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1. Date and Parties: Identification of the date and the parties involved, including full legal names and addresses of both buyer and seller
2. Background/Recitals: Brief context of the proposed transaction and relationship between parties
3. Definitions: Key terms used in the letter that require specific definition
4. Purpose of the LOI: Clear statement of the intention to negotiate a coal purchase agreement
5. Product Specifications: Basic description of the coal quality parameters and quantity intended to be purchased
6. Proposed Commercial Terms: Outline of key commercial terms including indicative pricing, quantity, and delivery terms
7. Duration and Timeline: Proposed timeline for negotiating and executing the final agreement
8. Exclusivity Period: Period during which parties agree not to negotiate with other parties
9. Confidentiality: Agreement to keep discussions and information confidential
10. Non-Binding Nature: Clear statement of which provisions are non-binding vs binding
11. Governing Law: Specification of Indonesian law as governing law
12. Signature Block: Space for authorized representatives to sign and date
1. Due Diligence: Include when parties agree to conduct due diligence before final agreement
2. Costs and Expenses: Include when parties want to specify who bears the costs of negotiation and due diligence
3. Break Fee: Include when parties agree to a fee if one party terminates negotiations
4. Good Faith Deposit: Include when a deposit is required to demonstrate commitment
5. Conditions Precedent: Include when certain conditions must be met before proceeding to final agreement
6. Dispute Resolution: Include when parties want to specify dispute resolution mechanism for binding provisions
1. Indicative Coal Specifications: Detailed technical specifications of the coal quality parameters
2. Draft Timeline: Detailed timeline for negotiations, due diligence, and execution of final agreement
3. Required Permits and Licenses: List of regulatory approvals needed for the transaction
4. Contact Details: List of key contact persons from each party for communications
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