The Orissa Mining Corporation Ltd.
(A Government of Orissa Undertaking)
BHUBANESWAR –751 001

TENDER FOR EXPORT SALE OF CHROME CONCENTRATE FROM PARADIP

Sealed tenders are invited for export sale of CHROME CONCENTRATE as per following terms and conditions.

1: COMMODITY: CHROME CONCENTRATE

2: QUANTITY: 50,000 MT +/- 10%.
(Variation of +/-10% is at Seller's Option)

3: DELIVERY: FOB PARADIP PORT
4: CHEMICAL & PHYSICAL SPECIFICATIONS OF CHROME CONCENTRATE

5: LOAD PORT : PARADIP

6: SHIPMENT PERIOD 31st March., 2005,
or during the extended period at Seller’s option subject however to price escalation based on prevailing market rate or at a price mutually agreed to.

7: DELIVERY SCHEDULE: The date of shipment shall be finalised mutually between the seller and the buyer.

8: LOADING TERMS: Loading on CQD Terms

9: PAYMENT: Buyer is required to open irrevocable letter of credit in US dollars advising through SBI Commercial Branch or any Nationalised Bank at Bhubaneswar covering 100% value of the shipment. The letter of credit shall be available against sellers site draft for the amount of the final invoice of respective shipment on the basis of load port weight and analysis result. LC must be kept valid for 60 days. 100% payment through LC has to be made at the counter of advising bank at Bhubaneswar as per load port weight and analysis result.

10: EARNEST MONEY DEPOSIT: The tenderers are required to submit Earnest Money of USD 5,26,250 ( US Dollar five lakh twenty six thousand two hundred fifty only ) in shape of an irrevocable Bank Guarantee (proforma enclosed) issued by any nationalised bank at Bhubaneswar in favour of Orissa Mining Corporation Ltd., Bhubaneswar valid till 31.05.05 along with other documents.
EMD shall be forfeited without further reference to the tenderer if the successful tenderer fails to effect the shipment in entirely or part thereof within shipment period or during the extended period, if any, as per clause 6 above. If any wrong information with regard to eligibility criteria or otherwise is furnished by the tenderer, the EMD will be forfeited invoking the Bank Guarantee. Besides that the tenderer will be black listed if so facto fast prohibiting any commercial transaction of any nature in future.
In case of forfeiture of EMD by OMC the tenderer shall not raise any dispute in any court at Bhubaneswar, let alone outside Orissa

11: ELIGIBILITY: Tenderers are requested to submit the following documents for their eligibility:
(a) Evidence in respect of their experience in mineral trading in overseas market./ Evidence that the bidder is an overseas end user or representative of overseas end user (b) An introduction letter indicating their financial status from their overseas banker to be certified by a nationalised bank at Bhubaneswar with certification that the buyer enjoy credit facility of minimum ten million US Dollars with that bank. (c) Participant is required to disclose the name, address and the country of destination/ultimate consumer which will be kept secret with Orissa Mining Corporation.(d) Earnest Money Deposit (EMD) as mentioned at Sl.No.10. (e) The bidder including any of their Indian associates must not be a lessee of chromite ore mines inside India .
If any wrong information with regard to eligibility criteria or otherwise is furnished by the tenderer, the EMD will be forfeited invoking the Bank Guarantee. Besides that the tenderer will be black listed if so facto fast prohibiting any commercial transaction of any nature in future.
12: SPECIAL CLAUSE: If for any unforeseen circumstances like earth quake, cyclone, flood, labour unrest, disruption of road transport beyond OMC's control, non production of chrome concentrate of the grade and quantity notified under clause-2 above in the designated plant, it is not possible to effect supply of the chrome concentrate in full or in part, OMC shall not be liable in any manner whatsoever.
However, the shipment period may be extended through an agreement taking into consideration the prevailing market price of the material or at a price mutually agreed between OMC and the tenderer to supply the quantity remained unfulfilled during the contractual period. In the event of such extension, the Bank Guarantee shall be correspondingly extended beyond 31.05.05
If no mutual agreement either for extension of time for supply of chrome concentrate by shipment or price is arrived at, the contract may be terminated at the option of the OMC without any liability.
It is however, specifically agreed to that during the contractual period, OMC shall not sale or export the assured grade of chrome concentrate to any other party other than the tenderer. If it (OMC) is not in a position lto meet its obligation under the contract for export sale of Chrome Concentrate..

13: PRICE: The tenderers are required to quote price in US Dollars (USD) per Dry Metric Tonne, FOB terms Paradip Port basis for the entire tendered quantity.

14: AUTHORISATION OF AGENTS/REPRESENTATIVE: For the bid submitted by agent/representatives , the name of their principal is to be furnished along with a letter of authority issued by the Principal authorizing the agent/representative to participate on their behalf.

15: CONTRACT: Written contract shall be required to be signed by the party within 10 days of OMC's sales confirmation letter. The same party shall open LC, shipping documents will be made out only in the name of the party who opened the LC. Failure to adhere to the date line indicated above will entail forfeiture of the EMD invoking the Bank Guarantee at OMC’s option.
All other terms and conditions of the contract shall be as per the standard terms and conditions of OMC Ltd.,

The bidders are required to submit their sealed quotations on 24.02.05 by 3.00 PM in the Office of the General Manager (S&M)I/c . The quotations are required to be submitted in two separate bids i.e. Technical bid containing particulars of bid specifically with reference to eligibility mentioned at Sl. No. 11 of the Tender Notice. Price Bid containing only quoted price in US Dollars per Dry Metric Tonne of Chrome Concentrate.

Any deviation from above in submission of bids , will entail the same being rejected at OMC’s option. The technical bid will be opened on 24.02.05 at 3.30 PM and the price bid of technically qualified bidders will be opened on the same day at 4.30 PM in presence of the representative of the buyers if any in the Corporate Office, Orissa Mining Corporation Limited, Bhubaneswar.

Orissa Mining Corporation Ltd. reserves the right to cancel or reject any or all bids without assigning any reason whatsoever and the decision of the OMC in this respect shall be final and binding and not liable to be questioned in any court or before any authority.

GENERAL MANAGER (S&M) I/c
ORISSA MINING CORPORATION LTD
POST BOX NO.34, BHUBANESWAR-751 001
 

PROFORMA OF BANK GUARANTEE
( To be issued by any Nationalised Bank branch at Bhubaneswar)

TO
ORISSA MINING CORPORATION LTD
OMC HOUSE, POST BOX NO. 34
BHUBANESWAR - 751 001,
ORISSA, INDIA

Bank Guarantee No.___________                                                                 Dt.____________

LETTER OF GUARANTEE

WHEREAS Orissa Mining Corporation Ltd., Post Box No. 34, Bhubaneswar - 751 001 , Orissa, India have invited Tender for export of Chrome Concentrates.
And WHEREAS M/s. _____________________(Hereafter called Tenderer) intends to submit their bid for the consideration of Orissa Mining Corporation Ltd.
WHEREAS the above invitation to Tender requires that eligible tenderer wishing to make an offer to purchase , in response thereto, shall furnish EMD in favour of Orissa Mining Corporation Ltd in the form Bank Guarantee at USD 5,26,250 ( US Dollar five lakh twenty six thousand two hundred fifty only) valid upto 31.05.05.
NOW THIS BANK HEREBY GUARANTEES abide by the conditions referred to in the tender notice , this Bank undertakes to pay (through the _______ _____ Branch of this bank at Bhubaneswar to Orissa Mining Corporation Ltd., Bhubaneswar, Orissa, India on written demand and without protest or demur or delay or without any reference to opener INR equivalent of US $ 5,26,250 as mentioned above.
This Bank further confirms that the decision of Orissa Mining Corporation Ltd. as to whether the said Tenderer has committed a breach of any of the conditions referred to in the tender notice shall not be questioned by us and OMC's decision shall be final and binding on us.
We also undertake to pay to the Orissa Mining Corporation Ltd., Bhubaneswar any money so demanded notwithstanding any dispute or disputes raised by the said Tenderer in any suit or proceeding pending before any court or tribunal relating to our liability under these presents being absolute and unequivocal.
The payment so made by us under this guarantee shall be valid discharge of our liability for payment therein. The said tenderer shall have no claim against us for making such payment.
We ____________ undertake not to revoke this Guarantee, during its currency except with the previous consent of Orissa Mining Corporation Ltd. in writing.

We ______________Bank further agree the guarantee herein contained shall not be effected by change in the constitution of seller, buyer or the Bank.

We ______________Bank herein confirm that this bank is empowered to issue this Bank Guarantee. THIS BANK FURTHER undertakes that this Guarantee shall remain irrevocably valid and in full force upto 31.05.05 This Bank Guarantee is , however, subject to extension beyond 31.05.05 and will be binding on all concerned including this Bank mutantis mutandis, if the tenderer so desires the OMC agrees there to in writing.

FOR and On Behalf of

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Name of the bank
Signature
Name

Duly constituted attorney and
Authorised signature
Designation
Name & Address
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