Uis Tin Project - V1/V2 Pit Contract Mining...

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AfriTin Mining Limited Uis Tin Project - V1/V2 Pit Contract Mining Tender Request for Quotation 30 th of October 2018 PREPARED FOR: PREPARED BY: Mr Ralf Schommarz Mr Werner Moeller AfriTin Mining Limited Qubeka Mining Consultants CC Document Nr: ATN_Mining_RFQ_Version_C Illovo Edge Office Park Building 3, 2nd Floor, Corner Harries and Fricker Road, Illovo, Johannesburg South Africa Am Weinberg Office Park 13 Jan Jonker Drive, Klein Windhoek, Namibia

Transcript of Uis Tin Project - V1/V2 Pit Contract Mining...

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AfriTin Mining Limited

Uis Tin Project - V1/V2 Pit Contract Mining Tender

Request for Quotation

30th of October 2018

PREPARED FOR: PREPARED BY: Mr Ralf Schommarz Mr Werner Moeller

AfriTin Mining Limited Qubeka Mining Consultants CC

Document Nr: ATN_Mining_RFQ_Version_C

Illovo Edge Office Park

Building 3, 2nd Floor,

Corner Harries and Fricker Road,

Illovo, Johannesburg

South Africa

Am Weinberg Office Park

13 Jan Jonker Drive,

Klein Windhoek,

Namibia

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DOCUMENT NO. REVISION APPROVAL DATE PAGE ATN_Mining_RFQ_Version_C C 05.11.2018 Page 1 of 28

PREPARED FOR: PREPARED BY:

Request for Quotation Document No ATN_Mining_RFQ_Version_C Revision No C Date 30.10.2018 Date Approved 06.11.2018

PURPOSE: Request For Quotation (RFQ) for Mining Contractor

TABLE OF CONTENTS PAGE

1. INTRODUCTION .................................................................................................................................................... 4

1.1 CAPABILITY STATEMENT .............................................................................................................................. 5

1.2 OVERVIEW OF AFRITIN ................................................................................................................................ 5

1.3 LOCATION OF THE V1/V2 PEGMATITE MINING FOR PHASE 1 ............................................................... 5

1.4 GEOLOGY .................................................................................................................................................... 6

1.4.1 MATERIAL DENSITY ................................................................................................................................... 7

1.5 MINING ......................................................................................................................................................... 7

2. DESCRIPTION OF SUPPLY .................................................................................................................................... 8

2.1 SCOPE OF WORK ........................................................................................................................................ 8

2.2 DESCRIPTION OF THE WORK .................................................................................................................... 10

2.2.1 Hard waste (overburden) removal ................................................................................................... 10

2.2.2 Ore handling and removal ................................................................................................................. 10

2.2.3 Infrastructure roadways and haul roads .......................................................................................... 10

3. MINING AND PRODUCTION ............................................................................................................................. 11

3.1 MINING PRODUCTION SCHEDULING ..................................................................................................... 11

3.1.1 Mining equipment ................................................................................................................................ 11

4. ENGINEERING AND INFRASTRUCTURE ............................................................................................................ 12

4.1 SERVICES TO BE PROVIDED BY THE CLIENT ............................................................................................ 12

4.2 ORE SUPPLY REQUIREMENTS .................................................................................................................... 13

4.3 PRODUCTION REQUIREMENTS AND PLANNING ................................................................................... 13

4.3.1 Production requirements ..................................................................................................................... 13

4.3.2 Monthly plan ......................................................................................................................................... 13

4.3.3 Quality control ...................................................................................................................................... 14

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4.4 DRILLING ..................................................................................................................................................... 14

4.5 BLASTING .................................................................................................................................................... 14

4.6 ORE HANDLING ......................................................................................................................................... 14

4.6.1 Tramp iron .............................................................................................................................................. 14

4.6.2 Maximum size of ore product ............................................................................................................. 14

4.7 STOCKPILES AND DUMPS ......................................................................................................................... 14

4.8 HAUL ROADS AND RAMPS ....................................................................................................................... 15

4.9 DRAINAGE AND DEWATERING ............................................................................................................... 15

4.10 DUST CONTROL .......................................................................................................................................... 16

4.11 LIGHTING .................................................................................................................................................... 16

4.12 COMMUNICATIONS .................................................................................................................................. 16

4.13 SURVEY AND MEASUREMENT ................................................................................................................... 16

4.13.1 Client's survey activities ................................................................................................................... 16

4.13.2 Contractor's survey responsibilities ................................................................................................ 16

4.14 PROGRESS REPORTING ............................................................................................................................. 17

4.14.1 General .............................................................................................................................................. 17

4.14.2 Weekly reporting .............................................................................................................................. 17

4.14.3 Monthly reporting ............................................................................................................................. 17

4.2 COMMENCEMENT AND MOBILISATION ................................................................................................. 17

5. PORTION OF THE SUPPLY TO BE PERFORMED BY OTHERS ............................................................................ 18

6. FACILITIES AND SERVICES TO BE PROVIDED BY THE MINE ............................................................................ 18

6.1 THE MINE WILL PROVIDE THE FOLLOWING FACILITIES: ......................................................................... 18

6.2 THE MINE WILL SUPPLY THE FOLLOWING SERVICES: ............................................................................. 18

7. FACILITIES AND SERVICES TO BE PROVIDED BY THE CONTRACTOR ........................................................... 19

7.1 CONTRACTORS ESTABLISHMENT ............................................................................................................. 19

7.2 REMOVAL OF CONTRACTOR’S ESTABLISHMENT ................................................................................... 20

7.3 CONTRACTOR’S EQUIPMENT AND SYSTEMS ......................................................................................... 20

8. HEALTH AND SAFETY .......................................................................................................................................... 20

9. ENVIRONMENTAL MANAGEMENT ................................................................................................................... 21

10. MANAGEMENT AND SUPERVISION ................................................................................................................. 21

10.1 LEGAL APPOINTMENTS ............................................................................................................................. 21

10.2 PRACTICAL ARRANGEMENTS .................................................................................................................. 21

11. SITE CONDITIONS ............................................................................................................................................... 22

12. ENDING THE CONTRACT ................................................................................................................................... 22

12.1 A DEFAULT BY THE CONTRACTOR - MINOR BREACH ........................................................................... 22

12.2 A DEFAULT BY THE CONTRACTOR - SUBSTANTIAL BREACH ................................................................. 23

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13. QUOTATION ........................................................................................................................................................ 23

DOCUMENT REVISION CONTROL

REVISION NUMBER

PAGE NUMBER/S CHANGE EFFECTED DATE OF CHANGE

A All Request For Quotation (V1/V2 Contract Mining Tender 29/10/2018

B All Request For Quotation (V1/V2 Contract Mining Tender 30/10/2018

C All Request For Quotation (V1/V2 Contract Mining Tender 06/11/2018

APPROVAL SIGNATURES RECORD

REVIEWER ROLE NAME SIGNATURE DATE

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1. INTRODUCTION This document constitutes a request for quotation (“RFQ”) in reference to a proposed mining contractor quotation to AfriTin Mining Limited (“AfriTin”) in order to supply a mining service to the Project.

All references to “the Project” shall include the terms “Uis Tin Project V1/V2 Pit Contract Mining”, and all such references shall be deemed to refer to the same project.

Mining contractors are invited to submit a binding quotation for the loading, hauling and all related mining activities excluding drilling and blasting for the initial first 18 months of the Project, which includes the supply and delivery to site of the relevant earthmoving equipment to perform the job.

This RFQ does not constitute a procurement solicitation and a response to this request does not form a binding contract. The contractor is solely responsible for all expenses associated with responding to this RFQ.

The receipt of any quotation by AfriTin does not constitute acceptance thereof, and acceptance of any or none of the quotations received will remain within the sole and unfettered discretion of the company. AfriTin reserves the right to reject all quotations received and/or reserves the right to formally go out on tender with clarification discussions.

Contractors are invited to put forward their recommendations as to the size and type of loading, hauling and secondary mining equipment, as well as associated ancillary equipment for optimal matching and functionality. The equipment will be used in the mining of waste, low grade and ore material.

The following key facets of the Project are summarised below:

1. Site establishment: On or before the 7th of Jan 2019

2. Production start: On the 14th of Jan 2019

3. Contract period: 18 months (until 14th of Jul 2020) with a possibility of 12-month extension

4. Contract volumes:

Mining: 100,000 t/month from mining areas V1/V2 RoM Re-handling: Maximum of 40,000 t/month, expect less as there will be a portion of direct

tipping to the primary crusher Tailings Removal: 40,000 t/month from plant area to co-disposal waste rock dump – ore trucks

that would have travelled with an empty load from the RoM pad to the pit area will haul in this case dry tailings material from the plant to the co-disposal waste rock dump areas

5. Proposed shift system:

Mining: 1 x 10hr shift (07:00 – 17:00 day shift 6 times a week – Mon to Sat) RoM Re-handling: 2 x 10hr shift (07:00 – 17:00 day & 17:00 – 03:00 night shift 7 times a week –

Mon to Son) Tailings Removal: same as Mining above

6. Primary crusher tip restrictions: 30t ADT or smaller – there is no grizzly on the primary tip bin and boulders larger than 0.5m must be secondary blasted / broken

7. Minimum mining width in pits: Up to 20m

8. Bench height: 10m benches being loaded in 2 x 5m flitches

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9. When recruiting for this project the Contractor must agree to support local recruitment. This will be done by assigning credit during recruitment process as well as giving preference to persons from the Uis community.

1.1 CAPABILITY STATEMENT

Contractors are required to submit, together with their tender for the work listed below, a capability statement illustrating their ability to perform the proposed job. Contractors must provide proof of the following:

1. List of all own available earthmoving equipment that could be deployed for this tender (Make, Model & Machine Hours);

2. List of fixed site establishment dates for the listed earthmoving equipment under 1 above.

3. List of past and current mining contracts indicating the monthly volumes, contract duration and safety record;

4. Proof of any safety related accreditation.

1.2 OVERVIEW OF AFRITIN

AfriTin Mining Limited (“AfriTin”) is a mining company with a portfolio of near-term production tin assets in Namibia and South Africa. The Company was established in 2017 and listed on AIM in November 2017, to acquire the tin assets of Bushveld Minerals Limited, an AIM quoted natural resource company, and was formed to take advantage of the deficit in primary tin production. AfriTin is the first pure play tin company listed in London and has a vision to create a portfolio of world class, conflict-free, tin producing assets. The Company’s flagship asset is the Uis brownfield tin mine in Namibia, formerly the world’s largest hard-rock tin mine. It also owns the Mokopane Tin Project in South Africa.

The company was mandated by its shareholders to establish a small-scale mining and processing operation at Uis in Namibia (“Phase 1”), producing tin concentrate from pegmatite ore. This operation is regarded as a pilot for a large-scale facility to be implemented as a second project phase (“Phase 2”) in 2021.

1.3 LOCATION OF THE V1/V2 PEGMATITE MINING FOR PHASE 1

The Phase 1 mining area is located within the Uis Tin Project on Mining License (“ML”) 134 in the Erongo Region, north western Namibia (Figure 1-1).

The Phase 1 mining area is accessed from Windhoek via the sealed (tarred) B1 highway north to Okahandja, the sealed (tarred) B2 highway from Okahandja westwards to Wilhelmstal, and the sealed (tarred) C36 main road north westwards to Omaruru. From Omaruru westwards to the village of Uis, the C36 is a gravel road (Figure 1-1). The distance by road from Windhoek to Uis is approximately 330 km.

From Walvis Bay, access is via the B2 sealed (tarred) highway northwards to Swakopmund, the main C34 salt road north along the coast to Henties Bay, and then the gravel main M76/C35 road northeast to the village of Uis (Figure 1-1). The total driving distance is approximately 225 km.

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Figure 1-1: Location of V1/V2 Pegmatite Mining Area for Phase 1

The V1/V2 pegmatite was identified as a potential source of pegmatite ore for Phase 1. The V1/V2 pegmatite bodies occur within the Uis pegmatite swarm and were exploited by the historic Uis Tin Mine. These bodies comprise the bulk of the historic tin ore reserves as defined by Steffen Robertson & Kirsten (“SRK”). In 1987 SRK defined economic ore reserves of 7.5 million tonnes for the V1/V2 pegmatites at a grade of 0.140% Sn. SRK identified a further 34 million tonnes of “long-term” reserves grading at 0.139% Sn for V1/V2.

1.4 GEOLOGY

The pegmatites at Uis are situated within the Pan-African collisional Damara Belt, where a number of roughly east-northeast trending pegmatite belts contain numerous rare-metal pegmatites hosting W, Nb, Ta, Be and Sn mineralisation. These rare-metal pegmatites appear to be confined to narrow regional belts of upper Damaran Supergroup metasediments preserved in grabens that have been active since Proterozoic times. The pegmatite belts of interest to the Project are the Cape-Cross – Uis Pegmatite Belt and the Nei-Neis – Kohero Pegmatite Belt.

The pegmatites found within ML134 were the target for mining at the former Uis Tin Mine. The mineralised pegmatites were discovered in 1911 and were intermittently worked by various owners until 1958, when the mine was bought by Imcor, who mined the deposit until closure in 1990.

Generally, the pegmatites have grain sizes of a few mm to decimeters, and cassiterite crystals range from fine-grained (<1 mm) to coarse (up to 5 cm) in size. Although most pegmatites are assumed to have a fairly consistent average tin grade, a number of pegmatites exhibit patches of coarser cassiterite, where tin grades are higher. The higher-grade tin mineralisation is usually associated with greisenisation and minor quartz-rich areas.

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Figure 1-2: V1/V2 pegmatite and the planned location of the pilot plant

1.4.1 MATERIAL DENSITY

The geological mapping programme did not include material density measurements and grade sampling and assays. Tonnage calculations should be based on an assumed relative density 2.66 t/m3 for both ore and waste material. The average uniform compressive strength (“UCS”) of the rock is 150 MPa.

1.5 MINING

It is assumed that mining will be open pit, with conventional truck and excavator mining methods, and a 10 m bench height (two 5 m loading flitches) for both the mineralised material and waste schist as per historic mining in the Project area.

The overall pit slopes of the historical mining excavations were investigated through digital measurements on the generated DTM, showing maximum slope angles ranging between 50 and 60 degrees. An overall pit slope angle of 55 degrees (crest-to-crest) was selected for design. Assuming that mining for Phase 1 will be conducted with relatively small mining equipment (i.e. excavators and articulated dump trucks) ramps are designed at a gradient of 12.5% and a width of 15m. The minimum mining width is assumed to be 20m.

Each of the pits contains two to three mining phases. The initial phase in each area targets a low overburden stripping ratio; subsequent phases have a higher stripping ratio.

The pit design for the V1 pegmatite contains 2 phases namely Phase 2 is essentially a deepening of the historical excavation and Phase 5 is a pushback to access ore at increasing depth as illustrated in Figure 1-3. The pit design for V2 contains 3 phases with Phase 1 and 3 targeting the surface outcrop of the pegmatite and Phase 4 serving as a pushback at a higher incremental stripping ratio as shown in Figure 1-4.

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Figure 1-3: Mine design for the V1 pegmatite body

Figure 1-4: Mine design for the V2 pegmatite body

2. DESCRIPTION OF SUPPLY

2.1 SCOPE OF WORK

All services shall be supplied in accordance with all legislative requirements of the Republic of Namibia, according to the Minerals (Prospecting and Mining) Act of 1992, the Minerals Policy, Mine Health and Safety Regulations (10th Draft) issued by the Ministry of Mines and Energy under section 138A of the Minerals (Prospecting and Mining) Act 33 of 1992 as amended, the Environmental Management Act 7 of 2007 and the Labour Act (Act 11 of 2007.

Mining operations will be carried out in accordance with all relevant acts and regulations, in particular the following:

Minerals (Prospecting and Mining) Act 33 of 1992 (MINING AND MINERALS)

Labour Act 2007

National Heritage Act, 2004

Nature Conservation Ordinance, 1975

Atmospheric Pollution Prevention Ordinance, 1976

Petroleum Products and Energy Act, 1990,

Water Act, 1956

Soil Conservation and Wildlife Conservation Act 2001

Forest Act, 2001

Hazardous Substances Ordinance, 1974

Explosives Act, 1956

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Details of this supply, mining and other specifics as well as schedules of tonnes (waste) and tonnes (ore) per area are contained in Annexure A (Mining Schedule).

Generally, the supply involves the loading and haulage of waste and ore material from the V1/V2 mining area to specific waste rock dump and stockpile locations in the project’s mining area. (Please consult the mine infrastructure layout around pit V1/V2 in Figure 2-1 on the next page). The supply includes the provision of support services to allow safe and efficient performance of the supply in accordance with this RFQ.

The supply, on a routine basis, requires the mining of selected ore zones, loading, hauling and stockpiling together with the waste stripping (topsoil, overburden) required to expose the ore.

Ore will be either direct tipped into the primary crusher bin or dumped on stockpiles. The service also includes ore re-handling loading ore material with a suitable front-end loader from the Run of Mine (“RoM”) stockpiles to the primary crusher.

The RoM stockpiles in the vicinity of the primary crusher will be demarcated by the client and must be utilized to stockpile ore mined by the contractor.

The scope also includes the removal of dry tailings material. Ore trucks that would have travelled with an empty load from the RoM pad to the pit area will haul in this case dry tailings material from the plant to the co-disposal waste rock dump areas.

The techniques to be utilized in the mining of open pit mining areas will be required to be developed by the Contractor but must be designed to ensure best mining practices. The client will demarcate the mining boundaries and provide the contractor with geotechnical slope designs at an appropriate time.

Figure 2-1: Proposed mine infrastructure around the V1/V2 pits

This scope of work to be carried out by the Contractor sets out standards that are to be maintained in the execution of the work and establishes the responsibilities of the Client, the Contractor and the Client relevant to the various matters to be performed under the Tender. In performing the work, the Contractor shall meet the following requirements and have due regard for the included guidelines.

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The Contractor acknowledges that he has made adequate allowance in his unit rates to accommodate all the requirements and guidelines set out in the scope of work. The Contractor’s work shall include but not be limited to the following activities in the mining area:

Cleaning and preparing the mining areas;

Stripping and placing of overburden on stockpiles and the shaping thereof;

Prevention of unnecessary contamination;

Loading and hauling of ore to a stockpile or directly into the tipping arrangement, when so instructed by the Client;

Creating and maintaining the ore stockpile at the designated area;

Supplying all equipment to perform the activities required;

In pit water handling;

Establishment, re-instalment and maintenance of access ramps and haul roads on site;

Creating and maintaining of clean and dirty water management systems, which include trenches berms and dam;

Maintenance of own equipment; and

Logging of mining data as required by the client for performance management

2.2 DESCRIPTION OF THE WORK

2.2.1 Hard waste (overburden) removal

The hard overburden and waste rock shall be mined separately from the ore and will be stockpiled on waste dumps that will be identified to the contractor. During the contract period of mining it is expected that the waste dumping sites will be within 500 m of the point at which the haul road exits the pit at the pit rim.

2.2.2 Ore handling and removal

Ore will be mined and stockpiled or tipped into the primary crusher. The Contractor will give due consideration to maximising extraction. The Client shall inspect all areas after the ore has been removed and the Contractor shall only fill these areas with other material after receiving written permission from the Client to do so.

The Contractor shall load and transport ore from the open pit workings to the processing facility. The maximum product size allowed at the processing facility will be 500 mm in any dimension. The management, operation and maintenance of the ore stockpile at the pit shall be the responsibility of the Contractor.

2.2.3 Infrastructure roadways and haul roads

The Contractor shall be responsible for the construction and maintenance of mine infrastructure roads, including storm water handling, and the ongoing and regular maintenance thereof. Also, the Contractor shall be responsible for the construction and maintenance of all haul roads planned by the Client or required by the Contractor, for the duration of the contract. Dust allaying is included.

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3. MINING AND PRODUCTION

3.1 MINING PRODUCTION SCHEDULING

The pit designs as shown in Figure 1-3 and Figure 1-4 above has been sequenced in order to generate a schedule producing 40,000 tonnes plant feed per month for the Phase 1 pilot plant. The mining production scheduling is set to begin on the 14th of January 2019 and site establishment will have to occur on or before the 7th of January 2019 in order to meet this schedule.

Mining from a single pit increases the production risk and does not allow for flexibility in terms of grade control. The nature of the V1/V2 pegmatite bodies allows for the development of two separate pits and production was modelled to balance mining between these two pits (V1/V2).

It is assumed that production within a single mining phase will proceed in a bench-by-bench fashion from top to bottom. While the opportunity may exist to split production between two or more levels within a phase, this flexibility was not allowed for resulting in a more conservative overburden stripping profile. The mining volumes are summarised per quarter in the next series of graphs.

Figure 3-1: Mining profile and stripping ratio of the mining production schedule

Figure 3-2: Sequencing of the mining phases in terms of ore and waste tonnes / volumes per phase

3.1.1 Mining equipment

The mining of the open pit is be carried out by the Contractor, and therefore the mining machinery that will be used for the operation will be determined by the Contractor. The equipment to be provided will include but will not be limited to:

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Overburden, waste and ore loading equipment including any re-handling of ore required from the ore stockpile to the primary crusher (the Contractor should allow for 80 per cent of ore to be re-handled)

Loading equipment for the dry tailings loading

Haul trucks for all material removed from the pit (not larger than 30t ADTs)

Dozers for in pit and waste dumps

Service and lube vehicles

Graders and rollers for haul road maintenance

Water bowsers

Supervisory vehicles for management and technical services

In pit dewatering pumps

The Contractor is to supply and maintain all equipment. Separately located fit for purpose workshop facilities to independently maintain heavy earth moving equipment and light vehicles will have to be erected by the Contractor. The Contractor will supply (container sides with roof) type workshops and the Client will demarcate an area for these facilities and supply water and electricity. The HME wash bay must be constructed by the Contractor with relevant hydrocarbon traps.

4. ENGINEERING AND INFRASTRUCTURE

The Contractor is required to design, supply, install, operate, maintain and remove all items of plant, machinery, equipment and infrastructure that he requires to meet and fulfil all of his requirements, generally as related in the scope of work, unless identified as being a specific exclusion or where provided for by the Client. This layout is subject to change.

4.1 SERVICES TO BE PROVIDED BY THE CLIENT

The following services are to be provided by the Client for the Contractor:

The Client shall appoint a Manager for the purposes contemplated in the Tender;

The Client will appoint a Surveyor who shall be responsible to the Client for conducting surveys carried out on volumes moved by the Contractor;

The Client or his Representative shall ensure the availability of sufficient survey services to enable the Contractor to set out the Works;

The Client will provide services to cover the geological, geotechnical, and appropriate mine planning. All other technical services that may be required by the Contractor are to be provided by the Contractor;

The Client will approve all mine planning including medium-term and short-term planning but not limited to design of the pit, overburden material dumps, roads, ramps, stockpiles and other site works;

The Client will supply a monthly production schedule; and

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The Client will be responsible for the maintenance of the geological model using a standard software format.

4.2 ORE SUPPLY REQUIREMENTS

The Contractor shall deliver to the nominated ore stockpile a monthly supply of ore, sufficient to allow the Client to meet his production targets. The amount of ore required each Month shall be determined by the Client and incorporated in the monthly production target. The Client reserves the right, subject to reasonable and adequate notice (not less than 4 weeks) being given, to require the Contractor to increase or decrease the rate of ore production by mobilising / standing down equipment.

4.3 PRODUCTION REQUIREMENTS AND PLANNING

The Contractor shall be responsible for planning, scheduling, organising and surveying its drilling, blasting, excavation and hauling activities so as always to meet the Client's and the Chief Inspector of Mines’ safety, health, environmental and production requirements. The Client will provide the contractor with the required tonnage parameters. The Contractor will prepare life of mine, five year and annual plans, which must be approved by the Client. The Contractors mining methods shall reflect the requirements for ore mining with maximum recovery and with minimum dilution of low grade or barren material.

4.3.1 Production requirements

The Client shall provide to the Contractor, his long-term mining schedules. The Client shall submit to the Contractor details of his proposed schedules and methods of working in the open pit area that shall be in accordance with the Client’s Mine plans. The Contractor, in conjunction with the Client, shall plan all required rehabilitation work for the opencast mining areas, where possible, concurrently with its mining operations, in accordance with the provisions of the EMPR. Before the commencement of each month the Client shall issue to the Contractor an ore and overburden production schedule indicating the areas to be mined for the next month and a forecast of the following month.

The Client reserves the right to alter this plan and schedule at any time with due notice. The Contractor shall mine ore and overburden in accordance with these monthly schedules.

Notwithstanding the Contractor's overall compliance with this Scope of Work, the Client may direct the Contractor to modify its operations within the limits of the plant available and approved by the Client to better achieve these objectives.

4.3.2 Monthly plan

The Contractor shall prepare a mining plan and schedule at least one week in advance of each monthly period, which must be approved by the Client. Such a mining plan will cover the mining area, and shall include:

Location and approximate dimension of the area to be mined.

Details of ore extraction sequence so as to meet the required production target.

Estimated volume / tonnage of topsoil, pre-stripping, overburden and Ore to be mined during the period.

Stockpile area designated for use.

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4.3.3 Quality control

The expected tonnage and grade from the opencast operation will be determined by the Client from the geological model and this expected Mine Production will be provided to the Contractor on a monthly basis, at an appropriate planning meeting.

The Client will carry out ore sampling to determine the head grade. Ore from the open pit operation is required to be sampled. This requirement must be included in the design of the ore feed system. In the event that there is a discrepancy of more than five (5) per cent below the expected bank cubic metres produced (in broken tonnes) and grade of this RoM ore, the Client and the Contractor shall meet to

determine the cause and any remedial measures to be implemented by the Contractor.

4.4 DRILLING

Not part of this contract.

4.5 BLASTING

Not part of this contract.

4.6 ORE HANDLING

4.6.1 Tramp iron

The Contractor shall have in place procedures for the early warning of the loss of "ground engaging tools" from its loading and hauling equipment and shall take all measures necessary to prevent the entry of such material into the Client's crushing plant.

In the event of blockages to the Client’s crusher including the feed bin and chute due to tramp iron entering the crusher feed material then the Contractor shall provide all labour and Plant required to clear the tramp material of any sort contained in the crusher feed material the Client may direct that the Contractor pay for the cost of repairs of this damage. Such repair costs shall constitute a debt due to the Client by the Contractor.

4.6.2 Maximum size of ore product

The size of ore mined shall be of a size to suit the haul trucks that the Contractor will use to transport the Ore to the plant, RoM tip and the crushing circuit. It shall be the Contractor's responsibility to carry out secondary breaking of all lumps greater than this size on the RoM stockpile. Direct tipping restrictions on the primary crusher are loads of 30t ADTs or smaller. It should be noted that there is no grizzly on the primary tip bin and boulders larger than 0.5m must be removed from RoM feed.

Oversize Material shall be sorted to designated areas for blasting/breakage as determined by the Client. Loss and dilution of crusher feed material shall be minimised.

4.7 STOCKPILES AND DUMPS

The Contractor shall be responsible for the maintenance of co-disposal waste dump, ore and all stockpiles as designated by the Client. The waste dump and top-soil dumps must be placed in areas as indicated by the Client

The dumping and forming of stockpiles and dumps shall be carried out in accordance with the requirements of the applicable Acts and with procedures laid down from time to time by the Client. The

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location of such stockpiles and dumps shall be approved by the Client. The Contractor shall supply, erect and maintain all signs and markers necessary for the clear marking of stockpiles and dumps.

4.8 HAUL ROADS AND RAMPS

The Contractor shall maintain all haul roads, in-pit roads and ramps to achieve the safe and efficient operation of its Plant. It is a requirement of the Tender that the Contractor be able to meet the production requirements of the Client in all weather conditions.

The Contractor shall upgrade and construct temporary haul roads and in-pit ramps as required to suit the scheduling of the Contractor's operations. The width and profile of temporary haul roads and ramps shall be adequate for the safe and efficient operation of the Contractor's equipment. Due allowance shall be made for controlling surface water so as to keep haul roads and ramps usable under all weather conditions and to prevent erosion of the roadway and surrounding terrain.

The Contractor shall install and maintain windrows and all haul roads and ramps. Reflecting markers at intervals of approximately 10 m shall be installed and maintained along the edges of all Surface haul roads and primary pit ramps. The Contractor shall provide, install and maintain adequate traffic control signs, traffic control bunds, a brake test ramp and other measures for the safe and efficient control and operation of its fleet.

The Contractor shall regularly clean all signs, signals and markers to ensure that they are visible and legible at all times. The Contractor shall maintain all haul roads and ramps in good repair and, without limiting the generality of the foregoing, all roads shall be regularly watered, graded and maintained so as to maintain cross slopes and cambers, remove spillage, fill in depressions and rutting as it occurs, and keep drains clear.

If in the opinion of the Client the construction and maintenance of any of the haul roads and ramps is not adequate for the safe and efficient operation of the Contractor's Plant, the Client may direct the Contractor to modify or upgrade the haul roads and ramps so as to achieve safe operation. This will include safety berms, adequate in width and height to safely protect the equipment.

4.9 DRAINAGE AND DEWATERING

In performing the Scope of Work, the Contractor shall meet the following requirements and have due regard for the following guidelines. The Contractor acknowledges that it has made adequate allowance in its unit rates to accommodate all the requirements and guidelines of this section of the Scope of Work. The Contractor shall divert all drainage channels and water courses with catch drains so as to prevent water flowing into the open pit area. The water shall be diverted to locations as directed by the Client to ensure that water runs into the major catchment drains.

The Contractor shall be responsible for the cleaning of these catch drains and any pre-existing catch drains for the duration of the scope of work. The Contractor shall excavate suitable sumps to collect all water including groundwater entering or draining into the pit together with storm water and Surface runoff into the pit. The Contractor shall be responsible for internal drainage within the open pit so as to ensure that water drains to the appropriate open pit de-watering sump. This will include but not be limited to, the upgrade of access ramps, installation and maintenance of culverts and sumps, and the installation and maintenance of any secondary pumping systems required to direct water to the main open pit de-watering sumps.

The Contractor shall be responsible for pumping out or otherwise removing from the open pit de-watering sump any storm water, surface run-off and groundwater which enters the pit from the walls or floor. The

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Contractor may disperse the water by using it for dust suppression or pumping it to a designated area or as otherwise directed by the Client.

4.10 DUST CONTROL

The Contractor shall ensure that dust suppression in all working areas, including access ramps, haul roads, ore and waste stockpile areas, access roads and plant areas is adequate at all times for safe and efficient conduct of the Scope of Work. If in the opinion of the Client, the dust levels are too high for safe operation the Client may direct that the Contractor modify or stop its operations to improve dust suppression or reduce dust generation.

The Contractor shall ensure that saline water is not sprayed onto vegetation areas, areas undergoing rehabilitation or areas or material designated for future rehabilitation.

4.11 LIGHTING

As the mining operation will be a 10-hour day shift operation no lightning facility will be placed around the loading areas in the pit and at the dumping site on the co-disposal waste rock dumps. The Client will provide lightning around the RoM pad and the primary crusher tipping bin.

4.12 COMMUNICATIONS

The Contractor shall provide the following communication facilities on site in the form of suitable radio sets fitted to:

All major Plant;

All site supervisor's vehicles;

Contractor's Site Offices;

Any other location deemed necessary by the Client, provided that where Supervisors or other persons cannot maintain contact by use of vehicle-mounted radios, hand-held portable radios will be used.

All radio sets shall be able to transmit and receive frequencies as assigned by the relevant authority.

4.13 SURVEY AND MEASUREMENT

4.13.1 Client's survey activities

The Client will be responsible for the following survey activities:

Month end survey verification for Contractor’s payment certificate;

Third party survey activities if and when required;

Survey record keeping on behalf of the Client;

Preparation of plans for the site.

4.13.2 Contractor's survey responsibilities

The Contractor may at his own discretion appoint a surveyor who shall have defined authority over, and responsibility for ensuring that the requirements of the Tender with respect to surveying are implemented and maintained.

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4.14 PROGRESS REPORTING

4.14.1 General

All reports shall be presented in a format to minimise the duplication of recording and reporting of data by the Client. The Client may direct the Contractor to modify its reporting procedures and formats to satisfy this requirement. Where the Client considers it an advantage, data shall be presented in a form suitable for direct down loading onto a personal computer or other appropriate work system.

4.14.2 Weekly reporting

Upon the expiration of each period of one (1) Week commencing at 06:00 hours on the first Monday after the Contractor receives Notice to Proceed, the Contactor shall prepare a Weekly progress report including, but not necessarily limited to, the following information:

A site safety report for the week, summarising meetings conducted, safety topics, maintenance of all safety devices, and Planned Task Observations (PTOs), as well as records of all safety training conducted for the period.

A progress report including planned and actual material quantities for the week, and accumulation for the month, for mining activities. Variations from the Client's monthly plan shall be identified and the implications of these variations on the overall schedule addressed;

Movement of RoM ore stockpiles during the week. This report shall be submitted no later than 10:00 on the Monday of each week.

4.14.3 Monthly reporting

Within two (2) working days following the end of the month the Contractor shall present to the Client a monthly report including, but not necessarily limited to, the following information:

A site safety report for the Month including a summary of all accidents and incidents and safety records, details of the nature and investigation of accidents resulting in lost time and man-hours lost and worked by classification. The report will include a summary of safety topics, safety meetings conducted, PTOs and maintenance conducted on all safety devices, as well as a record of all safety training conducted. Cumulative statistics shall also be presented for the year and the Tender;

A monthly report including planned and actual Material quantities for the Month and cumulative for the year and the Tender, for mining of Ore and waste activities. Variations shall be identified and the implications of these variations on the overall schedule addressed;

A Monthly report on the quality assurance plan for the Works including details of quality audits and management reviews, investigations of non-conformance of products or services with the Scope of Work and progress of corrective action being taken on such non-conformances or required as a result of audits by the Client.

4.2 COMMENCEMENT AND MOBILISATION

The commencement of this project is subject to the approval of AfriTin’s board. The timeframe envisaged can be summarized as follows:

Site establishment: On or before the 7th of Jan 2019

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Production start: On the 14th of Jan 2019

Contract period: 18 months (until 14th of Jul 2020) with a possibility of 12-month extension

5. PORTION OF THE SUPPLY TO BE PERFORMED BY OTHERS

The Contractor may not sub-contract any of his activities. The Contractor will not be required to undertake the following aspects of the project’s mining operations:

Drilling (performed by a third-party Contractor)

Blasting (performed by a third-party Contractor)

Crushing (performed by the Client)

Processing and beneficiation of ore (performed by the Client)

6. FACILITIES AND SERVICES TO BE PROVIDED BY THE MINE

6.1 THE MINE WILL PROVIDE THE FOLLOWING FACILITIES:

Non-potable water is available from the return water dam on site and may be drawn as required for use on dust suppression.

No charge will be made by the Client to the Contractor for reasonable consumption of non-potable water.

The Client shall provide a limited supply of potable water to the Contractor Yard facilities.

No charge will be made by the Client to the Contractor for reasonable consumption of potable water.

The Client shall provide a supply of electricity to the Contractor Yard facilities.

The Client will charge the Contractor at the ruling rates for electricity consumed by the Contractor as measured at the Contractor Yard.

The Client will demarcate stockpile and waste storage areas.

The Contractor will be responsible for the security of his equipment and personnel. The Client will apply access control in line with normal mining practices.

6.2 THE MINE WILL SUPPLY THE FOLLOWING SERVICES:

Approval of all mine design including but not limited to design of the pit, waste rock dumps, roads, ramps, stockpiles and other site supplies.

Monthly ore production schedule.

Control surveys sufficient to enable the Contractor to set out the supply.

Sufficient blasted material in order to enable the Contractor to set out the supply.

The drilling of all exploration boreholes, sampling and analysis of all samples taken. The drilling of all production and pre-split holes.

Supply and maintenance of the geological model (including material qualities)

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Emergency first aid in terms of paramedics on site.

The Contractors mining rates must be inclusive of diesel i.e. wet rates. The Client will supply the diesel and such costs will then be deducted monthly from the Contractor’s invoice.

The diesel may only be used for equipment and machines in use on site permanently. All light vehicles that leaves site must be fuelled externally.

The Client will manage the supply of the blasting service and explosives.

Free access to waste material handling facilities. The Contractor will adhere to the client’s standards and procedures for safe and responsible disposal of harmful waste.

7. FACILITIES AND SERVICES TO BE PROVIDED BY THE CONTRACTOR

7.1 CONTRACTORS ESTABLISHMENT

The following Contractor Yard facilities must be provided by the Contractor:

o Offices;

o Equipment workshops;

o Change houses;

o Wash bay, fuel & lubrication bay and tyre bay.

o All the facilities must be fit for purposes in order to perform the scope of work without any unnecessary delays.

The proposed Contractor Yard position is shown in Figure 2-1 on page 9.

During the contract period the Contractor shall be responsible for all other distribution, operation and maintenance of its power requirements in the Contractor Yard and will comply with all relevant statutes, by-laws, and regulations as may be applicable and to the satisfaction of the Client.

The Contractor shall provide, operate and maintain the non-potable water pumping, storage and reticulation facilities in the Contractor Yard as required to fulfil its obligations and commitments under all terms of this Quote.

On-site accommodation for Contractor’s employees will not be permitted. The Contractor must supply accommodation at Uis or at close-by villages or towns from the mine for his employees and is furthermore responsible to ensure that his employees do not squat on any land belonging to the Client.

The Contractor will take care of its own transport arrangements and will coincide with the Client’s shift system.

Proposed shift system:

o Mining: 1 x 10hr shift (07:00 – 17:00 day shift 6 times a week – Mon to Sat)

o RoM Re-handling: 2 x 10hr shift (07:00 – 17:00 day & 17:00 – 03:00 night shift 7 times a

week – Mon to Son)

o Tailings Removal: same as Mining above

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During the term of the contract, the Contractor shall submit to the Client detailed information and drawings of any alteration or addition to its establishment for his approval at least seven (7) days prior to commencing construction. No further buildings will be permitted on site without the prior written approval of the Client’s general manager.

The Contractor shall be responsible for maintaining its establishments in good condition – including high standards of cleanliness and safety.

7.2 REMOVAL OF CONTRACTOR’S ESTABLISHMENT

Upon completion or earlier termination of the agreement the Contractor shall remove all facilities, fixtures and fittings making up the Contractor Yard used in carrying out the supply and rehabilitate the site at the completion of the agreement.

7.3 CONTRACTOR’S EQUIPMENT AND SYSTEMS

The Contractor shall utilise mining equipment that comply with all the relevant mining legislation in terms of health and safety. All mining equipment must have air-conditioned cabs.

The Contractor shall ensure that all production be recorded in a system that will ensure traceability of material to its origin.

The Contractor shall maintain a bookkeeping system that will report fuel consumption per machine/equipment on a daily basis.

The Contractor must supply a fleet list (equipment list) to the Client.

The cycle time for each equipment type must be provided to the Client.

The Contractor must supply the daily or hourly rate of the equipment production.

8. HEALTH AND SAFETY

The health and safety performance is of critical priority to the Client. In performing the supply, the Contractor shall meet the requirements and have due regard for the guidelines set out in the Clients Mine contractor’s pack which will be provided at an appropriate time. The Contractor should make sufficient provision in its rates to accommodate a level of safety comparable with world best practices.

The Client shall appoint a Contract Owner as a single point of contact between the Contractor and the Client. With the guidance of this Contract Owner, the Contractor shall ensure he is familiar with the HSEC and operational requirements of the relevant rules, standards and procedures for the services to be supplied.

The Contractor will only appoint well trained staff as operators, labourers and artisans. The Contractor will provide the Client with documented proof of all training and qualifications. The Client requires all Contractors to undergo induction and pre-employment medical clearance prior to starting any work, at Contractors cost. The Contractor will submit the required the Codes of Practices to the Client for approval and the Contractor will ensure the strict adherence to the codes of practice.

Minimum employee PPE will be a hard hat, reflective shirt and safety boots to be supplied by Contractor.

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All mining LDVs will be fitted with a 3m whip areal flag while on site.

9. ENVIRONMENTAL MANAGEMENT

The Client reserves the right to impose all legal requirements on the Contractor as stipulated by the environmental impact assessment (EIA). The Contractor should for the purposes of this quotation assume best practices for environmental management.

The Contractor shall ensure that all rehabilitation is carried out concurrently with mining where possible. Areas unavailable for rehabilitation shall be defined, agreed and signed off between representatives duly authorized by the Client and the Contractor.

The Contractor shall control noise generation from its mining activities such that it complies with World best practices and the EIA. Operators should be afforded ergonomically suited cabins to reduce noise exposure.

The Contractor shall ensure that dust creation is limited through allowance of sufficient water carts that are operated on an agreed upon schedule.

The Contractor shall collect all waste oil, fuel, filters, containers and other services disposables arising from equipment servicing, in a leak-proof container and properly dispose of them in the prescribed mine waste areas. The Contractor shall record all waste volumes per category and present it to the Client management on a monthly basis. In the case of oil spillage, the Contractor shall immediately collect all contaminated soil and dispose of it according to the law, to the satisfaction of the Operations Manager.

The Contractor will comply with world best practise Waste Management Systems.

Chemical substances shall be disposed of in accordance with the applicable Material Data Safety Sheets. Care shall be taken to ensure that non-compatible dangerous goods are not combined. Waste bins shall be clearly labelled to indicate the class of chemicals being disposed of.

10. MANAGEMENT AND SUPERVISION

10.1 LEGAL APPOINTMENTS

The Client shall appoint the nominated employees as set forward by the Contractor to take responsibility as subordinate managers according to Namibian mining regulations. These managers will report to the Client’s Operations Manager on site. The Contractor will ensure that there is sufficient supervision on site at all times.

10.2 PRACTICAL ARRANGEMENTS

All practical and operational arrangements will be clearly communicated at an appropriate time before an agreement between the parties can be finalised. This will include:

Production Requirements

Ore Removal and Handling

Stockpiles and Dumps

Haul Roads and Ramps

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Drainage and Dewatering

Dust Control

Communications

Survey and Measurement

Progress Reporting

The fine details regarding above mentioned topics will be defined at a much higher level of accuracy once the final contract will be signed. For the purposes of this quotation the Contractor should make reasonable assumptions where information provided in this document is insufficient and state such assumptions clearly.

11. SITE CONDITIONS

In addition to examination of the Tender Documents, each Contractor will make whatever other arrangements are necessary to become fully informed regarding all existing and expected conditions and matters which could affect the performance of the Contract and especially the cost and time of performing any work. The Contractor should also satisfy itself of the local conditions and facilities including all laws, ordinances and regulations affecting the Tender and the works and satisfy itself that it has, or is able to obtain, the type of machinery, personnel, equipment, tools, materials, transportation and whatever else is necessary to complete performance of the Works for the Contract Sum.

The Client will make available personnel on site for a compulsory site visit to occur on the 19th of November 2018 at 11:00 on site. The purpose of the site visit will be to enable the Contractor to inspect the project site and to familiarise themselves with prevailing conditions. The Contractor may nominate representatives to attend the site visit at their own expense. Details of the visit can be queried at Mr R Schommarz.

Any failure to fully investigate the conditions associated with the project will not relieve the Contractor from responsibility for estimating properly the difficulty or cost of successfully performing the tender.

The Client does not take any responsibility for verbal statements made by its representatives during the site inspection and otherwise makes no warranty as to their accuracy or completeness. Contractors are to use in their evaluation of the project and the data contained in the Tender Documents, including any addenda and any other information given to all Contractors in the form of drawings, written statements or correspondence. If verbal statements are made during the tender period which the Contractor considers are important or have a bearing on their tender, it should request the Client to give confirmation in writing. Any such confirmation in writing will be furnished to all Contractors in the form of an addendum to the Tender Documents.

12. ENDING THE CONTRACT

12.1 A DEFAULT BY THE CONTRACTOR - MINOR BREACH

Where there is a dispute between the Client and Contractor in relation to whether the works have been carried out in accordance with this Contract but there has been no substantial breach of the Contract by the Contractor the Client, acting reasonably, and after giving the Contractor, notice of its intention to act under this clause, will give the Contractor the option to remedy the situation in a timely manner, and thereafter may undertake the works by engaging a suitably qualified employee of the Client or third party

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Contractor. The Client will be entitled to offset the reasonable costs incurred as a direct consequence of such work against any monies owing to the Contractor by the Client.

12.2 A DEFAULT BY THE CONTRACTOR - SUBSTANTIAL BREACH

If the Contractor is in substantial breach of the contract, the Client may give the Contractor written notice to show cause. Substantial breaches of the Contract include, but are not limited to:

Suspending the works under the contract, or any part of it, without reasonable cause;

Failure to carry out the works to accepted industry standards;

Failure to carry out the works regularly, diligently and safely;

Failure to provide evidence of insurance;

Failure to comply with a direction of the Client's representative;

Failure to achieve any Key Performance Indicators for two consecutive months without reasonable cause;

Failure to comply with any Legislative Requirements or with regard to occupational safety and health, the Client's occupational safety and health policies and procedures, or the current environmental management programme;

Knowingly providing documentary evidence containing an untrue statement;

Gives or offers any substantial gift whether by way of monies, goods or otherwise to any employee of the Client or if any employee of the Client has an undisclosed substantial interest in the Contractor's business of which the Contractor is aware and the existence of which the Contractor fails to disclose to the Client.

The Contractors and Client’s rights will be discussed in detail during contract negotiations and the consequences of ending the contract from any party.

13. QUOTATION

This is a schedule of rates contract subject to rise and fall. Contractors must submit prices in the form of tender by completing the Schedule of Rates in Appendix 1 for providing the works.

On the tender the following needs to appear:

The full name and principal business address of the Contractor;

If the Contractor is a company the name of the company and its directors and the address of its registered office, and if the company is a subsidiary, details of the company group structure and ultimate holding company of the Tenderer

The tender must be submitted electronically in PDF format to before 12:00 (local time) on the 26th November 2018 to the following e-mail address [email protected].

All information called for in the Schedule of Rates in Appendix 1 should be inserted in the respective places provided; and

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If the Contractor fails to fully disclose the identity of all participants in its tender and the nature of the Contractor’s relationship with them, the Client may at its option treat the tender as null and void.

Please note to include your Capability Statement as stipulated in section 1.1.

The Contractors mining rates must be inclusive of diesel i.e. wet rates. The Client will supply the diesel and such costs will then be deducted monthly from the Contractor’s invoice.

The Schedule of Rates in Appendix 1 consists of the following items:

Schedule A - Mobilisation, Establishment, and Demobilisation

o The Contractor has to submit the following rates for Mobilisation, Establishment, and Demobilisation. The Contractor has to agree to undertake Mobilisation on a cost-plus basis with the total sum in Schedule item A1 being the maximum amount payable by the Client before the contract commences and A2 being the maximum amount payable by the Client before the contract expires.

Schedule B - Load and Haul

o The Contractor has submitted rates for Load and Haul which incorporate any work required to facilitate the continued mining of the pit. This includes, but is not limited to:

Development of haul roads for in, and out of, pit expansions and waste dump extensions, including the mining and haulage from borrow pits.

Maintenance of all existing and developed access and haul roads on the minesite, waste dumps and Ore stockpile areas including grading and watering for dust control.

Construction of safety bund walls in, on, and around the pit and stockpiles.

Battering and contouring of waste dumps to the Client's design.

Dust suppression in all working areas.

Pit Floor levelling and maintenance. This is to include the importing of suitable sheeting material if deemed necessary.

Tip head maintenance.

The relocation of plant between working areas within a pit, or to and from the workshop.

Removal of rainwater and runoff from the pit.

ROM Stockpile Management.

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Figure 13-1 and Figure 13-2 depicts the pushback designs with bench toe elevations as tabulated in the Schedule of Rates in Appendix 1

Figure 13-1: V1 Pit - Pushback Designs with elevations and proposed pit exit

Figure 13-2: V2 Pit - Pushback Designs with elevations and proposed pit exit

Schedule C - Dayworks

o C1 - Daywork Equipment Rates: The Contractor has submitted the following list of equipment rates to be used, where appropriate, in calculating payment for variations outside the specifications. The rates include but are not limited to:

Wear and tear, repairs and maintenance;

Operators and attendants (e.g. spotters if required);

Consumables, including fuel, lubricants, spare parts and ground-engaging tools;

Fittings and attachments required for safe and efficient operation;

Travel, and standby time caused by maintenance, repairs and absences of operators;

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DOCUMENT NO. REVISION APPROVAL DATE PAGE ATN_Mining_RFQ_Version_C C 05.11.2018 Page 26 of 28

All operator labour rates including salaries, wages, overtime, premium payments, payroll tax, sick and holiday pay;

Supervisory and inspection staff costs; and

Profit, margins and mark-ups of any type.

o C2 – Monthly Fixed Cost: All monthly fixed incurred by the Contractor in a lump sum.

The rates tendered must be exclusive of VAT. The quotation must be signed by an authorised person of the company.

An appropriate rise and fall formula for this tender will be agreed upon with the successful Contractor during tender negotiations.

The tender will remain open for acceptance by the Client and may not be withdrawn and the tender prices will remain fixed for a period of not less than 60 days from the closing date. Thereafter any Contactor may withdraw its tender at any time and any Contactor being given consideration for acceptance will be given the opportunity to confirm the price basis of the Contactor before acceptance by the Client.

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DOCUMENT NO. REVISION APPROVAL DATE PAGE ATN_Mining_RFQ_Version_C C 05.11.2018 Page 27 of 28

APPPENDIX 1

Schedule of Rates

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AfriTin Mining LimitedUis Tin Project - V1/V2 Pit Contract Mining Tender

APPENDIX A - SCHEDULE OF RATES FOR MINING

SHEET 1: Schedule A1 - Mobilisation & Establishment

Contractor to fill in the yellow highlighted cells belowAdd rows if necessary in order to add more equipment to the list

Item

A1

A1.1Equipment Make Model Machine Hrs Unit Rate

Excavator 1 CAT 336D 0 Lump Sum 45,000NAD Haul Truck 1 Bell B30 E 5200 Lump Sum 35,000NAD Haul Truck 2 Bell B30 E 8500 Lump Sum 35,000NAD

insert rows as required in order to list all major items individually-NAD

A1.2Unit Rate

Lump Sum 70,000NAD Lump Sum 42,000NAD

Mobilisation and Establishment

Maintenance WorkshopAdministration & Ablution Facilities

Mobilisation and Establishment of all Mobile Plant

Sub-total Item A1.1

Mobilisation and Establishment of all Fixed FacilitiesFacility

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insert rows as required in order to list all major items individually-NAD

A1.3Unit Rate

Lump Sum 60,000NAD Lump Sum 45,000NAD

insert rows as required in order to list all major items individually-NAD

-NAD

Description

Sub-total Item A1.2

Mobilisation of Personnel

Sub-total Item A1.3

Staff

Sub-total Item A1

Wages

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AfriTin Mining LimitedUis Tin Project - V1/V2 Pit Contract Mining Tender

APPENDIX A - SCHEDULE OF RATES FOR MINING

SHEET 2: Schedule A2 - Demobilisation

Contractor to fill in the yellow highlighted cells belowAdd rows if necessary in order to add more equipment to the list

Item

A2

A2.1Equipment Make Unit Rate

Excavator 1 CAT Lump Sum 45,000NAD Haul Truck 1 CAT Lump Sum 35,000NAD Haul Truck 2 CAT Lump Sum 35,000NAD

insert rows as required in order to list all major items individually-NAD

A2.2Unit Rate

Lump Sum 70,000NAD Lump Sum 42,000NAD

Demobilisation

Demobilisation of all Mobile Plant

730C730C

Model336D

Sub-total Item A2.1

Demobilisation of all Fixed Facilities

Administration & Ablution Facilities

FacilityMaintenance Workshop

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insert rows as required in order to list all major items individually-NAD

A2.3Unit Rate

Lump Sum 60,000NAD Lump Sum 45,000NAD

insert rows as required in order to list all major items individually-NAD

-NAD

Sub-total Item A2.2

StaffWages

Demobilisation of PersonnelDescription

Sub-total Item A2

Sub-total Item A2.3

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AfriTin Mining LimitedUis Tin Project - V1/V2 Pit Contract Mining Tender

APPENDIX A - SCHEDULE OF RATES FOR MINING

SHEET 3: Schedule B - Load & Haul

Contractor to fill in the yellow highlighted cells below

Item

B1

Phase Bench Toe Elevation Ramp Exit Elevation Qunatity (bcm)B1.1 V1 - Phase 2 825 830 9,625 B1.2 V1 - Phase 2 815 830 44,625 B1.3 V1 - Phase 2 805 830 74,313 B1.4 V1 - Phase 2 795 830 10,134 B1.5 V1 - Phase 5 825 830 8,625 B1.6 V1 - Phase 5 815 830 - B1.7 V2 - Phase 1 875 875 7,625 B1.8 V2 - Phase 1 865 865 20,875 B1.9 V2 - Phase 1 855 855 30,938 B1.10 V2 - Phase 3 885 885 63 B1.11 V2 - Phase 3 875 875 28,500 B1.12 V2 - Phase 3 865 865 21,262 B1.13 V2 - Phase 4 895 895 - B1.14 V2 - Phase 4 885 885 - B1.15 V2 - Phase 4 875 875 1,875

258,459

B2.1B2.2

Phase Bench Toe Elevation Ramp Exit Elevation Qunatity (bcm)B3.1 V1 - Phase 2 825 830 30,125 B3.2 V1 - Phase 2 815 830 16,000 B3.3 V1 - Phase 2 805 830 4,375 B3.4 V1 - Phase 2 795 830 - B3.5 V1 - Phase 5 825 830 40,500 B3.6 V1 - Phase 5 815 830 81,991 B3.7 V2 - Phase 1 875 875 1,563 B3.8 V2 - Phase 1 865 865 7,250 B3.9 V2 - Phase 1 855 855 625 B3.10 V2 - Phase 3 885 885 9,875 B3.11 V2 - Phase 3 875 875 21,563 B3.12 V2 - Phase 3 865 865 3,375 B3.13 V2 - Phase 4 895 895 16,938 B3.14 V2 - Phase 4 885 885 59,750 B3.15 V2 - Phase 4 875 875 93,759

387,688

B4.1B4.2

B5.1B5.2

Rate of load and carry by FEL for 80 meters and dump Rate onlyRate of load and haul a distance of more than 80 meters up to 200 meters Rate only

B5 Rehandle ore from the intermediate or RoM ore stockpiles to the primary crusher bin

Rate onlyRate per 10 meters vertical excess Rate onlyRate per 100 meters horizontal excess

B4 Overhaul of waste material to the co-disposal waste rock dump more than a haul distance of 1000 meters from the pit exit

-NAD

-NAD -NAD

Sub-total Item B3-NAD

-NAD -NAD

-NAD -NAD

-NAD -NAD

-NAD -NAD

-NAD -NAD

-NAD -NAD

Total (NAD)

B3 Excavate, load and haul free dig or blasted waste material to the co-disposal waste rock dump with a lead of no more than 1000 meters from the pit exit

Rate per 100 meters horizontal excess Rate onlyRate per 10 meters vertical excess Rate only

Rate (NAD/bcm)

-NAD

B2 Overhaul ore to stockpiles or to dumps more than a haul distance of 1000 meters from the pit exit

-NAD -NAD

Sub-total Item B1-NAD

-NAD -NAD

-NAD -NAD

-NAD -NAD

-NAD -NAD

-NAD

-NAD -NAD

The Contractors mining rates must be inclusive of diesel i.e. wet rates. The Client will supply the diesel and such costs will then be deducted monthly from the Contractor’s invoice.

Excavate, load, haul and dump blasted ore material to the RoM stockpiles at the process plant or intermediate RoM with a lead of no more than 1000 meters from the pit exit. On the return leg dry tailings material must be loaded at the processing plant and be dumped at the co-disposal waste rock dump

Rate (NAD/bcm) Total (NAD)

-NAD

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B5.3 Rate onlyRate per 100 meters of haul distance over and above the allowed in B5.2

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AfriTin Mining LimitedUis Tin Project - V1/V2 Pit Contract Mining Tender

APPENDIX A - SCHEDULE OF RATES FOR MINING

SHEET 4: Schedule C - Dayworks & Fixed Costs

Contractor to fill in the yellow highlighted cells belowAdd rows if necessary in order to add more equipment to the list

Item

C1

C1.1Equipment Make Model Machine Hrs Unit Rate

Excavator 1 CAT 336D 0 NAD/hr 1,200NAD Haul Truck 1 Bell B30 E 5200 NAD/hr 800NAD Haul Truck 2 Bell B30 E 8500 NAD/hr 800NAD

NAD/hrNAD/hrNAD/hrNAD/hrNAD/hrNAD/hrNAD/hrNAD/hrNAD/hrNAD/hrNAD/hrNAD/hrNAD/hrNAD/hrNAD/hrNAD/hrNAD/hrNAD/hr

insert rows as required in order to list all major items individually

C2

Unit RateLump Sum 900NAD

The Contractors mining rates must be inclusive of diesel i.e. wet rates. The Client will supply the diesel and such costs will then be deducted monthly from the Contractor’s invoice.

Monthly Fixed Costs

DescriptionMonthly Fixed Costs

Dayworks

Daywork Rates of all Mobile Plant