NMDC Limited

(A Government of India Enterprise)

KUMARASWAMY IRON ORE MINE

P.O: Donimalai Township, Taluk: Sandur, District: Bellary-Karnataka, Pin-583 118

Date- 25/11/2015
PRESS NOTIFICATION FOR TENDER
Sealed Item-Rate Quotations are invited from experienced and qualified bidders for the
following.

Name of work

Scope of work

Hiring of Plant & Mining

Machineries for working in
Kumaraswamy Iron Ore Mine as
indicated in the sketch attached
with tender documents.

Excavation of 90 Lakh Tonne (+/- 20%)of ROM and 15

Lakh Tonne (+/- 20%) of Waste / Low Grade Iron Ore
in three years @ 30.00 Lakh Tonne (+/- 20%) of ROM
and 5.00 Lakh Tonne (+/-20%) of Waste / Low Grade
Iron Ore per year by engaging mining equipments as
detailed in tender document. Blasting will be done
by NMDC at its own cost.

EMD Rs 50.00 Lakhs, Estimated value Rs.10296.00 Lakhs, Contract Period: For a period of
3 (three) years. The details of tender documents can be viewed from web site
www.nmdc.co.in . Last date for sale of tender documents is 21/12/2015 up to 3.00 P.M. Due
date for submission of tender documents is 22/12/2015 up to 3.30 P.M. and the tender will be
opened on the same day at 4.00 P.M.
DGM(Min)-KIOM

Page 1 of 98

TABLE OF CONTENTS
Sl No.

Subject

Page
No.

Notice Inviting Tender

36

Letter of Undertaking

Contract for works

Definitions & Interpretations

9-13

Part I - Instruction to Bidders

14-27

Part II - General Terms and Conditions

28-52

Part III - Financial and Commercial Terms

53-59

Part IV - Special Conditions

Annex I, Part A Statement of Works Completed during
the last 7 Financial Yrs.

60-74

Annex. II Part A Work Tendered / Under Execution

Annex III Part A Statement of Machineries and
Manpower

76

Annex. IV Part A Statement of Machinery to be deployed

Annexure-V Part-A- Proforma for Bank Guarantee in lieu of
EMD
Annexure-VI-Part-A Proforma for Bank Guarantee for
Contract Performances

78

9
10
11
12
13
14
15

75

77

79-82
83-85
86-88

16

Part-B (Price Bid) Schedule of Rates

Annexure-VII Key Plan, sketch of leasehold area of
Kumaraswamy Iron Ore mines, NMDC Ltd.

17

Annexure-VIII Letter of undertaking towards PF Code

90

18

Annexure- IX Checklist

91-92

19

Annexure- X Integrity Pact

93-98

89

Page 2 of 98

NMDC LIMITED
KUMARASWAMY IRON ORE MINE
PO: DONIMALAI TOWNSHIP - 583 118
TALUK- SANDUR, DIST: BELLARY, KARNATAKA
No. KIOM/HEMM/3MTPA/2015

Dated: 25/11/2015

NOTICE INVITING TENDER

1.0

Sealed item-rate quotations in two bid system (Part-A: Techno-Commercial

bid and Part-B: Price bid) are invited from experienced and qualified
Firm/Company/Individual Bidder of repute for the following.

Name of
work

Scope of work

Hiring of Plant
&
Mining
Machineries for
working
in
Kumaraswamy
Iron Ore Mine as
indicated in the
sketch attached
with
tender
documents.

Excavation of 90 Lakh Tonne

(+/- 20%)of ROM and 15 Lakh
Tonne (+/- 20%) of Waste / Low
Grade Iron Ore in three years @
30.00 Lakh Tonne (+/- 20%) of
ROM and 5.00 Lakh Tonne (+/20%) of Waste / Low Grade
Iron Ore per year by engaging
mining equipments for drilling,
excavation,
transportation,
Weighment,
Crushing
&
Screening and stacking at
designated areas. Blasting will
be done by NMDC at its own
cost.

EMD
(Rs. in
Lakh)

50.00
(Rupees
fifty lakhs
only)

Estimated
Cost of Work
(Rs.in Lakh)

Contract
Period

10296.00
(Rupees ten
thousand
two hundred
ninety six
lakh only)

Three years
extendable
by one
more year
at the
discretion
of NMDC
with
mutual
consent.

Note: The Bidder should follow the instructions/guidelines as mentioned in Tender

Documents while submitting their Bids.
2.0
Tender Document are obtainable from the following offices on payment of
Rs.5,000/- (inclusive of taxes & is non-refundable) per set during working hours
on any working day between 10.00 AM and 4.00 PM up to 21/12/2015.
i)

The Jt. General Manager (Finance), NMDC Ltd., Donimalai Iron Ore
Mine, Donimalai Township, Bellary District, Karnataka, Pin: 583-118.
Page 3 of 98

ii)

General Manager (Finance), M/s NMDC Ltd, 10-3-311/A, Castle Hills,

Masab Tank, Hyderabad, Telangana, Pin 500 028

iii)

Officer-In-Charge, M/s NMDC Ltd, Burma Shell House, Civil Lines,

Raipur, Chattisgarh, Pin -492 001

iv)

Chief Regional Manager (CRM), M/s NMDC Ltd, Regional Office,

Khanij Bhavan, Port Area, Vishakhapattanam, A.P., Pin -530 035

v)

Chief Regional Manager (CRM), M/s NMDC Ltd, 57, Kanakapura

Road, Near B.S.Madhava Rao Circle, Basavanagudi, Bangalore,
Karnataka, Pin -560 004.

vi)

The complete set of tender document can also be downloaded from NMDC
Website http://www.nmdc.co.in during 25/11/2015 to 21/12/2015. In such
case, the prospective Bidder will have to submit DD (non-refundable) for
Rs.5,000/- towards the cost of tender document along with the Bid in favour
of M/s. NMDC Ltd. payable at Donimalai preferably of Canara Bank/ State
Bank of Mysore.

3.0

Bids completed in all respects and sealed, should reach the Executive Director,
Donimalai Iron Ore Mine, Donimalai at 15.30 hours on or before 22/12/2015.

4.0

ELIGIBILITY & PRE QUALIFICATION CRITERIA:

The Bidders in order to qualify shall satisfy the following criteria:
4.1 Eligible Bidder:
4.1.1 All bidders shall submit a statement that the Bidder is not associated, nor
has been associated in the past, directly or indirectly, with the Consultant
or any other entity that has prepared the design, specifications, and other
documents for the proposed work. A firm/Company that has been
engaged by the Corporation to provide consulting services for the
preparation or supervision of the works, and any of its affiliates, shall not
be eligible to bid;
4.1.2 Government Owned Enterprises may participate only if they are legally
and financially autonomous, operate under commercial law and are not a
dependent agency of the Corporation;

Page 4 of 98

4.1.3 Bidders shall not be under a declaration of ineligibility for corrupt and
fraudulent practices issued by the Corporation in accordance with sub
clause 15 of part-I (Instruction to the Bidders);
4.1.4 Sick Companies and Companies referred to BIFR need not apply.
4.2 Eligibility Criteria
4.2.1 Average annual turnover of Rs. 1030.00 Lakhs during the last 3 years,
ending 31st March of the previous financial year;
4.2.2 In the last 7 (seven) years ending last day of month previous to the one in
which applications are invited, Bidders must have completed either of the
following:
4.2.2.1 Three works of similar nature for value not less than Rs.860.00
lakhs each, OR
4.2.2.2 Two works of similar nature for value not less than Rs.1200.00
lakhs each, OR
4.2.2.3 One work of similar nature for value not less than Rs.2060.00
lakhs.
Works of Similar nature means - Works involving annual excavation of minimum
10 Lakh tons of material in a mine or quarry by engaging equipments for drilling,
excavation, crushing and one or more of the following activities:i)
Screening
ii)
Weighment
iii)
Transportation
iv)
Stacking / dumping
The Bidders shall furnish the details of such works executed by them alongwith
documentary proof (such as copies of Work Order/Agreement, Work Completion
Certificate, TDS Certificate etc.). The certificates submitted as evidence of works
executed for private organization should be accompanied with TDS certificates.
These certificates in addition to the certificate issued by the organization shall
form the basis for considering experience of work executed for Private
Organisation.
Note: Even though the bidders meet the above qualifying criteria, they are
subject to be disqualified if they have made misleading or false
representations in the forms, statements and attachments submitted in
proof of the qualification requirements; and/or record of poor
performance such as abandoning the works, not properly completing the
contract, inordinate delays in completion, litigation history, or financial
failures etc.
Page 5 of 98

4.2.3 The Bidder should be financially sound and submit a solvency certificate
in original issued by any Nationalized Bank /Scheduled Commercial
Banks including foreign Banks having a branch in India for a value not
less than Rs. 858.00 Lakhs and dated not earlier than three months from
the due date of submission of Bid.
4.2.4 The Bidder shall hold a valid PF code number duly allotted by the
Provident Fund Authorities. In case the bidder does not possess valid PF
Code no., then the bidder has to give an undertaking as referred in
annexure VIII.
4.2.5 The Bidder should hold the PAN issued by the IT Authorities & copy of
the same is to be submitted by Bidder while submitting bid.
4.2.6 The Bidders shall furnish a copy of the Service Tax Registration
certificate issued by Service Tax Authorities along with Bid
5.0

EMD (Earnest Money Deposit) shall be paid as per Clause-1, Part III (Financial
& Commercial Conditions) of the tender document. Bids, without EMD, shall be
rejected.

6.0

The Bidders shall furnish a copy of certified Balance Sheet and Profit & Loss
Account for the last three financial years prior to current financial year.

7.0

The Bidders shall keep the Bids valid for a period of 180 days from the date of
opening of Part - A of the Bid. This validity of the Bid shall be extended for any
such period as NMDC may desire. If a Bidder alters or withdraws his offer within
the validity period, his Bid will be cancelled and further the EMD deposited by
him shall be forfeited.

8.0

Bidders may, in their own interest, can visit the site before submitting their Bids
at their cost.
The Techno-Commercial bid will be opened in the Office of DGM(Min)-KIOM,
Kumaraswamy Iron Ore Mine, Donimalai at 16.00 hours on 22/12/2015 in
presence of Bidders who desire to be present. Price bid of technically qualified
bidders will be opened later with due intimations to qualified bidders
Please visit our website: http://www. nmdc.co.in
DGM(Min)-KIOM
Kumaraswamy Iron Ore Mine,
Donimalai
***********************

Page 6 of 98

LETTER OF UNDERTAKING
To
The DGM(Min)-KIOM
NMDC Limited
Kumaraswamy Iron Ore Mine
PO Donimalai Township - 583 118
Taluk- Sandur, Bellary Dist., Karnataka.
Sir,
I/We__________________________________________________have
read
terms and conditions of the Tender attached hereto and agree to abide by such
terms and conditions.
I/We offer to engage the mining machinery for Kumaraswamy Iron Ore
Mine for development work and excavation of ROM and Waste / Low grade ore,
crushing, screening and stacking at designated places, at the site located in Bellary
District of Karnataka State on hire charges basis at the rates quoted in the attached
schedule. We hereby bind myself/ourselves to complete the work (as per work
order) within time as per terms and conditions as stipulated in the Tender Notice.
I/We further agree to sign an Agreement Bond to abide by the General terms
and conditions of agreement and/or Special conditions of agreement and to carry
out all works according to the specifications for materials and works as laid down
in the standard specifications/Tender. In case of acceptance of the tender by
Corporation, I/We bind myself/ourselves to furnish the required security deposit
and execute the agreement documents for the work awarded to me/us and to
commence the work immediately after receipt of orders, failing which I/We shall
have no objection for forfeiture of the EMD, amounting to Rs. 50.00 Lakhs lodged
with the Corporation, a receipt for which is attached hereto.
Yours Faithfully,

Date:

Signature of Authorized
Signatory with Seal
of the Firm.

Page 7 of 98

(On NJP of Rs.100)

CONTRACT FOR WORKS

CONTRACT
No.
__________________DATED_______
ARTICLES
OF
AGREEMENT made this ___________day of _________________between the NMDC
Limited, Kumaraswamy Iron Ore Mine, Donimalai Township (P.O), Bellary (Dist.),
Karnataka, having its registered office at 10-3-311/A, Castle Hills, Masab Tank, P.B. No.
1352 & 1353, Hyderabad 500 028, Telangana, hereinafter called the Corporation,
acting on one part and M/s./Shri _____________________ having their registered office
at __________ hereinafter called the Contractor on the other part.
WHEREAS the contractor has agreed with the Corporation for the performance of the
work
__________________________________________________________________
__________________________________________________________________________
set forth in the schedule hereto annexed upon the General terms and Condition of the
contract and the Specifications, if any, and in conformity with the drawings herein to
annexed AND WHEREAS the performance of the said work in an act in which the
Corporation is interested.
NOW THAT INDENTURE PRESENTS WITNESSETH that in consideration of the
payment to be made by the Corporation, the contractor will duly perform the said
works in the said schedule set forth and shall execute the same with great promptness,
care and accuracy in a workman-like manner to the satisfaction of corporation and will
complete the same in accordance with the said specification and said drawings and
said conditions of the contract on or before ____________________ and will observe,
fulfill and keep all conditions herein mentioned (which shall be deemed and taken to
be part of this contract as if the same had been fully set forth herein), and the
Corporation do hereby agree that if the contractor shall duly perform the said works in
the manner aforesaid and observe and keep the said terms and conditions, the
Corporation will pay or cause to be paid to the contractor for the said works on the
final completion thereof the amount due in respect thereof at the rates specified in the
schedule hereto annexed.
For and on behalf of
NMDC Ltd.
Hyderabad-500028
Signature of the contractor
NAME
:
ADDRESS
:
WITNESS:
1.
2.

(Signature)
(NAME and DESIGNATION)

Page 8 of 98

NMDC LTD
KUMARASWAMY IRON ORE MINE
PO: DONIMALAI TOWNSHIP - 583 118
DIST: BELLARY, KARNATAKA
DEFINITION AND INTERPRETATION
WORK: Hiring of Plant & Mining Machineries for working in Kumaraswamy Iron Ore
Mine for Excavation of 90 Lakh Tonne (+/- 20%) of ROM and 15 Lakh Tonne (+/20%) of Waste / Low Grade Iron Ore in three years @ 30.00 Lakh Tonne (+/- 20%)
of ROM and 5.00 Lakh Tonne (+/-20%) of Waste / Low Grade Iron Ore per year
by engaging mining equipments for drilling, excavation, transportation,
Weighment, Crushing & Screening and stacking at designated areas. Blasting
will be done by NMDC at its own cost.
In the Tender Document the following terms shall have the meaning hereby
assigned to them except the context otherwise requires:
1.0 "Corporation/Owner/Employer" shall mean the NMDC Ltd., including its
successors and assign or its representatives authorized to act on its behalf for
the purpose of these presents;
2.0 "Chairman and Managing Director" shall mean the Chairman-Cum-Managing
Director of the Corporation;
3.0 "Executive Director" means the Officer designated for overall charge of the
project and shall include any other Officer for the time being placed in overall
administrative charges of the Project;
4.0 "Deputy General Manager (Mining)" shall mean the Officer designated for
overall charge of the mining work of the Project and any Officer subordinate to
him authorized in writing by him for the purpose;
5.0 Engineer in charge" shall mean the officer appointed in writing by the Owner
to act as Engineer from time to time for the purpose of Contract;
6.0 "Mines Manager" shall mean the Officer as defined by Clause 2(16) of
Metalliferous Mines Regulations 1961;
7.0 "Firm/Company/Individual Bidder" shall mean the Bidder whose bid has
been accepted by the Corporation for the award of the Contract and shall
include such successful Bidders legal representatives, successors and permitted
assigns.
Page 9 of 98

8.0 Agent shall mean the person appointed or nominated by the

Firm/Company/Individual Bidder duly authorized and empowered to act on
behalf of Firm/Company/Individual Bidder and to receive on his behalf all
notices and communications;
9.0 "Agreement" shall mean the written instrument of agreement which the
Firm/Company/Individual Bidder shall enter into with the Corporation
incorporating the instructions to the Bidder, plans, drawings and specifications
for the work to be performed by the contractor, the Schedule of Quantities, the
Rates, Deliveries and the General terms and Special conditions of Contract as
have been accepted finally between the Successful Bidder and the
Corporation;
10.0 Contract shall mean the contract between the Corporation and the successful
bidder to execute, complete and maintain the Works;
11.0 Contract Document" shall mean the document comprising Notice Inviting
Tender , General and Special Conditions of Contract, Specifications (Technical
and General ), Drawings, Preamble to Bill of Quantities, Bill of Quantities with
accepted rates and amounts therein, other appendices, letters, correspondences
enclosed therewith, time schedule, Letter of Intent, Work Order which have
been accepted by the Firm/Company/Individual Bidder and a formal
agreement
if
any,
executed
between
the
Owner
and
the
Firm/Company/Individual Bidder.
All these documents shall be
complementary to one another and shall be deemed to form one Contract;
12.0 Contractors Bid shall mean the Complete bid documents submitted by the
Firm/Company/Individual Bidder to the Corporation;
13.0 Bill of Quantities means the priced and completed bill of quantities forming
part of the bid.
14.0 "Work/Works/Job" shall mean the permanent works to be executed in
accordance with the Contract or part(s) thereof, as the case may be, and shall
include all extra or additional, altered or substituted work to be carried out in
accordance with the Contract.
15.0 Contractors Equipment shall mean the Firm/Company/Individual Bidder
Machineries and vehicles brought temporarily to the site to execute the works

Page 10 of 98

16.0 Trained Work Person shall mean are those employed / proposed to be
employed by the Firm/Company/Individual Bidder at the project site, who
have participated and are in possession of a valid competency certificate
through a programme run under the auspices of a University, State Technical
board, Ministry of Govt. of India;
17.0 `Effective Date of Contract' shall mean the date of issue of letter of
Intent./Letter of Award of Contract/Work order
18.0 Start Date shall mean the date given in contract Documents. It is the date
when the Firm/Company/Individual Bidder shall commence execution of the
works. It does not necessarily coincide with any of the site possession Date.
19.0 Intended Completion Date shall be the date on which it is intended that the
Firm/Company/Individual Bidder shall complete the works. The intended
Completion date may be revised only by the owner or by his nominee by
issuing an extension of time
20.0 `Letter of Intent/Work Order/Letter of Award of Contract shall mean the
official notice issued by the Corporation notifying the successful bidder that
his proposal has been accepted;
21.0 "Specifications" shall mean schedules, detailed designs, statement of
technical data, performance characteristics and all such particulars mentioned
as such in the contract. In the absence of any specifications issued by the
Corporation, the specifications issued by the Bureau of Indian Standards
shall apply.
22.0 "Schedule of Quantities and Rates" shall mean the documents incorporated in
the agreement which are entered in the quantities of all work, labour, material,
plant, tools and equipment required for the execution of the agreement and
rates therefore at which the firm undertakes to carry out the work.
23.0 Notice in writing or written notice shall mean a notice in written, typed or
printed characters given to the Firm/Company/Individual Bidder under the
terms of the contract which shall be considered duly served if the same has
been delivered to, left for or posted by registered post to the Contractors
Principal Place of Business (or in the event of the Contractor being a
Company, to or at its Registered Office) or at the site.
24.0 Mobilization" shall mean establishment of sufficiently adequate
infrastructure by the Firm/Company/Individual Bidder at site comprising
Page 11 of 98

equipment, tools and tackles including setting up of site offices with facilities
such as power, water, communication, etc. establishing man-power
organization comprising DGM(Min)-KIOM /Resident Engineer, Engineers,
supervisory personnel and an adequate strength of unskilled, semi-skilled and
skilled workmen in order to commence the work at site(s) in accordance with
the Contract.
25.0 Mobilization Period : All the preliminary works such as deployment of
equipments at site, development of benches, laying of haul roads and erection
of crushing and screening plant, weighbridges should be completed within
Sixty days (mobilization period) from the date of issue of Letter of Intent(LoI)
and production should commence immediately to achieve the targets as per
the schedules. The period of operation for the purpose of completion of
quantity will be reckoned after completion of the above period of 60 days.
26.0 Drawings shall mean any or all drawings including construction drawings
and sketches or any modifications of such drawings and sketches as may be
issued from time to time by the Corporation or its nominee to the
Firm/Company/Individual Bidder for the execution of the work.
27.0 Site or site of work shall mean and include the land and other places on,
which
may
be
allocated
or
used
by
the
Corporation
or
Firm/Company/Individual Bidder in the performance of the Contract. It also
includes such other land or place as may be made available to the contractor by
the Corporation for temporary works or for other purposes connected with
the execution of the agreement.
28.0 "Plans" shall mean all Maps, sketches and lay-outs as are incorporated in the
contract in order to define broadly the scope and specifications of the work or
works and all reproductions thereof.
29.0 Tender Drawings shall mean such drawings, plans, sketches and details
which are issued by the Corporation along with the tender documents for the
purpose of preparing bid proposals and shall be taken only as indicative only.
30.0 Temporary work" shall mean and include all temporary works of every kind
required for the execution of the work/works as incidental and ancillary
thereto.
31.0 Site Investigation Report shall mean the reports which were included in the
tender documents and are factual interpretative reports about the surface and
sub-surface condition of the site

Page 12 of 98

32.0 Operational Year shall mean twelve months reckoned from the date of issue
of the work order. A day shall mean twenty four hours from mid night to
mid night irrespective of the number of hours of work in that day. A week
shall mean 7 days from Sunday or such other period of 7 days as may be
prescribed by the General Manager from time to time. A Fortnight shall
mean the period from the first day of a calendar month to the fifteenth day of
that month or from 16th day of the calendar month to the last day of that
calendar month, both days inclusive.
33.0 Singular & Plural Words importing the singular number shall also include
the plural and vice-versa where the context does not require otherwise.
34.0 Headings & Marginal Headings The Headings and marginal headings in
these General conditions are solely for
35.0 Communications shall mean Communications between parties which are
referred to in the conditions are effective only when in writing. A Notice
shall be effective only when it is delivered (in terms of Indian Contract Act
1872).
36.0 Waste shall mean the material which can not be fed to the plant
37.0 ROM shall mean the material other than Waste.
38.0 Bidders shall mean the contractor/firm/company who respond to an
invitation to the bids by the Corporation to execute the work.
39.0 Successful bidder shall mean Firm/Company/Individual Bidder whose bids
has been accepted by the Corporation for award of work
40.0 Designated Area shall mean stockpiles which will be within a distance of 1.5
KM lead (one way) from the crusher.

***************

Page 13 of 98

NMDC LTD
KUMARASWAMY IRON ORE MINE
PO: DONIMALAI TOWNSHIP - 583 118
DIST: BELLARY, KARNATAKA.
PART - I
INSTRUCTIONS TO BIDDERS
1.0 PREAMBLE:
Sealed Bids are invited by DGM(Min), Kumaraswamy Iron Ore Mine of NMDC
Ltd., Hiring of Plant & Mining Machineries for working in Kumaraswamy Iron
Ore Mine in accordance with the terms and conditions, requirements and
specifications set out in these tender document.
2.0 SUBMISSION OF BIDS:
Bids must be submitted to the DGM(Min)-KIOM, NMDC Ltd., Kumaraswamy
Iron Ore Mine, in sealed envelopes, super-scribed on the top Name of the
Work. The Bidder has the option of submitting the bid in person (by dropping
bid document in the appropriate tender box placed in the DGM(Min)-KIOM
Office at 1st Floor, Administrative Building, NMDC Ltd, P.O.- Donimalai
Township, District- Bellary, (Karnataka) within due date/time, or by sending the
bids by registered post/courier so as to reach at the DGM(Min)-KIOMs Office at
1st Floor, Administrative Building, NMDC Ltd, P.O.- Donimalai Township,
District- Bellary, (Karnataka) by the time / date mentioned in the tender
Document. The responsibility for depositing the Bids in the correct Tender Box
within the stipulated time/date rests with the Bidder. Bid submitted by Telex/
Telegram/E-mail will not be accepted. Bids received after the stipulated date / time
will not be accepted. The Corporation will not be responsible for any postal
delay.
3.0

FORMAT AND SIGNING OF BID:

3.1

The Bidder shall submit one original and four copies of the documents
comprising the bid in the manner as described in sub clause 2.0 above of
Instructions to Bidders. Documents comprising bid should have solid
binding and clearly marked ORIGINAL and COPY as appropriate. In the
event of discrepancy between them, the ORIGINAL shall prevail. The
Page 14 of 98

bidders bids and the documents attached thereto shall be considered for
forming part of the Contract Documents.

4.0

3.2

The Original and Copy of the Bid shall be typed or written in indelible ink
and shall be signed by the bidder or a person or persons legally authorized to
sign on behalf of the Bidder/Bidders. All pages of the bid where entries or
amendments have been made shall be signed by the person or persons
signing the bid.

3.3

Corrections and alterations in the bid documents should be avoided The

Bid shall contain no alterations or additions, except those to comply with
instructions issued by the Corporation, or as necessary to correct errors made
by the bidder in which case all such corrections should be done by a pen, and
all such alterations must be signed (full signature) with date by the person or
persons signing the bid. Failure to do so may cause rejection of the Bid by
Corporation.

3.4

All documents relating to bid shall be in the English language.

FORM AND MANNER OF SUBMISSION OF BIDS:

4.1

Bids must be submitted so as to confirm to the proforma for Schedule of

Quantities and Rates and other forms annexed to these Tender document.
Bids shall be prepared by typing or writing with indelible ink on white paper
in sequentially numbered pages and be in solid binding.

4.2

Tender Documents, schedule of quantities and plan/drawings and any

other enclosures submitted by the Bidder must be properly signed or
initialed and dated at the bottom right hand corner of each page and also
signed and dated at the place mentioned in the documents by the bidder or
such person or persons on his behalf as are legally authorized to sign for the
bidder/bidders.

4.3

A person signing the Bid or any documents forming part thereof on behalf of
the Bidder or on behalf of any other such person shall be deemed to warrant
that he has the requisite authority to sign for such other and if, on enquiry, it
appears that the person so signing has no authority to do so, the Corporation
may, without prejudice to any other civil and criminal remedies, cancel the
agreement and hold the signatory liable for all costs and damages.

4.4

If the Bidder be a firm, all partners of the firm or such persons as may be
legally competent to sign for the firm should sign the Bid documents. If the
Bidder be a Company, the common seal of the Company should be affixed
and signed by such person or persons as may be authorized by the Articles
of Association of the Company (a copy of which should be sent with the bid)
Page 15 of 98

to sign for the company. If the bidder is a sole proprietary concern /

individual bidder, a self authorization or authorization infavour of any other
person shall be submitted. In any case, the Bidder should disclose this
constitution of Firm/Company and copies of all necessary legal documents in
support thereof should be submitted with the bid and the original thereof
should be produced as and when called for by the Corporation.
4.5

Bids shall be submitted in Two (2) parts - Part-A, Part-B. Part A shall include
EMD, Letter of Undertaking (as per Form Annexed) along with cost of tender
document (if downloaded from the website), and technical offer and
commercial conditions and blank formats of Price Schedule (without any rate
or amount). Part B shall include the Price Schedule(s) duly filled in. Price
schedule copy in Part-A must be identical of the price schedule copy to be
submitted in Part-B, except that the copy in Part-A should not contain any price
figure. All commercial conditions shall be included in Part-A. The Two parts
shall be submitted in two separate sealed envelopes super scribed on top as
PART A EMD, LETTER OF UNDERTAKING AND TECHNICAL &
COMMERCIAL OFFER AND PART-B - PRICE BID respectively. All the two
bids must show the bidders Name and Address on the outside. These two
sealed envelopes consisting of Part A & Part B shall be submitted in another
sealed envelope, super scribing the tender No., name of the work, due date of
submission and name and address of the bidders, on the envelope. Bids as
aforesaid must be submitted in five copies (one original and four copies) at the
address and by the time and date mentioned in the Notice Inviting Tender.

4.6

The rates should be carefully and properly filled in the schedule of hire
charges of the Mining Machinery. All rates should be indicated in words as
well as in figures.

4.7

Rates quoted by the bidders in figures and words should be accurately filled
in, so that there is no discrepancy between the rates so written in figures
and words. Additional conditions and stipulations, if any, must be entered
below the Schedule or attached thereto. Any statement and/or letter signed
separately and issued to the Corporation either before or after the submission
of bids may not be considered.

4.8

Bidders should quote rates for all works indicated in the Tender documents
and in the schedule. Rate quoted for one particular work alone in the
schedule may not be considered and such a bid may not be considered and it
may be summarily rejected.

Page 16 of 98

5.0

DEADLINE FOR SUBMISSION OF THE BIDS

Bids must be received by the Corporation at the address specified in the Tender
Document not later than 22/12/2015 at 3.30 pm. In the event of the specified date
for the submission of bids being declared a holiday by the Corporation, the Bids
will be received up to the appointed time on the next working day. The
Corporation may extend the deadline for submission of bids by issuing an
amendment in accordance with Clause 9, Part I below. In that case all rights and
obligations of the Corporation and the bidders previously subject to the original
dead-line will then be subject to the new deadline.

6.0

MODIFICATION AND WITHDRAWAL OF BIDS

7.0

6.1

Bidders may modify or withdraw their bids by giving notice in writing before
the deadline prescribed in Clause 5 Part - I above.

6.2

Each Bidders modification or withdrawal notice shall be prepared, sealed,

marked, and delivered in accordance with Clauses 3 & 4, Part I with the
outer and inner envelopes additionally marked MODIFICATION or
WITHDRAWAL as appropriate.

6.3

No bid may be modified or withdrawn after the deadline for submission of

Bids.

6.4

Withdrawal or modification of a Bid between the deadline for submission of

bids and the expiration of the original period of bid validity as per Clause 25
of Part I and/or as extended pursuant to Clause 25.1 of Part I (Instructions to
bidders) and/or extended pursuant to Clause 25.2 of Part I (ITT) may result
in the forfeiture of the EMD to Clause 2, Part III (Commercial & Financial
Conditions)

6.5

Bidders may only offer discounts to, or otherwise modify the prices of their
Bids by submitting Bid modifications in accordance with this clause or
included in the original Bid submission.

ONE BID PER BIDDER

Tender documents are non-transferable and shall be used by the party to whom it
has been issued. Each bidder shall submit only one bid for one package. A bidder
who submits or participates in more than one Bid (other than as a subcontractor or
in cases of alternatives that have been permitted or requested) will cause all the
proposals with the Bidders participation to be disqualified.

Page 17 of 98

8.0

ALTERNATIVE PROPOSALS BY BIDDERS

9.0

Bidders shall submit offers that comply with the requirements of the bidding
documents, including the basic technical design as indicated in the drawing and
specifications. Alternatives will not be considered.
AMENDMENT OF TENDER DOCUMENTS

10.0

9.1

Before the deadline for submission of bids, the Corporation may modify the
bidding documents by using addendum;

9.2

Any addendum thus issued shall be part of the bidding documents and shall
be communicated in writing or by E-Mail/ FAX to all the purchasers of the
bidding documents. Prospective bidders shall acknowledge receipt of each
addendum by E-Mail/FAX to the Corporation;

9.3

To give prospective bidders reasonable time in which to take an addendum

into account in preparing their bids, the Corporation shall extend as necessary
the deadline for submission of bids, in accordance with clause 5, Part I above.

DATE AND TIME OF OPENING OF BIDS:

10.1 Bids will be opened at the time and date mentioned in the Tender Notice in
the presence of the Bidders or their authorized representatives who choose to
be present;
10.2 On the due date and appointed time as specified in Notice Inviting Tender
(NIT), the officer nominated to open the bids will first open envelopes
1(original) of all bids received within stipulated date & time including
modifications made pursuant to clause 6, Part I above in presence of the
Bidders or their representatives who choose to attend. In the event of the
specified date for Bid opening being declared a holiday by the Corporation,
the Bids will be opened at the appointed time and location on the next
working day.
10.3 Envelopes marked WITHDRAWAL shall be opened and read out first.
Bids for which an acceptable notice of withdrawal has been submitted
pursuant to clause 6 above shall not be opened.

Page 18 of 98

11.0

CLARIFICATION ON THE BIDS

11.1 To assist in the examination and comparison of Bids, the Corporation may,
at his discretion, ask any Bidder for clarification of his Bid, including
breakdown of unit rates. The request for clarification and the response shall
be in writing or by telephone/e-mail, but no change in the price or substance
of the Bid shall be sought, offered, or permitted except as required to confirm
the correction of arithmetic errors discovered by the Corporation in the
evaluation of the Bids in accordance with clause 13 below;
11.2 During the processing/evaluation of the tender proposals, the bidders may
be required to attend to the Corporations office for discussions/
clarifications. Bidders, on request from the Corporation, shall attend bid
discussions at their cost;
11.3 Subject to sub-clause 11.1, no Bidder shall contact the Corporation on any
matter relating to his bid from the time of the bid opening to the time the
contract is awarded. If the Bidder wishes to bring additional information to
the notice of the Corporation, he should do so in writing;
11.4 Any effort by the Bidder to influence the Corporations bid evaluation, bid
comparison or contract award decisions, may result in the rejection of his
bid.

12.0

EXAMINATION OF BIDS AND DETERMINATION OF RESPONSIVENESS

12.1 Prior to detailed evaluation of Bids, the Corporation will determine whether
each Bid:
12.1.1

Meets the eligibility criteria defined in Clause 4- Notice Inviting

Tender;

12.1.2

Has been properly signed by an authorized signatory (accredited

representative) holding Power of Attorney in his favour. The Power
of Attorney shall interalia include a provision to bind the Bidder to
settlement of disputes clause;

12.1.3

Is accompanied by the required EMD; and Letter of Undertaking

12.1.4

Is responsive to the requirements of the Bidding Documents.

Page 19 of 98

12.2 A responsive Bid is one, which conforms to all the terms, conditions and
specification of the Bidding documents, without material deviation or
reservation. A material deviation or reservation is one
12.2.1

which affects in any substantial way the scope, quality or

performance of the Works

12.2.2

which limits in any substantial way, the Corporations rights or the

Bidders obligations under the Contract; or
Whose rectification would affect unfairly the competitive position
of other Bidders presenting responsive Bids.

12.2.3

12.3 If a Bid is not substantially responsive, it will be rejected by the

Corporation, and may not subsequently be made responsive by correction or
withdrawal of the non-conforming deviation or reservation.
13.0

CORRECTION OF ERRORS
13.1 Bids determined to be responsive will be checked by the Corporation for any
arithmetic errors. Errors will be corrected by the Corporation as follows:
13.2 Where there is a discrepancy between the rates in figures and in words, the
rate in words will govern; and
13.3 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;
13.4 The amount stated in the Bid will be adjusted by the Corporation in
accordance with the above procedure for the correction of errors and, with
the concurrence of the Bidder, shall be considered as binding upon the bidder.
If the Bidder does not accept the corrected amount the Bid will be rejected,
and the EMD shall be forfeited in accordance with Clause 2.0 part III
(Commercial & Financial Conditions)

14.0 EVALUATION AND COMPARISON OF BIDS

14.1 The Corporation will evaluate and compare only the Bids determined to be
responsive in accordance with clause 12, Part -I above.
14.2 In evaluating the Bids, the Company will determine for each Bid the
evaluated Bid Price by adjusting the Bid Price as follows:

Page 20 of 98

14.2.1 Making any correction for errors pursuant to Clause 13 above making
appropriate adjustments to reflect discounts or other price
modifications offered in accordance with Sub Clause 6.5 Part I above.
14.2.2 Manner of evaluation of Price-Bid will be done on Overall Price basis
which includes weighment charges and Service Tax.
14.3 The Corporation reserves the right to accept or reject any alternative offer.
Alternative offers and other factors which are in excess of the requirements
of the Bidding documents or otherwise result in unsolicited benefits for the
Corporation shall not be taken into account in Bid evaluation.
14.4 The estimated effect of the price escalation conditions under Clause 16 of
part IV (Special Conditions), during the period of implementation of the
Contract; will not be taken into account in Bid evaluation.
14.5 If the Bid of the successful Bidder is seriously unbalanced in relation to the
Corporations or its nominees estimates of the cost of work to be performed
under the contract, the Corporation may require the Bidder to produce
detailed price analyses for any or all items of the Bill of Quantities, to
demonstrate the internal consistency of those prices with the implementation
methods and schedule proposed.
14.6 Requirement of submission of analysis by the bidder should be complied and
submitted to the Corporation or his nominee within the stipulated time fixed
by the Corporation or his nominee failing which the bid would be treated as
non responsive.
15.0

CORRUPT OR FRAUDULENT PRACTICES

15.1 The Employer requires that Bidders under this contract observe the highest
standard of ethics during the execution of this contract. In pursuance of this
policy, the Corporation:
15.1.1 defines, for the purpose of these provisions, the terms set forth as
follows:
15.1.1.1 Corrupt Practice means the offering, giving, receiving or
soliciting of any thing of value to influence the action of a
public official in the procurement process or in contract
execution; and
15.1.1.2 Fraudulent Practice means a misrepresentation of facts in
order to influence a procurement process or the execution of a
Page 21 of 98

contract to the detriment of the Corporation, and includes

collusive practice among Bidders (prior to or after bid
submission) designed to establish bid prices at artificial noncompetitive levels and to deprive the Corporation of the
benefits of free and open competition.
15.1.2 Will reject a proposal for award of work if he determines that the
Bidder recommended for award has engaged in corrupt or fraudulent
practices in competing for the contract in question.
15.1.3 Will declare a Bidder in eligible, either indefinitely or for a stated
period of time, to be awarded a contract/contracts if he at any time
determines that the Bidder has engaged in corrupt or fraudulent
practices in competing for, or in executing, the contract.
16.0

GENERAL
CONDITIONS
OF
AGREEMENT
AND
SPECIFICATIONS FORM PART OF BID DOCUMENTS

STANDARD

Intending Bidders are advised to study the Instructions to Bidders, the General
and Special conditions of the agreement, the work and drawings and to make
themselves familiar with their contents. All such instructions to Bidders shall
govern the agreement and shall form part of the agreement and bind the Bidders.
17.0

TENDERERS TO STUDY DRAWINGS, SPECIFICATIONS AND LOCAL

CONDITIONS OF WORK AT SITE:
17.1

Bidders should, in their interest, study the map, drawings and specifications
and in regard to the different materials referred to in the specifications or
indicated in the drawings, satisfy themselves as to the source of supply of
the materials and sufficiency and adequacy thereof in relation to the
purposes for which they are intended. It will be presumed that Bidders
have visited and seen the site at which the work is to be executed and that
bids are based on a full knowledge of working conditions of soil,
availability of materials, water, electric power, labour, transportation
facilities, probable sites for labour camps and stores, go-downs, and the
extent of lead and lift and all other factors involved in the execution of the
works.

17.2

Any information or any matter derived from these tenders documents, including plans, drawings and specifications or obtained from the
Corporation as defined in the General conditions of Contract shall not
absolve or relieve the Bidders of any risk or of fulfilling all the terms and
conditions of the bid including execution of all details which shall also cover
Page 22 of 98

incidental works not particularly mentioned in the tender documents but

which, whether temporary or permanent, must evidently be required by
reason for the nature of the works included in the tender. It shall be
deemed that the Bidders has understood the position as set forth above
while framing his bid.
18.0

CLARIFICATION OF CONTENTS OF TENDER DOCUMENTS:

Should an intending Bidders require any clarifications in connection with or
point covered by the tender documents or as to any matter or thing to be done or
not to be done by him in the event that the work is awarded to him, he must
submit a request for such clarifications in writing so as to reach the DGM(Min)KIOM, NMDC Ltd., Donimalai Iron Ore Mine, PO: Donimalai Township 583 118,
Bellary Dist. Karnataka, at least seven days in advance of the last date of the
tender sale. Copies of any such clarifications furnished by the Corporation will
be supplied to all other intending Bidders to whom sets of tender documents
may have been sold by the Corporation and such clarifications will constitute
addenda and be read as part of the tender documents.

19.0

INFORMATION TO BE FURNISHED BY THE BIDDERS ALONGWITH BID

Each Bidder shall submit a declaration as to whether he is an Individual, Firm, or
Association of Firms, Company or Corporation and has successfully carried out
work of that type and magnitude covered by these Tender documents and has the
requisite capability including technical and other resources to handle the work.
Full information, supported by documentary evidence shall be furnished by the
Bidder in regard to the following among other things so as to demonstrate his
ability to undertake the work as specified. The Bidder should be financially sound
and shall submit a solvency certificate issued by any scheduled Commercial
banks including foreign bank having a branch in India in addition to
Nationalized Bank for a value not less than Rs. 858 Lakhs and dated not earlier
than three months from the due date of submission of bid.
19.1 In the case of firm, Company or Corporation the following are to be
submitted:19.1.1 The legal name, the nature of business and the date and place of
registration (including the state of Incorporation where it is
Incorporated/Registered as the case may be);
19.1.2 The Authorized, Subscribed and Paid Up Capital;
19.1.3 The names and addresses of all Directors, including those of the
Chief Executive, President, Secretary or other person authorized to
Page 23 of 98

bind the Firm, Company or Corporation in the matter. (A copy of the

Memorandum and Articles of Association should be enclosed);
19.1.4 In the case of partnership, the names and addresses of partners (A
copy of the Partnership Deed should be enclosed);
19.1.5 In the case of an Association of Firms, the details of all the
participating firms should be enclosed;
19.1.6 Previous experience indicating the similar type of work with details of
engaging of Plant & Mining Machineries on hire basis for working in
Iron Ore Mine or other ore Mine, during the last 7 (seven) years
ending last day of month previous to the one in which applications are
invited with value (Copy of Work Order & satisfactory completion
Certificate is to be submitted along with tender Document).
19.1.7 Details of other works, if any tendered for and in hand on the date of
submission of the tender as also the list of important work(s) executed
by the tender in the following proforma:

Sl.
No.

Name
of
work

Work order
No. & date

Name &
Address
of Company
authority
for whom
executed

Total cost
of work
(Rs.in
lakhs)

Appx. Cost
of work
Executed
by Bidder
(Rs.in lakhs)

Month/
Year of
Completion
of work

Above information should be supported by documents i.e. Work Order,

Agreement Copies & satisfactory completion certificate. TDS Certificates for the
works executed for Private Organizations.
19.1.8 Full details of Key/ Statutory/Technical personnel of the Bidders,
who will be assigned to this work;
19.1.9 Complete relevant equipment details (with full specifications,
registration number, ownership, if not owned furnish the agreement
of hiring the Equipment for usage of
heavy earth moving
equipments like Drills, Dozers, Tippers, Excavators, Water
Sprinklers, Weigh Bridge. In case of hired/leased Equipment, the
copy of the agreement with the Owner and the Ownership Certificate
of those equipment to be submitted along-with Bid;
Page 24 of 98

19.1.10 Sufficient facts concerning financial resources;

19.1.11 Statement duly signed declaring the names of Directors, Officers of
the rank of Assistant Manager and above of Corporation who be
related to him;
19.1.12 Declaration to be given by the Bidder on his letter head that the firm
is not blacklisted by any PSU/Govt Body. On verification if it is
found that the Bidder has given misleading /false information, then his
Bid will be summarily rejected.
19.1.13 Authority to seek references from the Bidders bankers;
19.1.14 Information regarding any litigation, current or during the last
seven years, in which the Bidder is involved, the parties concerned,
and disputed amount;
Non-submission of documentary evidence on any of the above mentioned
aspects may render the tender liable to be summarily rejected. The Corporation
will be the sole judge as to the merits of the Bidders ability to perform the
work.
20.0

LICENCES UNDER CONTRACT LABOUR (Regulation & Abolition) ACT, 1978.

The Bidders should ensure the obtention of requisite license for engaging the
man power from the appropriate Licensing Officer under Chapter IV.12 (1) of the
Contract Labour (Regulation & Abolition) Act, 1978.
If the party has carried out the similar nature of work in past or if there is any
running work a copy of the license obtained to be enclosed as stated.

21.0

CORPORATION'S RIGHTS
21.1 TO REJECT TENDERAward of the work will be made at the absolute discretion of the Corporation,
which shall not be questioned. The Corporation reserves to itself the right to
reject any tender without assigning any reason whatsoever. A Bidder whose
tender is not accepted shall not be entitled to claim any costs, charges, expenses incidental to or incurred by him, through or in connection with the

Page 25 of 98

preparation and submission of his tender. Conditional tenders may be

rejected without assigning any reasons thereof.
21.2 TO SPLIT THE WORKThe Corporation also reserves the right to split the work/works indicated in
the tender document without assigning any reason.
22.0 ADVICE OF RESULT OF TENDERS:
Successful Bidders will be advised of the result by the Corporation by a written
communication.
23.0

SUB-CONTRACT OF WORKS IN WHOLE OR PART:

23.1 The selected Bidder shall not assign or grant any work or any part thereof or
any share or interest therein in favour of any one without the special
permission in writing of the Corporation in each case and except upon such
conditions as the Corporation may think fit to prescribe. Even in the event of
any part thereof is permitted by the Corporation, the fact that such
permission has been accorded shall not establish any relationship between
such other firm and the Corporation and the selected bidder shall always
remain responsible to the Corporation for the work being done under his
sole responsibility and at his own risk under the same conditions as if done
by him;
23.2 If intending Bidders desire to sub-contract the work or any portion thereof,
full details of the persons/party proposed to be employed by them shall be
furnished showing the name and place of business of each such person or
party and the amount and nature of the work to be performed by each of
them;
23.3 Any person/party other than the Bidder herein will have no claim
whatsoever on the Corporation for the work done by him for the Company;
23.4 Further the contractor cannot give back to back contracts or sublet the whole
contract.

24.0 WRITTEN AGREEMENT COVERING WORK.

The written instrument of agreement governing the work to be entered into
between the Corporation and the selected Bidder shall be in conformity with the
draft enclosed in all respects.

Page 26 of 98

25.0

PERIOD OF VALIDITY:

25.1 Bidder should expressly and in clear terms undertake to keep their tenders valid
and open for acceptance by the Corporation for a period of six months reckoned
from the date fixed for opening of Part- A of the Bid.
25.2 If due to any reason the bid could not be finalized by the Corporation, in such
case the extension of the bid validity by the bidder shall be asked for a suitable
period. Extension of the bid validity for the required period if not done, the bid
will not be considered valid.
26.0 ADDRESS OF BIDDERS:
Bidders are required to state in the Bid their current address fully and correctly.
All notices, communications and references to any Bidder by the Corporation shall
be deemed to have been duly given to the bidder if delivered to the bidder or
posted to the address given in the case of posting on the day on which they would
have reached such address in the ordinarily course of post and in other cases on the
day on which they were so delivered or left.
27.0 SERVICE TAX:
Price quoted shall be firm and fixed without any escalation during the entire contract
period and shall be inclusive of all taxes excluding service tax.
Service Tax is to be quoted separately in the column mentioned in the price schedule.
The applicable service tax is 14.50%.
On examination of bids, if the percentage of service tax and amount indicated by the
bidder is found to be incorrect, NMDC reserves the right to correct the service tax as per
applicable tax provisions for the purpose of evaluation of bids.
The portion of service tax of successful bidders will be reimbursed against submission of
documentary evidence.
Further, statutory variations in the rate of service tax during the contract period will also
be paid/ recovered against documentary evidence.
The service tax registration number issued by the concerned authorities is to be
provided by the tenderer.
28.0 NO CLAIM IF WORK IS ABANDONED OR POSTPONED:
The successful bidder shall have no claim whatsoever against the Corporation if the
work or any part thereof covered by these tender documents is postponed to any later
date or abandoned in the overall interest of the Corporation for any reason whatsoever.
The Corporation's decision in the matter shall be final and binding on successful bidder.
29.0
INTEGRITY PACT:
The tenderer must accept the Integrity Pact enclosed along with the tender
document and shall submit the same duly signed along with the offer in a separate
sealed envelope super scribed with Integrity Pact. Offer of the tenderer received
without duly signed Integrity Pact will not be considered.
**********************
Page 27 of 98

NMDC LTD
KUMARASWAMY IRON ORE MINE
PO: DONIMALAI TOWNSHIP - 583 118
DIST: BELLARY, KARNATAKA.
PART - II
GENERAL TERMS AND CONDITIONS
1.0 CORPORATION TO BE INDEMNIFIED
The Firm/Company/Individual Bidder shall at all times indemnify the Corporation, against any claim which may be made under the Workmen's Compensation
Act, 1923 or any Statutory modification thereof or otherwise for and in respect of
any damages or compensation payable in consequence of any accident or injury
sustained by any workmen or other person whether in employment of the
awardees work or not.
2.0 POSSESSION OF THE SITE
2.1 Site which is the subject matter on lease will be available as soon as the
contract is signed. The Corporation shall give possession of all parts of the
Site to the successful bidder, free from encumbrance within 7 days from issue
of LoI subject to submission of Contract for Work duly signed as laid out
at page No.8 of this NIT. If possession of a site full or part is not given by the
date stated in the Contract Document, the Corporation is deemed to have
delayed the start of the relevant activities. In that case, Corporation may extend
the time for completion of the work by such period as it may consider necessary or proper. However, no compensation/damage whatsoever for not giving
the entire site and or giving the site gradually will be accepted;
2.2 The decision of the Corporation as to the need for grant of extension of time to
the Firm/Company/Individual Bidder shall be final and shall not be called in
question.
3.0 MINING LEASE
3.1 The area to be worked by the Machinery of the Firm/Company/Individual
Bidder is only a part of the mining area granted on lease to Corporation by the
State Government. In case the lease so granted is cancelled or operation of
mining is stopped or it is later withdrawn, the Firm/Company/Individual
Bidder shall have no claim for damages or otherwise upon Corporation
Page 28 of 98

3.2 The Firm/Company/Individual Bidder shall be deemed to have acquainted

himself with the terms and conditions of the lease deed between the State Govt.
and Corporation and shall duly observe all the terms and conditions thereof
and shall not do any act or suffer any omission whereby the lease held by
Corporation from State Govt. is likely to get jeopardized and expose
Corporation there-under to any legal or financial obligations. The
Firm/Company/Individual Bidder shall keep Corporation fully indemnified in
that behalf to the State Govt. limited to his activities. Any damage caused to the
Corporation due to the above will be fully compensated by the contractor
4.0

RESPONSIBILITY OF THE FIRM/COMPANY/INDIVIDUAL BIDDER:

The Firm/Company/Individual Bidder shall so arranges and plans the progress
of the work that the time schedule fixed by NMDC for mining is duly observed.
In this respect, time shall be the essence of the contract. The entire responsibility
for executing the work in an efficient manner and as per the directives of
NMDC shall be that of the Firm/Company/Individual Bidder.

5.0

MANNER OF WORK UNDERTAKEN

5.1 The Firm/Company/Individual Bidder shall commence execution of the Works
on or before the Start Date; the date so mentioned in the Letter of Intent
(LOI)/Letter of Award (LoA) and shall complete it to the entire satisfaction of
the Corporation in conformity with the instructions issued from time to time.
5.2 The Firm/Company/Individual Bidder shall carry out the Works in accordance
with the program submitted by the Contractor as updated with the approval of
the Corporation or his nominee, and complete them by the Intended
Completion date mentioned in the Letter of Award of Contract.
5.3 The Firm/Company/Individual Bidder shall submit to the Engineer-In-charge
progress report of the work done, at such intervals as may be prescribed by
him.
5.4 The Firm/Company/Individual Bidder shall fully and finally complete the
work covered under scope of work [with such changes as may be directed] by
the date stipulated in the agreement, provided that if any changes have been
ordered, which, in the opinion of the Corporation, have materially increased
the magnitude of the work, such extension of time may be granted as may
appear to the Corporation to be reasonable in the circumstances provided
further that the Firm/Company/Individual Bidder shall be responsible for

Page 29 of 98

requesting such extension of time as he may consider necessary as the cause

thereof shall arise.
5.5 Failure or delay of the Corporation to hand over to the
Firm/Company/Individual Bidder necessary drawings, instructions or any
other delay by the Corporation due to any other cause whatsoever shall in no
way affect or vitiate the contract or alter the character therefore or entitle the
bidder to damages or compensation therefore provided that the Corporation
may extend the time for completion of the work by such period as it may
consider necessary or proper.
5.6 The decision of the Corporation as to the need for grant of extension of time to
the Firm/Company/Individual Bidder shall be final and shall not be called in
question.
6.0

EQUIPMENT/ PLANT & METHODS OF WORK

6.1 The plant and equipment provided by the Firm/Company/Individual Bidder
and their method of working and organizations for handling the work shall be
such as will secure satisfactory quality of work and rate of progress which, in
the opinion of the Corporation, will ensure the completion of the work within
the time herein specified.
6.2 The Firm/Company/Individual Bidder shall give the Corporation full
information in advance as to his plans for carrying on each part of work, if at
any time before commencement or during the progress of the work any part of
the Firm/Company/Individual Bidders equipment or facilities or any of his
methods of executing the work appears to the Corporation to be unsafe or
inadequate or his organization insufficient to ensure the requirement of
quality or rate of progress of the work they may order the contractor to change
or improve his equipment, facilities, methods & organization and the contractor
shall promptly comply with such orders, but neither compliance with such
order nor failure of the Corporation to issue such orders shall relieve the
contractor of his obligation to secure the degree of safety, the quality of work
and the rate of progress required by the contractor.
The
Firm/Company/Individual Bidder alone shall be responsible for the safety and
adequacy of his plant, equipment and methods.
6.3 Before proceeding with the erection / construction of any plant, including
temporary structures machinery and equipment, the firm/Company/
Contractor shall furnish the Corporation with information and drawing of all

Page 30 of 98

such structures and information as to the capacities and capabilities of the

machinery and equipment, for approval.

7.0

TEMPORARY WORKS/WORKSHOP
7.1 Corporation will provide the necessary work site for setting up a temporary
work shop/works by the Firm/Company/Individual Bidder. The expenditure
for setting up a temporary shed for the workshop is to be borne by the
Firm/Company/Individual Bidder himself.
7.2 The Firm/Company/Individual Bidder shall submit Specifications and
Drawings showing the proposed Temporary Works to the Corporation or his
nominee, who is to approve them if they comply with the specifications and
Drawings.
7.3 The Contractor shall be responsible for design of Temporary Works.
7.4 The Corporation or his nominees approval shall not alter the Contractors
responsibility for design of the Temporary Works.
7.5 All Drawings prepared by the Contractor for the execution of the temporary or
permanent Works, are subject to prior approval by the Corporation or his
nominee before their use.

8.0

SUPERVISION OF THE WORK BY THE FIRM AND THE FIRMS AGENT

AND HIS SUPERVISORY STAFF AT THE WORK SITE.
8.1 The Firm/Company/Individual Bidder shall have the sole and exclusive
responsibility for supervision of the work and all workmen engaged therein.
The work shall receive the firms best skill, attention and supervision.
8.2 The Firm/Company/Individual Bidder shall keep at all time, on the work site
while the work is in progress, a properly qualified and competent agent duly
authorized and empowered to act for him and to receive on his behalf all
such notices and communications as the Corporation or the Mines Manager or
Engineer in Charge may wish to issue from time to time. From the moment the
agent so appointed takes charges of the work such notices and communications
shall operate as if the Firm/Company/Individual Bidder itself has received
them and all acts done by such agent shall be as binding as if done by the
Firm/Company/Individual Bidder itself notwithstanding absence of formal
authority or definite instructions from the Firm/Company/Individual Bidder to
Page 31 of 98

the said agent or any purported restrictions of powers or limitation of authority

imposed by the Firm/Company/Individual Bidder. The agent so appointed by
the Firm/Company/Individual Bidder shall be a person of adequate status and
must have been accepted as satisfactory by the Corporation. It shall be open to
the Corporation to enforce replacement of the agent by the firm/Company/
Contractor in the event that the Mines Manager deems the agent incompetent
or otherwise unacceptable at any time after the appointment has been made.
8.3 The Firm/Company/Individual Bidder shall also place and keep at all times on
the work site efficient and competent supervisory staff to give the necessary
directions to his workmen and to ensure to employ and deploy only such
worker and labourers as is of proved ability and competence. It shall be open
to the Corporation to enforce replacement by the firm of any of his supervisory
staff whom the Mines Manager may deem incompetent or otherwise
unacceptable. In the event that the Mines Manager is of opinion that the
Firm/Company/Individual Bidder is at any time not employing & deploying a
sufficient number of supervisory staff or workmen to enable the work to be
completed as laid down in the schedule of deliveries, the firm shall employ
& deploy such additional supervisory staff and workmen as may be specified
by the Mines Manager.
9.0

FIRM/ COMPANY/ CONTRACTOR TO OBTAIN ITS OWN INFORMATION

AND TO BE RESPONSIBLE FOR PROVISION OF ALL FACILITIES
NECESSARY FOR THE SATISFACTORY PERFORMANCE OF THE WORK.
9.1 Failure of the Firm/Company/Individual Bidder to fully acquaint themselves
with all aspects of the work prior to the submission of his bid shall not relieve
him of the responsibility of performing the work in accordance with the
agreement and to the full satisfaction of the Mines Manager. It is understood
and agreed that before submitting his tender, the firm has carefully studied the
specifications, drawings and the work site and has satisfied himself fully as to
the nature and location of the work, the working condition prevailing at the site
surface conditions, the quality and availability of labour, the character, quality,
quantity and availability of materials, availability of water and power,
transportation facilities including existing roads and other system of
communications, the kind of equipment and facilities necessary for the
performance of the contract, sites for labour camps, stores, go-down etc. the
extent of lead and lift and statutory laws and regulations governing work of
the nature contemplated and he shall be deemed to have provided for these in
the rates quoted by him and accepted by the Corporation.

Page 32 of 98

9.2 It is further understood that the Corporation shall not be responsible or liable
in any way for the supply of equipment, articles, materials or stores of any
description except those in respect of which it has in terms of the agreement
specifically assumed the responsibility for supply. The firm shall make its
own arrangements and at his own cost, or personal equipment, materials,
handling transport, lead and lift, labour, housing, sanitation and medical
facilities for labour, construction tools and plant, water, electric power,
workshop, insurance, payment of taxes and duties, watch and ward,
lighting, pumping, procurement of all permission and license necessary for the
execution of the work and all other facilities of every description, which, under
the contract, are to be provided by the Firm/Company/Individual Bidder and
are necessary for the satisfactory performance of the agreement and that the
rates quoted by him and accepted by the Corporation shall constitute full
compensation to the firm therefore.
9.3 In the event that the Firm/Company/Individual Bidder seeks the assistance of
the Corporation in the procurement of any stores, materials or equipment
and the Corporation agrees to assist him by using its good offices, it shall be
clearly understood that such assistance by the Corporation shall not relieve the
firm of his responsibilities for procurement of such stores, materials or
equipment and to complete the work within the agreed time schedule and that
the Corporation shall not in any way be liable for any delay, loss or damage
that may occur as a result of non-availability of any item of stores, materials or
equipment in time.
10.0

DELIVERY OF NOTICE AND COMMUNICATION.

All notices and communications addressed by the Corporation to the
Firm/Company/Individual Bidder or by the Firm/Company/Individual Bidder to
the Corporation concerning the works to be executed under the agreement shall
be in writing. No notice or communication which is not in writing shall be recognized.

11.0 SERVICE OF NOTICES AND COMMUNICATIONS ON THE FIRM

11.1 The Firm/Company/Individual Bidder shall furnish to the Corporation the
name, designation and address of his authorized agent at the work site. All
notices and communications intended for the firm shall be deemed to have
duly delivered to him by the Corporation or the Mines Manager if left at or
posted to the address so given.
11.1.1 In the case of posting on the day of which they would have reached
such address in the ordinary course of post; and
11.1.2 In other cases, on the day on which they were delivered to or left at
such address.
Page 33 of 98

12.0

SERVICE OF NOTICE AND COMMUNICATIONS ON THE CORPORATION

AND THE DGM(Min)-KIOM
Notices and Communications addressed to the Corporation or the DGM(Min)KIOM, as the case may be, shall be deemed to have been duly delivered.
12.1 In the case of the Corporation, if left at or posted to the address of the
Corporation's authorized representative at the project site.
12.2 In the case of the DGM(Min)-KIOM, if left at or posted to the address of his
authorized representative at the project site and shall be deemed to have
been delivered in the case of posting on the day on which they would have
reached such address in the ordinary course of post and in other cases on the
day on which they were delivered to or left at such address. Notices and
communications addressed to the Corporation shall be valid only if duly
signed by the contractor or a person duly authorized him and acting for him
on his behalf.

13.0

CHANGES IN WORK.
13.1 The quantities set out by the Corporation in the schedule of excavation
annexed to and forming part of the contract are the quantities of ROM and
Waste to be excavated by the contractor including transportation,
Weighment, Crushing & Screening of ore and stacking at designated areas
etc, in fulfillment of his obligations under the agreement.
13.2 The Corporation may, without invalidating the contract and without notice to
the Firm/Company/Individual Bidders sureties, if required, require the firm
to perform extra quantities of work not included in the schedule of
Quantities and Rates and make change within the general scope of the work
covered by the agreement or otherwise relating to the work.
The
Firm/Company/Individual Bidder shall perform such extra quantities of
work or comply with such changes and variations in the manner and to the
extent specified in written orders approved by the Corporation and issued by
the Mines Manager.
13.3 Any extra quantity of work ordered by the Corporation and executed by the
Firm/Company/Individual Bidder once, for which rate shall have been
provided in the schedule of rates shall be paid for at such rate. Any item of
work which is not included in the Schedule of Quantities and Rates and
which is to be performed by the firm in terms of change as referred to in subclause [2] hereof, the Firm/Company/Individual Bidder, within seven days
Page 34 of 98

of receipt of such order shall submit his rate to the DGM(Min)-KIOM prior
to commencement of such item of work, for consideration and sanction by the
Corporation. If the firm shall commence, such item of work or if any
expenditure is incurred in connection, therewith before obtaining the sanction
as mentioned before, the firm shall be entitled to be paid in respect of the said
extra work at such rate as may be fixed by the Corporation. If the nature of
amount of change of variation shall be such that in the opinion of the
Corporation the rate is rendered unreasonable or inapplicable, the
DGM(Min)-KIOM shall fix such other rate as he may in the circumstances
consider reasonable and the firm shall have no claim for any compensation
on account of any profit or advantage that might have occurred to him from
execution of the work in full and/or without change or variation as
aforesaid.
13.4 If there is delay in the Corporation and the Firm/Company/Individual Bidder
coming to an agreement on the rate of an extra work, rates as proposed by the
Corporation shall be payable provisionally till such time as the rates are
finally
determined
or
till
date
mutually
agreed
by
both
Firm/Company/Individual Bidder & Corporation.
14.0

OBLIGATION OF THE FIRM/COMPANY/INDIVIDUAL BIDDER

14.1 The Firm/Company/Individual Bidder shall provide requisite quarters,
shelters, rest rooms, toilet facilities, Canteen etc to his employees in
accordance with the Mining Laws, at places designated by Corporation.
14.2 The Firm/Company/Individual Bidder shall remove from the area any
employee who in the opinion of Corporation is an un-desirable person.
14.3 Authorized representative of Corporation will have all right to inspect with
workings; installations etc at any time and Firm/Company/Individual Bidder
will provide all facilities in this regard. They can also inspect the operations
carried on by him as also the records and books of accounts maintained by
him to satisfy themselves that the terms and conditions of the contract are
duly fulfilled.
14.4 Upon termination of this contract, due to whatsoever reason it may be, the
Firm/Company/Individual Bidder shall forthwith remove within one month
(Demobilization period) from the mines site all tools, Jigs, Drills and other
Machinery, Equipment and Vehicles which may have been brought by him
to the Mines in connection with hiring of plant and machinery. He shall
also remove all his personnel / employees and all the buildings, shelters, etc.
erected by him in the scheduled site. Failing which penalty shall be imposed
Page 35 of 98

on the Firm/Company/Individual Bidder by Corporation at the rate of 0.5%

(Half percent) of the total contract value of the work (as awarded) for every
month or part thereof which shall be elapsed after Demobilization period.
Provided that the total amount to be deducted under this condition shall
not exceed 1.5 % (One and half percent) of the total contract value of the
Contract as awarded.
14.5 Corporation may, without prejudice to its any other method of recovery,
deduct the above amount from any money in hands (including security
deposit), due, or which may become due, to the Firm/Company/Individual
Bidder under the contract or from any other contract between the
Firm/Company/Individual Bidder and the Corporation.
14.6 The items of property not so removed even after three months of
Demobilization period by the Firm/Company/Individual Bidder shall
become the property of Corporation, free of any compensation. There shall
lay no liability or compensation on Corporation for any unfinished works /
operation and / or left out materials not qualifying for payments as per work
schedules. Firm/Company/Individual Bidder shall have no claim on such
quantities of ROM and waste mined materials.
15.0

FAILURE OF THE FIRM/COMPANY/INDIVIDUAL BIDDER TO COMPLY

WITH THE PROVISIONS OF THE AGREEMENT
15.1 If the Firm/Company/Individual Bidder refuses or fails to execute the work
or any separable part thereof with such diligence as well ensure its
completion with the time specified in the agreement or extension thereof or
fails to complete the said work within such time or fail to carry out the
instructions of the Corporation, fails to perform any of his obligations
under the agreement, or the firm in any manner commits, a breach of any of
the provisions of the agreement, it shall be open to the Corporation, at its
option, by written notice to the Firm/Company/Individual Bidder:
15.1.1 To determine the contract, in which event the contract shall stand
terminated and shall cease to be in force and effect on and from the
date appointed by the Corporation on this behalf, whereupon the
contractor shall stop forthwith any of the contractor's work then in
progress except such work as the Corporation may in writing required
to be done to safeguard any property or work or installations from
damage and the Corporation for its part may take over the work
remaining unfinished by the firm and complete the same through
another firm or by other means at the risk and cost of the firm or any of
Page 36 of 98

its sureties, if any and the firm shall be liable to the Corporation for
excess cost occasioned by such work having to be taken over and
completed by the Corporation over and above the cost at the rates
specified in the schedule of Quantities and rates.
15.1.2

Without determining the contract to take over the work of the

Firm/Company/Individual Bidder or any part thereof and complete
the same through another firm or other means at the risk and cost of
the firm and its sureties, if any being liable to the Corporation for any
excess cost occasioned by such work having to be so taken over and
completed by the Corporation over and above the cost at the rates
specified in the Schedule of Quantities and Rates.

15.1.3

Before determining the contract as aforesaid and provided that in the

judgment of the Corporation the default or defaults committed by the
Firm/Company/Individual Bidder is or are curable and can be cured
by the Firm/Company/Individual Bidder if any opportunity is given
to him to do so allow the Firm/Company/Individual Bidder to rectify
the default/defaults within such time as may be specified in the
notice.

15.2 In the event that the Corporation proceeds in the manner prescribed in Clause
15.1.1 or 15.1.2 above.
15.2.1

The whole or part of the security deposit furnished by the

Firm/Company/Individual Bidder shall be forfeited without
prejudice to the right of the Corporation to recover from the firm the
excess cost referred to in the sub-clause aforesaid; the Corporation
shall also have the right of taking possession of and utilizing in
completing the work or any part therefore such materials, equipment
and plant belonging to the firm as may be at the site of the work and
necessary therefore and the firm shall not be entitled to any
compensation for use of or damage to such materials, equipment and
plant and the money that may have become due to the firm on
account of work executed by him already shall not be payable to him
until after the expiry of six [6] calendar months reckoned from the
date of determination of agreement or from the taking over the work
or part thereof by the Corporation as the case may be, during which
period the responsibility for faulty materials or workmanship in
respect of such work shall under the agreement rest exclusively with
the contractor and such money shall be subject to deduction of all
amount due from the firm to the Corporation whether under the
Page 37 of 98

terms of the agreement or otherwise or are authorized or required to

be reserved or retained by the Corporation.

16.0

15.2.2

The Corporation shall also have the right to proceed in the manner
prescribed in sub-clause 15.1.1 above in the event that the firm
becomes bankrupt or insolvent or compounds with his creditors or
assigns the agreement in favour of his creditors and any other
person or persons or being a company or goes into voluntary
liquidation, provided that in the said event it shall not be necessary
for the Corporation to give any prior notice to the firm.

15.2.3

Termination of contract as provided for as above shall not

prejudice or affect the rights of the Corporation, which may have
accrued up to the date such termination.

POWER OF THE MINES MANAGER / DGM(Min)-KIOM TO ORDER

SUSPENSION OF WORK.

16.1

The Mines Manager / DGM(Min)-KIOM may from time to time by direction

in writing and without any way invalidating the agreement order the firm to
suspend the work or any part thereof at such time or times and for such reasons
as he may consider necessary and the firm shall not restart after such direction
to suspend the work or any part thereof directed to be suspended until he
receives a written order from the Mines Manager / DGM(Min)-KIOM to
proceed. In the event of such suspension the Corporation may under the
provisions of the Agreement extend time for completion of the work or part
thereof by such period as it may consider reasonable. The decision of the
Corporation in the matter shall be final.

16.2

The work or any part thereof shall not be suspended by the

Firm/Company/Individual Bidder in any contingency without the prior
knowledge and approval of the Corporation and/or the Mines Manager/
DGM(Min)-KIOM. If the firm proposes to suspend the work or any part
thereof he should report to the DGM(Min)-KIOM, furnish the reasons
necessitating such suspension of work in detail and obtain his orders.

17.0 ACCESS TO WORK AND FACILITIES FOR INSPECTION:

17.1

The Firm/Company/Individual Bidder shall allow the Corporation or his

nominee and any person authorized by the Corporation or his nominee access
to the Site to any place where work in connection with the Contract is being

Page 38 of 98

17.2

carried out or is intended to be carried out and to any place where materials
or plant are being manufactured, fabricated and /or assembled for the works;
The Corporation, Mines Manager / DGM(Min)-KIOM, their Assistant
Managers, representatives, and employees shall at all times and for other
purposes, have access to the work and the premises used by the firm and the
firm shall provide safe and proper facilities therefore;

17.3 The Firm/Company/Individual Bidder entering in and upon every portion of

the work as well as every place at which materials for the work are stored or
are being prepared at all hours for inspection or for any other purpose
connected with agreement shall provide all labour, materials, equipment,
appliances and facilities of every kind required for the purpose;
17.4 The Firm/Company/Individual Bidder shall whenever so required give Mines
Manager / DGM(Min)-KIOM access to the proper invoices bills of lading etc.
and shall provide scale and assistance for weighing or measuring any material
of work.
18.0 WITH-HOLDING OF PAYMENT TO FIRM/COMPANY/INDIVIDUAL BIDDER
AND CORPORATION'S LIEN OF MONEY DUE TO THE FIRM/ COMPANY/
CONTRACTOR.
18.1 Progress payments may be at any time be withheld or reduced if, in the opinion
of the Corporation, the Firm/Company/Individual Bidder is not diligently and
efficiently endeavoring to comply with the terms of the agreement or if the
Firm/Company/Individual Bidder should fail to pay labour and material and
other bills as they become due.
18.2 The Corporation shall have a lien on all amount that may become due and
payable to the firm, under this or any other agreement or transaction of any
nature
whatsoever
between
the
Corporation
and
the
Firm/Company/Individual Bidder and the security deposit furnished by him
under the agreement for or in respect of any debit or sum that may become due
and payable to the Corporation by the Firm/Company/Individual Bidder
either alone or jointly with another either under this or any other agreement
or transaction of any nature whatsoever between the Corporation and the
Firm/Company/Individual Bidder unless the firm clears the claims of the
Corporation immediately on demand the Corporation shall be entitled to
deduct the said due or sum due by the Firm/Company/Individual Bidder from
the amount aforesaid and the security deposit without prejudice to the other
rights and remedies available to the Corporation.

Page 39 of 98

19.0 NOTICE OF TERMINATION

19.1 By Corporation, giving one month's notice in writing to the
Firm/Company/Individual Bidder for breach of any of the terms and
conditions contained in the work order or for breach of any of the provisions of
Mines Act 1952, / MM (R&D) Act, Mineral Concession Rule, Metalliferous
Mines Regulations 1961, Mineral Concession and Developments Rule and any
of the provisions of labour or any other laws, Notifications of the Government
or Appropriate Authority governing Mines and Mining operations or any other
applicable law.
19.2 By Corporation giving one month's notice in writing to the
Firm/Company/Individual Bidder without assigning any reason for
termination under this clause.
19.3 The work order shall automatically stand terminated forthwith without any
further notice in the event of the Government of Karnataka canceling the
Mining Lease No.1111 granted to NMDC Ltd., or Government of India or any
other Government Authority canceling the said Mining Lease prematurely. In
case the lease so granted is cancelled or operation of mining is stopped or it is
later withdrawn, the Bidder shall have no claim for damages or otherwise
upon Corporation.
19.4 In case the contract is foreclosed due to the reason attributable to the
Firm/Company/Individual Bidder, Corporation will have every right to get the
balance work done through some other agency at the risk & cost of the
contractor
19.5 No Compensation whatsoever shall be payable by the Corporation in case of
fore closure of the Contract due to the any of the reasons mentioned above
20.0 SETTLEMENT OF DISPUTES AND ARBITRATION
20.1 Except as otherwise specifically provided in the contract all disputes
concerning question of facts arising under the contract shall be decided by the
Engineer in Charge subject to written appeal by the Contractor to the Engineer
in Charge whose decision shall be final to the parties hereto.
20.2 Any disputes or differences including those considered as such by only one of
the parties arising out of or in connection with the Contractor shall be, to the
extent possible, settled amicably between the parties.

Page 40 of 98

20.3 If amicable settlement cannot be reached, then all disputed issues shall be
settled by arbitration as provided in clause 20.4 to 20.10 below, Part -II.
20.4 Settlement of all disputes though arbitration: All disputes or differences which
may arise between the Corporation and the Firm/Company/Individual Bidder
in connection with this contract (other that those in respect of which decision of
the corporation / Firm/Company/Individual Bidder is expressed in the
Contract to be final and binding) shall, after return notice by either party to
the other and to the Chairman-cum-Managing Director of NMDC Ltd., (who
will be appointing authority), be referred for adjudication to a sole Arbitrator
to be appointed as herein after provided.
20.5 The appointing authority will send within 90- (Ninety) days of the receipt of
the notice, a panel of three names of persons, not directly connected with the
work, to the Contractor only who will select any one of the persons named to
be appointed as a Sole Arbitrator within 30 (Thirty) days of receipt of the
names. If the appointing Authority fails to send to the contractor the panel of
3 (three) names as aforesaid within the period specified, the Contractor shall
send to the appointing authority a panel of three(3) names of persons, who
shall also be unconnected with the organization by which the work is executed.
The appointing authority shall, on receipt of names as aforesaid select any one
of the persons named and appoint him as the Sole Arbitrator. If the appointing
authority fails to select the persons and appoint him as the Sole Arbitrator
within 30 (Thirty) days of receipt of the panel and inform the
Firm/Company/Individual Bidder accordingly, the Firm/Company/Individual
Bidder shall be entitled to invoke the provisions of the Indian Arbitration and
Conciliation Act, 1996 and any statutory modification.
20.6 Settlement of disputes between two public sector enterprises and between a
Public Sector and an Government Of India Agency/Department shall be settled
amicably, failing which the arbitration shall be conducted in accordance with
procedure/guidelines (Office memo no: 15/9/86-BPE (Fin) dated 30-03-89) laid
down by the department of Public Enterprise, Ministry of Industries,
Government of India, from time to time.
20.7 The Courts at Hyderabad only shall have jurisdiction to entertain and
adjudicate any disputes.
20.8 The venue of Arbitration shall be the Head Quarter of NMDC Ltd.,
Hyderabad, Telangana, India. The Arbitrator shall decide the costs of
Arbitration also.

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20.9 The Arbitration award shall, in, addition to dealing with the merits of the Case,
decide which of the parties shall bear the costs of Arbitration or in what
proportion the costs shall be borne by the parties.
20.10 The parties shall continue to perform their obligation under this contract
during the Arbitration proceedings. No payment due to or payable to the
Contractor shall be withheld or delayed except as regards any particular
obligation or any particular payment which itself is or forms a direct part of the
subject matter of the Arbitration proceedings.
21.0 FIRM TO MAKE ITS OWN ARRANGEMENTS FOR SUPPLIES:
The Corporation shall not be responsible or liable in any way for the supply of
equipment, articles, materials or stores of any description, excepting those in
respect of which it has, in terms of the agreement, specifically assumed
responsibility for supply. The Firm/Company/Individual Bidder shall make its
own arrangements and at its own cost, for all tools and plant, equipment, stores,
labour, accommodation, water and power.
22.0

LIGHTING / POWER /HSD/ LUBRICATING OIL

22.1 `The Firm/Company/Individual Bidder shall be responsible for providing
and maintaining lighting & power in working area and their camp/shed
awarded to them, as stated therein prescribed by law or as may from time to
time be prescribed by the Mines Manager to the end that proper work shall
be done and that the Safety of the employees may be safeguarded. In case
such
regulations
and
orders
are
not
observed
by
the
Firm/Company/Individual Bidder, they may be enforced by the Engineer
In-charge at the Firm/Company/Individual Bidders expenses.
22.2

23.0

HSD & lubricating oil will not be supplied to Firm/Company/Individual

Bidder by the Corporation. In case of acute shortage, HSD will be supplied
to the Firm/Company/Individual Bidder at the rates fixed by the
Corporation from time to time and subject to availability. The charges for
the same will be deducted from the running bills of the
Firm/Company/Individual Bidder. No other items such as Stores and
spares required for the equipment will be supplied by the Corporation. Fuel
issued by the Corporation should not be used for purpose other than
production.

FIRM'S CAMP
23.1

The Firm/Company/Individual Bidder may at his option in lands owned or

controlled by the Corporation and allotted to him at Donimalai township
Page 42 of 98

for that purpose maintain and operate Camps and Mess Hall for the
convenience of his employees but patronage of such facilities shall be
optional with the employees. The Firm/Company/Individual Bidder shall
comply with all local legal requirements in respect of license or their
regulations in connection with such camps or services

24.0

23.2

The Firm/Company/Individual Bidder shall be responsible for maintaining

good atmosphere/healthy conditions in his camp and for providing
adequate fire protection facilities. The Firm/Company/Individual Bidder
shall have no authority to establish or to issue concessions or permits of any
kinds to their parties for establishing commercial amusement or other
establishments upon the lands owned or controlled by the Corporation.

23.3

No payment whatsoever will be made to the Firm/Company/Individual

Bidder for establishing camp or facilities for the convenience of employees.

PREMISES FOR OFFICE AND RESIDENTIAL PURPOSE

No Quarters will be provided by the Corporation to the employees of the
Firm/Company/Individual Bidder. However, some area for residence will be
allotted free of cost for setting up of the necessary sheds at Donimalai township by
the Firm/Company/Individual Bidder for the residence of the persons employed
by them. Water/electricity drawn by the Firm/Company/Individual Bidders
employees will be charged at the rates applicable from time to time. In
exceptional conditions or as a special case one or two quarters may be provided at
the discretion of the Management.

25.0

OCCUPATION AND USE OF LAND

The Corporation will in its discretion arrange land free of cost for the
Firm/Company/Individual Bidders office, field workshop, storage of his materials, location of his temporary structures, labour and staff colony etc. The
Firm/Company/Individual Bidder shall so arrange his temporary works, temporary structures, temporary storage areas etc. as not to interfere with the work of
Corporation. The Firm/Company/Individual Bidder shall not use or allow to be
used the land so made available to it for any purpose other than that of execution
of the work covered by the agreement. No land belonging to or in the possession
of the corporation shall be occupied by firm except with the previous permission in
writing of the Corporation.

Page 43 of 98

26.0

RIGHT OF WAY
The right of way for the facilities to be constructed under the specifications will be
provided by the Corporation. Nothing herein contained, however, and nothing
marked on the drawing shall be interpreted as giving the firm exclusive occupancy
of the territory provided. No such decision as to the method or times of
conducting the work or the use of the territory shall be made the basis of any claim
for delay or damage.

27.0

CO-OPERATION WITH OTHER AGENCIES

27.1

In order to provide for the complete and proper coordination in all faces of
the project, the firm shall cooperate to the fullest extent with the agencies
working on other faces of the project. The Firm/Company/Individual Bidder
shall confer with the Mines Manager reading details of pertinent faces of the
work which may affect the work to be performed under these specifications
and shall schedule to carry out his work in such a manner as to avoid any
interference with the facilities and the work of other contractors.

27.2

The Contractor shall co-operate and share the Site with other contractors,
public authorities, utilities, and the Corporation between the dates given in
the Schedule of other contractors. The Contractor shall as referred to in the
Con-tract Data, also provide facilities and services for them as described in
the Schedule. The Corporation may modify the schedule of other contractors
and shall notify the contractor of any such modification.

27.3 The Mines Manager may direct that certain facilities be used, mutually by the
firm and by such other agencies.
28.0

WATER SUPPLY
Except to the extent to which responsibility may have been assumed specifically by
the Corporation, the firm shall provide at its own expense and at each point of
construction or other required operation, adequate supply of water of a quality
suitable for all domestic and operation purposes. The Firm/Company/Individual
Bidder shall provide and operate all pumping plants, pipe lines and valves,
hydrants, storage tanks and all other equipment necessary for the adequate
operation of his water supply system. Water used for domestic purposes shall be
free from contamination and shall conform to the requirement of the regulations
governing drinking water.

Page 44 of 98

29.0

PROTECTION OF WORK
The Firm/Company/Individual Bidder shall protect the work and materials from
damage due to the nature of the work, the action of the elements, the carelessness
of other agencies or any other cause whatsoever, until the completion and
acceptance of the work. Should any damage occur, he shall repair at his own
expense to the satisfaction of the DGM(Min)-KIOM / Mines Manager.
The firm Firm/Company/Individual Bidder shall be responsible for such policing
of areas, its own materials, storage/store houses, equipment yards etc. as it may
require. The Corporation will accept no responsibility for protection or policing of
firm's equipment, tools or materials. The Firm/Company/Individual Bidder shall
take adequate steps to guard against fire and provide reasonable watchman service
to protect the work, its own property and the property of the Corporation under its
care.

30.0

CLEANING UP
During the progress of the work, the Firm/Company/Individual Bidder shall keep
the premises occupied by it in a neat and clean condition and free from any
accumulation of rubbish on the completion of any portion of work. The
Firm/Company/Individual Bidder shall promptly remove all of its equipment,
temporary structures and surplus construction materials not to be used at or near
the same location during later stages of the work. Upon completion of the work
and before the final payment is made, the Firm/Company/Individual Bidder shall
at its own cost and expense satisfactorily dispose of or remove from the vicinity of
the work and from all other land made available to him by the Corporation all
construction plant, building rubbish, unused materials and other equipment and
materials belonging to it and use its direction during construction and shall leave
the premises in a neat and clean condition. In the event of its failure to do so the
same may be removed and disposed of by the Corporation at the
Firm/Company/Individual Bidders expenses.

31.0

INDEMNITY
31.1 The Firm/Company/Individual Bidder shall at all times well and sufficiently
indemnify and keep indemnified from any and all liabilities for damage
resulting from or arising out or in any way connected with operations
covered by the agreement. The Firm/Company/Individual Bidder shall be
responsible for all risks arising in connection with or on account of the
operations covered by the agreement and he shall make good all the losses
and damages arising there from. In case the Corporation incurs any cost,
Page 45 of 98

expenses or loss on account of any claim, or cause of action brought against

them arising out of the operations covered by the agreement, the Corporation
shall be entitled to recover such cost, expenses or loss from the firm. The
Corporation shall have the power, without being bound to do so, to defend,
contest or compromise any such claim, demand or cause of action, and any
amount that may become payable by the Corporation and any expense that
may be incurred by Corporation on this behalf shall also be recoverable from
the firm.
31.2 The Firm/Company/Individual Bidder shall at all times, well and sufficiently
indemnify and keep indemnified the Corporation and its officials and hold
them harmless against any claim or demand which may be made against or
arising out of any use of existing patents or alleged infringement of such
patent or of other patents rights committed by the firm in carrying out the
operations covered by the agreement and against all such proceedings,
claims, or cost thereof, and against all acts, suits, proceedings, claims, cost and
expenses whatsoever may be taken or made against or incurred and become
payable by the Corporation in respect thereof.
31.3 All sums payable by way of compensation under any of these conditions shall
be considered as reasonable compensation to be applied to the use of the
Corporation without reference to the actual loss or damage sustained and
whether or not any damage shall have been sustained.
32.0

TITLE TO MATERIALS FOUND ON THE WORK

32.1 The title to all materials and to the right to the use of all water, soil, stone,
gravel, sand, clay, ballast, earth, rock, minerals, timbers and all other
materials developed or obtained in the excavation or other materials
developed or obtained in the excavation or other operation by the firm or its
agency or any of their employees and the right to use and dispose of the same
are hereby expressly reserved to the corporation and neither the firm for any
sub contractor nor any of their employees\agency shall have any right title or
interested in or to any part thereof; neither shall they nor any of them assert
or make any claim thereto. The Firm/Company/Individual Bidder may be
permitted by the Mines Manager to use the work without charges or payment
of such charges as may be prescribed by the corporation any such material
which in the opinion of the Mines Manager needs the requirements of
specifications.
32.2 Anything of historical or other interest or of significant value unexpectedly
discovered on the Site is the property of the Employer. The Contractor is to
notify the Nodal Officer or his nominee of such discoveries and carry out the
Nodal Officer or his nominees instructions for dealing with them
Page 46 of 98

33.0

NON-EXERCISE OF POWER NOT TO CONSTITUTE WAIVAL

It is agreed that in any case in which any of the powers conferred upon the
Corporation by the provisions of the agreement becomes, exercisable and the same
is not exercised, the non-exercise thereof shall not constitute waiver of any of the
conditions thereof, and such powers shall notwithstanding such non-exercise be
exercisable in the event of any
other case of default by the
Firm/Company/Individual Bidder, for which by any clause or clauses thereof is
declared liable to pay compensation and the liability of the
Firm/Company/Individual Bidder for past and future compensation shall remain
unaffected.

34.0

AUTHORITY TO RELIEVE THE FIRM OF OBLIGATIONS:

34.1 DGM(Min)-KIOM or his representative shall have no authority to relieve the
Firm/Company/Individual Bidder of any of its obligations under the
agreement except those expressly provided in the agreement but the
instructions of DGM(Min)-KIOM or his representative within the terms of
agreement shall be binding on the agreement, provided.
34.2 The failure of the Engineer In-charge to disapprove the ROM or any of the
action by the Firm/Company/Individual Bidder shall not prejudice the
authority of Mines Manager or DGM(Min)-KIOM or Head of project to
disapprove
the
mineral
on
the
malafide
action
of
the
Firm/Company/Individual Bidder and to order replacement of rejected
materials, and rectification of violations;
34.3 If the Firm/Company/Individual Bidder shall be dissatisfied by any decision
of the Engineer In-charge, he may be entitled to refer the matter to the Mines
Manager/ DGM(Min)-KIOM, who shall thereafter confirm, revoke or vary such
decision. In case the firm is not satisfied with the decision of the Mines
Manager, the full case may be put up with the comments of the Mines Manager /
DGM(Min)-KIOM for onward submission to the Head of Project, whose
decision will be final and binding.

35.0

PAID HOLIDAYS
The firm will make full payment of the day to the labour for the paid holidays
declared by the Corporation from time to time.

36.0

EMPLOYMENT OF PERSONS DISMISSED BY THE CORPORATION

The persons dismissed by the Corporation will not be employed by the
Firm/Company/Individual Bidder. If the Mines Manager is fully satisfied that the
activities of any particular, person[s] employed by the Firm/Company/Individual
Page 47 of 98

Bidder are against the interest of the Corporation, the Firm/Company/Individual

Bidder will remove the employee[s] from the services at his own expenses.
37.0

SUBMISSION OF REPORTS TO CORPORATION

The Firm/Company/Individual Bidder will submit the Reports and Returns as
provided for in the law and required by the Corporation or any law from time to
time.

38.0

ENGAGING MANPOWER FOR THE WORK

The Firm/Company/Individual Bidder should employ only skilled manpower for
operation and maintenance of equipment.

39.0

OPERATION OF MACHINERY
Only authorized operators are allowed to operate the equipment. No person other
than the helper attached to the equipment will be allowed to ride the equipment.

40.0 HIRE OF CORPORATION PLANT AND TRANSPORT.

40.1 The Corporation may, at its own discretion, provide on hire to firm such plant,
transport, cranes etc. as is available and can be spared for the use during the
execution of the works on such terms as may be specified by the Corporation.
40.2 The Firm/Company/Individual Bidder shall take all reasonable care of all
tools, plant and materials or other property belonging to the Corporation and
committed to his charge for the purpose of the work and shall be responsible
for all damages or loss caused by him, his agents or his workmen or others
while they are in his charge, the contractor shall sign accountable receipts for
tools, plant and materials, made over to him by the Corporation and shall
hand over the same back to the Corporation in good order and repairs, fair
wear and tear excepted and shall be responsible for any failure to account for
the same or any damage done thereto.
41.0

TRANSPORTATION OF CONTRACTORS MANPOWER

The Firm/Company/Individual Bidder has to make his own arrangements for
transportation of their manpower from township to the work spot and back

Page 48 of 98

42.0

MEDICAL FACILITIES IN CORPORATIONS HOSPITAL

Extending medical facilities to the employees of the Firm/Company/Individual
Bidder is at the discretion of the Corporation and the cost of the same will be
deducted from the running bills of the Firm/Company/Individual Bidder.

43.0

PF DEDUCTION, RECORDS & SUBMISSION OF RETURNS

The Firm/Company/Individual Bidder shall maintain all the records as required
by PF Statutory authorities and submit necessary returns as per the provisions of
the Act.

44.0 EMPLOYMENT OF CHILDREN

No children shall be deployed.
45.0 PAYMENT OF MINIMUM WAGES & OTHER STATUTORY OBLIGATIONS
The Firm/Company/Individual Bidder shall be liable and responsible for payment
of statutory minimum wages and other obligations such as ESI, PF, Compensation
under the Workmen Compensation Act, Bonus Act, PF Act etc. to his employees
fully.
46.0

SIGNATURE OF RECEIPTS FOR AMOUNT:

Every receipt for money or securities received by the Firm/Company/Individual
Bidder under these present shall be signed by the person who signed the
instrument of agreement governing the contract or by any other person who holds
a power of attorney from the Firm/Company/Individual Bidder to receive
payment or give receipts on this behalf.

47.0

COMPETENT & STATUTORY PERSONS

47.1 The Firm/Company/Individual Bidder should appoint sufficient numbers of
Competent Staff like Mechanics, Electricians, Fitters, Operators etc., fully
competent to do their job and acceptable to Corporation for efficient control of
his working under one Contractor's Representative. The staff so appointed
should have proper qualification and status to work on behalf of the contractor
and should be accountable to the Engineer In-charge / Mines Manager.
47.2 The Firm/Company/Individual Bidder shall employ the key statutory
personnel such as Mines Foreman to supervise the work as per statute. The
persons so appointed should have adequate qualification as per provisions
of MMR 1961. Non-compliance of provisions of MMR 1961 regarding
Page 49 of 98

appointment of Statutory persons deemed to be fundamental breach of

Contract by the Firm/Company/Individual Bidder, and in that case
Corporation may terminate the contract and will also have the right to
execute the balance work through an alternate agency at the risk & cost of
the Firm/Company/Individual Bidder.
47.3 The Corporation or his nominee will approve any proposed replacement of
Key personnel only if their qualifications, abilities, and relevant experience are
substantially equal to or better than those of the personnel removed.
47.4 The contractor shall provide necessary statutory staff for electrical
installations supervision. All Electrical Installations shall be under the
control of qualified Electrical Supervisor as required under the Mining
statute or applicable law.
47.5 If the Corporation or his nominee asks the Contractor to remove a person
who is a member of the Contractors staff of his work force stating the reasons,
the Contractor shall ensure that the person leaves the Site within seven days
and has no further connections with the work in the Contract.
48.0

FIRM/COMPANY TO COMPLY WITH LAWS, REGULATIONS, ETC.

48.1 The Firm/Company/Individual Bidder shall in all respects be deemed to be
and shall operate in conformity with Indian laws and shall be subject to the
jurisdiction of Indian Courts.
48.2 The Firm/Company/Individual Bidder shall keep itself fully informed of all
the laws, ordinance and regulations in any manner affecting those engaged or
employed on the work or the materials used in the work or any way affecting
the operations covered by contract and of all orders and decrees of bodies or
tribunals having any jurisdiction or authority over the same.
If any
discrepancy or inconsistency should be discovered in relation to any such laws,
ordinance, regulations, order or decree, the contractor shall forthwith report
the same in writing to the DGM(Min)-KIOM through Engineer I/C. He shall
at all times, observe and comply with all such laws, ordinance and regulations
from time to time in force and orders and decrees or competent courts or
tribunals having jurisdiction and shall protect and indemnify and keep
indemnified the Corporation and the DGM(Min)-KIOM against any claim or
liability arising from or based on the violation of such laws, ordinance, regulations, orders or decrees, whether itself or by its employees/agencies.

Page 50 of 98

48.3 The Firm/Company/Individual Bidder shall conform to the provision of the

all relevant Laws, Regulations and order etc., for the time being in force in
the execution of this work. In particular, he shall be responsible to comply
with the provisions of the Mines Act, Workmen's Compensation Act,
Minimum Wages Act, the Indian Explosives Act, Industrial Disputes Act,
Contract Labour [Regulation & Abolition] Act, Payment of Gratuity Act
1972, Equal Remuneration Act 1979, Payment of Bonus Act 1965, Industrial
Employments (Standing orders) Act 1946, Child Labour (Prohibition &
Regulation ) Act 1986 and the Rules and Regulations framed under the said
Acts and also comply with rules/regulations given by statutory authorities like
DGMS for operation and maintenance of his equipment.
48.4 The Firm/Company/Individual Bidder shall conform to the various
provisions of water pollution (Prevention and Control) Act and Air Pollution
(Prevention and Control) Act that are in force and also any other statutory
stipulation with regard to the pollution control, afforestation and ecological
balance etc. The Firm/Company/Individual Bidder shall also conform to the
various directives that may be given by the statutory authorities to
Corporation in respect of the environmental matter and maintenance of
ecological balance in respect of operation and maintenance of the equipment
and plant hired out by him. Corporation will take up the major pollution
control measures like building up Check Dams, afforestation, Environmental
monitoring at its own cost but the Firm/Company/Individual Bidder should
be responsible for the above in respect to protection, drainage and other
measure to avoid any pollution hazards.
48.5

If any amount becomes payable by the Corporation as a result of any claim

or application in terms of the provisions of the said Acts, the rules and
regulations there under, such amount shall be recoverable from the
Firm/Company/Individual Bidder. Any consequences arising out of the
non-compliance of safety provisions will be at the risk and cost of the firm.

48.6 The Firm/Company/Individual Bidder shall also be bound to give all notices
necessary and incidental to the due and lawful execution of the work and of all
operations covered by the contract and as may be required by the laws,
ordinances, regulations, orders and decree as aforesaid and to pay all the fees,
taxes and duties payable to any authority there under.
49.0

FORCE MAJEURE
Should at any time during the continuance of the contract the performance in
whole or in part of any obligations by either party under this contract be held up
Page 51 of 98

by reasons of any war, hostility, acts of foreign enemy, civil commotion, sabotage,
fires, floods, earthquakes, explosions, epidemics, cyclones, contamination by radio
activity from any nuclear fuel, or from any nuclear waste radioactive toxic
explosive, Pressure waves caused by aircraft or other aerial devices traveling at
sonic or supersonic speeds, tornadoes, earthquakes and landslides, loss or damage
due to the use or occupation by the Employer of any section or part of the
permanent works except as may be provided for in the Contract, quarantine
restrictions, Governmental regulations, law and order and other proclamations etc.
or any other happening including judicial, executive or Administrative orders of
any Competent Authority, which are beyond the control of either party
(hereinafter referred to as events), then provided notice of the happening of any
such eventuality is given by either party to the other within 15 days from the date
of occurrence thereof neither party shall, by reasons of such eventuality, be entitled
to terminate this contract nor shall either party have any claim for damage against
the order in respect of such non-performance or delay in performance, and the
work under this contract shall be resumed as soon as practicable after such
eventuality has come to an end or ceases to exist. The decision of the OWNER
/Purchaser as to whether to resume the work or not shall be final and conclusive, at
the discretion of the Owner / Purchaser, time of completion shall then be extended.
No idle charges for the equipment / manpower will be paid to the contractor.

50.0

SECURITY CHECKPOST
The system of issue of gate pass will be adopted for the persons entering the Mine
and
any
in-coming
or
out-going
equipment
belonging
to
the
Firm/Company/Individual Bidder. No movement of equipment out of the Mine
shall be permitted without issue of gate-pass by the Mines Manager.

**************

Page 52 of 98

NMDC LIMITED
KUMARASWAMY IRON ORE MINE
PO: DONIMALAI TOWNSHIP - 583 118
BELLARY DISTRICT, (KARNATAKA)
PART - III
FINANCIAL AND COMMERCIAL TERMS
1.0

AMOUNT AND MANNER OF DEPOSIT OF EARNEST MONEY

1.1

EMD as specified in NIT must be deposited by the Bidder with the

Corporation on or before the last date for submission of Bids.

1.2

Earnest Money can be deposited in any of the following forms:Demand Drafts payable at State Bank of Mysore / Canara Bank, Donimalai
Township Branch, District Bellary (Karnataka)

1.3

EMD can also be accepted in the form of an irrevocable Bank Guarantee of

any Nationalized Indian Bank/scheduled commercial bank including a
foreign bank having a branch in India. The format of BG for EMD is given
in Annexure-V of part-A. The said BG shall be valid for a period of 270 days
from due date of opening of Tender.
1.3.1

2.0

In case the Bidder wants to submit the EMD in the form of BG then
the Bidder should inform his banker that the original bank guarantee
should be sent to the tendering authority directly under registered
post (AD) and a copy of the BG shall be submitted along with the
Bid.

1.4

Payment of Earnest Money by cheque will not be accepted.

1.5

Earnest Money Deposit will not bear any interest. If due to any reason the
Tender could not be finalized, in such case the extension of the EMD by the
Bidder shall be asked for a suitable period. Extension of the EMD for
required period if not done, the bid will not be considered valid.

1.6

Request for adjustment of dues from the Corporation to Earnest Money will
not be entertained.

FORFEITURE OF EARNEST MONEY

The EMD will be forfeited in the case:
Page 53 of 98

3.0

2.1

The Bidder revokes his bid during his validity period

2.2

The Bidder modifies his offer after due date of submission of his bid

2.3

Validity of BG is not extended / kept valid for a period of three months,

beyond the extended validity of the offer

2.4

The Bidder increases the price unilaterally after opening & during the
validity of the offer

2.5

Subsequent to acceptance of the LoI , the successful Bidder refuses to enter

in to contract within the specified period

2.6

The Successful Bidder fails to submit the BG towards SD/CPG within the
specified period

2.7

The Successful Bidder doesnt commence the work within the specified
time as specified in Letter of Award/Work Order

2.8

The Successful Bidder provides any false information regarding Part A

(Techno Commercial Bid)

REFUND OF EMD
The EMD of the bidders whose bids are not qualified/not acceptable will be
refunded immediately after finalization of techno-commercial bids (Part-A), in the
form of DD to those bidders who deposited EMD in the form of DD without any
interest, upon receipt of a written request by the bidder after deducting bank
charges, if any. Those, who submitted EMD in the form of BGs, the same will be
returned duly to the unsuccessful bidders.
All the disqualified Bidders after finalization of Techno-commercial bid (Part-A)
will be communicated so that they may submit their written request for the refund
of EMD DD/BG.
The EMD of the bidders, who do not extend the validity of their offers beyond
stipulated period, when asked for by the Corporation, will be returned
immediately after the stipulated period and their offer will be rejected. Refund
of EMD for technically qualified/acceptable but unsuccessful bidders will be made
in the form of DD to those, who deposited EMD in the form of DD, after approval
of award the work to the successful bidder, without any interest, upon receipt of a
Page 54 of 98

written request by the bidder, after deducting bank charges, if any. Those, who
submitted EMD in the form of BGs, the same will be returned duly to the
unsuccessful bidders in the same way as stated above.
The EMD of the successful bidders will be returned after placement of order and
receipt of Security Deposit.
4.0

CONTRACT PERFORMANCE GUARANTEE (SECURITY DEPOSIT)

Within thirty (30) days of the date of letter of intent (LOI), the successful Bidder, to
whom the contract is awarded, shall furnish a bank guarantee /contract
performance guarantee (security deposit) from a nationalized Indian Bank, in the
format enclosed to the tender (Annexure-VI of part-A). The guarantee amount
shall be equal to 10% of the contract value. The guarantee shall be for due and
faithful performance of the contract in accordance with the terms and conditions
specified in these tender documents. The guarantee shall be valid for the total
Contract period plus three months.

5.0 CORPORATION'S RIGHT TO APPLY THE PROCEEDS OF SECURITY DEPOSIT

The Contract Performance Guarantee referred in Clause-4 of Part III above shall
be for the due, faithful and efficient performance of the work by the firm keeping
in view the excavation schedule of the work, as herein after mentioned in the
Clause-9 , part III. The Corporation shall also be entitled to apply the proceeds of
the Contract Performance Guarantee as well as of any other sums becoming due to
or payable to the Firm/Company/Individual Bidder, but which have not been
disbursed to him or have been retained with the Corporation towards meeting
whole or part of any expenditure, damages or losses, to which the Corporation
may be put as a result of any act of omission, negligence or default on the part of
the Firm/Company/Individual Bidder in relation to the agreement and / or for
defence or settling claims with respect to the sums owing by the firm of
other parties as a result of the agreement. Nothing contained in these tender
documents shall act to deprive the Corporation of its absolute right to apply the
proceeds of the Contract Performance Guarantee and other sums becoming due for
payment to the Firm/Company/Individual Bidder but which have not been
disbursed to him or have been retained with the Corporation to such purpose in
relation to the Contract/agreement as it may decide, without prejudice to the
Corporation's other right and remedies.

Page 55 of 98

6.0

GENERAL TERMS OF PAYMENT

6.1 The hire charges for the Equipment linked with a Minimum Level of

excavation of ROM and waste inserted in the schedule shall have the ROM
delivered at the Plant site and waste/low grade ore in the stock pile area as
shown by the Engineer I/C. All charges for drilling, loading, transporting,
weighing, crushing & screening and stocking at designated places shall be to
the account of the firm. The firm shall execute the subject work as per the
direction of the Engineer In-Charge. All charges for Hiring of Plant & Mining
Machineries for working in Kumaraswamy Iron Ore Mine as per subject work
of this NIT shall be to the account of the firm. The Firm/Company/Individual
Bidder shall submit his bill for payment once in a month to the Engineer I/C
during first week of the succeeding month. Payment against this bill as due to
him will be arranged within 15 days of submission of bill.
6.2 The payment shall be monthly. The Firm/Company/Individual Bidder shall
submit a bill in triplicate duly supported by a statement showing details of
Hiring of Plant & Mining Machineries for working in Kumaraswamy Iron Ore
Mine date wise in a chronological order duly certified by the designated
Engineer In charge of the work. The same shall be payable within a 15
(fifteen) working days from the date of receipt of the bill. The amount due
from the firm for any items, service materials, power, medical facilities etc. will
be deducted from the monthly bills.
6.3 Final payment for the work shall be released only after certification by the
Corporation or its nominee/ Engineer in charge on satisfactory completion and
performance of the contract in all respects by the Firm/Company/Individual
Bidder and upon return in good condition of any documents, drawings,
samples, materials and other property belonging to the Corporation, returnable
as per the contract , compliance of all other clearance or requirement as per the
contract and vacation of site in all respects by the Firm/ Company/Contractor.
6.4 The Corporation reserves the right to with-hold amounts due to it on account
of the Forest Dues owing to encroachment of non-deforested areas and felling
of trees from the Areas not to be worked by the firm on receipt of intimation
from the appropriate Government authorities responsible for the collection of
the same on account of failure on the part of the firm to remit these dues within
the stipulated/appointed time.

Page 56 of 98

7.0 PAYMENT OF HIRE CHARGES:

The payment of hire charges will be made on the basis of equipment working
hours for excavations of 1000 Tonnes Ore/Waste/Low Grade Ore and hourly rate
quoted. The payment for the hiring of Mining Machineries will be made only on
the following heads which is inclusive of any Auxiliary Equipments such as Water
sprinkler/Fuel Bowser required for smooth operation and maintenance of the
mining equipments and weigh bridges.
(a) Drilling Equipment:- Total charges on the basis of guaranteed drill working
hours for excavation of 1000 T Ore/Waste.
(b) Excavator/Loader:(i) Total charges on the basis of guaranteed Hydraulic shovel/Front End
loader working hours for excavation of 1000 T Ore/Waste from the working
face in the Mine. The calculation of ROM to C/P tonnage will be made by
totaling of finished product produced from the Screening Plant on feeding of
ROM to C/P.
(ii) Total charges on the basis of guaranteed Hydraulic shovel/Front end
loader working hours for loading of 1000 T of Crushed Ore from Plant/Stock
Pile(For sale).
(c) Transport Equipment (Truck/Tipper) :
(i) Total charges on the basis of guaranteed Truck/Tipper working hours for
1000 T of Ore/Waste transported from mine face to Crushing
Plant/designated stock pile for Low Grade Ore & Waste dump within
distance of 1.5 km.
(ii) Total charges on the basis of guaranteed Truck/Tipper working hours
for 1000T of Ore (Lump / Fines) transported from Plant to designated
Stockpile.
(iii) Total charges on the basis of guaranteed Truck/Tipper working hours
for 1000 T of low Grade Ore transported from designated Low Grade Stock
Pile and unloading into Crushing Plant Hopper.
(d)

Crushing and Screening:

Total charges on the basis of guaranteed working hours for crushing &
screening for 1000 T of ROM from Mine/Processing of Low Grade Ore from
Stock Pile.

(e)

Auxiliary Equipments
Dozer, Rock breaker, Water sprinkler, Fuel bowser etc.-Total charges on the
basis of guaranteed excavation of 1000 T Ore/Waste from the Mine.

(f)

Weighment Charges: On the basis of 1000 T Weighed (based on net weight)

Page 57 of 98

7.1

7.2
7.3

Payment will be calculated based on the guaranteed operating hours and

rate mentioned on part - B of schedule of rates for 1,000 tonnes of
excavation of ROM and Waste separately.
No payment will be made for idling of Machinery for any reason.
The Firm/Company/Individual Bidder has to quote the hiring rates
separately for different Mining Equipment deployed by him linked to the
overall excavation per month.

7.4

The payment of hire charges of excavation / production linked basis will be

made once in a month. However, the payment will not be more than
productivity rate.

7.5

The Hire charges shall include charges for Equipment Supply &
Maintenance and the Salary/Wages of operation and maintenance staff
etc.
Payment for initial development if any required for formation of approach
roads and benches will be computed on the basis of Waste generated
during the development stage.

7.6

8.0 SCHEDULE OF QUANTITIES

8.1 The schedule of excavation of ROM and Waste per month will be given by
Corporation for linking with hire charges. The quantities of work given in the
schedule of quantities must be strictly complied with. Any variation in the
quantities of work ordered by the Corporation cannot & shall not form the
basis of a dispute regarding the rates to be not paid nor give rise to any claim
for compensation on any account; such variations shall form part of the
contract & shall not be called in question;
8.2 Firm/Company/Individual Bidder should carry out mining operation in such a
way to meet the monthly schedule agreed. Any shortfall against the monthly
schedule will be penalized as per clause 15, part IV of Special Condition.
9.0

PENALTY FOR SHORT SUPPLY

As the charges are linked with production / excavation / transportation/crushing
and screening/stacking as per subject work of this NIT, penalty for short supplies
shall be levied in terms of the clause 15, part IV of Special Condition of this
tender document.

Page 58 of 98

10.0

IDLE WAGES
No idle charges will be paid for the men/machinery by the Corporation to
compensate for any idling caused to the contractor due to possible delays in
blasting done by Corporation or any other reason.

11.0

Bills submitted by the party shall indicate the Basic prices, taxes etc, without the
indication of applicable taxes, the bill will not be entertained.
***********************

Page 59 of 98

NMDC LIMITED
KUMARASWAMY IRON ORE MINE
PO: DONIMALAI TOWNSHIP - 583 118
DIST: BELLARY (KARNATAKA)
PART IV
SPECIAL CONDITIONS
1.0

SCOPE OF WORK
The scope of work involves Excavation of 90 Lakh Tonne (+/- 20%) of ROM and 15
Lakh Tonne (+/- 20%) of Waste / Low Grade Iron Ore in three years @ 30.00 Lakh
Tonne (+/- 20%) of ROM and 5.00 Lakh Tonne (+/-20%) of Waste / Low Grade Iron
Ore per year by engaging mining equipments for drilling, excavation,
transportation, Weighment, Crushing & Screening and stacking at designated
areas. Blasting will be done by NMDC at its own cost.
The execution of the subject work of Hiring of Plant & Mining Machineries for
working in Kumaraswamy Iron Ore Mine will be done anywhere within the
leasehold area of Kumaraswamy Iron Ore Mine as per the directions of EngineerIn-Charge.
1.1

DURATION OF CONTRACT
The duration of Work Order to be granted to the successful Bidder shall be for
a period of three years extendable by one more year at the discretion of
NMDC with mutual consent.

1.2

TARGETS
Production schedule during three year are:
Target for total contract
Particulars
period of three years
ROM to Crushing Plant 90.00 Lakh Tonnes ( +/- 20%)
Waste / Low Grade Ore 15.00 Lakh Tonnes (+/- 20%)
Mining
Total excavation
105.00 Lakh Tonnes (+/- 20%)
1.3

Annual Target for each year

30.00 Lakh Tonnes ( +/- 20%)
5.00 Lakh Tonnes (+/- 20%)
35.00 Lakh Tonnes (+/- 20%)

The Quantity ROM and Waste mining may vary keeping the total
excavation as fixed above.
After offsetting the shortfall in ROM Excavation, if any in the
preceding period / year, the corporation may also accept excess quantity
produced up to 20% of the annual targeted quantity at the same rates
worked out for the targeted excavation.

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The low grade ROM whenever mined and stacked for future use as
per the instructions of Mine Manager will be treated as Waste and will
invite same payments as waste excavation. For escalation purposes, the
quantity of ROM fed to Plant and Waste/Low grade ROM mined will be
treated as the quantity.
1.4

This contract may however be extended for another 1 year at the discretion
of Corporation with mutual consent on same terms & conditions and the
production targets for the extended period will be specified by the
Corporation.

1.5

At the discretion of the Corporation, the contractor may be required to

produce higher quantity of ROM per annum. For this purpose, Corporation
shall give sufficient advance notice and a period of three months shall be
allowed thereafter to deploy machinery to achieve the increased level of
Production.

1.6

However, the detailed monthly schedule of ROM and Waste excavation will
be finalized by Corporation in consultation with Firm/Company/Individual
Bidder at the beginning of every year. The quantities finalized will form the
basis for calculations of penalty for short supply of the year.

1.7

CHEMICAL AND PHYSICAL SPECIFICATIONS:

Chemical and Physical specifications of lump and fine ore to be supplied at
Mines site are given below:
(a) CHEMICAL SPECIFICATIONS:
Fe
Rejection
(b)

SIZED LUMP
58 to 64%
Below 45%

FINE ORE
58 to 64%
Below 45%

PHYSICAL SPECIFICATION:
SIZED LUMP
Size
Over Size

-40 MM +10 MM

+40mm,
maximum
Under Size -10mm,
maximum

FINE ORE

3rd PRODUCT

-10 MM

+10MM -20MM

8% +12mm Nil
+20mm
8%
+10mm 8% maximum maximum
10%
-10mm,
10%
maximum

REMARKS:- (a) Over size and under size shall be reckoned at Plant Site.
(b) Above specifications may undergo change and will be
decided on Project requirement from time to time.
(c) The 3rd Product will be produced as and when required
based on the need of NMDC.
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1.7.1

Saving Clause:

The Corporation reserves the right to change any specifications under 5.1
and 5.2 giving one weeks notice to the contractor. Any deviation from the
specification so provided will invite penalty.
1.7.2. Sampling:
Samples would be collected and analyzed by NMDC Ltd., for every 250
tonnes or part thereof for the purpose of acceptance or rejection. The
charges for analysis and sampling will be borne by NMDC. Any truck load
will be rejected if Fe is below desired level. The rejected material will be
removed by the Contractor at his own cost and stacked at a place specified
by NMDC away from the plant site / pit head stock pile. No payment will
be made for such rejected ore including processing and transportation. Yet
the material will be NMDC property.
1.7.3. Recovery of Lump / Fines:
The estimated lump recovery is nearly 35% i.e., for every 100 tonnes of ROM
ore treated in the plant about 35 tonnes of lump ore of size (-) 40 mm to (+)
10 mm will be recovered. However, the above estimated figures are only
indicative and not exhaustive. Some variations are possible in actual
mining operation on a monthly / yearly basis. NMDC will not be held
responsible for any such variations encountered during actual mining
operations and no claim of the contractor on account of the above will be
entertained.
1.8

The all operations shall have to be mechanized and minimum man-power

shall be used.

1.9

LOCATIONS / AREAS OF MINING OPERATION:The execution of the subject work of Hiring of Plant & Mining Machineries
for working in Kumaraswamy Iron Ore Mine will be done anywhere
within the leasehold area of Kumaraswamy Iron Ore Mine as per the
directions of Engineer-In-Charge. The places of operations may spread in 3
to 4 locations within the leasehold area at the discretion of NMDC Ltd.

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2.0

EQUIPMENT
2.1 The following Machinery/Equipment are required for operation:
S.No.
A
1

2.

3.
4.
5.

B
1.

Description
Mining Equipments:
Hydraulic shovel / Front end
Loader of suitable capacity to
work in 6 mtrs high bench.
4 dia Crawler / Wagon drill
with Compressor, Cabin and wet
drilling provisions
Tippers
Dozer
Auxiliary equipments
Viz., Rock Breaker
Water sprinklers
Fuel Bowser
Crushing & Screening:
Providing Crusher (Primary,
Secondary / Tertiary ), Screens &
Accessories
complete
with
conveyor system etc.
Weigh bridge

Numbers.
4+4=8

05

30
02
2
5
2
4 nos.

Capacity
1.91 Cu.M / 3.4 Cu. M

4/ dia

10 / 25Tonnes
D-155 or equivalent

9 12 KL

Each 300-400 T/hr

Min. 60 Ton

However, the size, number and the capacity of Equipment mentioned above
are of indicative nature. The hire charges may be quoted for the above
equipments. The payment of hire charges will be calculated as indicated in
clause 8 of Part - III. The minimum level of excavation will be as per the
targets fixed for the month under clause 1.0 of Part IV of the tender
document. However, the monthly target may be varied depending upon the
requirements at discretion of NMDC Ltd. The cost is all inclusive

including operation, maintenance crew etc.

2.2

All mining works such as drilling, excavation, transportation, Crushing &

Screening, Weighment, and stacking at designated areas have to be carried
out by the Firm/Company/Individual Bidder only through the equipment
given on hire to the Corporation. The designated area means stockpiles
which will be within a distance of 1.5 km lead (one way) from the crusher.

2.3

Operators for operation of all equipments and plants will be provided by

the tenderer/contractor at its own Cost.

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2.4

All the mining equipments including Tippers/Trucks/dozers shall be in

good working conditions particularly with respect to Brake, Horn, Steering
and Lights. They should follow the rules as presented in the model code of
precautions for truck transport in open cast mines, as per DGMS Circulars
No: 11 of 1973 and other Circulars issued on the subject from time to time
by the Directorate General Mines Safety.

3.0

WEIGH BRIDGE
3.1
Seven Computerized Weigh bridges of min 60 Ton capacity (with print out
facility for each truck & other reports etc., with provision for all the
necessary stationary and fool proof system) to take weighment of empty
and loaded trucks shall be procured and installed by the tenderer at his /
their cost at the locations to be specified by NMDC Ltd., at the mine site,
within 2 months from date of issue of Letter of Intent (LOI). It is the
responsibility of tenderer to get calibrated the weighment machine once in a
year by the concerned Certification Authority.

4.0

BLASTING
The Corporation at its own cost will carry out blasting operation including
manpower, transportation of explosives as per statute.

5.0

STACKING OF ROM AND DUMPING OF WASTE

5.1

The ROM and final product i.e., Lump Ore and Fines Ore etc have to be
stockpiled in the specified area earmarked for that purpose. The ROM
stockpiled will be re-handled by the Corporations shovel. In case the
excavator/shovel of the Firm/Company/Individual Bidder is required to
load the ore from the stockpile into the Corporation's dumpers, the payment
will be done on hourly basis as agreed for the excavation of ROM. The
delivery of ROM from stockpile to the Crushing Plant is to be done by
trucks/tippers.

5.2

Waste has to be dumped in the area earmarked for stocking the Waste by
the Corporation or its nominee.

6.0 OWNERSHIP OF THE MATERIAL

The ownership of all quantities of materials excavated by the hired equipments
during the mining operations, whether ROM or waste or Lump or Fines, whether
dumped near the mine shall vest with the Corporation and the
Firm/Company/Individual Bidder shall have no rights on the above during or
after execution of the contract.

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7.0 WORKING HOURS AND WEEKLY DAY OF REST:

Working hours will be from 6 am to 6 pm or as decided by the Mines Manager or
its authorized nominee from time to time. There will be one weekly day of rest in
every week and there will not be any ROM Production, waste / low grade handling
or Plant operation on such days unless permitted by Mines Manager or his
authorized nominee.

8.0 DUST SUPPRESSION

It will be the responsibility of the Firm/Company/Individual Bidder to arrange for
the dust suppression in the working area. Water required for the dust suppression
will be supplied by the Corporation for which Corporation may charge the rates as
specified from time to time. However, hire charges will be paid for the
equipments used for the dust suppression by the Firm/Company/Individual
Bidder which is covered under the head auxiliary equipments.
9.0

FIRE PREVENTION
The Firm/Company/Individual Bidder shall take all possible precautions to
prevent fires of any nature in the general vicinity of his operations and shall be
responsible for all damages from fire due directly or indirectly to his own activities
or to those of his employees or to the activities of its agents or its employees.

10.0

SUPERVISORY STAFF (mining mate, mines foreman & electrical supervisor):

The Firm/Company/Individual Bidder shall provide the necessary statutory staff
for shift supervision. Each working shift shall be under the control of such
numbers of qualified Mine supervisors as required under the Mining Statute.
The Contractor shall provide the necessary statutory staff for Electrical
installations supervision. All Electrical installations shall be under the control of
qualified Electrical Supervisor as required under the Mining Statute.

11.0 COMMENCEMENT OF WORK

All the preliminary works such as deployment of equipments at site, development
of benches, laying of haul roads and erection of crushing and screening plant,
weighbridges should be completed within Sixty days (mobilization period) from
the date of issue of Letter of Intent(LOI) and production should commence
immediately to achieve the targets as per the schedules. The period of operation
for the purpose of completion of quantity will be reckoned after completion of the
above period of 60 days.
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12.0 SAFETY, SANITARY AND MEDICAL REQUIREMENTS

12.1 The Firm/Company/Individual Bidder and its agents and employees shall
promptly and fully comply with the safety, sanitary and medical requirements as
stated therein prescribed by law or as may from time to time be prescribed by the
Mines Manager to the end that proper work shall be done and that the Safety and
health of the employees and of the local communities may be safeguarded. In case
such regulations and orders are not observed by the contractor, they may be
enforced by the Engineer In-charge at the firm's expenses.
12.2 The Firm/Company/Individual Bidder shall be solely responsible for the safety of
the employees in all phases of the work and shall provide and enforce the use of
such safeguards, helmets, goggles and other safety devices as may be required by
regulations from time to time in force. While working within the lease-hold area,
the Firm/Company/Individual Bidder shall promptly report serious accidents of
his employees to the Mines Manager and shall take arrangements to render all
possible assistance to such employees. Firm/Company/Individual Bidder has to
take suitable Insurance policy for their Workforce/Machinery.
12.3 All portions of work shall be maintained in a neat, clean and sanitary condition at
all times, toilets shall be furnished by the firm where needed for use of employees
on the work. First Aid facilities and supplies as required by the regulations from
time to time in force shall be kept at the work site.
12.4 All the workmen deployed in the mine to work under the control of
Firm/Company/Individual Bidder will have to be examined medically under
statute for their fitness by the Corporations Doctors if not examined within 5 years
from the date of employment. The cost of medical examination will be deducted
from the monthly R.A. bill at the prevailing rate of examination.
13.0

LIABILITY OF THE FIRM/COMPANY/INDIVIDUAL BIDDER FOR DAMAGE

TO CORPORATIONs EQUIPMENT
Firm/Company/Individual Bidder is liable for any damages caused to the
Corporations equipment etc. due to negligence of his employees.

14.0

LIABILITIES OF CONTRACTORS EMPLOYEE

All personnel engaged by the Firm/Company/Individual Bidder in connection
with the performance of the work awarded shall be employees of the
Firm/Company/Individual Bidder and no claim shall lie against the Corporation
in respect of the non-payment of wages or compensation of any description on the
part of the contractor to his employee or for any failure on the part of the
contractor in the discharge of his obligations to his employee.
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15.0

PENALTY FOR SHORT SUPPLY

15.1

Contractor should carry out mining operation in such a way to meet the
monthly schedule agreed as per Clause 8 of part III. Any shortfall against
the monthly schedule will be penalized at the rates prescribed in clause 15.2
of Part IV unless and until the schedule is revised by the Corporation.
However, the shortfall of a particular month shall be allowed to be adjusted
over a particular quarter of 3 months and for shortfall spilling over to next
quarter shall only attract penalty. Quarter of 3 months shall be 3 months
blocks from the starting month of the contract unless stated contrarily & the
penalty payment shall not amount to reduction in the annual target. No
escalation decided under Clause-16 of Part IV below will be applicable
unless the total quantity provided under Clause 1.2 of Part IV above for the
previous year is completed.

15.2

For shortfall in agreed quantity of excavation (ROM & Waste) a Penalty @

Rs. 5.00 per ton, shall be levied on the basis of clause 15.1 of part IV. No
idling charges or compensation of any kind will be payable to the
Contractor.
The target of waste per month will be decided by the engineer incharge depending on the availability of waste in the mine and penalty will
be charged for the shortfall quantity on the monthly targets of waste as
fixed from time to time on quarterly basis @ Rs.5.00 per ton as done for
ROM.
In case of non-requirement of ore or off take restriction etc., the
mining of ROM can be regulated / restricted by the Corporation at its
discretion, for which Contractor will be intimated. In such case monthly
target shall be proportionately reduced and payment will be made based on
clause 7 of part: III. No idling charges or compensation of any kind will be
payable to the Contractor.

15.3

15.4

Any stoppage of work in any front for breakdown of any machinery should
not be the ground for non-fulfillment of target or it's carrying forward to the
next quarter over and above the normal stipulation at Clause 1.5 of Special
Conditions, Part IV.
Penalty for Oversize & Undersize in Finished Product viz., Lump & Fines:
Penalty for oversize in excess of 8% in respect of lump & Fine ore shall be
Rs.3.00 per ton of ore. Penalty for undersize in respect of lump ore in excess
of 10%; will be Rs.8.00 per WMT. Sample for this will be taken from the
plant site and NMDC result will be final. However, Corporation will have
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no objection for third party sample analysis but the same will be at the
complete cost of the Contractor.
16.0

PRICE
VARIATION/PRICE
ADJUSTMENT
IN
RESPECT
OF
VARIATIONS IN LABOUR WAGES, COST OF MATERIAL / SPARES
AND POL
16.1

i)

Any increase or decrease in prices of labour wages, material / spares and

POL, shall be adjusted based on the formulae / provisions given below. No
other claim on account of any other variations either statutory or otherwise
shall be entertained by the Corporation.
Labour
Price variation due to change in labour, wages shall be adjusted as
per the following formula, from the second year of the contract and
onwards.
VL = CL X W
100

{ LI Lio }
Lio

Where VL = Escalation / de-escalation, amount payable / deductable

in Rupees on account of variation in Labour Wages.
W=

Cost of work in Rupees which shall be taken as 65% of

the
value of the work done at contract rate during
the period under reckoning.

CL = Labour component, expressed as percentage of

total value of work which shall be taken as 30%
LI and Lio = Consumer price Index for Industrial Labour (All India )
Declared by Labour Bureau, Govt of India and
Published in RBI Bulletin, as applicable for the period
under consideration, and that valid at the due date for
submission of tenders respectively.
ii)

Material / Spares and Others

Price variation due to change in cost of materials / spares (other than the
materials supplied by the Corporation) shall be adjusted as per the
following formula, from the second year of the contract and onwards.
Vm = Cm x W
100

{ MI Mio }
Mio
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Where Vm = Escalation / de-escalation amount payable / deductable in

Rupees, on account of variations in materials / spares cost.
W = Cost of work in Rupees which shall be taken as 65% of the
value of the work done at contract rate during the period
under reckoning.
Cm = Component of material / spares and others, expressed as
percentage of total value of work, which shall be taken as 40%
MI & Mio = Average All India Whole Sale Price Index for all
commodities as published in the RBI bulletin for the period under
consideration and that valid at the due date for submission of tenders
respectively.
iii)

P O L ( Petrol / Fuel Power, Light, Lubs )

Price variation due to change in cost of POL, shall be adjusted as per the
following formula, from the date of commencement of the work.
Vf = Cf x W
100

{ Fi Fio }
Fio

Where Vf = Escalation / de-escalation amount payable / deductable in

Rupees, on account of variations in cost of Petrol / Fuel,
Power, Light and Lubricants.
W = Cost of work in Rupees which shall be taken as 65% of the
value of the work done at Contract rate during the period
under reckoning.
Cf = Component of Petrol / fuel, power, light and lubricants
expressed as total value of work, which shall be taken as
30%
Fi and Fio =

Average All India Whole Sale Price Index for group petrol /
fuel, power, light, lubricants as published in the RBI bulletin
for the period under reckoning and that valid at the due date
for submission of tenders respectively.

NOTE: - There shall not be any price variation / adjustment regarding charges for
weighment of the schedule of rates, through out the period of contract.
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16.2

Price variation / Price adjustment shall be worked out on the

following principles:16.2.1 Adjustment for price variation (escalation / de-escalation) shall be
worked out at quarterly intervals and shall be with respect to the cost
of work done during the three calendar months of the said quarter.
The first such payment will be made at the end of three months after
the month (excluding) in which the tender was accepted and
thereafter at three months interval for calculating escalation/deescalation for POL. For material & labour the escalation shall apply
from second year onwards. At the time of completion of work, the
last period of payment may become less than three months
depending upon the actual date of completion.
16.2.2 The index (Mi, Fi, Li)
relevant to any quarter, for which price
adjustment is paid, shall be the arithmetical average of the indices
relevant to the three calendar months. If the period up to date of
completion after covered by the last such installment of payment is
less than 3 months, the index Mi, Fi, Li shall be the average of the
indices for the month falling within that period.
16.2.3 For calculating escalation, base prices should be taken as on the date
of opening of the Bids.
16.2.4 In the event of fall in the value of the Indices, Indices for labour,
material and POL, the benefit of such fall shall be passed on to the
owner.
16.2.5 Price adjustment for escalation in the prices shall be available only
for the work done during the stipulated period of completion
including such authorized extension; which have been granted by
the Corporation, under the provisions of the Contract, without any
action under clause 17 part IV of Special conditions of contract.

17.0

LIQUIDATED DAMAGES FOR DELAY IN COMPLETION

17.1 Time is the essence of the contract. It shall be the responsibility of the
Firm/Company/Individual Bidder to complete the work within the
stipulated period of completion including the authorized extensions, if any,
granted by the Corporation. In case the Firm/Company/Individual Bidder
fails to complete the work successfully within the period of completion
including the extended time as stipulated above, he shall be liable to pay the
Corporation, as liquidated damages and not as penalty, a sum at the rate of
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% (Half percent) of the total contract value of the work (as awarded) for
every week or part thereof which shall be elapsed between the scheduled
time of completion of work (including the authorized extended time if any)
and the actual date of completion of work. PROVIDED always that the total
amount of liquidated damages for delay to be paid under this condition shall
not exceed 10% (Ten percent) of the total contract value of the Contract as
awarded.
17.2 Corporation, may, without prejudice to its any other method of recovery,
deduct the amount of such liquidated damages from any money in hands,
due, or which may become due, to the Firm/Company/Individual Bidder
under the contract or from any other contract between the
Firm/Company/Individual Bidder and the Corporation. The deduction of
such damages shall not relieve the Firm/Company/Individual Bidder of his
obligation to complete the works and demonstrate the performance of any of
his other obligation and liabilities under the contract.
17.3 The Corporation, if satisfied, that the works can be completed by the
contractor within a reasonable time after the specified time for completion,
may allow further extension of time at its discretion with or without the levy
of L.D. In the event of extension granted being with L.D, the owner will be
entitled without prejudice to any other right or remedy available in that
behalf, to recover from the contractor as agreed damages equivalent to half
per cent (%) of the contract value of the works for each week or part of the
week subject to the ceiling defined in Clause 17.1 of part IV above.
17.4 The Corporation, if not satisfied that the works can be completed by the
contractor, and in the event of failure on the part of the contractor to complete
work within further extension of time allowed as aforesaid, shall be entitled,
without prejudice to any other right, or remedy available in that behalf, to
rescind the contract.
17.5 In addition to the above, the Corporation shall be free to cancel the contract or
a portion thereof and get the same executed through any other agency or
agencies at the risk and cost of the Firm/Company/Individual Bidder. In the
event such action is taken, the Firm/Company/Individual Bidder shall be
liable to pay for any loss which the Corporation may sustain but he will not
be entitled to any gain made by the Corporation on account of such default of
Firm/Company/Individual Bidder. The manner and the method of taking
such action shall be at the entire discretion of the Corporation whose decision
in the matter shall be final and binding. This right shall be without
breach/prejudice to the other rights of the Corporation to recover damages for
any other breaches of contract by the Firm/Company/Individual Bidder.

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17.6 The owner, if not satisfied with the progress of the contract and in the event
of failure of the contractor to recoup the delays in the mutually agreed time
frame, shall be entitled to terminate the contract.
17.7 In the event of such termination of the contract as described in clauses17.5 or
17.6 part IV above or both the Corporation shall be entitled to recover L.D.
up to ten per cent (10%) of the contract value and forfeit the security deposit
made by the contractor besides getting the work completed by other means at
the risk and cost of the contractor.
18.0 TERMINATION :
18.1

Corporation reserves the right to terminate the contract at any point of time
by giving one (1) months notice and in case the contract is terminated due to
default on the part of Firm/Company/Individual Bidder, Corporation will
also have the right to execute the balance work through an alternate agency
at the risk & cost of the Firm/Company/Individual Bidder.

18.2

If the Contract is terminated because of a fundamental breach of Contract by

the Firm/Company/Individual Bidder, the corporation or his nominee shall
issue a certificate for the value of the work done less advance payments
received up to the date of the issue of the certificate, less other recoveries
due in terms of the contract, less taxes due to be deducted at source as per
applicable law and less the percentage to apply to the work not completed
as indicated in the Contract Data. Additional Liquidated Damages shall not
apply. If the total amount due to the Corporation exceeds any payment due
to the Firm/Company/Individual Bidder; the difference shall be a debt
payable to the Corporation.

18.3

If the Contract is terminated at the Corporations convenience or because of

a fundamental breach of Contract by the Corporation, the Corporation or
his nominee shall issue a certificate for the value of the work done, the
reasonable cost of removal of Equipment repatriation of the Contractors
personnel employed solely on the Works, and the Contractors costs of
protecting and securing the Works and loss of profit on uncompleted works
less advance payments received up to the date of the certificate, less other
recoveries due in terms of the contract and less taxes due to be deducted at
source as per applicable law.

18.4

All materials on the Site, Plant, Equipment, Temporary Works and Works
for which payment has been made to the contractor by the Corporation, are

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deemed to be the property of the corporation, if the Contract is terminated

because of a Contractors Release from Performance.
18.5

19.0

If the Contract is frustrated by the outbreak of war or by other event

entirely outside the control of either the Employer or the Contractor, the
Corporation or his nominee shall certify that the Contract has been
frustrated. The Contractor shall leave the Site and stop work as quickly as
possible after receiving this certificate and shall be paid for all work carried
out before receiving it and for any work carried out afterwards to which
commitment was made

INSURANCE
19.1 The Contractor shall provide in the joint names of the Corporation and the
Contractor, insurance cover from the Start Date to the end of the contract in
the amounts and deductibles stated in the Contract Data for the following
events which are due to the Contractors risks.
19.1.1 loss of or damage to the Works, Plant and Materials
19.1.2 loss of or damage to Equipment;
19.1.3 loss of or damage of property (except the Works, Plant, Materials
and Equipment) in connection with the Contract; and
19.1.4 Personal injury or death.
19.2 Policies and certificates for insurance shall be delivered by the Contractor to
the Corporation or his nominee for approval before the Start Date. All such
insurances shall provide for compensation to be payable in the types and
proportions of currencies required to rectify the loss or damage incurred.
19.3 If the Contractor does not provide any of the policies and certificates
required, the Employer may effect the insurance which the Contractor
should have provided and recover the premiums the Employer has paid
from payments other-wise due to the Contractor or, if no payment is due,
the payment of the premiums shall be a debt due.
19.4 Alterations to the terms of insurance shall not be made without the approval
of the Corporation or his nominee.
19.5 Both parties shall comply with all conditions of the insurance policies. The
Firm/Company/Individual Bidder shall insure his men, machinery etc. at
his cost and the Corporation shall not be held liable for any damage, loss,
accident etc. of any type and / or reason including blasting operations.

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20.0

DISCLAIMER
Not-with-standing that anything contained or stipulated in any of the Para of this
Tender Document the quantities, no. and specifications of the equipment indicated
are only indicative / suggestive and subject to variance to any percentage. Since
mining is a sequential process, no Firm/Company/Individual Bidder can claim
any damages or compensation due to the failure of any sequential jobs which
results in variance of the quantity etc. No claim for idle charges or loss or profit at
consequential losses can be entertained. No claim of opportunity loss, notional
loss shall be entertained. If the time is extended at the request of the
Firm/Company/Individual Bidder, the Firm/Company/Individual Bidder is
continued to be liable for payment of liquidated damages and time shall be
continued to be the essence of the contract, despite extension of the contract. The
Firm/Company/Individual Bidder shall be paid only on the deployment of the
stipulated or specified machine for the specified job and the payment is always
linked with the ultimate production. The desired quantity of ROM/Waste/Ore to
be crushed is indicated in the Tender Document for the purpose of the
calculations of the Corporation and the Corporation does not guarantee any
quantity to be mined to the bidder or by the bidder.
************************

Page 74 of 98

ANNEXURE - I
PART - A
(To be submitted with techno commercial - bid)
NMDC Ltd.
KUMARASWAMY IRON ORE MINE
P.O. DONIMALAI TOWNSHIP, PIN : 583118, DIST: BELLARY, KARNATAKA
STATEMENT OF WORKS COMPLETED DURING THE LAST SEVEN YEARS
Sl.
No.

Name of work

Work Order No.

and Date

Name of
Organization

Total
Value of
Work

Date of
Starting
of Work

Date of
Completion(as
per scheme)

Actual
time of
Completion

Reason for
delay if any

Value of work
as per
completion

1. Certificate of performance by clients to be enclosed

2. Certificate of Registration, indicating class to be enclosed.
3. Works satisfying the pre qualifying requirements only be indicated.
Signature of the Bidder With Seal

Page 75 of 98

ANNEXURE II

PART - A
(To be submitted with Techno Commercial - Bid)
NMDC Ltd.
KUMARASWAMY IRON ORE MINE
P.O. DONIMALAI TOWNSHIP, PIN : 583118, DIST: BELLARY, KARNATAKA

WORK TENDERED / UNDER EXECUTION

Sl.
No.

Name of Work

Work Order No.

and Date

Total Cost of
Work

Approx cost of work

Executed by Tender

Note: Documentary proof to be enclosed for each work

(Work Order copy/agreement copy/completion / performance certificate)

Year of
Execution

Name & Address of

authority for whom executed

Signature of the Bidder

With Seal

Page 76 of 98

ANNEXURE III

PART - A
(To be submitted with Techno Commercial - Bid)
NMDC Ltd.
KUMARASWAMY IRON ORE MINE
P.O. DONIMALAI TOWNSHIP, PIN : 583118, DIST: BELLARY, KARNATAKA
STATEMENT OF MACHINERIES
Sl. No.

Name of the equipment

No. of equipments owned

No. of equipments hired

Nos to be deployed on work

Owned
Hired

DETAILS OF MANPOWERS WITH SPECIFIC REFERENCE TO MINES FOREMAN,

MECHANICAL ENGINEER, ASSTT. MANAGERS & SUPERVISORS ETC.
NAME

DESIGNATION

1. Copy of Equipment Registration to be enclosed.

2. Copy of Hire Agreement in Case of hired Equipment
to be enclosed including Ownership Proof.

QUALIFICATION

EXPERIENCE

Signature of the Bidder

With seal

Page 77 of 98

ANNEXURE -IV
PART - A
(To be submitted with Techno Commercial - Bid)
NMDC Ltd.
DONIMALAI IRON ORE MINE
P.O. DONIMALAI TOWNSHIP, PIN : 583118, DIST: BELLARY, KARNATAKA
STATEMENT OF MACHINERIES TO BE DEPLOYED FOR THE WORK

Sl.
Name of Machine /
No. Equipment

Make & Model

& other details

Capacity

No.
Possessed

No. Proposed
to be utilized
for this work

Year of
Owned
purchase

Hired Reg. No.

of Vehicle /
Tipper Etc.

Remarks

NOTE: a) Documentary proof for each machine/equipment to be submitted for owning or for hiring
b) In case of hiring, the copy of the agreement and the ownership certificates to be submitted for each equipment

Signature of the Bidder With Seal

Page 78 of 98

ANNEXURE-V
PART A
PROFORMA FOR BANK GUARANTEE IN LIEU OF EARNEST MONEY
DEPOSIT

(On Non-judicial stamp paper of value not less than Rs.100.00 from Nationalized
Indian Bank)
__________________________Bank Ltd.,
__________________________
__________________________
B.G.No.___________________
A/c. of (Name & Address)________________________________
Limit
of
liability
______________

Rs.________________________________Date

of

expiry

Ref:
Tender
Notice
No.
___________________________________dt.__________________ For (Name of work)
____________________________________________________________ ______________
___________________________________________________________________________
Subject: Earnest Money Deposit
___________________________________________________________________
To
NMDC Limited
Donimalai Iron Ore Mine
PO Donimalai township
Pin 583118
District Bellary
Karnataka State

Dear Sirs,
In consideration of the NMDC Limited, (hereinafter called the Company)
which expression shall unless repugnant to the subject or context include his
Page 79 of 98

successors and assigns having agreed to exempt M/s __________________ from

demand under the terms & conditions of Tender No._______________ _issued by
the Company for the works (hereinafter called the said Document) from deposit of
Earnest
Money
for
the
due
fulfillment
by
M/s
______________________________(name of the Tenderer) of the terms and conditions
contained in the said Document on production of
Bank Guarantee for
_______________(Rupees _____________________ only). We the _________ Bank Ltd.
(hereinafter referred to as the said Bank), a company under the companies Act,
1956 and having our registered office at _________________________ do hereby
undertake and agree to indemnify and keep indemnified the Company to the extent
of Rs.________ (Rupees ________________________ only) against my losses, damage
cost, charges and expenses caused to or suffered by or that may be caused or suffered
by the Company by reason of any breach or breaches by( M/s
__________________________(name of the tenderer) of any of the terms and
conditions contained in the said Document and unconditionally pay the amount
claimed by the Company on demand and without demur to the extent aforesaid.
2. We ________________ Bank Ltd., do hereby undertake to pay the amounts due
and payable under the guarantee without any demur, reservation, protest and not
withstanding any dispute between the Company and the Tenderer merely on a
demand by you stating that the amount claimed is due by way of loss or damage
caused to or would be caused or suffered by you by reason of any breach by M/s
___________________(name of the Tenderer) of any of the terms and conditions
contained in the said Document by reason of the M/s ______________(name of the
Tenderer)s failure to perform conditions of the said Document. Any such demand
on the Bank shall be conclusive as regards the amount due and payable by the Bank
under this guarantee. However, our liability under this guarantee shall be restricted
to an amount not exceeding Rs.______________.
3. We _______________ Bank Ltd., further agree that the Company shall be the sole
judge of and as to whether M/s _______________ (name of the Tenderer) has
committed any breach or breaches of any of the terms and conditions of the said
Document and the extent of loss, damage, costs charges and expenses caused to or
suffered by or that may be caused to or suffered by the Company on account
thereof to the extent of the Earnest Money required to be deposited by M/s
________________(name of the Tenderer) in respect of the said Document and the
decision of the Company that M/s ______________________ (name of the Tenderer)
has committed such breach or breaches and as to the amount or amounts of loss,
damage, costs, charges and expenses caused to or suffered by or that may be caused
to or suffered by the Company shall be final and binding on us.

Page 80 of 98

4. We _____________ Bank Ltd., further agree that guarantee herein contained shall
remain in full force and effect during the period that would be taken for the
performance of the said Document and that it shall continue to be enforceable till all
your dues under or by virtue of the said Document have been fully paid and its
claims satisfied or discharged or till you certify that terms and conditions of the said
document have been fully and properly carried out by the said M/s _____________
and accordingly discharge the guarantee. Unless a demand or claim under this
guarantee is made on us in writing on or before the __________ we shall be
discharged from all liability under this guarantee.
5. We ____________ Bank Ltd., further agree with you that you shall have the
fullest liberty without our consent and without affecting in any manner our
obligations hereunder to vary any of the terms and conditions of the said Document
or to extend time asked by M/s_________ from time to time or to postpone for any
time or from time to time any of the powers exercisable by you against M/s
_________________ and to forbear or enforce any of the terms and conditions relating
to the said document and we shall not be relieved from liability by reason of any
such variation or extension being granted to M/s ____________________ or for any
forbearance act or omission on your part or any indulgence by you to M/s
________________ or by any such matter or thing whatsoever under the law relating
to sureties would but for this provision have effect of so relieving us.
6. It shall not be necessary for the company to proceed against M/s
_____________________before proceeding against the Bank and the Guarantee herein
contained shall be enforceable against the Bank, notwithstanding any security which
the Company may have obtained from M/s _______________ at this time when
proceedings are taken against Bank hereunder be outstanding or unrealized.
7. We _____________Bank Ltd., further undertake to unconditionally pay the
amount claimed by the Company merely on demand and without demur to the
extent aforesaid.
8. We the said Bank lastly undertake not to revoke this guarantee during its
Currency except the previous consent of the Company in writing and agree that any
change
in
the
constitution
of
the
Company
or
of
M/s
_____________________________ or the said Bank shall not discharge our liability
hereunder.
9.

Not withstanding anything contained herein.

(i)
(ii)

Our liability under this bank guarantee shall not exceed Rs.____ (
)
This Bank Guarantee shall remain valid upto ________________________
Page 81 of 98

(iii) Our liability to make payments shall arise and we are liable to pay the
guaranteed amount or any part thereof under this guarantee only and only if
you serve upon us a written claim or demand in terms of guarantee on or
before ___________

Witness

Dated _________day of ___________20______

For ___________________ Bank Ltd.,
Signature ____________________
Seal

Note:
While issuing the Bank Guarantee either for Earnest Money the issuing Bank
must furnish the following.
-

Name and address of the Bank/(Banch).

Contact Person.
Telephone no.
Fax no.
E-mail address

Page 82 of 98

ANNEXURE-VI
PART-A

PROFORMA FOR BANK GUARANTEE FOR CONTRACT PERFORMANCE

(On Non-Judicial Stamp Paper of value not less than Rs. 100/- From Nationalized
Indian Bank)
The Non-Judicial Stamp paper should be in the name of issuing Bank.

Ref: Bank Guarantee No.

Date:

To
NMDC Limited
Donimalai Iron Ore Mine
PO Donimalai township
Pin 583118
District Bellary
Karnataka State
Dear Sirs,
In consideration of the NMDC Limited, (herein after referred to as the Owner
which expression shall unless repugnant to the Context or meaning there of
include
its
successors, administrators and assigns) having awarded to
M/s ________________________________________________________________
with its Registered /Head Office at _________________________________________
(Hereinafter referred to as the Contractor which expression shall unless repugnant
to the context or meaning thereof, include its successors, administrators, executors
and assigns), a contract by issue of Owners Letter of Intent No. ________________
dated__________
and the same having been unequivocally accepted by the contractor resulting in a
contract bearing No. _________________________________ dated________________
valued at ___________________ for ___________________ (scope of contract) and
contractor having agreed to provide a contract performance guarantee for the faithful
Page 83 of 98

performance of the entire contract equivalent to*_________%(Percent) of the said

value of the contract to the owner.

We ____________ (Name & address) _________________________________

______________________________________________________________________
having its Head Office at ________________________________(hereinafter referred to
as the 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 owner, on demand any and all monies payable
by the contractor to the extent of ___________________________ as aforesaid at any
time up to __________________ (days/month/year) without any demur, reservation,
recourse or protest and/ or without any reference to the contractor. Any such
demand made by the Owner on the Bank shall be conclusive and binding not with
standing any difference between the Owner and Contractor or any dispute pending
before any court, tribunal or any other authority. The Bank undertakes not to revoke
this guarantee during its currency without previous consent of the Owner and
further agrees that the guarantee herein contained shall continue to be enforceable till
the Owner discharges this guarantee.

The Owner 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 time for performance
of the contract by the contractor. The owner shall have the fullest liberty, without
affecting this guarantee, to postpone from time to time the exercise of any power,
vested in them or of any right which they might have against the contractor, and to
exercise the same any time in any manner, and either to enforce or to forbear to
enforce any covenants, contained or implied, in the contract between the Owner or
any other course of or remedy or security available to the Owner. The Bank shall not
be released of its obligations under these presents by any exercise by the Owner of its
liberty with reference to the matters aforesaid or any of them or by reason of any
other acts of omission or commission on the part of the owner or any other
indulgence shown by the Owner or by any other matters or thing whatsoever which
under law would, but for this provision, have the effect of relieving the Bank.

The Bank also agrees that the Owner at its option shall be entitled to enforce this
Guarantee against the bank as a principal debtor, in the first instance without
proceeding against the contractor and notwithstanding any security or other
guarantee that the owner may have in relation to the contractors liabilities.

Page 84 of 98

Notwithstanding any thing contained herein in above our liability under this
guarantee is restricted to ______________________ and it shall remain in force up to
and including ____________________________** and shall be extended from time to
time for such period (not exceeding one year), as may be desired by M/s
_____________
whose behalf this guarantee has been given.

Dated this __________ day of ___________ 20______ at ________________________

WITNESS:
___________________
(Signature)
____________________
(Name)
____________________
(Official address)

__________________________
(Signature)
__________________________
(Banks Rubber Stamp)
(Name)_____________________
___________________________
Designation with Bank Stamp
____________________________
Attorney as per power of Attorney
No.________________________
Dated: ______________________

Note: - Please see clause 4 of part III Financial and Commercial terms.
Note: - While issuing Bank Guarantee; issuing Bank must furnish the following
details: - (i) Name and Address of Bank (Branch) (ii) Phone No. (iii) Fax no. (iv) Email
Address.

Page 85 of 98

Part - B
PART- B Annexure I

PRICE BID
SCHEDULE OF RATES FOR ROM

Particulars
A. MINING MACHINERY:
1. DRILLING EQUIPMENT
2. LOADING EQUIPMENT
3. TRANSPORT EQUIPMENT
(within 1.5 Km) Dumpers / Tippers etc.,
for movement within the mine
4. AUXILLIARY EQUIPMENT
B.

Quantity of
Material to be
handled

Guaranteed
Hours for
1000
Tonnes

Total
Amount in
(Rs.)

Rate per
Hour
(In Rs.)

ROM
90.00 LT

CRUSHING & SCREENING

C.

TRANSPORT WITHIN MINE (1.5Km)

Transportation equipment including
loading & unloading (CP to Stock Pile &
ROM Stock Pile to Plant feed)
a) For Lump
b) For Fines
D. LOADING FROM STOCK PILE
a) For Lump
b) For Fines
Total
E. Service Tax

(@ . %)
Grand Total

Grand total amount in words Rupees

All terms and conditions are Acceptable to me/us. I have no other condition(s).
Signature of the tenderer
with seal and date
Notes:
1. The rates quoted should be inclusive of all taxes and duties.
2. Service tax shall be quoted separately in the column against item E above, refer
Clause No. 27 of Part-I-Instruction to Bidders at page no. 27 regarding Service Tax.
3. While quoting the rates, diesel price of a PSU at Donimalai / Sandur may be
considered. For any increase or decrease of diesel price, the price escalation /
de-escalation will be decided as per the applicable clause No. 16 of Special
Condition under Part-IV of the NIT.
4. Bill submitted by the party shall indicate the Basic prices, taxes etc. without the
indication of the applicable taxes in the bills, the bill will not be entertained.
Page 86 of 98

PART- B Annexure II
Part - B
PRICE - BID

SCHEDULE OF RATES WASTE / SUB-GRADE ORE

Particulars

Guaranteed
Quantity of Hours for 1000
Material to
Tonnes for
be handled
Waste / Sub
Grade Ore

Rate per
Hour
(In Rs.)

Total Amount
in (Rs.)

A. MINING MACHINERY:
1. DRILLING EQUIPMENT
Sub Grade
2. LOADING EQUIPMENT
Ore / Waste
3. TRANSPORT EQUIPMENT
= 15.00 LT
(within 1.5 Km) Dumpers / Tippers etc., for
movement within the mine
4. AUXILLIARY EQUIPMENT

B. Service Tax

Total
(@ . %)
Grand Total

Grand total amount in words Rupees .

Signature of the tenderer

with seal and date
Notes:
1. The rates quoted should be inclusive of all taxes and duties.
2. Service tax shall be quoted separately in the column against item B above,
refer Clause No. 27 of Part-I-Instruction to Bidders at page no. 27 regarding
Service Tax.
3. While quoting the rates, diesel price of a PSU at Donimalai / Sandur may be
considered. For any increase or decrease of diesel price, the price escalation /
de-escalation will be decided as per the applicable clause No. 16 of Special
Condition under Part-IV of the NIT.
4. Bill submitted by the party shall indicate the Basic prices, taxes etc. without
the indication of the applicable taxes in the bills, the bill will not be
entertained.

Page 87 of 98

Part - B
PART- B Annexure III

PRICE BID
SCHEDULE OF RATES FOR WEIGHMENT
Particulars

A.

Weighment charges for ROM : Rs./Ton for

the net weight (loaded truck weight minus
empty truck weight of the same truck):( There will be three time weighment i.e one
before crushing, one after crushing and one
after loading onto the despatch truck). Hence,
the rate per ton to be quoted, shall be for three
times of weighment.
B. Weighment charges for Waste / Sub-Grade Ore :
Rs./Ton for the net weight (loaded truck
weight minus empty truck weight of the same
truck):( There will be only one time weighment
for Waste / Sub-Grade Ore). Hence, the rate per
ton to be quoted, shall be for one time of
weighment.
C. Service Tax

Quantity of
Material to be
weighed

Rate per Ton

(In Rs.)

Total Amount
in (Rs.)

90.00 LT ROM

15.00 LT Waste /
Sub-Grade
Material

Total
(@ . %)
Grand Total

Grand total amount in words Rupees

All terms and conditions are Acceptable to me/us. I have no other condition(s).
Signature of the tenderer
with seal and date
Notes:
1. The rates quoted should be inclusive of all taxes and duties.
2. Service tax should be quoted separately in the column against item C above,
refer Clause No. 27 of Part-I-Instruction to Bidders at page no. 27 regarding
Service Tax.
3. There will not be any price variation / adjustment regarding charges for
weighment throughout the period of contract. Refer Clause No.16 of Special
Term & Conditions.
4. Bill submitted by the party shall indicate the Basic prices, taxes etc. without the
indication of the applicable taxes in the bills, the bill will not be entertained.

Page 88 of 98

Page 89 of 98

Annexure VIII

Letter of Undertaking towards PF Code

(Applicable to bidders who do not possess the PF code)
(On a non judicial stamp paper of value not less than Rs.100/-)

I/We hereby confirm that I/We am/are not registered with

any of
the Regional Provident Fund Authorities and /or I/We am/are not possessing
a valid provident code number at present.
I/We hereby undertake to register with Regional Provident fund
Authorities and/or obtain a valid provident fund code number within one
month from the date of issue of Letter of Intent/Letter of Award Of Contract
whichever is earlier.
I/We also agree that any payment due to us arising out of the
execution of the contract shall be released by the owner only after submission
of a copy of the valid PF code number to us.

Signature of bidder with seal

Page 90 of 98

Annexure - IX
CHECK LIST OF DOCUMENTS TO BE ENCLOSED WITH TENDER
Sl.No.

Description

Strike out whichever

is not applicable

________________________________________________________________________
1.

Check list of documents in the prescribed proforma.

Yes/No

2.

Earnest Money Deposit for the value as indicated in Notice

Inviting Tender at page -3 and in the manner specified in
Clause 1.0 of page-53.

Yes/No

3. Pre qualifying Criteria as per clause 4.0 of Page-4 to 6

Statement of Non-Association
Average Annual Turn Over
Similar Works as per clause 4.2.2 at page -5
Solvency Certificate
Valid PF Code No. or Letter of Undertaking towards
Copy of Permanent Account Number (PAN)
Copy of TIN issued by Sales Tax Authority
Copy of Service Tax Registration

PF Code

Yes/No
Yes/No
Yes/No
Yes/No
Yes/No
Yes/No
Yes/No
Yes/No

5. Letter of undertaking regarding Agreement Bond

as referred at page-7.

Yes/No

6. Submission of Bids in Two(2) Parts as laid in Part-1,

Instructions to Bidders.

Yes/No.

A) Part A Techno Commercial Bid

i)
Statement of works completed during
last 7 years in Annexure I at page 75
ii)

Work tendered/ Under execution

in Annexure II at page 76

Yes/No

Yes/No

Page 91 of 98

iii)

iv)

v)

Statement of machineries and manpower

in Annexure -III at page 77

Yes/No

Statement of machineries to be deployed

in Annexure -IV at page 78

Yes/No

Proforma for bank guarantee in lieu of EMD

in Annexure -V at page 79 to 82

Yes/No.

B) Part B Price Bid

i) Schedule of rates for ROM
In Annexure I at page -86
ii) Schedule of rates for Waste /Sub-grade Ore
In Annexure II at page -87
iii) Schedule of rates for Weighment
In Annexure III at page -88

Yes/No
Yes/No
Yes/No

7. Declarations reg. ownership as laid in Clause 19.0 at page-23

Yes/No

8. Duly signed Integrity Pact as mentioned at page -27

Yes/No

Signature of the tenderer

with date and seal

Page 92 of 98

Annexure - X
INTEGRITY PACT
Between
NMDC LIMITED hereinafter referred to as The Principal,
And
______________________ hereinafter referred to as The Bidder /
Contractor
Preamble
The Principal intends to award a contract, under laid down organisational
procedures, contract/s for (Description of the Equipment). The Principal values full
compliance with all relevant laws and regulations and the principles of economical
use of resources and of fairness and transparency in its relations with its Bidder /s
and /or Contractor(s).
In order to achieve these goals, the Principal cooperates with the renowned
international Non Governmental Organization, Transparency International (TI).
Following TIs national and international experience, the Principal will appoint an
External Independent Monitor who will monitor the tender process from the
beginning till execution of the Contract for compliance with the principles mentioned
HEREIN.
Section 1 Commitments of the Principal:(1) The Principal commits itself to take all measures necessary to prevent corruption
and to observe the following principles:i. No employee of the Principal, personally or through family members, will in
connection with the tender for, or the execution of a Contract demand, take a
promise for or accept, for him / herself or third person, any material benefit which he
/ she is not legally entitled to;
ii. The Principal will, during the tender process, treat all Bidders with equity and
reason. The Principal will in particular, before and during the tender process,
provide to all Bidders the same information and will not provide to any Bidder
confidential / additional information through which the Bidder could obtain an
advantage in relation to the tender process or the Contract
execution;
iii. The Principal will exclude from the process all known prejudiced persons.
(2) If the Principal obtains information on the conduct of any of its employees which
is a criminal offence under the relevant Anticorruption Laws of India, or if there be a

Page 93 of 98

substantive suspicion in this regard, the Principal will inform its Vigilance Office and
in addition can initiate disciplinary action.
Section 2 Commitments of the Bidder / Contractor
(1) The Bidder / Contractor commits himself to take all measures necessary to
prevent corruption. He commits himself to observe the following principles during
his participation in the tender process and during the Contract execution:
I. The Bidder / Contractor will not, directly or through any other person (s) or firm,
offer, promise or give to the Principal, to any of the Principals employee involved in
the tender process or the execution of the Contract or to any third person any
material or immaterial benefit which he / she is not legally entitled to, in order to
obtain, in exchange an advantage during the tender process or the execution of the
Contract.
II. The Bidder / Contractor will not enter with other Bidders into any Illegal
agreement or understanding, whether formal or informal. This applies in particular
to prices, specifications, certifications, subsidiary contracts, submission or non
submission of bids or actions to restrict competitiveness.
III. The Bidder / Contractor will not commit any criminal offence under the Relevant
Anti- corruption Laws of India; further, the Bidder / Contractor will not use
improperly, for purposes of competition or personal gain, or pass on to others, any
information provided by the Principal as part of the business relationship, regarding
plans, technical proposals and business
details, including information contained or transmitted electronically.
IV. The Bidder / Contractor will, when presenting his bid, disclose any and all
payments he has made, is committed to or intends to make to agents, brokers or any
other intermediaries in connection with the award of the Contract.
(2) The Bidder / Contractor will not instigate third persons to commit Offences
outlined above or be an accessory to such offences.
(3) The Bidder / Contractor may indicate the advantage of his offer compared to the
tender terms and conditions. The Bidder / Contractor shall not make any
commitment whatsoever on the offers / products of other bidder(s) thereby
influencing the principal to take decision in favour of the former.
Section: 3 Disqualification from tender process and exclusion from future
contracts
1. If the Bidder, before Contract award, has committed a serious transgression
through violation of Section 2 or in any other form such as to put his reliability or
credibility as Bidder into question, the Principal is entitled to disqualify the Bidder
from the tender process or to terminate the Contract, if already signed, for such
reason.
Page 94 of 98

2. If the Bidder / Contractor has committed a serious transgression through a

violation of Section 2 as to put his reliability or credibility into question, the Principal
is entitled also to exclude the Bidder / Contractor from future Contract award
processes. The imposition and duration of the exclusion will be determined by the
severity of the transgression. The severity will be determined by the circumstances of
the case, in particular the number of transgressions, the position of the transgressors
within the company hierarchy of the Bidder and the amount of the damage. The
exclusion will be imposed for a minimum of six (6) months and a maximum of three
(3) years.
3. If the Bidder / Contractor can prove that he has restored / recouped the damage
caused by him and has installed a suitable corruption prevention system, the
principal may revoke the exclusion prematurely.
4. A transgression is considered to have occurred if in light of available evidence no
reasonable doubt is possible.

Section 4 Forfeiture of Earnest Money Deposit/Security Deposit

1). If the Principal has disqualified the Bidder from the tender process prior to the
award according to Section 3, the Principal is entitled to forfeit the bidders Earnest
Money Deposit.
2). If the Principal has terminated the Contract according to Section 3, or if the
Principal is entitled to terminate the Contract according to Section 3, the Principal
shall be entitled to forfeit the bidders Earnest Money Deposit/ Security Deposit.
Section 5 Previous Transgression
(1). The Bidder declares that no previous transgressions occurred in the last three
years with any other company in any country confirming to the TI approach or with
any other Public Sector Enterprise in India that could justify its exclusion from the
tender process.
(2) If the Bidder makes incorrect statement on this subject, he can be disqualified
from the tender process or the contract, if already awarded, can be terminated for
such reason.
Section 6 Equal treatment of all bidders / contractors / Subcontractors
(1) The Bidder /Contractor undertakes to demand from all subcontractors the
commitment consistent with this integrity pact, and to submit it to the principal
before contract signing.
(2) The principal will enter into agreement with identical conditions as this one with
all bidders, contractors and sub contractors.
Page 95 of 98

(3) The principal will disqualify from the process all bidders who do not sign this
pact or submit to the Principal along with the offer.

Section 7 Criminal charges violating Bidders/Contractors/SubContractors

If the Principal obtains knowledge of conduct of a Bidders/Contractors/SubContractors, or of an employee or a representative or an associate of a
Bidders/Contractors/Sub- Contractors which constitutes corruption, or if the
principal has substantive suspicion in this regard, the principal will inform the
vigilance office.
Section 8 External Independent Monitor
(1) The Principal appoints competent and credible external independent Monitor for
this Pact. The task of the monitor is to review independently and objectively,
whether and to what extent the parties comply with the obligations under this
agreement.
(2) The monitor is not subject to instructions by the representatives of the parties and
performs his functions neutrally and independently. He reports to the Chairman of
the Board of the Principal.
(3) The Monitor has the right to access without restriction to all Projects
documentation of the Principal. The Contractor will also grant the monitor, upon his
request and demonstration of a valid interest, unlimited access to his project
documentation. The same is applicable to Subcontractors. The Monitor is under
contractual obligation to treat the information and documents of the
Bidder/Contractor/Sub-Contractor with confidentiality.
(4) The Principal 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 Principal and the Contractor. The
parties offer to the Monitor the option to participate in such meetings.
(5) As soon as the Monitor notices, or believes to notice, a violation of this
agreement, he will so inform the Management of the Principal and request the
Management to discontinue or heal the violation, or take other relevant action. The
monitor can in this regard submit non-binding recommendations.
Beyond this, the Monitor has no right to demand from the parties that they act in a
specific manner, refrain from action or tolerate action.
(6) The Monitor will regularly submit a written report to the Chairman of the Board
of the Principal and, should the occasion arises, submit proposals for correcting
problematic situations.

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(7) If the Monitor has reported to the Chairman of the Board a substantiated
suspicion of an offence under relevant Anti- Corruption Laws of India, and the
Chairman has not, with reasonable time, taken visible action to proceed against such
offence or reported it to the Vigilance Officer, the Monitor may also transmit this
information directly to the Central Vigilance Commissioner, Government of India.
Section 9 Pact Duration
This Pact begins when both parties have legally signed it. It expires for the
Contractor 12 months after the last payment under the respective contract, and for all
other Bidders 6 months after the contract has been awarded.
Section 10 Other provisions
(1) This agreement is subject to Indian Law. Place of performance and jurisdiction is
the Corporate Office of the Principal.
(2) Changes and supplements as well as termination notices need to be made in
writing. Side agreements have not been made.
(3) Should one or several provisions of this agreement turn out to be invalid, the
remainder of this agreement remains valid. In this case, the parties will strive to
come to an agreement to their original intentions.

________________________________
____________________________________
For the Principal For the Bidder / Contractor
Place: .. Witness 1:
_________________________________
Date: . Witness 2:
_________________________________
.

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PROFORMA FOR CERTIFICATE REGARDING COMPLETENESS OF

INTEGRITY PACT
Ref :
Dated :
To
NMDC Ltd.
Donimalai Iron Ore Mine
PO Donimalai township
Pin 583118
District Bellary
Karnataka State
Dear Sirs,
I*/We* certify that I/ We have enclosed in Part A of our offer relating to the
____________________________ (full scope of work), Integrity Pact duly signed
and strictly as per the proforma enclosed along with the Tender Document.

Signature along with Seal of Co.

__________________________________
(Duly authorised to sign the
Tender on behalf of the Contractor)

Name ___________________________
Designation ______________________
Name of Co. _____________________
(In block letters)
Date & Postal Address

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