10.07.2014
Conclusion of the agreement for the construction of a gas pipeline DN 500 Gałów-Kiełczów between ZRUG Zabrze SA and OGP Gaz-System SA
On 10 July 2014 ZRUG Zabrze SA from the Stalprofil SA Group, as the leader of the consortium of companies comprising: ZRUG Zabrze SA with its registered office in Zabrze and INSTALGAZ Andrzej Szulc based in Opalenica, concluded with OGP Gaz-System SA a contract for general contracting project: "Construction of high-pressure pipeline DN 500 MOP 8.4 MPa, the stretch Gałów node - Kiełczów node, in the construction of the pipeline RP Frontier (Lasów) - Taczalin - Radkowice - Gałów - Wierzchowice together with infrastructure necessary to operate in the province of Lower Silesia.
Total length of the pipeline which is the subject of an agreement with Gaz-System SA (Employer) is 41.6 km. For the performance of work under the terms of the agreement a consortium involving ZRUG Zabrze SA (Contractor) will receive a payment of 40 971 243.42 PLN gross (the agreement). The term of the contract (completion date) occurs within 19 months from the date of conclusion of the contract.
Conditions of the contract do not differ from those commonly used for this type of agreement. According to the agreement, the Purchaser is entitled to demand payment of liquidated damages in the amount of:
a) 0.1% of gross payment for each day of delay in commissioning of the agreement,
b) 0.1% of gross payment for each day of delay in removal of defects of the expiry of the period prescribed by the Purchaser to remedy the defects,
c) 10% of payment gross withdrawal from / termination of the Agreement by the Employer for reasons attributable to the Contractor.
If the penalty does not cover damage suffered or the cause of the damage is not included in the record of contractual penalties, the parties may seek compensation under the general rules of the Civil Code.
Aggregate amount of contractual penalties limited to 30% of gross payment.
Agreement with Gaz-System SA meets the criterion of a significant agreement because its value exceeds 10% of the equity of the issuer.
Total length of the pipeline which is the subject of an agreement with Gaz-System SA (Employer) is 41.6 km. For the performance of work under the terms of the agreement a consortium involving ZRUG Zabrze SA (Contractor) will receive a payment of 40 971 243.42 PLN gross (the agreement). The term of the contract (completion date) occurs within 19 months from the date of conclusion of the contract.
Conditions of the contract do not differ from those commonly used for this type of agreement. According to the agreement, the Purchaser is entitled to demand payment of liquidated damages in the amount of:
a) 0.1% of gross payment for each day of delay in commissioning of the agreement,
b) 0.1% of gross payment for each day of delay in removal of defects of the expiry of the period prescribed by the Purchaser to remedy the defects,
c) 10% of payment gross withdrawal from / termination of the Agreement by the Employer for reasons attributable to the Contractor.
If the penalty does not cover damage suffered or the cause of the damage is not included in the record of contractual penalties, the parties may seek compensation under the general rules of the Civil Code.
Aggregate amount of contractual penalties limited to 30% of gross payment.
Agreement with Gaz-System SA meets the criterion of a significant agreement because its value exceeds 10% of the equity of the issuer.