THIESS MINECS INDIA PVT. LTD. Vs. NTPC LTD.

JUDGEMENT

(1.) This petition has been preferred by the petitioner under Section 9 of the Arbitration & Conciliation Act, 1996 (the Act) primarily to seek a restraint against the respondent from giving effect to the termination of contract between the parties, in pursuance of the termination letter dated 07.05.2014. The petitioner also seeks other consequential ad interim injunctive reliefs.

(2.) Though no notice has been issued in the petition, the respondents have appeared and opposed the petition. I have heard detailed submissions of learned senior counsel on both sides.

(3.) The parties entered into the contract, namely, the "Project Agreement" for development and operation of Pakri Barwadh Coal Block in the State of Jharkhand on 14.07.2011. The said contract contemplated two stages the first stage was the development stage, and the second stage is the operations stage. Clause 4.4(a) of the contract provides that the development stage was to commence on the "commencement date" and end on 360th day immediately following the commencement date, unless such 360th day is extended by the parties in accordance with clause 8.3. The operations stage was to commence on the "coal production start date". The "coal production start date" means the day immediately following the last day of the development stage. Consequently, the contract did not provide for any hiatus between the completion of the development stage, and the start of the operations stage.