PLANT CONSTRUCTION CONTRACT.docx
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PLANTCONSTRUCTIONCONTRACT
PLANTCONSTRUCTIONCONTRACT
Article1-Definitions
'TheOwner'shallmean.
'TheContractor'shallmean.
'ThePlant'shallmeanalloranypartofthemachinery,equipmentandmaterialsformingthepermanentinstallationasspecifiedin Appendix.
'TheSite'shallmeanallthelandwheretheplantistobeconstructedinaccordancewiththisContract.
'TheWorks'shallmeantheworkstobedonebytheContractorunderthisContract.
'TheContractPrice'shallmeanthetotalsumpayabletotheContractorbytheOwnerfortheWorks.
Article2-Contractor''sResponsibilities
1.TheContractorshalldesign,engineer,andconstructthePlantattheSite.
2.TheContractorshallprovideallequipment,materials,tools,facilities,labourandservicesnecessaryforthesuccessfulconstruction ofthePlantexceptthoseitemsandfacilitiestobesuppliedbytheOwnerunderArticle.
3.TheContractorshallperformtheWorksinaccordancewiththeSchedule inAppendix.
4.TheContractorshallprovidetheOwner''spersonnelwithtrainingofperationandmaintenanceofthePlantinaccordancewithAppendix.
5.TheContractorshallsupplytheOwnerwiththesparepartsspecifiedinAppendix.
6.TheContractorshallsupplytheOwnerwiththemaintenanceequipmentspecifiedinAppendix.
Article3-Owner''sResponsibilities
1.TheOwnershallmakeavailabletheSiteandgranttheContractorfree anduninterruptedaccesstheretothroughoutthedurationofthisContract.
2.TheOwnershallprovidethoseitemsandfacilitiesspecifiedinAppendix atthetimethereinestablished.
3.TheOwnerwillobtainfromtherelevantAuthoritiesthoselicensesandpermitsnecessarytoconstructandoperatethePlantontheSiteincludingworkpermitfortheContractor''semployees.
4.TheOwnershallpaythecontractorfortheWorksperformedtheContractPricesetoutinArticle.
Article4-ContractPrice
1.WithindaysaftertheeffectivedateofthisContract,theOwnershallpaytheContractorasfullandcompletecompensationforaccomplishingtheWorksandassumingallobligationsunderthisContracttheContractPriceintheamountof.
2.TheContractPriceisnotsubjecttoescalation,andthecostofexecutingheWorksshallbetheriskoftheContractorwhoshallbedeemedtohavebtainedallinformationandtakenintoaccountallcircumstanceswhichmayaffectthecostinagreeingtheContractPrice.
Article5-Drawings
1.TheContractorshallsubmittotheOwnerforapprovalandreviewwithinhetimespecifiedinAppendix_____suchdrawingsasmayberequiredforConstructionofthePlantunderthisContract.WithinonemonthafterreceivingsuchdrawingstheOwnershallreviewandapproveordisapprovethedrawing.
2.TheContractorshallberesponsibleforanydefects,errorsoromissionsintheabovedrawingsunlesssuchdefects,errorsoromissionsarecausedbyinaccurateinformationfurnishedinwritingtotheContractorbytheOwner.
3.AlldrawingsandtechnicaldocumentationdeliveredbytheOwnerortheContractortotheotherpartyshallbetreatedasconfidentialbythereceivingpartyunlessagreedotherwise,andshallnotbeusedbythatpartyforpurposesotherthanthoseconnectedwiththisContract
Article6-Inspection
1.TheContractorshallperformallinspectionandtestingofthePlantrequiredbylawandnormalengineeringpractice.
2.TheOwnershallbeentitledatallreasonabletimesandatitsowncosttoinspect,examineandtestthematerialsandworkmanshipofthePlantunderconstruction.Suchinspection,examinationortestingifmadeshallnotreleasetheContractorfromanyobligationundertheContract.
3.ThecompletedPlantshallbeinspected,examinedandtestedbytheOwner,andtheContractorshallgivetheOwnerreasonablenoticeinwritingofthedateonwhichthePlantwillbereadyfortesting.
4.TheContractorshallprovidesuchassistance,labour,materials,electricity,fuels,apparatus,storesandinstrumentsasmayberequiredandasmaybereasonablydemandedtocarryoutsuchtestsbytheOwnerproperlyand efficiently.
5.WhenthePlantshallhavepassedtheabovetests,theOwnershallfurnishtheContractorwithacertificateinwritingtothateffect.NoPlantshallbedelivereduntilanyfaultsdiscoveredduringinspectionaresatisfactorily rectified.
Article7-Inspection
1.TheContractorshallprovideattheSitetothereasonablesatisfactionoftheOwnerallmaterials,labour,equipment,servicesandfacilitiesthatmaybenecessaryfortheproperexecutionandcompletionoftheWorks.
2.Withoutprejudicetothegeneralityoftheabove,theContractorshall provide,asmaybenecessary,thefollowing:
a.Constructionequipment.
b.MeansoftransportwithintheSiteincludingtemporaryroadways.
c.Fencing,lightingandguardingandallothermaterialsandservices necessaryforthesafetyandsecurityofpersonsandproperty.
d.Temporarystores,officesandotherbuildingsorstructuresformaterials andpersonsengagedintheWords,includingpersonsemployedbytheOwner.
e.Telephones,fire-fightingequipmentandfirst-aidequipmentuntilthe wholeWorkshavebeentakenover.
f.Sanitaryandcanteenfacilitiesfortheuseofpersonsengagedinthe Works.
3.TheContractorshallobserveallsafetyandotherregulationsimposed ontheSitebylocallaws.
4.TheContractorshallatalltimeskeeptheOwner''spropertyandthe adjoiningpremises,drivewaysandstreetsfreeofconstructionmaterials andrubbishcausedbytheWorks,andatthecompletionoftheWorksshall removeallremainingmaterialsfromandaboutthepremisesandshallleave theSiteandPlantsafe,cleanandreadyforuse.
Article8-Inspection
1.TheContractorwillsupplyathisowncostfood,transprotandallnecessary facilitiesforallhisownpersonnel.
2.OnsigningtheContract,theContractorshallappointaprojectmanager whowillrepresenttheContractoratalltimesbepresentattheSiteduring workinghours.AllcommunicationsissuedbytheOwnertotheprojectmanager shallbebindingasifgiventotheContractor.
3.TheOwnermayrequesttheremovalandreplacementofanypersonemployed bytheContractorontheSiteifsuchpersonisintheOwner''sopinion guiltyofmisconduct,incompetenceornegligence.
Article9-Inspection
1.TheContractorshallberesponsibleforalllossesofordamagetothe Plantbeforefinalacceptance,andshallmakegoodalsuchlossordamage atthecostoftheContractorandtothereasonablesatisfactionofthe Ownerprovided,however,inthecaseoflossordamagetothePlantarising fromoroccasionedbycausesforwhichtheContractorismotresponsible undertheContract,thesameshallbemadegoodbytheContractorbutat thecostoftheOwner,iftheOwnersodirects.
2.TheContractorshallindemnifytheOwnerinrespectofalldamageand in juryoccurringbeforetheissueofthefinalacceptancecertificateto anypropertyandpersonandagainstallactions,suits,claims,demands,chargesandexpensesarisinginconnectiontherewithwhichshallbeoccasionedbythenegligenceoftheContractororanyofhissub-contractorsorbydefectivedesign,materialsorworkmanshipbutnototherwise.
3.IntheeventofanyclaimbeingmadeoractionsbroughtagainsttheOwnerarisingoutofanymatterinrespectofwhichtheContractorisormaybeliableunderthisArticle,theOwnershallpromptlynotifytheContractorinwritingthereofandtheContractorshallathisownexpensetakeoverandconductinthenameoftheOwnerallnegotiationsforthesettlementofthesameandanylitigationthatmayarisetherefrom.TheOwnershallattherequestoftheContractoraffordallsuchinformationandassistanceastheContractormayreasonablyrequireforthepurposeofdealingwithanysuchclaimoraction.
Article10-Inspection
1.WithoutlimitingtheContractor''sliabilitiestheContractorwillathisownexpensetakeoutthefollowinginsurance:
a.TransportationinsuranceonthemachineandequipmentfromitsdeliveryexworkstoarrivalattheSite.
b.WorkerscompensationinsuranceforallContractor''sandsubcontractor''semployeesengagedorsimilarstatutorysocialinsuranceinaccordancewiththeapplicablelawsandregulations.
c.Productliabilityinsuranceagainstdamagetopropertyorinjurytopersonsuntiltheendofthemaintenanceperiodinthesumnotlessthat(amount)USdollarsperoccurrence.
d.ComprehensiveautomobileliabilityinsuranceinrespectofallvehiclesusedbytheContractororhissub-contractorinconnectionwithhisContract.
2.TheaforesaidpoliciesofinsurancewillbetakenoutinthenamesoftheContractoranditssub-contractors,theOwner,theirengineer,consultantandemployeesandagentsasthejointinsuredandthepoliciesshallcontainawaiverofinsurer''srightsofsubrogationagainsttheOwner,itsengineer,consultantandemployeesandagents.
3.TheContractorshallmaintaintheaforesaidpoliciesinfullforceandeffectuntilthedischargeofhisobligationsunderthisContract,andtheOwnershallhavetherighttodemandfromtimetotimecopiesofthepolicies,endorsementsandrenewalsandreceiptsforpaymentofinsurancepremiums.IftheContractorfailstomaintainanyofthesepoliciesinfullforceandeffect,theOwnershallhavetherighttorakeoutsuchpoliciesandpayallrelativepremiumsonbehalfofthecontractorandtodeducttherelevantcostsfromandsumsowingtotheContractor.
Article11-Inspection
1.OncompletionofallconstructionanderectionworkofthePlant,theContractorshallinformtheOwnerandshallcarryoutmechanicalerectioncompletiontest