DRAFT LOI

Ref. No…………………….. Date: ___________

To,
Power Stars Engineers & Consultants (PSEC)
Sco No.42, 1st Floor, Near PNB Kundli,
Sonipat, Haryana-131028
India

Kind Attn.:- Mr. Dilraj Dahiya

Sub: Letter of Intent for Supply of 505 D Governor panel, Unitrol 1010 ABB
make digital AVR Panel for 3 MW TG Set and 3 MW Generator protection,
control & synchronizing Panel for 3 MW Incidental Co-generation Power
Project for our Sugar Unit at Harion, Nepal

Ref: MITCON’s tender document no. AA/MIT/NDU/104 Rev 0 dated 17/07/2018 for
AVR panel and Doc no. AA/MIT/NDU/105 Rev 0 dated 17/07/2018 for
Generator protection, control & synchronizing panel and our email
dated---------- for details of existing TG set , your techno-commercial offer
submitted vide email ----------------, Techno-commercial meeting held at
MITCON Office, Pune on 13th& 14th August, 2018 and discussions & techno-
commercial negotiation thereof

Dear Sir,

With reference to the above and subsequent discussions we had with you, we are
pleased to issue herewith our “LETTER OF INTENT” for supply of 505D Governor
Panel, Unitrol 1010 ABB make Digital AVR panel and 3 MW Generator protection,
control & synchronizing panel, as per following terms:

1. PRICE

The total price for the above referred supply will be INR. --------Lakhs (Indian
Rupees ----------- Lakhs Only).

Above price is for supply on FOR basis and is inclusive of charges for packing &
forwarding, commissioning, (freight & transit insurance is in our scope), necessary
facilities.

GST not applicable.

Above price includes 2 season manufacturing guaranty from commissioning

2. TIME SCHEDULE

The above referred supply will be completed & commissioned within 8 to 10 weeks
from zero date. Zero date will be the release of P.O. and release of advance.

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3. TERMS OF PAYMENT

Terms of payment will be as per below;

 20 % of the supply value advance on release of P.O. and against submission
of pro forma invoice
 70% of supply value on inspection of above two panels and prior to dispatch
of the panels from works against submission of pr forma invoice
 10 % of supply value on successful commissioning of the both panels and
within one month from successful commissioning.
 PSEC to deploy their engineer at site for commissioning of the panels and
service for maximum seven days will be free of charge. Thereafter, delay
due to any reason from our side, INR 10,000/- per day will be payable to
PSEC
 We will provide you free Boarding & lodging at our factory site.
 To & Fro travel from Mumbai to site will be arranged by us

4. SCOPE OF WORK:

The technical specifications will be as per above referred document and enclosed
Annexure-I for complete governor, AVR & Generator protection, control &
synchronizing panels. PSEC to adhere with the same.

You are requested to acknowledge this LOI and provide your acceptance to the
same as provided below. And also proceed for design & engineering and submission
of drawing/ documents for approval on immediate basis

Looking forward to your active participation and co-operation for timely and
technically excellent completion of the project.

Thanking you,

Yours faithfully,
For InduShankar Chini Udyog Ltd

Managing Director

Accepted by M/s Power Stars Engineers & Consultants (PSEC)

Mr. Dilraj Dahiya

CC:
1. MITCON Consultancy & Engineering Services Ltd., Pune

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