Mineral Resources Department, Government of Chhattisgarh REPLY TO PRE BID QUERIES FOR "AUCTION OF COMPOSITE LICENCE FOR BAGHMARA GOLD BLOCK

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1 Mineral Resources Department, Government of Chhattisgarh Directate of Geology & Mining Indravati Bhavan, Block-4, Second Flo, Naya Raipur, Chhattisgarh , India Phone No , Fax: dgm.cg@nic.in REPLY TO PRE BID QUERIES FOR "AUCTION OF COMPOSITE LICENCE FOR BAGHMARA GOLD BLOCK IN THE STATE OF CHHATTISGARH" NIT Ref. Invitation of bids f grant of Mining Lease f Limestone Mineral Blocks & Composite Licence f Gold Mineral Block in the State of Chhattisgarh Dated 8 th December Tender No. MSTC/ERO/MINERAL RESOURCES DEPARTMENT, CHHATTISGARH/9/NAYA RAIPUR/15-16/13129

2 S.No Clause Rationale f 1. Chhattisgarh Gold explation involves intensive explation which initially will involve geological mapping, ground geophysics and the drilling. Will you allow us to undertake this intensive detailed explation after signing LOI. We will endeav to keep the surface disturbance to a minimum as per our commitment to sustainable explation and care f the environment. We will look at the use of man ptable drill rigs. Further explation can only be done by Successful Bidder after execution of Composite License Deed, as per prevailing regulaty framewk.

3 S.No Clause Rationale f 2. Chhattisgarh Area shape need to be simple (Square rectangle) as it is composite licence. F regional explation, area in the SE and Nth need extensions in der to accompany systematic explation. Block boundary shall be same as given in the Tender / Geological Study Rept. 3. Chhattisgarh Auction rule 18 (b) What level of suppt will be extended to the successful bidder to obtain all the relevant government approvals over the + 3 year duration of explation and me imptantly to be able to establish a mining operation. Regarding this point the Preferred Bidder can take up separately with the concerned/ appropriate department of the State Government. 4. Chhattisgarh Whether drill ce is made available f inspection? GSI & DMG explation geology maps & references are required f studying the area with reference Drill ce is not available. Available explation repts, maps, references etc shall be shared with the Preferred Bidder, if requested.

4 S.No Clause to geographical co-dinate system. Rationale f 5. Chhattisgarh What happens if we find a new mineral and me resources? Can we easily obtain the rights and modify the production rates? Please refer Mines and Minerals (Development and Regulation) Act, 1957 its subsequent amendments & rules made thereunder. 6. Chhattisgarh Will there be sufficient water and electricity available to suppt an international sized mining operation? Regarding the suppt, the Preferred Bidder can take up separately with the concerned/ appropriate department of the State Government. 7. Chhattisgarh Time frames What is the time frame to acquire all of the relevant government clearances and approvals. Furtherme what is the maximum time frame f the explation of the prospecting licences. Kindly refer to timeline as given in Clause 11 and Clause 12 of the Tender.

5 S.No Clause Rationale f 8. Chhattisgarh Auction Rule 17 C (ii) Details of revenue recds of the area, fest land, land owned by the State Government, and land not owned by the State Government etc were not provided in the Tender. What level of suppt is given f protected fest explaty drilling (In case of close space drilling is necessary) As per Mineral (Auction) Rules, 2015, details of the fest land, land owned by the State Government, and land not owned by the State Government etc are already provided with the Tender / Infmation Memandum. Regarding the suppt from State Government, the Preferred Bidder can take up separately with the concerned/ appropriate department of the State Government. 9. Chhattisgarh Auction Rules 18 (6) (b) What happens if the resources are extending after the tenement boundary and further me will we be able to position drill rigs outside of the granted tenement to assess depth extension within the granted tenement Explation activities has to be limited with in Composite License boundary.

6 S.No Clause Rationale f 10 Kindly provide the co-dinates of the DGM and GSI drill holes such that we can merge the DGM auction block and the explation block of the DGM and GSI Infmation is provided below:

7 Co-dinates of the DGM and GSI: The Infmation Memandum on Gold project is based on the histical explation data, produced by DGM (1991) and GSI (2007). While DGM s explation rept does not consist of behole collar codinates in table map, the collar codinates of the beholes drilled by GSI were presented in a local grid, which is different to the DGM drilling grid. In der to compile the behole collar codinates, DGM carried out certain additional exercise recently, which include field visits and interaction with the field professionals, who were involved in Baghamara explation on behalf of DGM and GSI. Based on the above exercise we are now providing following beholes collar co-dinates, drilled by DGM & GSI: BHID X Y Z Agency BM GSI BM GSI BM GSI BM GSI BM GSI BM-6A GSI BM GSI BM GSI BM GSI BM GSI BH DGM BH DGM BH DGM BH DGM BH DGM BH DGM BH DGM BH DGM BH DGM Note: Kindly note that the above mentioned beholes collars were determined based on the point of igin of GSI s drilling grid and may require to a certain degree of spatial crection and appropriate field verification.

8 Additional s: S. No. Clause No. Additional s 1 Tender 8.1 A (a) ii. Tender Process 2 Tender (c) conditions regarding tender process Power of Attney 3 Tender Offline Submission Initial Price Offer can be in decimal upto 2 decimal number Power of Attney has to be notarized. There is no separate Cpate Authization required in addition to the Power of Attney. Power of Attney should be issued by a person authized to provide specific Power of Attney f submission of the bid by the Board of Directs. The copy of the resolution of Board of Directs meeting shall be attached. Power of Attney fmat has been provided in Annexure C of Schedule I of the Tender document The suppting documents as mentioned in Clause 3 (a) (ii) of Schedule III (offline submission of certain iginal documents) of Tender are mandaty documents in bid submission process. The bid has to be submitted along with the suppting documents trough uploading at MSTC website as well as hard copies of the suppting documents are to be submitted separately to the specified address as mentioned in the tender document. 4 Tender Transfer of Composite License shall be as per Mines and Minerals (Development and Regulation) Act, 1957 its subsequent amendments & rules made thereunder. 5 Tender A bidder fmed by MOU/ association/ JV fmation of 2 me companies will not be allowed. In such case, the bidder has to be a company registered under India Companies Act, Tender 2.2, 2.12, 2.13, 2.25 & 5 Eligibility Conditions Bids by two companies having Parent-Subsidiary relationship will be allowed to bid f the same block. Two separate bids from two Subsidiaries of same Holding Company will also be allowed. If separate Bids are submitted by the Bidder and its Group Companies, only one Bidder will be considered f evaluation. The first received bid will be considered f evaluation and others subsequent bids will be cancelled.