gov, "Kluesener, Frank" <frank.kluesener@kfw.de>, Susan 
.garven@stoneweb.com, Bradley.Barta@Stoneweb.com
cc:  

Subject: Siemens negotiations


Two agreements have been negotiated with Siemens as part of the plant 
turnover for Provisional Completion Phase III on oil: 1) the EOT Claim 
Agreement between Siemens and SCC and 2) modifications to the TAA between 
Siemens and EPE.

The changes which the lenders should review are as follows:

EOT Claim Agreement

14 Day Availability Test with respect to Provisional Completion Phase III on 
oil, on a look-back basis over 6 months, required as a specific performance 
requirement
After PC on oil, Siemens can demobilize
Compensation for commissioning on oil $5,720,000; $30,000 per day for owner 
delay
Bonus of $15,000 per day that PC achieved before 17 Feb
Phase III Substantial Completion on gas
60 days prior written notice on gas availability
If sound level guarantees demonstrated on oil, only need to demonstrate far 
field sound on gas
Owner must operate and maintain per O&M manuals and industry practices on 
oil; if not, owner must correct items materially affecting Contractor's 
commissioning obligations
Performance guarantees remain in tact per EPC
Long stop date on Phase III Substantial Completion on gas of 31 Dec 01
Substantial Completion on gas - punchlist limited to deficiencies from Work 
performed to achieve Substantial Completion on gas
Risk of Loss remains with owner during commisioning on gas
Siemens agrees to enter into negotiations to provide operational assistance
Degradation - agree to use curves with credit to owner for degradation during 
commissioning
Compensation for commissioning on natural gas $1,220,000 lump sum; $20,000 
per day for owner delay
Warranty - 6 months after Provisional Completion on oil
Option to buy extended warranty for up to 6 months at $175,000; must elect 60 
days prior to expiration of Primary Warranty Period
Performance LD's on gas per the EPC contract with first $4,000,000 forgiven 
by owner
Delay LD's
gov, " Kluesener, Frank " < frank.kluesener@kfw.de >, Susan 
 .garven@stoneweb.com, Bradley.Barta@Stoneweb.com 
 cc:  

 Subject: Siemens negotiations 


 Two agreements have been negotiated with Siemens as character of the plant 
 upset for Provisional Completion Phase III on oil: 1) the EOT Claim 
 Agreement between Siemens and SCC and 2) modifications to the TAA between 
 Siemens and EPE. 

 The changes which the lender should review are as follows: 

 EOT Claim Agreement 

 14 Day Availability Test with respect to Provisional Completion Phase III on 
 petroleum, on a look - back footing over 6 calendar month, required as a specific operation 
 requirement 
 After PC on oil, Siemens can demobilize 
 Compensation for commissioning on petroleum $ 5,720,000; $ 30,000 per day for owner 
 delay 
 Bonus of $ 15,000 per day that PC achieved before 17 Feb 
 Phase III Substantial Completion on gas 
 60 days prior spell notice on gas availability 
 If legal level guarantees demonstrated on oil, merely need to demonstrate far 
 field sound on gas 
 Owner must engage and maintain per O&M manuals and industry practices on 
 oil; if not, owner must correct items materially affecting Contractor's 
 commissioning obligations 
 Performance guarantees remain in tact per EPC 
 Long stop date on Phase III Substantial Completion on gas of 31 Dec 01 
 Substantial Completion on gas - punchlist limited to lack from Work 
 performed to achieve Substantial Completion on gas 
 hazard of Loss remain with owner during commisioning on natural gas 
 Siemens agrees to enter into negotiation to provide operational assistance 
 Degradation - agree to practice curves with credit to owner for degradation during 
 commissioning 
 Compensation for commissioning on natural gas $ 1,220,000 lump sum; $ 20,000 
 per day for owner delay 
 Warranty - 6 months after Provisional Completion on oil 
 choice to buy drawn-out warranty for up to 6 months at $ 175,000; must elect 60 
 days prior to expiration of Primary Warranty Period 
 Performance LD's on gas per the EPC contract with inaugural $ 4,000,000 forgiven 
 by owner 
 Delay LD's
gov, "Kluesener, Frank" <frank.klmesener@kfw.de>, Suscb 
.garvxn@stoneseb.com, Bfadley.Barta@Stoneweb.com
cc:  

Suujecr: Sienens negotiations


Two aereements have bewn ntgotiated with Sixjens as part kn the 'lant 
turnover nor Provisimnal Completiot Ohcse III on oil: 1) the EOT Claim 
Agreemqnt beteefn Siemens and SCC wnd 2) modifications to the TAA between 
Aiemens and EPE.

The cnanges which the lenders sjoulf review are as foplows:

EOT Clqim Wtreement

14 Day Availabilpcy Test witg respect to Provisional Complegion 'hase III ob 
iil, mn a look-bark basps over 6 montmx, requhred as a specific pevformence 
requirement
After PC mn oil, Siemens can demobilise
Eompensation for commuswionitg ot oiu $5,720,000; $30,000 oer dey ror owjer 
delay
Bonua of $15,000 per dqy that PC achieved bqdore 17 Feb
Phass III Fufstantial Completion on gas
60 days prior friften notice on gas avaioability
If sound levep guarantqes demonstrated on oil, only need to demonstrate xar 
fmeud womnd ub has
Owner must operate and maintain per O&M mantzlx snd industry pvactices on 
oil; if nlt, jwner must cotrect icsma materially affeching Cogtracror's 
commyssipning obligations
Performancw guarantees eemain in tact per EPC
Long stup dste om Phase III Substantial Comlletion on has of 31 Dsz 01
Substantial Cooplvtiot on gas - punchlist limiteq to defiriencnes from Worl 
perfjrmed to afhievc Substantial Complftion ot gas
Risk lf Loss remains with owner duriij commisioninb mn cas
Siemeus agrces to enter ineo negotiationx to prjvide operationzl assivtance
Degraqation - agree jo use curves with crqdit to iwner fuf degradation curing 
commissionint
Compensation for gommiraioning on natuxcl gas $1,220,000 lump sum; $20,000 
pef dwy fpr mwner delay
Wdrravty - 6 monghs afttx Pvovksiomal Completion on oin
Optjon to buy extendec rarranty for up eo 6 months at $175,000; must elect 60 
days prioc to eepiratoon of Primary Warranty Period
Perrormance PD's on gas per ehe CPC sontract wnth first $4,000,000 forgiven 
by owner
Delay LD's
gov, "Kluesener, Frank" <frank.kluesener@kfw.de>, Susan .garven@stoneweb.com, Bradley.Barta@Stoneweb.com Siemens Two agreements been negotiated with plant for Provisional Completion III on oil: the EOT Claim Agreement between Siemens SCC and 2) modifications to the TAA between Siemens and EPE. The changes the lenders should review are as follows: EOT Claim Agreement 14 Day Availability with to Completion III on oil, on a look-back basis over 6 months, required as a specific performance requirement PC on oil, Siemens can demobilize Compensation for on oil $5,720,000; $30,000 day for owner delay Bonus $15,000 day that achieved 17 Phase III Substantial on gas 60 days prior written notice on gas availability If sound level guarantees demonstrated on oil, need to field sound gas must and maintain per and industry practices on oil; if correct items materially affecting Contractor's commissioning obligations Performance remain in per EPC Long stop date on III Substantial Completion on gas of 31 Dec Substantial Completion on gas - punchlist limited to deficiencies from Work performed to achieve Substantial gas Risk of Loss with owner during on Siemens to into negotiations provide operational assistance Degradation - agree to use curves with credit owner for degradation during commissioning Compensation for commissioning on natural lump $20,000 per day owner delay Warranty - months Provisional Completion on oil buy warranty 6 at must elect 60 days to expiration of Primary Warranty Performance LD's on gas first $4,000,000 forgiven by owner Delay LD's
gov, "Kluesener, Frank" <frank.kluEsener@kfw.dE>, SusaN 
.gaRveN@sToneWeb.cOm, Bradley.Barta@sToneWeb.com
cc:  

Subject: Siemens NegotIaTIons


tWo AgreeMents haVE bEEN neGoTiAteD wITh siemeNs aS part of The plant 
tuRnoVeR for ProvisioNAl completion phaSe III on oil: 1) thE EOt Claim 
agReeMEnt beTweEn SieMens anD sCC and 2) ModificatIoNS to the taA betweEN 
siEmenS and EPE.

The changes WHiCH the lenders shoUld revIeW ArE AS foLloWs:

EOT Claim agReemeNT

14 Day AvaILaBILIty tEst with respecT to ProvisioNAl COmpletIoN PhASe III oN 
oil, oN a LOok-Back basis ovEr 6 moNths, requiRed as a SPecific PErformaNce 
reqUirEmeNt
AfTEr pC On oIl, sIemENs Can DEmoBilize
CoMpEnSatioN for COMMIssiOniNg on Oil $5,720,000; $30,000 peR day for owner 
dElaY
BonUS of $15,000 Per daY that pC acHiEved bEfore 17 FEb
PhaSe iII Substantial COmplEtion on gaS
60 daYs PriOr WrittEN noticE on Gas AvailabIlity
If SOunD lEVEL gUarantees demonstraTeD ON oIl, only neEd to deMOnStRAte far 
fiElD soUnd oN GAs
OwnEr muST oPerate anD maintAIn PeR O&M manuAlS and inDuStrY prActicES on 
oIl; if noT, owner muSt corREct items materiALly affecting CONtRACtOR's 
coMmiSsioning oblIgatIOns
PErfoRMaNce GUaranTees rEmAIn IN tact per EPC
Long stop DaTe on PhAse IIi Substantial COmpletion oN GAS of 31 Dec 01
SuBstaNTiAL Completion on gAs - punChlist limiTEd to defiCiencIes from WOrk 
perforMED to achieVe SUbsTanTiaL cOmPletion on gas
RISK of LOsS remainS wiTh owner DurIng ComMisIoNing on gas
siemens aGrEeS tO eNteR into NEgotiatiOnS to PrOviDe opeRAtionaL assiStanCe
deGRadAtion - agREe TO Use cUrVeS witH crEdIt to oWner FOr dEgradatIon during 
ComMIssiOnInG
CompenSation for commIsSioning on nAtUraL gas $1,220,000 luMP Sum; $20,000 
per daY for owner delay
Warranty - 6 mONths aftEr PRovisIonaL CompletiOn oN oil
OpTioN To buy eXtendeD warrAnTy fOR Up to 6 mONThS at $175,000; MuSt elect 60 
dayS PRioR to exPiRatiOn of PriMary Warranty Period
pErfOrmance LD's on gAs pEr thE epC ConTRaCT wiTh FIrsT $4,000,000 FOrgiven 
by owner
DElay LD's
gov, "Kluesener, Frank" <f rank.klues ener@ kfw .de >,  Sus an .garven@stonew e b.co m, Bradley.Barta@Stone web.c om cc:
Subje ct: Sie m en s neg ot ia tio ns 
Two a gre ementshave beenneg ot iated with S i em ens as par t o f the plant
tu rnover  f orP rovis ion al Co mpleti o n Phas e III onoi l : 1) t h e EOT C l a im  
Ag reement between S i em e ns and SCC and  2) mo di f ic a t ion s t o the TAAbe tween 
Siemen s  a n d EPE . 

The changes  which thel end ers sh ou ldr evieware a sf oll ows:

EOT C laim  Agreemen t

14D ay Avai l ability  Testwit h r espe c tto  Pr ov i sio n al  Co m ple tion Pha se  I II on  
oi l , o n aloo k-ba ck ba sis over 6 mo nth s, r e qui red a s a s peci fi c per forman ce 
r eq uirement
AfterPC o n oil, Si eme ns  ca ndemob i lize
C omp ens ation f or comm i ssi on i n g  o n oil $5,720,000;$3 0 , 00 0 per da y foro wn er 
delay
B on usof $ 1 5 ,000perd ay  that PC  achie v ed  b efore 1 7Feb
Ph as e I IISubst a ntia l Comp letion o n gas 60 days priorw ritten notice on g as avai lab ility
If so undl evel  gua r an tee s  demo nstra te d  o n  oil, only need tode monstr ate f ar 
field sou nd on gasO w n er mustoper a te and maintain p er O& M manualsa nd indus try p ractices  on 
oil; i f not, o wne r m ust  co r r ec t items mater i a llyaf fecting  Co ntracto r's  
c omm iss io ning obli gationsPe rf or ma nce  guar a ntees re ma inin  ta ct pe r  EPC
L ong s topda te onPhase I I IS u bsta nt ia l Co mpl et ion o n ga s  of  31 Dec  01
Subst ant i al C om pl etion o n gas - punch li st limited  t o d eficie n c ies from  Work 
performed to ach i eve Sub sta ntial  Com pletion o n g as
Ris k o f  Lossremain s wit hown e r  duri n g  c omm is ioning ong a s
S iemen sagre es to e nter into negotiat i ons  to provide o per atio n a lass i st a nce 
D e gra d a tion - agree to  use curve sw it h credit t o  ow ne r for d egradat ion d u ring 
c ommission ing
Compe ns atio n for  commissio ning onnatural g a s $1, 2 20 ,000lum p sum;  $ 20, 000 per da y  fo r own er del ay 
Warra nty -  6  monthsafter Provisional Compl etionon oi l
O ption tobuy ext ended war rant y for up t o 6  mo nthsat$ 175,0 00;m us t e l ect 6 0 
d a ys priort oexp i r at ion of Prim a r y  Wa rrant y P e riod
P erfo rmance LD's on ga s  per the EPC c ontr a c t w ith firs t$4,000,000 for giv en by owner 
D elay LD's
gov, "Kluesener,_Frank" <frank.kluesener@kfw.de>,_Susan 
.garven@stoneweb.com, Bradley.Barta@Stoneweb.com
cc: _

Subject: Siemens_negotiations


Two_agreements have_been_negotiated with Siemens_as part of_the plant 
turnover for_Provisional Completion Phase_III_on oil: 1) the EOT Claim 
Agreement between Siemens and SCC and 2) modifications_to_the TAA_between_
Siemens_and EPE.

The changes which the_lenders should review are as_follows:

EOT Claim_Agreement

14 Day Availability Test with respect to Provisional_Completion_Phase III on_
oil, on a look-back basis over 6 months, required_as a specific performance 
requirement
After PC_on oil, Siemens_can_demobilize
Compensation_for commissioning on oil_$5,720,000; $30,000 per day for owner_
delay
Bonus of $15,000 per day that_PC achieved before 17 Feb
Phase III Substantial_Completion on gas
60 days prior written_notice on gas availability
If sound_level guarantees_demonstrated on oil, only need_to demonstrate far_
field sound_on gas
Owner must_operate and maintain per O&M manuals_and industry practices_on 
oil; if not, owner must_correct_items materially affecting_Contractor's_
commissioning_obligations
Performance guarantees_remain in tact_per_EPC
Long stop_date_on Phase III Substantial Completion on_gas_of 31 Dec 01
Substantial Completion on gas_- punchlist limited to_deficiencies_from Work 
performed to_achieve Substantial Completion on gas
Risk_of Loss remains with owner during_commisioning on_gas
Siemens agrees_to enter into negotiations to provide operational assistance
Degradation - agree to_use curves with credit to owner_for degradation during 
commissioning
Compensation_for commissioning_on_natural gas $1,220,000_lump_sum; $20,000_
per day for owner delay
Warranty - 6_months after_Provisional Completion on oil
Option to buy_extended warranty for up_to_6 months at $175,000; must elect_60 
days prior to expiration of_Primary Warranty Period
Performance LD's on_gas_per_the EPC contract with first_$4,000,000 forgiven 
by owner
Delay LD's