(1)

The [preferred] [Substituted 'successful' by Notification No. G.S.R. 1469(E), dated 30.11.2017 (w.e.f. 20.5.2015).] bidder shall provide a performance security of an amount of 0.50% of the value of estimated resources and the performance security shall be adjusted every five years so that it continues to correspond to 0.50% of the reassessed value of estimated resources [including the value of any newly discovered mineral that may be included in the mining lease deed on its discovery] [Inserted by Notification No. G.S.R. 1469(E), dated 30.11.2017 (w.e.f. 20.5.2015).]

(2)

The performance security provided through bank guarantee in the format as specified in Schedule III or through security deposit, may be invoked as per the provisions of -

(i) the Mine Development and Production Agreement; and

(ii) the Mining Lease Deed.