Letter 71

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July 11, 2023

To: Che Mingan


Site Manager
CMEC
Al Dhafra PV2 Solar Project

From: Jason Chen,


Project Director,
Man Energy LLC
Al Dhafra 2.1 MW GW Solar Project

Ref No: MAN-PV2-CMEC-LET-0071


Subject: Reply to CMEC letter Sub: “Area of Concern-Delay in Carrying out MV Foundation Final
Layer”

With reference to the subject, and your Letter, Ref: “CMEC-PV2-MAN-LET-0071”, please note our reply
below for the concerns raised in your letters mentioned above:

I hope this letter finds you well. I am writing to address the points raised in your recent
communication and provide clarifications regarding the project status and payment reminders.

There is no delay on behalf of Man Energy:


We appreciate your assertion that there has been no delay on your part. However, it is important to
note that the project timeline has been impacted due to factors beyond our control. As previously
mentioned, the delay has occurred due to the changes in scope and the subsequent variation in cost
approval that has yet to be confirmed by your end.

Reminders without payments and variation approvals mean nothing:


We understand your concern regarding the variation request we have sent. Our intention in sending
these is to ensure that all contractual obligations are fulfilled in a timely manner. It is crucial for both
parties to adhere to the agreed terms in order to maintain a healthy working relationship. We kindly
request your attention to the outstanding approvals to facilitate the smooth progression of the
project.

We don't accept any delay penalty as delay caused due to CMEC only:
We acknowledge your stance regarding the delay penalty. However, it is important to consider that
the delay has been solely caused by CMEC. The changes in scope and approval of drawings and
variation, which have not been approved by your end, have significantly impacted the project timeline.
As a result, we cannot accept any responsibility for the delay or bear the associated penalties.

Construction cost difference caused by design change:

-1- P.O.Box 128448, Dubai, United Arab Emirates


man.energy
We understand your concerns regarding the differences in construction costs. However, it is crucial
to recognize that the revised scope, including the compaction of imported material, was not part of
the original agreement. Therefore, the variation in cost is a direct result of the changes in scope and
design requested by your end. We kindly request your approval for the variation in cost to proceed
with the necessary adjustments.

If our prices are unreasonable, please arrange material yourself, and manpower cost shall be
considered in accordance with our estimated site requirements. If these are more than CMEC
estimate, please deploy another contractor at your own cost. We shall not accept any cost impact for
this. If you believe that our prices are unreasonable, we are open to discussing and reviewing the cost
breakdown in detail. However, it is important to note that any changes or additional contractors
deployed at this stage would further impact the project timeline and cost, for which we cannot be
held responsible and shall not accept any financial impact as well in this regard.

We value our working relationship and believe that open communication is crucial in resolving any
challenges that arise during the project lifecycle. We kindly request a meeting or call to discuss these
matters further and find a mutually beneficial resolution.

Please let us know if any further clarification is required in this regard.


Yours Sincerely,

Jason Chen
Project Director

-2- P.O.Box 128448, Dubai, United Arab Emirates


man.energy

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