If the Company gives to the Minister the notice referred to in subclause 1 of Clause 34 then
9 If the Company gives to the Minister the notice referred to in subclause 1 of Clause 34 then
the Company shall not later than the thirty‑first day of December, 1968, commence and thereupon diligently proceed with the construction and establishment on the work sites of a solar salt plant designed to have the capacity to produce and to load into ships not less than 475,000 tons of salt per annum, and estimated with its equipment and staff housing to cost not less than $5,000,000. The Company shall complete the construction and establishment of the plant not later than the thirty‑first day of December, 1972.
the Company will be obliged subject to it obtaining satisfactory markets and finance to progressively increase the capacity of the plant to produce and load into ships not less than one million tons of salt per annum.
Royalty 3
10. (1) Throughout the continuance of this Agreement the Company shall pay to the State a royalty on all salt produced at the work sites and shipped computed as set out hereunder: —
Rate per ton
On the first 500,000 tons in any year 5 cents
On the second 500,000 tons in any year 6.25 cents
On all tonnages in excess of 1,000,000 tons in any year 7.5 cents
Tonnages shall be ascertained at Dampier in such manner as the parties hereto may from time to time agree upon.
Returns 3
Within twenty‑one days after the quarter days being the last days of March, June, September and December in each year commencing with the quarter day next following the first shipment of salt produced at the work sites the Company shall furnish to the Minister for Mines a return showing the quantity of all salt the subject of royalty hereunder shipped during the quarter ending on the respective quarter day and shall not later than one month after the date on which such return is due pay to the State the royalty in respect of all salt shipped during that quarter.
Inspection of Records 3
Throughout the continuance of this Agreement the Company shall permit a nominee of the Minister for Mines to inspect at all reasonable times the books of account and records of the Company relative to the production of salt on the work sites and any sale or shipment thereof and to take copies or extracts therefrom so far as is necessary for the purpose of determining the royalty payable in respect of salt shipped hereunder. The Company will take reasonable steps to satisfy the State either by the certificate of a competent independent party acceptable to the State or otherwise to the reasonable satisfaction of the Minister for Mines as to all relevant weights and will give due regard to any objection or representation made by the Minister for Mines or his nominee as to any particular weight of salt which may affect the amount of royalty payable hereunder.
Other Charges 3
11. The State may make or cause to be made against vessels using any jetty erected by the Company the usual charges from time to time prevailing in respect of services rendered to vessels by the State or any agency instrumentality or other authority of the State and may charge vessels using any such jetty such conservancy and pilotage charge or dues as are payable from time to time pursuant to the provisions of any Act.
Escalation 3
12. (1) Notwithstanding anything herein contained it is hereby agreed by and between the parties hereto in order to provide for the equitable performance of this contract that in the event of the price of salt (as hereinafter defined) on the 14th, 21st, 28th, 35th, 42nd, 49th or 56th anniversaries of the commencement date (being the day of the commencement of the term of the lease of the production site) exceeding the price of salt on the 7th anniversary of the commencement date, then the percentage by which the price of salt on the relevant anniversary exceeds the price of salt on the 7th anniversary of the commencement date shall be calculated and the several amounts and payable by the Company to the State as —
rental under paragraph (b) of subclause (1) of Clause 3;
rental under subclause (3) of Clause 4;
royalty under subclause (1) of Clause 10;
shall be increased by the percentage so calculated and such increased amounts in respect of those items shall be payable by the Company to the State during the seven (7) years next following the relevant anniversary.
For the purposes of this Clause the price of salt on the 7th anniversary of the commencement date and on each of the aforesaid anniversaries means the average price of salt shipped from the work sites during the previous year payable by the purchaser or purchasers thereof to the Company less all export duties taxes and fees payable to the Commonwealth on the export of salt and the costs and expenses properly incurred and payable by the Company in respect of that sale from the time it is shipped to the time it is delivered to and accepted by the purchaser or purchasers including —
ocean freight;
marine insurance;
port and handling charges at the port of discharge:
all costs properly incurred in delivering the salt from the port of discharge to the purchaser as evidenced by relevant invoices;
all weighing, sampling, analysis, inspection and representation costs;
all shipping agency charges after shipment; and
all import taxes imposed or levied by the country or the port of discharge.
Throughout the continuance of this Agreement the Company shall use its best endeavours to obtain for the salt produced at the production site the best price possible having regard to market conditions from time to time prevailing.
Housing 3
13. (1) Subject to the provisions of this Clause the state will on the written application made from time to time by the Company for land for housing or staff amenity purposes grant to the Company in such locality as land is available therefor a lease of such vacant lots as the Company requests on the following terms and conditions namely: —
for a term of five years commencing from a day to be agreed upon by the parties hereto;
at a rental sufficient to reimburse a reasonable proportion of the costs (if any) incurred by the State in the preparation of the land for subdivision;
that the lessee will within eighteen months of the commencement of the term of each lease granted for housing purposes complete on the land the subject of that lease the erection of a building for the accommodation for a family or single persons at a cost of not less than $15,000;
that on the expiration of the term of the lease and subject to the due and punctual observance and performance by the lessee of all the covenants agreements and conditions on the lessee’s part therein contained, on the request of the lessee the State will grant to the lessee an estate in fee simple in the land the subject of the lease at a price not exceeding two hundred dollars ($200) plus Crown Grant and survey fees;
that the Company will not sell transfer assign sub‑let or mortgage charge or encumber any lease without the consent of the Minister first had and obtained PROVIDED THAT the consent of the Minister shall not be required to the transfer assignment or sub‑lease to an employee of the Company of a lot leased for housing purposes nor to any mortgage of a lot in respect of which the Company has complied with paragraph (c) of this Clause in relation to that lot;
that the Company will pay to the relevant local authority (when requested by the local authority so to do) such amount as the local authority reasonably requires at the time of the grant of the lease to enable it to supply or make available the usual services;
otherwise on such terms and conditions as are reasonably required to give effect to the provisions and objects of this Agreement.
The State shall not be required to lease to the Company pursuant to this Clause more than one hundred lots. The request for each lot shall be made by the Company at least six months before the Company requires the lease of that lot to be granted to it. In the event of the Minister consenting under the provisions of paragraph (e) of subclause (1) of this Clause to a transfer assignment or subletting of the lot the State shall not be required to lease another lot in lieu of the lot so transferred assigned or sublet.
Road Transport 3
14. (1) Subject to the provisions of subclause (2) of this Clause it shall be lawful for the Company to use for the carriage of salt on any public road between the production site and the stockpile site prime movers each with two trailers the combined length of which shall not exceed eighty‑five (85) feet notwithstanding any provision in any Act to the contrary.
The right conferred by subclause (1) of this Clause shall operate until the tenth anniversary of the day of the first shipment of salt and thereafter until determined by not less than three years’ notice in writing by the State. Such notice may be given to expire on the tenth anniversary of the day of the first shipment of salt or at any time thereafter.
Sea Water 3
15. The Company may without charge draw, take and use sea water for all or any one or more of its operations in respect of the mining extraction and production of salt on the work sites and the Company may store at such place within the work sites as may be convenient or discharge at or below high water mark at such points near to the work sites as are approved by the State residual brines resulting from those operations. If requested by the Company the State shall grant to the Company any necessary easement or licence for these purposes over Crown lands upon such terms and conditions as shall be reasonable having regard to the requirements of the Company under this Clause and the overall development and use by others of those Crown lands. Subject to the Company’s compliance with the Mining Act and all other relevant statutes and regulations for the time being in force the Company if and when it becomes economical so to do shall have the right to the exclusion of any other person to mine and recover any other minerals, substances or chemicals in the said residual brines.
Rights of Ingress and Egress 3
16. The State shall from time to time on the written application of the Company grant to the Company a license or licenses over Crown lands to permit the Company by its servants agents contractors invitees and customers the right of ingress to and egress from all or any one or more part or parts of the work sites on such terms and conditions as shall be reasonable having regard to the requirements of the Company in respect of the construction maintenance operation and inspection of the improvements from time to time constructed or installed on the work sites and to the overall development and use by others of those Crown lands.
Export License 3
17. If at any time or times under Commonwealth law an export license is required by the Company for the export of salt then on written request by the Company the State shall make representations to the Government of the Commonwealth of Australia for the grant to the Company of a license or licenses under Commonwealth law for the export of salt in such quantities and at such rate or rates is shall be reasonable having regard to the tonnage of salt being produced by the Company at such time or times as a license is so required and to all contracts made or likely to be made by the Company for the export or supply of salt from the work sites.
Limitation of Liability 3
18. Where the Company from time to time constructs a levee or other works on the production site for or incidental to the production of salt and thereafter a third party makes improvements to lands or becomes the owner of improvements so made on lands adjacent to the production site and subsequent to those improvements being made the Company removes (either wholly or partly) or fails to maintain or to repair that levee or other works and in consequence thereof the third party suffers sustains or incurs damage to those improvements or any part thereof then notwithstanding any Act or any rule of law or equity to the contrary, the Company shall not be liable for those damages to any person or persons whatsoever.
Default 3
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