[NTD: The Standby Letter of Credit must be issued by a bank acceptable to HMQ, acting
reasonably, and must be callable at the bank’s counters in Toronto, Ontario.]
Letter of Credit: #[]
Date: []
Ontario Infrastructure Projects Corporation
777 Bay Street, 6th Floor
Toronto, Ontario
M5G 2C8
Attn: []
Dear Sir/Madam:
name and address of issuing bank], hereby issue in your favour an irrevocable standby letter of
credit (the “Letter of Credit”) in the amount of [REDACTED] ($[REDACTED]).
The amount available under this Letter of Credit is payable to Ontario Infrastructure Projects
Corporation (“IO”), at any time and from time to time, upon (a) receipt by us of a written
demand for payment, accompanied by a certificate signed by two officers of IO certifying that IO
is entitled to draw on this Letter of Credit pursuant to Section 2.3(c) of a project agreement dated
December 15, 2010 (as amended from time to time, the “Project Agreement”), and (b)
presentation of the original of this Letter of Credit.
This Letter of Credit will expire at 5:00 p.m. on [insert the date that is 180 days after the
Financial Close Target Date] (the “Expiry Date”), and IO may call for payment of any amount
outstanding under this Letter of Credit at any time up to 5:00 p.m. on the Expiry Date should this
Letter of Credit not be renewed.
It is a condition of this Letter of Credit that it shall be automatically extended, without
amendment, for one year from the Expiry Date, or any future expiration date, unless, at least 30
days prior to any expiration date, we notify you, in writing, that we elect not to consider this
Letter of Credit renewed for any such additional period. Upon receipt by you of such notice, you
may draw the full amount hereunder by means of your demand.
Partial drawings are permitted.
We hereby agree that demands delivered under this Letter of Credit will be duly honoured upon
presentation provided that all terms and conditions herein have been complied with.
Written demands drawn under this Letter of Credit shall state on their face that they are drawn
under Letter of Credit #[].
It is understood that [insert name of issuing bank] is obligated under this Letter of Credit for
payments of monies only.
The Project Agreement is referred to herein for reference purposes only and does not form part
of the terms of this Letter of Credit.
This Letter of Credit is subject to the Uniform Customs and Practice for Documentary Credits
(2007 Revision) of the International Chamber of Commerce (ICC Publication No. 600) (the
“UCP”) with the exception of Articles 18-30 inclusive (other than Article 29a, which shall
apply) and Articles 31b, 31c and 32 except to the extent, if any, inconsistent with the express
terms of this Letter of Credit. Notwithstanding Article 36 of the UCP, if this Letter of Credit
expires during an interruption of business as contemplated in such Article 36, we shall honour
any demand made under this Letter of Credit prior to the Expiry Date, within 30 days after the
date on which such interruption of business ends (and we shall notify you promptly when it does
so end). For matters not covered by such publication, this Letter of Credit shall be governed by
and construed in accordance with the laws of the Province of Ontario.
Yours very truly,
[Name of Issuing Bank]
Name:
Title:
By:
Name:
Title: