Appendix
Competitive tender terms and procedure for the right to use the natural resources to develop Arym II
marble deposit and the criteria for determining the winner
1. Competitive tender basis and objectives
1.
2.
The competitive tender for the right to use the subsoil of Arym II marble deposit being the deposit
of national importance is held in accordance with these Conditions and the Procedure for holding a
competitive tender for the right to use natural resources for development of Arym II marble deposit
(hereinafter - the Conditions) approved by the Minutes №2 of the Competitive Committee on
December 9, 2014, elaborated in accordance with the requirements of the Law of the Kyrgyz
Republic "On Subsoil", the Regulation on the conditions and the procedure for holding a
competitive tender for the right to use natural resources approved by the Decree of the Government
of the Kyrgyz Republic on December 14, 2012 under No 834, Order of the Government of the
Kyrgyz Republic dated 19 November 2014, No 513-p.
The competitive tender for the right to use subsoil of Arym II marble deposit is held to determine
the winner who will offer the most favorable conditions for the Kyrgyz Republic for development of
marble.
The competitive tender exposes the right to use the subsoil to develop Arym II marble deposit with the
following corner points in the rectangular coordinate system:
Point No
1
2
3
4
X
4659014
4659010
4658868
4658872
S = 0.49 km2 or 4,9 ha
Ү
13319288
13319441
13319439
13319264
2. General information about Arym II marble deposit
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
Arym II marble deposit is located on the territory of the Toktogul Region of the Jalal-Abad Oblast
of the Kyrgyz Republic, on the southern spurs of Susamyrtau mountain range. Absolute elevations
range between 1526-1683 m. The geographical coordinates are as follows: 42 ° 03 ' of north
latitude and 72 ° 49' of east longitude.
Arym II marble deposit is confined to the watershed ridge in the Arym-Kichine-Arym interstream
area that gradually uplifts in the south-west direction. The near interstream area of the ridge is grasscovered and characterized by smooth outlines.
Transport conditions of the deposit are favorable: the regional center - the city of Toktogul is
located 28 km from the deposit. In the vicinity there is a Bishkek - Osh highway (0.7 km). Tash
Kumyr train station is located at a distance of 155 km; the town of Kara-Balta is located at a
distance of 200 km.
The main waterways are Chichkan river and its largest tributary - the Arym river. Water flow in
the Arym river is 8-15 m / s in July and in February it decreases to 1 m / sec.
The climate is continental. The minimum winter temperature in January drops to -12.6 ° C, the
maximum summer temperature (in July) reaches + 15.7 ° C, the average temperature is + 9.5 ° C.
The average annual rainfall reaches 661 mm.
In terms of avalanching Arym II marble deposit area is safe.
The area of Arym II marble deposit is characterized by a large outcrop, it is almost barren of plant
life, except for isolated juniper trees and shrubs.
KW-500 power lines run 400 m to the north of Arym II marble deposit.
The sources of drinking and technical water are waters of rivers Chichkan and Arym.
In the basin of Chichkan river from Alabel mountain crossing to the city Toktogul there are
practically no human settlements.
13.
14.
15.
16.
17.
18.
19.
20.
21.
22.
23.
24.
25.
26.
27.
The population of the area is inconsiderable in number. Small groups of people living in the
weather station "Itagor", working in cafes and eating houses and on the road construction site stay
here on a seasonal or shift basis.
Workers may be hired in the town of Toktogul.
Marbles belong to the group of colored rocks (gray, light gray, blue-gray, green, rarely black) and
are highly decorative and can be well glassed.
By chemical composition the pay rocks are divided into marbles of highly calcareous composition
containing calcium oxide from 46.46 to 53.76%, magnesium oxide - from - 0.98 to 3.2%, silica from 2.9 to 12.0%, marbled dolomites with 20.5% of magnesium oxide and 31.08 % of calcium
oxide, 2.1% silica and modified marbles with a high content of magnesium oxide (up to 22.87%),
calcium oxide (up to 32.36%), silicon dioxide (up to 24.22%).
The rocks building up the area are monolithic and substantially anhydrous. On the well drilling site
there is no underground water. The maximum flow of water into the quarry is due to precipitation
and according to the calculations is 115 𝑚3 / h. The quarry water removal can be provided by
gravity.
Issues of drinking and technical water supply will be solved due to Arym River. Bacteriological
analysis of the water showed full compliance with the requirements of GOST 2874-73 "Drinking
water".
Mine technical and hydrogeological conditions of the field are favorable for its development by an
open pit method; the rocks forming the site are monolithic and substantially anhydrous.
The deposit is represented by a ridge projecting above the surrounding surface. Landslides and
mudflows on the pit mining site are excluded.
On the basis of the characteristics of the geological structure of the deposit and the applied
technique and the exploration system, the calculation of reserves in terms of pay rocks was carried
out based on the vertical slice method. The reserves were estimated in the contour of the mountain
pit adopted by the techno-economic study of deposit development conditions between elevations
1530 m and 1680 m. As per the degree of exploration maturity of the quality the estimated reserves
of marble are qualified by categories A, B and C1.
Reserves of monolithic category A marble were estimated within blocks I - A and II - A.
Reserves of category B marble were estimated by blocks III-B and IV-B. Reserves of category C1
were estimated in blocks V-C1 and VI-C1.
Fractured marbles in the near-surface zone were estimated by category A (sub-blocks 1-A and 2-A)
and C1 (sub-blocks 3-C1).
External rock overburden was estimated in sub-blocks 4, 5, 6 and 7, loose overburden - in subblocks 8 and 9.
The inner rock overburden (dikes of microdiorites) was estimated based on the statistical method.
Reserves approved by the State Committee on Mineral Reserves in the following amounts as of
01.09.1980:
Category of Reserves
A
B
C1
Total:
28.
29.
Reserves of monolithic marble
rocks not affected by weathering,
thousand 𝑚3
171
470
80
721
Reserves
of fractured marble
rocks affected by weathering,
thousand 𝑚3
118
21
139
In the mid-80s of the last century, the stripping operations were started followed by extraction of a
small amount of marble blocks but soon they were stopped.
Reserves of marbles suitable for the production of facing blocks, slabs and marble chips were
approved by the State Reserves Committee of the USSR in 1980 (Minutes No 8673) by categories
A + B + C1: on Arym II site -860 thous. 𝑚3 . Balance reserves as of January 1, 2011 by categories
A + B + C1 for Arym II site are 717 thous. 𝑚3 , by category C2 - 889 thous. 𝑚3 . Balance reserves of
marble affected by weathering – by category A + B + C1 - 128 thous. 𝑚3 , including by category A 107 thousand𝑚3 , by category C1 – 21 thous. 𝑚3 .
3. Basic requirements for bidders
30.
The following entities may participate in the competitive tender:
- Legal entities registered in the Kyrgyz Republic;
- Legal entities registered in a foreign country (hereinafter - the foreign legal entities).
31.
Entities participating in the competitive tender (hereafter – the participants of the competitive
tender) in order to obtain the right to use the subsoil shall provide the Competition Committee with
the information and documents showing that they:
- Have experience in the development of deposits of not less than two (2) years;
- Possess and apply modern technologies of mineral exploration, mining and processing of minerals
- Have their own means and / or the abilities to obtain additional funding required to develop Arym II marble
deposit;
- Guarantee that in their activities they will comply with the international standards and standards of the Kyrgyz
Republic of industrial safety, environmental safety, subsoil protection and rational use of mineral resources.
32.
The participants of the competitive tender shall be entitled to submit to the Competition Committee
any additional information and documents about the experience level of their specialists, about their
production, financial and other capabilities necessary to implement the right to use the natural
resources for development of Arym II marble deposit.
4. Main conditions of subsoil use
33.
1)
2)
3)
4)
5)
A legal entity who will be recognized as a winner of the competitive tender and who will receive a
license to develop Arym II marble deposit (hereinafter - the Licensee) shall fulfill the following
main conditions of subsoil use:
pay the price for the right to use the subsoil of the tender object in the amount specified in the relevant
application for participation in the competitive tender, but not less than 3200000 (three million two
hundred thousand US dollars) (hereinafter - the price for the right to use the subsoil of the tender
object);
prepare and ensure approval of the technical project by the authorized public agencies and relevant
departments including positive expert opinions on the industrial, environmental, occupational safety and
protection of mineral resources, as well as obtain permits for construction of the infrastructure and other
facilities required for the development of Arym II marble deposit within 6 (six) months following issue
of the development license;
in case of failure to meet a commencement date of the deposit development the Licensee agrees to pay a
penalty of 0.5 percent of the total amount (100% to the national budget) for each full month of failure to
meet a commencement date of the deposit development, except for force majeure (according to the Law
of the Kyrgyz Republic "On Subsoil" - force majeure is a circumstance of insuperable force
complicating fulfilment of the conditions of subsoil use rights. Insuperable force – occurrence of
extraordinary and unavoidable circumstances due to natural disasters such as earthquakes, floods, or
blockade, war, strikes, or other circumstances which cannot be foreseen or prevented or may be
foreseen, but cannot be avoided. These circumstances are established by the presence of well-known
facts, by publications in mass media and by other means, not required special means of proof), which
are confirmed by the authorized state bodies;
include measures ensuring industrial and environmental safety, protection and rational use of mineral
resources in the technical project for development of the deposit, the land reclamation project and
subsequent monitoring with the creation of the respective fund, the project for liquidation of mining
property, the description of the licensee's other actions required for most rational, safe and effective use
of natural resources to meet the international standards and legislation of the Kyrgyz Republic;
during extraction of marble use modern ecological stone-cutting equipment, excluding blasting
experience (to avoid cracks during development of marble);
6) when developing the field, use modern mining and transport and crushing and screening equipment to
eliminate emissions of dust into the atmosphere;
7) ensure investing, including by attracting funding from banks and financial institutions as per the project
excluding the price for the right to use the subsoil of the competitive tender object as specified under
paragraph 39 hereof, and license payments for the first three (3) years from the date of issue of the
license;
8) strictly follow the provisions of the technical projects agreed with the state authorities-and fulfill the
requirements of the legislation of the Kyrgyz Republic, including requirements for rational use of
mineral resources, environmental protection and industrial safety;
9) within two (2) months following receipt of licenses prepare and provide the local authorities with the
social package for further consideration and approval (hereinafter -Agreement), which includes a
program of socio-economic development of local communities and territories, the program of
investment in local infrastructure , creating of jobs for people living in the project area, the maximum
use of local labor during development of the field, organization of occupational training of people to
engage them in the work related to the development of the field, assist in solving other issues related to
the program of socio-economic development of the Toktogul region.
34.
Conditions for provision of the right to use subsoil including the above basic conditions are fixed in
the license agreement to the license issued to the bid winner. Failure to comply with the above
conditions of subsoil use is the basis for the imposition of sanctions provided by the legislation of
the Kyrgyz Republic.
35.
The above basic conditions of subsoil use are recognized by the tender participant as the fact of
applying for the participation in the competitive tender and it agrees to their inclusion in the license
agreement to be issued to the winner.
5. The amount, procedure and payment due date of the fee, guarantee deposit, price, taxes and other
payments
36.
Fee for geological information
1) The Working Body of the Committee shall provide each applicant with the brief geological information.
To participate in the tender the applicants must purchase the specified geological information for a fee
of 27,500 (twenty seven thousand five hundred) soms;
2) the fee for a package of geological information specified in the first paragraph of this item is deposited
to a special account of the State Agency on Geology and Mineral Resources under the Government of
the Kyrgyz Republic (hereinafter - the State Geology Agency) –the Working body of the Competition
Committee referred to in item 40 of these
Conditions, and remains in its possession. The geological information is issued to the applicant immediately
after the full payment of its value.
37.
Fee for participation in the competitive tender.
To participate in the competitive tender the bidders shall pay a fee in the amount of 100 000 (one hundred
thousand) soms or the equivalent amount in US dollars at the exchange rate of the National Bank of the Kyrgyz
Republic on the day of payment for participation in the competitive tender (hereinafter - the fee for
participation). The fee for participation in the competitive tender is not included in the final price for the right
to use the subsoil of the tender object and whatever the outcome of the examination of documents and / or the
results of the competitive tender will be is not returned. These funds will be deposited to the special account of
the Working body of the Competition Committee specified in item 40 hereof, and remain in its possession.
38.
Winner’s guarantee deposit
The winner shall, within 5 (five) business days from the date of announcement of the winner, pay a down
payment in the amount of 10 (ten) percent of the bid price (hereinafter – the successful winner’s guarantee
deposit). In case of subsequent payment by the winner of the price for the right to use the subsoil as envisaged
in item 39 hereof, the successful winner’s guarantee deposit will be credited against the price for the right to use
the subsoil of the tender object. The guarantee deposit is not returned to the bid winner if the winner does not
pay the price for the right to use the subsoil of the tender object on the date provided by item 39 hereof, and
transferred to the national budget.
39.
Price for the right to use the subsoil of the tender object
1) The price for use of the subsoil of the tender object cannot be less than 3,200,000 (three million two
hundred thousand US dollars). The price includes the bonus amount (tax on the right to use subsoil)
and the price for a package of geological information on mineral resources, while the competitors may
offer a higher price. The total amount after deduction of bonus and the price for the package of
geological information on mineral resources is distributed in accordance with the Regulation on the
conditions and the procedure for holding a competitive tender for the right to use the subsoil approved
by the Government of the Kyrgyz Republic on December 14, 2012 under No 834. The price for the right
to use the subsoil of the tender object is a one-time and non-refundable fee;
2) The winner shall pay its offered price for the right to use the subsoil of the tender object within 30
(thirty) business days from the date of publication of the decision of the Competitive Committee on the
successful winner on the official web site of the Government of the Kyrgyz Republic and the State
Geology Agency.
40.
Details for making payment
The fee for the geological information, the fee for participation in the competitive tender, winner’s guarantee
deposit, as well as the price for the right to use the subsoil of the tender object specifying the appropriate
destination shall be deposited to settlement account of State Geology Agency, which details are specified below:
Recipient: Pervomaisky Treasury Regional Office, Bishkek
Bank: Bishkek branch of "RSK Bank"
BIC 129052
s/a 1290524132820096
Client account 4402012100002662
Purpose of payment: to the account of State Geology Agency – fee for the geological information] / [to the
account of State Geology Agency - fee for participation in the competitive tender] / [to the account of State
Geology Agency – winner’s guarantee deposit] / [to the account of State Geology Agency - fee for the right to
use the subsoil (price for the right to use the subsoil of the tender object).
41.
The successful winner shall pay license payments, taxes, non-tax payments and other mandatory
payments, charges and fees in accordance with the legislation of the Kyrgyz Republic
6. Stages of the competitive tender and documents provided by the participants of the competitive tender
42.
43.
The competitive tender is held in two stages. At the first stage the Competition Committee receives
and evaluates the documents provided by the participants for their compliance with the requirements
set forth in these Conditions to admit them or refuse to admit them to the second stage of the
competitive tender. On the second stage the Competition Committee receives and evaluates the
documents provided by the competitive tender participants admitted to the second stage of the
competitive tender for their compliance with the requirements specified in these Conditions, and
defines the bid winner in accordance with the established criteria.
The first stage of the competitive tender
At the first stage the competitive tender participants shall within 20 (twenty) calendar days from the date of
publication of the notice in the official gazettes concerning holding of the competitive tender provide the
following documents in two (2) copies to the State Geology Agency at the following address: Kyrgyz Republic,
Bishkek, Erkindik boulevard, 2, office No217:
1) application for participation in the competitive tender to the Chairman of the Competition
Committee in form specified in Appendix 1;
2) a copy of the document (and the original for verification) confirming payment of the fee for the
geological information;
3) a copy of the document (and the original for verification) confirming the payment of fee for
participation in the competitive tender.
The following documents shall be submitted in a sealed envelope:
1) for legal entities registered (re-registered) in the Kyrgyz Republic - notarized copies of state registration
certificates and copies of the charter and founding agreement certified by their stamps;
2) for foreign legal entities - copies of constituent documents and registration certificate and apostilled or
legalized extract from the State Register or another document proving that it is a legal entity operating
under the laws of their country.1 The constituent documents and the certificate of registration submitted
by foreign legal entities in a foreign language shall be submitted with a notarized translation into the
state or official languages. Validity of the provided extract from the State Register or another document
proving that the legal entity is operating under the laws of its country shall not exceed 6 (six ) months
from the date of issue of the said documents;
3) the information and documents that reveal the persons who are the ultimate owners and / or
beneficiaries of the tender participants shall be in compliance with Appendix 2;
4) the documents confirming the powers of the head of the legal entity or the authorized representative of
the legal entity;
5) written commitment that:
- the participant, when awarded the contract, agrees to pay all fines and penalties provided for in subitem 3 of item 33 of these Conditions;
- the participant , when awarded the contract, agrees that his proposed price for the right to use the subsoil
of the tender object is a non-refundable payment;
- the participant agrees to compensate for damages caused to the environment as a result of its activities,
and to take measures to restore the disturbed state of the environment, if such harm is caused as a result
of environmental offenses, according to the form of Appendix 3.
44.
The bidder shall submit documents in one envelope containing the full name and address of the
bidder, the indication of the participation in the first stage of the competitive tender, a complete list
of submitted documents. Documents to be submitted shall be stitched, divided by spacers, all pages
contained in the envelope shall be numbered. The documents shall be submitted in the state or the
official languages. In case of submission of documents in a foreign language they shall be
accompanied by a notarized translation into the state or official languages. The Competition
Committee shall review the documents submitted in the national or official languages. Changes and
additions to the documents submitted by the participants of the competitive tender after the expiry
of the deadline for submitting the documents set forth in item 43 hereof are not accepted. The
documents submitted shall not be returned and shall be stored in the State Geology Agency.
1
Legalization of documents is not required:
a)
b)
45.
for the Member States of the Convention abolishing the Requirement of Legalization for Foreign Public Documents
dated October 5, 1961 ("the Hague Convention"), except for the member countries, which objected to the Kyrgyz
Republic accession to the Hague Convention,
for the Member States of the Convention on Legal Assistance and Legal Relations in Civil, Family and Criminal
Matters of October 7, 2002 ("Chishinau Convention")
The envelope with the documents shall be opened by the competitive Committee on the next
business day after the expiry of the Term set forth in item 43 hereof for receiving documents and
registered in the Minutes, which shall include the name of the tender participants and the number of
pages of documents submitted by them. The Competition Committee shall, within 5 (five) business
days after opening of the envelope, review the submitted documents and decide on the admission or
refusal of admission of participants to take part in the second stage of the competitive tender. The
tender participants shall be allowed to participate in the second stage, provided that the documents
submitted by them meet the requirements specified in these Conditions. In case of any questions in
relation to the list of requirements, the type and form of submitted documents, the Competition
Committee shall be entitled to give additional explanations prepared as Minutes.
46.
47.
The decision of the Competition Committee on the admission or refusal of admission to the second
stage is published in the official web site of the Government of the Kyrgyz Republic and the State
Geology Agency.
The second stage of the competitive tender
The tender participants admitted to participate in the second stage shall, within 10 (ten) calendar days following
making the decision on admission, submit the following documents in a sealed envelope to the State Geology
Agency at the address: Kyrgyz Republic, Bishkek, Erkindik boulevard, 2, office No217:
-
1) Arym II marble deposit development program, which should include:
offers (provisional) on:
technical and economic assessment with respect to capital expenditures, operating costs and profitability of the
project;
land reclamation;
estimation of the required investments;
2) estimation of payments of tax and non-tax revenues to the republican and local budgets as a
result of development of the field.
Other additional information and documents at the discretion of the participant;
48.
49.
3) offers and a set of measures on application of modern technologies in mineral exploration,
mining and mineral processing, industrial and environmental safety, protection and rational use
of mineral resources;
4) the information and documents proving existence of experience in exploration and development
of deposits for the period of not less than two (2) years;
5) confirmation of its own funds and / or the possibility of raising funds for the initial capital
investments including copies of accounting reports for the last two (2) years, bank references,
loan agreements, the documents attesting to the absence of tax debts, and other similar
documents
6) offers on the social package that includes the program on socio-economic development of local
communities and territories, the program of investment in local infrastructure development,
creating of jobs for people living in the project area, the maximum use of local labor during
development of the field, organization of occupational training of people to engage them in the
work related to the development of the field, assist in solving other issues related to the program
of socio-economic development of the Toktogul region.
7) price offer for the right to use the subsoil of the tender object not less than the minimum value
specified in item 39 hereof;
8) any other additional information and documents attesting to the level of qualification,
production, financial and other possibilities of the participants of the competitive tender
necessary for the development of Arym II marble deposit.
The bidder who is admitted to participate in the second stage shall submit documents in one
envelope containing the full name and address of the bidder, the indication on submission of
documents in the framework of the second stage of the competitive tender, the complete list of
submitted documents. Documents to be submitted shall be stitched, divided by spacers, all pages
contained in the envelope shall be numbered. The documents shall be submitted in the state or the
official languages. In case of submission of documents in a foreign language they shall be
accompanied by a notarized translation into the state or official languages. Changes and additions
to the documents made by the participants of the competitive tender after the expiry of the deadline
for submission of documents are not accepted. The documents submitted shall not be returned and
shall be stored in the State Geology Agency.
The envelopes with the documents shall be opened by the Competition Committee on the next
business day after the expiry of the Term set forth for receiving the documents and registered in the
Minutes, which shall include the name and the address of the tender participants, the number of
pages of documents submitted by them and the price offered by them for the right to use the subsoil
of the tender object. The tender participants shall be entitled to be present at the opening of the
envelopes. Minutes of the Competition Committee on opening of envelopes shall be published on
the official government website of the Kyrgyz Republic and the State Geology Agency on the next
day after the date of opening the envelopes.
7. The criteria for determining the winner
50.
51.
The Competition Committee shall, within 5 (five) business days after publication of the Minutes of
the Competition Committee on the opening of the envelopes, consider the offers of the participants,
prepare the Minutes of the voting results of the second stage of the competitive tender and on the
basis of these Minutes decide on the successful winner. When reviewing the documents submitted
by the participants of the competitive tender, the Competition Committee shall be entitled to invite
the authorized representative of the participant for the further clarification of the tender
documentation.
The winner is determined by evaluating the submitted documents and the information. The
documents are assessed by the Competition Committee based on the following criteria according to
a points system:
No
Criteria description
Points
1
Quality of the presented program for development of
Arym II marble deposit including its compliance with the
requirements specified in these Conditions
Offers on application of modern technologies in mineral
exploration, mining and mineral processing, industrial and
environmental safety, protection and rational use of
mineral resources
Financial possibilities for development of
Arym II marble deposit (own and borrowed funds)
The volume (amount) of funds allocated for social benefits
in excess of the amount specified in sub-item 9 of item 33
of these Conditions
Excess of the minimum price for the right to use subsoil of
the tender object.
Up to 3 points
2
3
4
5
6
Starting date of Arym II marble deposit development and
construction of the necessary infrastructure facilities
52.
53.
54.
55.
Up to 5 points
Up to 5 points
Up to 3 points
1 point for every subsequent 100 000 (one
hundred thousand US dollars) exceeding the
minimum price for the right to use the tender
object
Up to 6 months - 6 points;
Within one year - 4 points
For each participant the Competition Committee shall prepare a scoring report indicating the points
received by the participant for each criterion and an overall score of the participant.
Based on the analysis of all participants’ offers and calculation of points based on the criteria the
Committee draws up the Minutes on the voting results of the second stage of the competitive tender
and on the basis of these Minutes takes a decision on the winner of the competitive tender.
The participant with the highest score is recognized as the winner. In case of equal score in two or
more participants the Chairman of the Competition Committee announces the open vote procedure.
Voting is conducted for each participant individually. At the same time each member of the
competition committee shall be entitled to cast its vote for only one participant. The winner is the
participant who gained most votes. In case an equal number of votes is cast for two or more
participants, the second ballot is held with respect to such participants based on the rules of the first
ballot. If necessary, additional ballots shall be held to determine the winner. The members of the
competition committee may not abstain from voting. During all rounds of voting at equality of
votes of the members of the Competition Committee, the vote of the Chairman of the Competition
Committee is decisive.
The decision of the Competition Committee shall be recorded in writing, signed by all members of
the Competition Committee and the winner of the competitive tender, and announced at a meeting
of the Committee at the presence of the participants and media representatives. The Competition
Committee ‘s decision on the winner shall be published on the official web site of the Government
of the Kyrgyz Republic and the State Geology Agency.
56.
57.
58.
59.
Minutes of the Competitive Committee shall be considered valid if they are signed by a majority of
the members of the Competition Committee.
Minutes of the Committee are the basis for issuing to the winner of the competitive tender the
license for the right to use natural resources for development of Arym II marble deposit. The
license agreement for the license shall include the conditions laid down during the competitive
tender. In the event a foreign legal entity is recognized as a winner of the competitive tender, the
license shall be issued to a subsidiary company founded and registered by the winner of the
competitive tender - the foreign legal entity in the territory of the Kyrgyz Republic on the location
of Arym II marble deposit. The subsidiary company established by the foreign legal entity shall be
registered no later than one month from the date of the announcement of the foreign legal entity as
the winner of the competitive tender. The established subsidiary company shall be owned by the
foreign entity - the winner of the competitive tender to one hundred (100) percent.
Licenses shall be issued to the winner within 5 (five) business days after the payment of its
proposed price for the right to use the subsoil of the tender object. If the winner is the foreign
entity, the licenses shall be issued within 5 (five) business days after (a) the payment of its proposed
price for the right to use the subsoil of the tender object and (b) provision of the original or the
notarized copy of the registration certificate of a subsidiary company of the foreign legal entity,
whichever comes later.
In the event of failure of the winner to sign the Minutes on the results of the competition or nonpayment of its proposed price for the right to use the subsoil of the tender object within the
prescribed period, the winner forfeits the right to obtain licenses, and the winner becomes the
participant who obtained the most points after the winner who refused relative to other participants
or the most votes during the additional ballot unless the competition commission decides otherwise.
8. Cancellation and recognition of the competitive tender invalid, null and void
60.
61.
62.
Pending the Competition Committee the decision on the winner the competitive tender may be
canceled by the decision of the Government of the Kyrgyz Republic only in case of force majeure.
In case of cancellation of the competitive tender the fee for participation in the competitive tender
in the amount of 100 000 (one hundred thousand) soms shall be returned.
In the absence of applications for participation in the competitive tender or if an application from
only one participant is received for participation in the competitive tender, or if the documents
submitted by all participants of the competitive tender do not meet the basic conditions and
requirements for the participants of the competitive tender , the competitive tender shall be declared
invalid by the decision of the Competition Committee and this decision shall be registered in the
Minutes and published on the official web site of the Government of the Kyrgyz Republic and the
State Geology Agency.
The participant of the competitive tender may withdraw its application for participation in the
competitive tender before the Competition Committee decides on the winner. At the same time the
fee for participation in the competitive tender in the amount of 100 000 (one hundred thousand)
soms shall not be returned.
You can find this information on the official website of the State Geology Agency www.geology.kg