Application Form

PROC-FD/CB/COMMERCIAL-1076/2014

FOR PRE-QUALIFICATION/ ENLISTMENT OF TRANSPORT
CONTRACTORS/ COMPANIES FOR TRANSPORTATION OF
CRUDE OIL


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INTRODUCTION & TERMS AND CONDITIONS


1. INTRODUCTION / SCOPE OF WORK

Oil & Gas Development Company (OGDCL) is the largest Exploration & Production Listed
Company in Pakistan. The Company intends to enlist transporters with its Commercial
Department in category of Oil Tankers having capacity range between 30,000 Liters, to
60,000 Liters for transportation of Crude Oil from its Production fields to Refineries located
in different parts of the Country, on as and when required basis.

1.1 Invitation of Applications

Applications are invited from potential firms having requisite capability, experience and
expertise for enlistment/pre-qualification for shifting of crude oil from OGDCL fields across
Pakistan to different refineries.

2. SUBMISSION OF APPLICATIONS.

2.1 The pre-qualification application shall be submitted in duplicate (one marked ORIGINAL
and the one marked COPY) in a sealed envelope clearly marked as: APPLICATION
FOR PRE-QUALIFICATION/ ENLISTMENT OF TRANSPORT CONTRACTORS/
COMPANIES FOR TRANSPORTATION OF CRUDE OIL against Pre-Qualification
Notice No. PROC-FD/CB/COMMERCIAL-1076/2014.

not later than (as per press advertisement) hours on (date as per press advertisement)
at the address given below:

General Manager (Supply Chain Management)
OGDCL House, Plot No. 3013, Jinnah Avenue Blue Area,
Islamabad, Pakistan
Phone: +92-051-920023540, Fax: +92-051-9215090


2.2 The sealed envelope shall indicate the name and address of the Applicant.

2.3 All the pages of application shall be signed and stamped by Applicants authorized
Representative(s).

2.4 Language of Application

The Application must be prepared and submitted in English language. Supporting
documents and attachments furnished by the Applicant must also be in English language.

2.6 Cost of Pre-Qualification.

The Contractor shall bear all cost associated with the preparation and submission of
application for Pre-Qualification. OGDCL shall under no circumstances be responsible or
liable for such cost regardless of the out-come of the application process.

2.7 Deadline for Submission of Application

2.7.1 The original application, together with the required copies must be delivered
not later than (as per press advertisement) Hours of dated (as per press
advertisement) at the address specified in clause 2.1.
2.7.2 OGDLC may, at its discretion extend the deadline for the submission of
applications by amending the Pre-Qualification documents in which case all
rights and obligations of the OGDCL and Applicants previously subject to the
deadline will thereafter be subject to the deadline as extended.

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2.8 Late Submission of Applications

Any Application received after deadline for submission of Applications prescribed by the
Company pursuant to Clause-2 will be rejected and returned unopened to the Applicant.

2.9 Clarification of Applications.

To assist in the examination, evaluation and comparison of Applications the Company may
at its discretion, ask the Applicant for a clarification of its application.

2.10 OGDCLS Right to Accept or Reject any or All Applications.

The Company reserves the right to accept or reject any application or to annul the Pre-
Qualification process and reject all Applications at any time without thereby incurring any
liability to the effected Applicant or any obligation to justify the affected Applicant or
Applicants of the grounds for the Companys action.

2.11 Affidavit

The Applicant shall provide an affidavit that his firm has never been blacklisted. In case the
Applicant is in litigation or dispute or has involved in litigation or dispute with Company
(OGDCL), details and nature of litigation and dispute may be indicated.



(Hafiz Muhammad Aslam)
Manager (SCM)-Services/LP


























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INSTRUCTIONS
For Pre-Qualification of Crude / Condensate Transport Contractors

Oil & Gas Development Company (OGDCL) is the largest Exploration & Production Listed
Company in Pakistan. The Company intends to enlist transporters with its Commercial Department in
category of Oil Tankers having capacity range between 30,000 Liters, to 60,000 Liters for
transportation of Crude Oil from its Production fields to Refineries located in different parts of the
Country, on as and when required basis.

02. Instructions for the interested parties.
A. The firms / transporters willing to apply for prequalification must have at least 25 oil tankers /
bowsers duly registered / leased in the name of the firm / company and duly licensed for
transportation of petroleum products in bulk. In case of leased vehicle the leased deed
between the leasing company and transportation Company should be provided.
B. The Transportation Company should have a minimum 03 years experience of transportation
of petroleum products with Govt. / Semi Govt. Departments or reputed Private Organization.
C. The Oil Tankers / bowsers held by firm / transporter should have gross weight equivalent or
below the vehicle Axle load limit prescribed by NHA. Overloading of trucks i.e. exceeding
the maximum allowable load per axle as defined by NHA rules will not be allowed. An
undertaking stating this fact will be required from the transporters.
D. The Oil Tankers / bowsers held by firm / transporter should have never been blacklisted by
any petroleum company or M/s NLC in last five years.
E. The firm / organization must have minimum annual turnover of Rs. 10 Million each in last 3
years. The organization will have to provide the Annual Audited Financial Statements for last
3 years and Bankers certificate in this regard.
F. The enlistment of transporters shall be made initially for a period of three years effective from
15
th
May 2014 upto 14
th
May 2017.
G. The Firms already pre-qualified/ enlisted with OGDCL will have to apply a fresh.
H. The prescribed form with terms and conditions can be downloaded from OGDCL website free
of cost.
I. Sealed application on prescribed form duly filled-in, signed, stamped and the required
documents duly attested as specified in terms & conditions, complete in all respects, should
be delivered at the reception of OGDCL House, Jinnah Avenue, Blue Area, Islamabad, on or
before as per Press Advertisement. Late and incomplete applications shall not be
entertained.

03. Transportation rates shall be called by OGDCL from the pre-qualified transporters on as and
when required basis.

04. OGDCL reserves the right to accept or reject any application or annul the entire process of
pre-qualification at any time without justifying any reason.

05. Failure to provide information/supporting document that is essential for the evaluation of the
applicants qualifications, or to provide timely clarification or substantiation of information
supplied, may result in disqualification of the applicant.
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06. OGDCL may ask any further information and details if required, at any time.

07. Only those parties meeting the evaluation criteria set forth in the Application form will be
considered for Pre-qualification / enlistment.

08. The OGDCL reserves the right to accept or reject any application or to annul the Pre-
Qualification process at any time without incurring any liability or giving any reason.
OGDCL will communicate to those suppliers or contractors who have not been pre-qualified
the reasons for not pre-qualifying them.

09. Application Forms received after the deadline will not be accepted and the same will be
returned unopened. Late delivery by the courier company or due to any other reason will not
be responsibility of OGDCL.







































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APPLICATION FORM FOR PRE-QUALIFICATION/ ENLISTMENT OF
TRANSPORT CONTRACTORS/ COMPANIES FOR
TRANSPORTATION OF CRUDE OIL

1. INTRODUCTION
1.1 Oil & Gas Development Company (OGDCL) is the largest Exploration & Production
Listed Company in Pakistan. The Company intends to enlist experienced and
renowned transporters with its Commercial Department in category of Oil Tankers
having capacity range between 30,000 Liters, to 60,000 Liters for transportation of
Crude Oil from its Oil fields located in different parts of the Country, on as and when
required basis.

1.2 All reputable and established local firms are invited to apply for participation in the
Pre-qualification Process and submit the attached Pre-Qualification documents and
duly filled forms.

1.3 The applications will be evaluated in accordance with the criteria given in Pre-
Qualification document. Transporters will be Pre-Qualified for a period of three (03)
years effective from 15
th
May 2014 to14
th
May 2017.

1.4 Each Transporters performance in terms of delivery, timelines, and vehicles owned,
trained staff and HSEQ standard & other contractual obligations will be closely
monitored and periodically reviewed during the pre-qualification period.

1.5 The pre-qualification period of existing pre-qualified contractor will expire on 14
th

May 2014 and therefore they will also apply afresh, if desired so.

1.6 OGDCL may appoint a team of experts to carryout physical inspections of the
bowsers held by the contractor for vetting the bowsers suitability for transportation of
crude oil and legal documents of the bowsers.

OIL & GAS DEVELOPMENT COMPANY LIMITED
COMMERCIAL DEPARTMENT
HEAD OFFICE, ISLAMABAD

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2. Basic Data Sheet/ Transporters Information
2.1 Organization Name
2.2
Legal Status of the Organization.

(Please tick one, as appropriate)

1. Private Limited

2. Public Limited

3. Joint Venture

4. Sole Proprietor

5. Partnership


2.3 Date of formation / establishment

2.4 Registered Office Address

2.5 Office Contact information

Tel No:


Fax No:

E-mail:

Website:







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2.6
Branch Offices
(If any)

Address Branch Office (1):



Tel. No:


Contact Person:

________________________________________
Address Branch Office (2):



Tel. No:

Contact Person:


2.7 National Tax No.

2.8 Sale Tax Registration No.

2.9 No of Employees in the organization

2.10



Proprietor/CEO/Chairman & his /her
Contact information



Name:


CNIC:


Cell No:
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3. Technical Data Sheet/Delivery Potential

3.1

Number of Vehicles owned
(attached attested photocopies of vehicle registration books)

(Attach list on prescribed format)
3.2

Are transportation services provided or being
provided in the Petroleum Industry


(Attached the information on the prescribed
format along with the documentary proof)
3.3





Transportation services provided directly or
indirectly to OGDCL during past five years (if
any)
Year of
Supplies
Volume
Transported
(bbls)
Name of
OGDCL
Fields
To the
Refinery



















3.4
Financial information (Latest 03 years data)

Please attach:
(a) Latest 3 years financial statement duly
audited by a C.A. authorized firm.
(b) Bank Reference & financial worthiness
certificate from bank.

(Rs. in Million)
Year 1 Year 2 Year 3
Fixed
Assets

Current
Assets

Total
Liabilities

Total
Revenue

Net Profit

3.5
Authorized person(s) to submit bid to OGDCL
and enter into contract with OGDCL on behalf
of the organization.




3.6
Any reservation regarding verification of the
performance and information referred in these
documents submitted to OGDCL.



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3.7
Any reservations regarding visit by OGDCL
officials to registered office or carrying out
physical verification of the vehicles or
verification of any other information provided
for pre-qualification.

3.8
Have your organization being blacklisted by
any Petroleum Company or NLC in last five
years. If yes, then give complete particulars and
present status in this regards.



(Provide affidavit if never blacklisted)
3.9

Are there any Pending Litigations with the
Government Organizations, Semi-Government
Organization, Petroleum Companies, NLC





(Provide affidavit if no pending
litigations)
3.10
Please confirm if the Oil Tankers engaged for
crude transportation have gross weight
equivalent or below the vehicle Axle load
limits prescribed by NHA
Provide an affidavit for compliance to
Axle load limits prescribed by NHA.
3.11
Particulars of the license for transportation of
petroleum products in bulk (attested copies to
be attached)
License No:

Issue Date:
3.12
Particulars of route(s) or districts within
Pakistan for which transportation license is not
available or will not be able to deliver services
to OGDCL

3.13
Particulars of HSE certifications & compliance
to HSE procedures including firefighting
equipment with vehicles, trainings of drivers,
medical fitness of drivers & helpers

(The information/ HSE certificates may be
attached which will be verified if needed)

3.14
Any other relevant information you desire to
provide to identify your capacity and strength
to ensure reliable services for OGDCL.




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4. The applicants will be evaluated on a quantitative (point based) technical evaluation criteria as
per the following weightage. The applicants obtaining 75% marks will be declared successful.

Sr. No. Technical Factor Weightage
1 List of Vehicles owned as per
requirement
50 Marks
2 Sound Financial Health
(Annual Turnover)
Documentary evidence to be provided.
Rs. 10 Million in each of
last 3 years = 5 Marks
Over 10 Million & upto
Rs. 20 Million in each of
last 3 years = 10 Marks
Over 20 Million in each of
last 3 years = 15Marks
3 Previous /
Existing experience with other
Petroleum Companies.
Documentary evidence to be provided.
Over 5yrs with minimum average
lifting of 1.5 million bbls each in
last 3 years = 20 Marks
Less than 1 Million bbls
average each year = 15 Marks
Less than average of 750,000 bbls
in each last 3 years = 10 Marks
4 License for transporting bulk
petroleum products
Licensing of all vehicles = 10 Marks
5 HSE Procedures 5 Marks for establishment and complied
HSEQ procedures.


I _______________________ (name) being the authorized representative of
____________________________(name of organization), hereby confirm that I have read &
understood the advertisement & procurement documents for this prequalification request to
OGDCL and also confirm that all the information and documents provided in this pre-
qualification process with OGDCL are correct, actual & based on facts.

I understand that in case any of the information or document provided in this regards is later
found incorrect or wrong, OGDCL reserves the right to take necessary action as deemed
appropriate including cancelation of prequalification made under this process. I/we have no
objection if OGDCL directly verifies any of the information submitted by me/us in this
prequalification process from relevant source/authority.



Authorized Signature
(Official Stamp/Seal of Organization)
Name:_____________________________
Dated_____________________________
12/25

TRANSPORTER TECHNICAL EVALUATION

S.# Company
Name
Legal
Status

NTN

List of
Vehicles
owned as
per
requireme
nt

Sound
Financial
Health
(Annual
Turnover)
Previous /
Existing
experience with
other Petroleum
Companies
License
for
transporti
ng bulk
petroleum
products
HSE
Procedu
res
Affidavit
regarding no
pending
litigation &
black list
10 Nos.


Qualifying
Marks
75 / 100
50 Marks 10 M = 5
Marks
20 M = 10
Marks
>30 M =
15Marks
Over 5yrs with
min lifting of
1.5 million bbls
= 20 Marks
Less than 5yrs
with min lifting
of 1 million bbls
= 15 Marks
Less than 3yrs
with min lifting
of 0.75 million
bbls = 10 Marks
Licensin
g of all
vehicles
=
10 Marks
5
Marks

(Y/N) (Y/N) (Y/N) (Y/N) (Y/N) (Y/N) (Y/N) (Y/N)
1 2 3 4 5 6 7 8 9 10 11
















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DOCUMENTS SUBMISSION CHECK LIST


Incorrect/incomplete documents shall not be considered by OGDCL in this pre-qualification
process. The following check list may be used in addition to the forms completely filled.

Yes No
1. Copy of NTN

2. List of Vehicles owned (on prescribed format)

3. List of Petroleum Companies being provided
Transportation Services (on prescribed format)

4. Latest 03 years financial statement audited by a
CA firm duly approved by Institute of CA of Pakistan
5. Bank reference letter conforming financial wealth

6. Copy of licenses for transporting bulk petroleum products
for the vehicles owned / leased.
7. Affidavit regarding no pending litigation & black listing

8. HSE certification & HSE procedures complied

9. Relevant documents to confirm lifting of liquid petroleum
products in last 3 years.

10. Undertaking that the bowsers to be deployed for OGDCL
operation will be in accordance with the vehicle axle load
limits prescribed by NHA.












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OGDCL FIELDS

S.# Fields Location
District
Refinery

NORTHERN FIELDS
O1 Fimkassar Chakwal ARL
02 Chaknaurang Chakwal ARL
03 Rajian Chakwal ARL
04 Kal Chakwal ARL
05 Missakeswal Rawalpindi ARL
06 Chanda Kohat ARL
07 Mela Kohat ARL
08 Nashpa Kark ARL/BYCO/PARCO
09 Toot Attock ARL
10 Sadqal Attock ARL
11 Dakhni Attock ARL
12 Dhodak D.G.Khan NRL
13 Sheikhan Kohat ARL

SOUTHERN FIELDS
01 Tando Alam Oil
Complex
Hyderabad PRL/NRL/PARCO
02 Missan Sanghar PRL/NRL
03 Uch Dera Bugti TOC
04 Qadirpur Ghotki PRL
05 Baloch Sanghar NRL/PRL
06 Bobi Oil Complex Sanghar PARCO
07 Kunnar Hyderabad NRL / PRL / PARCO
/ ENAR
08 Sinjhoro Sanghar NRL/PRL
09 Jakhro Sanghar NRL/PRL/BYCO
15/25

List of Vehicles Owned by the Organization

S.# Reg. No Capacity (Liters) Model/Year Calibrated by Calibration validity till
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20

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Transportation Service rendered/being rendered in Petroleum Industry

Name of Petroleum
Company
Nature & Scope of Work No of
years
Annual Contract
Volume (Rs. In M)
























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OIL & GAS DEVELOPMENT COMPANY LIMITED
COMMERCIAL DEPARTMENT
HEAD OFFICE, ISLAMABAD

OGDCLs Terms & Conditions for Crude Oil Transportation Arrangement

1. TERM

This agreement shall be signed for a period of 03 years effective from 15
th
May 2014 upto
14
th
May 2017, unless terminated pursuant to the provisions hereof. The Parties may mutually
agree in writing to extend the term of this Contract on the same rates, terms and conditions as
contained herein.

2. CONTRACTOR OBLIGATIONS
i. The Contractor shall transport the Crude Oil of the company at a notice of 24 Hrs
conveyed to them by phone or letter and if the contractor fails to do so the company
shall be imposed a penalty of Rs. 50,000/day (The penalty amount shall be deducted
from security deposited by the company).

ii. The Contractor will arrange transportation of committed quantity of Product(s) per day
in order to avoid choke down/shut down of wells due to short lifting. A penalty of Rs
100,000 per day will be imposed in case of short lifting by the contractor.

iii. The Contractor will make available the committed bowsers for each oil field in order
to avoid contamination. Contractor will be liable for payment of such damages caused
due to change on account of quantity and quality degradation. OGDCL will have the
right to impose a penalty as it deems fit which includes forfeiture of security deposit
and black listing as well.

iv. All the transport operations and their progress shall be checked by the Officers and
Staff of Commercial Department of the company and the Contractor shall extend all
cooperation to them as and when required by the Company.

v. The Contractor shall be responsible for safe and sound carriage of product(s) and of its
quality and quantity from loading point to receiving point. Contractor undertakes that
OGDCLs seals shall always remain intact during transportation. In case OGDCLs
seals are broken, tempered, damaged or replaced etc by any means or manners,
contractor shall be responsible to indemnify for all losses including losses in terms of
quality and quantity.

vi. The Contractor undertakes to provide road worthy bowsers sufficient in number to
transport the committed quantity of the product(s).

vii. The Contractor shall have custody and be responsible for the product(s) tendered to
Contractor hereunder from the time the product passes the coupling of OGDCLs
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delivery hose at the loading point until it passes the coupling point of respective
refinerys receiving pipe at the receiving point. However, in the event of any accident
or loss at OGDCLs or refineries premises due to the OGDCLs or concerned
refinerys operation the liability of loss would not be on account of Contractor,
provided however that the loss or accident occurred due to the gross negligence, or
willful default of Contractor, OGDCL shall be indemnified by Contractor to the extent
of such loss.

viii. The Contractor will arrange at its own cost, the calibration of bowsers, 20 mm above
and 20 mm below the maximum capacity of the bowsers, on per millimeter basis from
3
rd
party calibration facility duly approved by the Government of Pakistan. The
calibration will be done at least once in a year positively. In case of more than one
calibration is required by OGDCL then expenditure shall be borne by both Parties
equally.

ix. The Contractor will arrange at its own expense steam washing of crude tank of each
bowser alongwith each calibration after at least once a year or any earlier date when
BS&W contents have been accumulated at the bottom of bowsers tank or after the
bowser has been used for carrying high BS&W oil or any other material/element which
can alter, change or reduce the quality of product(s) being transported.

x. The Contractor will provide one copy of duly certified calibration chart of each bowser
to the refinery concerned and OGDCL and one copy will always remain with the
respective bowser. After each calibration, copies of calibration charts will be provided
to the concerned refinery and OGDCL simultaneously by contractor, within a week
time positively.

xi. The Contractor shall depute experienced and skilled crew and drivers for the
transportation vehicles. The drivers shall abide by all the standard safety, security rules
and regulations in general and those applicable in oil and gas industry in particular.

xii. The Contractor will ensure that the bowsers are in good working condition and road
worthy and are duly registered under the applicable laws and fulfill all other condition
laid down in the Motor Vehicle Act and the rules framed thereunder, Explosive Act
and the rules framed thereunder, applicable petroleum exploration and production and
any other law applicable for purpose for this agreement.

xiii. Bowsers shall be road friendly as per NHA load specification and fit for transportation
of product(s) and should conform to international standard safety rules and regulations
for movement. In case any vehicle of the Contractor is stuck-up, push and pulls
arrangements will be the responsibility of Contractor and shall be made promptly in
safe and secure manner by the Contractor. However, on written request by the
Contractor, Company may provide this facility for a charge and subject to availability.
The Contractor shall ensure trouble free movement of vehicles.

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xiv. At the loading point after filling each bowser the representative of Contractor and
OGDCL will measure the contents jointly. OGDCL representative will seal the bowser
and prepare the delivery challan and get the same signed by Contractor representative.
At the receiving point, the representative of Contractor, refinery and OGDCL will
check jointly the seal. They will measure the contents jointly in similar manner as
check is carried out at loading point and will sign the delivery challan as token of
correct delivery. In case of any discrepancy Contractor shall be responsible to rectify at
its own risk and cost.

xv. Normal loss which may arise due to evaporation in transit, shall be allowed 0.2% in
case of crude oil/ condensate of the total loaded volume in a bowser. Such loss shall be
taken into account only in case the quantities measured at refinery are less than the
quantities loaded from the loading point in a particular bowser. However, in case of
any excess quantities found at refinery than loaded from the loading point, the actual
quantities measured at refinery receiving point shall be written on the delivery challan
which will be jointly signed by the representatives of Contractor and refinery
concerned.

xvi. The Contractor shall be liable to pay all Government levies, taxes and incidentals such
as toll tax, etc. en-route, as per the applicable laws of Pakistan as amended from time
to time.

xvii. The Contractor will undertake that the oil tankers provided by him are in accordance
with vehicle axle load limits prescribed by NHA. The contractor shall be liable to
termination of pre-qualification with OGDCL if found in overloading the maximum
allowable load per axle as defined by NHA rules.

3. CONTRACTOR REPRESENTATIONS AND WARRANTIES

i. The Contractor warrants and represents that its equipment and vehicles are in good
working condition, road worthy and fit for the purpose. Any breakdown of a vehicle or
equipment shall be attended by the Contractor in a timely and prompt manner. In case
of breakdown or any delay in arranging replacement vehicles or equipment within
twenty four (24) hours, alternate arrangements shall be made by Company at the risk
and cost of the Contractor.

ii. The Contractor warrants, represents and firmly undertakes that it shall be responsible
for all acts and omissions of its employees, representatives or any one claiming
through it.

iii. The Contractor warrants and represents that it has obtained and maintains all permits,
approvals, licenses and authorizations required for rendering the Services under
applicable law. Contractor shall present such permits, licenses and authorization to the
Company for inspection, upon request.

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4. PAYMENT TERMS

i. The transportation rates approved by the OGDCL will be firm and final for the Terms
of the contract as provided herein. These rates will be for product(s) transported from
loading point to receiving point on the basis of quantities received at receiving point.
The volumes will first be corrected at 60 F. Any increase in the fuel i.e. diesel up to
15% by Government of Pakistan will not be considered. However, increase beyond
15% will be considered proportionately.

ii. The Contractor shall submit invoice weekly on the basis of receipted delivery challan.
The invoice shall be accompanied by copies of Delivery Notes and other necessary
documents that are duly verified, signed and stamped by the authorized representative
of the Company. Payment shall be made within thirty (30) days of receipt of an invoice
that is complete in all respects. Deductions of income tax or any other tax whether
present or future from the invoices shall be as per prevailing laws.

iii. Standby and/or detention charges (if any) shall be paid as per approved rates on proper
verification by the Company.

iv. Any fuel provided by Company, or any repair work done on Contractors equipment or
vehicles by the Company or using the Companys resources or facilities shall be
charged to the Contractor by the Company as per actual expenditure.

5. SECURITY DEPOSIT

i. The Contractor shall pay security deposit of Rs.10,000,000/- (Rupees Ten Millions)
for oil tankers, which will remain in the custody of the Company for the duration of
the transportation services/contract and will be released on satisfactory completion of
the contract. No interest shall be paid by OGDCL on the security deposit of the
transport contractors.

ii. The security deposit shall not be refunded to the enlisted transporter if the transport
contractor decides to discontinue the business at any time during the currency of the
contract. A three-month notice is required to be served on OGDCL before
discontinuation of business. The security deposit shall be refunded after completion of
one year.

6. DELIVERY NOTE

Contractor shall be liable to transport the material in proper condition in accordance
with the Delivery Note (DN) of Company and shall obtain a receipt to that effect
duly signed and sealed by the Companys authorized representative. The Company's
authorized representative shall make a note in the DN if any item is damaged, deficient
or short delivered. On the basis of the note, the Company shall have the right to
recover costs from the Contractor, for the lost, damaged, short or deficient items, and
21/25

shall have the right to withhold or deduct such amount from the security amount or any
amount which is due or may become due and payable to Contractor until such a time as
the Contractor makes good of such damages, losses and deficiencies of equipment, etc,
to the Company. The Company shall also have the right to avail remedy as provided
under the law.

7. COMPANY DISCLAIMER

The Company shall not be responsible for any road mishaps, accident, injury or death
of the Contractors employees during the performance of its obligations under this
Contract. The Company is not liable to compensate the Contractor for any damage or
deficiency to the Contractors equipment during the performance of Contractors
obligations under this Contract.

8. INDEMNIFICATION

i. The Contractor shall at all times during the term of this Contract and thereafter,
indemnify and hold harmless the Company, its directors, officers and employees
against all losses and claims for injuries or damage to any person or property arising
from Contractors performance of Services or in consequence of this Contract; or any
act or omission of any of its employees and against all claims, demands, proceedings,
damages, costs, charges and expenses whatsoever in respect thereof or any litigation,
or other legal proceedings filed or instituted by the personnel employed by the
Contractor or any of them collectively or individually or by any other party on their
behalf.

ii. The Contractor shall indemnify Company against any claim which might occur due to
any failure by Contractor to comply with any legal, statutory and contractual
obligations regarding the taxes, duties, fees, levies or other charges whether present or
future, including taxes or income in Pakistan.

iii. In the event that the Contractor refuses or fails to indemnify the Company as per
provisions of this Clause 08, the Company shall deduct the amount involved either
from the Performance Bond / Security Deposit or from any sum which may be due to
the Contractor.

9. CONTRACTOR DEFAULT

If the Contractor fails to provide the services within the time period(s) specified herein
or if contracted equipment & vehicles are not provided in accordance with the
contractual schedule and the Company is compelled to retain alternate services of
another contractor, the Contractor shall pay to the Company any costs and
expenditures incurred thereupon. Furthermore, if the operations of Company are
delayed due to unexcused late delivery by the Contractor, the penalty @ Rs. 50,000 per
day shall be charged.
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10. TERMINATION

The company reserves the rights to cancel this Agreement at one-month notice in case
of unsatisfactory performance by the contractor in respect of the contractual obligation.

11. NOTICES

i. A Party shall send a written notice or request under or pursuant to this Contract to the
other by registered mail, courier service or facsimile transmission. All notices shall be
under this Contract shall be deemed delivered at the date when received by the Party
being notified in case of delivery by mail or courier service. Faxed notices shall be
deemed delivered on the date recorded on the delivery confirmation receipt.

ii. Notices to Parties shall be addressed as follows:




COMPANY:
Managing Director
Oil & Gas Development Company Limited
OGDCL House, Jinnah Avenue, Blue Area, Islamabad
Telephone
Facsimile




CONTRACTOR:
Title:
--------------------------
---------------------------,
---------------------------
Islamabad
Telephone
Facsimile

Any change in the above mentioned addresses shall be conveyed by the concerned Party to
the other in writing three (3) days prior to such change.


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12. PERMITS, LICENSE AND AUTHORIZATION

The Contractor at his own cost shall seek permission from the concerned Government
Departments, Agencies and/or Authorities including but not limited to the Highway
Department, Pakistan Railways, Electricity Department (WAPDA), Police, Municipal
and Telephone Department, etc. in case of transportation of heavy and over dimension
packages / loads of the material and accessories and Company may extend reasonable
assistance.

13. CONFIDENTIALITY
Contractor shall ensure that all of its employees performing services specified in this
Contract shall not at any time during the term of this Contract or thereafter disclose to
any person any information as to the affairs of the Company or its officers and as to
any other matters which may come to their knowledge by reason of the performance of
the Services specified in this Contract. If in the sole discretion of the Company there
have been any such disclosures, the person concerned shall immediately be removed
from the performance of services and replaced immediately.


14. TAXES
i. The Contractor shall be responsible to pay all taxes on its income under the Contract
and under the laws of Pakistan. Any taxes, duties, fees, levies and other relevant
charges, present or future, assessed and payable by the Contractor and/or by the
personnel deputed by the Contractor in connection with the Services performed
hereunder shall be the exclusive responsibility of the Contractor.
ii. Taxes shall be deducted by the Company at source. Company shall have the right, as
provided under the law, to meet its obligations and in particular to deduct from the
payment due to the Contractor income tax, withholding tax or any other tax at source at
the rates prevailing from time to time, or such reduced rates as may be fixed by the
taxation authorities, Contractor shall supply the Company with documentary evidence
of any reduced rates and payment of such amount to the appropriate authorities.
iii. Contractor shall be liable to pay all government levies, charges, taxes etc and/or duties
en-route.


15. FORCE MAJURE

i. A Party shall be relieved from the duty to perform its obligations under this Contract
and any liability for failure to perform such obligations, in whole or in part, under this
Contract to the extent such non-performance is caused by the occurrence of a force
majeure event. A force majeure is an event that is entirely beyond the control of the
Party affected thereby, including but not limited to Acts of God or public enemy, civil
insurrection, fires, floods earthquakes or other physical disasters, order or request of
Government, blockade or embargo. It is however, clarified that strikes, lockouts,
shortage of requisite manpower, rains, labour disputes or non availability of transport
shall not constitute force majeure. It is further clarified that during the established
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period of force majeure, the Contractor shall not be entitled to any payment and the
Company shall not impose penalty.

ii. The Party claiming excuse by way of force majeure shall send written notification to
the other Party of the occurrence of force majeure within forty eight (48) hours of the
event along with evidence of such occurrence and shall undertake all efforts to mitigate
the effects of such force majeure event.


iii. If a force majeure event continues for one month, the Parties shall meet to agree on
alternative means of implementing the Contract. If no satisfactory agreement is
reached within a period of total two months from commencement of the force majeure
event, either Party may terminate the Contract.

16. DISPUTE RESOLUTION

If any, dispute or difference arises between the Parties as to the terms of the Contract
or as to the performance or non-performance of the terms thereof or in connection with
or arising out of this Contract, the same shall be referred to the sole arbitration of the
Managing Director of the Company who may either personally enter upon such
reference or nominate a senior officer of the Company to arbitrate on his behalf. The
award of the Managing Director or his nominee shall be final, conclusive and binding
upon both the Parties and shall not be called in question.

17. ASSIGNMENT

Contractor shall not assign or transfer either whole or part of its rights and obligations
under this Contract without the prior written consent of the Company.

18. MODIFICATION

This Contract shall not be amended or modified unless such amendment or
modification is reduced to writing and duly signed by both Parties hereto.

19. GOVERNING LAW

This Contract shall be construed and interpreted in accordance with the laws of the
Islamic Republic of Pakistan.

20. WAIVER
No consent or waiver, express or implied, by Company of any breach or default by the
Contractor in its performance of obligations hereunder shall be deemed or construed to
be consent or waiver to or of any other breach or default by Contractor performance of
the same or any other obligations hereunder. Failure on the part of Company to
complain of any act of Contractor or to declare Contractor in default shall not
constitute a waiver by Company of such rights.

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21. The above terms and conditions are the format of a formal Agreement to be executed
by both Parties subsequently. OGDCL reserves the right to amend/modify/delete/add
any of the terms and conditions in the formal Agreement.


The above terms & conditions of OGDCL are accepted




Date: __________________ Signature with Name,
Designation & Official Seal of
the Company/Firm

Witness:

1. ____________________

2. ____________________