1 INTRODUCTION TO REQUEST FOR TENDER FOR EPC CONTRACT
Project Owner Acacia Cellulose International Sdn Bhd (Acacell) (hereinafter called
the “Employer”) plans to build and operate a new green field hardwood Kraft Pulp
Mill. The mill will be located approximately 60 km from Bintulu, in the state of
Sarawak in Malaysia.
The new Pulp Mill will produce Kraft hardwood bleached pulp at a design daily
capacity of 2,700 air dry metric tons (ADt) with an annual capacity of 850,000 air dry
metric tons (ADt), using acacia mangium from the nearby plantation as the single
fiber source.
The Project is referred to as the "Acacell Pulp Mill Project" (hereinafter called the
“Project”).
Acacell is seeking for an EPC Contractor (hereinafter called the “Contractor”) to
design, build, commission and start-up the Plant on a turnkey EPC (Engineering,
Procurement and Construction) basis.
The Project is subject to approval by Financial Institutions and the Board of Directors of
the Employer. The Project is expected to commence construction during the 2nd quarter
of 2012. The planned start-up of the new Kraft Pulp Mill would be in the 2nd quarter of
2014.
The Scope of Works by Contractor is generally as described in Section 3 of the
Employer’s Project Requirements.
The Employer has commissioned Pöyry Finland Oy to assist in the compiling and
issuing of a Request for Proposal (RFP) Documentation for EPC Contract (hereinafter
called the “Contract”).
The Contractor should pay attention to that a high level of cost-effective prefabrication
and pre-assembled units and/or modular construction off site is achieved in
order to optimise manpower on site, reduce overall project cost, increase safety and
improve quality.
The Contractor shall fully inform himself of all conditions and factors which would
affect the execution and completion of the requested Contract in Sangan, State of
Sarawak in Malaysia. No claims for financial or time adjustments to any Contract
awarded which are based on the lack of such prior information’s or its effect on the
cost of the work will be permitted by the Employer.
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An intermediate Tender evaluation and report to the Employer will be issued before
the end of 2011. The Contractor should be aware of the fact that the Tender submitted
will be used to shortlist prospective Contractors.
2 FORM OF TENDER
Tender by __________________________________________ a company duly
incorporated under the laws of ______________ and having its head office at
___________________________________________ .
2.1 Price
Having carefully examined the RFP Documentation we the undersigned, do hereby
offer upon the terms and conditions and in the manner described in the RFP Documentation
to execute the Contract in strict conformity with the RFP for EPC
Documentation for the total Estimated Magnitude Lump Sum Price in the sum
of____________________ US Dollars.
The Estimated Magnitude Lump Sum Price is the sum of the estimated Bill of
Quantities multiplied by Unit Prices in the List of Unit Prices in accordance with the
following principle:
The Contractor shall complete the List of Unit Prices, including the Summary;
All materials and services not specifically mentioned but required for the execution
of the Contract shall be included in the Unit Prices;
Where there is a discrepancy between the quantities shown in the Bill of Quantities
and the Drawings, the Bill of Quantities shall prevail.
The partial and/or total quantities of the Scope of Work that are obtainable from the
RFP Documentation and that have enabled the Contractor to formulate his Tender are
not definitive and may increase or decrease as a result of changes to the Scope of
Work.
Any change requested by the Employer will be paid for on the basis of the Unit Prices.
The future possible Contract shall be entered into on the basis of an estimated volume
of the Scope of Works. The final volume of the Scope of Works will be different from
the estimated volume, however irrespective of the difference the Unit Prices will
remain in force for the duration of the Contract.
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If our Tender is accepted, we agree that the Employer shall pay our total Tender Fixed
and Firm Lump Sum Price against invoices in the following order:
5 % after the signing of the Contract against
Contractor’s Advance Payment Guarantee and
the Contractor has presented to the Employer a
Certificate of the validity of his Liability
Insurance.
80 % monthly instalments between Commencement
Date and Time for Completion Date against
progress payment certificates of the completed
work.
10 % on Taking-Over Date, provided that the
specified Tests on Completion have been
passed and accepted.
Any increase in the Contract Price for any
reason (including for Extra Work), Liquidated
Damages, if any are to be settled in connection
with this instalment.
5 % upon Issue of the Performance Certificate
We agree that, if this Tender is accepted we shall, upon execution of this Contract to:
- Pay all Taxes arising out of or in connection with this Contract and any
transaction evidenced or contemplated by it; and
- Indemnify and hold harmless the Employer against any Taxes payable by the
Contractor arising out of or in connection with this Contract and any
transaction evidenced or contemplated by it, that are discharged or otherwise
satisfied by the Employer.
2.2 Securities
We agree that, if this Tender is accepted we shall, upon execution of this Contract, to
provide to the Employer the following Bank Guarantees:
- An Advance Payment Guarantee equal to the value of the advance payment
which will be in force from the Commencement Date of the Contract until X%
(amount to be agreed later) of the total payment of the Contract has been
completed. This Advance Payment Guarantee will be decreased
proportionally as payments are made by the Employer to the Contractor.
- A Performance Guarantee equal to a value of the Contract to be agreed upon
which should be in force from the Commencement Date of the Contract until
the Taking-over Date by the Employer.
- A Defects Liability Guarantee equal to a value of the Contract to be agreed
upon which should be in force from the Taking-over Date by the Employer
until the end of the Defects Liability Period.
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The Bank Guarantees to be issued shall be irrevocable, on demand bank guarantee
issued by a financial institution acceptable to the Employer, either in a Uniform Rules
for Demand Guarantees, published as number 458 by the International Chamber of
Commerce (examples of FIDIC Forms of Securities, Annexes C and D) or a form
acceptable to the Employer.
2.3 Time schedule
If our Tender is accepted, we undertake to commence and to complete the delivery of
the Contract by the various key dates and milestones specified in the Contract Control
Schedule.
2.4 Validity of Tender
We agree to abide by this Tender for a period of 180 days calculated from the date
fixed for receiving the Tender and it shall remain binding upon us and may be
accepted at any time before the expiry date. The Tender Validity Period may be
extended by mutual agreement.
2.5 Conformity with the RFP Documentation
Our Tender complies with the RFP Documentation. Relevant information submitted in
our Tender will form an integral part of a possible Contract. Any deviation from the
RFP Documentation is clearly stated in our Tender.
2.6 Form of Tender
Our Tender is prepared in one binder with dividers (tabs). Each appendix corresponds
to the same number on the tab, as specified underneath.
A) Contract Agreement
B) General Conditions
C) the Employer’s Project Requirements
1. Commissioning and Test Principles Diagrams
2. Testing, Performance Guarantees, Liquited Damages, Taking-Over and
Certificate Models
Testing, Performance Guarantees, Liquidated Damags, Taking-Over
Completion
Taking-over
Acceptance
End of Defects Liability Period
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3. Employer’s description and requirements to Scope of Work
VOLUME I - Technical Specifications for EPS Supplier Areas
VOLUME II - Technical Specifications for BOP Areas
VOLUME III - Technical Specifications for Millwide Systems and
Auxiliary Equipment
VOLUME IV - Standards and Technical Specifications
VOLUME V - Technical Specifications for Installation
VOLUME VI - Civil and Structural Works
VOLUME VII - Bill of Material
VOLUME VIII - Services
VOLUME IX - Typical Drawings
4. Project Time Schedule
Instructions for time scheduling and progress reporting
Contract control schedule
Contractor’s detailed time schedules (*) (by Contractor)
Contractor’s manpower schedule (by Contractor)
5. Documentation regulations and time schedule
Documentation regulations and Time Schedule
Managing of Instructions, Technical Documents and Data
Operation and Maintenance Instructions
General Instructions for Contractor´s Training Services
Requirements for Availability, Technical Lifetime and Maintenance
(to be submitted at later date)
6. Insurances
7. Not used
8. Specification for internal and external environment
Quality assurance requirements
Contractor’s quality assurance plan (by Contractor)
Project Environmental Policy and Targets (*)
Occupational Health and Safety Management (*)
Contractor’s Occupational Health and Safety plan (by Contractor)
List of subcontractors (by Contractor)
9. Indexation
10. Exchange rate adjustment
11. Regulations regarding Malaysian Occupational Health and Safety
Standards (*)(to be submitted at a later date)
12. Instructions concerning work carried out at the Employer’s Mill Site
– Site Safety Regulations
13. Marking and transportation of Machinery, Equipment and Goods
(to be submitted at a later date)
14. Contact personnel, project supervisors and project managers
Employer’s project organisation (to be submitted at a later date)
Contractor’s project organisation (by Contractor)
15. Not used
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16. Documents to be returned with the Tender
Schedule of Prices (by Contractor)
Matrix of Milestone Payments (by Contractor)
Prices for options and validity time (by Contractor)
a. add-on prices
b. take-out prices
c. unit prices
Financial guarantees (*)
List of imported Goods (*) (by Contractor)
Invoicing instructions (*)
Change order procedure (*)
17. Administrative requirements (*)
– Contractor's Safety Manual (by Contractor)
Note: (*) not needed for the first Tender
In addition to the above list, a Reference List and the latest Annual Report have been
submitted as a separate issue.