1

SERVICE AGREEMENT FOR PROVISION OF SAFETY

Section :
AND HEALTH OFFICER FOR PETRONAS CARIGALI
Exhibit II – Schedule of
IRAQ HOLDING B.V.
Compensation
SERVICE AGREEMENT NO.:
Page : Page 1 of 7
PCIHBV/2019/HSE/2286

EXHIBIT II

SCHEDULE OF COMPENSATION
 2

SERVICE AGREEMENT FOR PROVISION OF SAFETY

Section :
AND HEALTH OFFICER FOR PETRONAS CARIGALI
Exhibit II – Schedule of
IRAQ HOLDING B.V.
Compensation
SERVICE AGREEMENT NO.:
Page : Page 2 of 7
PCIHBV/2019/HSE/2286

EXHIBIT II
SCHEDULE OF COMPENSATION

1.0 GENERAL

1.1. GENERAL PREAMBLE

1.1.1. PCIHBV shall instruct the CONTRACTOR to perform WORK under the SERVICE
AGREEMENT by issuing RELEASE ORDERS based on the following rates in Schedule
1-Safety and Health Officer Manpower Supply Services.

1.1.2. The Prices and Rates contained in all schedules shall be deemed to be fully inclusive and
cover inter-alia all of the CONTRACTOR's labour costs and payroll burdens, management
and supervision, the cost of travelling time and expenses, fares and transport, subsistence
allowance, bonuses, fringe benefits, security, accommodation and messing facilities and
services, consumables, expendables, and other emoluments and expenses, trade
qualifications, tests, equipment certifications, fuel during mobilisation, demobilisation and
operation, lubricants, insurance, overhead charges, profit and all expenses , transportation
and taxes, obligations and risks which, under the terms of SERVICE AGREEMENT, are
to be borne by the CONTRACTOR.

1.1.3. The Prices and Rates contained hereinafter shall include all costs associated with the
preparation and execution of any and all RELEASE ORDER, Change Orders and
Variations issued.

1.1.4. Prices and Rates set forth herein shall be applicable for working at any location within
Garraf Contract Area (GCA).

1.1.5. PCIHBV shall pay the CONTRACTOR for satisfactory performance of the SERVICE
AGREEMENT in strict accordance with the Prices and Rates set forth herein. Other costs
for items or services not specifically set forth herein shall be agreed in written by PCIHBV
prior to commence of service / work. Shall CONTRACTOR fail to produce evidence of
agreement, such reimbursement shall not in any way be claimable and/or shall not be
entertained by PCIHBV.

1.1.6. Should PCIHBV provide the CONTRACTOR with any supply or service, which should
have been provided by the CONTRACTOR, whether or not through the fault, omission or
inability of the CONTRACTOR, then the CONTRACTOR shall reimburse PCIHBV for
any and all costs and expenses of the supply or service provided by PCIHBV.

1.1.7. All costs and expenses resulting from safety training and induction courses whether
instigated by PCIHBV or by the CONTRACTOR shall be deemed to be incorporated
within the prices and rates stated herein and shall not be reimbursed separately to the
3

SERVICE AGREEMENT FOR PROVISION OF SAFETY

Section :
AND HEALTH OFFICER FOR PETRONAS CARIGALI
Exhibit II – Schedule of
IRAQ HOLDING B.V.
Compensation
SERVICE AGREEMENT NO.:
Page : Page 3 of 7
PCIHBV/2019/HSE/2286

CONTRACTOR. Overtime resulting from such course taken outside of the PERSONNEL
normal working time shall also not be reimbursed to the CONTRACTOR.

1.1.8. Except where it is expressly provided that an obligation shall be performed at the cost of
PCIHBV, all WORK to be performed by CONTRACTOR under the SERVICE
AGREEMENT shall be at the cost of the CONTRACTOR and deemed to be included in
this EXHIBIT II - SCHEDULES OF COMPENSATION.

1.1.9. All rates expressed in this SERVICE AGREEMENT shall be in Dollar (USD).

1.1.10. The Price and Rates stated in EXHIBIT II - SCHEDULE OF COMPENSATION shall
remain firm and fixed throughout the duration of this SERVICE AGREEMENT and any
extension thereto.

1.1.11. PCIHBV cannot and will not guarantee the quantity or volume of work. All quantities
herein are provisional and / or estimated quantities and the quantities would not form part
of the SERVICE AGREEMENT.

1.1.12. PCIHBV reserves the right to make Changes to the WORK.

1.1.13. If at any time during the course of WORK the CONTRACTOR is unable to fulfil its
obligations under the SERVICE AGREEMENT i.e. CONTRACTOR Personnel is not
mobilized to PCIHBV embarkation point on schedule, then there shall be no payment by
PCIHBV for any CONTRACTOR Personnel, that are not productive due to failure of
CONTRACTOR to mobilize. Furthermore, it shall be the CONTRACTOR's responsibility
and cost to transport the PERSONNEL that are not mobilized to PCIHBV embarkation
point within the notice period.

1.1.14. Should PCIHBV at its sole discretion determine at any point in time that the
CONTRACTOR's resources are not meeting the criteria then PCIHBV shall have the right
to request an immediate replacement resource at the CONTRACTOR's cost in accordance
with the SERVICE AGREEMENT and immediately deduct payment for the resource in
question in accordance with the daily rates set out in applicable Schedules of this exhibit
hereof.

1.1.15. No payment will be made to the CONTRACTOR for any period during which the normal
planned WORK cannot proceed because the CONTRACTOR Personnel for any reason
within the reasonable control of the CONTRACTOR, or the PERSONNEL cannot perform
their normal duties.

1.1.16. Unless otherwise provided for in the SERVICE AGREEMENT, no other payments shall
be due by PCIHBV to the CONTRACTOR other than those specifically mentioned in this
EXHIBIT II - SCHEDULES OF COMPENSATION.
 4

SERVICE AGREEMENT FOR PROVISION OF SAFETY

Section :
AND HEALTH OFFICER FOR PETRONAS CARIGALI
Exhibit II – Schedule of
IRAQ HOLDING B.V.
Compensation
SERVICE AGREEMENT NO.:
Page : Page 4 of 7
PCIHBV/2019/HSE/2286

1.2. RELEASE ORDER / WORK ORDER

1.2.1. PCIHBV shall issue a formal RELEASE ORDER to the CONTRACTOR to commence
WORK.

1.2.2. PCIHBV shall pay the CONTRACTOR for satisfactory performance of the RELEASE
ORDER in strict accordance with the SERVICE AGREEMENT.

1.2.3. Unit Rates RELEASE ORDER

a) The value of RELEASE ORDER on Unit Rates basis shall consist of the actual
man-day rate (LABOUR Rates) used (as verified by the relevant PCIHBV
Representative) price at the appropriate rates given in this EXHIBIT II -
SCHEDULE OF COMPENSATION.

b) The value of each RELEASE ORDER issued shall be calculated using the rates
contained in this EXHIBIT II - SCHEDULE OF COMPENSATION. PCIHBV
will not reimburse the CONTRACTOR in between RELEASE ORDER.

1.3. CHANGE ORDERS

1.3.1. Change Orders issued by PCIHBV shall specify adjustments to SERVICE AGREEMENT
Price.

1.3.2. PCIHBV may, at its option, request lump sum quotations for variations. The lump sum
quotations shall be evaluated using the unit rates contained in this Exhibit II. If a Change
cannot be priced reasonably on a lump sum basis, then the next preferred basis is the piece
meal unit rate where Work will be measured. If a Change cannot be reasonably priced on
a lump sum or unit price basis then the next preferred basis is on a reimbursable at cost
basis. PCIHBV shall authorize the required adjustment to SERVICE AGREEMENT Price
by issuing a Change Order. PCIHBV shall have the rights to choose the options available
in the SERVICE AGREEMENT for Change Order.

1.3.3. The details of price Changes on these bases are as follows:

a) Lump Sum Basis: At PCIHBV's direction, CONTRACTOR shall prepare a detailed

estimate for accomplishing the proposed Changes on a lump sum basis. To the
maximum extent possible, the estimate should be based on the unit rates given in
Schedule 2 of this Exhibit II. Each estimate shall be supported with complete
details, including quantity take offs and unit rates or hours.

b) Unit Rates Basis: PCIHBV may direct a Change on unit rate basis. When sufficient
progress has been made in the execution of the Change, PCIHBV may authorize the
conversion of the said Change to payment on a lump sum basis pursuant to
Paragraph 1.3.3 (a) above and make any adjustment to SERVICE AGREEMENT
Price by issuing a Change Order. If agreement cannot be reached due to
 5

SERVICE AGREEMENT FOR PROVISION OF SAFETY

Section :
AND HEALTH OFFICER FOR PETRONAS CARIGALI
Exhibit II – Schedule of
IRAQ HOLDING B.V.
Compensation
SERVICE AGREEMENT NO.:
Page : Page 5 of 7
PCIHBV/2019/HSE/2286

uncertainties in quantities, then payment shall be determined after Change is

complete and shall be based on the actual quantities installed.

2. VALIDITY OF RATES.

2.1. All rates and prices shall be valid and remain firm for the whole duration of the SERVICE
AGREEMENT.
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MASTER PRICE AND SERVICE AGREEMENT

FOR CATERPILLAR FOR PETRONAS Section:
CARIGALI IRAQ HOLDING B.V. Exhibit II – Scope of
Compensation
SERVICE AGREEMENT NO.: Page : Page 6 of 7
PCIHBV/2018/TS/2127

SCHEDULE 1 – SAFETY AND HEALTH OFFICER MANPOWER SUPPLY.

The Rates set forth in this Schedule 1 shall be all inclusive and shall include inter alia all costs of management,
supervision to supervise the WORK under the SERVICE AGREEMENT, transportation, packing, manpower,
equipment (if any) facilities, services, permits, licenses, taxes, insurance etc. and all CONTRACTOR’s associated
overheads and profits.

The rates shall also be all inclusive of the cost as per requirement and stated responsibility matrix in Exhibit I-
Scope of Work.

(USD)
No. Description UOM Bidder Unit Price
per Pax
Daily Rate per
1. Fixed Salary for Safety and Health Officer (SHO)
pax
Once Off Cost
2. First Time Mobilization and Demobilization Cost
per pax
3. Laptop Cost 1 unit per pax
Management Fee inclusive of medical, transportation cost,
4 insurance, overhead and profit and other direct and indirect Monthly per pax
as per Scope of Work

Note:
 All prices/rates on the above Schedule of Rates shall include necessary tax as per Iraqi Laws i.e. 7%
withholding taxes, SSD etc.

 No overtime payment shall be reimbursed by PCIHBV for the CONTRACTOR’s PERSONNEL. Daily rate
shall mean the rates for minimum twelve (12) working hours up until maximum allowable working hours
depending on PCIHBV’s requirement. CONTRACTOR need to incorporate all associated cost into the above
rates.

 Fixed Salary for SHO – the rates shall adhere and reflect PCIHBV’s requirement as further stated in Exhibit
I-Scope of Work.

 First Time Mobilization and Demobilization Cost – PCIHBV will only reimbursed once (1 time) per SHO
positions. Any cost for replacement of the candidate due to unsatisfactory performance of CONTRACTOR
PERSONNEL, personnel resignation etc. shall be borne by the CONTRACTOR.

 Laptop Cost - PCIHBV will only reimbursed once (1 time) per SHO positions. Any cost for laptop
replacement due to damages, etc. shall be borne by the CONTRACTOR.
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MASTER PRICE AND SERVICE AGREEMENT

FOR CATERPILLAR FOR PETRONAS Section:
CARIGALI IRAQ HOLDING B.V. Exhibit II – Scope of
Compensation
SERVICE AGREEMENT NO.: Page : Page 7 of 7
PCIHBV/2018/TS/2127

END OF EXHIBIT II