BREAK-DOWN & BREAKDOWN DAY RATE Sample Clauses

BREAK-DOWN & BREAKDOWN DAY RATE. During the term of the Agreement, if operations hereunder are suspended, due to break-down of or the need for repairs to Contractor's equipment, or due to the failure of Contractor to furnish any requirement for the operation, such as but not limited to, materials, supplies, equipments or services to which Contractor is obligated to furnish hereunder or due to failure of Drilling Unit or due to destabilisation of the Drilling Unit due to whatever reasons and if such failure / destabilization results in the operations being materially affected, Contractor shall be paid at the Equipment Break-Down Day Rate of ( only) upto a maximum of 32 (thirty two) hours as compensation per calendar month. Beyond the said 32 hours, daily compensation shall not be payable to Contractor during such failure /breakdown / destabilization until operations are recommenced to the satisfaction of Operator at which time the applicable rate shall again come into force. Beyond the above mentioned permissible period, zero rate will be applicable for further period of breakdown. Operator shall provide diesel, water and other services (except tug boats) at its cost for a maximum period of seven days during breakdown. Thereafter, the cost of diesel, water and other services shall be borne by Contractor.
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