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    EPC Draft Brief

    Uploaded by

    raheelmasood
    EPC

    Copyright:

    © All Rights Reserved
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    EPC Draft Brief

    Uploaded by

    raheelmasood
    85 views21 pages
    EPC

    Copyright

    © © All Rights Reserved

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    EPC

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    85 views21 pages

    EPC Draft Brief

    Uploaded by

    raheelmasood
    EPC

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    You are on page 1of 21

    1

    Agreement for Engineering, Procurement and


    Construction
    2

    RELATING TO
    THE COPPER MINING PROJECT, SHINKAI REGION, NORTH WAZIRISTAN AGENCY, PAKISTAN
    EPC Definition
    3

    Engineering, Procurement and Construction (EPC) is a particular form of


    contracting arrangement used in some industries where the EPC contractor is
    made responsible for all the activities from design, procurement, construction,
    commissioning and handover of the project to the end-user or owner.
    How does an EPC contract work?
    4
    Agreement Details
    5

    Signing Date 2nd Mar 2016

    Rupees 2,635 Million only. (two billion, six


    Agreement Price
    hundred thirty-five million)

    15 Mar 2016 (Date of issuance of the Notice to


    Commencement Date
    Proceed)

    If any specific provisions Not Required

    All numbers, figures and timelines in this


    Further, please provide
    agreement.
    EIA Report & Approval
    6

    The environmental impact assessment report and the relevant environmental


    protection agency’s determination in respect thereof, in each case, relating to the
    Project attached hereto at Schedule H(EIA Report & Approval)

    Comments

    This EIA (environmental impact assessment) report/approval has not been


    obtained yet.
    Employer’s Requirements
    7

    Means the document titled ‘Employer’s Requirements’, as included in this


    Agreement as Schedule A(Employer’s Requirements)

    Specifies, the purpose, scope, and/or design and/or other technical criteria, for the
    Works.
    Employer’s Engineer or Engineer
    8

    Please confirm if an independent entity or


    engineering firm has been appointed by the
    Employer to monitor and supervise matters
    Question relating to the Project. Amendments
    throughout this Agreement will be required if
    no such appointment has been made or is not
    anticipated.

    Already Hired :

    Comment H&A Associates

    Dr. Abeer (Tailing Dam)


    Facility Definition
    9

    Question

    Please confirm this definition.


    Facility means the copper beneficiation facility which meets the specifications set
    out in the Employer’s Requirements and is in compliance with the Applicable
    Standards, to be established at the Project Site, as more particularly described in
    SCHEDULE A(Employer’s Requirements)

    Comment Confirmed
    LDs Cap
    10

    Question

    Please confirm if there is a cap on the Contractor’s liability to pay damages to the
    Employer. This is usually defined as a certain percentage of the lump sum agreement
    price.

    Comment % Need to be Confirmed


    Punch List Completion Period
    11

    Means the [insert duration]day period starting from the date on which the
    Taking-Over Certificate is issued , during which the Contractor shall complete
    the minor and incidental items of the relevant Works (as set out in the Taking-
    Over Certificate) which are not necessary for the safe and reliable use of the
    Works following the issuance of the Taking-Over Certificate;

    Question

    Please confirm the defects liability period.

    Comment Need to be Confirmed


    Time for Completion
    12

    Question

    Please confirm time for completion of the Works excluding the defects liability
    period.

    If Commencement Date : Mar 2016 (33 Months)

    Comments

    If Commencement Date : July 2017 (18 Months)


    Communications / Parties Details
    13

    To: Col® Zaafir Nisar


    Designation: Chief Operating Officer
    Employer’s details: Address: 509, Kashmir Road, R.A Bazar,
    Rawalpindi, Pakistan

    TO: [insert name]


    DESIGNATION: [insert designation]
    ADDRESS: 509, Kashmir Road, R.A Bazar,
    Contractor’s details: Rawalpindi, Pakistan
    Operation and Maintenance Manuals
    14

    Question

    Please confirm if the Contractor is required to provide these

    Contractor is not required to provide these


    Comment
    Operation and Maintenance Manuals
    Commencement of Works
    15

    Question

    TheEmployer shall give the Contractor, within [seven (7) days]of the Signing Date,
    the Notice to Proceed (As above, please confirm.)

    Comment 15 Mar , 2016


    Delay Damages
    16

    If Contractor fails to procure the Taking-Over Certificate by the expiry of the Time
    for Completion, the Contractor shall pay the Employer as compensation for damages
    and not as penalty

    Question

    Please note that typically a computation mechanism is usually set out in stone in
    EPC contracts. The applicable LD’s or computation mechanism of the same are
    annexed to the EPC contracts as a schedule. However, here we have provided that
    the LD’s will be determined by the Employer’s Engineer in consultation with the
    Employer. Please confirm if this is commercially acceptable.

    Comment Percentage need to be confirmed


    Contractor’s Obligations
    17

    Question

    Wether following tests are relevant/applicable and will be carried out or not?

    (a) Pre-Commissioning Tests, which shall include the appropriate inspections and
    (“dry”and “cold”) functional tests to demonstrate that each item of Plant can
    safely undertake the next stage

    (b) Commissioning tests, which shall include the specified operational tests to
    demonstrate that the Works or Section can be operated safely and as specified,
    under all available operating conditions

    (c) Trial operation, which shall demonstrate that the Works or Section perform
    reliably and in accordance with this Agreement
    Application for Interim Payments
    18

    The Agreement Price shall be paid following completion of each milestone (or
    part thereof) specified in SCHEDULE D(Payment Milestones) (the “Payment
    Milestone”), in accordance with this Agreement.

    The Employer shall deduct and retain an amount of [ten percent (10%)] from
    every approved Statement as “Retention Money” until the aggregate Retention
    Money reaches [ten percent (10%)] of the Agreement Price

    Need to be discussed if payment will be made in instalments or lump-sum?


    Delayed Payment
    19

    The Late payments by either Party of amounts due and payable under this
    Agreement shall bear interest at a rate per annum calculated at the simple annual
    rates given as under:

    For Local Currency Payments =[two per cent (2%) above KIBOR (Karachi
    Interbank Offered Rate).

    Please provide the delayed payment penalty (this is not to be confused with LDs).

    Comment Interest rate need to be confirmed


    Insurance
    20

    Please confirm.
    Schedule D- Payment Milestones
    21

    NO. PAYMENT MILESTONES ESTIMATED MONTH AFTER [INSERT DATE]

    1.

    2.

    3.

    4.

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