Expression of Interest for Gandao Soapstone Kurrum Joint Venture Project

1.    Mineral Development Department Government of Khyber Pakhtunkhwa invites Expression of Interest from public /private organization/firm/company for the grant of thirty (30) years Large Scale Mining Lease through joint venture for the blocks mentioned below on net profit-sharing basis under section 10 of the Khyber Pakhtunkhwa Mines and Minerals Act, 2017.

2.    The organization firm/company shall submit a separate application for each block of his choice. The application on the prescribed Form shall be accompanied by a non-refundable application fee of Rs. 100,000/- for each block deposited in the proper Head of Account in any branch of the Bank of Khyber Account No. 00662008208215. The Application Form, Treasury Challan, sketches of the areas/blocks, Pre-qualification criteria in the shape of Rs/ton proposal Form can be downloaded from the Department website www.kpminerals.gov.pk or can be obtained from the JV Cell, Mineral Development Department Peshawar.

3.    Interested organization/firm/company shall also submit Call Deposit of one million rupees (Rs. 1000,000/-) in the favor of Director General Mines and Minerals Khyber Pakhtunkhwa for each block. The Call Deposit must be deposited in any branch of the Bank of Khyber or the amount of Call Deposit must be deposited in the Account No. 00662008140092 Bank of Khyber Warsak Road Branch Peshawar. In case, organization/firm/company that intends to quote profit rate above the reserve/base price of Rs. 2300 /ton will have to deposit additional call deposit at the rate as notified by the Minerals Development Department. The CDR rates notification is available on the Department website.

4.    The interested organization/firm/company shall submit duly filled in application form along with Technical proposal (as mentioned in pre-qualification criteria) and Net Profit sharing proposal in two separate sealed envelopes complete in all respect to the JV Cell, Mineral Development Department Peshawar on or before the closing date i.e. 25.10.2022 at 12:00 Hrs. (Note: Separate Application along with requisite formalities will be submitted for each block and incomplete application will not be enteratained.)

5.    Technical proposal will be opened on the same day i.e. 25.10.2022 at 02: 30 pm in the presence of the applicant or their authorized representative in the office of Additional Secretary (Administration) Minerals Development Department.

6.    The Technical Proposal shall be evaluated as per pre-qualification criteria that can be downloaded from the Department website or can be obtained from the JV Cell, Mineral Development Department Peshawar. All interested organization/firm/company are requested to submit supporting documents as per the said criteria.

7.    The net profit sharing proposal will be opened/considered of only such applicants who score a minimum of sixty (60) marks in the pre-qualification criteria set by the Department.

8.    The area/blocks are offered on “as is, where is basis”.

9.     All interested organization/firm/company are advised to visit the area or block of their choice before submission of application for Joint Venture to check the mineral potential and other details of the area. After execution of Joint Venture no such claim shall be entertained.

10.  No black listed/defaulter organization/firm/company shall be allowed to participate.

11.  Licensing Authority has the power to accept or reject the proposal and reason thereof to be recorded in writing.

12.  The minimum net profit share of the Government shall not be less than Rs. 2300 per ton.

13.  The community shares will be decided by the Deputy Commissioner through negotiation with locals and as per already agreed mechanism.

14.  The organization/firm/company who has already developed the area through existing mechanism will have the first right of refusal in his choice block.

15.  The qualified organization/firm/company that offered the highest rate of profit sharing with the Government will be considered for grant of Mining Lease by the Mineral Titles Committee /Authority.

16.  The successful organization/firm/company  for joint venture duly approved, Department  will be issued offer letter for completion of formalities and execution of joint venture agreement with the Director General Mines and Minerals, Khyber Pakhtunkhwa.

17.  If the successful organization/firm/company fails to comply with the terms and conditions of the offer letter his Call Deposit shall be forfeited and the second highest bidder / organization shall be issued offer letter for joint venture. If the second highest bidder/ organization/firm/company also fails to comply his Call deposit shall be forfeited.

18.  The successful organization /lessee for joint venture shall also pay rents, royalty to the Department and other taxes/dues as notified by the Government from time to time.

19.  The Call Deposit of the successful organization/lessee shall be treated as Security of the Mineral Title or advance net profit share as deemed appropriate to the Department.

20.  The successful organization/firm/company for joint venture shall abide by the provisions of Khyber Pakhtunkhwa Mines and Minerals Act, 2017 and rules thereof as well as will comply with the instruction of Licensing Authority or its authorized officer.

21.  The successful organization/firm/company whose proposal is approved for grant of mineral title shall also submit Application Form for Mineral Title along with requisite Fee and other formalities as per KP Mines and Minerals Act, 2017 and rules thereof.

22.  The total investment in the joint venture shall be made by the organization/firm/company. The Government (Minerals Development Department) shall bear no cost in the investment.

23.  All the Forest and Archaeology area have already been declined. However, if any Forest and Archaeology land/area is found overlapped with the joint venture block/area, the same portion shall be declined.

24.  If restraining orders are received from any Authority/Court, the joint venture process of the same area/block shall be held in abeyance by displaying a simple notice on the notice board of Directorate General Mines and Minerals or its website.

25.  In case of discovery of another mineral or group of minerals which is not included in the already granted mineral title, the mineral title holder shall apply for the newly discovered mineral or group of minerals as per the KP Mines and Minerals Act, 2017. The net profit sharing formula and terms & conditions of the joint venture for the newly discovered minerals or group of minerals shall remain the same as fixed in the joint venture agreement for the first mineral or group of minerals over the same area and the validity of the mineral title shall be up to the expiry of joint venture for the first mineral or group of minerals.

26.  Any other terms and conditions as deemed appropriate by the Mineral Development Department and Licensing Authority may also be the part of Joint Venture agreement if so desired.

27.  Interested parties may visit the Joint Venture Cell, Mineral Development Department Old Fata Secretariat Warsak Road or Directorate General Mines and Minerals for further information on any working day before closing date.

JOINT VENTURE CELL

(Minerals Development Department)

Ph# 091-9210701, 091-9213900

www.kpminerals.gov.pk