Common use of Construction Security Clause in Contracts

Construction Security. 11.1 For the purpose of securing the Construction Phase namely the terms of commencement of construction works based on construction permit and Commencement of Operation of the Facility defined by the Annex 3 of the MOU, the Company shall on the day of signing the Agreement provide the GOG with Construction Security in an amount of 100.000 USD/MW of the Facility if the installed capacity is 100 MW or less and 50.000 USD/MW of the Facility if the installed capacity is more than 100 MW. Construction Security provided by the Company shall remain in force until the date falling 5 (five) months after the date of Commencement of Operation of the Facility as defined by the Annex 3 of the MOU. The Construction Security submitted by the Company shall be issued by any bank licensed by State or the OECD member countries. Once the Construction Security is provided by the Company, the Preconstruction Security shall be duly returned to the Company within 30 (thirty) days. 11.2 The violation by the Company of the term of commencement of construction works based on Construction Permit defined by the Annex 3 of the MOU shall cause the penalization of the Company, in an amount of 1.5 (one point five) % of the Construction Security, for each delayed day. Herewith the imposed fine shall be paid by the Company within 15 (fifteen) days from receiving the request from the Ministry. In case fine is paid by the Company, the respective Construction Security shall be reduced in accordance with the amount paid by the Company. 11.3 The violation by the Company of the term of Commencement of Operation defined by the Annex 3 of the MOU shall cause the penalization of the Company, in an amount of 1.5 (one point five) % of the Construction Security, for each delayed day. Herewith the imposed fine shall be paid by the Company within 15 (fifteen) days from receiving the request from the Ministry. In case fine is paid by the Company, the Construction Security shall be reduced in accordance with the amount paid by the Company. 11.4 The GOG is entitled to redeem the Construction Security, claim and receive the full or partial amount under such Construction Security in following cases and under following conditions: a) If the Company refuses to pay the fine imposed on it according to Articles 11.2 and 11.3 of the MOU, the GOG shall be entitled to redeem an amount equal to the unpaid fine from the Construction Security. b) If GOG terminates the MOU according to Article 18 of the MOU, the GOG shall be entitled to redeem in a full amount of the Construction Security.

Construction Security. 11.1 For the purpose of securing the Construction Phase namely the terms of commencement of construction works based on construction permit and Commencement of Operation of the Facility defined by the Annex 3 of the MOU, the Company shall on the day of signing the Agreement provide the GOG with Construction Security in an amount of 100.000 USD/MW of the Facility if the installed capacity is 100 MW or less and 50.000 USD/MW of the Facility if the installed capacity is more than 100 MW. Construction Security provided by the Company shall remain in force until the date falling 5 (five) months after the date of Commencement of Operation of the Facility as defined by the Annex 3 of the MOU. The Construction Security submitted by the Company shall be issued by any bank licensed by State or the OECD member countries. Once the Construction Security is provided by the Company, the Preconstruction Security shall be duly returned to the Company within 30 (thirty) days. 11.2 The violation by the Company of the term of commencement of construction works based on Construction Permit defined by the Annex 3 of the MOU shall cause the penalization of the Company, in an amount of 1.5 (one point five) % of the Construction Security, for each delayed day. Herewith the imposed fine shall be paid by the Company within 15 (fifteen) days from receiving the request from the Ministry. In case fine is paid by the Company, the respective Construction Security shall be reduced in accordance with the amount paid by the Company. 11.3 The violation by the Company of the term of Commencement of Operation defined by the Annex 3 of the MOU shall cause the penalization of the Company, in an amount of 1.5 (one point five) % of the Construction Security, for each delayed day. Herewith the imposed fine shall be paid by the Company within 15 (fifteen) days from receiving the request from the Ministry. In case fine is paid by the Company, the Construction Security shall be reduced in accordance with the amount paid by the Company. 11.4 The GOG is entitled to redeem the Construction Security, claim and receive the full or partial amount under such Construction Security in following cases and under following conditions: a) If the Company refuses to pay the fine imposed on it according to Articles 11.2 and 11.3 of the MOU, the GOG shall be entitled to redeem an amount equal to the unpaid fine from the Construction Security. b) If GOG terminates the MOU according to Article 18 of the MOU, the GOG shall be entitled to redeem in a full amount of the Construction Security.and