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Standards of Electrical construction

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SULTANATE OF OMAN

STANDARD DOCUMENTSFORELECTRICAL AND MECHANICAL WORKS(INCLUDING ERECTION ON SITE)

First EditionApril 1987

TABLE OF CONTENTS

FORM OF TENDER ...3APPENDIX TO FORM OF TENDER 5FORM OF AGREEMENT ..7APPENDIX A TO FORM OF AGREEMENT ..9APPENDIX B TO FORM OF AGREEMENT ..10STANDARD CONDITIONS OF CONTRACT- TABLE OF CONTENTS .12- INDEX .20- STANDARD CONDITIONS ..28ANNEXURE A FORM OF TENDER BOND .107ANNEXURE BFORM OF ADVANCE PAYMENT BOND .108ANNEXURE CFORM OF PERFORMANCE BOND 109

SHORT DESCRIPTION OF WORKS _______________________________________________ __________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

FORM OF TENDER

(Note: The Appendix form part of the Tender. Tenderers are required to fill up all the blank spaces in this Form of Tender and Appendix).

TO: CHAIRMAN OF THE TENDER BOARD

Gentlemen,

1. After having examined the Instructions to Tenderers, Outline Drawings, Standard Conditions of Contract, Outline Specification and Bill of Quantities/Schedule of Rates* and Prices for the execution of the above named Works, we, the undersigned, offer to execute, complete and maintain the whole of the said Works in conformity with the said Instructions, Outline Drawings, Standard Conditions of Contract, Outline Specification, and Bill of Quantities/Schedules of Rates* and Prices for the sum of Rials Omani ________________________________________________________________________________________________________________________________________________(RO. ______________________________) and/or the sum of _____________________________________________________________________________________________________________________ [___________________]or such other sum as may be ascertained in accordance with the said Conditions.

2. We undertake, if our Tender is accepted, to commence the Works within _________ days of receipt of the Engineers order to commence, and to complete and deliver the whole of the Works comprised in the Contract within ________ days calculated from the last day of the aforesaid period in which the Works are to be commenced/or by the ______________ day of _____ 20__.

3. If our Tender is accepted, we will obtain the undertaking of a locally registered Bank (as required in the Sultanate of Oman Standard Conditions of Contract for Electrical and Mechanical Works, 1st Edition) to be jointly and severally bound with us in the sum of 10 per cent of the Contract Sum for the due performance of the Contract under the terms of a Performance Bond as attached and to be approved by you.

4. We agree to abide by this Tender for a period of 90 days from the date fixed for receiving the same and it shall remain binding upon us and may be accepted at any time before the expiration of that period.

5. In the event of our Tender being accepted and until a formal Agreement is prepared and executed, this Tender together with your written acceptance thereof, shall constitute a binding obligation upon us.

______________________________________________________________________________ *delete where not applicable6. We understand that you are not bound to accept the lowest or any Tender you may receive.

7. We acknowledge receipt of the following circular letters:

Reference number of letterDate

________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

and confirm that we have taken account thereof in our Tender.

8. We confirm that we have an Agent(s) for the provision of Spare Parts, Maintenance services and repair who are:

Name __________________________________________________________________of Address _________________________________________________________________________________________________________________________________and whose Agency Registration Number is __________________________________dated ___________________________.

Name __________________________________________________________________of Address _________________________________________________________________________________________________________________________________and whose Agency Registration Number is __________________________________dated ___________________________.

9. We confirm that in accordance with Article 17 of the Tender Law and Article 35 of the Regulations of Sultani Decree No. 86/84 that the following persons/shareholders of the company have an interest in the Tender:

Name Interest

_______________________________________________________________

_______________________________________________________________

_______________________________________________________________

_______________________________________________________________

_______________________________________________________________

_______________________________________________________________

_____________________________________________________________________________________________________________________________________________ *delete where not applicable

APPENDIX TO THE FORM OF TENDER

CLAUSE

Number of Drawings5.2.2(b)_________________________

Receipt of Operating &5.7_____ days/months* before Maintenance Instructions Taking Over of the Works

Time for Completion7.1_____________ days/months*and or by the day of _______________________________

Amount of Performance Bond9.1RO. ____________________________________being5% of the Contract Sum.

Programme to be Furnished12.1____ days/months* followingEngineers order to commencethe Works.

Advance Detailed Progress12.4____ days/months* followingof Plant ScheduleEngineers order to commencethe Works.

Indirect or Consequential Damage16.1 RO. _____________________

Insurance of the Works17.1RO. _____________________

Minimum Amount of Third Party17.2(b) RO. _____________________Insurance

Amount of Penalty per day31.1RO. _______________ per day

Amount of Penalty per day31.2RO. _______________ per dayfor Prolonged Delay

Amount of Compensation per dayof Delay for ExtendedEngineering Services31.3RO. _______________ per day

Defects Liability Period33.1___________ months/year(s)*

Percentage for Adjustment of 39.4(b)_________________ per centPC Sums contained withinProvisional Sums

Yearly Cash Flow: * 191919191919-----------------------------------------------------------------------------------------------------------------------Percentage of Contract Price%%%%%%

______________________________________________________________________________ *delete where not applicableDated this _______________________ day of ________________________________ 20 _____.

Signature ___________________________________ in capacity of ________________________Duly authorized to sign Tenders for and on behalf of ____________________________________________________________________________________________________________________

(IN BLOCK CAPITALS)

Address _______________________________________Witness __________________________________________________________________________________________________________

______________________________________________Occupation _________________

FORM OF AGREEMENTTHIS AGREEMENT made this _____________ day of __________________ 20 . BETWEEN_____________________________________________________________________________of ________________________________________________________________(hereinaftercalled the Employer) of the one part and ______________________________________________________________________________________________________________________________________________________________________________________________________(Company Registration Number) ___________________________________________________(hereinafter called the Contractor) of the other part.

WHEREAS the Employer is desirous that certain works should be executed viz:______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________ and hasaccepted a Tender by the Contractor as summarized at Appendix B Summary of Contract Sum for the execution, completion and maintenance of such Works.

NOW THIS AGREEMENT WITNESSETH as follows:

1. In this Agreement, words and expressions shall have the same meanings as are respectively assigned to them in the Standard Conditions of Contract hereinafter referred to.

2. The following documents shall be deemed to form and be read and construed as part of this Agreement viz:

The said Tender The Standard Conditions of ContractThe Outline DrawingsThe Outline SpecificationThe Bill of Quantities*The Schedule of Rates and Prices*The Tender Board/Ministry Letter of Acceptance*______________________________**__________________________________________________________________________________________________________________________________________________________________________________________________________________

3. In consideration of the payments to be made by the Employer to the Contractor as hereinafter mentioned the Contractor hereby covenants with the Employer to execute and complete the Works and to remedy defects therein in conformity in all respects with the provisions of the Contract.

______________________________________________________________________________ *delete where not applicable**other additional documents as required4. The Employer hereby covenants to pay the Contractor in consideration of the execution, completion of the Works and the remedying of defects therein the Contract Price at the times and in the manner prescribed by the Contract and limited by the Cash Flow contained in the Appendix to the Form of Tender.

IN WITNESS whereof the parties hereto have hereunder set their respective hands and seals on the day and year first above written.

______________________________Signed by a duly authorized Signatoryfor and on behalf of the Governmentof the Sultanate of Oman

______________________________Witness

______________________________Signed by a duly authorized Signatoryfor and on behalf of the Contractor

______________________________Witness

Ratified in accordance with the Sultani Decree No. 48/76, as amended, on the ____ day of ________ 20____.

____________________________________________________________THE DEPUTY PRIME MINISTERUNDERSECRETARY FORFOR FINANCIAL & ECONOMIC AFFAIRSFINANCIAL AFFAIRSMINISTRY OF FINANCEAND ECONOMY

APPENDIX A TO FORM OF AGREEMENT

CONSTITUTION OF COMPANY

1. INTERNATIONAL COMPANIES

The Contractor shall prior to the signature of the Form of Agreement submit notarially authenticated copies of the original documents defining the constitution of the Company, powers of attorney and other relevant documents. In the case of a Partnership or Firm these documents shall be dully authenticated extracts from the partnership deed or other documents. These documents shall also show by what persons and what manner contracts may be entered into and what persons are directly responsible for the due execution of such contracts and can give valid receipts together with specimens of their signatures.

An overseas power of attorney of a foreign signatory to the Tender shall have been endorsed by an approved Oman authority (such as an Embassy).

A Contractor intending to undertake the Contract jointly with or in association with another firm or firms including firms or persons acting in an advisory or consultative capacity shall submit a statement showing how the contract commitment will be undertaken and the exact relationship between each of the parties.

2. OMANI COMPANIES

The Contractor shall prior to the signature of the Form of Agreement submit copies of the official Company Registration Particulars, i.e. partnership, limited liability, joint venture, joint stock, together with the commercial registration number. These documents shall also show by what persons are directly responsible for the due execution of such contracts and can give valid receipts together with specimens of their signatures.

APPENDIX B TO FORM OF AGREEMENT

SUMMARY OF CONTRACT SUM(FOR USE WITH VALUES IN RIALS OMANI ONLY)

DESCRIPTIONR.O.

BILL NO.1____________________2____________________3____________________4____________________5____________________6____________________7____________________8____________________9____________________10____________________11____________________12____________________13____________________..____________________..____________________..____________________..____________________..____________________..________________________________________TOTAL CONTRACT SUMRO____________________- Value of Plant____________________- Value of Shipping/Insurance____________________- Value of Erection/Installation____________________- Value of Building and CivilEngineering Works____________________- Value of Provisional Sums*____________________- Value of Contingencies*____________________

____________________

TOTALRO____________________

- Value of Overseas Portion*____________________- Value of Local Portion*____________________

____________________TOTALRO__________________________________________________________________________________________________ *delete where not applicableAPPENDIX B TO FORM OF AGREEMENT

SUMMARY OF CONTRACT SUM(FOR USE WITH VALUES IN RIALS OMANI AND/OR OTHER CURRENCIES)

DESCRIPTIONR.O.**

BILL NO.1_____________________________________\2_____________________________________3_____________________________________4_____________________________________5_____________________________________6_____________________________________7_____________________________________8_____________________________________9_____________________________________10_____________________________________11_____________________________________12_____________________________________13_____________________________________.._____________________________________.._____________________________________.._____________________________________.._____________________________________..__________________________________________________________________________TOTAL CONTRACT SUMRO**_____________________________________- Value of Plant_____________________________________- Value of Shipping/Insurance_____________________________________- Value of Erection/Installation_____________________________________- Value of Building and CivilEngineering Works_____________________________________- Value of Provisional Sums*_____________________________________- Value of Contingencies*_____________________________________

_____________________________________

TOTALRO**_____________________________________

- Value of Overseas Portion*_____________________________________- Value of Local Portion*_____________________________________

_____________________________________TOTALRO**___________________________________________________________________________________________________________________ *delete where not applicable**insert type of currency as applicable

STANDARD CONDITIONS OF CONTRACTTABLE OF CONTENTS1.0DEFINITIONS AND INTERPRETATIONS281.1Definitions281.2 Interpretation331.3Singular and Plural331.4Headings or Notes331.5Cost332.0 ENGINEER AND ENGINEERS REPRESENTATIVE332.1 Engineers Duties332.2Engineers Representative332.3 Engineers Power to Delegate342.4 Engineer to Act Fairly343.0 ASSIGNMENT AND SUB-LETTING343.1 Assignment343.2 Sub-letting354.0 CONTRACT DOCUMENTS354.1 Languages354.2 Compliance with Laws and Governing Law354.3 Documents mutually explanatory365.0 DRAWINGS AND SPECIFICATIONS365.1 Outline Drawings and Outline Specification365.2 Drawings and Specification Approval Procedure365.3 Approved Drawings385.4 Inspection of Drawings385.5 Foundation Drawings395.6 Errors in Drawings395.7 Operating and Maintenance Instructions396.0 MISTAKES AND ERRORS406.1 Mistakes and Information406.2 Errors by Contractor406.3Errors by Engineer417.0OBLIGATIONS OF THE CONTRACTOR417.1General Obligations417.2 Setting Out427.3 Training of Employer 's Personnel427.4 Operation of Plant438.0 AGREEMENT ANDPROCEDURES438.1 Form of Agreement438.2 Government Procedure438.3 Fixed Price439.0 BONDS449.1 Performance Bond449.2 Advance Payment Bond4410.0 CONTRACT DATA4410.1 Site Data4410.2 Sufficiency of Tender4510.3 Errors in Computing Tender4511.0ENGINEERS DECISIONS4512.0 PROGRAMME4612.1 Programme to be Furnished4612.2 Procedure and Method4612.3 Progress of Works4612.4 Advanced Detailed Progress of Plant Schedule4613.0 CONTRACTORS SUPERINTENDENCE4813.1Contractor's Representative4813.2 Contractors Employees4813.3 Notice of Objection4813.4 Proficiency of Languages4914.0 EQUIPMENT SERVICES FACILITIES4914.1Contractor's Equipment4914.2 Safety and Security4914.3 Electricity, Water and Gas4914.4 Employer's Equipment5014.5 Opportunities for other Contractors5015.0 LIABILITY FOR ACCIDENTS AND DAMAGE5015.1 Care of the Works5015.2 Damage to Works caused by Excepted Risks5115.3 Damage to Persons and Property before Taking Over5115.4 Damages to Persons and Property after Taking Over5215.5 Damage to Persons and Property from a cause occurring before Taking Over5215.6 Claims for Damage to Persons or Property5315.7Accident or Injury to Workmen5315.8 Damage to Services on Site5415.9 Urgent Repairs5416.0DAMAGES AND LOSS5516.1 Indirect or Consequential Damage5516.2 Mitigation of Loss5517.0INSURANCES, REGULATIONS AND PATENT RIGHTS5517.1Insurance of Works5517.2 Third Party Insurance5617.3 Damage to Persons and Property5717.4 Accident or Injury to Workmen5817.5 Notification by Contractor5817.6 Policies and Local insurances5917.7Remedy on Contractor s Failure to Insure5918.0 LAWS AND REGULATIONS5918.1 Compliance with Laws and Regulations5918.2 Assistance concerning Laws and Regulations5919.0PATENT RIGHTS6019.1Patent Rights6019.2Claims in respect of Patent Rights6019.3Employers Warranty for Patent Rights6020.0GENERAL OBLIGATIONS OF THE EMPLOYER6020.1Access to and Possession of the Site6020.2Foundations6120.3Authority for Access6120.4Access not exclusive6120.5Consents Wayleaves6120.6Import Permits and Licenses6121.0HOURS OF WORK AND RATE PROGRESS6221.1Hours of Work6221.2No Night or Holiday Work6221.3Rate of Progress6221.4Erection Progress Report6321.5Clearance of Site on Completion6322.0LABOUR6322.1Engagement of Labour6322.2Supply of Water6322.3Alcoholic Liquor or Drugs6422.4Arms and Ammunition6422.5Festivals and Religious Customs6422.6Epidemics6422.7Disorderly Conduct6422.8Safety of Workmen and Public6422.9Observance by Sub-Contractors6522.10Returns of Labour6523.0WORKMANSHIP AND MATERIALS6523.1Manner of Execution6523.2Quality of Materials6524.0ADVERSE PHYSICAL CONDITIONS AND ARTIFICIAL OBSTRUCTIONS6625.0TESTING OF PLANT6625.1Inspection and Testing during Manufacture6625.2Dates for Inspection and Testing6625.3Facilities for Testing at Manufacturers Works6625.4Certificate of Testing6725.5Rejection6725.6Inspection Authority6825.7No Reduction of Liability6826.0DELIVERY OF PLANT6826.1Delivery6826.2Packing and Marking6826.3Shipping Documents7026.5Overseas Transport7126.6Local Transport7126.7Receiving and Damage Reports7226.8Unloading and Storage at Site7227.0SUSPENSION OF WORKS7327.1Order to Suspend Progress7327.2Payment for Plant when Progress Suspended7327.3Resumption of Work7428.0DEFECTS BEFORE TAKING OVER7429.0TESTS ON COMPLETION7529.1Notice of Tests7529.2Time for Tests7529.3Delayed Tests7529.4Facilities for Tests on Completion7529.5Repeat Tests7629.6Consequences of Failure to Pass Tests on Completion7630.0EXTENSION OF TIME FOR COMPLETION7731.0DELAYS IN COMPLETION7731.1Penalty for Delay in Completion7731.2Prolonged Delay7831.3Engineering Services7832.0 TAKING OVER7932.1Taking Over Certificate7932.2 Taking Over by Portions7932.3Use before Taking Over7932.4Interference with Tests8033.0DEFECT AFTER TAKING OVER8033.1Defect Liability Period8033.2Making Good Defects8133.3Notice of Defects8133.4Extension of Defects Liability Period8133.5Delay in Remedying Defects8133.6Removal of Defective Work8133.7Further Tests on Completion8233.8Conditions Applicable8233.9Right of Access8233.10Contractor to Search8233.11Claims for Loss or Damage after Defects Liability Period8233.12Misconduct8333.13Liability after Taking Over8334VARIATIONS8334.1Engineers Power to Vary8334.2Orders for Variations to be in Writing8434.3Valuation of Variations8434.4Power of Engineer to Fix Rates8434.5Variations Exceeding 10 per cent8534.6Notice and Confirmation of Variations8534.7Progress with Variation8534.8Claims for Additional Payment for Variations8534.9Cancellation of the Works8635.0VESTING OF PLANT AND CONTRACTORS EQUIPMENT8635.1Ownership of Plant8635.2Marking of Plant8636.0CONTRACTORS EQUIPMENT8736.1Removal of Contractors Equipment8736.2Loss or Damage to Contractors Equipment8737.0CERTIFICATES AND PAYMENT8737.1Certificate of Payment8737.2Application for Interim Certificates8737.3Issue of Interim Certificates8837.4Retention Money8837.5Value of Interim Certificates8937.6Correction and Withholding of Interim Certificates8937.7Advance Payments9037.8Effect of Interim Certificates9037.9Applicable for Final Acceptance Certificate9037.10 Issue of Final Acceptance Certificate9137.11 Submission of Final Account9137.12 Value of Final Account Certificate9137.13 Final Account Certificate Conclusive9237.14 Adjustment to Certificates9237.15 Corrections to Certificates9238.0 PROVISIONAL SUMS9238.1 Provisional sums9238.2 Ordering work against Provisional Sums9238.3 Invoices and Receipts9339.0 NOMINATED SUB-CONTRACTORS9339.1 Nominated Sub-Contractors9339.2 Objections to Nominations9339.3 Responsibility for Design in Nominated Sub-Contracts9439.4 Payments against Provisional Sums9439.5 Delayed payments to Nominated Sub-Contractors9439.6 Continuing obligations of Nominated Sub-Contractor9540.0 PAYMENT CONDITIONS9540.1 Terms of payment9540.2 Provision of Plant9540.3 Installation of Plant9640.4 Construction of the Building, Civil Engineering Works9641.0 INTEREST ON DELAYED PAYMENTS9742.0 CURRENT FLUCTUATION9743.0 FOREIGN CURRENCY9743.1 Payment in Rial Omani9743.2 Rates of Exchange of Currency9743.3 Currency Conversion9843.4 Currency Conversion relating to Provisional Sums9844.0 REMEDIES AND POWERS9844.1 Contractor's Default9844.2 Valuation at Date of Forfeiture9944.3 Payments after Forfeiture9944.4 Effect on Liability for Delay9945.0 BANKRUPTCY9946.0 OUTBREAK OF WAR10046.1 Outbreak of War10046.2 Removal of Contractor's Equipment on Termination in Case of War10046.3 Payment if Contract Terminated in Case of War10047.0 SPECIAL RISKS10147.1No Liability for War etc Risks10147.2 Special Risks - Definition10147.3 Damage to Works etc by Special Risks10147.4 Projectiles, Missiles etc10247.5 Increased Costs arising from Special Risks10248.0 FRUSTRATION10249.0 SETTLEMENT OF DISPUTES10350.0 NOTICES10450.1 Notices to Contractor10450.2 Notices to Employer and Engineer10450.3 Change of address10451.0 TERMINATION OF CONTRACT10452.0 CHANGES IN COST AND LEGISLATION10453.0CLEARANCE THROUGH CUSTOMS10554.0FIRE PRECAUTIONS10555.0GUARANTEES10555.1Guarantee of Material and Workmanship10555.2Performance Guarantees10656.0TAXATION, CUSTOMS DUTY, RATES AND OTHER CHARGES106

INDEX

ClausePage

Access, Authority for20.361

Access not exclusive20.461

Access, Right of 33.982

Access to and Possession of the Site20.160

Accident or Injury to Workmen15.753

Accidents and Damage, Liability for15.050

Accident or Injury to Workmen17.458

Additional Payment for Variation, Claims for34.885

Address, Change of50.3104

Adjustment to Certificates37.1492

Advanced Detailed Progress of Plant Schedule12.446

Advance Payment Bond9.244

Advance Payments37.790

ADVERSE PHYSICAL CONDITIONS AND ARTIFICIAL OBSTRUCTIONS2466

AGREEMENT AND PROCEDURES8.043

Alcoholic Liquor or Drugs22.364

Ammunition, Arms and22.464

Application for Interim Certificates37.287

Applicable for Final Acceptance Certificate37.990

Approval Procedures, Drawings and Specification5.236

Arms and Ammunition22.464

Approved Drawings5.338

Assignment3.134

Assistance concerning Laws and Regulations18.259

Authority for Access20.361

ASSIGNMENT AND SUB-LETTING3.034

BANKRUPTCY4599

Bond, Advance Payment9.244

Bond, Performance9.144

BONDS9.044

Cancellation of the Works34.986

Care of the Works15.150

Certificate, Final Account Conclusive37.1392

Certificate, Issue of Final Acceptance37.1091

Certificate of Testing25.467

Certificate, Taking Over32.179

Certificate, Value of Final Account37.1291

Certificates, Adjustment to37.1492

Certificates, Application for Interim37.287

Certificates, Correction and Withholding of Interim37.689

Certificates, Corrections to 37.1592

Certificates, Effect of Interim37.890

Certificates, Issue on Interim37.388

CERTIFICATES AND PAYMENT37.087

Change of address50.3104

CHANGES IN COST AND LEGISLATION52104

Claims for Additional Payment for Variations34.885

Claims for Damage to Persons or Property15.653

Claims for Loss or Damage after Defects Liability Period33.1182

Claims in respect of Patent Rights19.260

Clearance of Site on Completion21.563

CLEARANCE THROUGH CUSTOMS53105

Completion, Clearance of Site on 21.563

Completion, Extension of Time for3077

Completion, Further Test on 33.782

Completion, Penalty for Delay and31.177

Compliance with Laws and Governing Law4.235

Compliance with Laws and Regulations18.159

Computing Tender, Errors in10.345

Conditions Applicable33.882

Conduct, Disorderly22.764

Confirmation of Variations, Notice and34.685

Consents Wayleaves20.561

Consequences of Failure to Pass Tests on Completion29.676

Consequential Damage, Indirect or 16.155

Construction of the Building, Civil Engineering Works40.496

Continuing obligations of Nominated Sub-Contractor39.695

CONTRACT DATA1044

CONTRACT DOCUMENTS435

Contractor, Errors by6.240

Contractor, Notices to 50.1104

Contractor, Notification by17.558

Contractor, Obligations of the741

Contractor's Default44.198

Contractors Employees13.248

CONTRACTORS EQUIPMENT3687

Contractor's Equipment14.149

Contractor's Equipment, Loss or Damage to 36.287

Contractor's Equipment, Removal of 36.187

Contractor's Equipment, Removal of on Termination in case of War46.2100

Contractor's Failure to insure, Remedy on 17.759

Contractor's Representative13.148

Contractor to Search33.182

CONTRACTORS SUPERINTENDENCE1348

Correction and Withholding of Interim Certificates37.689

Corrections to Certificates37.1592

Cost1.533

Currency Conversion43.398

Currency Conversion relating to Provisional Sums43.498

CURRENT FLUCTUATION4297

Damage to Persons and Property17.357

Damage to Persons and Property before Taking Over15.351

Damage to Persons and Property from a cause occurring before Taking Over15.552

Damage to Services on Site15.854

Damage to Works caused by Excepted Risks15.251

Damage to Works etc by Special Risks47.3101

DAMAGES AND LOSS1655

Damages to Persons and Property after Taking Over15.452

Dates for Inspection and Testing25.266

DEFECT AFTER TAKING OVER3380

Defect Liability Period33.180

DEFECTS BEFORE TAKING OVER2874

Definitions1.128

DEFINITIONS AND INTERPRETATIONS128

Delay in Remedying Defects33.581

Delayed payments to Nominated Sub-Contractors39.594

Delayed Tests29.375

DELAYS IN COMPLETION3177

Delivery26.168

DELIVERY OF PLANT2668

Disorderly Conduct22.764

Documents mutually explanatory4.336

Drawings and Specification Approval Procedure5.236

DRAWINGS AND SPECIFICATIONS536

Effect of Interim Certificates37.890

Effect on Liability for Delay44.499

Electricity, Water and Gas14.349

Employers Warranty for Patent Rights19.360

Employer's Equipment14.450

Engagement of Labour22.163

ENGINEER AND ENGINEERS REPRESENTATIVE233

Engineer to Act Fairly2.434

ENGINEERS DECISIONS1145

Engineers Duties2.133

Engineers Power to Delegate2.334

Engineers Power to Vary34.183

Engineers Representative2.233

Engineering Services31.378

Epidemics22.664

EQUIPMENT SERVICES FACILITIES1449

Erection Progress Report21.463

Errors by Contractor6.240

Errors by Engineer6.341

Errors in Computing Tender10.345

Errors in Drawings5.639

Extension of Defects Liability Period33.481

EXTENSION OF TIME FOR COMPLETION3077

Facilities for Testing at Manufacturers Works25.366

Facilities for Tests on Completion29.475

Festivals and Religious Customs22.564

Final Account Certificate Conclusive37.1392

FIRE PRECAUTIONS54105

Fixed Price8.343

FOREIGN CURRENCY4397

Form of Agreement8.143

Foundation Drawings5.539

Foundations20.261

FRUSTRATION48102

Further Tests on Completion33.782

General Obligations7.141

GENERAL OBLIGATIONS OF THE EMPLOYER2060

Government Procedure8.243

Guarantee of Material and Workmanship55.1105

GUARANTEES55105

Headings or Notes1.433

Hours of Work21.162

HOURS OF WORK AND RATE PROGRESS2162

Import Permits and Licenses20.661

Increased Costs arising from Special Risks47.5102

Indirect or Consequential Damage16.155

Inspection and Testing during Manufacture25.166

Inspection Authority25.668

Inspection of Drawings5.438

Installation of Plant40.396

Insurance of Works17.155

INSURANCES, REGULATIONS AND PATENT RIGHTS1755

INTEREST ON DELAYED PAYMENTS4197

Interference with Tests32.480

Interpretation1.233

Invoices and Receipts38.393

Issue of Final Acceptance Certificate37.191

Issue of Interim Certificates37.388

LABOUR2263

Languages4.135

LAWS AND REGULATIONS1859

Liability after Taking Over33.1383

LIABILITY FOR ACCIDENTS AND DAMAGE1550

Local Transport26.671

Loss or Damage to Contractors Equipment36.287

Making Good Defects33.281

Manner of Execution23.165

Marking of Plant35.286

Misconduct33.1283

MISTAKES AND ERRORS640

Mistakes and Information6.140

Mitigation of Loss16.255

No Liability for War etc Risks47.1101

No Night or Holiday Work21.262

No Reduction of Liability25.768

NOMINATED SUB-CONTRACTORS3993

Nominated Sub-Contractors39.193

Notice and Confirmation of Variations34.685

Notice of Defects33.381

Notice of Objection13.348

Notice of Tests29.175

NOTICES50104

Notices to Contractor50.1104

Notices to Employer and Engineer50.2104

Notification by Contractor17.558

Objections to Nominations39.293

OBLIGATIONS OF THE CONTRACTOR741

Observance by Sub-Contractors22.965

Operating and Maintenance Instructions5.739

Operation of Plant7.443

Opportunities for other Contractors14.550

Order to Suspend Progress27.173

Ordering work against Provisional Sums38.292

Orders for Variations to be in Writing34.284

OUTBREAK OF WAR46100

Outbreak of War46.1100

Outline Drawings and Outline Specification5.136

Overseas Transport26.571

Ownership of Plant35.186

Packing and Marking26.268

PATENT RIGHTS1960

Patent Rights19.160

PAYMENT CONDITIONS4095

Payment for Plant when Progress Suspended27.273

Payment if Contract Terminated in Case of War46.3100

Payment in Rial Omani43.197

Payments after Forfeiture44.399

Payments against Provisional Sums39.494

Penalty for Delay in Completion31.177

Performance Bond9.144

Performance Guarantees55.2106

Policies and Local insurances17.659

Power of Engineer to Fix Rates34.484

Procedure and Method12.246

Proficiency of Languages13.449

PROGRAMME1246

Programme to be Furnished12.146

Progress of Works12.346

Progress with Variation34.785

Projectiles, Missiles etc47.4102

Prolonged Delay31.278

Provision of Plant40.295

PROVISIONAL SUMS3892

Provisional sums38.192

Quality of Materials23.265

Rate of Progress21.362

Rates of Exchange of Currency43.297

Receiving and Damage Reports26.772

Rejection25.567

REMEDIES AND POWERS4498

Remedy on Contractor s Failure to Insure17.759

Removal of Contractors Equipment36.187

Removal of Contractor's Equipment on Termination in Case of War46.2100

Removal of Defective Work33.681

Repeat Tests29.576

Responsibility for Design in Nominated Sub-Contracts39.394

Resumption of Work27.374

Retention Money37.488

Returns of Labour22.165

Right of Access33.982

Safety and Security14.249

Safety of Workmen and Public22.864

Setting Out7.242

SETTLEMENT OF DISPUTES49103

Shipping Documents26.370

Singular and Plural1.333

Site Data10.144

SPECIAL RISKS47101

Special Risks - Definition47.2101

Sub-letting3.235

Submission of Final Account37.1191

Sufficiency of Tender10.245

Supply of Water22.263

SUSPENSION OF WORKS2773

TAKING OVER3279

Taking Over by Portions32.279

Taking Over Certificate32.179

TAXATION, CUSTOMS DUTY, RATES AND OTHER CHARGES56106

TERMINATION OF CONTRACT51104

Terms of payment40.195

TESTING OF PLANT2566

TESTS ON COMPLETION2975

Third Party Insurance17.256

Time for Tests29.275

Training of Employer 's Personnel7.342

Unloading and Storage at Site26.872

Urgent Repairs15.954

Use before Taking Over32.379

Valuation at Date of Forfeiture44.299

Valuation of Variations34.384

Value of Final Account Certificate37.1291

Value of Interim Certificates37.589

VARIATIONS3483

Variations Exceeding 10 per cent34.585

VESTING OF PLANT AND CONTRACTORS EQUIPMENT3586

WORKMANSHIP AND MATERIALS2365

STANDARD CONDITIONS OF CONTRACT

1.0DEFINITIONS AND INTERPRETATIONS

1.1Definitions

In the Contract, as hereinafter defined, the following words and expressions shall have the meanings hereby assigned to them except where the context otherwise requires:

(a)Approvedmeans approved in writing including subsequent written confirmation of previous verbal approval and approval means approval in writing including as aforesaid.

(b)Contractmeans the Instructions to Tenderers, Tender Documents, Standard Conditions of Contract, Outline Specification, Outline Drawings, Priced Bill of Quantities*, Schedule of Rates and Prices, if any*, Tender, the Letter of Acceptance and the Form of Agreement.

(c)Contractormeans the person or persons, firm or company whose Tender has been accepted by the Employer and includes the Contractors representatives, successors and permitted assigns.

(i)The name and full address in the Sultanate of Oman (including Company Registration Particulars) is that stated in the Form of Agreement.

(ii)Registered address of Head Office (if different from above).____________________________________________________________________________________________________

______________________________________________________________________________ *delete where not applicable

(d)Contract Pricemeans the Contract Sum adjusted to give effect to such additions or deductions as are provided for in the contract.

(e)Contract Summeans the sum named in the Letter of Acceptance.

(f)Contractors Equipmentmeans all appliances or things of whatsoever nature required for the purpose of the Works but does not include Plant or other things intended to form or forming part of the Works.

(g)Daymeans calendar day.

(h)Defects Liability Periodhas the meaning assigned by Clause 33.1 (Defects Liability Period).

(i)Drawingsmeans the drawings prepared by the Contractor or by the Sub Contractor and made in accordance with Clause 5.2 (Drawings and Specifications).

(j)Employermeans the Government of the Sultanate of Oman and the legal successors in the title to the Employer who will employ the Contractor. The address of the Employer shall, for the purpose of the Contract, be deemed to be as per that stated in the Form of Agreement.

(k)Engineermeans_______________________________________________________________________________________________or other person, persons or firm appointed from time to time by the Employer and notified in writing to the Contractor to act as the Engineer for the purposes of the Contract in place of the said Engineer whose full address in the Sultanate of Oman (including Registration Particulars) is ____________________________________________________________________________________________________

(l)Engineers Representativemeans any resident engineer or assistant of the Engineer appointed from time to time by the Engineer to perform the duties set forth in Clause 2.0 hereof whose authority shall be notified in writing to the Contractor by the Engineer.

(m)Letter of Acceptancemeans the letter from, or on behalf of, the Tender Board/ Ministry to the Contractor notifying the Contractor of the acceptance, in principle, of his final offer which shall include any adjustments or variations to the Tender agreed in writing between the Employer and the Contractor prior to the issue of the Letter of Acceptance and the commitment of which shall be subject to Clause 5 of the Form of Tender and Sultani Decree No. 48 of 1976 as amended.

(n)Local Portionmeans the value of such Works executed within the Sultanate of Oman excluding the C. and F. value of imported goods and equipments.

(o)Monthmeans calendar month.

(p)Outline Drawingsmeans the drawings prepared by the Engineer and referred to in the Specification and any modification of such drawings by the Engineer and such other drawings as may from time to tome be furnished and modifications thereto.

(q) Outline Specificationmeans the specification prepared by the Engineer and annexed to or issued with these Standard Conditions and such modifications thereto made clear Clause 34.0 (Variations).

(r)Permanent Worksmeans the permanent works to be executed, completed and maintained in accordance with the Contract.

(s)Plantmeans machinery, apparatus, materials, articles and things of all kinds to be provided under the Contract other than Contractors Equipment.

(t)Portion of the Worksmeans a part of the Works or a part of the Sections of the Works.

(u)Section of the Worksmeans the Sections into which the Works are divided for the functions described and set out in the Outline Specification.

(v)Sitemeans the lands and other places on, under, in or through which the Works are to be executed or carried out, and any other lands and places provided by the Employer for the purposes of the Contract, with such other places as may be specifically designated in the Contract as forming part of the Site.

(w)Specificationmeans the specification prepared by the Contractor and made in accordance with Clause 5.2 (Drawings and Specifications).

(x)Sub-Contractormeans Nominated Sub-Contractor (as defined in Clause 39.1) or any person, firm or company (other than the Contractor) named in the Contract for any part of the Works or any person to whom any part of the Contract has been sub-let with the consent in writing of the Employer, and the Sub-Contractors legal personal representatives, successors and permitted assigns.

(y)Temporary Worksmeans all temporary works of every kind required in or about the execution, completion or maintenance of the Works.

(z)Tests on Completionmeans such tests to be made by the Contractor before the Works are taken over by the Employer as are provided for in the Contract and such additional tests as agreed between the Engineer and the Contractor.

(aa)Time for Completionmeans the time for completion of the Works or any section or portion thereof as stated in the Contract (or as extended under Clause 30.0 Extension of Time for Completion) and shall be calculated from the date of receipt of the written order to commence the Works from the Engineer being the period stated in Paragraph 2 of the Form of Tender.

(ab)Worksmeans all Plant to be provided and work to be done by the Contractor under the Contract which shall include both Permanent Works and Temporary Works.

(ac)Writingmeans any manuscript, type-written or printed statement.

1.2 Interpretation

Words importing persons or parties shall include firms and corporations.

1.3Singular and Plural

Words importing the singular only also include the plural and vice versa where the context requires.

1.4Headings or Notes

The headings and marginal notes in these Standard Conditions of Contract shall not be deemed to be part thereof or be taken into consideration in the interpretation or construction of the Contract.

1.5CostThe word Cost shall be deemed to include overhead costs whether incurred on or off the Site.

2.0 ENGINEER AND ENGINEERS REPRESENTATIVE

2.1 Engineers Duties

The Engineer shall carry out such duties in issuing decisions and orders as are specified in the Contract provided that before the issue of orders which either increase the Contract Price to an amount greater than the Contract Sum or cause further increase in the Contract Price the Engineer shall have obtained the specific approval of the Employer as required by Sultani Decrees No. 48 of 1976 as amended unless such orders are issued pursuant to Clause 15.9 (Urgent Repairs) hereafter. The Contractor upon receipt of such an order from the Engineer shall copy such order to the Employer.

2.2Engineers Representative

The Engineers Representative shall be responsible to the Engineer and his duties are to watch and supervise the Works and to test and examine any Plant or workmanship employed in connection with the Works. The Engineers Representative shall have no authority to relieve the Contractor of any of his obligations under the Contract nor, except as expressly provided in Clause 15.9 to order any work involving delay in completion or any extra payment by the Employer, nor to make any variation to the Works.

Where the Employer directly appoints a separate Consultant the Consulting Engineer may be required to appoint such Consultant to act as Engineers Representative in pursuance of Clause 2.3 of the Conditions of Contract.

2.3 Engineers Power to Delegate

The Engineer may from time to time in writing delegate to the Engineers Representative any of the powers, discretions, functions and/or authorities vested in him and he may at any time revoke any such delegation. The Engineer shall furnish to the Contractor and to the Employer a copy of any such written delegation or revocation. No such delegation or revocation shall have effect until a copy thereof has been delivered to the Contractor. Any written decision, instruction or approval given by the Engineers Representative to the Contractor in accordance with such delegation shall bind the Contractor and the Employer as though it had been given by the Engineer provided always that:

(a) Any failure of the Engineers Representative to disapprove any Plant or workmanship shall not prejudice the power of the Engineer thereafter to disapprove such Plant or workmanship and to order the rectification thereof in accordance with these Conditions,

(b) If the Contractor shall be dissatisfied by reason of the decision of the Engineers Representative he shall be entitled to refer the matter to the Engineer who will thereupon either confirm, reverse or vary such decision in accordance with Clause 11.0 (Engineers Decisions).

2.4 Engineer to Act Fairly

Wherever by these Conditions the Engineer is required to exercise his discretion, by the giving of a decision, opinion, consent or to express satisfaction or approval, or to determine value or otherwise take action which may affect the rights and obligations of either the employer or the Contractor, the Engineer shall exercise such discretion fairly within the terms of the Contract and having regard to all the circumstances. If either party disagrees with the action taken by the Engineer he shall be at liberty to refer the matter to Arbitration in accordance with Clause 49.0 (Disputes and Arbitrations).

3.0 ASSIGNMENT AND SUB-LETTING

3.1 Assignment The Contractor shall not assign the Contract or any part thereof or any benefit, obligation or interest therein or thereunder, otherwise than by a charge in favour of the Contractors Bankers of any Monies due or to become due under the Contract, without the prior written consent of the Employer.

3.2 Sub-letting

The Contractor shall not sub-let the whole of the Works. Except where otherwise provided by the Contract, the Contractor shall not sub-let any part of the Works without the prior written consent of the Engineer which shall not be unreasonably withheld. Any such consent, if given, shall not relieve the Contractor from any liability or obligation under the Contract and he shall be responsible for the acts, defaults and neglects of any Sub-Contractor, his agents, servants or workmen as fully as if they were the acts defaults or neglects of the Contractor his agents servants or workmen.

4.0 CONTRACT DOCUMENTS

4.1 Languages

(a) The Ruling Language of the Agreement is the English language.

(b) All correspondence between the Employer, Engineer and the Contractor shall be in English.

(c) All markings on equipment, labels, sign-boards, instruments dials, machine and component name plates, instruction sheets and shipping marks shall be in both Arabic and English.

4.2 Compliance with Laws and Governing Law

(a) The Contractor shall, in the manufacture of the Plant, observe and comply with and be bound by the laws of the country of manufacture. In the execution of work on Site and in the erection and operation of the Works the Contractor shall comply with laws of the Sultanate of Oman,

(b) The Contractor shall comply fully with the Laws concerning the appointment of agents, the provision of the regular maintenance and repair facilities together with the establishment in the Sultanate of Oman of a sufficient amount of spare parts to ensure the same,

(c) The Contract shall be governed by and construed in accordance with the Laws of the Sultanate of Oman,

(d) The Contractor and his Sub-Contractors shall strictly observe the Boycott of Israel law and no materials shall be supplied which have been manufactured by any firm which is on the Boycott list nor shall any materials be shipped in any vessel which is on the said list.

Each delivery of materials shall be accompanied by:i) a certificate of origin countersigned by the Chamber of Commerce in the country of origin,ii) a manufacturers certificate stating that his goods do not include any materials manufactured or made in Israel; the certificate shall be countersigned by the nearest Sultanate of Oman Embassy. In countries where the Sultanate of Oman has no diplomatic representation counter-signatures by any acceptable Arabian Embassy.

4.3 Documents mutually explanatory

Unless otherwise provided in the Contract, the several documents forming the Contract are to be taken as mutually explanatory of one another but in the case of ambiguities or discrepancies the same shall be explained and adjusted by the Engineer, who shall thereupon issue to the Contractor instructions thereon. Provided always that if, in the opinion of the Engineer, compliance with any such instructions shall involve the Contractor in any cost which, by reason of such ambiguity or discrepancy the Contractor could not have reasonably foreseen, the Engineer shall, subject to the provisions of Clause 2.1, certify and the Employer shall pay such additional sum as may be reasonable to cover such cost.

5.0 DRAWINGS AND SPECIFICATIONS

5.1 Outline Drawings and Outline Specification

The Engineer shall provide, as a basis for the Contract, Outline Drawings and Outline Specifications.

5.2 Drawings and Specification Approval Procedure

The Contractor shall submit to the Engineer for approval:

5.2.1 (a) Strictly within the times stated in the Specification or in the programme to be provided under Clause 12.0 (Programme), such Drawings, calculations, samples, patterns, models and information as may be called for therein, and in the numbers therein required or as the Engineer may reasonably require in order to properly consider the design of the Works.

(b) During the progress of the Works and within such times as the Engineer reasonably may require such Drawings of the general arrangement and details of the Works provided that the Contractor shall not be under any obligation to supply copies of shop drawings.

5.2.2(a) Drawings to be supplied either by the Contractor or his Sub-Contractors shall be checked thoroughly by the Contractor with regard to measurements, size of components, materials and details of mechanical and electrical services, instrumentation, control equipment, civil and building works, to satisfy himself that the Drawings conform to the requirements and the intent of the Outline Specification, and the Contractor shall place thereon the date of his approval. Drawings found to be inaccurate or otherwise in error shall be corrected prior to submission to the Engineer.

(b) All Drawings prepared or furnished by the Contractor shall be marked with the title or the Works, certified by the Contractor and Sub-Contractors respectively, and shall be submitted to the Engineer in as many copies as specified in the Appendix to the Form of Tender. Each submission of Drawings shall be accompanied by a list giving the number and titles thereof. All Drawings which require modifications as a result of the final execution of the erection work and/or operational experience shall be revised by the Contractor and reissued marked as As Built Drawings.

(c) The Contractor shall submit, in accordance with his approved programme, such information and Drawings to show that the requirement and intent of the Outline Specification and Outline Drawings has been met which, without limiting the generality of this Clause, this shall include such schedules of plant assembly drawings, major assemblies and plant layout arrangement, complete design drawings and design calculations for steel structures of the Plant, schematic or flow diagrams, wiring diagrams complete with mechanical and electrical services, together with such other Drawings and detailed Drawings as may be required by the Engineer to properly consider the design. All information or data shall be available for checking each Drawing when it is received. Revised Drawings shall be resubmitted for approval unless otherwise instructed by the Engineer. Any revisions shall be plainly marked on the Drawings together with the dates and an indication of the changes.

(d) All Drawings shall be in metric and have a title, serial number, issue record and scale together with the name of the Employer, the Project, the Engineer and the subject matter.

(e) The Contractor shall submit Drawings and full particulars of all Temporary Works to the Engineer before commencing the same. The Engineer may require modifications to be made if he considers them to be insufficient and the Contractor shall give effect to such modification but shall not be relieved of his responsibility for the sufficiency thereof.

5.2.3 As far as Drawings, calculations, Specification, data sheets, lists reports or any other documents are subject to the Engineers approval or comments, the Engineers approval will be given within twenty eight (28) days of receipt of such documents. If documents submitted by the Contractor are incomplete and the Engineer is not in a position to check the documents then the Engineer will inform the Contractor and the above mentioned twenty eight (28) days period shall start after receipt of the required complementary information. The same applies if any documents cannot be approved owing to the fact that mistakes, discrepancies, deviations from the Contract Documents or other inconsistencies are found and the Contractor is requested to submit the documents after rectification.

If the Engineer shall not approve any Drawing, calculations, sample, patterns or models so provided the same shall be forthwith modified to meet the requirements of the Engineer and shall be re-submitted. Approved Drawings shall be signed or otherwise identified by the Engineer.

All documents submitted for approval shall be accompanied by a transmittal letter, listing the said documents. The transmittal letters shall be serially numbered, with the relevant number to be entered on each submitted document.

5.3 Approved Drawings

Drawings approved as above described shall not be departed from except as provided in Clause 34.0 (Variations). In such case the Contractor shall submit new or amended Drawings for approval which state clearly the revised reference number together with the date of the amendment thereto. When approval has been given all copies of the superseded Approved Drawings shall be clearly marked Superseded.

5.4 Inspection of Drawings

The Engineer shall have the right at all reasonable times to inspect all Drawings comprising of the works at the premises of the Contractor and that of his Sub-Contractors.

5.5 Foundation Drawings

The Contractor shall, as required by the Engineer, within the times stated, provide Drawings showing the manner in which the Plant is to be affixed together with all information relating to the Works, required for preparing suitable foundations, for providing suitable access for the Plant and any necessary equipment to the point on Site where the Plant is to be erected and for making all necessary connections to the plant (whether such connections are to be made by the Contractor under the Contract or not). Such Drawings shall be submitted in due time to allow for incorporation of such information within the programme for the Works.

5.6 Errors in Drawings

Subject to Clause 6.1 (Mistakes in Information) any and all expenses resulting from an error or omission in or from delay in delivery of the Drawings and information required in accordance with this Clause shall be borne by the Contractor.

5.7 Operating and Maintenance Instructions

5.7.1 The Contractor shall furnish to the Employer as soon as possible and not later than the period stated in the Appendix to the Form of Tender, before the Works are taken over, Operating and Maintenance Instructions together with Drawings (other than shop drawings) of the Works as completed, in sufficient detail to enable the Employer to allow training of the Employers personnel and to operate, maintain, dismantle, reassemble and adjust all parts of the Works. Unless otherwise agreed, the Works shall not be considered to be completed for the purposes of taking over under the terms of Clause 32.0 (Taking Over) until such Instructions and Drawings have been supplied to the Employer.

5.7.2 Two copies of the final Drawings of the Works as completed As Built Drawings shall be prepared by the Contractor and forwarded to the Employer. These Drawings shall contain sufficient detail to enable the Employer to maintain, dismantle, reassemble and adjust all parts of the Works.

5.7.3 All Drawings incorporated in the operations, instructions and maintenance manuals as well as all key drawings, i.e., general arrangement drawings, system diagrams, flow diagrams, single line diagrams, control diagrams, if applicable, and all others considered by the Engineer to be necessary, shall in addition to the original dimension of the Drawings be supplied in a reduced size for easy handling.

5.7.4 All instruction sheets shall be bound in booklet form and be in the Arabic and English language containing all information, description of equipment, diagrams, etc., necessary to enable the Employer to properly operate and maintain the whole of the Works. Such booklet shall include all possible operating procedures such as star-up, shut-down as well as operating forms and operators log sheets for all mechanical and electrical plant and equipment. The various instructions shall be written in a style easily intelligible for the operating and maintenance personnel explaining, for various situations, what is to be done and why.

5.7.5 The Contractor shall during the Defects Liability Period revise and/or update the operating and maintenance instructions and introduce such modifications in the finally bound copies.

5.7.6 The Contractor shall prepare, assemble and submit spare parts lists in accordance with the Contract Documents for all Plant supplied by him or by his Sub-Contractors.

6.0 MISTAKES AND ERRORS

6.1 Mistakes and Information

The Contractor shall be responsible for the consequences of any discrepancies, errors or omissions in the Drawings and information supplied by him, whether they have been approved by the Engineer or not, provided that such discrepancies, errors or omissions are not due to incorrect information contained in the Outline Drawings, Outline Specification or inaccurate information furnished to the Contractor in writing by the Engineer. Should the Contractor rely upon such incorrect information then the Contractor shall have the right to claim compensation form the Employer based upon satisfactory proof of the exact amount of the time and costs expended in making such alteration to the Drawings and the rectification of such Works performed to date.

6.2 Errors by Contractor

The Contractor shall at his own expense carry out any alterations or remedial work necessitated by reason of such discrepancies, errors or omissions for which the is responsible and modify the Drawings and information accordingly, or if the same be done by or on behalf of the Employer shall bear all costs reasonably incurred thereby. The performance of his obligations under this sub-clause shall not relieve the Contractor from his liability under Clause 5.6 (Errors in Drawings) together with Clause 6.1 (Mistakes in Information) and under Clause 31.1 (Penalty for Delay in Completion) insofar as that liability arises as a result of such discrepancies, errors or omissions.

6.3Errors by Engineer

The Engineers approval of the Contractors and Sub-Contractors Drawings shall not relieve the Contractor from his responsibility for errors or omissions which may exist, even though Works are executed in accordance with such approved Drawings. Where such errors or omissions are discovered later, they shall be made good by the Contractor at his own expense irrespective of any approval of the Engineer. Any work executed according to the decisions, instructions or orders received from the Engineer shall not in any way relieve the Contractor from his responsibilities for supplying the Plant and executing the Works in accordance with the Contract unless the Contractor has informed the Engineer upon receipt and in writing that decision, instruction or order will result in the Contractors breach of Contract and the Contractor has initiated a query or dispute in accordance with Clause 11.0(b) (Engineers Decisions) and has commenced an action under Clause 49.2 (Notice for Arbitration).7.0OBLIGATIONS OF THE CONTRACTOR7.1General Obligations

The Contractor shall, subject to the provisions of the Contract, complete the Works with due care and diligence within the Time for Completion stated in the Appendix to the Form of Tender. The Contractor shall be fully and unrestrictedly responsible for the complete design, manufacture, fabrication, testing, transport to port of disembarkation, shipping, transport to Site, storage, erection, completion, checking, commissioning, testing, handing over of the Works and for the remedying of defects in the Works so far as the necessity for providing the same is specified in or is reasonably to be inferred from the Contract. He shall also be responsible for the observance of all necessary safety measures at the Site as well as observance of all applicable Laws and Regulations by him and his Sub-Contractors. The Contractor shall provide all labour, including the supervision thereof, materials and Contractors Equipment, and all other things whether of a temporary or permanent nature, necessary to perform the Works.The Contractor shall take full responsibility for the adequacy, stability and safety of all site operations and methods of construction, provided that the Contractor shall not be responsible, except as may be expressly provided in the Contract, for such detailed design drawings or detailed specification of the Permanent Works or any Temporary Works which have been prepared by the Engineer and utilized by the Contractor in constructing same.

7.2 Setting Out

The Contractor shall be responsible for the accurate setting out of the Works in relation to original points, lines and levels of reference given by the Engineer in writing and for the correctness, subject as above mentioned, of the positions, levels, dimensions and alignment of all parts of the Works and for the provision of all necessary instruments, appliances and labour in connection therewith. If, at any time during the progress of the Works, any error shall appear or arise in the positions, levels, dimensions or alignment of any part of the Works, the Contractor on being required so to do by the Engineer shall at his own cost, rectify such error to the satisfaction of the Engineer, unless such error is based on incorrect data supplied in writing by the Engineer in which case the Contractor should inform the Engineer in writing and the cost of rectifying the same shall be borne by the Employer. The checking of any setting out or of any line or level by the Engineer shall not in any way relieve the Contractor of his responsibility for the accuracy thereof. The Contractor shall carefully protect and preserve bench marks, sight rails, pegs and other things used in setting out the Works.

The Contractor shall give to the Engineer not less than 24 hours notice of his intention to set out or give levels for any part of the Works so that arrangements may be made for checking or issuing instructions.

7.3 Training of Employer 's Personnel

(a) During the execution of the Works the Contractor shall if required by the Tender Documents provide such assistance as may be necessary for the instruction and training of operation and maintenance personnel appointed by the Employer for the Plant.

(b) The Contractor shall provide all necessary instruction material for this purpose such as manuals, booklets, pamphlets, drawings, sketches, models, pictures, photos, colour slides, films, etc. This instruction material shall become the property of the Employer. If the Employer finds it necessary that operation and maintenance personnel visit or stay at the manufacturer's premises for training purposes the Contractor shall provide such reasonable assistance as deemed necessary. The travelling and living expenses of such personnel shall be borne by the Employer. The Contractor shall assist the Employer in the recruiting of any additional operation and maintenance personnel.

7.4 Operation of Plant

The Contractor shall, if required by the Tender Documents, give a breakdown of prices for the operation of the Plant for such period or periods stated therein. In the absence of such a requirement or should the Employer not approve the offer than the obligations of the Contractor save for Clause 33.0 (Defects after Taking Over) and Clause 15.4 (Damages to Persons and Property after Taking Over)shall cease upon the issue of the Taking Over Certificate. In the event that the Employer approves the offer than this shall be subject to a separate Agreement with its own specific terms and conditions, however, without limiting the liability of the Contractor under the terms and Conditions contained herein.

8.0 AGREEMENT ANDPROCEDURES

8.1 Form of Agreement

The Contractor shall when called upon so to do enter into and execute a Farm of Agreement to be prepared and completed at the cost of the Employer in the form annexed with such modification as may be necessary.

8.2 Government Procedure

The proposed Contract will, if the Contract Sum exceedsR0.500,000.000, be subject to review by the Cabinet of the Deputy Prime Minister of Legal Affairs of the Sultanate of Oman, after which the Contract will be signed by the authorised signatory of the Employer and the Contractor and will then be subject to ratification in accordance with Sultani Decree No. 48/76 as amended.

8.3 Fixed Price

That Contractor shall not be eligible for any increase in the Contract Sum due to the time taken by the Employer for the finalisation of the Form of Agreement as stated in Clause 8.2 hereof.

Subject to Clause 52.0 (Changes in Cost and Legislation) this Contract is a Fixed Price Contract and there shall be no amendment or adjustment of the Contract Sum unless due to Clause 34.0 (Variations) hereof.

9.0 BONDS

9.1 Performance Bond

For the due performance of the contract, the Tender shall contain an undertaking by the Contractor to obtain, within either 10 days for a local company or 20 days for an International Company from the date of the Letter of Acceptance, a bond of a bank registered in the Sultanate of Oman to be jointly and severally bound with the Contractor to the Employer, in the sum of 5% of the Contract Sum. The said bank shall be approved by the Employer. The terms of the said bond shall be in accordance with Annexure C and the cost of obtaining such bond shall be at the expense of the Contractor. Such bond should be valid until the expiry of the Defects Liability Period. If an increase of the Contract Sum is mutually agreed upon owing to any changes and/or modifications and/or amendments as per Clause 34.0 (Variations) the Performance Bond shall be adjusted accordingly.9.2 Advance Payment Bond

The bond for the full amount of the Advance Payment shall be from a Bank registered in the Sultanate of Oman. The conditions of the bond shall bind the Bank: to indemnify and pay to the Employer any part of the Advance Payment which remains not repaid by the Contractor to the Employer and which the Contractor has failed to repay in accordance with Clause 37.7(Advance Payments).

The terms of the said bond shall be in accordance with Annexure-Band the cost of obtaining such bond shall be at the expense of the Contractor.This bond shall be valid for I2 months or until the full recovery of the advance payment whichever is the later.

If, however, the advance payment is recovered in full prior to the end of the 12 month period, the Contractor may make application to the Employer far the release of the bond, and such release will not be unreasonably refused.

10.0 CONTRACT DATA

10.1 Site Data

The Employer shall make available to the Contractor with the Tender Documents such data on climatic, hydrological and general conditions for the operation of the Works which shall have been obtained by or on behalf of the Employer from investigations undertaken relevant to the Works together with information relating to access to the Site. The Tender shall be deemed to have been based on such data, but the Contractor shall be fully responsible for his own interpretation thereof.

10.2 Sufficiency of Tender

The Contractor by tendering shall be deemed to have satisfied himself as to all the conditions and circumstances affecting his Tender, including but not limited to the nature and character of the Works to be executed, the prevailing environmental and ambient conditions, local uses, codes and conditions, the existing installations (if any), the possibility of executing the Works as required by the Contract, the general circumstances at the Site of the Works, and as to the general labour position at the Site, and to have determined his prices accordingly. The Contractor shall be responsible for all errors made and for any misunderstanding or incorrect information subject to Clause 6.0 (Mistakes and Error) hereof. Any information received from the Employer or the Engineer shall not relieve the Contractor from his responsibility for executing the Works in accordance with the Contract, including details and apparatus which may not have been specifically mentioned in the contract but are necessary for ensuring the safe and efficient execution of the Works.

10.3 Errors in Computing Tender

The Contractor shall be fixed and the Contractor shall be responsible for any error which he may have made in computing any quantities of labour and material required or costs involved.

The Contract Sum shall not be allowed to be corrected for any errors made by the Contractor in calculating the Contract Sum.

11.0ENGINEERS DECISIONS

The Contractor shall proceed with the Works in accordance with the decisions, instructions and orders given by the Engineer in accordance with these Standard Conditions of Contract, provided always that:

(a) If the Contractor shall, within 7 days after being given any decision, instruction or order otherwise than in writing, require it to be confirmed in writing, such decision, instruction or order shall not be effective until written confirmation thereof has been received by the Contractor; and

(b) If the Contractor shall, by written notice to the Engineer within 21 days after receiving any decision, instruction or order of the Engineer in writing or written confirmation thereof, dispute or question the decision, instruction or order, giving his reasons for so doing, the matter shall be referred to the Engineer who shall within a further period of 21 days by notice in writing, with reasons there for, to the Contractor and the Employer, either confirm, reverse or vary such decision.

12.0 PROGRAMME

12.1 Programme to be Furnished

Within the time stated in the Appendix to the Form of Tender following ratification of the Form of Agreement the Contractor shall submit to the Engineer for his approval a detailed programme showing, in such form as may be required by the Engineer, the order of procedure in which he proposes to carry out the Works including the design, manufacture, delivery to Site, erection and commissioning thereof. The submission to and approval by the Engineer of such programme shall not relieve the Contractor of any of his duties or responsibilities under the Contract.

12.2 Procedure and Method

After submission to and approval by the Engineer of such programme the Contractor shall adhere to the order of procedure and method stated therein unless he obtains the written permission of the Engineer to vary such order or method.

12.3 Progress of Works

If at any time it should appear to the Engineer that the actual progress of the Works does not conform to the approved programme, the Contractor shall produce, at the written request of the Engineer, a revised programme showing the modifications to the approved programme necessary to ensure completion of the Works within the Time for Completion.

12.4 Advanced Detailed Progress of Plant Schedule

(a) The Contractor shall supply within the time stated in the Appendix to the Form of Tender following ratification of the Form of Agreement an advanced detailed progress schedule covering, as far as applicable at that time, the envisaged date of manufacture and key dates for the entire Plant and each section of the Plant such as:

Contractor's Plant: Schedule of design and submission of Drawing dates for approval. Schedule of fabrication dates. Schedule of workshop test dates. Final delivery ex-works dates. Port of embarkation, estimated time of departure, mode of transport, estimated time of arrival.

Sub-Contractor's Plant:

- Date of placing order indicating: Manufacturers name and location Accounting code numbers applicable thereto Contractor's job order number Date of order Workshop test dates Schedule of ex-works dates Schedule of shipping dates

Other information:________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Such progress information shall be brought up to date every month and shall form the basis for the follow-up and expediting services to be performed by the Engineer.

(b) (i) The Contractor shall submit to the Engineer any and all reasonable information required by him at any time during manufacture. This information shall clearly and accurately show the progress of work and the actual state of affairs.

(ii) During the period of shop fabrication, the Contractor shall submit monthly reports in conformity with the Engineer's request. Such reports shall show the actual progress as of the date of the report plotted against the progress schedule as given in the Contract and shall be broken down to indicate the state of purchased material, detailed shop fabrication schedule, shipping dates, etc.

(iii) The inspections and expediting work carried out by the Engineer shall not release the Contractor from any of his obligations under this Contract.

(iv) Periodic routine visits as deemed necessary will be undertaken by the Engineer to the manufacturer's premises to check the actual state of work.

(v) Travelling expenses (transportation and hotel costs only) incurred by the Engineer outside of the Sultanate of Oman in connection with co-ordination meetings, checking the progress of work, expediting of work, necessary routine visits, etc., to the Contractor's/Sub-Contractors offices and/or premises shall be borne by the Employer.

13.0 CONTRACTORS SUPERINTENDENCE

13.1Contractor's Representative

The Contractor shall give or provide all necessary superintendence during the execution of the Works and as long thereafter as the Engineer may consider necessary for the proper fulfillment of the Contractor's obligations under the Contract. The Contractor, or a competent and authorised agent or representative approved of in writing by the Engineer, which approval may at any time be withdrawn, is to be present on the Site during all hours worked by the Contractor and shall give his whole time to the superintendence of the same. If such approval shall be withdrawn by the Engineer, the Contractor shall, as soon as is practicable, having regard to the requirements for a replacement as hereinafter mentioned, after receiving written notice of such withdrawal, remove the agent from the Works and shall not thereafter employ him again on the Works in any capacity and shall replace him by another agent approved by the Engineer. Such authorised agent or representative shall receive, on behalf of the Contractor, directions and instructions from the Engineer, or, subject to the limitations of Clause 2.0 hereof, the Engineer's Representative.

13.2 Contractors Employees

The Contractor shall provide and employ on the Site in connection with the execution, completion and remedying of defects of the Works:

(a) Only such technical assistants as are skilled and experienced in their respective callings and such sub-agents, foreman and leading hands as are competent to give proper supervision to the work they are required to supervise; and

(b) Such skilled, semi-skilled and unskilled labour as is necessary for the proper and timely execution, completion and remedying of defects of the Works.

13.3 Notice of Objection

The Engineer shall be at liberty to object: to and require in writing the Contractor to remove forthwith from the Works any person employed by the Contractor in or about the execution, completion and remedying of defects of the Works who, in the opinion of the Engineer, misconducts himself, or is incompetent or negligent in the proper performance of his duties, or whose employment is otherwise considered by the Engineer to be undesirable and such person shall not be again employed upon the Works without the written permission of the Engineer. Any person so removed from the Works shall be replaced as soon as possible by a competent substitute approved by the Engineer.

13.4 Proficiency of Languages

The Contractor's agent and a reasonable proportion of his technical assistants shall be capable of speaking, writing and understanding the language(s} of the Contract Documents. A sufficient number of the foreman shall have a working knowledge of the language(s) spoken by the labour employed on the site.

14.0 EQUIPMENT SERVICES FACILITIES

14.1Contractor's Equipment

The Contractor shall, at his own expense, provide all Contractor's Equipment, haulage and power necessary to execute and complete the Works.

14.2 Safety and Security

The Contractor shall throughout the progress of the Works have full regard for the safety of all persons upon the Site and shall keep the Site (so far as the same is under his control) and the Works (so far as the same are not completed and taken over by the Employer) in an orderly state appropriate to the avoidance of danger to such persons and shall, without prejudice to the foregoing, in connection with the Works provide and maintain at his own cost all lighting, guards, fencing, warning signs and watching when and where necessary or required by the Engineer or by any competent authority, for the protection of the Works, or for the safety and convenience of the public or others.

The Contractor shall also be responsible for the safety and provision of temporary roadways, footways, guards and fences for the accommodation and protection of owners and occupiers of adjacent property, the public and others.

14.3 Electricity, Water and Gas

The Contractor shall be entitled to use for the purposes of the Works such supplies of electricity, water and gas as may be available on the Site and of which details may be given in the Tender Documents and shall, at his own expense, provide any apparatus necessary for such use including meters and pay to the Employer all charges made for such use of these supplies.

Save as stated above, the Contractor shall at his own expense make all his own arrangements for the distribution of electricity, water and gas to all points where they are required for all the operations under the Contract and for this purpose he shall provide and use all the necessary Constructional Plant, Temporary Works and transportand materials necessary to supply and distribute the supplies to the various parts of the Works, including else a satisfactory supply of water to the offices, camps, latrines and other temporary buildings requiring it and a sufficient supply for drinking water of good quality for the personnel of the Contractor.

14.4 Employer's Equipment

The Employer shall at the request of the Contractor and for the execution of the Works allow the Contractor to operate any suitable equipment belonging to the Employer that may be available on the Site and of which details are given in the Tender Documents. The Employer shall during such operation retain ownership of the equipment but shall not be responsible for any acts of the Contractor in relation to such equipment.

14.5 Opportunities for other Contractors

The Contractor shall, in accordance with the requirements of the Engineer, afford to any other contractors employed by the Employer and their workmen and the workmen of the Employer and of any other duly constituted authorities who may be employed in the execution on or near the Site of any work not included in the Contract or of any contract which the Employer may enter into in connection with or ancillary to the Works, all reasonable opportunities for carrying out their work.

15.0 LIABILITY FOR ACCIDENTS AND DAMAGE

15.1 Care of the Works

(a) The Contractor shall take full responsibility for the care of the Works or any Section or Portion thereof until a date not exceeding 14 days from that stated in the Taking over Certificate issued in respect thereof under Clause 32.0 (Taking Over) and in case any damage or loss shall happen to any Portion of the Works not taken over as aforesaid, from any cause whatsoever (save and except the excepted risks as defined in paragraph (b) of this sub-clause) the same shall be made good, by and at the sole cost of the Contractor and to the satisfaction of the Engineer. The Contractor shall also be liable for any loss of or damage to the Works occasioned by him or by any Sub-Contractor in the course of any operations carried out by him or by his Sub-Contractors for the purpose of completing any outstanding work or complying with his obligations under Clause 33.0 (Defects after Taking Over).

(b) The excepted risks are:

(i) Force Majeure- insofar as they occur within the Sultanate of Oman, war, hostilities (whether war be declared or not), invasion, act of foreign enemies, rebellion, revolution, insurrection or military or usurped power, civil war, riot, commotion or disorder of persons other than employees of the Contractor or of his Sub-Contractor or use or occupation by the Employer of any part of the Works; or

ionizing radiation or contamination by radio-activity from any nuclear fuel or from any nuclear waste from the combustion of nuclear fuel, radio-active toxic explosive, or other hazardous properties of any explosive, nuclear assembly or nuclear component thereof; or

Pressure waves caused by aircraft or other aerial devices travelling at sonic or supersonic speeds.

(ii) any occurrences that an experienced contractor could not foresee, or if foreseeable could not reasonably make provision for or insure against.

(iii) a cause due to a design furnished or specified by the Engineer for which the Contractor has disputed such design under Clause 11.0(b) (Engineers Decisions) and has disclaimed responsibility in writing after the receipt of the Engineers Decisions and has commenced an action under Clause 49.2 (Notice for Arbitration).

15.2 Damage to Works caused by Excepted Risks

In the event of loss or damage to the Works arising from or occasioned by any of the excepted risks (save and except the Special Risks as defined in Clause 47.2 (Special Risks Definition)], the same shall, if required by the Employer, be made good by the Contractor but at the cost of the Employer at a price to be agreed between the Contractor and the Engineer subject to Clause 2.1 (Engineers Duties) hereof.

15.3 Damage to Persons and Property before Taking Over

The Contractor shall indemnify the Employer in respect of death or injury to any persons and of all damages to any property occurring before all the Works shall have been taken over and against all actions, suits, claims, demands, costs, charges and expenses arising in connection therewith that shall be occasioned by the negligence of the Contractor or any Sub-Contractor or by defective design, [other than a design made, furnished or specified by the Engineer and for which the Contractor has disclaimed responsibility in writing in accordance with Clause 11.0(b) (Engineers Decision)] materials or workmanship but not otherwise. Provided that the Contractor shall not be liable by virtue of this Sub-Clause in respect of damage or injury attributable to defects in any Section of Portion of the Works after expiry of the Defects Liability Period subject to Clause 56.1 (Guarantee of Material and Workmanship).

15.4 Damages to Persons and Property after Taking Over

If there shall occur any loss of or damage or injury to any property or person whilst the Contractor is on the Site for the purpose of making good a defect in any Section or Portion of the Works pursuant to Clause 33.0 (Defects after Taking Over) or for the purpose of carrying out Tests on Completion of any such Section during the Defects Liability Period as provided in Clause 32.4 (Interference with Tests) the Contractor shall be liable as follows:

(a) In respect of loss of or damage to the said Section or Portion the Contractors obligations shall be as defined in Clause 33.0 (Defects after Taking Over).

(b) In respect of damage or injury to any other property or to any person and of any actions, claims, demands, costs, charges and expenses arising in connection therewith the Contractor shall be liable to the extent that such damage or injury was caused by the negligence of the Contractor or a Sub-Contractor whilst on the Site as aforesaid or by defective materials or workmanship used in making good the said defect but not otherwise.

The said Section or Portion of the Works shall be defined by reference to the Taking Over Certificate issued in respect thereof pursuant to Clause 32.0 (Taking Over).

15.5 Damage to Persons and Property from a cause occurring before Taking Over

If there shall occur, after the commencement of the Defects Liability Period in respect of any Section or Portion of the Works, any loss of or damage or injury to any property or persons as a result of a cause occurring prior to the commencement of the Defects Liability Period the Contractors liability shall be as follows:

(a) In respect of loss of a damage to the said Section or Portion the Contractors obligations shall be as defined in Clause 33.0 (Defects after Taking Over).

(b) In respect of damage or injury to any property or to any person and of any actions, claims, demands, costs, charges and expenses arising in connection therewith the Contractor shall be liable to the extent that such damage or injury was caused by the negligence of the Contractor or a Sub-Contractor or by defective design, (other than a design made, furnished or specified by the Engineer and for which the Contractor has disclaimed responsibility in writing in accordance with Clause 11.0(b) (Engineers Decision)) materials or workmanship but not otherwise.

15.6 Claims for Damage to Persons or Property

In the event of any claim being made against the Employer arising out of the matter referred to in and in respect of which the Contractor may be liable under this Clause, the Contractor shall be promptly notified thereof, and may at his own expense conduct all negotiations for the settlement of the same and any litigation that may arise therefrom. The conduct by the Contractor of such negotiations or litigation shall be conditional upon the Contractor having first given to the Employer such reasonable security as shall from time to time be required by the Employer to cover the amount ascertained or agreed or estimated, as the case may be, of any compensation, damages, expenses and costs for which the Employer may become liable. The Employer shall, at the request of the Contractor, afford all available assistance for any such purpose and shall be repaid all reasonable costs incurred in so doing.

If the Employer has to pay or elects to pay or elects to pay any money in respect of any such claims or demands as aforesaid, the amount so paid and the cost incurred by the Employer shall be charged to and paid by the Contractor, provided always that the Employer shall, if circumstances permit, give to the Contractor reasonable opportunity of examining such claims or demands before payment. In the event of the Contractor disputing the amount of any payment (except payments made in accordance with a legal obligation or after approval of the Contractor) then the Contractor shall have the right to refer the matter to arbitration in accordance with Clause 49.2 (Notice for Arbitration).

15.7Accident or Injury to Workmen

The Contractor sha