EXHIBIT 10.137 ENGINEERING, PROCUREMENT AND CONSTRUCTION AGREEMENTEngineering Procurement and Construction Contract |
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PUBLIC SERVICE CO OF NEW MEXICO | PHELPS DODGE ENERGY SERVICES, LLC | PNMR DEVELOPMENT AND MANAGEMENT CORPORATION, | TUCSON ELECTRIC POWER COMPANY, | FLUOR ENTERPRISES, INC.. RealDealDocs™ contains millions of easily searchable legal documents and clauses from top law firms. Search for free - click here. |
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EXHIBIT 10.137
[*] Indicates that the confidential portion has been omitted from this filed exhibit and filed separately with the Securities and Exchange Commission
ENGINEERING, PROCUREMENT AND CONSTRUCTION AGREEMENT FOR
THE LUNA ENERGY FACILITY
BY AND AMONG
PHELPS DODGE ENERGY SERVICES, LLC
PNMR DEVELOPMENT AND MANAGEMENT CORPORATION,
TUCSON ELECTRIC POWER COMPANY,
AND
FLUOR ENTERPRISES, INC.
DATED AS OF FEBRUARY 24, 2005
ENGINEERING,
PROCUREMENT AND CONSTRUCTION AGREEMENT
TABLE OF CONTENTS
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Page |
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DEFINITIONS |
1 |
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1.1 |
"Affiliate" |
1 |
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1.2 |
"Applicable Codes and Standards" |
1 |
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1.3 |
"Applicable Law" |
1 |
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1.4 |
"Business Day" |
1 |
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1.5 |
"Change Order" |
2 |
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1.6 |
"Contamination" |
2 |
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1.7 |
"Contract Completion Date" |
2 |
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1.8 |
"Contract Documents" |
2 |
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1.9 |
"Contract Sum" |
2 |
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1.10 |
"Contractor's Project Director" or "Project Director" |
2 |
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1.11 |
"D/FD Engineering Services" |
2 |
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1.12 |
"Disclosing Party" |
2 |
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1.13 |
"Engineering Services" |
2 |
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1.14 |
"Environmental Laws" |
2 |
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1.15 |
"Existing Work" |
2 |
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1.16 |
"Facility" |
3 |
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1.17 |
"Facility CPM Schedule" |
3 |
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1.18 |
"Fee" |
3 |
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1.19 |
"Final Completion" |
3 |
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1.20 |
"Fully Dispatchable Facility" |
3 |
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1.21 |
"Good Engineering and Construction Practices" or "GECP" |
3 |
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1.22 |
"Hazardous Materials" |
3 |
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1.23 |
"Key Personnel" |
3 |
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1.24 |
"Major Subcontracts" |
3 |
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1.25 |
"Major Subcontractors" |
3 |
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1.26 |
"Mechanical Completion" |
3 |
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1.27 |
"Notice to Proceed" |
3 |
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1.28 |
"Owner Event of Default" |
3 |
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1.29 |
"Owner-Furnished Property" |
4 |
-i-
TABLE
OF CONTENTS
(continued)
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1.30 |
"Owner", "Owner Party" or "Owner Parties" |
4 |
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1.31 |
"Owner's Project Manager" |
4 |
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1.32 |
"Overrun" |
4 |
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1.33 |
"Performance Security" |
4 |
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1.34 |
"Performance Tests" |
4 |
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1.35 |
"Plant Site" |
4 |
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1.36 |
"Punch List" |
4 |
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1.37 |
"Rate Schedule" |
4 |
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1.38 |
"Receiving Party" |
4 |
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1.39 |
"Reimbursable Cost" or "Reimbursable Costs" |
4 |
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1.40 |
"Services" |
4 |
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1.41 |
"Site" |
4 |
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1.42 |
"Subcontractors" |
4 |
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1.43 |
"Substantial Completion" |
4 |
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1.44 |
"Target Cash Flow Budget" |
5 |
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1.45 |
"Target Performance Criteria" |
5 |
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1.46 |
"Target Price" |
5 |
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1.47 |
"True-Up Date" |
5 |
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1.48 |
"Uncontrollable Forces" |
5 |
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1.49 |
"Underrun" |
5 |
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1.50 |
"Warranty Period" |
5 |
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1.51 |
"Work" |
5 |
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1.52 |
"Work Progress Schedule" |
5 |
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ARTICLE 2 |
THE WORK AND OBLIGATIONS OF THE PARTIES |
5 |
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2.1 |
The Work. |
5 |
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2.2 |
Specific Obligations for the Work. |
6 |
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2.3 |
Spare Parts. |
7 |
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2.4 |
Contractor's Tools and Equipment. |
7 |
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2.5 |
Employment of Personnel |
7 |
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2.6 |
Clean-up and Non-Interference. |
8 |
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TABLE
OF CONTENTS
(continued)
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Page |
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2.7 |
Safety and Security. |
8 |
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2.8 |
Emergencies. |
8 |
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2.9 |
Approvals, Certificates, Permits and Licenses. |
8 |
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2.10 |
Contractor Taxes. |
9 |
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2.11 |
Hazardous Materials. |
9 |
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2.12 |
Progress Meeting and Reports. |
9 |
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2.13 |
Care, Custody and Control/Risk of Loss. |
10 |
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2.14 |
[Intentionally Omitted] |
10 |
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2.15 |
Interpretation. |
10 |
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2.16 |
Training and Operational Supervision. |
11 |
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2.17 |
Interconnections. |
11 |
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2.18 |
Responsibility for Subcontractors. |
11 |
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2.19 |
Assurances Regarding Payments. |
12 |
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2.20 |
Office Space. |
12 |
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2.21 |
Key Personnel. |
12 |
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2.22 |
Co-operation and Coordination. |
12 |
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2.23 |
Start-Up, Commissioning and Testing Gas and Raw Water. |
13 |
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2.24 |
Owner Obligations |
13 |
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2.25 |
Existing Work. |
15 |
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2.26 |
Commercial Activities. |
15 |
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ARTICLE 3 |
CONSTRUCTION SCHEDULE |
15 |
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3.1 |
Commencement of the Work and Contract Completion Date. |
15 |
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3.2 |
Work Progress Schedule and Facility CPM Schedule |
15 |
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3.3 |
Delays and Time Extensions. |
16 |
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ARTICLE 4 |
COMPENSATION |
16 |
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4.1 |
Compensation. |
16 |
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4.2 |
Reimbursable Costs. |
16 |
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4.3 |
Fee. |
20 |
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4.4 |
Target Price, Underrun and Overrun. |
20 |
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4.5 |
Non-Reimbursable Items. |
21 |
-iii-
TABLE
OF CONTENTS
(continued)
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Page |
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4.6 |
Monthly Billing |
22 |
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4.7 |
Contents of Progress Invoices. |
22 |
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4.8 |
Final Payment; Liens. |
23 |
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4.9 |
Records; Audit. |
23 |
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4.10 |
No Duplication. |
24 |
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4.11 |
Effect of Payment. |
24 |
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4.12 |
Security of Performance. |
24 |
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4.13 |
Wire Transfer Information. |
24 |
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ARTICLE 5 |
CHANGES IN THE WORK |
24 |
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5.1 |
Change Order. |
24 |
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5.2 |
Individuals Authorized to Make Changes. |
24 |
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5.3 |
Change Orders |
24 |
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5.4 |
If No Agreement. |
26 |
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ARTICLE 6 |
INSPECTION AND WARRANTY |
26 |
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6.1 |
Warranty. |
26 |
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6.2 |
Engineering and Design Warranty. |
27 |
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6.3 |
Inspection and Testing |
28 |
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6.4 |
Correction of Defects. |
29 |
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6.5 |
Limitations. |
29 |
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6.6 |
Title. |
29 |
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ARTICLE 7 |
REPRESENTATIVES AND NOTICES |
30 |
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7.1 |
Owner's Project Manager. |
30 |
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7.2 |
Contractor's Project Director. |
31 |
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7.3 |
Notices. |
31 |
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7.4 |
Changes. |
31 |
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7.5 |
Ordinary Course. |
32 |
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ARTICLE 8 |
PRIOR WORK AND WORK SITE |
32 |
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8.1 |
Prior Work and Site Investigation. |
32 |
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8.2 |
Lines and Grades. |
32 |
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8.3 |
Specifications and Drawings. |
32 |
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8.4 |
Use of Premises. |
33 |
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TABLE
OF CONTENTS
(continued)
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Page |
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8.5 |
Cleaning Up. |
33 |
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8.6 |
Underground Facilities. |
33 |
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8.7 |
Other Contracts. |
33 |
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ARTICLE 9 |
[INTENTIONALLY OMITTED] |
34 |
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ARTICLE 10 |
COMPLETION OF THE WORK |
34 |
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10.1 |
Mechanical Completion |
34 |
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10.2 |
Performance Testing |
35 |
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10.3 |
Substantial Completion |
35 |
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10.4 |
Punch List. |
36 |
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10.5 |
Final Completion |
37 |
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ARTICLE 11 |
DEFAULT AND TERMINATION |
37 |
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11.1 |
Contractor Default. |
37 |
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11.2 |
Right to Terminate for Cause. |
38 |
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11.3 |
Termination by Owner for Cause. |
38 |
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11.4 |
Termination by Owner for Convenience. |
39 |
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11.5 |
Stopping Work. |
39 |
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11.6 |
Suspension of the Work. |
40 |
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11.7 |
Owner Default. |
40 |
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11.8 |
Delivery of Documents. |
40 |
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ARTICLE 12 |
DISPUTE RESOLUTION |
41 |
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12.1 |
Dispute Resolution. |
41 |
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12.2 |
Waiver of Jury Trial. |
42 |
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ARTICLE 13 |
INDEMNITY AND LIMITATIONS OF LIABILITY |
42 |






