NIGERIAN PETROLEUM DEVELOPMENT

COMPANY LIMITED
(A Subsidiary of Nigerian National Petroleum Corporation)
62/64 SAPELE ROAD, P.M.B. 1262, BENIN CITY
EDO STATE

COMMERCIAL BID DOCUMENT

FOR

THE PROVISION OF QUALITY ASSURANCE

AND QUALITY CONTROL SERVICES FOR
THE CONSTRUCTION OF EGBEMA WELL 8S
AND EGBEMA-WEST WELL 14S FLOWLINES
IN OML 20.

TENDER NUMBER: AM/SHELL

JV/EGB/TD/0816/0075F

AUGUST 2016.
 INSTRUCTION TO BIDDERS

DEFINITIONS

BID DOCUMENTS: This comprises the Invitation To Bid Document

(including the Bill of Engineering Measurements
and Evaluations) and clarification
letters/Drawings /Maps/Specifications/Standards
that may be supplied by the owner before the
Tender is submitted.

BIDDER: The person or company to whom an Invitation To

Bid letter has been issued.

TENDER: This comprises the completed Original Bill of

Engineering Measurements and Evaluations,
Original Form of Tender

OWNER: Nigerian Petroleum Development Company

Ltd.

WORK: The list of goods/services outlined in the Bill of

Engineering Measurements and Evaluations.

ENGINEER: The Manager Shell JV Assets, NPDC

ENGINEER’S REP: The DM Facilities, Shell JV, NPDC

VALIDITY PERIOD: The period (in days) for which the rates, prices
and totals quoted by a bidder remains in force
and are not subject to change request by the
bidder.

1. OBLIGATION AND LIABILITIES

Bidders shall carefully examine the Bid Documents and include for fulfilling
all obligations and liabilities in connection with the successful execution of
the obligations and liabilities attached to the works. Bidders are to note that
Warranties shall be required on all manufactured equipment. All such costs
are to be built into the bidder’s offer price.

2. RETURN OF CONFIRMATION OF RECEIPT FORM

It is expected that all invited bidders shall receive the Bid Documents
comprising the Invitation To Bid Letter, Instructions To Bidders, Confirmation
of Receipt Form, Bill of Engineering Measurements and Evaluations, and
Form of Tender.
Bidders are required to return the Confirmation of Receipt Form to:
 The Manager,
Shell – JV Assets,
Asset Management Division,
Nigerian Petroleum Development Company Ltd,
62/64 Sapele Road, PMB 1262
Benin City, Nigeria.
E-mail Address: ekpo.bd@npdc-nigeria.com

to confirm receipt of the complete Bid Documents.

3. SITE INSPECTION VISIT

Bidders are required to participate in a compulsory site inspection visit to

facilitate direct physical assessment of the works. Your representative (who
must have an identification card) is expected to meet with the NPDC
representatives at Egbema Production Centre (EPC), Egbema, Imo
State. In addition your representative must come with Personal Protective
Clothing (PPEs). Bidders are responsible for the transportation and
accommodation of their representative(s) for the site visit.

The site inspection visit shall commence at 1000hrs on Wednesday

September 07, 2016. To ensure proper coordination, bidders are advised
to forward the names and contact phone numbers of their site visit
representative(s) to abdullahi.ms@npdc-nigeria.com, bello.n@npdc-
nigeria.com and adikwu.eo@npdc-nigeria.com on or before 1600hrs on
Monday, September 05, 2016.

4. BID CLARIFICATION MEETING

Bidders or their representatives are required to meet with NPDC

representatives at the venue of the site visit for further clarifications if so
required.

5. BIDDERS OBLIGATION TO CONFIRM SUFFICIENCY OF INFORMATION

GIVEN

Bidders are required to confirm that all information required for the bid is
sufficient.

6. COMPLIMENTARY INFORMATION TO BE OBTAINED BY BIDDERS

Bidders shall carefully note the conditions prevailing at the SITE and any
other places that may directly affect or influence the WORK. Bidders shall be
deemed to have satisfied themselves with the conditions prevailing at the
SITE before submitting their bids.

In addition, Bidders are required to find out to what extent suitable

materials, equipment, transportation and labour are available in Nigeria and
include maximum use of same as guided by the Nigerian Content Act of
2010.
7. SCOPE OF WORKS

The scope of works for the Provision of Quality Assurance/Quality Control

Services for Egbema Well 8S (4.5” API 5L Grade B, Schedule 40) and
Egbema-West Well 14S (4.5” API 5L Grade B, Schedule 40) Flowlines
construction in OML 20 shall include but not limited to the following;

i. Provision of two (2) No. Certified Welding Inspector (CSWIP)

ii. Provision of two (2) No. ASNT Level II Technician

The terms of reference for the above listed personnel shall include but not
limited to the following;

 Mobilization of materials, personnel and equipment to location.

 Observe and supervise Construction Contractor’s operations to
ensure conformance with specifications and applicable standards,
and perform special testing and inspections in accordance with API
Standard No. 1104.
 Supervision of qualification tests for all API coded welders required
for the flowline construction works.
 Interpretation of X-ray films of welded joints from welders’
qualification test.
 Inspection/Supervision of all flowline trenching and backfilling
activities.
 Interpretation of X-ray films of 120 welded pipe joints of 4.5” API 5L
Grade B Schedule 40 Egbema 8S and 525 welded pipe joints of 4.5”
API 5L Grade B Schedule 40 Egbema-West 14S flowlines.
 Interpretation of X-ray films required for the hook-up and tie-in
construction works
 Interpretation of X-ray films for all welded fittings.
 Inspection of all owner and contractor supplied materials and fittings
prior to use and installation on any section of the hook-up assembly.
 Inspection/supervision of all activities associated with the Sand
Blasting, Painting of all exposed above ground sections of fabricated
assembly.
 Inspection/supervision of all activities associated with the
construction of cubic concrete supports with neoprene isolation.
 Carry out Holiday Detector Tests for all Field Coated Weld Joints.
 Inspection/supervision of all activities associated with the flushing
and hydro-testing of the pipelines and valves required for complete
hook-up in accordance with ASME B31.4.
 Provision for submission of daily, weekly and monthly reports of all
activities carried out on site, and for three copies of project close out
report (both bound hard copies and soft copies in CD-ROM)
 Provide for CASHES
 Demobilization of materials, equipment and personnel location.
8.0 CONTRACTORS Work scope

8.1 General

CONTRACTOR shall review the Bill of Engineering Measurements &

Evaluations (BEME) included herein, taking into consideration the
applicable specifications and bring to COMPANY’s knowledge of any
discrepancies for resolution.

CONTRACTOR shall provide equipment, labour, materials, supervision and

transportation that are required for the provision of Quality Assurance
and Quality Control services for the construction of the Egbema Well 8S
and Egbema-West Well 14S Flowlines.

8.2 WORK TO BE PERFORMED BY CONTRACTOR

8.2.1 The CONTRACTOR shall execute all WORK covered in Section 7.

8.2.2 The WORKS shall be performed strictly in accordance with the terms and
conditions of the CONTRACT and such further NPDC instructions from time
to time in that regard.

8.2.2 It is understood and agreed that THE WORK includes the furnishing of all
labour, supervision, tools, equipment, materials and services necessary or
desirable to complete and render whole Scope for the purposes for which
they are intended.

8.2.3 The CONTRACTOR warrants that properly skilled, experienced and suitable
personnel shall perform the WORKS in a safe manner to the required
standard, using good working practices and that materials supplied will be
new, free from defects and suitable for their intended purpose.

8.3 MATERIALS TO BE FURNISHED BY CONTRACTOR

8.3.1 Contractor shall supply all materials as required for execution of the
WORK in accordance with the Bill of Engineering Measurements &
Evaluations (BEME)

8.3.2 Neither OWNER nor ENGINEER shall be responsible for providing shelter,
medical attention or transportation for employees of CONTRACTOR.

8.3.3 Construction and Welding works

CONTRACTOR to ensure that the Flowline Construction Contractors make

use of qualified welders and procedures in accordance with AWS D.1.1
and other relevant COMPANY’s specifications (Structural and piping
welding and inspection may be performed by the GMAW, FCAW, SMAW,
or a combination of these processes.

The use of qualified welders and procedures by Flowline Construction

Contractors is subject to COMPANY and CONTRACTOR’s review and
 approval and must be in accordance with all Technical requirements. In
all cases, welder qualification documentation shall be provided with a
picture of the qualified welder. The cost of any additional testing or
implementations of procedures or welders that do not meet these
requirements are the responsibility of Flowline Construction Contractors.

Flowline Construction Contractors shall prepare welding procedures and

qualify all welders to be utilized during the execution of the work scope in
accordance with the provisions of the Technical Requirements. COMPANY
and CONTRACTOR must approve all welding procedures and pre-qualify
welders prior to commencement of work.

Welding shall be in accordance with AWS D1.1, A 5.1 and B2.1, API 1104
and ASME B31.3.

Welding symbols shall be in accordance with AWS A2.4.

All welding shall be performed in an area protected from rain, wind and
air-borne dust and sand.

Parts to be welded shall be carefully prepared and be firmly held in

position before welding to avoid warping, buckling and residual stresses.

Butt welds shall be made in at least two passes such that filler metal is
deposited over the whole thickness of the joint.

Prepared weld profiles shall be checked by gauges before welding.

8.3.3.1 Welding Procedures

Written welding procedures shall be prepared by Flowline Construction

Contractors and tested in accordance with AWS B2.1 and D1.1, API 1104
and ASME B31.3 by Quality Assurance & Quality Control Contractor.

The procedure shall identify material, weld geometry, tolerances,

welding process, pre-heat temperature and welding position to be used.

Procedures and tests shall be submitted to the COMPANY and

CONTRACTOR for review prior to commencement of the work.

Welding Procedure sheets shall be made available to the welder prior to

the commencement of the work.

8.3.3.2 Welder’s Qualification

Welders shall be tested to meet the requirements of AWS B5.17, API

1104 and ASME B31.3.

Welder test certificates shall be submitted to the COMPANY for review

prior to commencement of work.
 Certificates may be updated at six monthly intervals, subject to the
welder having been engaged on appropriate work in the intervening
period.

8.3.3.3 CONTRACTOR QA/QC Program for Work Scope

NDT (X-ray inspection) shall be carried out on all piping spools or welded
joints according to ASME B31.3 and API 1104.
Visual inspection shall be made in accordance with guidance given in
AWS B1.11 after completion of all welding over the full length of the
weld.
A suitably qualified person for visual inspection of welds may be a
welding inspector or a welder who has had training in the technique.
Where a closer examination of a weld surface is required magnetic
particle inspection (MPI) shall be used in accordance with the
recommendations given in AWS CMWI CH 12.
Should magnetic particle inspection equipment not be available, dye
penetrate inspection (DPI) may be used in accordance with the
recommendations given in AWS CMWI CH 12.
The test results shall be recorded and be available for inspection by the
COMPANY.
Where ultrasonic or radiographic examination is required, it shall be
made in accordance with AWS CMWI CH 12.
Examination shall be carried out not less than 16 hours from the time of
completion of the weld to be inspected, or not less than 40 hours in the
case of butt welds thicker than 40mm.
The CONTRACTOR shall give at least 24 hours' notice to COMPANY
before each stage is reached. COMPANY shall, however, have the right
to examine work at any stage, and to reject defective material or
workmanship whenever found.
The acceptance criteria for any welding tested shall be proposed by
CONTRACTOR and approved by the COMPANY prior to fabrication
commencing.

8.3.3.4 Surface Preparation and Painting

Flowline Construction Contractors shall perform all work under this

section in accordance with COMPANY’s specifications – ‘Paint and
Protective Coatings specification and with paint manufacturer's
recommendations.

Contractor-fabricated items to be galvanized shall be coated as single,

complete units (e.g., stairs), and shall not be cut into smaller assemblies
unless approved by the Company.
 The surface to be coated shall be cleaned to a “Near-White Metal” finish
in accordance with SSPC-SP-10. Sand Blasting shall be done.

Flowline Construction Contractors shall provide and apply self cured

inorganic zinc as first coat (zinc prime) of 3-4Mils DFT, Polyamide Epoxy
of 5-7Mils DFT as intermediary coat and Aliphatic Polyurethane of 2-
3Mils DFT as final coat. For all structural members, the finish coat will be
Shell Green Paint.

All work shall be subject to Company inspection and Flowline

Construction Contractors shall give at least 2 days' notice prior to the
start of surface preparation or coating application so that they can
witness and certify the work.

Dry film thicknesses shall be measured using a "Microtest" magnetic film

thickness gauge or Company approved equal. The dry film thickness
gauge shall be calibrated to Company satisfaction at the beginning of
coating work and thereafter, regularly and whenever Company requests
recalibration.

8.3.3.5 Pressure testing

Flowline Construction Contractors shall carry out a hydrostatic test on all

piping spools according to ANSI B31.3 and piping - valve, material, and
service classification general specification.

Flowline Construction Contractors shall calibrate all valves (gate, check,

choke and plug) in accordance with COMPANY’s procedures and
manufacturer’s specifications.

COMPANY and CONTRACTOR’s representative shall witness both

pressure testing and calibration activities of the work.

Flowline Construction Contractors shall submit all Pressure test and

calibration certificates for approval before going to the next stage of
work.

Any defects noticed during pressure testing shall be repaired, corrected

or amended by Flowline Construction Contractors without any extra cost
to the COMPANY.

9. RATES/PRICES

Rates and Prices must be quoted for all items in the Bill of Engineering
Measurements and Evaluations where applicable. If any item(s) is left
unpriced, BIDDER shall indicate that the price of the said work is included in
a specified item. All prices shall be quoted in Nigerian Naira and shall be
comprehensive – inclusive of risks, liabilities, obligations, etc.

10. COMMERCIAL BID REQUIREMENTS

 Bidders are required to submit a Commercial bid.

The Commercial bids shall comprise of the following:

 Completed copy of the Bill of Engineering Measurements & Evaluation

(BEME) for PROVISION OF QUALITY ASSURANCE AND QUALITY CONTROL
SERVICES FOR THE CONSTRUCTION OF EGBEMA WELL 8S AND EGBEMA-
WEST WELL 14S FLOWLINES IN OML 20.

 Completed copy of the Form of Tender

11. COMPLETION AND SUBMISSION OF BID DOCUMENTS

You are required to submit three (3) copies each of the Completed
Commercial Bid Document containing our Original Bill of Engineering
Measurements and Evaluations, the Form of Tender must be bound as
separate packages and submitted in sealed envelopes with the
appropriate inscription as described in the Invitation to Bid letter.

The Bill of Engineering Measurements and Evaluations and the Form of

Tender must be completed in ink and signed by a Principal or other
authorized representative of the bidder’s company/enterprise. Each page of
the completed Bill of Engineering Measurements and Evaluations and the
Form of Tender must be stamped with the company stamp or seal of the
bidder.

12. LATE SUBMISSION OF TENDERS

Bids received after the closing date or any extended date thereafter shall
NOT be considered.

13. DURATION

Bidders are required to state the job duration in the relevant space provided
in the Form of Tender.

14. BID VALIDITY PERIOD

Bidders are required to clearly state their Bid Validity Period in the relevant
space provided in the Form of Tender. Bid Validity Period must be stated
in days only e.g. 180days.

15. CONFIDENTIALITY OF BID DOCUMENTS

The BID DOCUMENTS are confidential, contain proprietary information

belonging to OWNER and may not be reproduced or disclosed by BIDDER
except for the purpose of submitting its TENDER or with prior written
permission of OWNER. The BID DOCUMENTS shall remain the property of
OWNER.
16. CLARIFICATIONS

If a bidder has doubts as to the meaning or intent of any wording contained

in the Bid Documents, he should seek clarification in writing, through the
following address:

The Managing Director,

Nigerian Petroleum Development Company Limited,
Attention: Manager, Shell JV Assets
NPDC, 62/64 Sapele Road, GRA, Benin-city

to reach him at least three (3) working days before the closing date of this
tender.

17. PRICE

The bid price shall be determined by the sum of the cumulative cost of the
items in the Bill of Engineering Measurements and Evaluations. The
Employer shall notify the winning bidder of the offer price at the end of the
Tender exercise. The Employer does not bind himself to accept any or the
lowest bid price nor will he be responsible for the bidder’s cost incurred in
preparing the tender.

18. COMPUTATIONAL ERRORS

Where there are computational errors in the extension of the unit rates to
arrive at a price, the unit rate will be applied to the number of items to
arrive at the corrected price. Also arithmetic errors shall be corrected and
the tender judged on the corrected tender sums.
In the event of any conflict arising from disparity between prices written in
numerals and figures, the prices in figures will be applied.

19. CONTRACT AWARD

a. OWNER shall notify the successful BIDDER in writing of offer of

contract award.

b. The failure of a successful BIDDER to properly execute and return to

OWNER the CONTRACT DOCUMENTS within the specified period to
indicate acceptance of OWNER’s offer shall entitle the OWNER to
award the CONTRACT for the WORK to another party.

c. OWNER reserves the right to award the contract to any Bidder

notwithstanding whether such a Bidder submitted the lowest bid or
not.

d. OWNER is not obliged to advise any BIDDER of the name of the

successful BIDDER or of rejection or all/any BIDDERS.

20. BIDDER’S CONTACT INFORMATION

 All BIDDERS are required to furnish OWNER of any change in their contact
information (i.e. postal address, office address and phone numbers) within 2
working days if it occurs within the duration of this tender. BIDDERS are also
required to have or create an e-mail address and notify the ENGINEER
through the ENGINEER’S REP for easy correspondence.

21. ACKNOWLEDGEMENT OF RECEIPT

Within 5 working days of receipt of this Invitation to Bid, BIDDERS shall

confirm by filling the Confirmation of Receipt Form and transmitting same to
NPDC through E-mail, Fax or registered letter.

CONFIRMATION OF RECEIPT FORM

The Manager,
Shell JV Assets,
Asset Management Division,
62/64 Sapele Road, GRA,
Benin City, Edo State.

Dear Sir,

PROVISION OF QUALITY ASSURANCE AND QUALITY CONTROL SERVICES FOR

THE CONSTRUCTION OF EGBEMA WELL 8S AND EGBEMA-WEST WELL 14S
FLOWLINES IN OML 20

TENDER NUMBER: AM/SHELL JV/EGB/TD/0816/0075F

I hereby confirm the receipt of the original of a letter of Invitation To Bid (ITB)
for the above project.

(Tick as appropriate)

- We hereby accept to respond to your invitation and to submit our

TENDER not later than the closing date and agree to comply with your
INSTRUCTIONS TO BIDDERS.
- We hereby decline your invitation, and will return forthwith your BID
DOCUMENTS, all in accordance with your INSTRUCTIONS TO BIDDERS.

Yours faithfully,

Company Name and Stamp: ……………………………………………………

Signature:…………………………………………………………………………

Name: ………………………………………………………………………….

Designation:………………………………………………………………………

Date:………………………………………………………………………………

Telephone: .………………………………………………………………………

Fax: ......................... ……………………………………………………………..

Email:.....................................…………………………………………………….
PROVISION OF QUALITY ASSURANCE AND
QUALITY CONTROL SERVICES FOR
CONSTRUCTION OF EGBEMA WELL 8S AND
EGBEMA-WEST WELL 14S FLOWLINES IN
OML 20

TENDER NUMBER: AM/SHELL

JV/EGB/TD/0816/0075F

BILL OF ENGINEERING MEASUREMENTS &

EVALUATIONS
(BEME)

Asset Management Division,

Nigerian Petroleum Development Co. Ltd.
August, 2016.
 BILL OF ENGINEERING MEASUREMENTS & EVALUATION (BEME) FOR:
PROVISION OF QUALITY ASSURANCE AND QUALITY CONTROL SERVICES FOR
THE CONSTRUCTION OF EGBEMA WELL 8S AND EGBEMA-WEST WELL 14S
FLOWLINES IN OML 20

S/N DESCRIPTION UNIT QTY RATE (N) AMOUNT (N)

Mobilization of personnel,
1 Lot L/S
equipment & materials
Provision of Two (2) Nos.
2 Certified Welding Inspectors for Day 120
60 days
Provision of Two (2) Nos. ASNT Day 120
3
Level II Technicians for 60 days
Observe and supervise
Construction Contractor’s
operations to ensure
conformance with specifications
4 Lot L/S
and applicable standards, and
perform special testing and
inspections in accordance with
API Standard No. 1104.
Supervision of pre-qualification
tests for all API coded welders
5 Lot L/S
required for the flowline
construction works
Interpretation of X-ray films of
6
welded joints made during Lot L/S
welders’ pre-qualification test.
Inspection/Supervision of all
7 flowline trenching and backfilling Lot L/S
activities
Interpretation of X-ray films for
8 No. 645
all welded pipe joints
Interpretation of X-ray films
9 required for the hook-up and tie- Lot L/S
in construction works
Interpretation of X-ray films for
10 Lot L/S
all welded fittings
Inspection of all owner and
contractor supplied materials
11 and fittings prior to use and /or Lot L/S
installation on any section of the
flowline
Inspection/Supervision of all
activities associated with the
12 sand blasting, painting of all Lot L/S
exposed above ground sections
of fabricated assembly
Inspection/supervision of all
activities associated with the
13 construction of cubic concrete Lot L/S
supports with neoprene
isolation.
 Carry out Holiday Detector Tests
14 Lot L/S
for all Field Coated Weld Joints
Inspection/supervision of all
activities associated with the
flushing and hydro-testing of the
15 Lot L/S
pipelines and valves required for
complete hook-up in accordance
with ASME B31.4.
Provision for submission of daily,
weekly and monthly reports of
all activities carried out on site,
16 and for three copies of project Lot L/S
close out report (both bound
hard copies and soft copies in
CD-ROM)
Provide for CASHES
17 Lot L/S
Demobilisation of materials,
18 equipment and personnel from Lot L/S
location

TOTAL

5% VAT

GRAND TOTAL

AMOUNT IN
WORDS--------------------------------------------------------------------------------------------

------------------------------------------ -------------------------------
CONTRACTOR’S SIGNATURE DATE
 FORM OF TENDER

The Secretary,
Bid Management Committee (BMC),
Nigerian Petroleum Development Company Limited,
62/64 Sapele Road,
P .M. B 1262,
Benin City, Edo State.

Sir,

PROVISION OF QUALITY ASSURANCE AND QUALITY CONTROL SERVICES

FOR THE CONSTRUCTION OF EGBEMA WELL 8S AND EGBEMA-WEST
WELL 14S FLOWLINES IN OML 20

TENDER NUMBER: AM/SHELL JV/EGB/TD/0816/0075F

1. Having examined and completed where necessary, the Bid Documents

relating to the above works and having acquired all requisite information
relating thereto as it affects this Tender, I/We the undersigned, hereby offer
to execute and complete the proposed works in accordance with the
contract conditions referred to in the Bid Documents for the sum of:

____________________________________________________________________________
____________________________________________________________________________
______________________________________________(N___________________________ )

2. I/We undertake, if Tender is accepted, to commence the works within _____

days of receipt of the NOTICE TO PROCEED, complete and deliver the whole
of the works comprised in the CONTRACT in ________ days.

3. I/We agree to abide by this Tender for the period of _______ days from the
closing date fixed for returning the same and it shall remain binding upon
me/us and may be accepted at any time before the expiration of this validity
period.

4. I/We agree that this Tender remains open until formal AGREEMENT between
the OWNER and successful BIDDER is executed, or the contrary is expressly
stated in any other document by the OWNER.

5. I/We agree that the OWNER (i.e. Nigerian Petroleum Development Company
Limited) is not obliged to accept the lowest or any other Tender that is
received.

6. I/We agree that should the Tender be improperly completed or be

incomplete, the Owner shall have the right to disqualify this Tender.
7. I/We agree that payment for work done will be on the basis of work
completion certificate to be approved by the Engineer.

Dated this ____________________ day of__________________________ , 2016.

Signature: _____________________________________________________

In the Capacity of: ______________________________________________

___________________________________________
COMPANY STAMP OR SEAL

Address: ________________________________________________________

________________________________________________________

________________________________________________________

Witness:

Name: ________________________________________________________

Address: ________________________________________________________

________________________________________________________

Occupation:_______________________________________________________