Select a product line:
![Anticorrosive coatings](/gfx/izostal2/_thumbs/en/corekategorie/136/iz_antyk,mn184GejllrYo7DjVJ2o.jpg)
Anticorrosive coatings
![Steel pipes](/gfx/izostal2/_thumbs/en/corekategorie/152/r_stalowe,mn184GejllrYo7DjVJ2o.jpg)
Steel pipes
![Metallurgical products](/gfx/izostal2/_thumbs/en/corekategorie/141/wyroby_hutnicze1,mn184GejllrYo7DjVJ2o.jpg)
Metallurgical products
General Terms of Sale
Current reports A A A
Conclusion of a Framework Agreement with Gaz-System S.A. for the supply of pipes for investment tasks carried out by O.G.P. Gaz-System S.A. - Parts 1, 2, 3 and 4.
Report no.: 24/2022
Legal basis: Art. 17 Clause 1 MAR - confidential information.
CONTENT OF REPORT:
The Management Board of Izostal S.A. (Company, Economic Operator) in reference to current report No. 23/2022 of 24 August 2022 announces that on 30 September 2022, it became aware of the second-party signing of the Framework Agreement (Agreement) with Operator Gazociągów Przesyłowych Gaz-System S.A. with its registered office in Warsaw (Contracting Authority), with regard to the supply of pipes for investment tasks carried out by O.G.P. Gaz-System S.A. - Parts No. 1, 2, 3 and 4.
The Framework Agreement was concluded as a result of a public open tender procedure for the conclusion of the Framework Agreement entitled: "Proceedings for the conclusion of framework agreements for the supply of steel pipes for investment tasks carried out by Operator Gazociągów Przesyłowych GAZ-SYSTEM S.A.", with number ZP/2021/12/0129/PZ, for parts No. 1, 2, 3 and 4. This Agreement sets out the terms and conditions for the award and performance of Partial Contracts that may be entered into by the Contracting Authority during the term of the Framework Agreement. The conclusion of the Framework Agreement does not oblige, but merely entitles the Contracting Authority to invite tenders for the Execution Proceedings. Under the Framework Agreement, the Contracting Authority will conduct any number of Executive Proceedings. The Contracting Authority will, on a case-by-case basis, invite all Economic Operators with whom it has entered into a Framework Agreement to submit bids in the Executive Proceedings.
The following criteria will be used by the Contracting Authority to select the most advantageous tender: "Total gross bid price" - weight of 95% and "Product origin" - weight of 5%.
The Agreement provides for the Contracting Authority to award Partial Contracts to the Company as one of the Economic Operators:
• for Lot 1: for the supply of brand new, externally coated and internally painted (optionally laminated) steel pipes with a diameter of DN1000;
• for Lot 2: for the supply of brand new, externally coated and internally painted (optionally laminated) steel pipes with a diameter of DN700;
• for Lot 3: for the supply of brand new, externally coated and internally painted (optionally laminated) steel pipes with a diameter of DN500;
• for Lot 4: for the supply of brand new, externally coated (optionally laminated) casing pipes with diameters from DN700 to DN1400.
The individual Partial Contracts will be concluded separately as the target result of the Executive Proceedings.
The Framework Agreement is concluded for a period of 4 years, starting from the date of its signature by both Parties. The parties to the Framework Agreement are entitled to conclude Partial Contracts, the term of which extends beyond the duration of the Framework Agreement, provided that the Partial Contract is signed with the Economic Operator within a period of 4 years from the signing of the Framework Agreement.
The total remuneration earmarked for the execution of the Partial Contracts under the Framework Agreement will not exceed PLN 1,778,672,719.00 net, which is PLN 2,187,767,444.37 gross.
Under the Framework Agreement, the Contracting Authority envisages the supply of pipes, with a total length of approximately 791 km, for investment tasks carried out by O.G.P. Gaz-System S.A.
The Economic Operator shall provide the Contracting Authority with a quality guarantee and warranty for defects for the goods supplied under a given lot for a period of 36 months, calculated from the date on which the Parties sign the lot acceptance certificate without any objections from the Contracting Authority.
The Agreement contains the following relevant provisions regarding the possible imposition of contractual penalties:
1. The Contracting Authority shall be entitled to charge the Economic Operator a contractual penalty in the following cases and amounts:
1) for a delay not exceeding 30 days in the completion of a Task (if Tasks were provided for in the Partial Contract) or the delivery of Pipes (if no Tasks were provided for in the Partial Contract) - in the amount of 0.2% of the Economic Operator's net remuneration for the completion of the Task or the completion of the Partial Contract, respectively, for each day of delay,
2) for a delay exceeding 30 days in the completion of a Task (if Tasks were provided for in the Partial Contract) or the delivery of Pipes (if no Tasks were provided for in the Partial Contract) - in the amount of 0.3% of the Economic Operator's net remuneration for the completion of the Task or the completion of the Partial Contract, respectively, for each day of delay above 30 days,
3) for a delay in removal of identified defects, during the period of quality guarantee or warranty for defects, in the amount of 0.05% of the net remuneration for the completion of the Task (in the subject of which a defect occurred during the aforementioned period - if any Tasks are provided for) or Partial Contract, respectively, for each day of delay,
4) for an actual delivered share of products originating from Member States of the European Union, countries with which the European Union has concluded agreements on equal treatment of entrepreneurs, or countries to which the provisions of Directive 2014/25/EU apply by virtue of a Council decision, lower than that indicated in the bid in the Executive Procedure as Criterion P, in the amount of 7.5% of the Economic Operator's net remuneration referred to in the Partial Contract,
5) for withdrawal by the Contracting Authority or the Economic Operator from the Partial Contract for reasons attributable to the Economic Operator - in the amount of 20% of the Economic Operator's net remuneration referred to in the Partial Contract.
2. The total amount of liquidated damages charged to the Economic Operator is limited to 20% of the net contractual remuneration of the Partial Contract.
The Economic Operator shall, prior to the date of conclusion of the Partial Contract, provide a performance bond in the amount of 5% of the gross remuneration of the Partial Contract.
The other terms of the Agreement do not deviate from the standard terms used for this type of agreements.
The Management Board of the Company considers the described information to be material due to the high value of the Framework Agreement. The performance of the Partial Contracts concluded under this Framework Agreement may have a significant impact on the Company's revenues.
SIGNATURES OF PERSONS REPRESENTING THE COMPANY:
Management Board President, Marek Mazurek 2022-09-30
Management Board Vice President, Michał Pietrek 2022-09-30
INFORMATION ON THE ENTITY:
Full name of the issuer: IZOSTAL SPÓŁKA AKCYJNA
Abbreviated name of the issuer: IZOSTAL S.A
Sector based on the classification of Warsaw Stock Exchange: Other industry
Address: 47-113 Kolonowskie Opolska 29
Telephone: (77) 405 65 00
Fax: (77) 405 65 01
e-mail:info@izostal.com.pl
www.izostal.com.pl
VAT No. [NIP]:756-00-10-641
Statistical No. [REGON]: 530884678