Current report no 48 / 2016

Construction of the new combined heat and power plant in Vilnius - Lot1 – decision on choosing the bid of Budimex SA

The Management Board of Budimex SA informs that on 12 July 2016 the Consortium consisting of Steinmüller Babcock Environment GmbH (leader of the consortium with 39.26% of the participation shares), Budimex SA (partner of the consortium with 48.46% of the participation shares) and UAB Kauno dujotiekio statyba (partner of the consortium with 12.28% of the participation shares) was informed by Verslo Aptarnavimo Centras UAB, the entity acting on the behalf of the Ordering Party - JSC "Vilniaus kogeneracine jegaine", that the consortium was chosen to build a new combined heat and power plant in Vilnius - Lot1 - Construction of a waste-fired CHP plant (steam grate boiler, steam turbo-generators for the waste boiler and the biomass-fired boiler, exhaust gas cleaning system) and to build the CHP plant aid systems. Bid value: EUR 178,290,983 net.
Works commencement date: max. 9 months from the date of signing the contract, once the Ordering Party issues the works commencement order.
Works completion date: 32 months from the date of commencing the works.
Guarantee period:
- 24 months - base quality guarantee and warranty period,
- 60 months - extended quality guarantee period,
- 10 years - quality warranty on hidden defects,
- 20 years - quality warranty on deliberately hidden defects.
Financial terms and conditions:
Advance payment: 10% of net contract value.
Payment terms:
- 30 days from the receipt of a VAT invoice by the Ordering Party - for the advance payment,
- 28 days from the receipt of a VAT invoice by the Ordering Party - for the Interim Payment Certificate,
- 56 days from the receipt of a VAT invoice by the Ordering Party - for the Final Payment Certificate.
Bank performance bond: 10% of net contract value.
Maximum contractual penalties payable by the Contractor: 15% of net contract value,
The Ordering Party reserves the right to pursue damages exceeding the amount of contractual penalties.
The total liability of the Contractor to the Ordering Party is limited to 20% of net contract value.
The contract is concluded under the Lithuanian law.
The value of the bid exceeds 1.5% of the revenues from sale of the Budimex Group for the previous financial year.