Section 12. Performance security for mining lease

12. Performance security for mining lease.— (1) The successful 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. - (2) The performance security provided through bank guarantee in the format as specified in Schedule II 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. 12. The Director, Mines/Deputy Commissioner may, with prior intimation to the Bank, assign the right under this Guarantee to any other departments, ministries or any governmental agencies, which may act in the name of the Director, Mines /Deputy Commissioner. Save as provided in this Clause 12, this Guarantee shall not by assignable or transferable.