Negotiation and signing of mining engineering contracts

(I) Main contents of the contract 1. General contract terms The general contract terms are the general provisions for the construction of the project in accordance with the general provisions required by laws, regulations and project implementation. The general terms are generally the contents of the model contract documents prepared by the relevant state departments or local governments.
2. Special Terms The special terms are the terms and conditions of the contractor and the contractor in combination with the specific engineering practice and agreed upon by the agreement, which is the specificization and supplement of the general terms.
The special clauses are the focus of contract negotiations. Both parties should fully consider the specific conditions and special requirements of the project, and supplement the requirements and relationship definitions of the parties in terms of responsibility, power and profit.
(II) Key points of contract negotiation and signing 1. Confirmation of the content and scope and nature of the project The content and scope of the project contract is the subject of the contract. If the project content and scope involved in the contract negotiation are not clear in the text contract, or Relevant amendments, etc., must be attached to the contract by means of "contract addendum" or "meeting minutes" and indicate that the contract attachment is part of the contract.
For a general unit price contract, both parties should jointly determine the "increasing or decreasing amount of the amount of work" during the negotiation to clarify the limits of the engineering quantity change. Otherwise, the contractor has the right to request a unit price adjustment.
When the Recognition and price adjustment provisions 2. The contract price or remuneration terms when the contract price has not been determined but can still form a floating price, adjusted price or cost plus fee, etc., should be based on project conditions, integrated its own technology and capabilities And factors such as project risk, and consider the interests of the company to confirm.
Due to the relatively long construction period and the unstable factors of the mine construction, it is more important for the contractor to determine the price adjustment clause.
3. Determination of payment methods Payment methods are often associated with the progress of the project. The main forms include project advance payment, project progress payment, completion settlement and refund of retention money. The contract should specify the payment deadline and requirements.
4. Contract changes Mining projects are subject to more frequent changes due to their particularities, especially the uncertainty of geological conditions, so contract changes in mining projects will become more important.
Mining engineering contracts usually have agreed geological conditions and related environments. For example, the vertical well construction has the agreement of the maximum water inflow of the wellbore. If the amount of water inflow exceeds a certain amount of water inflow, in addition to increasing the difficulty and cost of construction, it may cause major changes in the construction process, such as increasing the pre-grouting of the working face or changing to the freezing method. Construction; or the complicated work of the second and third phases of the project, the geological data found that the geological data did not meet the expected objectives, and the additional work such as water exploration and gas control on the working face was the basis for the change of the mining project contract.
Under special circumstances, such as the vertical shaft construction contract, the depth of the wellbore increases beyond the scope of the original design wire rope and lifting suspension system, the construction unit must replace the wire rope, lift the hanging system, etc., thereby increasing the cost of a large number of temporary facilities. Adjustments should be made to the price and quantity of work.
5. Engineering quality and acceptance The quality of the project should meet the requirements of the corresponding domestic standards, standards and relevant industry norms. Mining project acceptance is generally divided into monthly acceptance and intermediate acceptance, concealed engineering acceptance and completion acceptance.
6. Concealed Projects Due to the complex and varied mining engineering geological environment, additional engineering changes such as roofing, water exploration, and grouting often occur. Because all the additional engineering caused by geological changes will eventually be covered, it is difficult to confirm after the completion of the project, so most of these projects appear as hidden projects. This part of the engineering quantity sometimes accounts for a high proportion of the contract. Strictly speaking, changes in the contracted geological conditions beyond a certain proportion are within the scope of the contract change. Therefore, the concealed project agreement is usually an important part of the contract negotiation.
Due to the large amount of concealed works in the mining project, and the concealed project directly involves the subsequent process, if the construction unit or the supervision unit fails to conduct the inspection in time, the construction progress will be seriously affected. Therefore, the timeliness of concealed project acceptance is an important part of the mining engineering contract. Acceptance of concealed works may be carried out in accordance with generally prescribed procedures and time-limited requirements, or may be agreed upon by both parties.
7. Confirmation of construction period and maintenance period Determine the construction period, including the start date and completion date. When determining the construction period, the actual situation of the project should be fully considered. In addition to the necessary time for preparation and work, it is also necessary to pay attention to the seasonal impact of the construction.
The contractor shall fully express the right of the contractor to increase or decrease the amount of construction, design changes and other non-contractor reasons or force majeure to the construction period, and the contractor has the right to claim the construction period (and the construction cost).
8. Safe Construction Mining construction is a high-risk industry. The losses and impacts caused by safety accidents are usually huge. Therefore, safe construction is an important indicator of mining engineering and is naturally an important part of the contract. Usually, the main body of on-site safety responsibility is the contracting unit, and the construction unit assumes the safety responsibility of its own site management. The contractor shall abide by the relevant regulations on safety construction of engineering construction, organize construction in strict accordance with safety standards, and accept the supervision and inspection carried out by industry safety inspectors according to law, and take necessary safety protection measures to eliminate hidden dangers. The contractor shall bear the responsibility for the accident and the expenses incurred as a result of the failure of the contractor’s safety measures; the compensation shall be made in accordance with the actual compensation caused to the contractor. For the safety accident caused by the contractor, the contractor shall bear the corresponding responsibility and the expenses incurred.
9. Determination of liability for breach of contract The liability for breach of contract is one of the key provisions of the contract. If there is no liability for breach of contract, the contract is difficult for the parties to form effective legal constraints, and it is difficult to ensure the fulfillment of the dispute satisfactorily.

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