Appendix 2
"Approved"
Order of the State Agency for Geology
and Mineral Resources
under the Government of the Kyrgyz
Republic
No. ____ dated _____
Auction terms on granting of the subsoil licence for the colored marble
deposit Gulderek
Organizer of the auction in accordance with the Decree of the Kyrgyz
Republic Government #834 dated December 14, 2012: the State Agency for
Geology and Mineral Resources of the Kyrgyz Republic, the authorized State
Authority.
1.1. Subject of the auction: Subsoil licence for the geological exploitation of
the field Guldarek, in accordance with the Law of the Kyrgyz Republic “On
Subsoil”.
Subsoil object, the licence of which is put up for auction: Guldarek field.
Colored marble deposit Gulderek administratively belongs to Bakai-Ata
district of Talas region, 4 km away from the Min-Bulak village.
1.2. Form of the auction: open.
1.3. Geographical location of the subsoil object:
The absolute altitude ranges 1110 – 1255 m.
1.4. Dimensions of licence area:
Coordinates of the mining allotment on the topographic base К – 42 – 60
sheet.
№№
1
1
2
3
4
5
X
2
4720892
4720827
4720700
4720555
4720687
Y
3
12738637
12738962
12739165
12739080
12738657
S = 10,2 hectares
The area is – 0,102 km2.
The geographical coordinates of the deposit 40002 'north latitude and 72027' east
longitude.
2. Geological characteristics of the licence area
The deposit was explored North Kyrgyz Geological Expedition (Kovalchuk,
MI, 1988.).
The deposit area is composed of colored marble “chatkaragay” suite reef.
Power of the formation marbles reaches 170m. Marble is unevenly crystalline,
mostly crystalline medium, roughly banded, with different color density from light
gray, gray, greenish gray to dark gray, gray-green. Contrast of the colored bands
differens. The chemical composition of marbles in%: Si02- 6.06; Fe203+FeО-$53;
ТЮ2- 0.05; А1203- 0.9; CaO- 52.15; MgO- 0.87; K20- 0.26; Na20- 0.12; S03- less
than 0.10; P205- less than 0.10.
True density of marbles 2.76 g / cm3; the average density - 2.72g / cm,
porosity -1.09% -0.25% water absorption. The compressive strength in the dry
state - 83.3 MPa; - In a water-saturated state -75.0 MPa. Coefficient of reduction of
strength when saturated with water, 0.89. Compressive strength after 25 cycles of
freezing -74.6 MPa. Abrasion -1.5 3 g / cm.
Marble is easily polished. The quality of marbles meets the requirements of
GOST 9479-84 and GOST 9480-77 and can be used for interior and exterior wall
cladding and Flooring at the intensity of foot traffic of less than 500 persons/h, as
well as for the production of architectural and building products.
The waste in the extraction of marble can be used for stone quarry,
construction and decorative gravel, aggregates heavy concrete brand "300" and
building lime grade II.
Balance reserves of marble (01.01.2014), A + B + C - 1616 m3, C2 - 113 m3.
(Minutes №373 from 1988.) (Inv №8112)
3. Basic requirements for the subsoil use object.
3.1. Basic requirements for subsoil use object are specified in accordance with
the legislation of the Kyrgyz Republic related to the subsoil use and should be
included in the subsoil license. Detailed requirements are specified at registration
of license in the licensed attachment.
3.2. The main requirements for the use of the licensed area are:
- Conclusion of a licensed attachment for the drafting of work designed to
mining of licensed area;
- During the design the adjustment on the licensed area with the entering of
the reserves on the state balance;
- submission, within the time specified in the licensed attachment period, of
the operations plan designed to mining of licensed area, passed examination in
respect of industrial, environmental safety and subsoil protection, as well as
Certificate for temporary use of plot for subsoil use;
- Submission of semiannual information on progress of conditions of the
licensed attachment until July 15 of this year;
- Submission of annual report till January 31 of the new year, in the
prescribed form, approved by the authorized state body for the implementation of
the state policy on subsoil use and on electronic media;
- Submission of program (plan) for the development of mining work until
January 31 of the new year;
- Performance of all required types of mining operations in strict accordance
with the project, which has been examined in the industrial, environmental safety
and protection of mineral resources;
- Development of the Action Plan to ensure the requirements of industrial
safety at work, including the prevention of accidents and their consequences
localization with required justifications and calculations as at the site and as a
result of accidents at other facilities in the area of location of the object. In
developing these measures should be considered hazards (landslides, avalanche
danger, etc.), risk factors, conditions for the occurrence of accidents and their
scenario, the number and placement of production staff;
- Provide a report on the results of exploration work with graphic materials
and the results of laboratory research;
- Technical and biological reclamation of disturbed soils in accordance with
the design decisions which are passed examination for industrial, environmental
safety and subsoil protection, and according to legislation of the Kyrgyz Republic.
In case of default by the auction winner in the future the main requirements
for the use of subsoil object, then to it will be penalized at a rate of 0.1% per day of
the paid value of the object subsoil by the subsoil user for each day of delay in the
fulfillment of the commitments.
4. Time and place of the bidding: Auction will be held on November 27, 2015
in the building of Bakai-Ata state administration building, Talas oblast
Registration for the bidding starts from 11-00 to 11-50 hours. Start of the
bidding in 12-00 hours.
5. Deadline: Bids would be submitted from October 6, 2015 to November 23,
2015 inclusively, daily on working days from 9-00 hours to 15-00 hours by
Licensing Department of the State Agency for Geology and Mineral Resources
under the Government of the Kyrgyz Republic, office No. 225.
6. Place and time for familiarization with the terms and conditions of the
bidding:
Licensing Department of the State Agency for Geology and Mineral
Resources under the Government of the Kyrgyz Republic, office No.217, every
day from 9:00 to 18:00 hours.
7. To participate in the bidding the bidder personally or by the authorized
representative is submitting bid to the auctioneer till 15-00 hours of November 23,
2015, inclusively, in duplicate, in the form prescribed by the auctioneer and posted
on the official website of the auctioneer: www.geology.kg.
Filing by mail is not allowed.
Auction participation application for subsoil use of objects should be filled by
a computer approach in state and/or official languages, printed by electronic
printers.
Bid should be attached by the following documents:
- Copies of the founding documents and the certificate of incorporation;
- A copy of the certificate of state registration of the citizen as an individual
entrepreneur;
- A copy of the appointment of the executive body of the organization;
- Power of attorney to the representative, executed in accordance with the
legislation of the Kyrgyz Republic, where a person would act by his representative;
- document evidencing of payment of the guarantee fee;
- A document confirming payment for tender fee;
- A foreign entity additionally submits legalized extract from the state register
or other certificate that it is a valid legal entity under the laws of their country;
- companies registered in the Kyrgyz Republic, including subsidiaries of
foreign companies registered in the Kyrgyz Republic, additionally submits a
certificate of tax service on the absence of overdue tax debts.
Bid submission is considered as consent of the bidder with all the terms of the
bidding.
Certificates and documents executed by the bidder, signed by an authorized
person and stamped by bidder.
Copies of the documents should be submitted duly certified.
Constituent and other documents submitted by the foreign entity should be
apostilled and submitted their notarized translation into the state and/or official
languages.
All the above mentioned documents should be delivered to the auctioneer
along with the bid.
Application materials received after the bid submission deadline would not be
registered and returned to the bidder.
8. The successful bidder, who signed the minutes of the bidding results, pays
all established under legislation payments to the budget of the Kyrgyz Republic.
9. The tender fee in amount of 29 800 (twenty nine thousand and eight
hundred) soms paid by the bidder to the special account of the auctioneer:
State Agency for Geology and Mineral Resources under the Government of
the Kyrgyz Republic
Recipient: Oktyabrsky Treasurer’s Regional Office in Bishkek
Bank: Oktyabrsky branch of JSC “RSK Bank”, Bishkek
BIC: 129053
Settlement account: 1290534132810077
Client account: 4402032100002327
Details of payment: The State Geology Agency; payment for participation or
the guarantee fee.Details of payment The State Geology Agency; payment for
participation or the guarantee fee.
Tender fee is not subject to return, except in case of cancellation of the
bidding, or when the bidder withdraws its bid prior to the start of bidding, or would
not be allowed to participate in the bidding. In case of return of the tender fee, it is
payable to the bidder within 30 banking days.
10. Guarantee fee in the amount of 100 000 US dollars, paid by the bidder in
the national currency at the exchange rate of the National Bank of the date of
transfer or guarantee fee to the special account of the auctioneer specified in
paragraph 9 of this document.
Guarantee fee is refunded to the bidder/participant within 30 banking days
from the date of signing of the final minutes of the meeting of the tender
committee.
A bidder, who refused to sign the minutes of the tender as a successful bidder,
is eliminated from the number of bidders. Contributed by him guarantee fee is not
refundable.
11. The starting price of the auction subject is 100 000 U.S. dollars.
12. Bid increment is set at 10 000 U.S. dollars, the maximum increment- 100
000 U.S. dollars.
13. The bidding is acknowledged as void in following cases:
1) In the absence of bids or if only one bid is submitted;
2) To participate in the bidding admitted only one bidder or no one is
admitted;
3) To participate in the bidding, only one registered bidder or nobody is
registered;
4) Bidders offered a price not higher than the starting price.
14. The successful bidder is the bidder who offered the highest price for the
lot. On the day of the bidding, the successful bidder signs the minutes. Refusal of
the successful bidder to confirm its results the same day (i.e. refusal to sign the
minutes) or non-payment of his proposed price for subsoil use within five banking
days after the signing of the minutes on bidding is deemed to be a waiver of
subsoil license of object, the guarantee fee is not refundable.