The Mining Contractor Agreement is a critical document used when a mining company engages a specialized contractor to perform mining operations in Nigeria. This agreement is essential for mining projects where the principal company wishes to outsource specific mining activities such as excavation, drilling, blasting, or mineral processing. The document must comply with the Nigerian Minerals and Mining Act 2007 and related regulations, incorporating local content requirements and environmental protection standards. It typically includes detailed provisions for operational procedures, safety protocols, equipment specifications, and performance metrics, while addressing risk allocation and regulatory compliance. The agreement is particularly important in the Nigerian context where mining activities are strictly regulated and require careful attention to community relations and environmental protection.

1. Parties: Identification of the mining company and the contractor, including their registered addresses and company details

2. Background: Context of the agreement, including details about the mining license, site location, and general purpose of the contract

3. Definitions: Detailed definitions of technical and legal terms used throughout the agreement

4. Scope of Work: Detailed description of the mining services to be provided by the contractor

5. Term and Termination: Duration of the agreement, renewal terms, and circumstances for termination

6. Contractor's Obligations: Comprehensive list of contractor's responsibilities including operational, safety, and regulatory compliance obligations

7. Principal's Obligations: Mining company's responsibilities including site access, permits, and support services

8. Payment Terms: Compensation structure, payment schedule, invoicing requirements, and payment methods

9. Performance Standards: Required operational standards, production targets, and quality requirements

10. Health, Safety and Environment: HSE requirements, compliance with regulations, and reporting obligations

11. Equipment and Materials: Provisions regarding supply, maintenance, and ownership of equipment and materials

12. Workforce Requirements: Labor requirements, qualifications, training, and local content obligations

13. Insurance and Indemnities: Required insurance coverage and indemnification provisions

14. Compliance with Laws: Obligations to comply with Nigerian mining laws, regulations, and other applicable legislation

15. Dispute Resolution: Procedures for resolving disputes, including jurisdiction and governing law

16. General Provisions: Standard boilerplate clauses including notices, assignment, and force majeure