On the ratification of the Loan Agreement on the reconstruction project of the airport in Astana between the Republic of Kazakhstan and the International Fund for Economic Cooperation of Japan

Home / RLA / On the ratification of the Loan Agreement on the reconstruction project of the airport in Astana between the Republic of Kazakhstan and the International Fund for Economic Cooperation of Japan

Law of the Republic of Kazakhstan dated May 19, 1999 No. 383-I

To ratify the Loan Agreement on the reconstruction project of the airport in Astana between the Republic of Kazakhstan and the International Fund for Economic Cooperation of Japan, signed in Tokyo on December 24, 1998. President of the Republic of Kazakhstan Loan agreement on the airport reconstruction project in Astana between the Republic of Kazakhstan and the International Fund Japan's Economic Cooperation

Loan Agreement No. KAZ-RZ dated December 24, 1998 between the Republic of Kazakhstan and the International Fund for Economic Development Japan's cooperation. In the light of the contents of the Exchange of Notes between the Government of Japan and the Government of the Republic of Kazakhstan dated June 29, 1998, relating to a loan provided by Japan to promote economic stabilization and development efforts of the Republic of Kazakhstan. The Republic of Kazakhstan and the International Fund for Economic Development The Fund (hereinafter referred to as the "Fund") (hereinafter referred to as the "Borrower") hereby conclude the following Loan Agreement (hereinafter referred to as the "Loan Agreement", which includes all agreements supplementing this Agreement).

Article 1 Loan

Section 1 Amount and Purpose of the Loan The Fund agrees to provide the Borrower with a loan in the amount not exceeding twenty-two billion one hundred and twenty-two million Japanese yen (Y 22,122,000,000) as the principal amount of the Loan for the implementation of the project "Reconstruction of the International Airport in Astana", which is discussed in Appendix 1 to this Agreement (hereinafter referred to as the "Project") on the terms and conditions set forth in the Loan Agreement, and in accordance with the applicable laws and regulations of Japan (hereinafter referred to as the "Loan") - provided, however, that after the total amount of Loan disbursements in accordance with the Loan Agreement reaches the specified limit, the Fund does not make further payments.

Section 2 Use of Loan Funds (1) The Borrower ensures that the Loan funds are used to purchase suitable goods and services necessary for the Project from suppliers, contractors or consultants (hereinafter collectively referred to as "Supplier(s)") from eligible source countries, as described in Appendix 4 to to this Agreement (hereinafter referred to as "Eligible Source Countries") in accordance with the allocation of Loan funds referred to in Annex 2 to this Agreement. (2) The final payment of the Loan funds in accordance with the Loan Agreement is made no later than on the same day and month after the expiration of five (5) years after the effective date of the Loan Agreement and after that no further payments are made by the Fund, unless otherwise agreed between the Fund and the Borrower.

Chapter 2 Repayment and interest

Section 1 Repayment of the principal amount of the Loan The Borrower shall repay the principal amount of the Loan to the Fund in accordance with the Schedule of Gradual Repayment of the Loan set out in Appendix 3 to this Agreement.

Section 2 Interest and method of payment (1) The Borrower pays interest to the Fund at the end of each half-year at a rate of two point two percent (2.2%) per year on the following principal amount, which is paid (hereinafter referred to as the "Principal Amount (!)"), and for which there are outstanding Amounts to be paid: (a) The principal amount, which is paid from the Loan funds, distributed with classification (A) (as provided for in Section 1 of Annex 2 to this Agreement); (b) Service fees paid from the proceeds of the Loan in respect of payments under subparagraph (1)(a) above; (c) Any principal amount redistributed from Category (C) (as provided for in Section 1 of Annex 2 to this Agreement) and paid in accordance with with respect to sub-paragraphs (a) or (b) of subsection (1). (2) At the end of each half-year, the Borrower pays interest to the Fund at a rate of three-quarters of one percent (3/4 of 1%) per year on the principal amount corresponding to categories (a), (b) and (c) described below, which is paid (hereinafter referred to as the "Principal Amount (!!)"), and for which there are amounts not presented for payment: (a) The principal amount, which is paid from the Loan funds, distributed with classification (B) (as provided for in Section 1 of Annex 2 to this Agreement); (b) Fees for services paid from the proceeds of the Loan, in respect of payments pursuant to subparagraph (2)(a) above; (c) Any principal amount redistributed from Category (C) (as provided for in Section 1 of Annex 2 to this Agreement), and which is paid in accordance with With respect to sub-paragraphs (2) (a) or (2) (b) above. (3) On December 20 of each year, the Borrower pays to the Fund the interest that has accumulated up to December 19, starting from June 20 of this year and on June 20 of each year starting from December 20 of the previous year, provided that by the date of the final repayment of the Loan funds, the Borrower pays On January 20 of each year, the Fund receives interest that accumulated before December 19, starting from June 20 of the previous year, and on July 20 of each year, interest that accumulated before June 19 of this year, starting from December 20 of the previous year.

Chapter 3 Special terms of the Agreement

Section 1 General Terms and Conditions Other terms and conditions that normally apply to a Loan Agreement are set out in the General Terms and Conditions of the Fund (November 1987) with the following additional clauses (hereinafter referred to as the "General Terms and Conditions"): (1) The term "principal amount" is replaced each time it is used in the General Terms and Conditions by the term "Principal amount (!) and principal amount (!!)". (2) In cases where the Borrower makes repayment of the principal amount or payment of interest or other fees without specifying the procedure for attributing payments to certain debts, the Fund may decide on the procedure for attributing them between the principal amount, interest or other fees related to the Principal Amount(!) or the Principal Amount(!!). (3) Section 3.05 of the General Terms and Conditions is replaced by the following provision: "If there is a delay in repayment of the principal amount or payment of interest or other fees required under the Loan Agreement, the accrual of interest referred to in Section 3.03 on such overdue payments of the principal amount shall cease after the day set as the payment deadline. Inclusive; late payment fees calculated at a rate of two percent (2%) per year above and above the interest rate. The amount specified in the Loan Agreement is payable for overdue amounts - principal, interest or other fees for the period. Starting - inclusive - on the day immediately preceding the day of their actual

payments". (4) Section 3.07 of the General Terms and Conditions is replaced by the following provision:

Section 3.07 Payment method The Borrower deposits on the Loan account of the Fund the amounts of all payments of the principal amount and interest and other fees on the Loan at the Bank of Tokyo - Mitsubishi, Ltd. Tokyo Bank - Mitsubishi - Limited Liability Company Uchisaiwai-cho Office Uchisaiwai-cho Tokyo Office Tokyo Japan Japan

(5) Article VII of the General Terms and Conditions is not taken into account and, consequently, all references to "Guarantee" or "Guarantor" are not taken into account each time they are used in the General Terms and Conditions. (6) After it is determined that the contract is acceptable for financing by the Fund, the surname and first name (name) The supplier can be declared a Foundation. Section 2 Procedure for the purchase of goods and services The rules for the purchase of goods and Services and the hiring of consultants, referred to in Section 4.01 of the General Terms and Conditions, are the rules specified in the Procedure for the Purchase of Goods and Services provided in Annex 4 to this Agreement.

Section 3 Loan Disbursement Procedure The loan disbursement procedure referred to in Section 5.01 of the General Terms and Conditions is as follows: (1) The procedure related to the Obligation referred to in Annex 5 to this Agreement applies in cases of Loan disbursements to a Supplier(s) from an acceptable source country(s) other than the Republic of Kazakhstan with respect to a part of the contract, declared in a currency other than the currency of the Republic of Kazakhstan. (2) The procedure for refunding the appropriate amounts, as set out in Annex 6 to this Agreement, applies in cases of payments in respect of payments made to the Supplier(s) of the Republic of Kazakhstan and to the Supplier(s) from an acceptable source country(s) other than-s) from the Republic of Kazakhstan in respect of the part of the contract declared in the currency of the Republic of Kazakhstan.

Section 4 Loan Management (1) The Borrower authorizes the "International Airport in the city Astana" (hereinafter referred to as the "Executing Organization") to carry out the Project in accordance with the Loan Agreement. (2) The Ministry of Transport and Communications oversees the activities of the Executing Organization. (3) The Borrower ensures that the Implementing Organization hires consultants to carry out the Project. (4) If the funds provided from the Loan amounts are insufficient to complete the Project, the Borrower shall ensure the immediate acceptance of The implementing organization of measures to provide such funds as are needed. (5) The Borrower may provide - from the funds of the Loan - a loan(s) The executing organization (hereinafter referred to as the "Sub-Loan") for the implementation of the project. The terms of the sub-loan must be acceptable to the Fund. (6) The Borrower shall ensure that the Implementing Organization provides the Fund with quarterly reports on the progress of the Project (in January, April, July and October of each year) prior to the completion of the project, in such form and with such details as the Fund may reasonably request. (7) The Borrower shall immediately, no later than within six (6) months after the completion of the Project, ensure that the Implementing Organization provides the Fund with a project completion report in such form and with such details as the Fund may reasonably request. (8) The Borrower shall, on an ongoing basis, carry out the operation and maintenance or ensure the operation and maintenance of any facilities necessary in connection with the Project and immediately carry out or ensure that all necessary repairs and upgrades are carried out on them. (9) The Borrower submits or ensures that the Executing Organization submits an audit report related to the financial position of the Executing Organization by a third-party auditor in accordance with international accounting standards no later than within six (6) months after the end of each audit.

fiscal year. (10) The Borrower notifies or provides notification The executing Organization of the Fund on the situation related to the privatization of the Executing Organization, before its formal decision.

Section 5 Notifications and requests The following addresses are indicated for the purposes of Section 9.03 of the General Terms and Conditions: Postal Address: Mailing address: Overseas Economic International Cooperation Fund Takebashi Godo Collaboration Takebashi Godo Building, 4-1, Building. 4-1 Ohtemachi 1-chome Otemachi 1-Choumsuoda-ki, Chiyoda-ku, Tokyo 100-0004, Tokyo 100-0004 Japan Japan Airport: Attention: Managing Director, Managing Director of Operations Department III Implementation Department Operations III Cable address: Telegraphic address: COOPERATIONFUND COOPERATIONFUND Tokyo Tokyo Tech Telex: (1) Call Nuber: (1) The number to call: J28360 J28360 Answer Back Code: Auto-reply code: COOPFUND J28360 COOPFUND J28360 (2) Call Nuber: (1) The number to call: J28430 J28430 Answer Back Code: Auto-reply code: COOPFUND J28430 COOPFUND J28430 Borrower's Address: Postal address: Postal Address: Ministry of Finance Ministry of Finance Republic of Kazakhstan Republic of Kazakhstan 60,Republic Sqr., 60, Republic Avenue Astana, 473000 Astana, 473000 Republic of Kazakhstan Republic of Kazakhstan: Attention: Minister of Finance of the Minister of Finance of Russia: Address of the Implementing Organization: International Astana Airport is an international airport in Astana. Astana Astana, 473026 Astana, 473026 Airport, Airport Post box 553 Subscription mailbox 553 Republic of Kazakhstan Republic of Kazakhstan: Attention: General Director of the General Director

In case of change of the above addresses and/or surnames and names

The party in question shall immediately notify the other parties in writing of the new addresses and/or surnames and names (names). In order to verify this, the Fund and the Borrower, acting through their duly authorized representatives, ensured that the Loan Agreement was signed and transferred on their behalf at the Fund's office Cooperation between Chiyoda-ku, Tokyo, Japan, on the day and year indicated above at the beginning. For the International Fund for the Republic of Kazakhstan Cooperation Appendix 1 Project Description Brief information about the Project (1) Purpose: Improvement of airport facilities in Astana to comply with safety standards during operation and effectively meet the increasing demand related to air transportation; (2) Project location: Astana city (3) Implementing organization: Astana International Airport (4) Scope of work: (a) Reconstruction of the existing airport infrastructure and facilities; (b) Supply of equipment and construction of facilities; (c) Consulting services. The Loan funds are provided for positions (a), (b) and (c). Any balance in the balance of the above positions and all other positions are subject to financing by the Borrower. Section 2 The amount of funds required in the year indicated is indicated below, according to estimates. ______________________________________________________________________ Fiscal year ! regarding the loan ! regarding (January-December) ! (in millions ! the project ! Japanese yen) ! (in millions ! ! Japanese yen) __________________________!____________________!______________________ 1997 0 2, 942 1998 0 0 1999 304 322 2000 4, 116 4, 283 2001 9, 455 9, 694 2002 8, 247 8, 436 ______________________________________________________________________ TOTAL 22, 122 25, 677 ______________________________________________________________________ ( Exchange rate: 1 US dollar = 125.34 Japanese yen) The loan funds are paid within the limits of the annual budget appropriations of the Government of Japan for the Fund. Section 3 The project is expected to be completed by January 2002. Appendix 2 Allocation of loan funds Section 1 Categorization ______________________________________________________________________ Category ! Highlighted ! Funded ! loan amount ! expenses in % ! (in millions ! ! Japanese yen) ! __________________________!___________________!_______________________ ( A) Construction 18,823,100 works (B) Consulting 1, 417 100 services (C) Unforeseen 1, 882 - expenses ______________________________________________________________________ Total 22, 122 ______________________________________________________________________ Note: Items that are not covered by the financing are listed below. (a) General administrative expenses; (b) Taxes and duties; (c) Acquisition of land and other real estate; (d) Compensation; (e) Other indirect items.

With respect to the repayment of loan funds for each category, the amount to be paid is calculated from the total amount of eligible expenses multiplied by a number expressing the percentage ratio described in this Section, unless otherwise agreed by the Fund and the Borrower.

Section 2 Reallocation of loan funds in case of a change in the cost estimate (1) If there has been a decrease in valuation value for items included in any of Categories (A) and/or (B), the amount allocated in this case and no longer required in relation to such Category will be redistributed by the Fund and assigned to Category (C). (2) If there has been an increase in valuation value by item,

included in any of Categories (A) and/or (B), an amount equal to a portion, if any, of such an increase financed from the Loan will be distributed, at the request of the Borrower, with assignment to such Category from Category (C), taking into account, however, the requirements relating to unforeseen expenses, as determined by the Fund, in relation to expenses for positions in other Categories. Appendix 3 Schedule of gradual repayment of the Loan ______________________________________________________________________ 1. Repayment of the principal amount (I) ! The repayment period of the obligation ! Amount (in Japanese yen) ! December 20th and June 20th each ! 505, 000, 000 years, starting from December 20, 2008! year to December 20 , 2028 ! inclusive ! ____________________________________!_________________________________ 2. Repayment of the principal amount (II) ! The repayment period of the obligation ! Amount (in Japanese yen) ! December 20th, 2008 ! ! 23, 260, 000 on December 20th and June 20th each ! of the year, starting from June 20, 2008 ! year to December 20 , 2038 ! inclusive ! 23, 229, 000 ____________________________________!_________________________________ Appendix 4 Procedure for the purchase of goods and services

Section 1 Rules to be observed when purchasing goods and services from Loan funds (1) The purchase of goods and services, other than consulting services, financed from Loan funds, is carried out in accordance with the rules for their purchase from loan funds of the Organization for Economic Cooperation with Foreign States (December 1997) (hereinafter referred to as the "Rules for the Purchase of Goods and Services"). (2) The hiring of consultants, whose services are paid for from the loan funds, is carried out in accordance with the rules for hiring consultants by Borrowers, the Organization for Economic Cooperation with Foreign States (December 1997)(hereinafter referred to as the "Rules for Hiring Consultants"). Section 2 Eligible source countries All countries and regions are eligible for the purchase of all goods and services, including consulting services, which are financed from Loan funds.

Section 3 The Fund's review of decisions related to the purchase of goods and services (other than consulting) In the case of contracts financed from Loan funds allocated with their classification into Category (A) as described in Section 1 of Annex 2 to this Agreement, the following procedures in accordance with Section 4.02 of the General Terms and Conditions are submitted for consideration and approval by the Fund. For such contracts, a two-envelope bidding procedure may be adopted, which is provided for in 2.03 (b) of the Rules for the Purchase of Goods and Services. (1) In respect of any contract, the value of which is estimated at an amount not exceeding five hundred million Japanese yen (500,000,000 Japanese yen): (a) If the Borrower wishes to adopt procedures for the purchase of goods and services other than International Competitive Bidding, it submits to the Fund a Request for a Review of the Method(s) for the Purchase of Goods and Services (in accordance with Form No. 1 attached to this Agreement). The Fund notifies the Borrower of its consent in a Notification related to the Method(s) of Purchasing Goods and services. (b) After the selection of firms whose preliminary qualification assessment has been given, the Borrower submits to the Fund for its consideration and approval a list of these firms and a selection report indicating the reasons for the selection, accompanied by all necessary documentation, together with a request for review of the results of the preliminary qualification assessment. The Borrower submits to the Fund for consideration such other documents as relate to the prequalification assessment and which the Fund reasonably requests. If the Fund has no objections to these documents, it will notify the Borrower accordingly in a notification regarding the results of the preliminary qualification assessment. (c) If a two-envelope bidding procedure is adopted, the Borrower, prior to submitting price proposals, submits an analysis of the technical proposals to the Fund for its consideration and approval, together with a request for review of the analysis of the technical proposals. The Borrower submits to the Fund for its consideration such documents relevant to the issues under consideration that the Fund reasonably requests. If the Fund has no objections, it will notify the Borrower accordingly in a notification related to the analysis of technical proposals. (d) Before sending an order notification to the winning bidder, the Borrower submits to the Fund for its review and approval an analysis of contract proposals and an order proposal, together with a request for review of the analysis of contract proposals and an order proposal. (If the actions referred to in subparagraph (c) "analysis of contract proposals" are taken, it is further referred to as "Analysis of price proposals"). The Borrower submits to the Fund for its consideration such other documents related to the issuance of the order, such as documentation related to the tender, which the Fund reasonably requests. If the Fund has no objections to these documents, the Fund shall notify the Borrower accordingly in a notification related to the analysis of contract proposals and order proposals. (e) If, as provided for in Section 5.10 of the Rules for the Purchase of Goods and Services, the Borrower intends to reject all contract offers or negotiate with one or two bidders offering the lowest price in order to conclude a contract on acceptable terms, the Borrower shall notify the Fund of its reasons with a request for preliminary review and approval. If the Fund has no objections, it notifies the Borrower of its consent. In the case of repeated bidding in all subsequent procedures, the provisions of sub-paragraphs (a) to (d) inclusive are essentially respected. (f) Immediately after the conclusion of the contract, the Borrower submits to the Fund for its review and approval a duly certified copy of the contract together with a request for review of the contract (in accordance with Form No. 2 attached to this Agreement). If the Fund determines that the contract is consistent with the Loan Agreement, it will notify the Borrower accordingly in the contract-related notification. (g) Any modification or cancellation of a contract reviewed by the Fund requires the prior written consent of the Fund for such modification or cancellation, provided, however, that for a change that does not constitute a material modification to the contract and which does not affect the price of the contract, such consent of the Fund is not required. (2) In respect of any contract with an estimated value of at least one billion Japanese yen (1,000,000,000 Japanese yen): In addition to all the procedures described above in subsection (1), sub-paragraphs (a) to (g) inclusive, the following actions are being taken. Prior to the announcement and/or notification of the prequalification assessment, the Borrower submits the prequalification criteria to the Fund for its review and approval, together with a request for consideration of the prequalification criteria. The Fund reserves the right to request the Borrower to submit documents related to the prequalification assessment for consideration by the Fund. If the Fund has no objections to the specified criteria, the Fund will notify the Borrower accordingly in a notification related to the prequalification criteria. Any subsequent change by the Borrower of the specified criteria requires the prior written consent of the Fund for such a change. If the Fund deems it necessary, the Fund's review and approval of the prequalification assessment documentation is required. (3) For any contract with an estimated value of at least three billion Japanese yen (3,000,000,000 Japanese yen). In addition to all the procedures described in subsection (1), sub-paragraphs (a) to (g) inclusive, the following actions are being taken. Prior to submitting an invitation to submit contract proposals, the Borrower submits to the Fund, for its consideration and approval, the criteria for evaluating the contract proposal, together with a Request for Consideration of the Criteria for Evaluating the Contract Proposal. The Fund reserves the right to request the Borrower to provide documents related to the tender for consideration by the Fund. If the Fund has no objections to the specified criteria, the Fund will notify the Borrower accordingly in a Notification related to the Criteria for Evaluating the Contract Proposal. Any subsequent change by the Borrower of the specified criteria requires the prior written consent of the Fund for such a change. If the Fund deems it necessary, consideration and approval of the Fund related to the documentation related to the tender is required. (4) In respect of any contract with an estimated value of at least five hundred million Japanese yen (500,000,000 Japanese yen). (a) immediately after the conclusion of the contract, the Borrower submits to the Fund for its review and approval a duly certified copy of the contract together with a Request for Review of the Contract (in accordance with Form No. 2 attached to this Agreement). If the Fund determines that the contract (a) The Borrower submits to the Fund, immediately after the conclusion of the contract, a duly certified copy of the contract together with a Request for Review of the Contract (in accordance with Form No. 2 attached to this Agreement) is consistent with the Loan Agreement, it shall notify the Borrower accordingly in a Notification related to to the Contract. The Borrower submits to the Fund for its consideration such other documents related to the contract that the Fund reasonably requests. (b) Any modification or cancellation of a contract reviewed by the Fund requires the prior written consent of the Fund for such modification or cancellation, provided, however, that for the modification. Which does not constitute a material change to the contract and which does not affect the contract price, such consent of the Fund is not required.

Section 4 The Fund's review of decisions related to the hiring of consultants With respect to Section 4.02 of the General Terms and Conditions, the following procedures are subject to the Fund's review and approval. (1) Before contacting the consultants with an invitation to submit their proposals, the Borrower submits to the Fund for its consideration and approval the Terms of Reference, a Short List of Consultants and an Invitation Letter along with a Request for Consideration of these documents. If the Fund has no objections to these documents, it will notify the Borrower accordingly in a Notification related to the Terms of Reference, a Short List of Consultants and an Invitation Letter. Any subsequent modification of these documents by the Borrower requires the prior consent of the Fund. (2) Before inviting the most qualified consultant to begin negotiations with a view to concluding a contract, the Borrower submits to the Fund for its consideration and approval the results of his evaluation of the proposals received, together with a Request for Consideration of the Evaluation Report on the Consultants' Proposals. If the Fund has no objections to these documents, the Fund will notify the Borrower accordingly in a Notification related to the Evaluation Report on the Consultants' Proposals. (3) If the Borrower wishes, as provided for in Section 3.01 (2) of the Rules for the Recruitment of Consultants, to hire a specifically named consultant, he shall notify the Fund in writing of the reasons for this, for consideration and approval by the Fund, together with an Invitation Letter and Terms of Reference. After receiving the Fund's consent, the Borrower can send an Invitation Letter and Terms of Reference to the consultant in question. If the Borrower recognizes that the consultant's offer is acceptable, he can then negotiate the terms (including financial) of the contract. (4) Immediately after the conclusion of the contract, the Borrower submits to the Fund for its review and approval a duly certified copy of the contract together with a Request for Review of the Contract (in accordance with Form No. 3 attached to this Agreement). If the Fund has determined that the contract is consistent with the Loan Agreement, it will notify the Borrower accordingly in a Notice related to the Contract. (5) Any modification or cancellation of a contract reviewed by the Fund requires the prior written consent of the Fund to such modification or cancellation, provided, however, that for a change that does not constitute a material modification of the contract and which does not affect the cents of the contract, such

The Foundation's consent is not required.

Section 5 The Borrower prepares all messages sent to the Fund in English. All documents, including documents related to the auction, are prepared in English. Form No. 1 Date: Reference Number: Foundation for Economic Cooperation with Foreign Countries Tokyo, Japan Attention: Managing Director, Operations Department III Dear Sirs: A request for consideration of the method(s) of purchasing goods and services With reference to: Loan Agreement no. KAZ-RZ dated December 24, 1998 in connection with the Airport Reconstruction Project in the City Astana In accordance with the relevant provisions of the Loan Agreement referred to, We hereby submit for your consideration the Method(s) of Purchasing Goods and Services in accordance with the application form. We would appreciate it if you would notify us of your consent. Sincerely, For ______________________ ( Name of the Borrower) _________________________ ( Signature of the official, authorized to sign the document)

Application sheet No. ______

The name of the Project2. Method(s) of Purchasing Goods and Services

( ) Limited International (Local) Bidding ( ) Purchases outside (Inside) Countries ( ) Conclusion Of Direct Contracts ( ) Other 3. Detailed Description Of The Reason For Choosing The Acquisition Method(s) Goods and Services (For example, technical considerations, economic factors. Experience and potential opportunities) 4. Last name and First Name and Nationality of the Supplier (in cases of Limited International (Local) Bidding) and Conclusion of Direct Contracts 5. Estimated Contract Amount In A Foreign Currency In Local Currency 6. Main positions Covered By The Contract 7. Type of Contract ( ) Turnkey Construction Contract ( ) Purchase of Goods/Equipment/Materials ( ) Civil Works Contract ( ) Purchase Of Services ( ) Other 8. Schedule (i) Date Of the Contract (ii) Date of Shipment and/or Date of Commencement of Work/(iii) Date of Completion (delivery or construction work) Form No. 2 Date: Reference Number: Foundation for Economic Cooperation with Foreign Countries Tokyo, Japan To the attention of: Managing Director, Department for the Implementation of Operation III Dear sir: Request for review of the contract In accordance with the relevant provisions of the Loan Agreement no. KAZ-P3 dated December 24, 1998, we hereby submit for your consideration a certified copy of the Contract attached to this Request. The contract contains the following information: 1. Contract Number and Date :___________________________ 2. Last Name and First Name (Name) Supplier:___________________________ 3. Last Name and First Name (Name) The buyer:___________________________ 4. Cents of the Contract :___________________________ 5. The amount of Financing Used for :___________________________ ( representing ___% of eligible expenses) 6. Description and Origin of Goods :___________________________ We would appreciate it if you would notify us of your agreement to the contract by sending us a Notice related to the Contract. Sincerely, For______________________________ ( Name of the Borrower) ________________________________ ( Signature of the official authorized to sign the document) Form No. 3 Date: Reference Number: Foundation for Economic Cooperation with Foreign Countries Tokyo, Japan Attention: Managing Director, Department for the Implementation of Operation III Dear Sirs: Request for review of the Contract (regarding consulting services) In accordance with the relevant provisions of the Loan Agreement no. KAZ-P3 dated December 24, 1998, we hereby submit for your consideration a certified copy of the Contract attached to this Request. The contract contains the following information: 1. Contract Number and Date :___________________________ 2. Last Name and First Name (Name) Supplier:___________________________ 3. Last Name and First Name (Name) The buyer:___________________________ 4. Contract Price :___________________________ 5. The amount of Financing Used for :___________________________ (representing ____% of eligible expenses) We would appreciate it if you would notify us of your agreement to the contract by sending us a Notice related to the Contract. Sincerely, For________________________________ ( Name of the Borrower) ________________________________ ( Signature of the official authorized to sign the document)

Appendix 5 Procedure Related to the Obligation The procedure related to the Obligation dated July 5, 1988, with appropriate amendments, applies to the payment of Loan funds for the purchase of goods and services from a Supplier(s) from an acceptable Source Country(s) other than the Republic of Kazakhstan with respect to part of the contract declared in a currency other than the currency of the Republic of Kazakhstan, with the following additional points: 1. With respect to Section 1.(2) of the Procedure related to the Obligation, the Bank of Japan and the Issuing Bank is the Bank of Tokyo - Mitsubishi, Ltd., Tokyo. 2. (a) The Borrower shall pay to the Fund an amount in Japanese yen equal to zero point one percent (0.1%) of the amount indicated in the Letter of Commitment as service fees on the date of issue of the corresponding letter of Commitment. The Fund issues a Letter of Commitment to receive service fees from the Borrower. (b) An amount equal to the amount of such service fees shall be financed from the Loan, and the Fund shall immediately pay such amount to itself as a service fee on the date of issue of the Letter of Commitment. Such payment from the Loan funds is a legally valid and binding obligation of the Borrower in accordance with the terms and conditions of the Loan Agreement. 3. Brochure No. 400 of the International Chamber of Commerce, which outlines the Procedure related to the obligation, is replaced by Brochure No. 500.(a) The International Chamber of Commerce.

Appendix 6 Procedure for the Return of Appropriate Amounts The Procedure for the Return of Appropriate Amounts (September 1988), as amended, applies to the payment of Loan funds, payments in respect of payments made to the Supplier(s) from the Republic of Kazakhstan and to the Supplier(s) from the Eligible Source Country(s).other than the Republic of Kazakhstan, in respect of the part of the contract declared in the currency of the Republic of Kazakhstan with the following additional clauses:  ndix 6 Procedure for the Return of Appr Amounts The Procedure for the Return of Appropriate Amounts (September 1988), as amended, applies to the payment of Lon funds, payments in respect of payments made to the Supplier(s) from the Republic of Kazakhstan and to the Supplier(s) from the Eligible Source Country(s).other than the Republic of Kazakhstan, in respect of the part of the contract declared in the currency of the Republic of Kazakhstan with the following additional clauses: 1. The authorized bank in Tokyo that performs foreign currency exchange operations, including the Procedure for refunding appropriate amounts, is Bank of Tokyo - Mitsubishi, Ltd., Tokyo every time it is mentioned in this Application. 2. By an authorized bank in the territory of the Borrower, carrying out

The foreign currency exchange transactions mentioned in the Procedure for Refunding the appropriate amounts are the bank designated by the Ministry of Finance of the Republic of Kazakhstan. 3. The supporting documents in proof of each payment and its use, as described in paragraph 1. (b) Procedures for the refund of appropriate amounts, are as follows: (a) With respect to payments for goods and services other than consThe supporting documents in proof of each payment and its use, as described in paragraph 1. (b) Procedures for the refund of appropriate amounts, are as follows: (a) With respect to payments for goods and services other than consulting: (i) a statement, invoice or invoice from the contractor, which shows in sufficient detail the amount of work performed and indicates the amount that is requested in connection with such work; (ii) a certificate, the content of which indicates that the work perform(ii) a certificate, the content of which indicates that the work performed by the contractor meets the specified requirements and is in accordance with the terms of the contract in question; such certificate is signed by the Chief Engineer The Executing Organization appointed in connection with the Project; (iii) a cancelled bank check or similar document confirming the date and amount of payment made to the contractor; also a fairly simple receipt from the contractor indicating the date and amount of payment. (b) To pay for the services of consultants: (i) a statement submitted by the consultants, which provides sufficiently detailed information about the services provided, the time period covered and the amount to be paid to them; (ii) a cancelled bank check, an expense payable immediately upon presentation, or a similar document confirming the date and amount of the payment made by the consultant; also a fairly simple receipt from consultants, indicating the date and amount of the payment.

4. (a) The Borro 4. (a) The Borrower pays to the Fund an amount in Japanese yen equal to zero point one tenth of one percent (0.1%) of the Loan repayment amount for the Borrower as fees for its servicing on the day of such payment. The payment of the Loan funds by the Fund under this procedure is made upon receipt of the service fees from the Borrower. (b) The amount equal to such service fee is financed from the Loan funds, and the Fund immediately pays such amount to itself on the day the Loan funds are paid to the Borrower. Such payment from the Loan funds is a legally valid and binding obligation of the Borrower in accordance with

with the terms and conditions of the Loan Agreement. 5. The amount in the Request for a Refund of the Appropriate Amounts is expressed in Japanese Yen. 6. The OECD (Fund for Economic Cooperation with Foreign States) - SSP Form attached to twith the terms and conditions of the Loan Agreement. 5. The amount in the Request for a Refund of the Appropriate Amounts is expressed in Japanese Yen. 6. The OECD (Fund for Economic Cooperation with Foreign States) - SSP Form attached to the Procedure for Refunding the Appropriate Amounts is replaced by the OECD - SSP Form attached to this Agreement. Summary Statement Of Payments Form OECF-SSP Serial Number________ Date:______________ ______________________________________________________________________ 1 ! 2 ! 3 ! 4 ! 5 ! 6 Deal ! The buyer! Supplier ! Citizenship! Description! Category ! ! ! The supplier ! products ! ! ! ! ! and/or ! ! ! ! ! services ! _________!____________!___________!_____________!__________!__________ 1. 2. 3. 4. . . Total: Continuation of the table ________________________________________________________________ 7 ! 8 ! 9 ! 10 ! 11 Origin! The amount ! Date ! The amount ! Character! The contract ! Payment ! Payment ! Payment method _______________!___________!__________!___________!_____________ Continuation of the table __________________________________________________ 12 ! 13 ! 14 ! A way ! The amount, ! The ratio ! Acquisitions ! Used ! between ! Products and ! for ! In sums ! Services ! financing ! ! _______________!________________!_________________!

The undersi The undersigned certifies that the Supplier(s) and the goods and/or services listed above are acceptable in accordance with the Loan Agreement. Note to column 4. Nationality of the Supplier: The country in which the Supplier has been granted the status of a legal entity in which it is registered. Note to column 6. Category: The category described in Section 1 of Appendix 2. Notes to columns 10 and 13. Payment Amount: If the payment is not made in Japanese yen, indicate the amount in the currency in which the payment was made to the Supplier and the amount(s) received during the recalculation, calculated in accordance with paragraph 3. The Procedure for Refunding the appropriate amounts is attached. Note to column 11. Nature of Payment: Initial payment,

installment payment or final payment, etc. Note to column 12. The method of purchasing Goods and Services: Specify the reasons foallment payment or final payment, etc. Note to column 12. The method of purchasing Goods and Services: Specify the reasons for the choice, if it is a method other than international competitive bidding. Note to column 14. Amount Ratio: The ratio between the Amount Used for Financing and the Amount of the Payment in the currency in which the payment was made to the Supplier.

President

Republic of Kazakhstan

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