Introduction Nimcha Block is located in the central part of Raniganj Coalfield. The block is bounded by latitudes 23 o36’39” to 23 o37’35” and longitudes 87 o02’40” to 87 o03’53”. The block is about 15 Km East of Asansol town and 9 Km west of Raniganj town. The block is well connected by both all weathered roads and railways. The nearest railway station is Raniganj. The beds usually trends NW-SE in the western part but gradually swings towards south to become almost N-S in the eastern part of the block.

Demarcating limits for the area proposed for Highwall Mining is defined as follows :

Northern limit - Incrop of Ghusick-A seam

Eastern limit - More or less N-S trending line drawn at at a distance of 100m to the west of Harbhanga Village.

Southern limit - Northern bank of Damodar River

Western limit - 25m to 35m (westward throwing) fault.

The area proposed for Highwall Mining covers approx. 1.00 sq.km along the northern bank of Damodar River in the south-western part of Nimcha block. Nimcha village is located along the south-western corner of this proposed patch.

5.10.1.2 Sequence of coal seams and partings The sequence of coal seams and partings are summarized below:

Seam/ Thickness Remarks Parting Range (m) R-IX 2.30-3.60 Virgin, Coal mostly devolatilised due to igneous (Ghusick) intru sive, hence not considered for Highwall Mining

Parting 0 – 25

R-IX A 2.12-2.82 Virgin, proposed for Highwall Mining (Ghusick -A)

Parting 60-70

R-VIII 2.95-6.73 Developed (depillared & stowed along the eastern (Nega) part) in the proposed area

Parting 42-68

R-VII 0.56-1.00 Virgin (Narainkuri)

Lower seams are virgin

5.10.2 Geology The Raniganj formation rocks containing coal seams from R-IX to R-I exist in this area. Ghusick (R- IX Top) and Ghusick- A (R-IX Bottom) seams are two upper seams. R-IX Top seam has been found mostly devolatilizes due to burning/ heat affect. As such, R-IX Bottom seam has been proposed for High Wall /Trench Mining. Both the seams lie virgin in this area. However, the immediate lower seam, i.e. Nega seam lying with a parting of 60m to 70m from the Ghusick-A seam, has been developed (depillared and stowed along the eastern part) in the area proposed for Highwall mining.

Structure Within the demarcated limits the topography is found to be gently undulating having altitude variation from about 96m to about 80m. The HFL has been demarcated at 83.5m and part of the area adjoining Damodar river comes under the HFL. The general slope is toward south and south east. 49

The formation along with the coal seams show a south-westerly gradient of about 1 in 15 to 1 in 18. The patch is observed to have traversed by 5 to 6 thin intrusive criss-crossing the property. Roof and Floor

The roof of the seam is predominantly sandy shale and shale followed by carbonaceous shale, alternate shale and sandstone. The floor of the seam is predominantly sandy shale, intercalation of shale and sandstone. Faults Based on the available boreholes one fault (F1-F1) with NE-SW/SSW trend, with about 35 to 50m throw is deciphered in the vicinity of the proposed patch. This fault forms the western limit of the patch. Presence of minor faults cannot be ruled out. Igneous Intrusives The eastern part of the R-IXA seam is observed to have been traversed by several thin mica peridotite dykes. Occurrence of similar thin mica peridotite dykes cannot be ruled out in the western part. Dirt bands A thin band of shale/ grey shale (thickness 0.11m-0.16m) is developed occasionally above the roof of the seam. Quality Details of the quality parameters are given below. Pa rticulars Minimum Maximum Moisture% 5.0 6.4 Ash% 22.9 25.7 Volatile Matter% 28.7 29.7 Fixed Carbon % 41.9 43.2

5.10.3 Degree of Gassiness

R-IX Bottom seam is virgin in the property. This seam is of degree-III in the adjoining Tirat colliery.

5.10.4 Reserve Geological Reserve of R-IX Bottom (Ghusick-A) seam are 2.92 Mt and 2.63 Mt respectively for 300m and 250m drivages. Estimated Extractable Reserve is 1.84 Mt and 1.66 Mt for maximum drivage length of 300m and 250m from the trench bottom respectively.

5.10.5 Land Requirement Land has to be acquired for cutting of trenches, dumping of overburden removed from trench cutting, diversion of road, construction of coal transport road, diversion of HT lines etc. Estimated land requirement for the above is 120.90 Acres.

5.11.0 Sripur Block

5.11.1.1Introduction

Sripur block is located in the central part of Raniganj Coalfield. The block is bounded by latitudes 23 040’45”N to 23 044’15”N and longitudes 87 02’40”E to 87 05’30” E. The total area of the block is 18.8 sq. km. The upper coal seams namely Dishergarh (R-IV), Koithee (R-III) and Poniati (R-II) seams have been extensively worked leaving hardly any mineable reserves. Taltore (R-I) seam, the bottom most seam of Raniganj Formation remains almost virgin within the block except in two isolated patches worked by private owners. A rectangular patch (0.77 sq. km.) has been identified out of the total Sripur Block near in-crop side of R-I seam. The seam has been worked, on the dip side, in two small patches prior to nationalization through Jamuria 7 & 8 pits and Akhalpur 5 & 6 pits of Jamuria colliery which were subsequently abandoned. The R-I seam is however virgin in the area proposed for highwall mining.

The block has a gentle undulating topography. The area is traversed by a number of main transmitting lines emanating from Sibpur Power station located in the northern part of the block. There is no river or nallah traversing the area. Major drainage system of this region is managed by Damodar River which is about 7 to 8 km due south of the block.

The block is approachable by all weather road from Raniganj and Asansol town. The Chanda-Jamuria road branching off from G. T. Road runs through the southern part of the block. Asansol and Raniganj towns are located 20 km west and 15 km east respectively from the central part of the block. Topsi- Baraboni Chord line of E. Railway passes through the northern part of the block. Jamuria Railway station is within the block. Ikhra Railway station is 5 km to the east of the block. Demarcating limits for the area proposed for High Wall Mining is defined as follows: Northern limit : In-crop of R-I (Taltore Seam)

Eastern limit : Marked fault F 3-F3 (throw 25m-50m) which is eastern limit of Sripur Block

Southern limit : Combination of 45 m barrier from Ikra- Branch Line of Eastern Rly, village boundary (Jamuria-Boring danga) and

trace of fault F6-F6 (throw upto 5m).

Western limit : Eastern limit of Sibpur village

5.11.1.2 Sequence of Coal Seam and Parting The sequence of coal seams and partings in Sripur Block are summarized below.

Coal seam/Parting Thickness (m) Rem arks

Dishergarh (R-IV) 1.05 – 2.35 Extensively worked & exhausted

Parting 26 – 40

Local 0.45 – 2.20 Thin seam

Parting 34 – 101

Koithee (R-III) 1.14 – 6.60 Extensively worked & exhausted

Parting 21 – 59

Poniati (R-II) 2.37 – 5.90 Extensively worked & exhausted

Parting 19 – 66

Taltore (R-I) 1.18 – 2.20 Worked in two isolated patches on the dip side. Remaining area virgin. Proposed for Highwall Mining.

5.11.2 Geology

In Sripur block, four standard coal seams namely Dishergarh (R-IV), Koithee (R- III), Poniati (R-II) and Taltore (R-I) of lower part of Raniganj Formation are present. The top three standard seams have extensively been worked and exhausted. The prospective coal seam under reference is the bottom most Taltore (R-I) seam which in-crops along the Northern boundary of the block. The seam occurs 30 to 48m below Poniati (R-II) seam. The inter-seam parting with R-II seam shows a gradual reduction in the south with respect to the northern part. The seam in this block has a gradient of 1 in 10 to 1 in 12. In the identified area for Highwall mining, thickness of Taltore (R-I) seam varies from 1.30 to 1.65m. Roof and Floor The immediate roof rock of Taltore seam is generally grey shale followed by a thin band of carb. shale (thickness 10-15 cm), sandy shale occasionally 53

changes to fine grained sandstone. The immediate floor of the seam is broadly grey shale underlain by alternating bands of shale and sandstone or some variants of sandstone. Faults Altogether seven faults having variable throws are present within the block. Except

a minor fault F 6-F6 (throw upto 5m) with south –westerly throw, no other fault is present in the proposed area of Highwall mining. Igneous Intrusive The block is traversed by numerous micaperidotite intrusives. The position of the dykes are mainly based on the underground position as encountered in the underground (abandoned) working of upper coal seams. Due to absence of surface exposures of these dykes, their surface position could not be traced. In the area proposed for Highwall mining, no dyke is present. However, possibility of existence of igneous intrusives can not be ruled out. Dirt Bands This seam is devoid of any dirt band. . Quality Details of the quality parameters are given below. Particulars Minim um Maximum Moisture% 2.7 6.5 Ash% 16.8 28.4 Volatile Matter% 27.5 32.5 Fixed Carbon % 41.3 47.8

5.11.3 Degree of Gassiness

R-I seam is virgin in the property. This seam is of degree-II in the nearby Sripur colliery where a small area was developed in the past.

5.11.4 Reserves

Geological Reserves of Taltore (R-I) seam are 1.37 Mt and 1.29 Mt respectively for 300m and 250m drivages. Estimated extractable reserves are 0.86 Mt and 0.81 Mt respectively for maximum drivage length of 300m and 250m from the trench bottom respectively.

5.11.5 Land Requirement Land has to be acquired for cutting of trenches, dumping of overburden removed from trench cutting, diversion of road, construction of coal transport road, diversion of HT lines etc. Estimated land requirement for the above is 81.61 Acres.

5.12.0 EMP Highwall Mining being a new technology, Environmental Clearance has to be obtained.

5.13.0 Summary of Extractable Reserves and Land Requirement Summary of estimated extractable reserve (for 300m and 250m drivages), grade, quantity of OB to be removed from the proposed trenches, land requirement and number of employment to be given in lieu of the land for the proposed two sites for introduction of Highwall mining is given below.

S. Sites Estimate d Declared/ OBR Land Employ ment N. Extractable Analysed (M. (Ac) Reserve (Mt) Grade cum) for for 300m 250m drivage drivage 1 Nimcha 1.84 1.66 G-4 6.91 120.90 60 2 Sripur 0.86 0.81 G-5 3.79 81.61 40 Total 2.70 2.47 10.70 202.51 100

Details of the above have been shown in Annexures-I and II.

It may be noted that the extractable reserve, OBR, land requirement and employment are just an estimate and may vary depending upon: i. The actual alignment, width and slope of access and main trench. ii. Length of drivage. iii. Extraction percentage which will depend upon width of the web and barrier pillars which in turn will depend upon the physic-mechanical properties of the coal and roof of coal seam.

5.14.0 Manpower Requirement of departmental manpower will be 19 apart from the contractual manpower. Category-wise departmental manpower is shown in Appendix-B.1.

5.15.0 Production Schedule Total coal production from two identified sites for 250m and 300m drivages is estimated to be 2.47 Mt and 2.70 Mt respectively. Production schedule from two identified sites for 250m and 300m drivages are given below : For 250m drivage ( Production in MT) Site 1st yr 2nd yr 3rd yr 4th yr 5th yr 6th yr 7th yr Total Coal (Mt) Nimcha Construction 0.30 0.50 0.50 0.36 Sripur Period 0.14 0.50 0.17 Total 0.30 0.50 0.50 0.50 0.50 0.17 2.47

For 300m drivage ( Production in MT) Site 1st yr 2nd yr 3rd yr 4th yr 5th yr 6th yr 7th yr Total Coal (Mt) Nimcha Construction 0.30 0.50 0.50 0.50 0.04 Sripur Period 0.46 0.40 Total 0.30 0.50 0.50 0.50 0.50 0.40 2.70 5.16.0 Economics The total capital investment for the implementation of the technology is estimated to be Rs. 36.65 Cr. The break-up under different heads are presented below:-

Amount Specific Major Heads In % Investment (Rs/ (Rs Cr) Te)

Land 27.64 75.42% 552.90

Coal Transportation Road 2.91 7.94% 58.20

Plant & Machinery 0.20 0.55% 4.00 Shifting of Overhead Line 0.30 0.82% 6.00 & Brick Klin Others 1.16 3.17% 23.21

Revenue Expenditure 4.44 12.11% 88.77 Capitalised

Total Capital 36.65 100% 733.07

Capital investment upto target year and beyond target year are shown below:

Total Capital Requirement Rs Cr 36.65

Capital requirement upto target year Rs Cr 35.67

Capital requirement beyond target year Rs Cr 0.98

Specific investment Rs/te 733.07

5.16.1 Sources of Finance: It has been assumed that funding will be from internal resources and hence no interest on loan capital has been charged. 5.16.2 Selling price: Declared/ Analysed grade of R-IXA seam of Nimcha Block and R-I seam of Sripur Block are G-4 and G-5 respectively. As per the minutes of the 270 th meeting of ECL Board held on 11.07.2014, analysis of projects are to be done on the basis of GCV/ declared grade. Accordingly, economics has been worked out on the basis of declared/ analysed grade as made available by ECL. Weighted average selling price has been calculated for 300m and 250m drivages as given below. 57

(For 300m Drivage) PARTICULARS NIMCHA SRIPUR Grade G-4 G-5 6100 to GCV Band (Kcal/kg) 5800 to 6100 6400 Reserve (Tonne) 1836694 858426 GCV Band Price (Rs/Te) 3490.00 2800.00 Grade Slippage (Rs/Te) 52.35 42.00 Add for sizing (Rs/Te) 79.00 79.00 Add Transportation (Rs/Te) 57.00 227.72 Total (Rs/Te) 3573.65 3064.72 Wt. Ave. Selling Price 3411.55 (Rs/Te)

(For 250m Drivage) PARTICULARS NIMCHA SRIPUR Grade G-4 G-5

GCV Band (Kcal/kg) 6100 to 6400 5800 to 6100

Reserve (Tonne) 1660654 809693 GCV Band Price (Rs/Te) 3490.00 2800.00 Grade Slippage (Rs/Te) 52.35 42.00 Add for sizing (Rs/Te) 79.00 79.00

Add Transportation (Rs/Te) 57.00 227.72

Total (Rs/Te) 3573.65 3064.72 Wt. Ave. Selling Price 3406.84 (Rs/Te)

5.16.3 Profitability and IRR: The financial indices for 300m and 250m drivages at 100% and 85 % capacity uilisation are shown below.

Analysed/Declared Grade Financial Indices Unit 300 M 250 M Drivage Drivage Estimated Cost of Production 1 At 100% production level Rs. / Te 1806.64 1820.78 At 85% production level Rs. / Te 1862.53 1878.46 2 Average Selling Price Rs / Te 3411.55 3406.84 Estimated Profit 3 At 100% production level Rs. / Te 1604.91 1586.06 At 85% production level Rs. / Te 1549.02 1528.38 Financial Internal rate of return (FIRR) 4 At 100% production level % 132.11% 131.17% At 85% production level % 116.13% 115.05%

5.16.4 a) Administrative Charges: Rs 186.50/te as administrative cost has been considered. b) Interest on Working Capital: Four months cash revenue expenditures is considered as working capital and interest @ 14.5% charged as per guideline received from the Department of Economic affairs. GOI dated 18th Sept, 2006. c) Depreciation: Straight line method has been adopted. Land has not been depreciated and for other investment amortization has been made over the life of the project. d) Interest on loan capital: No interest is charged as the funding is proposed from internal resources and no opportunity cost of using own money is considered. e) Outsourcing Cost Outsourcing rate (Rs.1141.00/Te excluding Service Tax) of coal and OB has been taken as per the contract between SECL and M/S Cuprum Bagrodia Ltd for Highwall Mining at Sharda OC, Sohagpur Area. Details are given below:]

Outsourcing Service Outsourcing Rate with Rate (Rs/Te) Tax S.Tax (Rs/Te) 1141.00 141.03 1282.03

The Coal transportation rate from surface to railway siding has been taken as per SOR for transportation of ECL. The distance from surface to railway siding in case of Nimcha Site is 3.7 Kms (Nimcha Siding) and for Sripur Site is 25 to 26 kms (Modern Satgram Siding).

Coal Coal Transport Coal Transport Transport Distance Rate (as per Rate after Service Site Rate with (kms) SOR ) (Rs/ escalation Tax S.Tax Te) (Rs/ Te) (Rs/ Te) Nimcha 3.7 37.02 39.57 4.89 44.47 Sripur 25 to 26 185.07 202.67 25.05 227.72

Financial IRR at 100% and 85% capacity utilization for 300m and 250m drivages are shown in Appendix-D.1 and Appendix-D.2 respectively.

5.17.0 SENSITIVITY ANALYSIS

Sensitivity analysis has been computed considering the following parameters for assessing their influence on the Financial IRR at 100% capacity utilisation a) Capital investment b) Operating cost c) Capacity utilisation d) Selling price of coal The above parameters have been increased / decreased in steps of 5% to a maximum of 25% over the base case and the IRR have been computed.

The following table summarises the results of sensitivity analysis:

250 m Drivage Impact over Fin IRR at 100% Capacity Utilisation Variable Parameter 0% 5% 10% 15% 20% 25% Increase in Capital 131.17% 127.28% 123.64% 120.22% 117.00% 113.97% Increase in Operating 131.17% 126.47% 121.65% 116.70% 111.61% 106.35% Cost Decrease in Capacity 131.17% 125.98% 120.62% 115.05% 109.27% 103.25% Decrease in Selling Price 131.17% 122.23% 112.72% 102.52% 91.44% 79.19% Of Coal

300 m Drivage Impact over Fin IRR at 100% Capacity Utilisation Variable Parameter 0% 5% 10% 15% 20% 25% Increase in Capital 132.11% 128.25% 124.63% 121.24% 118.04% 115.03% Increase in Operating 132.11% 127.45% 122.68% 117.79% 112.75% 107.56% Cost Decrease in Capacity 132.11% 126.97% 121.64% 116.13% 110.41% 104.45% Decrease in Selling Price 132.11% 123.27% 113.89% 103.84% 92.95% 80.97% Of Coal

6.0 LIST OF DRAWINGS :

1. Location Plan: ...... [Plate - __ ] 2. Geological Plan: ...... [Plate - __ ] 3. Surface Plan: ...... [Plate - __ ] 4. Lithologs of Representative Boreholes: ...... [Plate - __ ] 5. Floor Contour Plan(s) of the seam(s) concerned: ...... [Plate - __ ] 6. Seam Folio Plan(s) of the seam(s) concerned: ...... [Plate - __ ]

7 SCOPE OF WORK, TIME SCHEDULE AND FORMS OF PRICE BID

7.1SCOPE OF WORK Winning coal without blasting from the Mines of ECL(Nimcha & Sripur) by deploying Highwall mining Technology on hiring basis inclusive of: a) Scientific study for obtaining DGMS permission for the introduction of Highwall mining Technology in the above mines and strata monitoring as required by DGMS. b)To prepare Bench/Trench for deployment of Highwall mining Technology including transportation of OB/Coal extracted from the above works of Bench/Trench preparation.The scope of work shall include all the obligations covered in the various parts of the Tender document such as NIT, Instruction to Bidders, Conditions of contract. The scope of work shall also include the followings: 7.1.1The successful bidder is to deploy, operate and maintain the Highwall mining Technology in Nimcha & Sripur mine of Satgram area & Sripur Area of ECL to produce the minimum guaranteed production of coal as given below against each production year & transport coal from face to the designated site .

The successful bidder is required to commence coal production within 12 months from the date of obtaining DGMS approval after issuance of Letter of Acceptance and signing of agreement.

1st Production Year 0.30MTY 2nd Production Year 0.50MTY 3rd Production Year 0.50MTY 4th Production Year 0.50MTY 5th Production Year 0.50MTY 6th Production Year 0.40MTY Total of 2.70MT 7.1.2The successful bidder shall get conducted scientific study for obtaining DGMS permission for deployment of Highwall mining Technology in the above mine and strata monitoring required by DGMS. 7.1.3The successful bidder shall design, engineer, finance, procure, install, operate and maintain the entire Highwall mining Technology and associated equipment to ensure extraction of coal of pre-determined quality for the specified duration for ECL. 7.1.4The successful bidder shall deploy proven model of equipment. The successful bidder shall procure all kinds of spares and consumables required to operate Highwall mining Technology and associated equipment during the contract period. 7.1.5Approval of equipment: For equipment and machinery and goods to be supplied under the contract which require permission and/or by Director General of Mines Safety (DGMS), Dhanbad, India for use in coal mines, such required permission and 62

approvals shall be obtained by the successful bidder at his own cost. Any addition /alteration suggested by DGMS while approving the equipment, to be undertaken by the successful bidder and cost of such addition / alteration on the equipment shall be borne by him. 7.1.6The successful bidder should ensure for the maximum recovery of coal without violating any provisions of Coal Mine related Acts and Laws and safety. 7.1.7The successful bidder shall plan, design and develop the web pillar and entries. The successful bidder shall prepare Annual operation Plan incorporating month-wise coal production. Implementation of the above operational plan shall be implemented only after approval of ECL. Any change in Annual Operational Plan, during course of implementation, shall be effected only with competent approval of ECL. 7.1.8The successful bidder shall procure, install and maintain of all the facilities required within the Designated Mining site. This will include communication, lighting, pumping, loading and transport of coal/OB up to Designated site, power supply, water, required material. Dust control measures are to be undertaken by the successful bidder. 7.1.9Pumping water from the active working faces to the nearest sump would be the responsibility of the Successful bidder. 7.1.10All activities related to production within the Designated mining Area shall be the responsibility of the successful bidder. 7.1.11The successful bidder shall arrange 100% financing of proposed work. 7.1.12 The successful bidder will deploy adequate no. of skill manpower for carrying of all the activities as per the bidder scope of work.

7.2 OBLIGATIONS OF OWNER During the Contract period, ECL would provide the following facilities. 7.2.1 ECL shall make the Mine Site available to the Successful bidder and shall carry out the Management of the mine as per all statutes and laws, including but not limited to Coal Mines Act, Regulations, Rules, and other statutes and laws applicable to coal mines in India. 7.2.2 ECL will provide sites for dumping of OB and Stock Yard for Coal. 7.2.3 ECL will provide electrical power on chargeable basis at a single point through separate meter. Distribution of power within the designated mining area and supply of required transwitch unit, switchgears, cables, cable couplers etc shall be the Contractor’s responsibility. A schematic layout diagram for power supply, including likely power consumption and proposed earthing system equipment wise shall be furnished by the Contractor.The cost of electricity on actual as per prevailing rate shall be deducted from the monthly running bill of the Contractor. The present rate of electricity is Rs……….per KWH (Energy Cost) and Rs.……… per KVA (Demand Charge).

7.2.4 ECL shall provide water of required quality, quantity and pressure near Designated Mining Site. Conveying of the water to the machines and pumping out water from the face to the sump shall be responsibility of Contractor. Pumping out of the water from the mining area to the sump/drainage system shall also be the responsibility of successful bidder . 7.2.5Contractor shall make appropriate arrangement for proper storage of consumables, spares and assemblies etc. ECL shall provide suitable space to Contractor for construction of the store during the contract period only. 7.2.6ECL will provide the existing available workshop facilities for carrying out repair & maintenance of Contractor's equipment. Provision of any additional workshop machinery specifically required for repair and maintenance of Contractor's equipment shall be the sole responsibility of Contractor. 7.2.8ECL shall provide suitable accommodation on chargeable basis, if available, for use by Contractor. However, ECL shall provide sufficient land for construction (at the cost of Contractor) of temporary accommodations for Contractor's personnel. 7.2.9ECL shall provide local medical facility on chargeable basis as per the prevailing standard norms of ECL for personnel of non-entitled class. 7.2.10ECL shall provide manpower for statutory supervision of designated mining area.

PART - II (Price Bid)

(To be submitted in sealed cover)

1. NIT NO. ……………………… Date: ………

2. Name & Address of Tenderer :

3. Ownership status to Tenderer : 4. Name of Person/Official (with - : designation) authorized to submit price bid. 5. Amount of Earnest Money Deposit :

6. Date of Opening of Tender (Part I) : (As per Tender notice) 7. minimum guaranteed production:

1st Production Year 0.30MTY 2nd Production Year 0.50MTY 3rd Production Year 0.50MTY 4th Production Year 0.50MTY 5th Production Year 0.50MTY 6th Production Year 0.40MTY Total of 2.70MT

Specific price per tonne of coal production (Rs./Tonne) : ………………..

(in words) …………………………………………………………

(Signature of Tenderer with seal)

Date------

8 FORMATS

8.1 BANK GUARANTEE PROFORMA FOR EARNEST MONEY DEPOSIT/ BID SECURITY

(TO BE STAMPED IN ACCORDANCE WITH STAMP ACT )

(TO BE ISSUED BY ANY SCHEDULED BANK AUTHORISED BY RBI TO ISSUE A BANK GUARANTEE)

To: <………………………..> Limited, ……………………………………. …………………………………….

WHEREAS ______[name and address of Bidder] (hereinafter called “the Bidder”) shall be submitting its Bid dated ______[bid submission date] for the work. ______[name of the work] & NIT No.______(hereinafter called “the Bid”).

KNOW ALL MEN by these present that we, ______[name of the bank] of ______[name of the country] ______having our registered office at ...... [address of the bank] (hereinafter called “the bank”), are bound unto the <……………………. Limited>, <……address ………………………> (hereinafter called “the Employer”) for the sum of ...... [amount of the Guarantee in words and figures] for which payment well and truly to be made to the said Employer the Bank binds itself, his successors and assigns by these presents.

SEALED with the Seal of the said bank this ______day of ______20___.

We, ______[name of the bank] undertake to pay to the Employer up to the above amount upon receipt of its first written demand, without the Employer having to substantiate its demand. The employer has to only mention that the amount claimed by it is due to the occurrence of any one or both the conditions mentioned in 1 and 2, given hereafter, specifying the occurred condition or conditions. 66

THE CONDITIONS of this obligation are:

1. If the Bidder withdraws its Bid during the period of Bid Validity specified by the Employer on the bid form .

2. If the Bidder withdraws, having been notified of the acceptance of its bid by the Employer during the period of Bid Validity ,

a) by failing or refusing to execute the Contract Agreement when required or b) by failing or refusing to furnish the Performance Security in accordance with the Bid conditions.

This guarantee will remain in full force up to and including the date ______and any demand in respect thereof should reach the Bank not later than the date of expiry of this guarantee.

For and on behalf of the Bank.

Signature ______

Name ______

Designation ______

Seal of Bank ______

Under jurisdiction of <…………..> court only.

8.2 BANK GUARANTEE PROFORMA FOR SECURITY DEPOSIT / PERFORMANCE GUARANTEE

(TO BE STAMPED IN ACCORDANCE WITH STAMP ACT) (TO BE ISSUED BY ANY NATIONALISED / SCHEDULED BANK AUTHORISED BY RBI TO ISSUE A BANK GUARANTEE )

To: <…………………………….> Limited, …………………………………………

In consideration of the <……………. Limited>, having its Registered office at <…………… …………….> (hereinafter called to as the “Employer” which expression shall unless repugnant to the context or meaning thereof, include all successors, administrators and assigns) having awarded to ______[Name & Address of the Contractor] (hereinafter called to as “Contractor” which expression shall unless repugnant to the context of meaning thereof include its successors, administrators, executors and assigns) the work ______[Name of the Work] by issue of Letter of Award No. ______[Work Order/Letter of Intent No.] and the same having been unequivocally accepted by the Contractor resulting to enter into a Contract Agreement valued ______[value of Work Order] (hereinafter called ‘the Contract’) and the Employer having agreed to accept Performance Bank Guarantee of ___ [indicate figure]% of the Contract price ______[amount in figures and words) from a Nationalised /Scheduled Bank for due performance of the work executed by the Contractor as per the terms & conditions contained in the said Contract We, ______[name of the Bank], of ______[address of the Bank] (hereinafter called to as “Bank” which expression shall unless repugnant to the context or meaning thereof, include its successors, administrators, executors and assigns) do hereby guarantee and undertake to pay the Employer immediately on demand and or, all money payable by the Contractor to the extent of ______[amount of guarantee in figures and words ], at any time from ______to ______without any demur, reservation, recourse, contest or protest and/or without any reference to the Contractor. Any

such demand made by the Employer on the Bank shall be conclusive and binding notwithstanding any difference between the Employer and the Contractor or any dispute pending before any Court, Tribunal, Arbitrator or any other authority. We agree that the Guarantee herein contained shall be irrecoverable and shall continue to be enforceable as per the terms & conditions contained in the said Contract.

The Employer shall have the fullest liberty without affecting in any way the liability of the Bank under this Guarantee, from time to time, to extend the validity of time of Performance of the Contract by the Contractor. The Employer shall have the fullest liberty without affecting this Guarantee, to postpone, from time to time, the exercise of any powers vested in them or of any right which they might have against the Contractor, and to exercise the same at any time in any manner, and either to enforce or to forebear or to enforce any covenants contained or implied in the Contract, between the Employer and the Contractor or any other course or remedy or security available to the Employer. The Bank shall not be released of its obligations under these presents by any exercise by the Employer of its liberty with reference to matter aforesaid or any of them or by reason of any other act of forbearance or other acts of omission or commission on the part of the Employer or any other indulgence shown by the Employer or by any other matter or thing whatsoever which under law would, but for this provision, have the effect of relieving the Bank. The Bank also agrees that the Employer at its option shall be entitled to enforce this Guarantee against the Bank as a Principal Debtor in first instance, without proceeding against the Contractor and notwithstanding any security or other Guarantee that the Employer may have in relation to the Contractor’s liabilities.

Dated this ______day of ______, 20___ at ______

For and on behalf of the Bank. Signature ______Name ______Designation ______Seal of Bank ______Under jurisdiction of <…………..> court only. 69

8.3 FORMAT FOR CONTRACT AGREEMENT (On Non- Judicial Stamp Paper)

Agreement No. Dated:

THIS AGREEMENT made on this ______day of ______20__ between <………………….. Limited>, a Subsidiary of Coal India Limited, Govt. of India Undertaking, an Employer registered under the Indian Companies Act. 1956 with its registered office at <…………………………> and (hereinafter referred to as the Employer which expression where the context so admit shall include its successors in interest and assign) of the one Part and ______(hereinafter referred to as “the Contractor” which expression where the context so admit shall include its heirs, executors, administrators legal representatives, successors in business and assign) of the other part.

WHEREAS, the Employer invited bid for the Work “______” and the bid of the Contractor has been accepted by the Employer vide their Letter No ______dt. ______for a Contract price of ______[in figure & words]

WHEREAS the Contractor has agreed to execute the works on the terms & conditions as stipulated in the Bid and subsequent amendments thereto for a Contract price of ______[Contract price in figure & words] for successful completion of the work.

NOW THIS AGREEMENT WITNESSETH AND IT IS HEREBY AGREED AS FOLLOWS:

1. In pursuance of the Agreement aforesaid and in consideration for the payment of the Contract price of ______[in figure & words] in accordance with the terms & conditions of this contract and/or such sum as may be payable to the Contractor, the Contractor shall upon and subject to the said terms & conditions execute and complete the work as described in the ‘Scope of work’.

2. The parties hereto shall respectively and faithfully abide by and submit themselves to the terms & conditions and stipulations contained in this agreement and perform and discharge their part of contract accordingly.

3. This final agreement has been arrived at between the parties after due consideration of the correspondences, documents, meetings and negotiations held from time to time. The following documents shall constitute the Contract between the Employer and the Contractor. And each shall be read and construed as an integral part of the Contract

Part Description of Documents 01 Articles of Agreements,

02 Notice Inviting Tender, Addendum (if any), Offer and

various clarification furnished by the successful bidder

03 Letter of Acceptance

04 Scope of Work

05 Conditions of contract,

06 Special Terms and Condition

07 Price/Rate and Price Variation

08 Technical Specification of Equipment.

09 Other Documents

a. Time Schedule

b. List of equipment to be deployed

c. List of Manpower to be deployed

d. Designated Mining Area

e. Integrity Pact

4. The Contract shall be executed within the purview of the Indian Laws.

In witness whereof the parties hereto have hereunder affixed their signatures at <……………> on the day, month and year written as above.

SIGNED, SEALED AND DELIVERED

Signed on behalf of the Contractor Signed on behalf of the Employer

Designation Designation

In the presence of :

WITNESS - 1 WITNESS - 2

(Signature) (Signature)

(Name in Block Letters) (Name in Block Letters)

Official Address: Official Address:

8.4 PROFORMA FOR INTEGRITY PACT Integrity Pact

Between

Eastern Coalfields Limited (ECL ) hereinafter referred to as “ The Principal”

And

…………………………………hereinafter referred to as “ The Bidder/Contractor”

PRE CONTRACT INTEGRITY PACT

General

This pre-bid pre-contract Agreement (hereinafter called the Integrity Pact) is made on…………….day of the month of ………….20…, between, on one hand, Eastern Coalfields Limited acting through Shri …………………….., Designation of the officer, (hereinafter called the “BUYER”, which expression shall mean and include, unless the context otherwise requires, his successors in office and assigns) of the First Part and M/s. …………………………..represented by Shri………………, Chief Executive Officer (hereinafter called the “BIDDER/Seller” which expression shall mean and include, unless the context otherwise requires, his successors and permitted assigns) of the Second Part.

WHEREAS the BUYER proposes to procure ………………………………….(Name of the Stores/Equipment/Item) and the BIDDER/Seller is willing to offer/has offered the stores and

WHEREAS the BIDDER is a private company/public company/Government undertaking/partnership/registered export agency, constituted in accordance with the relevant law in the matter and the BUYER is a Central Public Sector Unit.

NOW, THEREFORE,

To avoid all forms of corruption by following a system that is fair, transparent and free from any influence/prejudiced dealings prior to, during and subsequent to the currency of the contract to be entered into with a view to :-

Enabling the BUYER to obtain the desired said stores/equipment at a competitive price in conformity with the defined specifications by avoiding the high cost and the distortionary impact of corruption on public procurement, and

Enabling BIDDERs to abstain from bribing or indulging in any corrupt practice in order to secure the contract by providing assurance to them that their competitors will also abstain from bribing and other corrupt practices and the BUYER will commit to prevent corruption, in any form, by its officials by following transparent procedures.

The parties hereto hereby agree to enter into this Integrity Pact and agree as follows :

Commitments of the BUYER

• The BUYER undertakes that no official of the BUYER, connected directly or indirectly with the contract, will demand, take a promise for or accept, directly or through intermediaries, any bribe, consideration, gift, reward, favour or any material or immaterial benefit or any other advantage from the BIDDER, either for themselves or for any person, organization or third party related to the contract in exchange for an advantage in the bidding process, bid evaluation, contracting or implementation process related to the contract.

• The BUYER will, during the pre-contract stage, treat all BIDDERs alike and will provide to all BIDDERs the same information and will no provide any such information to any particular BIDDER which could afford an advantage to that particular BIDDER in comparison to other BIDDERs.

• All the officials of the BUYER will report to the appropriate Government office any attempted or completed breaches of the above commitments as well as any substantial suspicion of such a breach.

2. In case any such preceding misconduct on the part of such official(s) is reported by the BIDDER to the BUYER with full and verifiable facts and the same is prima facie found to be correct by the BUYER, necessary disciplinary proceedings, or any other action as deemed fit, including criminal proceedings may be initiated by the BUYER and such a person shall be debarred from further dealings related to the contract process. In such a case while an enquiry is being conducted by the BUYER the proceedings under the contract would not be stalled.

Commitments of BIDDERs

3. The BIDDER commits itself to take all measures necessary to prevent corrupt practices, unfair means and illegal activities during any stage of its bid or during any pre-contract or post-contract stage in order to secure the contract or in furtherance to secure it and in particular commit itself to the following :-

3.1 The BIDDER will not offer, directly or through intermediaries, any bribe, gift, consideration, reward, favour, any material or immaterial benefit or other advantage, commission, fees, brokerage or inducement to any official of the BUYER, connected directly or indirectly with the bidding process, or to any person, organization or third party related to the contract in exchange for any advantage in the bidding, evaluation, contracting and implementation of the contract.

3.2 The BIDDER further undertakes that it has not given, offered or promised to give, directly or indirectly any bribe, gift, consideration, reward, favour, any material or immaterial benefit or other advantage, commission, fees, brokerage or inducement to any official of the BUYER or otherwise in procuring the Contract or forbearing to do or having done any act in relation to the obtaining or execution of the contract or any other contract with the Government for showing or forbearing to show favour or disfavour to any person in relation to the contract or any other contract with the Government.

3.3* BIDDERs shall disclose the name and address of agents and representatives and Indian BIDDERs shall disclose their foreign principals or associates.

3.4* BIDDERs shall disclose the payments to be made by them to agents/brokers or any other intermediary, in connection with this bid / contract.

3.5* The BIDDER further confirms and declares to the BUYER that the BIDDER is the original manufacturer/integrator/authorized government sponsored export entity of the defence stores and has not engaged any individual or firm or company whether Indian or foreign to intercede, facilitate or in any way to recommend to the BUYER or any of its functionaries, whether officially or unofficially to the award of the contract to the BIDDER, nor has any amount been paid, promised or intended to be paid to any such individual, firm or company in respect of any such intercession, facilitation or recommendation.

3.6 The BIDDER, either while presenting the bid or during pre-contract negotiations or before signing the contract, shall disclose any payments he has made, is committed to or intends to make to officials of the BUYER or their family members, brokers or any other intermediaries in connection with the contract and the details of services agreed upon for such payments.

3.7 The BIDDER will not collude with other parties interested in the contract to impair the transparency, fairness and progress of the bidding process, bid evaluation, contracting and implementation of the contract.

3.8 The BIDDER will not accept any advantage in exchange for any corrupt practice, unfair means and illegal activities.

3.9 The BIDDER shall not use improperly, for purposes of competition or personal gain, or pass on to others, any information provided by the BUYER as part of the business relationship, regarding plans, technical proposals and business details, including information contained in any electronic data carrier. The BIDDER also undertakes to exercise due and adequate care lest any such information is divulged.

3.10 The BIDDER commits to refrain from giving any complaint directly or through any other manner without supporting it with full and verifiable facts.

3.11 The BIDDER shall not instigate or cause to instigate any third person to commit any of the actions mentioned above.

3.12 If the BIDDER or any employee of the BIDDER or any person acting on behalf of the BIDDER, either directly or indirectly, is a relative of any of the officers of the BUYER, or alternatively, if any relative of an officer of the BUYER has financial interest/stake in the BIDDER’s firm, the same shall be disclosed by the BIDDER at the time off filing of tender.

The term ‘relative’ for this purpose would be as defined in Section 6 of the Companies Act 1956.

3.13 The BIDDER shall not lend to or borrow any money from or enter into any monetary dealings or transactions, directly or indirectly, with any employee of the BUYER.

4. Previous Transgression

4.1 The BIDDER declares that no previous transgression occurred in the last three years immediately before signing of this Integrity Pact, with any other company in any country in respect of any corrupt practices envisaged hereunder or with any Public Sector Enterprise in India or any Government Department in India that could justify BIDDER’s exclusion from the tender process. 4.2 The BIDDER agrees that if it makes incorrect statement on this subject, BIDDER can be disqualified from the tender process or the contract, if already awarded, can be terminated for such reason.

5. Sanctions for Violations

5.1 Any breach of the aforesaid provisions by the BIDDER or any one employed by it or acting on its behalf (whether with or without the knowledge of the BIDDER) shall entitle the BUYER to take all or any one of the following actions, wherever required: i) To immediately call off the pre contract negotiations without assigning any reason or giving any compensation to the BIDDER. However, the proceedings with the other BIDDER(s) would continue. ii) The Earnest Money Deposit (in pre-contract stage) and/or Security Deposit/Performance Bond (after the contract is signed) shall stand forfeited either fully or partially, as decided by the BUYER and the BUYER shall not be required to assign any reason therefore. iii) To immediately cancel the contract, if already signed, without giving any compensation to the BIDDER. iv) To recover all sums already paid by the BUYER, and in case of an Indian BIDDER with interest thereon at 2% higher than the prevailing Prime Lending Rate of State Bank of India, while in case of a BIDDER from a county other than India with interest thereon at 2% higher than the LIBOR. If any outstanding payment is due to the BIDDER from the BUYER in connection with any other contract for any other stores, such outstanding payment could also be utilized to recover the aforesaid sum and interest. 76

v) To encash the advance bank guarantee and performance bond/warranty bond, if furnished by the BIDDER, in order to recover the payments, already made by the BUYER, along with interest. vi) To cancel all or any other Contracts with the BIDDER. The BIDDER shall be liable to pay compensation for any loss or damage to the BUYER resulting from such cancellation/rescission and the BUYER shall be entitled to deduct the amount so payable from the money(s) due to the BIDDER.

vii) To debar the BIDDER from participating in future bidding processes of the Government of India for a minimum period of five years, which may be further extended at the discretion of the BUYER.

Viii) To recover all sums paid in violation of this Pact by BIDDER(s) to any middleman or agent or broker with a view to securing the contract.

ix) In cases where irrevocable Letters of Credit have been received in respect of any contract signed by the BUYER with the BIDDER, the same shall not be opened.

x) Forfeiture of Performance Bond in case of a decision by the BUYER to forfeit the same without assigning any reason for imposing sanction for violation of this Pact.

5.2 The BUYER will be entitled to take all or any of the actions mentioned at para 6.1(i) to (x) of this Pact also on the Commission by the BIDDER or any one employed by it or acting on its behalf (whether with or without the knowledge of the BIDDER), of an offence as defined in Chapter IX of the Indian Penal code, 1860 or Prevention of Corruption Act, 1988 or any other statute enacted for prevention of corruption.

5.3 The decision of the BUYER to the effect that a breach of the provisions of this Pact has been committed by the BIDDER shall be final and conclusive on the BIDDER. However, the BIDDER can approach the Independent Monitor(s) appointed for the purposes of this Pact.

6. Independent Monitors

6.1 The BUYER has appointed Independent Monitors (hereinafter referred to as Monitors) for this Pact in consultation with the Central Vigilance Commission (Names and Addresses of the Monitors as given in the Tender document).

6.2 The task of the Monitors shall be to review independently and objectively, whether and to what extent the parties comply with the obligations under this Pact.

6.3 The Monitors shall not be subject to instructions by the representatives of the parties and perform their functions neutrally and independently.

6.4 Both the parties accept that the Monitors have the right to access all the documents relating to the project/procurement, including minutes of meetings.

6.5 As soon as the Monitor notices, or has reason to believe, a violation of this Pact, he will so inform the Authority designated by the BUYER. 6.6 The BIDDER(s) accepts that the Monitor has the right to access without restriction to all Project documentation of the BUYER including that provided by the BIDDER. The BIDDER will also grant the Monitor, upon his request and demonstration of a valid interest, unrestricted and unconditional access to hisproject documentation. The same is applicable to Subcontractors. The Monitor shall be under contractual obligation to treat the information and documents of the BIDDER/Subcontractor(s) with confidentially

6.7 The BUYER will provide to the Monitor sufficient information about all meetings among the parties related to the Project provided such meetings could have an impact on the contractual relations between the parties. The parties will offer to the Monitor the option to participate in such meetings.

6.8 The Monitor will submit a written report to the designated Authority of BUYER within 8 to 10 weeks from the date of reference or intimation to him by the BUYER/BIDDER and, should the occasion arise, submit proposals for correcting problematic situations.

7 Facilitation of Investigation

In case of any allegation of violation of any provisions of this Pact or payment of commission, the BUYER or its agencies shall be entitled to examine all the documents including the Books of Accounts of the BIDDER and the BIDDER shall provide necessary information and documents in English and shall extend all possible help for the purpose of such examination.

8 Law and Place of Jurisdiction

This Pact is subject to Indian Law. The place of performance and jurisdiction is the seat of the BUYER.

9 Other Legal Actions.

The actions stipulated in this Integrity Pact are without prejudice to any other legal action that may follow in accordance with the provisions of the extant law in force relating to any civil or criminal proceedings.

10 Validity

10.1 The validity of this Integrity Pact shall be from date of its signing and extend upto 5 years or the complete execution of the contract to the satisfaction of both the BUYER and the BIDDER/Seller, including warranty period, whichever is later. In case, BIDDER is unsuccessful, this Integrity Pact shall expire after six months from the date of the signing of the contract.

10.2 Should one or several provisions of this Pact turn out to be invalid, the remainder of this Pact shall remain valid. In this case, the parties will strive to come to an agreement to their original intentions.

11 The parties hereby sign this Integrity Pact at………………………on…………..

BUYER BIDDER Name of the Officer CHIEF EXECUTIVE OFFICER Designation Eastern Coalfields Limited.

Witness Witness 1………………………………….. 1………………………………….. 2………………………………….. 2………………………………….. The bidders are required to sign the integrity pact as per format given in the Document Part-I.

Name , address and contact No. of the Independent External Monitor :-

Sl.No. Name of IEM & e-mail ID Address 1. Sri J.N.Mishra, IAS (Retd.) 2/77, Vijay Khand, Gomti Nagar, e-mail: [email protected] Lucknow-226010 Mobile : 09452775435 : 08009007744 2. Sri Rakesh Jaruhar. Sector-B/9, Flat No. 6457, Vasant Kunj, New e-mail: [email protected] Delhi-110070