The Singareni Collieries Company Limited (A Government Company)

Registered Office: Kothagudem Collieries – 507 101

“EXPRESSION OF INTEREST (EOI)”

to work as

Mine Developer cum Operator for developing and operating Naini Coal Block located in Angul District, Odisha State belonging to SCCL on long term basis

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The Singareni Collieries Company Ltd. (SCCL) is the oldest Govt. Mining Company in the country having a history of 127 years in coal mining. The company produced 52.50 MT of coal in the year 2014-15 and is a profit making and dividend paying company. The company has strengths in modern coal mining technologies in Opencast and Underground Mines, usage of IT, explosives manufacturing and is very shortly commencing 2X600 MW power plant. SCCL has been allotted Naini Coal Block in Angul district of Odisha State for opencast mining with a proposed capacity of 10 MTPA (with indicative stripping ratio of 1:3 tonne/BCM). SCCL would like to exploit such block on long term basis through appointment of a Mine Developer cum Operator. The indicative scope of work will include but not limited to land acquisition (including forest land), R&R, Exploration including Geological Report (GR) preparation, Mining Plan (MP) preparation and approval, preparation and approval of EIA/EMP, procurement of Environmental and Forest Clearances, Coal Washery Operation, OB and coal removal with equipment such as Shovel-Dumper combination, Deployment of Surface Miner for selective coal extraction or any other method of technology and Infrastructure Development (Civil works like, construction of roads and buildings, Workshops, Coal Washery, Coal Handling Plant, Laying of Power lines, Irrigation canals & Railway siding, Water and Sewage treatment plants, etc.), and compliance with all applicable regulatory and statutory provisions.

SCCL invites EOI from firms registered under Indian Laws which have experience of coal/iron ore/limestone mining along with project development experience in India or abroad.

Interested firms may furnish their EOI along with documents supporting their experience and credentials. Information of participation and a copy of proposal may be sent by E-Mail along with suggestions/clarifications if any to reach by 25th January 2016 to the address mentioned below:

General Manager Contract Management Cell The Singareni Collieries Company Ltd., PO: Kothagudem– 507 101 Khammam Dist. Telangana State - India. Tel. No. 08744-243665 Fax No. 08744-245651 Email ID : gmcmc_pd_crp@scclmines.com

Firms shall give a presentation to the Management with regard to the plan of action in relation to the Scope of work in the proposed Vendor Meet at 11.00 AM on 29.01.2016 at Hyderabad. SCCL is not bound contractually or in any other way to any Proponent to this Expression of Interest. SCCL is not liable for any costs or compensation in relation to the this Expression of Interest by the Proponents whether or not SCCL terminates, varies, or suspends the Expression of Interest process or takes any other action with regard to proposed development of Naini Coal Block.

A copy of the notification can be seen on our website www.scclmines.com. General Manager

Contract Management.

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Scope of work

I. SCOPE OF WORK/RESPONSIBILITY OF MDO/ MINE DEVELOPER - CUM - OPERATOR (MDO) The MDO shall perform its role in accordance with the provisions of the Mining Contract, to be issued subsequently. Broadly, the scope of work would include the following:

1. As per the allocation of the Mine by MoC, Naini Coal Mine comprises 912 Ha of land (743 Ha of FL & 169Ha of Non- Forest land). The Mine is having approximately 450 MT of Geological reserves.

2. The MDO shall obtain all pre developmental clearances from the Green Field Status, undertake the development and operation of the mine for a period as envisaged under the terms of the Bid Document and Coal Mining Services Agreement .

3. The MDO shall obtain various permissions like Notification under CBA Act,1957, Permission for drilling in Forest Land and Non forest land , all pre - development clearances such as Forest Clearance/approval, Environmental Clearance, land acquisition, R&R from respective authorities, local body including power supply at Project site, nallah diversions & road diversions as required.

4. The MDO shall prepare a time-bound Action Plan for commencement of coal production and attainment of the peak rated capacity in the shortest possible time. He shall promptly obtain all required approvals from various government authorities, including but not limited to Ministry of Coal, Ministry of Environment and Forest and Climate Change, Directorate General of Mines Safety, Coal Controller’s Organization, Regional Controller of Explosives, State Pollution Control Board, District Administration, Railway Authorities, Electrical Authorities, Irrigatiation department and such other agencies whose approvals are mandatory for mine development and operation. SCCL will facilitate by submitting the required Applications and the responsibility to get all clearances will be with the MDO.

5. MDO shall design, Procure, Commission, Operate & Maintain all related infrastructure facilities like Railway Siding, Plant & Equipment ,CHP, Coal Washery, Workshop, Electrical Substations along with Power distribution system, Explosive Storage Magazine, Storage of Diesel and Lubricants Pumping arrangements, haul road maintenance etc. MDO shall also be responsible for operation & maintenance of Railway Sidings etc.

6. MDO shall design, Operate and maintain the mine at the rated production capacity of 10 MTPA for extraction of total Geological reserves of 450 MT (with Avg. Stripping Ratio 1:3 ) and to ensure a regular supply of contracted quantity & specified quality and size of coal at the Delivery Point.

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7. The Scope shall include excavation of various rocks/earth cutting, loading, transportation, dumping, dozing, back filing and leveling of OB at pre-designated dump sites, to ensure progressive mine closure plan, handling including reclamation, commensurate to the agreed quantity of Monthly/Quarterly/Annual Plans, maintaining a proper mine geometry and bench profile as per the approved Mining Plan. MDO shall own & maintain a fleet of HEMM(Excavators, Dumpers, Loaders, Surface miners & all other ancillary equipment) of adequate size and numbers as per the approved Mining Plan in good working condition for achieving the Objective throughout the Contract period.

8. The MDO shall be required to abide by all statutory & safety rules/ regulations /Circulars/Code of practices and laws as applicable from time to time including but not limited to those related to Government licenses, Workmen Compensation, Insurance, Safety, Security etc.MDO shall necessarily follow all safety regulations as prescribed in law and as per prudent commercial and industrial practice.

9. It will be the sole responsibility of the MDO to provide proper accommodation at suitable location for his personnel engaged who are qualified as per the norms / Rules in the Mining operation at his own cost. MDO shall impart necessary training for skill development of the personnel engaged at his cost. SCCL will not provide land or any other facility for this purpose.

II. SCOPE OF WORK FOR DETAILED EXPLORATION & DRILLING II.A Basic and Technical Information:

1. Notification:

All Notifications/permissions required under CBA Act 1957.

2. Permission for drilling :

Permission for drilling in forest land falling in Coal Block area from MOEF & CC & CC&CC through Forest Department, Govt. of Odisha.

3. Carrying out detailed Drilling in forest and non forest land and submission of Geological report/Geo-model in mines:

3a. Core Drilling, Detailed Geological Mapping and Topographical Survey

i. Vertical Coring & Non-core drilling (diamond core drilling HQ/NQ/ size only and non-core drilling in 96mm size).

ii. Total drilling metreage: 27000 metres (+/-20%), Coring-18,000m & Non coring-9000m, as per priorities fixed by SCCL.

iii. Detailed drill core logging (Litho logical characteristics, structural features, geotechnical properties, Rock Quality Designation (RQD).

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iv. Sampling, Packing and Transportation of coal cores and representative Physico-mechanical test samples to laboratories for analysis

v. Sealing/plugging of boreholes,

vi. Detailed geological Mapping on 1:4000/5000 scale including out crops of different litho logical units/coal seams, structural details etc.

vii. Topographical survey on 1:4000/5000 scale including survey of surface features, boreholes and determination of Reduced Level (RL) of current boreholes and contouring at 1.00 metre interval

3.b Geophysical Logging:

All boreholes to be Geophysically logged. The firm should deploy dedicated logging units. The multi-parametric geophysical logging has to include

NEUTRON, DENSITY, GAMMA RAY, RESISTIVITY, SINGLE POINT RESISTANCE, CALIPER and DEVIATION.

3.c Coal Analysis

Carrying out the following laboratory tests in a reputed accredited/ ISO certified laboratory.

1. Proximate Analysis

i. Band By Band Samples (As Received Basis)

ii. Sectional/ Overall Analysis on 60% RH at 400 (Moisture, Ash, VM & FC) and Gross Calorific Value

2. Special Test for 4-5 boreholes spread over entire block.

i. Total & Distribution of Sulphur

ii. Ultimate Analysis

iii. Ash Analysis iv. Ash Fusion Temperature Range v. Hard Groove Index (HGI) vi. Crossing and ignition point temperatures.

3.d Physico-Mechanical Tests

Sampling and packing of non-coal and coal core samples from 4 -5 representative boreholes covering roof, floor and all seams, transportation and carrying out the following Physico- mechanical tests in a reputed accredited/ ISO certified laboratory/ and incorporation of the test report in the GR.

(i)RQD (ii) Density (iii) Porosity (iv) Compressive Strength (v) Tensile

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Strength (vi) Cohesion (vii) Angle of internal friction (viii) Young’s modulus of elasticity (ix) Point load test (x) Slake durability test

3.e Geological Modeling

Geological Block modelling/Grid modelling with Minex Software including all available Geological and Geophysical data of the block and submission of soft copy of the geological modelling report of the block.

3.f Preparation and submission of Geological Report

Preparation and submission of Interim Geological Note (IGN)-2 copies, Draft Geological Report (DGR) - 1 copy and Final Geological Report (FGR) -10 copies with one soft electronic copy in editable format of text, annexure and plates in AutoCAD format.

3.g Previous Exploration

50 boreholes by CMPDI during 1991-98 and 8 boreholes by GSI during 1981-1990 were drilled. The western part of the block is explored in detail and eastern part is regionally explored.

II.B Conditions for Detailed Drilling & GR preparation:

i. The successful MDO/ Mine Developer(MD) shall provide its own machinery, equipment, personnel and take up the physical execution of the work and complete the same.

ii. The successful MDO/ Mine Developer (MD) shall make its own arrangement for accommodation/site office, site preparation, providing water supply for drilling, power, lighting etc. at drill site.

iii. The successful MDO/ Mine Developer(MD) will make its own arrangement for availability of land, clear entry, exit and transit to and from place of work, connected with the exploration work.

iv. The successful MDO/ Mine Developer(MD) shall undertake Geological mapping on 1:4000/5000 scale, Carryout Survey and Preparation of topographical plan on 1:4000/5000 scale with contouring at 1 meter interval, Fixation of Reduce Level (RL) and coordinates of all current boreholes and incorporation of old boreholes as per coordinates available. Spot levels shall be taken at 50 m interval and also at closer interval wherever abrupt change in ground level is observed. All surface features contours, including control station, boundary pillars, forest area, nala boundary etc shall be shown in topographical maps using conventional symbols adopted in Survey of India maps. All survey shall be in reference to WGS datum and UTM projection. The UTM coordinates of all survey points along with coordinate convention into DMS and coal grid coordinates shall also be given. The available

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coordinates of boundary pillars of the block and the old GSI boreholes shall also be incorporated in the map.

v. The successful MDO/ Mine Developer(MD) shall make all efforts to obtain core recovery of more than 90% in coal and more than 80% in other formation subject to formation condition. In case core recovery is less than 90% in coal horizon and less than 80% in overburden horizon the reason for the same shall be mutually decided and in case the same is agreed to be due to lapses on part of the successful MDO/Mine Developer (MD) , The successful MDO/ Mine Developer (MD) shall undertake re-drilling at no additional expenses to SCCL. Even if in re-drilling desired core recovery is not obtained, SCCL shall take a final view considering nearby borehole data, formation etc about payment for the borehole.

vi. The successful MDO/ Mine Developer(MD) shall log all the boreholes drilled geophysically and incorporate the geophysical and hydro-geological data in exploration report. Copies of geophysical logs shall be supplied to SCCL in both hard copy and a digital copy in CD.

vii. Representatives of SCCL will inspect the drilling sites regularly and the successful MDO/Contractor shall keep all the records of drilling, survey, geological and geophysical works including core samples generated and dispatched to laboratory from each borehole.

viii. The Coal core samples shall be properly packed in moisture proof polythene packs and transported to laboratory for analysis. If required SCCL will carry out check analysis at SCCL laboratory for selected samples for cross checking the analysis carried out by Exploration Agency, for which necessary duplicate samples should be given to SCCL, as and when required.

ix. SCCL shall handover the earlier exploration data to the successful MDO/Contractor in soft copy form for processing and incorporation in the Geological Report.

x. Before the commencement of work, the locations of all the boreholes as well as the entire area to be covered for the studies under scope of work shall deem to have been approved by SCCL and The successful MDO/ Mine Developer(MD) shall carry out the work as per the priority indicated by SCCL.

xi. After completion of drilling and Geophysical logging, boreholes should be property sealed/ plugged. After sealing, the MDO/ Mine Developer(MD) shall construct and erect cement pillars (of 152 X 152 X914 mm) with Borehole Number at the borehole sites at his cost.

xii. The successful MDO/ Mine Developer(MD) shall submit an Interim Geological Report (IGR) – 2 Copies after completion of 50% of the awarded quantum of drilling as per priorities given by SCCL. After completion of works, a Draft Geological Report (DGR) - 1 Copy shall be submitted to SCCL for scrutiny. SCCL shall scrutinize the DGR and furnish its comments/observations within 3 weeks of receipt of the DGR. The successful MDO/ Mine Developer(MD) shall submit the Final Geological Report (FGR) in 10 copies after incorporating the

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suggestions, addition/deletion, indicated by SCCL along with one soft electronic copy in editable format of text, annexure and plates within 30 days.

xiii. SCCL shall arrange to check and certify the completed works periodically & after closing of borehole and the depth of each borehole will be decided mainly based on the geophysical logging depth.

xiv. In case of partnership / JV Company, one of the firms will be a lead partner and other will be Second Partner/associates. The lead partner should have the responsibility of completing the entire work under the scope of work offered.

xv. At least one of the JV/Partner Company should have the previous experience of Core Drilling, Geophysical logging, sampling, geological logging, preparation of Geological Report and / or Geological Modeling either in full or part among the works mentioned.

II.C Delivarables:

1. Monthly progress Report (MPR) in both hard & soft copy in respect of activity completed during each month in the format decided by SCCL, which includes

a)Drilling & Geophysical logging

b)Sampling, Analysis and Survey etc.

2. Concise litho-logs of completed borehole with survey coordinates and RL.

3. Joint Measurement Certificate for drilling and geophysical logging signed by Representative of SCCL and Successful MDO to be submitted for the completed boreholes for every month.

4. Submission of Interim Geological Report (IGR) - 2 Copies, Draft Geological (DGR) - Copy and Final Geological Report (FGR) - 10 Copies with soft copy in CD and GEO Model in Minex Software.

II.D Hydro Geological Study:

1. Scope:

a. Establishing Pump well and observation wells

Drilling of ONE pump well 12 1/4 inches dia.with 8" finished dia) maximum about a depth of 300 mts. depending on the aquifer intersection and drilling of observation wells (finished dia size 4 inches dia) minimum of 2 in Naini coal block. The work includes transportation of equipments, drilling in sedimentary strata of shale/clay or sand or sand stone & coal etc., by first taking a pilot hole of required size, undergoing geophysical logging (for designing well assembly) and then enlarging to required diameter by direct or reverse rotary mud circulation method. Drilling rig, fuel, labour for drilling, bentonite mud and water required for drilling at the site. power supply, welding & cutting unit, temporary shed , supply of IS standard casing

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and screen pipes, graded pebbles for packing the well, cement /clay sealing, lowering the casing pipe and developing the wells through compressor etc are responsibility of the firm.

b. Conducting Pumping Test

Conducting pump test in 8 inches dia casing well with suitable submersible pumps constant/ varying discharge (100 to 300gpm) with head of around 100mts for 36 hours / each discharge and recovery test for 18/24 hours continuously. In case of any major breakdown in pumping test within 24 hours retest has to be carried out.

For the above works manpower for the test (for taking up water level in 3 shift basis on all the wells during pumping test and recovery test), hire charges for pump, diesel generator set, fuel for diesel generator, measuring water level simultaneously continuously in pump well and all the observation wells using water level measurement tapes, site preparation, erection and extraction of pump etc and has to be arranged by firm. 1 inches pipe to be erected with the pump to measure the self-drawdown of pump well.

c. Gauduni Nala

The Gauduni Nala is flowing along the Northern Boundary of Block. The effect of highest flood level of river water is to be studied and analysed on the proposed open-cast workings of the Naini Coal Block. Dangers of flooding, mitigation measures and pumping requirements for safe working of mine are to be recommended. The study shall also include the design and size of safe barrier between mine workings and river.

d. Preparation of Hydro Geological Report

Collection, compiling regional meteorological & Hydrological data, delineation and description of various aquifer zones with the help of borehole lethological cross section and incorporating the data based on the pumping test aquifer parameter estimations like Transmissivity, Storativity, hydraulic conductivity, Leakage factor should be submitted in the form of Hydrological report. Besides, also prepare the quantity of water to be pumped for safe mining. Procurement of aquifer test analysis software (Aquifer test Pro-IV latest version) in the name of SCCL and use this software for the preparation of pumping test field data and analysis report after completion of the report the same licensed software with all pump test details and relevant bill shall be handed over to SCCL.

During pumping test water samples should be collected on 12 hour basis and analysis should be done for anions, cations, TDS, conductivity, PH, Iron as Fe, Silica, Co2, Total alkalinity, Hardness. (Temporary, Permanent,) F, NO3, Mn and should be incorporated in the report.

2. Terms & Conditions:

a. In case pump stops due to poor discharge / heavy drawdown i.e. quality problem, SCCL shall pay for running hours accordingly.

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b. Recovery Rate Test (RRT) will be carried out 70 to 80% recovery of total drawdown

c. Work will be carried out by direct rotary /mud flush drilling rig.

d. Due to uneven aquifer in the area quantity and quality of water cannot be guaranteed assembly during or after lowering of pipe assembly, gravel packing, clay packing, air compressor, yield test job.

III. DGPS SURVEY III.A Scope of Work:

1. Physical survey of block boundary as per the CMPDIL approved coal block plan.

a. Carrying out the Differential Global Positioning System (DGPS) for fixing and collection of coordinates for block boundary & GSI’s boreholes locations.

b. Fixing and measurement of coordinates of boundary i.e 247 points c. Submission of DGPS survey report of block boundary and get it

approved from State Govt. The above works will be carried out by M/s ORSAC.

d. Carrying out Differential Global Positioning System (DGPS) survey as per standard practice in entire Block.

e. Necessary surveys for Preparation of shape file, in hard and soft copy to be kept as an attachment with application for forest clearance and with application for mining lease.

f. Shall erect concrete pillars for boundary points at Naini coal block as fixed by M/s ORSAC.

g. Establishment of concrete pillars of all boundary points fixed i.e 247 points as fixed by M/s ORSAC. Intermediate pillars between the corner pillars not exceeding 100 M shall be marked by survey and pillars constructed.

2. Size and Dimension of the Boundary Pillars and intermediate pillars.

The boundary pillars will be adhered as per the guidelines issued by Indian Bureau of Mines (IBM) vide no 279 (2)/87-Mds.Vol IX dated 31.10.2011.

III.B Methodology and Terms & Conditions:

a. All surveys shall be in reference to World Geodetic System (WGS) datum and Universal Transfer Mercator (UTM) projects. Slope/Grid distance and Azimuth between the stations as well as coordinates in WGS-84 system data sheets need to be produced. GPS traverse rover survey shall be conducted from primary control station which shall be well distributed in the block. Distance between the base station and rover stations is required to be kept properly. For the purpose of height control all the primary control stations shall be connected to Survey of India GTS benchmark if available.

b. DGPS survey shall ensure high accuracy in the positioning of control station within + or - 20 mm in northings and eastings and + or - 50 mm in elevation

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c. A professional qualified surveyor should be appointed to take responsibility of survey control and setting out works and establishing and maintenance of control stations following an approved work methodology.

d. Surveyor shall maintain a field book. All relevant observations shall be noted and field sketches prepared in the field book only. This field book shall form the part of report submission.

e. Photo images of survey locations with instruments, survey diagram of the block, UTM coordinates of all the points along with the coordinate conversion into DMS and coal grid coordinates shall also be form of report submission.

f. Boundary concrete pillars need to be established over all boundary points fixed with number markings.

g. Following system of construction of boundary pillar shall be adhered as per IBM circular referred in the last Para of the scope of work.

i. The maximum distance between two successive pillars should not be more than 100 m

ii. All corner pillars should be of pyramid shape with base of 1 m, height of 2 m and should be placed 1 m below the ground.

iii. The intermediate pillars shall be with base of 0.60M, height of 1M and should be placed 0.50M below the ground.

iv. Distance and bearing of forward and backward pillars and latitudes and longitudes should be marked on the corner pillars.

h. Draft report shall be submitted after completion of field survey.

III.C Delivarables:

1. The agency engaged for DGPS Survey shall be recognized/empanelled by Government of ODISHA to carry out the DGPS Survey and submit reports along with editable softcopy format in CD to SCCL.

2. Shape file, hard and soft copy of the forest land and non-forest land falling within the Coal Block t Area for submission of application for Forest Stage-1 clearance, other documents required for Environment clearance and application for Mining Lease.

IV. SCOPE OF WORK FOR PREPARATION OF MINING PLAN AND FEASIBILITY REPORT

IV.A Mining Plan:

1. The Mining Plan document shall be prepared as per latest circular and guidelines from M0C in terms of MMRD Act and MC Rule by RQP empanelled by MOC.

2. The Mining Plan shall contain a scheme of mining (Opencast method) for 10 MTPA and annual programme and plan for excavation from year to year for five years and thereafter at an interval of every five years i.e. 10,15,20,25 years, final stage and at the time of Mine Closure and a Progressive Mine Closure Plan including final mine closure plan as defined in the Mineral Conservational & Development Rules (Opencast method).

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3. Draft mining plan shall be submitted to SCCL for comments. 4. A presentation shall be made to SCCL or any other Committee desired by SCCL. 5. On receipt of Comments, the Final Mining Plan shall be submitted to SCCL after

incorporating the Comments. 6. Presentation to standing committee of MOC for Mining Plan approval and

submission of the mining plan for approval. 7. Obtaining the approval of Mining Plan including Mine Closure Plan from MOC. 8. Opening of Escrow account.

IV.B Feasibility Report:

1. The Feasibility Report shall incorporate the following: 2. Introduction 3. Project Site Information 4. Geology 5. Delineation of Mine Boundaries. 6. Delineation of Structures, Faults & Folds etc. 7. Estimation of Mineable Reserves and Extractable reserves. 8. Estimation of Reserves lost due to the complexity of structures , Safe

distances & depth 9. Estimation of Waste Quantities and Average Stripping Ratio 10. Mining Strategy & Method of Mining, selection of suitable mining method, and 11. operation with departmental working and MDO/ Mine Developer(MD)

options. 12. Equipment Selection and Scheduling 13. Production scheduling. 14. Waste Disposal Planning. 15. Top soil management. 16. Ancillary Equipment Requirement 17. Suitable Coal Handling Plant for 10MTPA with Stock yard facilities, Railway

siding & Silos. 18. Suitable Coal washery plant with plan for utilization of Rejects may have to be

planned if the final Geological Report brings out the coal quality that may have to be washed

19. Civil Construction including Workshop, Stores, Service buildings, Statutory buildings,

20. Office buildings, Housing & Community buildings and other infrastructure requirements for Mine.

21. Water supply and Sewage treatment including assessment of water demand. 22. Pumping & Drainage system and surface drainages. 23. Electrical Reticulation 24. Provision for mine illumination as per prevalent laws. 25. Land Requirement for all mining operations including re-routing of roads,

water 26. Manpower Planning for outsourcing and the operation. 27. Socio-economic impact assessment (SIA) study for the project area.

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28. Safety & Conservation - To fulfil all the statutory requirements in relation to Safety

29. and Conservation including protective measures for Mine from adjoining Nala. 30. Land Reclamation 31. Project Implementation Schedule in MS-Project. 32. Mine Closure Plan. 33. Capital Investment and Operating Cost Estimates. 34. Financial Analysis using Cash Flow Techniques including economic

IRR, Financial 35. IRR, payback period, debt service coverage ratio both for the present day

cost and completion cost with departmental operation and MDO/ Mine Developer(MD)operation.

36. Sensitivity Analysis for different mining capacities, variation in outsourcing price, variation in capital cost. Following drawing shall be included in the Feasibility Report:

37. Location Plan 38. Key Plan 39. Surface Plan 40. Ultimate Pit Configuration plan 41. Geological Plans 42. Topo Plan 43. Cadastral Plan 44. Surface contour, 45. Floor contour and Roof contour for all seams 46. Isopachytes of OB, Coal, Quality etc., 47. Geological Cross sections covering entire Lithology from surface to the floor

of the Coal.

48. The Stage plans for Initial Mining Cut (IMC) shall be provided on quarterly basis, thereafter year-wise up-to the end of the 5th year. Stage plans at 5 year interval from 10th year onwards until end of the mine life shall be provided. The above IMC & stage plan shall include internal and external Dumps.

49. Dump Plan 50. Mining system drawing 51. Mine-Cross sections. 52. Schematic layout of Coal Handling Plant, Coal Flow Diagram, Railway Siding

& Silo etc., 53. Reclamation plan showing Green belt and afforestation areas 54. One Line utility drawing - Electrical Workshop Layout. 55. Surface Layouts

IV.C Deliverables:

1. “Notification under Sec.4 (1) of CBA Act 1957” (1.5 months from the date of issue of LOA).

2. Permission for drilling forest land falling in Coal Block area from MOEF & CC &

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CC&CC through Forest Department, Govt. of Odisha (4 months from the date of issue of LOA).

3. The successful MDO should submit 3 copies of draft Mining Plan report each in hard and soft forms (DVD) with all the plans and drawings (to scale)

4. The MDO should submit 10 copies of final Approved Mining Plan report each in hard and soft forms (DVD) with all the plans and drawings (to scale)

5. The MDO should submit 3 copies of Draft Feasibility Report each in hard and soft forms (DVD) with all the plans and drawings (to scale)

6. The MDO should submit 10 copies of final Feasibility Report each in hard and soft forms (DVD) with all the plans and drawings (to scale)

7. All the clearances at each stage should be obtained from the concerned State/Central Govt. Authorities and submitted to SCCL.

V.ENVIRONMENTAL CLEARANCE:

V.A OBTAINING ENVIRONMENTAL CLEARANCE (EC) FROM MoEF & CC & CC&CC AND CFE&CFO FROM SPCB:

1. Submission of Form-I application along with Pre-Feasibility report and following documents.

2. Copy of letter submitted to local DFO for forest clearance 3. Preparation of land use report using satellite imagery 4. Details of location of wild life sanctuaries, National Parks within 10 km radius to

be submitted. 5. Preparation of power point presentation to EAC for issue of ToR(Terms of

Reference) 6. Preparation of Basic check list for issue of ToR 7. Presenting before EAC meeting for issue of ToR 8. Collection of Baseline data with in 10 km radius of the project including

specific/additional studies mentioned in the ToR 9. The Social Impact Assessment (SIA) study and Appraisal of SIA by an expert

group carried out as per L.A.R.R Act 2013/Land Acquisition and R&R Act of Government of Odisha State and also prepare Social Impact Management Plan and its approval

10. Obtaining ground water clearance from State ground water department/Central ground water department

11. Preparation of Draft EIA/EMP as per generic structure of Environmental Impact Assessment document given at APPENDIX-III of EIA Notification, 2006 issued by MoEF & CC& CC and ToR issued by MoEF & CC & CC&CC.

12. Submission of Draft EIA/EMP to State Pollution Control Board for conducting of public hearing

13. Preparation presentation during public hearing 14. Soft copies of public hearing proceedings 15. Preparation of Final EIA/EMP and Questionnaire for mining projects 16. Incorporating public hearing minutes ,addressing the issues raised during public

hearing and project proponent commitments 17. Preparation of power point presentation for EAC meeting for issue of EC

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18. Preparation of Basic check list for issue of EC 19. Presenting before EAC meeting for issue of EC 20. Copy of stage-I forest clearance 21. Copy of preliminary notification issued by concerned state Government

regarding land acquisition as per LARR Act, 2013. 22. Copy of Approved Mining plan with MOC approved letter 23. Copy of prior clearance from the Standing committee of the National Board for

Wild –life (If applicable) 24. Obtaining Consent for Establishment(CFE) and Consent for operation (CFO)

from State Pollution Control Board including power point presentation before SPCB

25. Land use pattern study a. Image processing and interpretation of land use/land cover and hydro

geomorphology of mining lease and other infrastructure area covering on 1:10000 scale with field validation from the satellite imagery data for the year 2014.

b. ORSAC will supply the above latest Year-2014 imageries in full scene merged digital data in GEOTIFF format on CD ROM and photographic prints in 1:10,000 scales. The imageries are with UTM projection and WGS84 Datum. This is to be considered by the MDO before quoting.

V.B DELIVERABLES

The successful MDO /Mine Developer (MD) shall prepare and submit the following to SCCL:

1. One hard and soft copy of draft From-I application along with other reports for SCCL comments

2. Twenty (20) hard & soft copies of the From-I application along with other reports submitted to MoEF & CC& CC for issue of ToR after incorporating SCCL comments.

3. One hard and soft copy of land use pattern report for SCCL comments. 4. Preparation and submission of six copies (soft & hard) of land use pattern study

report along with maps on 1:10,000 scale after incorporating SCCL comments. 5. One hard and soft copy of draft Power point presentation in colour for SCCL

comments 6. Twenty (20) hard copies of Power point presentation in colour for EAC meeting

for issue of ToR after incorporating SCCL comments. 7. One hard and soft draft copies of each for SCCL comments

a. Draft EIA/EMP report, b. Executive Summary of draft EIA/EMP report in English and local

language, c. Power Point Presentation material in local language for Public

Consultation 8. Twenty Five (25) hard and soft copies of each after incorporating SCCL

comments a. Draft EIA/EMP report,

b. Executive Summary of draft EIA/EMP report in English and local

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language, c .One hard copy of Power Point Presentation material in local language

for Public Consultation 9. Hard and soft draft copies of each for SCCL comments

a. Final EIA/EMP report b. Questionnaire for mining projects c. Power point presentation in colour for EAC meeting for issue

of EC 10. Hard and soft copies of each after incorporating SCCL comments

a. Thirty (30) the final EIA/EMP report b. Twenty(20) questionnaire for mining projects c. Twenty (20) hard copies of Power point presentation in colour for EAC

meeting for issue of EC 11. The MDO /Mine Developer (MD) should submit one draft copy of BLD report for

SCCL comments 12. The MDO /Mine Developer (MD) should submit 3 copies of BLD report along

with soft forms (DVD) The MDO should submit 3 copies of BLD report along with soft forms (DVD)

13. The MDO /Mine Developer (MD) should submit one copy of draft SIA report with all the plans and drawings (to scale) for SCCL comments.

14. The MDO /Mine Developer (MD) should submit 10 copies of final SIA report each in hard and soft forms (DVD) with all the plans and drawings (to scale) and evaluation of Social Impact Assessment by expert group and Social Impact Management Plan after incorporating SCCL comments.

15. Public hearing shall be conducted as per direction of Government Rules/Act. 16. All reproducible tracings, original drawings, computer models etc., utilized for

preparation of Rapid EIA/EMP report and a soft copy of the same. 17. Besides the above, the Reports shall also include photographs covering existing

environmental status in the core and buffer zone. 18. One copy of CFE application and power point presentation in hard and soft

copies for SCCL comments. 19. 10 copies of CFE application and power point presentation in hard and soft

copies after incorporating SCCL comments. 20. One copy of CFO application and power point presentation in hard and soft

copies for SCCL comments. 21. 10 copies of CFO application and power point presentation in hard and soft

copies after incorporating SCCL comments.

VI. SCOPE OF WORK FOR DEVELOPMENTAL CLEARANCES:

VI.A Forest Clearance (Stage - I & Final):

The successful MDO /Mine Developer (MD) has to submit the form “A” application for Forestry Stage I to Principal Chief Conservator of Forest, Odisha

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with all relevant documents and enclosures and follow up at different Levels of State/ Central Government department on behalf of SCCL for getting Forestry Stage 1 and Final Clearance to be handed over to M/s SCCL. The following works are to be carried out for submission of form “A” Application for obtaining Stage- I Forestry Clearance.

1. Village cadastral map 2. Conducting Gram Sabah Meetings

3. Resolution of the Village Samithi/Gram Sabah/Village Panchaya 4. Approved Mining Plan 5. Legal status of Forest Land & Detailed status of Forest land 6. Enumeration list of trees 7. Geo reference Map in Shape file,both soft and hard form. 8. Break up details of land with safety zone. 9. Details of lease grant description and EC details 10. NOC regarding FRA 2006. 11. The Proposal & NOC for JJ land from Deputy Commissioner 12. Undertaking for NPV and compensatory afforestation by the Project

Proponent. 13. Obtaining of Final Forest Clearance.

VI.B Clearance from Airport Authority of India:

Clearances pertaining to planned airstrip in the project area (if any) needs to be obtained from the Airport Authority of India as per the conditions stipulated by the AAI.

VI.C Mining Lease (ML):

Application under section 4(1) of CBA Act 1957 with necessary documents for the Naini Coal Mine shall be submitted to Ministry Of Coal, Government of India and process it.

NOTE: Any other clearances, if needed for sanction of FINAL CLEARANCE are under the scope of the MDO /Mine Developer (MD). VII: DEVELOPMENT & OPERATION OF THE MINE

VII.A Scope of Work

1. The MDO shall undertake mine development and operate the mine as per the approved mine plan for a period as envisaged under the terms of the Bid Document and the agreement. The MDO is expected to ensure a supply of coal of pre-determined quality and at pre-determined delivery point for a specified duration to SCCL at the most competitive commercial terms.

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2. The mining operations shall involve excavation of various rocks/earth cutting (consisting of top soil, alluvium soil, rock and coal etc), loading, transportation, dumping, dozing, mining of coal, crushing/washing the coal to a pre-determined size/quqlity, levelling at OB dumping site to ensure progressive mine closure, handling including reclamation, creation of related infrastructure facilities like equipment workshop, electrical substations, pumping arrangements, haul road maintenance etc and delivery of crushed coal to SCCL at the pre-determined delivery point.

3. The MDO shall be required to abide by all statutory rules, regulation and laws as applicable from time to time including but not limited to those related to Government licenses, workmen compensation, insurance etc. Compliance of all regulatory and statutory requirements on behalf of the SCCL, and filing of all necessary documents periodically with the Coal Controller’s Organization, Directorate General of Mines Safety, and/or any other agencies that the current or future statutes so require.

4. Investing in and providing of Heavy Earth Moving Machinery (HEMM) and other mining machinery for mining coal and removing overburden commensurate with the Mining Plan and EIA/EMP. MDO shall also deploy auxiliary equipments to support operation of HEMM.

5. The equipment deployment schedule shall be in conformity with the schedule proposed in the Mining Plan. Any change in the size of equipment being deployed at the Mines shall be done only with the prior approval of SCCL. If any approval is required from the MoEF & CC& CC or other statutory authorities due to the change in the equipment deployment plan and the same shall be procured by the MDO at its own costs.

6. The mining equipment configuration deployed by the MDO shall at all times during the Contract Period comply with the Applicable Laws, including those related to environment and any conditions thereof, as imposed by the MoEF & CC and those related to safety, as imposed by DGMS. Any cost implication with respect to the mining equipment arising out of stipulations of MoEF & CC, DGMS or any other Authority shall be incurred by the MDO without any recourse to SCCL.

7. The MDO shall adhere to the approved Environmental Management Plan and shall make necessary investments and expenses to mitigate all environmental risks. In case of any breach and hence, penal sanctions on SCCL, the same shall be borne by the MDO over and above the penalties for loss of production.

8. The residues from washing of coal like coal rejects and middlings shall be the

exclusive property of SCCL. VII.B Work and Safety Regulations 1. The MDO shall ensure the safety of all the workmen and equipment either

belonging to him or to others working at ‘SITE’ as required by the laws and the best industry practices. The MDO shall be responsible for provision of all safety notices and safety equipment required both by the relevant legislation and the Client as it may deem necessary.

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2. The MDO shall also provide for prevention of occupational health and creation of good work environment.

3. The MDO shall make all arrangements for ensuring safety standards In case of any breach and hence, penal sanctions on SCCL, the same shall be borne by the MDO over and above the penalties for loss of production. MDO shall indemnify SCCL in such occurrences.

4. MDO shall also take up the following works:

a. Maintenance of safety zone around the mine as stipulated by the Coal Mines

Regulations, 1957 and /or any other existing or future statutes that may be applicable.

b. Drilling and blasting operations(OB and coal) with appropriate safeguards and compliance to statutory requirements. Arrangements for use of explosives.

c. Transportation of coal from working faces to crushers, from crushers to washery and from washery to the railway siding at the identified location. Indenting of railway wagons / rakes, for Transportation of Coal to STPP of SCCL, and coordination/ liasioning for the same with the Railway Authorities.

d. Crushing of coal up to the size as may be specified by SCCL. e. Obtaining approvals and clearances, construction and maintenance of railway

infrastructure from washery to the nearest railway link identified as the railway siding and liaise with Railway Authorities to ensure delivery of washed coal to designated end use point.

f. Construction, operation and maintenance of CHP & Coal washery for washing coal at the required yield and for consistent supply of required quantity and quality of coal.

g. Construction, maintenance and operation of mine-dewatering, sumps, Stream diversion and garland drains.

h. Construction and maintenance of all haul roads. i. Construction and maintenance of workshops, stores etc.

j. Construction and maintenance of Effluent Treatment Plant (ETP) for water recycling.

k. Construction and maintenance of mine water discharge treatment. l. Construction and maintenance of power supply arrangements.

m. Provision for mine illumination as per prevalent laws. n. Storage and supply of petrol/ diesel, oil and lubricants as per the requirement. o. Construction and maintenance of office buildings and colony (including its

Sewage Treatment Plant) for its employees. p. Construction and maintenance of communication network for mine. q. Observances of specific conditions under environment and other clearances with

development and operation of coal mine. r. Any other activity incidental to construction, operation, maintenance and closure

of the mine. s. Notwithstanding anything to the contrary contained in this Agreement, the MDO

shall not sub-lease, sub-licence, assign or in any manner create an

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Encumbrance on the Site or on the Coal Depot, as the case may be, without prior written approval of the Authority, which approval the Authority may, in its discretion, deny if such sub-licence, assignment or Encumbrance has or may have a Material Adverse Effect on the rights and obligations of the Authority under this Agreement or Applicable Laws.

VII.C Insurance

Insurance cover for the equipment deployed and men employed shall be the responsibility of the MDO. Failure to take insurance shall attract penalty recovery from the MDO as deemed fit and decided by SCCL.

VII.D Employment of trained personnel

1. The MDO shall ensure that the personnel engaged by it in the performance of its obligations under this Agreement are at all times properly trained for their respective functions in accordance with the requirements of Applicable Laws and Standard Industry Practice.

2. The MDO shall appoint adequate number of officers of suitable qualification to assist the statutory manpower appointed by SCCL. All appointments made by the MDO in this regard shall be in conformation with Applicable Laws including in relation to the qualification requirements set out under the Mines Act, 1952 and the Coal Mine Regulation, 1957. For avoidance of doubt, it is clarified that the manpower appointed by the MDO shall not be regarded to be ‘statutory manpower’.

3. The MDO shall be responsible for fulfilling all R&R Obligations, including but not limited to obtaining approval of the plan for rehabilitation and resettlement of PAPs. The MDO shall be required to undertake all activities including employment to all eligible PAPs/PAFs in accordance with the R&R Policy of the Government of Odisha, and other Applicable Laws.

4. The MDO shall be responsible for implementing R & R Policy of State Government.

5. MDO shall give preference to local people in employment. 6. The MDO shall not employ any casual laborers while recruiting laborers/ workers

for the purposes of this Agreement. All the costs thus incurred on account of adhering to the Odisha state rules and Central Government laws and regulations shall be deemed to be included in the Overall Coal mining Charges.

7. SCCL will not provide any employment and will not reimburse any amount to MDO on this account.

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VII.E CSR activities

MDO shall comply with all connected rules & regulations, Acts, in processing and implementation of Rehabilitation & Resettlement of PAPs. SCCL will reimburse the amount spent for processing & implementing R&R on submission of documentary proof by MDO.

In addition to the facilities like running of schools, hospitals providing water and electricity to project affected people etc., the MDO shall honor other Social responsibilities / commitments made by SCCL with the local population for safe and smooth running of mining operations and cost of the same shall be borne by MDO.

VII.F Progressive restoration MDO shall, in conformity with approved Mine Closure Plan, Applicable Laws and Standard Industry Practice, undertake progressive restoration of the Site, wherever any part of the Site can be restored, and closed upon completion of excavation in such part. MDO shall maintain proper records of all costs and expenses incurred by it in relation to the progressive restoration of the Site and upon request from the Authority, MDO shall furnish to the Authority all details and supporting documents, as may be necessary or required by the Authority to seek reimbursement of such costs and expenses from the concerned Government Instrumentalities. VII.G Closure of Mining MDO is required to undertake a final mine closure of the Mine during the Contract Period. MDO shall, at its sole cost and expense, undertake all activities for final mine closure of the Mine and restoration of the Site in accordance with the requirements of this Agreement, approved Mining Plan & Mine Closure Plan, Applicable Laws and Standard Industry Practice. For avoidance of doubt, it is clarified that the Authority shall be responsible for undertaking the final mine closure at its cost and expense in the event that such final mine closure occurs at any time after the expiry or termination of this Agreement. VII.H Reporting requirements All information provided by the MDO to any Government Instrumentality as a part of its operating and reporting obligations under Applicable Laws shall also be provided by the MDO to the Authority simultaneously.

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VII.I Transportation MDO shall ensure transportation of Coal to the Delivery Point is in accordance

with Standard Industry Practice. The MDO shall undertake all necessary precautions in relation to ensuring the safety and quality of the Coal in transit.

VII.J Obligations relating to an Owner

Subject to the provisions of this Agreement, the Authority shall be the Owner of the Mine for the purposes of the Mines Act, 1952. SCCL shall provide necessary power of attorney (wherever necessary) in favour of MDO acting on its behalf to make, submit letters/applications/reports, obtain clearances/approvals and deal with various authorities. The expenses incurred towards obtaining the government/statutory body’s clearances shall be borne by MDO. 1. SCCL shall facilitate the MDO to enable comply with obtaining the required

clearances for the project. 2. SCCL to provide for the safety and proper discipline of the persons employed in

the Mine. It shall appoint the Agent and the Manager and other officials having the prescribed qualifications pursuant to the requirements of the Mines Act, 1952 and rules and regulations thereunder. The Manager shall be responsible for the overall management, control, supervision and direction of the Mines in conformity with the provisions of the Mines Act, 1952.

3. Notwithstanding the appointment of any personnel by the Authority, the MDO and its personnel shall continue to be responsible and liable for compliance with Applicable Laws and this Agreement and in any event, the liability and responsibilities of the MDO shall be no less than that of the Authority.

VIII. SECURITY VIII.A Security of the Mine 1. MDO shall at all times ensure the safety and security of the Mine, Equipment, Coal

and all persons in or about the Mine. 2. MDO shall ensure at all times that the Coal excavated by it shall be transported only

by duly authorized personnel and vehicles on the routes notified by SCCL in consultation with MDO. The loading and movement of such vehicles shall be supervised and monitored in accordance with Standard Industry Practice.

3. The Coal excavated by MDO shall be processed and stored only in the areas designated for this purpose, and any modification in the designated areas shall be undertaken only with the prior written consent of SCCL which shall not be

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unreasonably withheld. 4. MDO shall be responsible for the security of coal till the delivery of coal at the

Delivery Point. VIII.B Installation of Security Equipment MDO shall install security and surveillance equipment in conformity with Applicable Laws and Standard Industry Practice to ensure and procure the safety and security of its personnel, Mines, Equipment and Coal. VIII.C Prevention of pilferage of Coal

MDO shall install barbed wire fencing and security equipment, engage security guards and take such other measures as may be necessary to prevent pilferage of Coal and shall launch criminal proceedings in cases of theft or unauthorized removal of Coal from the Mine. VIII.D Delivery of Coal at railway siding

1. During the initial period of the operation of the Mine, i.e. till the siding and

construction of Coal Handling Plant with rapid loading system within the Mine, the MDO shall Deliver Coal at the railway siding.

2. MDO shall operate and maintain the siding, including building, operating and maintaining a Coal Depot at the siding, operation and maintenance of weighbridges, and loading of coal onto the railway rakes.

3. MDO shall install a barbed wire boundary fencing at the siding, engage adequate security guards and take such other measures as may be necessary to prevent pilferage of Coal and shall launch criminal proceedings in cases of theft or unauthorized removal of Coal from the Mines.

4. MDO shall transport coal from the Mine to the railway siding using tipper trucks covered with tarpaulin and shall also prevent the theft and pilferage of coal along the route from the Mines to the railway siding.

5. MDO shall stock coal at the railway siding and shall undertake the activities of lime spraying of coal, closing of wagon door, cleaning of the railway tracks, proper illumination at the siding including installation of diesel generator for back-up power, shifting of coal as required, maintenance of roads within and for access to the siding and other related activities as directed by SCCL.

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IX. SAFETY MDO shall comply with the requirements of the DGMS as well as all

Applicable Laws.

1. Safety Requirements

a. The MDO shall comply with the provisions of this Agreement, Applicable Laws and Applicable Permits and conform to Standard Industry Practice for securing the safety of the Mines, Equipment and individuals on or about the Site. In particular, The MDO shall develop, implement and administer a surveillance and safety programme for providing a safe environment on or about the Mines, and shall comply with the safety requirements set forth in stipulations of DGMS and the recommendations of the DGMS Conference on Safety in Mines (the "Safety Requirements").

b. The MDO shall impart safety training to its employees and shall at all times be

responsible for observance of safety procedures by its staff, Contractors and agents. The MDO shall set up a Vocational Training Centre and shall provide statutory training under the Mines Vocational Training Rules, 1966.

c. The MDO shall acknowledges and agrees that SCCL shall be entitled to inspect

the Mines to verify adherence to Safety Requirements and the MDO shall be obliged to facilitate such inspection and implement the corrective measures identified in such inspection.

d. Notwithstanding anything to the contrary contained in this Agreement, the

Parties acknowledge and agree that the DGMS and other appropriate Government Instrumentalities shall be entitled to issue directions to SCCL and the MDO for complying with the provisions of the Mines Act, 1952 and the rules made there under and such directions shall be binding on them.

2. Guiding principles

a. Safety Requirements aim at reduction in injuries, loss of human life and damage

to property resulting from accidents on the Mines and Equipment, irrespective of the person(s) at fault.

b. Safety Requirements shall apply to all phases of development, operation and

maintenance of the Mines with emphasis on identification of factors associated with accidents, consideration of the same, and implementation of appropriate remedial measures.

c. The MDO shall ensure that all personnel (whether direct or indirect employees of

the MDO, employees of sub-contractors, visitors, others) within the Site shall at all times wear adequate personal protective equipment. 55

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d. The liability of any accident (major or minor) and fatalities within the Mines shall be on the MDO. The MDO shall immediately inform in the event of the occurrence of any major accidents or fatality. The MDO shall indemnify SCCL for any loss suffered due to such accident or fatalities.

3. Expenditure on Safety Requirements

All costs and expenses arising out of or relating to Safety Requirements shall be borne by the MDO.

4. Monthly Safety Report

a. The MDO shall submit to SCCL before the 7th (seventh) day of each month, a monthly report containing, without limitation, a detailed list and analysis of all accidents and near misses of the preceding month and the measures taken by the MDO for averting or minimizing such accidents in future ("Monthly Safety Report").

b. Once every quarter, a safety audit shall be carried out by SCCL. It shall review

and analyze the Monthly Safety Reports and accident data of the preceding quarter, and an inspection of the Mines. SCCL shall provide a safety report recommending specific improvements, if any, required to be made in the Mines and Equipment. Such recommendations shall be implemented by the MDO.

X.COAL PRODUCTION QUALITY AND DISPATCHES X.A Coal Production

1.(a)Subject to Clause (b) the per annum Scheduled Production Quantity of the mine is 10.00 MTPA. A detailed breakup of the year wise production ramp up shall be provided in the Mine Contract.

YEAR Production in MT Remarks 1st Year

Pre-Mining activities

2nd Year 3rd Year 4th Year 2.5 5th Year 5.0 6th Year 10.0 Till completion of the project at an

average stripping Ratio of 1:3

2.MDO shall adhere to the above schedule for the production of coal and OB. The annual coal production in any operating year shall not exceed 10 MTPA.

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X.B Delivery Point of Coal – throughout the Contract Period from the Coal Production Start Date

1. Throughout the Contract Period from the Coal Production Start Date, the MDO shall be responsible for loading of coal at railway siding including indenting of railway wagons

2. Deemed to be a waiver of the rights of SCCL nor shall release or discharge the MDO

from its obligations or liabilities under this RFP.

3. The Mining Charge payable to the MDO shall be based on the weight of the coal measured and recorded at the weighbridge at the mine pit top.

4.The MDO shall ensure that the weighbridges at the mine are maintained and regularly calibrated once in every 3 (three) months in accordance with the manufacturer’s recommendations and as per Standard Industry and applicable laws.

X.C Coal Quality MDO shall make every effort to ensure the quality and grade of coal and minimize any coal losses and prevent any coal loss or contamination by non-coal material. Preparation of coal seams for including ripping of the seam shall be done by the MDO. The MDO shall adopt proper procedures to prevent contamination of the coal by foreign objects, in particular ground engaging tools, steel, nuts and bolts, and wastes etc. The MDO shall produce coal as per the Declared Grade of the mine as per the Mining Plan. The grade of coal would be declared twice every financial year through in-situ sampling. The sampling and testing of the delivered coal would be done on a daily basis to ascertain that the quality of coal delivered to SCCL is as per the Declared Grade of the mine. The joint sampling at Delivery Point shall be set up by MDO at its own cost; The sampling and testing procedure shall be mutually decided between SCCL and the MDO. In case of slippage of the weighted average grade of the coal delivered in a month from the Declared Grade, SCCL shall reimburse royalty and ED on the basis of the grade of coal actually delivered and not the Declared Grade. For the slippage of each grade, there shall be a penalty of 12% (twelve per cent) on the per ton Mining Charge payable to the MDO. Disputes, if any, shall be referred to an Independent Laboratory for conducting tests at such laboratory. XI. MINE INFRASTRUCTURE XI.A Workshop Facilities The MDO shall design and construct the following facilities for the maintenance of HEMM and other plant & machinery and to accommodate the employees of the mine:

1. Workshop with different sections for maintenance of different types of equipment and with portable cabins for maintenance team

2. Store shed 3. Diesel dispensing unit with underground tankage .

4. Administrative office .

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5. First aid and medical center 6. Vocational training center

7. Restroom 8. Canteen 9. Adequate number of electronic weighbridges at the mine to ensure weighment of coal

carrying tipper trucks on a 100% basis 10. Time office for recording entry and exit of tipper trucks 11. Township with associated infrastructure & facilities 12. Guest house 13. Effluent treatment plant 14. Settling pond 15. Explosive magazine 16. Primary health center 17. Power supply

XI.B Civil works MDO shall construct various civil works required for the mine such as the following:

1. Roads and culverts 2. Water treatment and sewerage treatment plant of adequate capacity 3. Township and guest house including associated infrastructure and facilities 4. Approach roads to the mine and access roads within the mine area 5. Settling tanks for effluent treatment 6. Diversion of nallah and 7. Any other civil works required for the operation of the mine and as recommended in

the Mining Plan.

XII. OBLIGATIONS:

XII.A Obligations relating to Project Agreements:

1. It is expressly agreed that the MDO shall, at all times, be responsible and liable for all its obligations under this Agreement notwithstanding anything contained in the Project Agreements, and no default under any Project Agreement shall excuse the MDO from its obligations or liability hereunder.

2. The MDO is expected to apply for Notification and Permission for drilling in Forest Land, carry out detailed drilling, prepare geological report, conduct Gram Sabah/ Public Hearing meetings in the project area, obtain all pre-development clearances such as Forest Clearance, Environmental Clearance, land acquisition and R&R from respective authorities.

3. The MDO shall, at its cost, obtain and maintain throughout the Term, all Approvals necessary for the MDO to perform the Work.

4. MDO shall not be allowed to use land for any other purpose nor shall be allowed to create any mortgage or charge on the land.

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XII.B. Obligations relating to employment of foreign nationals:

In case , MDO employs Foreign Nationals the visa, work permit and other requirements as per the laid down rules shall be complied by MDO on its own.

XII.C. Obligations relating to Taxes:

The MDO shall pay, at all times during the subsistence of this Agreement, all Taxes payable. Provided however, that all payments made by the MDO with respect to such Taxes shall be reimbursed, as applicable, by the Authority upon receipt of particulars thereof.

XII.D. Obligations in relation to land acquisition:

1. The MDO shall take up all activities in acquiring the land required to perform the Scope of the Project and responsible for procuring physical possession of the acquired land, registration of the documents if any, in relation to the land acquired and other associated activities. The cost / expenditure will be to the account of SCCL.

2. The MDO shall also be responsible for Rehabilitation and Resettlement (R&R) of

the PAFs/ PAPs as per the R & R Policy of the State Government / as per applicable rules on behalf of SCCL and CSR activities. However SCCL shall be the sole lessee and make payment as legally eligible.

XII.E. Obligations relating to the Owner/SCCL:

Subject to the provisions of this Agreement, the Authority shall be the Owner of the Mines for the purposes of The Mines Act, 1952. SCCL shall provide necessary power of attorney (wherever necessary) in favor of MDO acting on its behalf to make, submit letters/applications/reports, obtain clearances/approvals and deal with various authorities.

XIII. SCOPE FOR INCURRING EXEPENDITURE :- SCCL

SCCL will reimburse actual amounts paid as compensation / land value for the

lands acquired and R&R expenditure incurred towards payment of benefits & development of R&R infrastructure as per the documentary proof.

SCCL will pay 80% of estimated amount towards expenditure incurred for detailed exploration, mine infrastructure / development works.

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MDO MDO shall incur the following expenditure:-

1. Over and above the 80% SCCL’s estimated cost towards detailed exploration, mine infrastructure / development works.

2. All the expenditure in processing and obtaining various permissions,sanctions,approvals,licenses etc., as required for developing and operating the mine.

3. MDO shall consider the above expenditure while quoting production cost per tone.

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