Purchase Contract of Cobalt-60 Radiation Sources Used in SGS-I
Purchase
Contract of Cobalt-60 Radiation Sources Used in SGS-I
Contract
Number: Co-Y-05-01
Time
of
Signing:
Place
of
Signing: Beijing, China
Party A:
Shenzhen Hyper Technology Incorporation
Add.:
Building ▇▇▇, ▇▇▇▇▇ ▇, Yinglida Digital Garden, Golden Flower Road, Fu Tian
Bonded Area, Shenzhen
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Tel:
▇▇▇▇-▇▇▇▇▇▇▇▇
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Fax:
▇▇▇▇-▇▇▇▇▇▇▇▇
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Postcode:
518038
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Party B:
Beijing Atom High-Tech Co., Ltd.
Add.:
Sub-Box 105, Mail Box 275, Beijing
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Tel:
▇▇▇ ▇▇▇▇▇▇▇▇
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Fax:
▇▇▇ ▇▇▇▇▇▇▇▇
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Postcode:
102413
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After
friendly negotiation, Party A and Party B agrees to enter this
Contract, under which Party A consigns Party B the matter related to
processing and manufacture of Cobalt-60 radiation sources used in
SGS-I
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1.
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Subject
Matter and Currency Amount:
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Party A
orders from Party B of 10 sets of Cobalt-60 radiation sources used in
SGS-I. The price of each set is RMB720,000. The total amount of this contract
is
RMB7,200,000.
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2.
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Responsibilities
and obligations of Party A
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(1)
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Party A
shall provide one set of Cobalt source jacket drawings (appendix 1),
one set of source cell (so-called “lift basket” for source loading)
drawings (appendix 2), and “Technical Requirements for Cobalt-60 Radiation
Sources Used in SGS-I” (appendix 3), one copy of “Quality Assurance
Agreement of Cobalt-60 Radiation Sources Used in SGS-I” (appendix 4), and
“Confidentiality agreement” (appendix
5).
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(2)
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Party A
shall provide the tungalloy parts used in the Cobalt source
jacket.
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(3)
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Party A
shall provide the transportation for the above-mentioned Cobalt sources
container.
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(4)
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Party A
shall provide the gauges for inspecting the Cobalt source
jackets.
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3.
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Responsibilities
and obligations of Party B
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(1)
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Party B
shall examine and proof the sketch of Cobalt source jacket provided
by
Party A.
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(2)
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Party B
shall perform the welding tests for at least 5 simulation sources
and
profile cutting in order to check the welding techniques and
quality.
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(3)
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Party B
is responsible for manufacturing the Cobalt source
jackets.
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(4)
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Party B
is responsible for manufacturing, sealed packing, and inspecting
the
sources as per the “Technical requirements for Cobalt-60 radiation sources
used in SGS-I” (appendix 3).
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(5)
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Party B
should place and store the Cobalt sources in the transporting source
cell
(so-called “lift basket”) and lead container according to the technical
requirements offered by
Party A.
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(6)
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Party B
should handle the Cobalt sources transportation
formalities.
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(7)
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Party B
is responsible for shipping the Cobalt sources to the place designated
by
Party A. (The shipping cost would be paid by
Party A).
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(8)
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Party B
should comply with the Confidential Agreement signed by both parties
(appendix 5).
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4.
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Date
of delivery
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Party A
shall give Party B written notice of the exact date of delivery for each
set of Cobalt sources two months before each source loading Party B shall
guarantee the progress requirements.
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5.
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Payment
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(1)
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After
the contract takes effect, Party A shall pay Party B 30% of the
total amount for the sources involved as advance payment upon the
installation plan determined by both
parties.
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(2)
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Upon
the acceptance inspection by the two parties at the place where
Party B locates, Party A shall pay Party B 60% of the total
amount for such set of sources.
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(3)
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Within
30 days upon the receipt of each set of the finished sources, acceptance
inspection and completion of the installation of sources, Party A
shall pay Party B the remaining payment for the set of
sources.
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(4)
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Within
1 week upon the receipt of the total amount for each set of sources,
Party B shall issue formal value-added tax invoice to Party A as
beneficiary.
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2
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6.
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Quality
control and acceptance inspection
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(1)
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Upon
the completion of manufacture of Cobalt source jackets , Party B
shall examine them as per the drawings with 100% certainty. When
the
Cobalt source jackets are confirmed to be qualified and approved
through
the recheck of Party A, sealed packing by welding can be
processed.
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(2)
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Before
the Cobalt sources are installed into the lead container, Party A
shall appoint someone to conduct the inspection according to relevant
articles under the appendix 1, 2, 3 and 4 upon the receipt of the
notification for acceptance inspection from Party B; meanwhile, the
Cobalt sources shall be deemed as being delivered. If there are problems
with the quantity, quality, and technical problems during the inspection
process, Party A is entitled the right to request Party B to
compensate for the loss.
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(3)
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Product
acceptance inspection shall be carried out in accordance with “Technical
requirements for Cobalt-60 radiation sources used in SGS-I” (Appendix 3)
and “Quality Assurance Agreement of Cobalt-60 Radiation Sources Used in
SGS-I” (Appendix 4).
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7.
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Delivery
and transportation
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(1)
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15
days before the delivery of each set of the Cobalt sources, Party A
shall send Party B a written notification of the place of delivery
(in China only) and the evidence documents for the installation of
the
radiation sources approved by the relevant local authorized administration
department where Cobalt sources is
delivered.
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(2)
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Party B
shall transport the finished sources to the place designated by
Party A. Before the shipment, Party B must provide Party A
one duplicate of all the documents and information required for the
sources transportation.
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(3)
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Party A
shall bear the for transportation fee for the sources from the place
where
Party B is located to the
hospital.
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8.
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Liabilities
for breach of contract
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If
Party B delays in delivery, for each day of delay, Party B should pay
to Party A 0.1% of the total amount for the goods delayed as a penalty. Any
delay due to the Cobalt source quantity, quality or technical problems, it
shall
be deemed as the delay of Party B. If the reason of delay is because
Party A can not pickup the goods on time, then after 30 days that
Party B keep the Cobalt source free of charge. Party A shall pay
Party B (__)% of the total amount for the goods delayed as the warehouse
fee.
3
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9.
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Force
Majeure
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In
the
event of earthquake, typhoon, flood, fire, war, or other unforeseen events,
the
happening and consequences of which are unpreventable and unavoidable, the
affected party shall notify the other Party About the regarding the events
of the force majeure in time by telegraph, and within 15 days thereafter, the
affected party shall provide detailed information of the events and a valid
document explaining the reason for its inability to perform the contract. Such
valid document shall be issued by the local notary department where the event
occurs. According to the effects of the event on the performance of the
contract, both parties shall, through consultation, decide whether to terminate
the contract, or to exempt part of obligations for implementation of the
contract, or whether to delay the performance of the contract.
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10.
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The
Modification and Supplement of the
Contract
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After
the
contract takes effect, both parties are not allowed to modify or terminate
it at
will. In case of any matters not mentioned herein, both parties shall agree
to
reach an agreement through consultation, and only after both parties sign a
supplemental contract modification or supplement of the contract shall come
into
effect.. The supplementary contract shall have the equal validity of the
contract.
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11.
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Arbitration
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Any
disputes arising from carrying out the contract, both parties should negotiate
friendly for settlement. If negotiation fails to resolve the dispute, either
party is entitled to file a suit related to the Cobalt source radioactivity
to
the National Institute of Metrology; other suits shall be filed to a People’s
Court.
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12.
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Reclamation
of decommissioned sources
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Party B
is responsible for the reclamation of the decommissioned sources when the Cobalt
sources involved in the contract complete their services. The disposal charge
would be paid by Party A. The exact charge is subject to further
negotiation.
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13.
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Appendixes
of contract
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5
appendixes attached to the contract are the inseparable parts of the contract
and have the equal validity of the contract.
Appendix
1: One set of the Cobalt source jacket drawings
Appendix
2: One set of the source cell drawings (source cell: so-called “lift basket” for
source loading)
Appendix
3: “Technical requirements for Cobalt-60 radiation sources used in
SGS-I”
Appendix
4: “Quality assurance agreement of Cobalt-60 radiation sources used in
SGS-I”
Appendix
5: “Confidential agreement”
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Party A:
Shenzhen Hyper Technology Incorporation
Representative:
Date:
Party B:
Beijing Atom High-Tech Co., Ltd.
Representative:
Date:
5
Appendix
3:
Technical
Requirements for Cobalt-60 Radiation Sources Used in SGS-I
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1.
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The
total radioactivity for each set of Cobalt-60 radiation sources is
not
less than 5400Ci+10%, and total 18 Cobalt source jackets are in sealed
packing as 18 single sources, and the activity of each single source
is
300Ci+10%.
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2.
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Each
single source is made up of the Cobalt grain with 220-240Ci/g in
specific
radioactivity, 1mm in diameter, and 1mm long, sealed packed in stainless
jacket by welding. The radioactivity consistency of 18 sources meets
the
requirement that the difference between the max and min is not more
than
10%.
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3.
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The
source jacket drawings (Appendix 1) are offered by Party A.
Party B can make modification to the sketch drawings according to the
welding techniques, the Cobalt grain actual specific activity and
the heat
expansion dimension of the source jacket based on experience and
simulation experiments, but the final drawing has to be approved
by
Party A.
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4.
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The
measurement of the radioactivity of the sources must be standardized.
Considering the self-absorption of the sources and the revision of
the
measurement environment, the uncertainty of the measurement is limited
within +/-10%.
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5.
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The
safety of the sources needs to be inspected according to
GB18871-2002.
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6.
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The
service life of the sources is ten years and within the service life,
no
radiation leakage or contamination is
allowed.
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7.
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Party B
must have fairly accurate measurement of the source outside diameter
and
constant temperature in a hot cave, for example, by the gauge inspection,
etc.
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8.
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Party B
must clean and remove the rust from the source cell (“lift basket”) which
transports the Cobalt-60 radiation sources used in SGS-I, and Party B
should offer Party A the source loading and source acquisition
procedure.
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9.
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For
the sealed source to be installed into the SGS-I, the arrangement
of the
sources in the source cell, and the coupling of the source cell with
the
lead container, are designed by Party A specially according to the
registration data of the sources, which would be presented to
Party B.
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10.
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Each
sealed source must be registered by Party B for its radioactivity,
safety class, manufacturing date and measurement date. And Party B
should offer the measurement reports to
Party A.
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Party A:
Shenzhen Hyper Technology Incorporation
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Party B:
Beijing Atom High-tech Co., Ltd.
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Representative:
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Representative:
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Date:
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Date:
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6
Appendix
4:
Quality
Assurance Agreement of Cobalt-60 Radiation Sources Used in SGS-I
Shenzhen
Hyper Technology Incorporation (Party A) and Beijing Atom High-tech Co.,
Ltd. (Party B) now comes to the agreement hereunder after friendly
negotiation, in the respect of the quality assurance of the Cobalt-60 radiation
sources used in SGS-I that Party A commissioned Party B to
manufacture. The stipulated clauses in this agreement have to be strictly
followed.
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1.
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Party B
shall manufacture the Cobalt sources strictly comply with the technical
requirements for Cobalt-60 radiation resources used in SGS-I (appendix
3)
and the Cobalt-60 radiation source jacket drawings (appendix 1) confirmed
by both parties. Thus, Party B shall provide to Party A with
qualified products.
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2.
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Party B
shall make detailed quality plan as for the Cobalt-60 radiation sources
manufacturing, and provide a copy of the plan before the start of
the
manufacturing s. After review and check of the plan according to
the
related requirements of the quality management procedure, Party A has
the right to present opinions and request Party B to make change
accordingly. The quality plan shall include at least the following
contents:
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a.
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Quality
assurance measure
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b.
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Quality
control procedure
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Organization
structure and scope of authority
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c.
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Quality
elements, quality standard and application
documents.
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3.
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Party A
is entitled to send someone to do the quality follow-up check on
the site
where Party B manufactures the devices. Party B should provide
on-site cooperation and convenience to assist Party A to complete the
check. The objective for Party A to do such quality follow-up check
is to monitor and control the quality during the manufacture process,
but
such monitor and control shall neither exempt nor reduce Party B’s
responsibilities under this Contract and the appendixes hereunder
on
quality, delivery schedule and
etc..
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4.
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Party B
should do classified designing and performance test strictly following
the
classification requirements in the ANSI N542-1997 for sealed radiation
sources, and keep the test records. Party A is entitled to review
these test records during the process of the ex-works inspection
on the
Cobalt sources.
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5.
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It’s
a mandatory procedure to take welding tests for at least 10 simulation
sources, and do profile cutting in order to check the welding technique
and quality.
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6.
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Party B
shall provide Party A with the radioactivity measurement or
calculation methods, error analysis, leakage test methods, and
contamination test methods of single Cobalt
source.
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7
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7.
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After
the manufacture of the Cobalt source jacket completes, Party B shall
set up quality hold point. Before the process of sealed packing by
welding
starts, it is mandatory to perform the following procedures strictly
and
step over the hold point discretionarily is not
allowed.
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a.
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Party B
shall inspect all parts as per the drawings requirements with 100%
completion, and record inspection in
details.
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b.
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The
heat and cool dimension of the outmost layer jacket of each Cobalt
source
should be measured strictly inside a hot cave(room?). The dimension
shall
be kept consistent with the requirements indicated in
drawings.
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c.
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With
under qualified products, Party B shall print permanent obvious mark
on such products and separate them from
outside.
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d.
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Party A
shall recheck the products which have been passed the examination
by
Party B and shall signed recognition an on the Party B’s
examination report, upon the satisfaction of the
recheck.
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Until
the
above procedures complete and the standards meet the above mentioned
requirements completely , the products are not allowed to transfer to the sealed
packing.
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8.
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It
is mandatory to measure the normal temperature of each Cobalt source
when
each has been done with sealed packing by welding but not been loaded
into
the source cell (“lift basket”). At least 5 single sources need to be
measured and the average of the result should be recorded in the
test
report.
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9.
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Upon
the acceptance examination of first set of Cobalt sources, Party B
shall provide Party A with the following
documents:
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a.
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Quality
plan
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b.
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Sealed
source classified design, test methods and
results
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c.
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Welding
technique and quality examination
records
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d.
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The
heat and cool dimension of the outmost layer
jacket
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e.
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The
normal temperature of single source
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f.
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Radioactivity
measurement methods and error
analysis
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g.
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Radioactivity
measurement certification
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h.
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Leakage
inspection certification
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i.
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Contamination
inspection certification
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j.
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The
test results of the exposed dose after the loading into the lead
container
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8
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k.
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Quality
Certificate
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For
the
subsequent Cobalt sources, Party B shall provide Party A the “g” and
“k” of the above documents only.
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10.
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After
Cobalt sources are shipped to the place of delivery designated by
Party A, Party A shall notify Party B of the exact date of
source loading. Party B is entitled to send someone to take part in
the Cobalt source replacement for SGS-I and measurement process,
and to
have the delivery inspection of the Cobalt sources together with
Party A. Party A shall offer convenience at work for the people
designated by Party B. When the delivered sources are qualified after
examination, the two parties sign the check acceptance certificate,
the
Cobalt sources thus being regarded as delivered. If Party B is unable
to send someone to take part in the acceptance examination, the
examination result from Party A is still considered effective. During
the inspection, Party A is entitled to refuse the acceptance of the
sources or lodge a claim under quality problems such as the Cobalt
source
total radioactivity does not meet the required specification, and
the
source jacket heat expansion leads to difficulties in source replacement
or quantity is in shortage, etc.
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9
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Party A:
Shenzhen Hyper Technology Incorporation
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Party B:
Beijing Atom High-tech Co., Ltd.
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Representative:
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Representative:
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Date:
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Date:
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10
Appendix
5 :
Confidentiality
Agreement
Shenzhen
Hyper Technology Incorporation (Party A) and Beijing Atom High-tech Co.,
Ltd. (Party B) came to the following agreements for the confidentiality of
the Cobalt-60 radiation sources used in SGS-I that Party A commissioned
Party B to manufacture.
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1.
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For
the completion of the manufacturing of Cobalt-60 radiation sources
used in
SGS-I as per the requirements of Party A, Party A provides
Party B the related technical information and technical requirements
(“info.” hereafter)
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2.
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Party B
guarantee that the info, shall only be used for Party A to the
manufactures the Cobalt-60 radiation sources used in SGS-I, and shall
not
be for any other purposes. The Cobalt-60 radiation sources involved
in the
confidential agreement are the products that Party A ordered
exclusively from Party B. Without written consent from Party A,
Party B shall not be allowed to provide the product to any other
party.
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3.
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The
info, mentioned in the first clause of the agreement is provided
only for
the personnel who take part in the manufacturing and designing of
the
Cobalt-60 radiation sources used in SGS-I. Others, except the above
mentioned personnel, shall not be allowed to have any contact with
such
info. Party B shall guarantee to adopt all the effective measures to
keep strict confidentiality of all the info. (including the written,
oral
info., fax, or storage data, etc.), and guarantee that all the personnel
who participate in shall not disclose the info, to anybody else as
well.
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4.
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Without
the written consent from Party A, Party B shall not be allowed
to copy or transcribe the info.
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5.
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after
Party B finishes the manufacturing of all the radiation sources, or
both parties terminate the Purchasing Contract, Party B shall return
Party A all the info.. (including the copies or floppy disks, etc.
which are made with the consent of
Party A.).
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6.
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If
Party B violates the stipulations of the agreement, Party B
shall agree to undertake the responsibility for breach of this Agreement,
and compensate Party A for the
loss.
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Party B:
Beijing Atom High-tech Co., Ltd.
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Representative:
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Date:
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Date:
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11