Government of Andhra Pradesh - MSTC E-Commerce...Directorate of Mines & Geology, Government of Andhra Pradesh 8th Floor, BRKR Bhavan, Saifabad, Hyderabad 500 063 Phone No. 040 23220649

Government of Andhra Pradesh

REPLY TO PRE BID QUERIES #1

FOR

"AUCTION OF MINING LEASE

FOR

LIMESTONE BLOCKS”

Directorate of Mines & Geology, Government of Andhra Pradesh

8th Floor, BRKR Bhavan,

Saifabad, Hyderabad 500 063

Phone No. 040 23220649 , Fax: 040 23225519

E-mail: [email protected]

NIT Ref: “Invitation of bids for grant of mining lease with respect to (6) limestone blocks in the State of Andhra Pradesh” Dated 10th January 2016

Tender No.: MSTC/HYD/DEPARTMENT OF MINES AND GEOLOGY, GOVT OF AP/9/NEAR AP SECRETARIAT/15-16/16325[110951] MSTC/HYD/DEPARTMENT OF MINES AND GEOLOGY, GOVT OF AP/1/NEAR AP SECRETARIAT/15-16/16258[110884] MSTC/HYD/DEPARTMENT OF MINES AND GEOLOGY, GOVT OF AP/3/NEAR AP SECRETARIAT/15-16/16314[110940] MSTC/HYD/DEPARTMENT OF MINES AND GEOLOGY, GOVT OF AP/5/NEAR AP SECRETARIAT/15-16/16316[110942] MSTC/HYD/DEPARTMENT OF MINES AND GEOLOGY, GOVT OF AP/7/NEAR AP SECRETARIAT/15-16/16318[110944] MSTC/HYD/DEPARTMENT OF MINES AND GEOLOGY, GOVT OF AP/11/NEAR AP SECRETARIAT/15-16/16328[110954]

mailto:[email protected]

` REPLY TO PRE BID QUERIES

AUCTION OF MINING LEASE FOR LIMESTONE BLOCKS IN THE STATE OF ANDHRA PRADESH

S.No. Document Clause No. and Existing

Provision Clarification Required

Suggested Text for

Amendment, if any

Rationale for

Clarification or

Amendment

Reply

1.

Tender

Document &

Summary of

Mineral

Block

(Pillutla

Piduguralla

block)

Page no. 3- Notice Inviting

Tender & Para 2 of Summary

of Mineral Block

Mineral Concession Area of

Block is given as 156.079

Hectares in NIT while in

Summary of Mineral Block it

is given as 187.815 Hectares

Mismatching of Mineral

Concession area is causing

confusion and it should be

same in all Documents.

156.079 Ha is the actual mineral bearing area.

187.815 Ha, mentioned in the Mineral Block

Summary, includes additional 20% area for

mining allied infrastructure and activities.

2.

Summary of

Mineral

Block

(Pillutla

Piduguralla

block)

Para 1 – Corner Points

Coordinates

Coordinates of 3 & 4 no. Point

of PP-2A Sub Block of Block

–II and coordinates of 1 & 2

no. Point of PP-2B Sub Block

of Block –II are same.

Since Southern Boundary of

PP-2A block & Northern

Boundary of PP-2B are

exactly same, they make a

single block. There is no

need of dividing this single

block into 2 nos. of sub

Blocks.

Southern boundary of PP Part-A block

coordinate points fall from A7 to A17,

whereas the Northern boundary of PP Part-B

block coordinate points fall from B1 to B8 and

there is an existing quarry lease which divides

the two blocks. To give more clarity the block

is designated as PP Part-A & Part-B.

3.

Summary of

Mineral

Block

(Pillutla

Piduguralla

block)

Para 1 & Para 2

Corner Points Coordinates &

Total area of Block

When we measure area by

plotting the Corner Points

Coordinates it comes 205

hectares which is not

matching with the area given

in Para 2 as 187.8 Hectares

or 156.079 hectare as per

NIT.

As per the corner coordinate points of the

entire block, the total extent arrives at 235.509

Ha. Of this, 79.430 Ha (existing leased area,

etc.,) is deleted to arrive at the net area of

156.079 Ha. Further, an area of 31.736 Ha.

(about 20%), is ear marked for mining allied

infrastructure and activities. Thus, the total

area is 187.185 Ha.

4. Tender

Document

Clause 2.23

“Specified end use” means

production/ manufacturing of

clinker/cement

1. Please clarify that only

production/ manufacturing of

Clinker satisfy the condition

of “Specific end use” Or

Cement manufacturing is

essential.

2. Is Clinker produced for

sale fulfill Specified End

use.

1) “Specified end use” also includes

production/manufacturing of clinker.

2) Clinker produced for sale also fulfils the

“Specified end use” clause.

REPLY TO PRE BID QUERIES




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5. Tender

Document

Clause 5.3 (c) & Schedule C

of MDPA

A Bidder, who proposes to

set up a clinker/ cement plant

in Andhra Pradesh, shall

submit the certified true copy

of Board Resolution signed

by the Company Secretary in

support of the same. The

bidder should indicate the

target capacity of the plant

and timeline for construction.

Such plant should commence

operations within 2 years

from the date of grant of

Mining Lease and before the

commencement of production

of mineral or as may be

permitted by the State

Government. The production

of limestone shall be

exclusively for captive use of

the plant; and no outside sale

of limestone will be

permitted.

1. Is clinker/cement plant of

any capacity eligible? Is the

Bidder allowed to propose

EUP ( End Use Plant) of any

capacity?

2. Commencement of

operation of Plant means

commencement of

Production. It is not possible

before commencement of

Mineral Production as

Mineral mined will be the

basic Raw material for Plant

Production. Even sufficient

stock of Mineral i.e.

Limestone is required to start

operation of Cement Plant.

3. The present exploration

level of block is G3. Is it

permitted to change

proposed plant capacity

based on revised Reserve (on

lower side particularly) after

detail exploration.

4. If Bidder is not able to

complete the Plant

commissioning within 2

years what will be the

impacts. As there is lot of

uncertainties in installation

of plant like Land

Acquisition & various other

Government permissions

which is not in full control of

Bidder.

Clarification is required for

business decision.

1) The bidder is allowed to propose EUP.

However, the installed capacity of clinker

plant, not cement, shall be either equivalent to

or more than the total estimated Limestone

reserves for a period of 50 years.

2) Tender conditions prevail -

„Such plant should commence operations

within 2 years from the date of grant of

Mining Lease and before the commencement

of production of mineral or as may be

permitted by the State Government.‟

3) If required, the successful bidder, is allowed

to re-assess the Limestone reserves in the

knocked down Limestone block. Proposals for

modification of installed capacity, if any,

according to the revised Limestone reserves

will be examined.

4) In event of delay in commencement of

operations, the Government may initiate

action as per clause 8 of MPDA document.





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6. Tender

Document

Clause 5.4

A bidder shall disclose all

mining leases for limestone

held in the state of Andhra

Pradesh along with the

mineral reserves available in

the said leases as on the date

of the NIT and shall not be in

arrears of mineral revenue to

the state government.

Is this Information is also

required for the area for

which Letter of Intent (LOI)

has been issued to the Bidder

by Andhra Pradesh

Government.

The bidder shall disclose all the mining leases

along with the areas for which LOI has been

issued by Government of Andhra Pradesh.

7. Tender

Document

Clause 7.6

The State Government shall

endeavor to respond to the

queries within the period

specified in Clause

11.(February 9, 2106)

The response of State

Government for queries

raised by registered bidders

up to February 5, 2016

should be provided &

discussed in Pre Bid

conference on February 6,

2016. This will save the

valuable time of all and

avoid repetition of same

query in the meeting. Any

additional clarification

required by the bidder on

State Government‟s

Response to query may be

asked through supplementary

query in the meeting itself.

All the responses to the queries shall be

published as per the schedule of bidding

process.

8. Tender

Document

Clause 10.3

The State Government and the

Successful Bidder shall enter

into the MDPA upon the

Successful Bidder having

obtained all consents,

approvals, permits, no-

objections and the like as may

be required under Applicable

Law for commencement of

Few clearances/permission

for commencement of

mining operations can be

obtained only after the

execution of Mining Lease

e.g. DGMS permissions.

Further, pursuant to the

tender document, MDPA is

predecessor to the mining

lease. Hence, it will not be

The clause 10.3 to be

suitably amended.

Any such clearances/permissions, which can

only be obtained after the execution of mining

lease, shall be exempted.





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mining operations. possible for the Successful

bidder to obtain all consents,

approvals, permits, no-

objections for

commencement of mining

operation before MDPA, as

required under this clause.

9. Tender

Document

Clause 10.4

Subsequent to execution of

the MDPA, the Successful

Bidder shall pay the third

installment of the Upfront

Payment. Upon such payment,

the State Government shall

grant a mining lease to the

Successful Bidder. The

mining lease shall be executed

between the Successful Bidder

and the State Government

within a period of 30 days

from the date of payment and

shall be subject to the

provisions of the Act and the

Rules made there under. The

date of the commencement of

the period for which a mining

lease is granted shall be the

date on which a mining lease

is executed.

Bidder should pay all costs

related to stamp duty,

registration of the mining

lease and other statutory

charges.

Please clarify whether Stamp

Duty shall be chargeable

only on amount of Royalty

and not on Final Price Offer.

Stamp duty shall be applicable as per the

relevant law.

10. Tender

Document

Clause 12

Time Table – Stage II

4. Mine Development

Production Agreement

(MDPA) to be executed

Please clarify:

1. What will happen if the

Preferred Bidder fails to





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between State Government &

Successful Bidder upon

obtaining all consents,

approvals, permits, no

objections from various

Government agencies/

departments required under

applicable laws for


operations

meet all prerequisites before

the said date?

2. What will happen If

obtaining all consent ,

approvals gets delayed from

due date because of reasons

beyond the control of

Bidder.

The Government will examine the application

submitted by the successful bidder, stating the

reasons for delay in submission of the required

clearances from the competent authorities, and

will take actions as per the applicable law.

11. Tender

Document

Clause 15.1

The Bidder shall furnish as

part of its Technical Bid, a

security in the form of a bank

guarantee payable at

Hyderabad by a Scheduled

Bank as listed in the Second

Schedule of the Reserve Bank

of India Act, 1934.

Format of Bid Security

provided in Part C of

Schedule I has no provision

to mention that the bank

guarantee is payable at

Hyderabad.

The format should be

suitably amended.

The format of bid security has been suitably

amended as per Corrigendum # 14.

12. Tender

Document

Schedule I

Part B (1)(c) The corporate authorization of

the authorized signatory of the

Bidder (which is a company)

must be enclosed with the bid

letter. It is recommended that

the Bidder may authorize one

person to deal with all matters

related to bid. However, if the

Bidder has authorized more

than one person, then the

corporate authorization of all

such persons should be

enclosed. Any change in such

corporate authorization must

be immediately intimated to

the State Government.

Please clarify:

1. Is the Corporate

Authorization required in

addition to the Power of

Attorney?

2. Who should issue the

corporate authorization?

3. Is there any specific

format for such

authorization?

1) Corporate authorization is required, in

addition to power of attorney.

2) Corporate authorization letter is to be

issued by Board of Directors (or) the person

authorized by Board of Directors to do so

specifically for this purpose.

3) The bidder may use an appropriate format

for corporate authorization.





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13. Tender

Document

Schedule I

Part B (1)(d) (iii) Documents to evidence the

requirements of minerals for

the specified end-use.

What Kind of Documents are

Required for this Clause? Kindly refer to Schedule I, Section A (g) of

the tender document.

14. Tender

Document

Schedule I

Part C

Format of Bid Security

Bid Security should be

addressed to specific

Authority of the State

Government. In the present

format it has been addressed

to none.

As per Corrigendum # 14, Bid security to be

addressed to -

Directorate of Mines & Geology



15. Tender

Document

Schedule I

Part E.

Affidavit

(a) The affidavit must be

executed in India in

accordance with Applicable

Law and it must be in issued

in accordance with the

constitutional documents of

the Bidder after obtaining all

corporate approvals as may be

required. The extract of

constitutional documents and

certified copies of the

corporate approvals must be

enclosed with the power of

attorney.

Does constitutional

document and corporate

approval is also required

separately for Affidavit?

Constitutional document and corporate

approval is also required separately for

Affidavit.

16. Tender

Document

Schedule I

Part F

Format of letter on existing

clinker/ cement plant(s)

We have enclosed the

Certificate of Incorporation of

the above mentioned End Use

Plants.

Certificate of Incorporation

is issued for a company and

is not plant specific.

Please clarify what

certificate is required to be

submitted under this clause?

As per Corrigendum # 14, Certificate of

Incorporation or corresponding ownership

documents of the EUPs to be provided.





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17. Tender

Document

Schedule III

3 a. (ii)(j)

A certificate from bidder

regarding its entire limestone

requirement at rated capacity

utilization.

Is this certificate is required

for proposed plant for this

auction Block only or it is

for all the proposed/existing

Plants in Andhra

Pradesh/India?

Certificate is required only for the proposed

plant for the corresponding block.

18. Tender

Document

Schedule III

3 b. b.

The Qualified Bidder shall

have to put its Final Price

Offer over and above the

displayed highest bid by a

minimum increment of 0.05%

to become the highest

Qualified - Bidder.

Whether increment has to be

in multiples of 0.05% or any

value equal to or more than

0.05% will be accepted?

Any value equal to or more than 0.05% will be

accepted.

19.

Mine

Development

and

Production

Agreement

Clause 1.1.6

“Eligibility Condition” shall

mean the eligibility conditions

specified in the Act and Rules

including all the eligibility

conditions listed in Clause [6]

of tender document.

Clause [6] of tender

document deals with

„Review Period and Site

Visit‟ not with “Eligibility

Condition”

A clarification has been issued in corrigendum

# 14 regarding the same.

“Eligibility Condition” shall mean the

eligibility conditions specified in the Act and

Rules including all the eligibility conditions

listed in Clause [5] of tender document.

20.

Mine

Development

and

Production

Agreement

Clause 6.2 & Schedule C

(Particulars of end use

Plant)

“The Lease area has been

reserved for Clinker &

Cement Production and the

successful bidder has qualified

for the electronic auction on

the basis of its representation

that all minerals extracted

under the Mining Lease shall:

(i) Utilized solely for the

specified end use; and

(ii) Not to be sold or

transferred or otherwise

Tender Document does

specify any condition

regarding establishment of

end use plant in Andhra

Pradesh

1. Is it allowed to put

Clinker/Cement Plant

outside the state of Andhra

Pradesh?

2. If the Bidder establishes

only clinkerisation unit in

Andhra Pradesh and

Grinding Unit in any other

state, will that be allowed?

1. As per clause 5 of the tender document,

clinker/cement plant is to be located in the

state of Andhra Pradesh.

2. Establishment of only clinkerisation unit in

Andhra Pradesh fulfils the “Specified end use”

clause, and therefore, allowed.





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disposed, either directly or

indirectly.

21.

Mine

Development

and

Production

Agreement

Clause 7.1.1 & Schedule D

The Successful Bidder shall

make monthly payments on

the basis of the Final Price

Offer (the “Monthly

Payment”). The Monthly

Payment shall be computed

on the basis of the Value of

Mineral Dispatched or the

value of the minimum

production requirement as

specified in Clause 8, whichever is higher.

Is penalty of 24% of average

Sale price as per schedule C

on Shortfall in minimum

required production is in

addition to payment made

under Clause 7.1.1?

When the Bidder is already

bound for monthly payment

for minimum production

requirement whether the

mineral dispatched or not

under Clause 7.1.1,

penalizing by charging 24 %

of average Sale price on

shortfall production as per

Schedule D is not justifiable.

More over the minimum

production requirement is on

the annual basis as per

Clause 8 & Schedule D, it is

not on monthly basis. Hence

shortfall can be calculated on

yearly basis not on monthly.

Tender conditions prevail





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22.

Mine

Development

and

Production

Agreement

Clause 7.1.3

The Monthly Payment is

required to be made within 20

calendar days of expiry of

each month with respect to

Mineral extracted from the

Lease Area in such calendar

month.

Monthly Payment is required

to be made with respect to

mineral extracted or mineral

dispatched?

Except in clause 7.1.3, the

monthly payment has to be

made with respect to mineral

dispatched. Please clarify.

A clarification issued in corrigendum # 14

regarding the same.

Monthly payments to be computed on the

basis of value of mineral dispatched.

23.

Mine

Development

and

Production

Agreement

Clause No. 8.3 (Minimum

Production Requirement)

“In case where non

compliance with minimum

production requirement

exceeds more than seven

instances, such non-

compliance shall give the state

government a right to

terminate the Mining Lease.”

This Clause should be

terminated as there cannot be

two punishments against one

offence.

The Successful bidder is

already bound by means of

appropriation of

Performance Security

through Schedule D of

MDPA in which penalty is

fixed in case of not

fulfilling minimum

production requirement.

Tender condition prevails.

24.

Mine

Development

and

Production

Agreement

SCHEDULE C -

PARTICULARS OF THE

END USE PLANT

Can mineral be used in any

other plant of specified end

use than those mentioned in

the Schedule C of the Mine

Development and Production

Agreement (MDPA)

Particulars of End Use Plant

may be revised/ modified on

a later date.

Mineral to be used only in the specified End-

use Plant.





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25.

Mine

Development

and

Production

Agreement

SCHEDULE D – MINIMUM

PRODUCTION

REQUIREMENT

The Successful Bidder shall

meet the annual Minimum

Production Requirement as

stated in the

table below:

Minimum production

requirement given in

Schedule D is certain

percentage of yearly

production as per Mining

Plan. This means that the

Preferred Bidder can prepare

mine plan according to its

plant requirement and get it

approved. Minimum

production requirement will

be certain percentage (as

mentioned in Schedule D) of

yearly production committed

in the approved mine plan.

Further, if mine plan is

revised in future for

increasing or decreasing the

production, the minimum

production requirement will

be corresponding to the

revised mine plan. Please

clarify on these

understanding.

The Government may consider the issue on a

case to case basis, depending upon the

circumstances.

26.

Mine

Development

and

Production

Agreement

Schedule D(Minimum

Production Requirement)

Year Minimum

Production

Requirement

(% of yearly

production

as per

Mining Plan)

I 0%

II 0%

Year Minimum

Production

Requirement (%

of yearly

production as

per Mining

Plan)

I to V 0% (for Land

Acquisition)

VI to

VIII

0% (For Plant

Commissioning)

As per past experience of

Industries minimum 5 years

period are required for

Land Acquisition for Mines

and Plant and further 3

years are required for

Commissioning of Plant.

Tender conditions prevail





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III 50%

IV 60%

V 70%

VI

onwards

70%

IX 25%

X

onward

s

50%

27.

Tender

Document &

Summary of

Mineral

Block

(Pillutla

Piduguralla

Block)

Slab Stone quarry are in

operation in the Block.

Whether they are authorized

or not?

If they are authorized then

will State Government

evacuate them before

granting Mining Lease?

The extent area of the block doesn‟t include

the slab stone quarries. All the authorized

quarries have been deleted from the block

extents.

28.

Summary of

Mineral

Block

(Pillutla

Piduguralla

Block)

Part C Para 5

There is a Granted Mining

Lease in Survey no.479/18

(155 Acres) of Konaki

Village, Pidugurala Mandal.

Does this survey no. is

included in the Block to be

auctioned?

All the authorized quarries have been deleted

from the block extents.

29.

Summary of

Mineral

Block

(Pillutla

Piduguralla

Block)

Para 3

Only G3 level exploration

has been carried out in the

Block.

1. How a Mining Plan can be

prepared on this level of

exploration as minimum

exploration requirement for

preparation of Mining Plan is

G2 level exploration?

2. Have IBM has been

consent to approve the

Mining Plan on G3 Level

1) The GoI vide Lr No. 7/56/2015-MIV

accorded permission to treat the exploration

on far with G2 level.

2) The Government may consider the request

of the preferred bidder to undertake additional

drilling to generate adequate data for

preparation of mine plan.





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exploration?

30. Tender

Document

Clause 1.8- “The issue of this

Tender Document does not

imply that the State

Government is bound to select

a Bidder or to appoint the

Preferred Bidder as Successful

Bidder for the limestone block

and the State Government

reserves the right to reject all

or any of the Bidders or bids

without assigning any reason

whatsoever.”

The issue of this Tender

Document does not imply

that the State Government is

bound to select a Bidder or

to appoint the Preferred

Bidder as Successful Bidder

for the mineral block and the

State Government reserves

the right to reject all or any

of the Bidders (except the

Successful Bidder ) or bids

without assigning any reason

whatsoever

Provided that if the bid is

rejected without assigning

any reason, no amount shall

be appropriated by the State

Government. Such amount

will be refunded to the

Bidder within 30 days from

the date of rejection of bid.

Provided also that if the bid

is rejected without assigning

any reason, the Bidder will

not be disqualified from

bidding for any e-auction or

allotment conducted by the

State Government in the

future.

Provided that if the Bidder is

The rationale behind this

amendment is, a Preferred

Bidder will be considered

as a Successful Bidder upon

fulfilment of the following:

Continuing in

compliance with all

the terms and

conditions of

eligibility,

Payment of second

instalment of Upfront

Payment

Furnishing an

irrevocable and

unconditional

performance security

Satisfying the

conditions specified in

clause (b) of sub-

Section (2) of Section

5of the Act with

respect to a mining

plan

So, a Successful Bidder‟s

bid should not be rejected.

A Preferred Bidder should

be provided an opportunity

of being heard prior to

rejection of bid, as

payments/ instalments

Tender condition prevails





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a Preferred Bidder, he shall

be given an opportunity of

being heard in case of

rejection of his bid.

made till that time as per

the provisions of the Tender

Document by Preferred

Bidder may be

appropriated. Thus, the

clause is a substantial

financial risk for the

Bidder.

Hence to maintain the

natural justice, right of

personal hearing should be

given to Bidder.

Such an amendment will

avoid the disputes as

reasons stated during

rejections would be final

and not challengeable.

31. Tender

Document

Clause 4(iii) – About 20% of

the total Mineral Block area

has been earmarked for allied

activities viz. creation of

infrastructure

1) Please clarify what does

infrastructure implies and

whether any specific

location in block has been

identified for the same.

Please confirm that this area

comprise of non mineral

land.

2) If this area forms part of the

mining lease, Please

provide the rationale for

identifying & earmarking

such area as part of mineral

block.

About 20% of the total

Mineral Block area, which is

non mineral bearing land,

has been earmarked for

allied activities viz. creation

of infrastructure

To understand the purpose

of this area earmarked for

infrastructure and

accordingly clarification

should be made in the

clause. The mineral being

precious natural

commodity, it should be

utilised fully, such limit

should not impact it

adversely.

Additional 20% area has been added to

mineral blocks for any allied infrastructure

related to mining activity only. The additional

area is unexplored and hasn‟t been considered

in resources computation. This area is clearly

demarcated and shown in the sketches

appended to Geological Report.

Creation of infrastructure doesn‟t include

setting up of cement plant.





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3) Whether creation of

infrastructure include

setting up of cement plant.

32. Tender

Document

Clause 14.7.2- State

Government reserves the right

to reject any bid and

appropriate the entire Bid

Security if:

a. ….

b. ….

c. ….

Clause 14.7.2- State

Government reserves the

right to reject any bid and

appropriate the entire Bid

Security if:

a. ….

b. ….

c. ….

Bid Security for the reasons

stated above shall be

appropriated through written

intimation to the Bidder and

after giving an opportunity to

be heard before taking action

under clause 14.7.3.

As per clause 14.7.3. and

14.7.4, State government

shall forfeit and appropriate

the Bid Security or

Performance Security and

disqualify the Bidder for

next 5 years. The forfeiture

of Bidders security amount

and its disqualification

should be informed in

writing in advance and an

opportunity must be

provided before to take

such stringent action as it

will stop the bidder from

enjoying its right to do free

business.


33. Tender

Document

Schedule – I (B)(1)(c)– Bid

Letter

The corporate authorisation of

the authorised signatory of the

Bidder (which is a company)

must be enclosed with the bid

letter. It is recommended that

the Bidder may authorise one

person to deal with all matter

related to bid. However, if the

Bidder has authorised more

The provision suggest that

Bidder may choose to

authorise more than one

person to deal with all the

bid related matters.

Given that this being e-

auction through MSTC

platform where Bidder can

The provision need clarity

on how multiple authorised

person will deal with the

bid.

The bidder may provide power of attorney in

favor of more than one person.

There shall only be one authorized person for

all MSTC related matters. However, there can

be more authorized persons for other bid

related matters.

In extreme case of requirement for

replacement of authorized representative

holding Digital Signature Certificate, the

bidder may approach Government of Andhra

Pradesh and submit application for requesting





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than one person, then the

corporate authorisation of all

such persons should be

enclosed. Any change in such

corporate authorisation must

be immediately intimated to

the State Government.”

only submit bid and deal

with other matters relating to

bid after logging on the

MSTC website using Digital

Signature Certificate, how

more than one authorised

signatory are expected to

deal with the process.

Further during the bid

process, if Bidder desires or

is required to change the

Authorised representative

holding digital signature,

will the same be allowed.

Can Bidder continue with the

bid using same purchased

documents and MMTC

allow transfer of such

documents to new

DSC/replace DSC in their

record.

Can Bidder submit Power of

Attorney in favour of more

than one person authorising

him to deal with bid matters.

such changes with valid reasons along with

Power of Attorney in favour of the new

authorized person. Government of Andhra

Pradesh on its satisfaction may provide

approval and may instruct MSTC accordingly.

34. Tender

Document

Schedule – I (B)(2)(17) – “We

agree and understand that the

Bid is subject to the

provisions of the Tender

Document. In no case, we

shall have any claim or right

whatsoever nature if the

mining lease is not awarded to

To delete “our bid is not

opened”.

The Bid process should be

fair and transparent and

State Government should

open all bids in order to

take a rational decision. Not

opening of all bids will be

considered as a part of the

process but not opening of


Bid is opened only in case of technically

qualified bidders.





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us or our bid is not opened or

rejected”.

only our bid / or any other

bid will be considered as

breach of principles of

natural justice.

35. Tender

Document Schedule to be added

Kindly provide the content

and format of the Letter of

Intent to be issued to

Successful Bidder.

The information will help

the Bidder in better

understanding of the

obligations on the

Preferred Bidder.

Letter of intent is a formal Government

correspondence and shall only be issued to the

preferred bidder.

36. Tender

Document Clause to be added

Kindly provide the details

regarding role of the

Government in facilitating

the Land Acquisition and

R&R activities.

Kindly mention if any

timeline related to Land

Acquisition and R&R

activities has to be followed

by the Successful Bidder

The Tender Document

does not specify any details

regarding Land Acquisition

and R&R. The additional

information will help the

bidders in formulating

effective strategy for

arranging Land that are

mentioned in the Tender

Document. This being

critical for time bound start

of Mining Operations

State Government needs to

play a proactive role to

ensure the blocks up for

auction do not face any

issues in obtaining

approvals and clearance.


also assist Successful

Bidder in acquisition of

land for end-use plant and

getting related approvals

and clearances.

Acquisition of third party land shall take place

as per Clause-2 of Part-VIII of Model Form of

Mining Lease (Form-K) appended to MC

Rules, 1960.





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37. Tender

Document Clause to be added

Kindly clarify whether

mining rights over the

Government Land be

automatically transferred to

the Successful Bidder after

issuance of LoI or upon the

execution and registration of

mining lease.

The additional information

will help the Bidders in

formulating effective

strategy for obtaining

various clearances/

approvals that are

mentioned in the Tender

Document.

Mining rights shall be transferred as per the

provisions of MC Rules, 1960 and G.O. Ms.

No. 2 Revenue (Assignments-I) Dept., dt.02-

01-2013.

38. Tender

Document Schedule IV (MDPA)

The word “Person” has been

used in the agreement

multiple times however the

same has not been defined.

To clarify what includes

“Person”.

Person is a natural or artificial legal entity and

its meaning is as per the context within the

sentence.

39. Tender

Document

Schedule IV (4.2.1) – Events

for appropriation of the


The Performance Security

may be appropriated by the

State Government upon

occurrence of any events

specified in table 4.3.1 (the

“Appropriation Event”), to be

determined by the State

Government in its sole

discretion. In case the

Performance Security is in

form of a bank guarantee, the

State Government may invoke

the same on an Appropriation

Event.

The Performance Security

may be appropriated by the

State Government upon

occurrence of any events

specified in table 4.3.1 (the

“Appropriation Event”), to

be determined by the State

Government in its sole

discretion and after the

Successful Bidder has failed

to rectify the Appropriation

Event. In case the

Performance Security is in

form of a bank guarantee, the

State Government may

invoke the same on failure to

rectify an Appropriation

Event.

The Successful Bidder

should first get an

opportunity to rectify the

Appropriation Event as

also mentioned in clause

4.3.2 and in case of failure

the Performance Security

should be appropriated.

Before appropriation the

Successful Bidder should

get one opportunity to

remedy the default.


40. Tender

Document

Schedule IV (4.3.2) – In the

event of a part or total

appropriation of the

Performance Security, the

“In the event the Successful

Bidder fails to rectify the

Appropriation Event as

provided under clause 4.2.1,

The need for top up of

bank guarantee shall arise

only when the Performance

Security is appropriated in






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Successful Bidder shall be

required to (i) rectify the

Appropriation Event and (ii)

top up the bank guarantee

constituting the Performance

Security or deposit additional

amount towards security

deposit within seven days if

receipt of notice under clause

4.3.1

the State Government shall

appropriate the Performance

Security in part or in full and

the Successful Bidder shall

top up the bank guarantee

constituting the Performance

Security or deposit

additional amount towards

security deposit within seven

days of receipt of notice

under clause”.

the event Successful

Bidder fails to rectify the

Appropriation Event.

Therefore appropriation

should be done only after

the Successful Bidder fails

to rectify.

41. Tender

Document

Schedule IV (4.3.3) – Any one

or more Appropriation Events

resulting in appropriation of

the entire Performance

Security shall give the State

Government a right to

determine the mining lease

without prejudice to any other

proceeding to be taken against

the mining lease holder.

Any one or more

Appropriation Events

resulting in appropriation of

the entire Performance

Security shall give the State

Government a right to

determine the mining lease

without prejudice to any

other proceeding to be taken

against the mining lease

holder only after the

Successful Bidder has got an


Appropriation Event.

The Successful Bidder

should first get an


Appropriation Event and in

case of failure the


should be appropriated.

Before appropriation the

Successful Bidder should

get one opportunity to

remedy the default.


42. Tender

Document

Schedule IV Clause 8.1- “The

conduct of mining operations

at the Lease Area shall be

subject to the milestones listed

in SCHEDULE D with

respect to production (the

“Production requirement”)

and the minimum annual

production to be achieved

Kindly relax the provisions

regarding Minimum Annual

Production mentioned in the

Tender Document. The

Minimum Annual

Requirement should not be

more than 50% of the yearly

production of mine plan.

Moreover, the Bidder should

be allowed to make-up for

The Minimum Production

Requirement provided in

Schedule D of the Tender

Document as percentage of

Mining plan should be

restricted to 50% from year 4

onwards.

The mineable reserves and

annual production quantity

will be governed after

having proper assessment

of Resource, various

surface constraints, Quality

which will get reflected in

formulation of mining plan

Since the quantity of






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every year.” the shortfall in production in

preceding years and the

penalty against such set-off

by production make-up

should be refunded to the

Successful Bidder.

Limestone produced will

be dependent on the

requirement of End Use

Plant, we request you to

relax the provisions

regarding Minimum

Production mentioned in

the Tender Document and

to link the Minimum

Production Requirement to

the requirement of End Use

Plant.

The mineral requirement of

End Use Plant i.e. Cement

Plant for limestone is

dependent on the demand

of end product which again

is cyclic and driven by

market dynamics.

Therefore, Minimum

Required Production

should be restricted to 50%

of mining plan quantity.

43. Tender

Document

Clause 8.3 of the Schedule IV:

“Any non-compliance with

the Production Requirement

would result in appropriation

of the Performance Security in

the manner stipulated in

Clause 4 and in case where

such non-compliance exceeds

for more than seven instances,

Any non-compliance with

the Production Requirement

should be adjusted in the

Production Requirement of

the succeeding year failing

which the Performance

Security shall be

appropriated in the manner

stipulated in Clause 4 and in

Any opportunity should be

given to the Successful

Bidder to meet the

Minimum Production

Requirement before

appropriation of the

Performance Security as

the rate of appropriation is

too high.






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such non-compliance shall

give the State Government a

right to determine the mining

lease without prejudice to any

other proceeding to be taken

against the mining lease

holder.”

case where such non-

compliance exceeds for more

than seven instances, such

non-compliance shall give

the State Government a right

to determine the mining

lease without prejudice to

any other proceeding to be

taken against the mining

lease holder.

44. Tender

Document

Clause 11.2 of Schedule IV:

“None of the representations,

warranties and/or statements

contained in this Agreement

shall be treated as qualified by

any actual or constructive

knowledge on the part of the

State Government or the

Central Government or any of

its respective agents,

representatives, officers,

employees or advisers.”

To delete the clause

The representations given

without any actual or

constructive knowledge

will be of no use and such

a clause will be considered

as arbitrary.


45. Tender

Document

Clause 3 (e)- Schedule E-

Mine Development and

Production Agreement: “there

are no actions, suits,

proceedings or investigations

pending or to the Successful

Bidder‟s knowledge

threatened against it at law or

in equity before any court or

before any other judicial,

quasi-judicial or other

Event of Default is not

defined. Kindly provide

which are the events would

be considered as Default

Events under Mine

Development and Production

agreement.

Further, the participating

companies are large

corporate houses and have

various business activities

Clause 3 (e) can be revised

as follows: “the actions,

suits, proceedings or

investigations pending to the

Successful Bidder‟s

knowledge before any court

or before any other judicial,

quasi-judicial or other

authority will not prejudice

or threaten the Successful

There may be certain minor

cases against Bidders in the

ordinary course of business

that may not have any

material impact on this

process. Therefore only

those cases that may have a

material impact should be

covered under this clause.

The participating

companies are large






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authority, the outcome of

which may constitute an event

of default hereunder;”

and interests on which legal

cases might be on. Hence

only such event which

threatens Bidder‟s ability to

execute this specific project

should be considered as

Event of Default and no

other legal process,

judgement etc.

Bidder‟s ability to execute

this specific project”

corporate houses and have

various business activities

and interests on which

legal cases might be there.

Hence the suggested text

for amendment.

46. Tender

Document

Clause 3(g) – Schedule E –

“the Successful Bidder has

complied with Applicable

Law and has not been subject

to any fines, penalties,

injunctive relief or any other

civil or criminal liabilities”.

Except for any fines and

penalties imposed on the

Successful Bidder during the

ordinary course of business,

the Successful Bidder has

complied with Applicable

Law and has not been

subject to any other fines,

penalties, injunctive relief or

any other civil or criminal

liabilities which may

constitute an event of default

hereunder;”

Only such cases which

have a material impact on

this agreement shall be

included in this

representation. During the

ordinary course of course

of business there may be

fines and penalties imposed

on the bidder which may

not be of relevance for the

purpose of this agreement.


47. Tender

Document

Clause 5.4- A bidder shall

disclose all mining leases for

limestone held in the state of

Andhra Pradesh along with

the mineral reserves available

in the said leases as on the

date of the NIT and shall not

be in arrears of mineral

revenue to the state

government.

a. Arrears of mineral

revenue should be clearly

defined.

b. This clause should be

properly articulated and only

in case of undisputed arrears

for more than 12 months

should be considered for

disqualifying a bidder to

participate in the bidding

process

c. Format in which the

said information to be given



understanding of the tender

document.

Mineral Revenue includes payments to be paid

by the lease holders towards Annual Dead

Rent, Royalties, Interest dues, Surface Rents,

Cess on Surface Rents and penalties imposed

by the Mines Departments for unauthorized

mining / quarrying, illegal transportation etc.

The bidder may chose an appropriate format to

disclose mining leases for limestone held in

the state of Andhra Pradesh along with the

mineral reserves available in the said leases.





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should be provided

48. Tender

Document

Clause 1 of Schedule III- xiv

i.e. A certificate from the

bidder regarding its entire

limestone requirements at

rated capacity utilization.

Please clarify the meaning of

rated capacity utilization and

also the format of certificate




document.

Rated capacity means nameplate capacity or

installed capacity.

The bidder may chose an appropriate format

of the certificate.

49. Tender

Document

Clause 1 of Schedule III- xv

i.e. A declaration on all

mining leases for limestone

held in the state of Andhra

Pradesh along with the

mineral reserves available in

the said leases as on the date

of the NIT.

Please provide the specific

format to be used.




document.

The bidder may chose an appropriate format

to disclose mining leases for limestone held in

the state of Andhra Pradesh along with the

mineral reserves available in the said leases.

50. Tender

Document

Clause 5 Explanation:- With

respect to one limestone

block, only one Bid may be

submitted, either directly or

indirectly by a Bidder or any

of its Group Companies.

The definition of Bidder,

Affiliate and Group

Company read along with

other qualification provisions

suggest that these definitions

only covers Affiliates but not

subsidiary.

Kindly clarify will the bids

by two companies having

Parent-Subsidiary

relationship is allowed?

Also clarify, if separate Bids

are submitted by the Bidder

and its Group Companies,

whether all the Bids will be

rejected by the State

Government or Bid

submitted only by one

Bidder will be considered for




document.

Two companies having Parent-Subsidiary

relationship are not allowed to bid for the

same block.

If separate Bids are submitted by the Bidder

and its Group Companies, all the bids will be

rejected by the State Government.





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evaluation

51. Tender

Document

Clause 2.2- “Affiliates” with

respect to a Company, means

a Company in which that

other Company has a

significant influence, but

which is not a subsidiary

Company of the Company

having such influence and

includes a Joint Venture

Company. For the purposes of

this clause, "significant

influence" means control of at

least twenty per cent of total

share capital, or of business

decisions under an agreement.

This definition read along

with definition of Group

Company and other

provisions of the tender

document does not allow

companies which fall under

the definition of Affiliate to

put two separate bids for the

same tender. However,

subsidiaries (as per

Companies Act 2013) are

specifically excluded from

this definition.

Kindly clarify following:

1) The current definition

of Affiliate suggest that if a

Company have 20% or more

share capital in other

company than two will be

considered Affiliate. In case

two companies having

common control or

shareholding of more than

20%, will such companies be

considered as Affiliate?

Example: Company A have

25% shareholding in

Company B and 30%

shareholding in Company C.

By current definition,

Company A and B are

The clarification is

necessary to understand the

eligibility of companies to

participate. The spirit of

competitive bidding suggest

that there should be only

one bid by one Party

directly or indirectly. In

case of Coal auctions,

multiple bids from same

company were allowed

however for evaluating and

ranking purpose, all such

bids were given same rank.

Hence clarify bidding

structures allowed in detail.

Please refer Clause 2.2 & 2.11.

Tender Condition Prevails.

As regards to the clarification requested:

1) B&C will not be considered as Affiliates.

2) No, In case of Common shareholding of

more than 20% through multiple layers/

holding companies, such companies will not

be considered as Affiliate.

(as per section 186 of Companies Act, 2013)

3) Yes, a Parent and Subsidiary company will

not be allowed to bid for the same block.





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affiliate and Company A and

C are affiliate but Company

B and C are not affiliate by

this definition as there is no

shareholding of B in C or

vice versa. Kindly confirm if

our understanding is correct

or B and C would be

considered Affiliate.

2) In case of Common

shareholding of more than

20% through multiple

layers/holding companies,

will such companies be

considered as Affiliate?

3) The provisions are

silent on the treatment of bid

by both Parent Company as

well as Subsidiary Company.

Will a Parent and Subsidiary

company be allowed to bid

for the same block as

definition of Affiliate and

Group Company read with

qualification suggest that.

52. Tender

Document

Schedule III 3. Preparation

and Submission of Bid (b)

Stage 2: Electronic Auction-

Final price Offer- ........

During the process of

electronic auction, the Bidder

shall be required to sign their

We understand that the

Bidder is required to inform

the State Government in case

there is any change in the

corporate authorisation of

the Bidder. In such case, the

process to be followed by the

Bidder needs to be provided

Schedule III Clause 3

b. Stage 2: electronic

auction- Final Price Offer

b. Conduct of e-auction

During the process of

electronic auction, the

Since the Tender

Document states that any

change in corporate

authorisation must be

immediately intimated to

the State Government, the

details regarding steps to

be followed by Bidders for

In extreme case of requirement for

replacement of authorized representative, the

bidder may approach Government of Andhra

Pradesh and submit application for requesting

such changes with valid reasons along with

Power of Attorney in favour of the new

authorized person. Government of Andhra

Pradesh on its satisfaction may provide





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bids with their respective

digital signature certificate

(DSC) and the use of which

has been duly authorised on

behalf of the Bidder and

which was used at the time of

registration. Any digital

signature certificate other than

the above shall not be

acceptable for bid submission

by the system.

in detail.

Moreover, the Bidder should

also be allowed to the

change the DSC for

submission of bid in case

there is any change in the

corporate authorisation or

authorised signatory prior to

submission of bid.

Bidder shall be required

tosign their bids with their

respective digital signature

certificate (DSC)and the use

of which has been duly

authorised on behalf of the

Bidderand which was used at

the time ofregistration.

However, in case of change

of Authorised Signatory of

the Bidder, the Bidder will

be allowed to apply for

change the DSC for

submission of bid after prior

intimation to the State

Government.

intimating change in

corporate authorisation are

required for clear

understanding of the

process.

approval and may instruct MSTC accordingly.

53. Tender

Document NA

Basis for calculation of

reserve price should be

shared with the bidders to

ensure transparency.

Realistic estimation of

resources specific to the end

use and representative prices

should be considered in

estimation of reserve price.




document.

Not required.

54. Tender

Document NA


provide the amount of stamp

duty payable on the Mining

Lease to avoid any disputes

at later date and get best

offer.

Further it should be clarified

that for calculation of Stamp

Duty on Mining Lease

Clarity on applicable stamp

duty on the blocks and on

other agreements should be

provided for better

evaluation of the

opportunity by bidders.

Cost for stamp duty and

registration of mining lease

based on prevailing

applicable law in the State


relevant law.





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whether 50 years (which is

maximum duration of

mining lease) or actual

operational life of mine be

considered?

should be specifically

mentioned in the tender

document. States should

also quantify the stamp

duty, if any, applicable on

MDPA

55. Tender

Document

Clause 10.2 (c)

Pursuant to sub-rule (1) of

rule 12 of the Auction Rules,

the Performance Security shall

be adjusted every five years so

that it continues to correspond

to 0.5% of the reassessed

Value of Estimated Resources

determined in accordance with

the Auction Rules.

Kindly provide the detailed

methodology for


adjustment. In case of any

change in the methodology

of price determination by

IBM, how and when will the

adjustment in Performance

Security take effect.

Methodology for revision of

performance security should

be provided in detail for

better clarity. Provision of

yearly revision of

performance security should

be incorporated.


amount may vary based on

various factors including

following:

Updated mineral

resource base

(considering

additional information

and mining activities)

Price of mineral (IBM

prices)

Valuation principles

Mining plan and

approved capacity

Market conditions

Hence a clarification will

help avoid disputes at later

stage.

The clause 10.2 (c) is self-explanatory.

56. Tender

Document NA

Methodology for adjustment

of Upfront Payment should

be provided in detail for

better clarity. No monthly

payment should be paid by

Successful Bidder till the

entire Upfront Payment has

been adjusted.




document.

The upfront payment will be adjusted in

accordance to the quantity of mineral

dispatched during the first 60 months against

the amount payable in accordance with the

percentage of Value of Mineral Dispatched

quoted as the Final Price Offer.





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57. Tender

Document NA

The land purchase in the area

of mineral block should not

be allowed from the NIT

date till the auction process

is over.

The tender should protect the

Preferred / Successful

bidders against any

accumulation of land by

third party after Notice

Inviting Tender is issued

Since the blocks have been

notified and Successful

Bidder is required to

acquire land, people may

buy land in the area and

make land acquisition

difficult and expensive for

the Successful Bidder.

Regarding purchase of lands, the Preferred

Bidder may take up separately with the

concerned/appropriate department of the

Government of Andhra Pradesh

Andhra Pradesh Industrial Infrastructure

Corporation (APIIC) may assist the preferred

bidder in land acquisition.

58. Tender

Document

Appropriations of BG in

case of actual production is

less than minimum

production is double penalty

(Bid Price on Minimum

Production and 24% of IBM

Price as Penalty on Shortfall

in Production) and need to

be revised.

The obligation of the

bidder should be limited to

Minimum Production.


59. Tender

Document

Clause 3.5: “Pursuant to sub-

rule (3) and sub-rule (4) of

Rule 6 of the Mineral

(Auction) Rules, 2015, the

State Government reserves

this Mineral Block for

Specified End Use. The

minerals extracted under the

mining lease shall:

i. be utilised solely for the

Specified End Use; and

ii. Not be sold or transferred

or otherwise disposed of,

either directly or indirectly.”

While the bid document is

silent on the location of use

of the mineral, will mineral

be allowed to transport

outside state boundary.




document.

Transport of mineral outside the state of

Andhra Pradesh is strictly prohibited.





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60. Tender

Document

Clause 14.1.1 (g)- A letter

mentioning the details of the

existing clinker/ cement

plant(s) in the format

specified in Part F of Schedule

I (Format of Letter) duly

signed by the signatory of the

bid

Kindly confirm that we need

to provide only details of the

existing clinker/cement

plants in the State of Andhra

Pradesh.




document and compliance

during Bid Submission.

Details of the existing clinker/cement plants

only in the state of Andhra Pradesh are

required.

61. Tender

Document

Schedule I B. Bid Letter-

1(d)(iii)- Documents to

evidence the requirements of

minerals for the specified end-

use

Kindly state the particulars

of the documents required in

the clause.




document.

Kindly refer to Schedule I, Section A (g) of

the tender document.

62. Tender

Document

Clause 1 of Schedule III-

……the bidder shall receive a

confirmation mail in the

registered e-mail address

advising the bidder to submit

the following documents to

the designated e-mail id only

which is given below.

[email protected]:

i) ........

ii) ........

iii) ........

A particular user already

registered on MSTC website

and has submitted many of

the documents listed in the

clause during the process of

Registration. Request you to

please confirm / clarify

which of the documents out

of the documents mentioned

in point i. to xv are required

to be submitted by a bidder

already registered on MSTC.




document.

All the documents mentioned in Clause 1 of

Schedule III are required to be submitted.

63. Tender

Document

Kindly provide the

methodology/ basis of the

sale price of mineral (grade-

wise and state-wise) as

published by IBM which

would be considered to

arrive at the value of

The rationale behind

having a separate policy for

determination of sale price

of limestone for captive

and commercial purpose

Not required.

mailto:[email protected]





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monthly dispatch.

We also suggest to have a

separate policy for

determination of sale price of

limestone published by IBM

for captive purpose and for

commercial purpose.

As per our understanding of

the market and IBM

methodology, current IBM

methodology take into

account both captive and

non-captive producer‟s

prices to arrive at notified

price of limestone. Given

skewed market condition for

limestone where over 95%

production is captive, current

price methodology does not

reflect fair market price.

Hence a provision should be

incorporated, to adjust the

bid percentage in case of

change in method of

publishing mineral/limestone

price by IBM to make

Bidder‟s revenue neutral.

This is must given that

Bidding Parameter is

dependent on IBM prices.

Further, kindly add a

provision to protect the

interest of Bidders from

potential risk in the event of

Change in Law including

change in taxation, royalty

etc. to make Bidder revenue

is:-

The IBM prices are based

on the average prices of top

ten non-captive producers

of the state. Applying these

prices on captive producers

may not be a correct

methodology for

determination of premium,

as the prices will be

fluctuating as per market

dynamics and will result in

a potential risk related to

project economics due to

large variation in prices,

which will be factored by

the Bidders and will reduce

the bid value considerably .

Therefore, IBM in

consultation with State

should develop a separate

methodology for

determination of prices for

captive users and publish

reference prices separately

for captive and non-captive

users. These prices should

be used for determination

of premium as per

Specified End Use.

As the bidding parameter is

directly related to the sale

price of mineral (grade-





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neutral.

wise and state- wise) as

published by IBM for such

month of dispatch, there is

a substantial risk of End

Use Plant becoming

financially unviable at a

potential increased price

due to change in

methodology for

determination of sale price

of limestone by IBM and

thus should be considered

Change in Law. The

additional provisions will

protect the interest of

Bidders.

Further Bidder is

committing additional

royalty/bidding parameter

considering current mining

and taxation regime. Any

change which increases

cost to Bidder will make

project unviable and hence

such taxes should not be

applicable to Bidder.

64. Tender

Document

Clause 8.1- Pursuant to sub-

rule (4) of Rule 9 of the

Auction Rules, the e-auction

shall be an ascending forward

online electronic auction

conducted on electronic

platform created by MSTC

Limited (a Government of

In case two companies,

which are Group Companies,

submit bids for a limestone

block, then they should be

considered as one while

ranking for online e-auction.

f). If any Technically

Qualified Bidder which has

submitted a Rank Bid ( i.e.

Technically Qualified Bids

holding first fifty per cent of

the ranks (with any fraction

rounded off to higher

integer) or the top five

Technically Qualified Bids,

This is in line with the

methodology being

adopted in coal block

auctions.






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India enterprise) and shall

comprise of the following two

rounds:

A. First round of e-auction:

a) …

b) …

c) …

d) …

e) …

…( to be added)

whichever is higher), is a

Group Company of another

Technically Qualified Bidder

which has submitted a Rank

Bid; and/or any Technically

Qualified Bidder has

submitted more than one

Rank Bid, then, for the

purposes of assigning the

rank the following shall be

considered a single “Cluster”

and shall be assigned a

single rank.

65. Tender

Document

Point 2 & 3 of Clause 12-

Time Table- Stage II

Kindly clarify, the reason for

deviation of the State

Government from the

provisions of Mineral

(Auction) Rules, 2015

regarding the declaration of

Preferred Bidder as

Successful Bidder. In this

Tender Document the

acknowledgment of

Successful Bidder is

dependent on the date of

submission of clearances

which is not as per the

provisions of Mineral

(Auction) Rules, 2015 and

Model Tender Document

suggested by Ministry of

Mines.

The timelines and milestones

must be in line with the

Mineral (Auction) Rules and

Model Tender Document

issued by Ministry of Mines.

It is contemplated in the

Mineral (Auction) Rules,

2015 that only a Successful

Bidder shall apply for

various approvals. Also, it

has to be considered that

unless a person has lawful

rights (or acknowledgement

from the State Government

of being a Successful

Bidder), he will not be able

to successfully get

permissions and approvals

from various regulatory

authorities.

Hence obtaining approvals

should not be a pre-

condition to be Successful

Bidder.






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Further Preferred Bidder can

apply for clearances, follow

up and comply with all

directions of State and

Central Government

however all the clearances

and approvals are to be

granted by Governments and

hence Bidder‟s performance

is contingent upon

performance by Government

of its obligations.

Indeed, State Government

should consider providing all

approvals in principle now.

66. Tender

Document

Clause 14.1.1 (b) – Bid

Security along with Clause

15.1

Bid Security should be valid

for 360 days from the bid due

date.

Bid security should be valid

for 240 days inclusive of

claim period of 60 ......,....

As per clause 14.12 Bid is

valid for 180 from the bid

due date. Hence, validity

of bid security should be in

the line of validity of bid

due date.


67. Tender

Document

Clause 14.7.2 (d.)-The

Preferred Bidder in case does

not make the initial payment

within the specified time

limits.

We understand that the

provision of this point apply

to only first instalment of the

Upfront Payment and not

entire Upfront Payment

which is to be paid by

Preferred Bidder before

issuance of LoI.

Yes, this is limited to first installment of the

Upfront Payment only (10%). However,

Preferred Bidder has to adhere the payment

milestone and timelines as specified in Section

11 & 12 of the Tender Document

68. Tender

Document

Clause 14.7.3-Any rejection

of a bid under Clause 14.7.2

may lead to the

Any rejection of a bid under

Clause 14.7.2 on account of

misrepresentation may lead

Subsequent disqualification

for a period of five years

should be made applicable






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disqualification of the Bidder

for bidding for any e-auction

or allotment conducted by the

State Government for a period

of 5 years starting from the

date of appropriation of the

Bid Security or any other

earlier date specified by the

State Government

to the disqualification of the

Bidder for bidding for any e-

auction or allotment

conducted by the state

government for a period of 5

years starting from the date

of appropriation of the Bid

Security or any other earlier

date specified by the State

Government

only if a misrepresentation

is made intentionally. It

should not be made

applicable to mere

omission to furnish

information or to make the

initial payment as the

punishment is onerous.

69. Tender

Document

Clause 14.11.1- Rejection of

bid –“Notwithstanding

anything contained in this

Tender Document, the State

Government reserves the right

to reject any bid and/or to

annul the tender process and

reject all bids at any time

without any liability or any

obligation for such

acceptance, rejection or

annulment, and without

assigning any reasons

thereof.”

Notwithstanding anything

contained in this Tender

Document, the State

Government reserves the

right to reject any bid and/or

to annul the tender process

and reject all bids at any time

without any liability or any

obligation for such

acceptance, rejection or

annulment with reasons to be

recorded in writing.

In order to ensure

transparency of the process

it may be advisable that the

State Government records

the reasons in writing

before rejecting any bid or

annulling the tender

process.


70. Tender

Document

Clause 14.13 Change

affecting the Bidder

Upon submission of the

Technical Bid, any change

affecting the Bidder regarding

compliance with the eligibility

condition shall result in

disqualification of the Bidder.

Any change in any

information submitted by the

Bidder must be immediately

communicated to the State

Upon submission of the

Technical Bid, any change

affecting the Bidder

regarding compliance with

the eligibility condition shall

result in disqualification of

the Bidder. Any change in

any information submitted

by the Bidder must be

communicated to the State

Government within a period

of 30 / 90 days

Time line can be defined

for better clarity

Not required. The bidder must immediately

communicate any change to the State

Government.





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Government

71. Tender

Document NA

Kindly clarify if there is any

provision to surrender

unutilized lease area.

The information regarding

the provision to surrender

unutilized lease area will

help the Successful Bidder

in reducing his financial

liability in terms of dead

rent, applicable taxes, etc.

and monetise its resources.

Will be governed as per provisions of Mines

and Minerals (Regulation and Development)

Act, 1957, its subsequent amendments & rules

made thereunder.

72. Tender

Document

Clause 3 (f)- Schedule E-


Production Agreement : “The

Successful Bidder has neither

violated or defaulted nor has

knowledge of any violation or

default with respect to any

order, writ, injunction or any

decree of any court or any

legally binding order of any

Governmental Authority”

Since, the Bidder is already

complying with the specific

provisions the Tender

Document, the mentioned

provision which is asking to

provide an umbrella

warranty covering any

violation or default against

any decree of any court or

binding order of any

Governmental Authority

should not be covered under

warranties.

Further Bidder may be

contesting an order, writ or

judgement in higher court

etc. and hence this provision

is against Bidders right to

take legal recourses.

Clause 3 (f)- Schedule E-


Production Agreement to be

removed

Since, the Bidder is already

complying with the

specific provisions the

Tender Document, the

mentioned provision; no

additional generic

warranties should be

required.

Warranties under an

Agreement should be

limited to provisions of the

Agreement.


73. Tender

Document

Point 6 of datasheet

mentioned on page 6 of the

Tender Document

Kindly clarify the role of the

Nodal Officer mentioned in

the Tender Document.

Government will appoint a

Nodal Officer for facilitating

all approvals, Clearances,

Consents, Land Acquisition

Nodal officer is the Officer In Charge only for

conducting the auction process.





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etc. in timely manner.

74.

General

(Mettigudipadu

- Goli(MG) –

IV Block)

Kindly clarify, whether the

deposit falls within

catchment area of various

water bodies. Also clarify,

whether the NOC from

irrigation would be required/

obtained

The limestone block is demarcated keeping a

buffer of 50m from the streams flowing

nearby.

NOC is not required from irrigation

department

75. General

During the site visit, the

State Government geologist/

Surveyor should be present

along with the Bidders.

A technical officer from the local ADMG

office will be made available during the site

visit.

76. General

The resources and mineable

cement grade reserves have

large difference, kindly

clarify how this issue will be

treated by the State

Government in terms of

Performance Security.

The value of the Performance Security has

been calculated as per Mineral (Auction)

Rules, 2015 on the estimated mineral resource

as per Mineral (Evidence of Mineral Contents)

Rules, 2015. However, appropriation of

Performance security will be depending upon

the minimum required mining quantity which

will be calculated based on Mining Plan to be

developed. This will take care of mineable

reserve.

77. General

From our past experience in

the mining, we believe that

taking control of surface area

of the mine and removal of

Surface encumbrances is one

of the most challenging task

and leads to project delay.

Given that Bidder is

committing additional

payment to Government as

well as development

Regarding the control of surface area, the

Preferred Bidder can take up separately with

the concerned / appropriate department of the

State Government.





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schedule, State Government

must commit its support,

plan and procedures it would

adopt to ensure removal of

surface encumbrances to

make it available for mining.

78. General

Detailed land schedule along

with land map, patta, khasra,

ownership and other details

should be provided along

with bid documents.

Details are available in Geological Report.

79.

Geological

Report on

Limestone

Resources for

Mittagudipad

u – Goli

Block - IV

Section VI.3.4 at Page No. 13

- Detailed geological map

around Goli village, Guntur

District, Andhra Pradesh (Part

of Toposheet No. 56P/10)

The geological map is not

clear and Structural features

are not visible. A clear copy

of Geological Map on scale

may be provided.

The clarification will

enhance the understanding

about the geology and

structure of the area.

The map is provided as addendum to the paid

documents

80.

Geological

Report on

Limestone

Resources for

Mittagudipad

u – Goli

Block - IV

Section IX.3.2. Core drilling –

“For one sample 3-5 cm core

has been collected in every 20

cm interval without any

contamination (pyrite, quartz

vein and styolites) and it was

homogenously mixed,

crushed, powdered and sieved

upto – 200 mesh size (BSS)”

Since entire core length has

not been analysed, the

reserves estimates at

different CaO cut-off given

in report may vary and the

actual ROM average quality

of the deposit may be

different from the estimated

quality.

All the standard activities in core drilling have

been followed.

81.

Geological

Report on

Limestone

Resources for

Mittagudipad

u – Goli

Block - IV

Borehole Litho-log for core

borehole GJL/CD-7 drilled

in MG-IV is not available in

the report.

Borehole litho-log for core

borehole GJL/CD-7 may be

provided for better

estimation of

resources/reserves.

Kindly refer to the information in Annexure-

IV appended to the G.R.





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82.

Geological

Report on

Limestone

Resources for

Mittagudipad

u – Goli

Block - IV

Annexure IV

Part quality data of Lower

Purple Limestone is missing

in all the boreholes drilled in

MG-IV block.

Data, if available, may be

provided to estimate the

quality and reserves as a

part of Purple can also be

utilized for cement

manufacturing.

All the data taken into account for estimation

of Limestone resources is provided in the

Geological Report.

83.

Geological

Report on

Limestone

Resources for

Mittagudipad

u – Goli

Block - IV

Plate III

Plate III shows core

boreholes CD-5 (BH31) and

CD-8 (BH38) within the

MG-IV block, but details

(Borehole Log and Chemical

analysis) are not provided in

the Report.

Since core boreholes

provide more realistic data

about the quality and

thickness of various lith-

units of the area in

comparison to DTH

boreholes, thus details of

core boreholes is required.

Bore hole data pertaining to BH-31 and BH-

38 is not considered for estimation of

Limestone resources. Please refer to the

Geological Report.

84.

Geological

Report on

Limestone

Resources for

Mittagudipad

u – Goli

Block - IV

Plate III

Another 2 core boreholes

CD-6(BH-36) and BH-28 are

close to MG-III and IV

blocks and data for these

boreholes is not available

Since core boreholes

provide more realistic data

about the quality and

thickness of various litho-

units of the area in

comparison to DTH

boreholes, thus details of

core boreholes is required.

BH -36 and BH-28 are not taken into account

for estimation of Limestone resources of

Block-III and Block-IV.

85.

Geological

Report on

Limestone

Resources for

Mittagudipad

u – Goli

Block - IV

Annexure II - Extents covered

in each survey number of Sub-

block - IV of Mittagudipadu -

Goli Block - 1

Part of Patta land in the

block area is in name of

Regence Cement &

Chemicals Ltd. (20.89 Acre

in explored area and 19.14

Acre in unexplored area) and

Rajini Cement & Chemicals

Ltd. (2.70 Acre in explored

area)

Patta land owned by other

entrepreneurs, if not

available for acquisition

shall reduce the reserves

and will limit the mining

operations by forming of

no. of pits.




Rules, 1960.





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86.

Geological

Report on

Limestone

Resources

for

Mittagudipa

du - Goli

Block - IV

II.1 Details of the MG-IV

Prospecting: : Geological

report of GSI for field season

2012-13 & 2013-14 the

Block:

Whether soft / hard copy of

Geological Report along

with plans prepared by GSI

shall be shared by Govt. free

of cost to Preferred Bidder

for preparation of Mining

Plan.

Government will examine the issue and

certainly extend support, as required.

87.

Geological

Report on

Limestone

Resources

for

Mittagudipa

du - Goli

Block - IV

VIII. Mode of Investigation-

High percentage of core was

recovered in all the three units

of limestone except in the

solution cavity zones. Poor

core/sludge was recovered in

the BH-13, BH-18, BH-36

and Bh-37 mainly due to

solution cavities.

Most of the boreholes drilled

are DTH boreholes. Hence

mentioning high % of core

recovery seems not justified.

Further, due consideration

for poor recovery, cavities

and geological uncertainities

has to be given during

resources estimation.

Cavern formation is quite normal in High

Grade Limestone areas. In estimation of

limestone resources, the due care was already

taken.

88.

Geological

Report on

Limestone

Resources

for

Mittagudipa

du - Goli

Block - IV

IX.4: Chemical Analysis:

(i) The average quality range

given is based only of the

samples analysed which may

change if excluded/or

missing data is included.

(ii) Whether missing data

will be provided by DGM

for preparing Mining Plan.

(iii) Analysis for check

samples in a third party

laboratory has not been done

as required under the

Minerals (Evidence of

Mineral Contents) Rules,

2015

(i) In estimation of limestone resources, the

due care is already taken.

(ii) The Government shall extend all needful

support to the Preferred Bidder.

(iii) In estimation of limestone resources, the

due care is already taken.

89.

Geological

Report on

Limestone

Resources

for

X. Exploration & Sampling

Only summary of borehole

logs for 12 DTH holes are

given without furnishing

recovery percentage of DTH

Cuttings. Basic borehole logs

All the required information shall be shared

with the Proffered Bidder.





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Mittagudipa

du - Goli

Block - IV

of 3 core boreholes drilled in

block are not provided in the

document.

90.

Geological

Report on

Limestone

Resources

for

Mittagudipa

du - Goli

Block - IV

XI.3 Twelve number of core

drill boreholes and nine

surface pits are falling in this

block. Therefore, the

limestone reserves of MG-IV

Block may be considered as

G2-Stage.

(i) As per Plate -III, 12

DTH holes have been shown

in and around Block-IV

which is contradicting to the

statement. Further, out of

12 Drill Holes, 5 (BH-7,

14,20,27 & 34)are falling out

side the block.

(ii) Please clarify whether

State Govt. permits preferred

bidder to carrry out

exploration to convert

resources into G1 Category.

(iii) Since augmentation of

exploration work (as

mentioned above) would

require time whether

timeline of 6 months for

mining plan approval would

be extended

(i) Only the influence area within the block

extent is considered for estimation of

resources as the boreholes are located on

the boundary of the block.

(ii) State Government shall permit additional

drilling by the preferred bidder.

(iii) The Government may consider the issue

on a case to case basis, depending upon

the circumstances.

91.

Geological

Report on

Limestone

Resources

for

Mittagudipa

du - Goli

Block - IV

XI.3 it is estimated that

205.25 million tones of

limestone plus or minus 20%

variation, with an average

grade of CaO of 43.95% is

occurring in the MG-IV block.

In view of the accepted error

margin of 20%, the Upfront

payment need to be revised

for the Resources of only

164.2 million tons (205.25

million tons minus 20%)


92.

Geological

Report on

Limestone

Resources

for

Mittagudipa

IX.3.3 DTH Drilling -

Normally, 5% of

contamination is expected in

cae of dry borehole. In wet

borehole the contamination

level will be little more due to

(i) Considering the extent of

contamination and the

limitations of

representativeness of

samples collected through

DTH-Drilling, the reliability

(i) In this case, top horizon contamination

partings were removed manually while

preparing samples. Hence, contamination is

minimized.





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du - Goli

Block - IV

the top horizon partings also

mix up with fresh one.

of the estimates of Chemical

quality appears to be

uncertain. Further since the

partings are removed

manually before processing

the samples meant for

Chemical analysis, it is most

likely that the average

quality may be significantly

lesser than (43.95% CaO).

(ii) Thus the limestone

reserves with less than 44%

CaO cannot be blended and

the resources of Cement

Grade limestone may be

reckoned as 127.05 MT

(ii)Limestone reserves are computed based on

threshold value of limestone for cement

manufacturing given by NCCBM and also

improved beneficiation methods and improved

technology of cement manufacturing was

taken into account.

93.

Geological

Report on

Limestone

Resources

for

Mittagudipa

du - Goli

Block - IV

Plate II Map showing the

proposed Sub Bloc Block No

IV

(i) The Map does not depict

Electrical High Tension

Lines, some of the fair

weather motorable Roads

and Dumps of Flaggy

limestone located within the

Block. These encumbrances

coupled with the safety

distances to be left unmined

may result in loss of

limestone bearing area to the

tune of about 30% of the

total mining lease area. The

estimated resrouces may

become less to that extent.

Clarification may be given

whether the said

encumbrances have been

duly considered for

estimation of the resources

(ii) Locations of Survey Nos.

(i) Safety buffer area for katcha roads,

irrigation canals, natural streams, etc., except

high tension electrical lines is excluded in

resources computation

(ii) All the required information is shown in the

map.





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291/B, 317/1, /291/14, 158,

163/11 and 150 are not

shown

94.

Geological

Report on

Limestone

Resources

for

Mittagudipa

du - Goli

Block - IV

Annexure-II Extents covered

in each Survey Number of

Sub block IV

(i) Majority of Land is Patta

Land as per the land

schedule classification. Patta

land owned by Scheduled

Tribes and Assigned Lands if

any may be furnished.

(ii) Bifurcation of Land use

of Govt. land , viz. road,

present public utility etc

may be given.

(iii) Information in respect of

21.044 Ha of the lands is not

given and was classified as

Others. It may be clarified

whether this land is Patta or

Govt land and whether it is

covered by any Public

Utilities etc.

(iv) Some of the lands

appear to be owned by

Cement Companies. Please

clarify whether any Quarry

leases are granted or any

mineral rights enjoyed by

them.

(v) Survey no. wise extent,

classification for the 59.231

Ha unexplored area meant

for mining amenities may be

given in Annexure II (as it is

left blank).

(i)Patta land doesn‟t include assigned lands. In

the block extent, there are no assigned lands or

schedule V areas.

(ii)Lands covered under roads and other public

utilities, along with safety buffer were

excluded from the block extents.

(iii)This land may be treated as Government

land.

(iv)There are no authorized quarries in the

block.

(v)This information is already provided in

annexures of the geological report.

(vi) The additional 20% area shall be a part of

mining lease. The preferred bidder shall pay

dead rent and other applicable levies. Cement

plant cannot be established in this area.

(vii) Third party land acquisition shall be as

per clause 2 of Part-VIII of Model Form for

mining lease(Form-K) appended to Mineral

Concession Rules, 1960.

(viii) Third party land acquisition shall be as

per clause 2 of Part-VIII of Model Form for

mining lease(Form-K) appended to Mineral

Concession Rules, 1960.

(ix) Government land shall be leased to the

successful bidder as per the existing law, after

execution of mining lease.





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(vi) It is to be confirmed

whether the above land (20%

of unexplored area)

identified for mining

amenities would form a part

of the Mining Lease to be

granted without any financial

or other liabilities and

whether any establishment of

the Cement Plant can be

located in this area.

(vii) Whether Govt. will

restrain any land transactions

other than the preferred

bidder and prevent

unauthorized speculated

transfers/acquisitions of

lands covered under the

Block.

(viii) It may be elaborated

how Govt. will help in

facilitating acquisition of

land by the

Preferred/Successful bidder.

(ix) Kindly clarify whether

the Govt. land will be

mutated in favour of

Successful Bidder after grant

of Mining Lease. Will there

be any financial liability for

such transfer.

95.

Geological

Report on

Limestone

Resources

for

Annexure-III Analytical

results of Pit samples

Out of 9 pits sunk in the

block, chemical analysis is

furnished for 5 pits only.

Reports in respect of balance

Pits may be given

All the available information is already

published in the geological report.





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Mittagudipa

du - Goli

Block – IV

96.

Geological

Report on

Limestone

Resources

for

Mittagudipa

du - Goli

Block - IV

Annexure-IV Analytical

results of core and non-core

samples.

As per summarized borehole

logs, all the 12 DTH

boreholes, have been drilled

up to 50 m depth while

chemical analysis is given

for only part of the hole as

given below:

BH No. Analysed

upto(m)

BH-7 24

BH-13 30

BH-14 24

BH-19 30

BH20 48

BH-25 36

BH-26 45

BH-27 45

BH-34 45

Further, as per map, 3 core

boreholes have been shown

in the block while analysis is

given only partly for CD-7.

Details of two core boreholes

(CD-5 & CD-8) may be

furnished.

Drilling was terminated after encountering

Banaganapalli formations and in other feasible

cases drilling was continued upto 50 mts.

targeted depth.

Borehole data is furnished for the boles which

were considered in estimation of resources.

97.

Tender

Document for

"Auction of

Mining Lease

for

Mittagudipad

u-Goli, Block

- IV,

Limestone

Block"

Schedule-I C (a) The Bid

security in the form of a bank

guarantee for 10,13,00000

and payable at Hyderabad.

May clarify the designated

authority in whose favour

Bank Guarantee is to be

prepared.

As per Corrigendum # 14, Bid security to be

addressed to -

Directorate of Mines & Geology







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98.

Tender

Document for

"Auction of

Mining Lease

for

Mittagudipad

u-Goli, Block

- IV,

Limestone

Block"

Schedule-I A(f) Audited

financial statements

(comprising of cash flows,

profit & loss account and

balance sheet) indicating

annual revenue of the

immediately preceding last

three financial years viz.

2012-13, 2013-14 and 2014-

15.

Whether the audited

financial statements for

preceding last three financial

years are required for

applicant who already has

cement plant in Andhra

Pradesh as on the date of

NIT and registered under

Company's Act .

Audited financial statements are required for

the all the bidders.

99.

Tender

Document for

"Auction of

Mining Lease

for

Mittagudipad

u-Goli, Block

- IV,

Limestone

Block"

Schedule-1 D(2) Format of

power of attorney: As per the

format, Separate Power of

Attorney is required for each

Mineral block even in the

same State.

As per present format, Power

of Attorney has to prepared

for each limestone block

separately though falling in

the same state and nominated

person by the Bidder is

same.

POA may not be block

specific to avoid duplicacy.


100.

Tender

Document for

"Auction of

Mining Lease

for

Mittagudipad

u-Goli, Block

- IV,

Limestone

Block"

Clause 2.28 “Upfront

Payment” means an amount

equal to 0.50% of the value of

estimated resources payable

pursuant to the Auction Rules.

“Upfront Payment” should

be on amount equal to

0.50% of the value of

estimated Reserves and not

resources.


101.

Tender

Document for

"Auction of

Mining Lease

for

Mittagudipad

u-Goli, Block

- IV,

Limestone

Clasue 10.3 The State Govt

and the Successful bidder

shall enter into the MDPA

upon the successful bidder

having obtained all Consents,

Approvals, Permits, No

Objections and the like as may

be required under applicable

law for commencement of

Some of the clearances for


operations can be obtained

only after the execution of

mining lease such as DGMS

permission etc..

Any such clearances/permissions, which can

only be obtained after the execution of mining

lease, shall be exempted.





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Block" Mining Operation.

102.

Tender

Document for

"Auction of

Mining Lease

for

Mittagudipad

u-Goli, Block

- IV,

Limestone

Block"

Clause 10.4 Bidder should pay

all costs related to Stamp

Duty, Registration of the

Mining Plan

Please elucidate whether

Stamp Duty shall be charged

based on factor derived from

Royalty on production and

not final price offer or

estimated Resources etc.


relevant law.

103.

Tender

Document for

"Auction of

Mining Lease

for

Mittagudipad

u-Goli, Block

- IV,

Limestone

Block"

Schedule IV: Format of

MDPA

MDPA to be executed on

Stamp Paper of adequate

value

Please clarify the value of

Stamp paper required.


relevant law.

104.

Tender

Document for

"Auction of

Mining Lease

for

Mittagudipad

u-Goli, Block

- IV,

Limestone

Block"

Clause 19.4.2

The Stamp Duty payable for

this agreement shall be borne

by the Successful Bidder

Please clarify the value of

Stamp Duty for the MDPA

Agreement


relevant law.

105.

Geol. Report

on Limestone

Resources for

Pillutla –

Piduguralla

block,

Guntur

III. Details of PP Limestone

Block

GSI explored area of PP-II

&PP-V is 220.887 ha. In

this, AP Govt granted 3 ML

&1 QL over an extent of

74.122 ha. May please

indicate the net limestone

area available and the

quantum of limestone

The 3 MLs and 1 QL have been excluded from

the block extents and from computation of

resources.





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reserves

106.

DO DO The net limestone area is not

a single contiguous block but

separated by operating MLs.

The right of way for path for

the granted MLs to be

considered through the net

available area, then the area

will be reduced further from

the net available area. And

details of worked out pits not

mentioned nor shown.Pl

clarify?

Government shall issue directions to the

existing lease holders to allow the

transportation of men and material from their

leases as per the rights reserved under lease

deed agreement.

107.

DO Plate-2 PP Combined map Safety distance to be

considered for presence of

electrical LT Line,11 KV

Line,33 kv line and canals in

the Limestone Block. Then

to what extent the net

available limestone area and

limestone resources will be

reduced ?

Area covered under roads and other public

utilities has been excluded from the total

extent of the block. The successful bidder may

realign the electrical lines and Government

shall facilitate the change of alignment.

108.

DO XI. Estimations GSI estimated limestone

reserves under Indicated and

Inferred category as 63.50

and 95.31million tonnes

respectively. The total

reserves of limestone being

158.631 mi.tonnes. Mineable

reserves only be considered

for valuation. And data

regarding land boundaries

and reserves to be as per

requirement of IBM to be

confirmed before

commencement of auction

process.

Tender conditions prevail.

109. Geol. Report

on Limestone

XI. Estimations Estimated Geological

reserves as per document is

Limestone reserves are computed based on

threshold value of limestone for cement





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Resources for

Pillutla –

Piduguralla

block,

Guntur

158.631 Million Tonne of

cement grade limestone with

avg of CaO 41.964 %.The

above grade of limestone is

not cement grade. The

quality of cement grade

limestone to be specified

with CaO not less than 43.5

to 44.0%.To maintain this

quality, we require high

grade limestone(sweetener)

that is CaO > 48 % to make

the above grade usable for

making cement. Kindly let

us know from where do we

get this quality of limestone?

manufacturing given by NCCBM.

110.

DO DO Bore holes drilled are 107,

Still the entire area not

covered as per the UNFC

guidelines. As the deposit is

un disturbed and based on

the geological features,the

drilling data was

extrapolated for assessing

the deposit.For systematic

evaluation of reserves under

mineable category,additional

drilling required.Geological

Plan and Geological cross

sections may be made

available for net limestone

area.

All the available information shall be shared

with the preferred bidder.

111.

do DO For preparing mining plan a

large no of base line date is

required like topographic

survey, detailed geological

report, sections and base line

environmental data ( at least

one quarter) , Will the same

Tender conditions prevail.

The Government may consider the issue of

extending the timeline on a case to case basis,

depending upon the circumstances.





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be provided by GOAP, if not

than time line of 6 month is

not sufficient for preparation

of Mine Plan.

112.

DO DO Preparation of Mine Plan for

submission to IBM may not

be possible on the basis of

Indicated and Inferred

reserves estimated by GSI as

the UNFC guidelines were

not followed. GOAP may

kindly get exemption for

approving the Mining Plan

with the available data. For

this entire data may please

be sent to IBM for

acceptance. Kindly advise.

This block may be auctioned

for PL cum ML

The Government may consider the request of

the preferred bidder to undertake additional

drilling to generate adequate data for

preparation of mine plan.

113.

DO DO Time period of 2 years from

the date of LOI may not be

sufficient to get the Mine

Plan approval from IBM,EC

from MOEF and CFE from

PCB. Time period of 3 yrs

may be given.


114.

TENDER

DOCUMENT

Data Sheet Point.1&2-Value of

resources mentioned at

INR7,832.41Crores for

158.631 mi.tonnes, where as

the cement grade limestone

available (%CaO>43.5) is

around 55 mi.tonnes, so the

value of resources should be

INR 2736.86 Crores and

correspondingly the amount

of bid security to be reduced

from INR7.83 Crores to INR

2.73 Crores.Pl clarify ?


115. DO DO Point-4:Amount of upfront

payment to be furnished in 3

In case the preferred bidder withdraws, Bid

Security and first installment of upfront





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installments and after

payment of First installment,

the bidder withdraws

In such a case, will the Bid

security and First installment

of upfront payment be

refunded to unsuccessful

bidders.

payment will be forfeited.

116.

TENDER

DOCUMENT

Clause 10.3 Purchase of entire Private

land within the stipulated

time frame may not be

possible. For executing the

deed can GOAP may kindly

arrange land through

acquisition.




Rules, 1960.