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FIXED PRICE QUOTE FOR INLINE LEACH REACTOR ILR2000BA

COMPANIA de MINAS BUENAVENTURA S.A.A –


UNIDAD TAMBOMAYO PROJECT
Proposal Reference: CE2393 – Rev. 2

15 January, 2015
15 January, 2015

COMPANIA de MINAS BUENAVENTURA S.A.A

Attention: E. Gustavo Fernandez Essenwanger

Gekko Systems Proposal Number: CE2393 – Rev. 2

COMMERCIAL IN CONFIDENCE
Not to be distributed to any other party
without the express permission of Gekko Systems Pty Ltd

Dear Gustavo,

Gekko Systems is pleased to present you with this fixed price quote for
the design, manufacture and supply of an ILR2000BA InLine Leach
Reactor for the Unidad Tambomayo Project. This unit sizing has been
determined through our technical analysis of the provided Mass Balance
to accommodate for a doubled feed to the system.

The ILR2000BA is sufficient for a solid feed of 0.14tph for cyclone


overflow; this accommodates the planned plant expansion.

Gekko Systems builds and sustains strong relations with our customers
through successful installations, quality after sales support and world
leading technology solutions. We look forward to working closely with
you to ensure a highly successful installation.

If you have any queries with this proposal, please don’t hesitate to
contact us.

Yours sincerely,

Anastasia Plischka
Technical Sales Engineer
Gekko Systems
anastasiap@gekkos.com

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CONTENTS

1. THE GEKKO SOLUTION ............................................................................................ 4


2. INTRODUCTION......................................................................................................... 5
3. SCOPE OF THE OFFER ............................................................................................ 6
3.1 Equipment ............................................................................................................ 6
3.2 Packing and Transport ......................................................................................... 6
3.3 Construction and Installation ................................................................................ 6
3.4 Commissioning .................................................................................................... 6
3.5 Gekko Fatigue and Travel Policies ....................................................................... 7
3.6 Spare Parts .......................................................................................................... 7
3.7 Battery Limits ....................................................................................................... 8
3.8 Exclusions ............................................................................................................ 8
3.9 Oxidant Configuration .......................................................................................... 8
4. COMMERCIAL OFFER ............................................................................................... 9
4.1 Pricing .................................................................................................................. 9
4.2 Payment ............................................................................................................... 9
4.3 Delivery Time ..................................................................................................... 10
4.4 Validity of Offer .................................................................................................. 10
5. GEKKO STANDARD COMMERCIAL CONDITIONS ................................................. 11
5.1 General Terms and Conditions of Sale and Supply ............................................ 11
5.2 Special Terms and Conditions of Sale and Supply ............................................. 15
6. APPENDIX 1 – TECHNICAL DETAILS ..................................................................... 16
6.1 Technical Specifications ..................................................................................... 16
6.2 Gekko InLine Leach Reactor – Batch Automatic ................................................ 17
6.3 Technical Data Schedule – ILR1000BA ............................................................. 19
6.4 Piping and Instrumentation Diagram (P&ID) – ILR2000BA ................................. 26
6.5 General Assembly Drawing 1 – ILR2000BA ....................................................... 27
6.6 General Assembly Drawing 2 – ILR2000BA ....................................................... 28
6.7 Buenaventura Provided Mass Balance ............................................................... 29

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COMPANIA de MINAS BUENAVENTURA S.A.A - UNIDAD TAMBOMAYO PROJECT
Supply of ILR2000BA
CE2393 – Rev. 2

1. THE GEKKO SOLUTION


From start to finish, Gekko’s innovation and development cycle provides customers with
clear answers, state-of-the-art concepts, optimised installations and high recoveries.
Customers save time and effort by receiving full access to Gekko’s unique services and
products. The Gekko Solution is integrated knowledge. Knowledge that is obtained,
applied, and exploited for the greatest returns.

Metallurgical Laboratory
Mineral recovery is as much a science as it is a process. That is why Gekko’s technical
team use scientific evidence to optimise and maximise a specific mineral recovery
process. Gekko’s metallurgists, chemical engineers and laboratory specialists, in
consultation with mine operators, run a range of analytical tests on ore samples. Gekko
delivers high-quality, reliable results using specialist instruments and quality-controlled
methods.

Assay Laboratory
Gekko’s Assay Laboratory operates to the highest occupational health and safety
standards and quality control. Standard operating procedures are in place for all in-house
systems and processes. This laboratory service stems from a foundation in developing
gravity separation and intensive leach technologies for maximising gold recoveries.

Technical Services
Gekko provide world-class technical services to support their innovative technologies and
beneficial flowsheet designs. Technical services packages offer a direct and effective way
to access and integrate Gekko’s technical expertise. They also offer genuine value to
clients when whole-of-mine efficiencies are critical for optimal recoveries as well as useful
problem-solving information, operational advice, safety recommendations and
maintenance support.

Technical Consulting
Gekko’s technical consulting team review all factors that contribute to a mine’s efficiency
or operational challenge. This includes gathering information about the ore, the site
features, the constraints and the specific problem occurring. Gekko will then provide
practical, cost-effective, energy efficient solutions that can be applied to improve mineral
recoveries. Not restricted to Gekko-specific equipment or processes, Gekko apply their
combined knowledge and technical skills to provide in-depth due diligence reports, as well
as written reviews of specific survey testwork, flowsheet designs and plant operations.

Cyanide Detoxification
Responsible cyanide waste management is a priority for mining operations and offers
ecological security and financial gains when done effectively and efficiently. Gekko
supports mining companies to optimise the cyanide detox process for the best outcomes,
both ecologically and financially. Incorporating a specifically designed detox circuit
provides robust environmental and business security. Expert design and optimisation of
the process conditions, based on laboratory results and on-site tests, is critical to achieve
efficient cyanide detoxification.

Spare Parts
Even the most robust mining equipment requires a replacement part from time to time.
That’s why Gekko have spare parts for all their proprietary equipment available and ready
for immediate shipping. Better still, customers can pre-order spare parts such that they are
available on site when the time comes to replace it. Rapid availability is crucial for
preventing lost production due to ordering and shipping of parts.

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COMPANIA de MINAS BUENAVENTURA S.A.A - UNIDAD TAMBOMAYO PROJECT
Supply of ILR2000BA
CE2393 – Rev. 2

2. INTRODUCTION
Gekko has been asked to review the mass balance provided by Compania de Minas
Buenaventura (Buenaventura) and provide the best option of InLine Leach Reactor for a
proposed grinding plant feed of 3000tpd. Gekko’s analysis of this has determined the
InLine Leach Reactor feed to be 0.14 t/h as determined from point 022A centrifugal
concentrator discharge.

Gekko is unsure of the point 022B feed to ILR and from where the values have been
obtained, as water is not added to the system and have thus assumed the values above to
be correct.

Design Assumptions – ILR2000BA

ILR Type Batch


Proposed ILR Feed 0.140 t dry solids/hour
Total Batch Cycle Time 24 hours
Solids S.G. 3.2 t/m3
Type of Concentrate Cyclone

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COMPANIA de MINAS BUENAVENTURA S.A.A - UNIDAD TAMBOMAYO PROJECT
Supply of ILR2000BA
CE2393 – Rev. 2

3. SCOPE OF THE OFFER


This section describes the equipment and services that Gekko proposes to provide to you.

3.1 Equipment
This scope includes the supply of the following equipment:

Gekko ILR2000BA
 ILR Feed Tank, for concentrate reception and storage with load cell mass
monitoring
 Reactor drum and drive
 Enriched solution storage tank with load cell mass monitoring
 Level controlled reactor sump and transfer pump
 Pneumatically controlled slurry and solution valves
 Central pneumatic control cabinet
 Solenoid valves for the addition of cyanide, caustic solution, oxygen, process
water, plant instrumentation air and process water (note – peroxide may be used
instead of oxygen. To be confirmed prior to placement of order)
 Dosing pump for flocculant addition
 Steel framework for the support of the above equipment
 Electrical systems to local and International standards
 Allen Bradley Compact Logix PLC
 Allen Bradley PanelView 1000 HMI utilising RSView
 All instrumentation wired to the dedicated control cabinet
 Shop assembly and testing
 All required manuals for installation, maintenance and operations (2 copies,
English)

The technical specifications are outlined in the Technical Data Schedule and constitute our
standard scope of supply. Any changes to this may result in a variation to cost, lead time,
and availability. Drawings of the unit can be found in the Appendix.

3.2 Packing and Transport


Gekko will provide the equipment FCA Ballarat (Incoterms 2010) and will pack the
equipment into customer supplied containers suitable for transport.

Transport from this point to your site is not included. However, Gekko will be pleased to
provide a quotation for containers, transport and shipping upon request.

3.3 Construction and Installation


The quotation does not include construction and installation. Gekko’s technical engineers
are available for supervisory assistance if required.

3.4 Commissioning
Gekko has included optional pricing (additional to main offer pricing) for 10 days on site for
one Technical Engineer to perform the final installation inspection, recommend any
corrections required, perform the commissioning of the equipment and provide introductory
training for the operators. This does not include travel time to and from site.

Usually, this period of time is sufficient to provide the services quoted. Should our engineer
be required to stay longer for process optimisation or due to problems with the equipment
installation that are beyond our control, the extra time will be charged at the daily rate.

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COMPANIA de MINAS BUENAVENTURA S.A.A - UNIDAD TAMBOMAYO PROJECT
Supply of ILR2000BA
CE2393 – Rev. 2

Gekko’s formulated plan towards commissioning is simple. We take each piece of


equipment individually and sequence through a chain of processes and checks to ensure
that the equipment goes from “installation complete” to operational handover. The
commissioning process involves five stages as listed below:

 Commissioning Scoping and Development (C0)


 Pre-commissioning (C1)
 Dry commissioning (C2)
 Wet commissioning (C3)
 Ore commissioning (C4)

Each stage is accompanied by a check system that requires inspections, checks and
critical parameters to be recorded by Gekko. As each stage is completed, the associated
check documentation is collated and then signed off to ensure the quality of work meets
required standards and parameters. Formal commissioning sign off will constitute
commissioning acceptance and conclude Gekko’s scope of works.

3.5 Gekko Fatigue and Travel Policies


A Gekko Systems Fatigue Policy will apply for technical services of construction and
installation supervision and commissioning assistance. This policy outlines that a Gekko
employee is required to take an 18 hour break after 60 hours of work. For example, if a
Gekko employee works Monday to Friday (6am to 6pm) then that employee may not start
work again until 12pm on Saturday, when their 60 hours starts again.

Gekko’s Travel Policy will apply for all International travel, where a one-way continuous
flights time exceeds 6 hours, these flights must be premium economy class.

3.6 Spare Parts


We have included pricing for the standard spares for the ILR unit. The ready availability of
Gekko spare parts will ensure that your new equipment is contributing to your plant’s
profitability in the most reliable fashion possible. Gekko strongly recommends the
purchase of spare parts at the time of placing the order for the main equipment package.

Gekko classifies its spare parts recommendation in the following three categories:
 Commissioning (High Productivity Impact) – these are spare parts that are
critical and impact upon the timely commissioning of the plant
 Critical (High Profit Impact) – these are spare parts that are unlikely to fail;
however, when they do, significantly impact the duration and cost of down-time.
This also applies to spares with long lead times (due to site remoteness, freight
limitations or the item’s availability) or high value.
 Operational (Productivity & Profit Impact) – these are the day-to-day running
spares, planned maintenance spares and the consumable products and items that
are required to maintain and optimise plant performance.

Once operational, Gekko highly recommends that all spare parts are replaced as used.
Gekko will make spares holding simple and easy and is able to supply all original and
OEM parts, providing you with a single supply source. If you wish to know more, please
contact our spares department at: spares@gekkos.com

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COMPANIA de MINAS BUENAVENTURA S.A.A - UNIDAD TAMBOMAYO PROJECT
Supply of ILR2000BA
CE2393 – Rev. 2

3.7 Battery Limits


The following are the battery limits of the equipment included within the scope of this
Proposal.
 Flanges for Feed Inlet
 Flanges for Undersize Outlet
 Flanges for Oversize Outlet
 Flanges for Bypass
 Baseplates for the equipment steel structure
 Process Water Spray Water Connection

The battery limits are clearly defined in the enclosed P&ID(s).

3.8 Exclusions
The following items are excluded from the scope of the Proposal.
 Civil works – loading can be provided
 Off-loading and erection of equipment on site
 Supply of power, water and compressed air to the plant area
 Special tools or other services required for installation and commissioning
 Translations, importation documentation and certification requirements
 All travel associated with the project

3.9 Oxidant Configuration


As standard, the Gekko InLine Leach Reactor is configured for oxygen addition. If oxygen
is not available on your site, peroxide option for the ILR is available at no additional cost.
Alternative, Gekko can provide an Oxygen generation plant at additional cost. Applicable
Process and Instrumentation Diagram and General Assembly drawings can be forwarded
upon your request.

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COMPANIA de MINAS BUENAVENTURA S.A.A - UNIDAD TAMBOMAYO PROJECT
Supply of ILR2000BA
CE2393 – Rev. 2

4. COMMERCIAL OFFER
This section describes the commercial conditions for the equipment and services that
Gekko proposes to provide to you.

4.1 Pricing
The following table outlines the pricing of the equipment and services included in the
scope of the Proposal.

Capital Description Quantity Total (AUD) Total (USD)


ILR2000BA 1 $395,846 $285,009
Total $395,846 $285,009

Spares Description Quantity Total (AUD) Total (USD)


ILR1000BA Commissioning 1 $6,680 $4,810
Critical 1 $8,165 $5,880
Operational 1 $22,270 $16,035
Total $37,115 $26,725

Technical Description Quantity Total (AUD) Total (USD)


Services
Commissioning Assistance – 10 1 $30,613 $22,041
days on site, reporting, team
support (single ILR)
Total $30,613 $22,041

The figures listed above are at fixed price provided Gekko’s standard Scope of Supply with
local and International electrics is observed. Any variations to the Scope will incur a
variation cost.

Gekko reserves the right to re-price this project in the event that the AUD:USD exchange
rate moves by more than 3%. This pricing is based on 1 AUD: 0.72 USD.

Please note that the above pricing is exclusive of GST and local taxes.

4.2 Payment
Gekko’s standard payment terms are as follows:

Description Timing Due Value


Deposit At the time of placing the Purchase Order 40 %
Final Payment At the time the good are ready at our Ballarat works 60 %
and prior to despatch
Total 100%

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COMPANIA de MINAS BUENAVENTURA S.A.A - UNIDAD TAMBOMAYO PROJECT
Supply of ILR2000BA
CE2393 – Rev. 2

4.3 Delivery Time


At the date of this proposal, based on our current factory loading, lead time for the
manufacture of this equipment is 16 - 18 weeks ex-works from receipt of your official
Purchase Order and deposit into our bank account.

Subject to receipt of the above within the validity period of this proposal, this lead time will
be formally confirmed by Gekko Systems.

4.4 Validity of Offer


This offer is valid for 30 days from the date of this proposal.

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COMPANIA de MINAS BUENAVENTURA S.A.A - UNIDAD TAMBOMAYO PROJECT
Supply of ILR2000BA
CE2393 – Rev. 2

5. GEKKO STANDARD COMMERCIAL CONDITIONS


5.1 General Terms and Conditions of Sale and Supply

These General Terms and Conditions of Sale and Supply govern the terms of sale and supply of
the Goods from Gekko Systems Pty Ltd (ACN 064 618 293) (“Gekko”, “us” or “we”) to you.

1. Definitions: In these Conditions the following words shall have the corresponding meanings,
unless the context requires otherwise and if not defined herein shall have the meaning set out
in the Schedule:
 “Customer” means the person, firm or company who purchases the Goods from us, more
particularly described in the Schedule (otherwise referred to as “you”).
 “Conditions” means these General Terms and Conditions of Sale and Supply, including the
Special Terms and Conditions of Sale and Supply and the Schedule.
 “Goods” means any products, goods, plant and equipment, accessories, materials or spare
parts (whether capital, operational or otherwise) and services to be supplied by us to you
pursuant to these Conditions and more particularly described in the Schedule.
 “Party” means either Gekko or the Customer and “Parties” means both Gekko and the
Customer.
2. Interpretation: In these Conditions unless the context otherwise requires:
a) headings are for convenience of reference only and do not affect interpretation;
b) words importing the singular include the plural and vice versa;
c) a reference to an Act of Parliament, includes that Act as amended or replaced and all
regulations made under it;
d) a reference to a “person” includes any individual, company, partnership, joint venture,
association, corporation or other body corporate and any Government body;
e) a covenant or agreement on the part of two or more persons binds them jointly and severally;
and
f) where any form of the words “include” appears, it is to be read as if followed by the words
“without limitation”.
3. Supply and Ordering: In consideration of the payment of the Price we sell to you and you buy
from us the Goods on the terms and conditions set out herein. These Conditions apply to the
supply of all Goods to you by us.
4. Delivery Date: We shall use our best endeavours to deliver the Goods to the Delivery Address
by the Delivery Date. The Delivery Date is intended to be a good faith estimate and time for
delivery shall not be of the essence. If no date is specified in the Schedule, delivery shall be
within a reasonable time.
5. Use of Goods: You must not use the Goods in any way other than as specified in the
operating manual, nor for any purpose other than the intended use of the Goods.
6. Risk and Title: Risk in the Goods passes to you at the Delivery Address. If for any reason you
fail to accept delivery of any of the Goods when they are ready for delivery, or we are unable to
deliver the Goods on time because you have not provided appropriate instructions, documents,
licences or authorisations we may store the Goods until successful delivery, whereupon you
shall be liable for all related costs and expenses (including, without limitation, storage and
insurance).
7. Retention of Title: Title in and to the Goods shall not pass to you until payment in full for all
Goods is received by us. Until title in and to the Goods passes to you, you shall hold the
Goods as our bailee and a fiduciary relationship shall exist between us.
8. Payment: The Price shall be payable in accordance with the payment terms set out in the
Schedule. Any deposits or instalment payments that you make to us become our property
upon receipt and are non-refundable.
9. Interest: We may charge interest on any outstanding amounts at the National Australia Bank
30 Day Bank Bill Rate applicable from time to time, plus two per cent.
10. Failure to Pay: If you fail to make payment by the Payment Date(s), we reserve our rights to
stop making further deliveries of Goods and to stop manufacturing the Goods until overdue
payments together with applicable interest are made. No payment is deemed to be made until
actually received by us.

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COMPANIA de MINAS BUENAVENTURA S.A.A - UNIDAD TAMBOMAYO PROJECT
Supply of ILR2000BA
CE2393 – Rev. 2

11. Liability and Warranty: You shall inspect and examine the Goods for defects and during the
Warranty Period, you shall be entitled to send us a notice (Defects Notice) that sets out in
detail any defects in the Goods (Defective Goods). We shall be entitled to disregard any
Defects Notice that we receive after 14 days of the defect becoming apparent. For the
purposes of these Conditions, Warranty Period means the period that ends 12 months after the
Goods are commissioned at the place where the Goods are located or 18 months from the
date that the Goods leave our premises at 321 Learmonth Road, Ballarat, Victoria, Australia,
whichever is the earlier.
12. As soon as practicable after we receive a Defects Notice, we shall notify you whether we
accept liability for the defects. If we accept liability for the defects, wherever practicable (but
subject to clauses 13 to 18), we shall remedy the defects at the place where the Goods are
usually located. However, if we determine that we are unable to remedy the defects at the
place where the Goods are located, we shall notify you of the place where you are required to
bring the Defective Goods so that we are able to remedy the defects. You shall bear the costs
of bringing the Defective Goods to the place we notify you and of returning the Defective
Goods to the place where the Goods are usually located. If we determine that we are unable to
repair the Defective Goods, we shall replace the Defective Goods in which case, you shall
return the Defective Goods to 321 Learmonth Road, Ballarat, Victoria 3350 Australia at your
cost so that we can assess whether a claim can be made against the manufacturer or any
other third party in respect of the Defective Goods.
13. To the extent permitted by law, our liability for: (a) a breach of these Conditions (including any
condition or warranty implied by law); and (b) a defect notified by you in accordance with
clause 11, is limited, as decided by us, to any one of the following: (i) the replacement of the
Goods or the supply of equivalent Goods; (ii) the repair of the Goods or payment of the cost of
having the Goods repaired; or (iii) the refund of the price paid by the Customer for the Goods.
14. Notwithstanding anything else contained herein, our liability arising from or relating to faulty or
defective design of the Goods shall be limited to the provision of revised design
documentation. You shall bear all additional cost arising from or relating to faulty or defective
design of the Goods including but not limited to the additional cost associated with the supply
of any additional Goods.
15. Our liability under clause 13 does not apply if:
a) you do not comply with our manual, operating, storage or handling instructions; or
b) you use the Goods for any purpose other than the intended use of the Goods; or
c) you have anyone other than us commission or work on the Goods (unless we otherwise
agree in writing); or
d) you install a spare or replacement part in the Goods that we do not supply (unless we
otherwise agree in writing); or
e) your staff does not undertake the necessary initial or ongoing training in order to operate
the Goods.
16. Save as expressly provided herein, all warranties, conditions, representations or other terms,
implied by statute or common law, including those relating to merchantability, description,
quality, suitability, fitness for any purpose, design, assembly, installation, materials or
workmanship or otherwise, are excluded to the fullest extent permitted by law.
17. Limitation of Liability: We exclude all liability whatsoever to you arising out of or in any way
connected with these Conditions for any pure economic loss, loss of profits or savings (actual
or anticipated), loss of income, loss of business, loss of opportunity, depletion of goodwill, (in
each case whether direct, indirect or consequential), or any claims for consequential, special,
incidental or indirect losses of any kind howsoever arising and whether caused by breach of
statute, breach of contract, negligence or other tort.
18. Save as set out in clause 13 and subject to clause 17, our entire liability to you in tort (including
negligence and breach of statutory duty), contract, or otherwise arising in connection with the
performance or contemplated performance of these Conditions shall be limited to the amount
paid by you for the Goods.
19. Default: If any of the events set out in (a) to (d) below occur, we may, without prejudice to any
other action, right or remedy which we have at law or in equity, withhold further deliveries or
cancel these Conditions, upon written notice to you:
a) you fail to remedy a breach of any material term of these Conditions within 14 days of a
remedy notice from us;
b) you default in any payments or become unable or state that you are unable to pay your debts
as and when they fall due;

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c) you (where you are an individual) commit an act of bankruptcy or have a controller or trustee
appointed in respect of your estate or any part of your property or assets, or you (where you
are a company) pass a resolution for your winding up or you enter into liquidation or have an
application for winding up filed against you or you enter into any scheme of arrangement with
your creditors (or circumstances exist that it is reasonable for us to conclude that the you
may do so); or
d) a receiver, receiver and manager, controller or voluntary administrator is appointed over any
part of your property or assets.
20. Intellectual Property: Nothing in these Conditions shall be construed as granting any right,
title or interest in any of our patents, registered designs, trademarks, trade secrets, know-how
or other intellectual property rights in relation to the Goods or otherwise (“Intellectual Property
Rights”). Any and all Intellectual Property Rights shall be our sole and exclusive property. For
the avoidance of doubt, the supply of Goods by us shall not confer any right, title or interest
upon you to use any of our Intellectual Property Rights (including any of our trademarks or
trade names or those of our related bodies corporate) without our prior written consent.
21. You shall immediately notify us of any actual or suspected infringement of our Intellectual
Property Rights and provide us with reasonable cooperation in relation to same.
22. The Intellectual Property Rights have significant commercial value to us. You must not at any
time disclose to any person the design or specification of the Goods, nor permit any person to
reverse-engineer them. If you become aware that any other person has reverse-engineered
the Goods, you shall immediately notify us.
23. Any and all intellectual property rights developed by you, or on your behalf, in the course of
using the Goods, whether by way of improvements or otherwise, shall automatically vest in us
and to the extent that same do not automatically vest, you hereby irrevocably assign to us with
full title guarantee, and agree that such intellectual property rights shall be our exclusive
property
24. Travel to Site: In the event that your site is located in a region classified as Category 4
“Reconsider Your Need to Travel” or Category 5 “Do Not Travel” by the Australian Department
of Foreign Affairs and Trade, Gekko reserves the right to not supply staff to travel to site.
25. Restocking Fee: In the event that an order for spare parts is cancelled, a restocking fee of
15% of the order value shall be payable to Gekko.
26. Statutory Provisions: These Conditions shall be subject to the provisions of the Trade
Practices Act 1974 (Cth) (to the extent applicable) and any other relevant and applicable State
and/or Commonwealth legislation, as amended and in force for the time being.
27. The Parties agree to exclude from these Conditions the application of the Agreement of the
United Nations Convention on Contracts for the International Sale of Goods as given effect by
the Sale of Goods (Vienna Convention) Act 1987 (Vic) or any accession to or adoption of the
Convention by a state or country the laws of which may at any time be or become applicable to
these Conditions.
28. Taxes: Unless otherwise expressly stated, the price and all amounts payable under these
Conditions are exclusive of GST. If GST applies to any supplies by us, you will pay an
additional amount to us equal to the GST payable on the supply at the same time that payment
for the supply is to be made under these Conditions, and we will issue a tax invoice to you in
respect of the supply. Terms used in this clause have the same meaning as in the A New Tax
System (Goods and Services Tax) Act 1999 (Cth).
29. You must pay all taxes, duties and imposts of every kind, both Australian and of any other
country with respect to the sale, the Goods and the export or import of the Goods. Without
limitation, you must pay all sales tax and goods and services tax (and similar taxes), with
respect to the supply of the Goods.
30. Force Majeure: We shall not be responsible for any delay, suspension or failure arising out of
any circumstances outside of our reasonable control, including but not limited to, acts of God,
governmental actions, strikes, lockouts or other labour difficulty, war or national emergency,
acts of terrorism, blackouts, fire, explosion, flood, an act or omission of a third party, inability to
obtain any necessary materials, equipment, facilities or services, delay in receipt of parts, the
failure of equipment supplied by others, power or water shortage, accidents or breakdown of
plant, machinery, software, hardware or communication network.
31. No Waiver: Failure or delay by us in enforcing or partially enforcing any provision in these
Conditions will not be construed as a waiver of any of our rights under these Conditions.

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32. Severability: If any provision of these Conditions is found by any court, tribunal or
administrative body of competent jurisdiction to be wholly or partially illegal, invalid, void,
voidable, unenforceable or unreasonable it shall be deemed severable to the extent that and
the remaining provisions of these Conditions shall continue in full force and effect.
33. Notices: All notices between the Parties in connection with these Conditions shall be in
writing and delivered by hand, sent by registered post or fax to the relevant Party's address,
which in your instance shall be your address specified in the Schedule and for us will be 321
Learmonth Road, Ballarat, Victoria 3350 Australia; fax number 613 5339 5830 (unless we
notify you otherwise).
34. Confidentiality: You agree to keep confidential all information which are disclosed to or
obtained by you and which relates to the Goods supplied.
35. Entire Agreement: These Conditions will, unless we agree otherwise in writing, be the only
terms and conditions to which the Parties will be bound, and you agree that these Conditions
will in all circumstances prevail over your terms and conditions of purchase (whether contained
in a purchase order or otherwise).
36. All purchase orders, written or oral, issued by you to us shall constitute an offer to us under
these Conditions. Upon receipt of a purchase order, we will advise whether the Goods are
available, confirm that we accept the purchase order and notify that we are able to fulfil the
purchase order within a reasonable and mutually agreed time. No purchase order shall be
deemed to be accepted by us until such time as we have made a written acceptance of the
purchase order.
37. These Conditions constitute the entire agreement between us relating to the sale and supply of
the Goods and supersede and exclude all prior and other discussions, representations
(contractual or otherwise), arrangements and correspondence relating to the subject matter
hereof including, but not limited to, those relating to the performance and use of the Goods or
the results that ought to be expected from using the Goods. No amendments to, or variations
of, these Conditions shall be of any force of effect until they are in writing and have been
expressly agreed to by duly authorised representatives of the Parties.
38. Assignment: You must not, without our prior written approval, assign all or part of your rights
and obligations under these Conditions to any other person.
39. Mediation and Arbitration: Subject to clause 40, in the event of any dispute arising between
the Parties under these Conditions, either Party may notify the other that a dispute has arisen.
The Parties must then endeavour in good faith for a period of 14 days to mediate the dispute
through their nominated representatives. If the dispute is not resolved within the 14 days
period, the Parties must through their Chief Executive Officers (or their nominees) endeavour
in good faith for a further period of 14 days to resolve the dispute. If the dispute cannot be
resolved in accordance with the foregoing provision, it will be resolved in Melbourne, Victoria,
Australia by arbitration pursuant to the Commercial Arbitration Act 1984 (Vic).
40. Clause 39 will not operate to prevent (a) Gekko exercising its remedies under these Conditions
in relation to or arising out of a failure by the Customer to pay the Price or any part of it or (b)
either Party from seeking interim or provisional relief in respect of the subject matter of the
dispute from any court having jurisdiction.
41. Governing Law: The supply and sale of Goods under these Conditions is governed by the law
of the State of Victoria, Australia. The Parties hereby submit to the exclusive jurisdiction of the
courts of the State of Victoria, Australia.
42. Personal Property Securities Act: In this clause:
a) PPSA means the Personal Property Securities Act 2009 (Cth).
b) PPS Law means:
i. the PPSA and any regulations made at any time under the PPSA, as amended
from time to time; and
ii. any relevant amendment made at any time to any other legislation.
c) Security Interest has the meaning given to it in the PPS Law.

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If either Party notifies the other Party that it has determined that:
i. this Contract (or a transaction in connection with it);
ii. any right or claim which it may have in respect of any property under or otherwise
in connection with this Contract or any transaction contemplated by this Contract;
or
iii. any goods, materials, plant or equipment being held by the other Party,
is or contains a Security Interest for the purposes of the PPS Law, the other Party agrees to do
such things (such as obtaining consents, signing and producing documents, getting
documents completed and signed, seeking priority arrangements with other secured parties
and supplying information) as the Party may reasonably require for the purposes of:
iv. ensuring that the Security Interest is enforceable and otherwise effective and has the
priority contemplated by the Security Interest;
v. ensuring that the Security Interest is and remains vested in the Party; or
vi. enabling the Party to apply for any registration in accordance with the PPS Law.
43.

5.2 Special Terms and Conditions of Sale and Supply


These Special Terms and Conditions of Sale and Supply for part of the Conditions above and apply
to certain Goods supplied by under such Conditions, as the context permits.

1. Installation: If so specified in the Schedule, we shall carry out installation of the Goods for you
at the Delivery Address or at such other place agreed by the Parties pursuant to these
Conditions. Unless specified otherwise in the Schedule the cost of such installation services
shall be at our standard rates as at the date of these Conditions.

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6. APPENDIX 1 – TECHNICAL DETAILS


6.1 Technical Specifications

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6.2 Gekko InLine Leach Reactor – Batch Automatic


Gekko Systems leads the world in intensive cyanidation development and
commercialisation with more than 150 units sold worldwide. The ILR was designed to
optimise the recovery of gold and silver from high-grade gravity and flotation concentrate
streams. We are further experienced in treating complex sulphides, preg-robbing ores and
free gravity gold. We are committed to providing quality metallurgical outcomes for
customers, specialising in gravity concentration and intensive cyanidation.

Particular benefits of the Gekko ILR include:


 Gekko’s experience in dealing with gravity concentrates – the ILR offers a
flexible reagent regime which can be fine-tuned for each application.
 Gekko’s global experience – we have been installing ILRs in many different
regions around the world since the 1990’s and have dealt with a wide range of
metallurgical, mechanical and environmental issues including high arsenic levels,
extreme temperatures, altitude, humidity and fine wind-driven dust.
 Fully proven solids washing step for cyanide removal in the solid tails – The
Gekko ILR can be programmed so that one, two or even three wash stages are
employed to drop the solid tails cyanide levels to acceptable levels.
 Simple design, easy to operate and maintain - the ILR is fully automated and
requires very little operator interaction on a daily basis. All of the components
supplied by Gekko have a low weekly maintenance component. The ILR only
requires a visual inspection and greasing once a day.
 The circuit captures and leaches fine and coarse gold – the ILR does not lose
fine gold to tails in the de-slimming process (no fines blow-off). There is no loss of
floating gold, no blocking of membranes with coarse gold and no potential for dead
zones in the leach due to solution channelling – the ILR has continuous aggressive
mixing! The world’s best leaching practice for fastest kinetics is the “bottle roll
technique” and the ILR is a production-scale version of the bottle roll.
 Low operating costs – the ILR uses either oxygen or peroxide as the oxidant for
the leach reaction so no exotic leach reagents are required. The ILR does not
require solution heating due to thorough mixing in the reaction zone.
 Flexibility – the ILR produces a clear pregnant gold/silver solution that is suitable
for direct electrowinning, treatment via a Gekko Resin Column or Merrill Crowe
circuit or another recovery system as required by the client.

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 Gold/Silver accounting is designed into the ILR – composite solution and slurry
samples of all products are automatically collected during the relevant steps. All
transfer masses are recorded by the control system by recording the mass of the
storage cones before and after all transfers. This allows for accurate gold/silver
accounting.
 The ILR circuit is a complete integrated system with all components
designed by the manufacturer – this allows the complete integration of the
automation and control system. A PLC system (Allen Bradley is standard) controls
the unit.

ILR Rolling Drum Technology = THE MOST EFFICIENT CHEMISTRY

Other advantages of the ILR include:

 Proven fastest leach kinetics enabling effective and efficient turnaround of leach cycles
 Skid-mounted modular design. Easy to ship, easy to install.
 Fully developed control philosophy and operating procedures with highest availability
 Fast installation due to modular design
 Low installed power and even lower power consumption
 Space efficient design
 Dedicated clarification step reliably produces clear electrowinning solutions

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COMPANIA de MINAS BUENAVENTURA S.A.A - UNIDAD TAMBOMAYO PROJECT
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CE2393 – Rev. 2

6.3 Technical Data Schedule – ILR2000BA


The following information provides the technical data specific to your Gekko Systems product.

This data may assist you to fully evaluate the product and may be used in specifications for the
equipment. The data is given for our standard products. Variations to this standard may result in
price variations.

The information disclosed is the subject of Provisional Patent Application No PP2304; South
Africa, Filing No. 99/1691

Additional data, documentation and drawing are available upon request.

In the event of acceptance of this proposal, the equipment offered in the scope will be supplied, as
a minimum, to the standards described in this Appendix.

TECHNICAL DATA SCHEDULE – ILR2000BA

IDENTIFICATION
Seller: Gekko Systems Pty Ltd
Equipment Name: Intensive Cyanidation System
Equipment Make: InLine Leach Reactor (ILR)
Equipment Model: ILR2000BA

OVERALL DIMENSIONS
Length: mm 7258 (8343 with electrical cabinet)
Width: mm 2270
3
Height: mm 6900 (for 10m solution tank)

FEED/THROUGHPUT
Feed per batch: kg Up to 5000 maximum

WATER SUPPLY
3
Leach Make-up m /batch ~6 (dependent on concentrate Grade
(water or recycled): required)
3
Tails Discharge Water min.m /hr ~15
Make-up:
Minimum Pressure: kPa 200

ENRICHED (PREGNANT) SOLUTION


3
Flow Rate: m /hr 1-20
Gold Loading: ppm 50 – 3000
Oxygen Levels: ppm (DO) 3 – 30
Cyanide Solution Grade: % 0.5 – 5
Caustic: % 0–3

ILR FEED CONE


3
Volume: m 7.5 (or to suit application)
Material: Carbon steel
Diameter: mm 2200 (or to suit application)
Height: mm 3500 (or to suit application)

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ILR SOLUTION CONE


3
Volume: m 10 (or to suit application)
Material: Carbon steel
Diameter: mm 2200 (or to suit application)
Height: mm 4200 (or to suit application)

REACTOR DRUM
Material: Carbon Steel
Internal Length: mm 3370
Internal Drum Diameter: mm 1780
Discharge Diameter: mm 300
3
Usable Volume: m 2.83
Mass of Resident Load tons ~5
(at 3.0 s.g.):

REACTOR DRUM DRIVE/BRAKE MOTOR


Motor Type: SEW 4 pole (Standard)
Voltage: V AC 415, 3 phase
Starter Control: Allen Bradley AC Variable speed drive
Electrical Rating: kW 4
Protection Rating: IP 56

DRUM DRIVE GEARBOX


Gearbox Type: SEW Double Reduction
Ratio: 158:1
Chain: RS160
Drive Sprocket: 18 tooth
Drum Sprocket: 124 tooth

RECIRCULATION/TRANSFER PUMP (FOOT MOUNT)


Motor Type: Weg/Teco 4 pole standard
Voltage: V AC 415, 3 phase
Power: kW 7.5
Protection Rating: IP 56

VARIABLE SPEED DRIVES


Recirculation/Transfer Pump: Allen Bradley Powerflex 70# to suit motor
Reactor Drum: Allen Bradley Powerflex 70# to suit motor

SENSORS
Feed Cone: Kelba Load cell 24V, 0 – 100mV
Solution Cone: Kelba Load cell 24V, 0 – 100mV
Load Cell Transmitters: Ranger 1203 24V, 4 – 20mA
Pregnant Solution IFM LR3000, 24V, 4 – 20mA
Sump Level Sensor: 0.3 to 10m
range
Pregnant Solution pH Probe: Yokogawa FU20
pH Probe Transmitter: Yokogawa 24V, 4 – 20mA
PH450

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CONTROL SYSTEM
PLC: Allen Bradley CompactLogix
Display: Allen Bradley Panelview 1000
Communications: Allen Bradley Compact Ethernet*
Pneumatic Control FESTO Solenoid Valves
Valves:
Local Control Panel: Push Button
Instrument Power Supply: 24V DC (110V AC optional)
*If SCADA communication is required, the PLC may require an upgrade. This can be provided on
client request as a variation.

MAIN ELECTRICAL CONTROL PANEL


Quantity: 2x SS
Cabinet Dimensions: mm (HxWxD) 1000 x 800 x 255
Supply Voltage: V AC 415, 3 phase
Control Voltage: V DC 24
Features:  Typical motor circuit – Main manual isolator – Circuit
breaker – VSD
 PLC output to Reactor Drum VSD, controlling speed and
direction
 Independent brake motor control
 Local isolation for each motor
 Local/Remote control from control panel
 Manual override for individual outputs from HMI
 Lockable Safety Isolation Switch

PNEUMATIC CONTROL PANEL


Quantity: 1x SS
Cabinet Dimensions: mm (HxWxD) 580 x 580 x 255
Control Voltage: V DC 24

RECIRCULATION/TRANSFER PUMP
Pump Type: Warman BAH 2/1.5
Features:  Rubber lined
 Steel impeller
 High seal expeller
 Grease packed gland seal
#see next page for pump curve

REAGENT PUMPS (dependent on consumption rates)


Sodium Cyanide: Sandpiper ¼” air diaphragm
Flocculant: Sandpiper ¼” air diaphragm
Sodium Hydroxide: Sandpiper ¼” air diaphragm

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INSTRUMENT AIR USAGE


Instrument Air Usage: Nominal 7L/min at 600 kPa

REAGENTS
Sodium Cyanide:  ~15 kg/t concentrate NaCN (consumed), 40 kg/t
concentrate (added)
 0.5 – 4% CN in leach solution
 Supply concentration 10 – 25 %w/w
 Reagent tank either mild steel or HDPE with agitator
 Pump using sandpiper ¼” pump
Sodium Hydroxide:  ~20 kg NaOH/t concentrate. Extra may be required for
electrowinning
 0 – 3 %w/w in leach solution
 Supply concentration 25 – 50 %w/w
 Reagent tank either mild steel or HDPE with agitator
 Pump using sandpiper ¼” pump
Oxygen:  Alternative for Hydrogen Peroxide
 0.2 – 3 kg/t concentrate per leach hour at 400 kPa
 Added via a ceramic sparger
 Supplied under pressure from bottles or other sources
Hydrogen Peroxide:  Alternative for Oxygen
 1 – 2 L/t concentrate per leach hour
 Supply concentration 50 %w/w
 Stainless steel reagent tank or LDPE container
Flocculant:  Consumption is typically 50 g/t concentrate
 Supply concentration 0.1 – 0.3 %w/w Magnafloc 10 (Ciba)
recommended
 Reagent tank either mild steel or HDPE with agitator
 Pump using sandpiper ¼” pump
Proleach:  Optional – if required
 1 kg/t concentrate typical
Lead Nitrate:  Optional – if required
 <2 kg/t concentrate typical

BATTERY LIMIT CONNECTIONS


Feed Slurry: 150 Table D Flange
Supply Water: 50 Table D Flange
Feed and Solution Cone 100 Table D Flange
Overflows:
Pregnant Solution: 50 Table D Flange
Tailings Solids Nozzle, size: 50 Table D Flange
Wash to CIL (optional): 50 Table D Flange
Samplers (2off), size: 12 mm & 25 mm hose
Reagent Inlet Nozzles 25 Table D Flange
(3 or 4 depending on
application):
Flocculant Addition: 15 Table D Flange
Oxygen Addition: 15mm NPT female
Peroxide Addition: 15mm NPT female
*alternate flange types can be provided on client request at addition cost
**refer to P&ID for more detail on connections points and battery limits

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VALVES
XV01 – Reactor Drum Drain: Keystone 50mm actuated butterfly spring close, Cast
iron body/316 SS internals/EPDM seat
XV02 – Feed Cone Dump Keystone 50mm air actuated knife-gate, 316 SS body
Valve: and knife/Urethane seat
XV03 – Solution Recirculation Keystone 50mm actuated butterfly, Cast iron
Control Valve: body/316 SS internals/EPDM seat
XV04 – Tails Isolation Valve: Keystone 50mm actuated knife-gate, 316 SS body
and knife/RTFE seat
XV05 – Solution Isolation Keystone 50mm actuated butterfly, Cast iron
Valve: body/316 SS internals/EPDM seat
XV06 – Pregnant Solution Keystone 50mm actuated butterfly, Cast iron
Isolation Valve: body/316 SS internals/EPDM seat
XV07 – Return Solution Keystone 50mm actuated butterfly, Cast iron
Isolation Valve: body/316 SS internals/EPDM seat
XV08 – Solution Storage Keystone 50mm actuated butterfly, Cast iron
Tank Drain: body/316 SS internals/EPDM seat
XV09 – Auto Sampler – Keystone 25mm actuated butterfly, Cast iron
Tails Slurry: body/316 SS internals/EPDM seat
XV10 – Auto Sampler – Keystone 25mm actuated butterfly, Cast iron
Pregnant Solution: body/316 SS internals/EPDM seat
XV11 – Water Make Up: Keystone 25mm actuated butterfly, Cast iron
body/316 SS internals/EPDM seat
XV14 – Water Addition Valve: Keystone 50mm actuated butterfly, Cast iron
body/316 SS internals/EPDM seat
XV15 – Feed Cone Flush Keystone 25mm actuated butterfly, Cast iron
Water: body/316 SS internals/EPDM seat
XV16 – Solution Tank Flush Keystone 25mm actuated butterfly, Cast iron
Water: body/316 SS internals/EPDM seat
XV17 – Solution Tank Decant Keystone 50mm actuated butterfly, Cast iron
Valve: body/316 SS internals/EPDM seat
XV56 – Reagent Control – Sandpiper Diaphragm pump, PTFE internals and ½”
Peroxide 316 SS check valve
(alternative to XV57):
XV57 – Reagent Control – Keystone* Ball valve, spring close, 316 SS, PTFE
Oxygen internals
(alternative to XV56):
XV59 – Reagent Control – Burkett 25mm actuated globe valve,
Cyanide** or Sandpiper or ½” Diaphragm pump
(optional pump):
XV60 – Reagent Control – Burkett 25mm actuated globe valve,
Caustic** or Sandpiper or ¼” Diaphragm pump
(optional pump):
XV61 – Reagent Control – Burkett 15mm actuated globe valve,
Flocculant or Sandpiper or 1¼” Diaphragm pump
(optional pump):
* Oxygen (optional) automated oxy clean ball valve
** Can be supplied from ring main

FOUNDATION LOADINGS
Static (vertical, operating): kg 53,810
Static (vertical, sanded): kg 66,518
Dynamic (vertical): kg minimal

LININGS
Reactor Drum: Steel
Pumps: Rubber
Reactor Discharge Sump: Steel

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CE2393 – Rev. 2

PACKING, TRANSPORT, STORAGE AND HANDLING INFORMATION


Total Transport Mass: kg ~11,500
Mass of Heaviest Erection kg ~9,000
Item:
Mass of Heaviest kg ~3,700
Maintenance Item:
Transport Dimensions of All 2x12m Container
Items:

OTHER
Required Maintenance mm 1000 (vertical and horizontal)
Clearances:
Manufacturer’s Standard  Blast to Class 2.5 white blast finish
Painting and Protective  1 coat of two pack BARMASTIC EMH-390
Coating System: (surface tolerant/self-priming topcoat)
 120 mic. (minimum)
 Colour – New CAT yellow
Holding Down Bolts – Size  7 only M24 x 270
and Quantity:
Lubrication Requirements –
Caustic Resistant Grease: Ultratak OLIT CLS
Drum Drive Gear Oil: ISO, NLGI – VG220

The manufacturer reserves the right to make changes to the given specifications without notice.

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6.4 Piping and Instrumentation Diagram (P&ID) – ILR2000BA

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6.5 General Assembly Drawing 1 – ILR2000BA

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6.6 General Assembly Drawing 2 – ILR2000BA

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6.7 Buenaventura Provided Mass Balance

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