Professional Documents
Culture Documents
CTR Summary Tab (Contractor to provide as a minimum the CTRs below. Additional CTRs to be provided as required to co
CTR Description Total Man Hours
001 Project Kick Off
002 Facilities to be provided by Contractor
003 Design Basis and Concept Validation
004 Definition Engineering
004A Process Design
004B Mechanical engineering. Skid Modules; Piping and Layout design
004C Static and Rotating Equipment Design
004D Electrical Design
004E Control, Instrumentation & Telc. Design
004F Civil Design
004G Pipelines
005 Safety Studies
006 Cost Estimation
007 Project Plan
008 Project Management and Project services
009 SoW Document for EPCM Contract
010 Interface Management & Integration with Exterran (Technology Provider)
011 Procurement Packages (Prepare, Tender, Evaluate, Negotiate, Ready for Award)
011A GFTs
011B Civil Foundations for GFTs
011C LLI Packages by package (add additional below as required)
12 EPCM Services as per the Split of Work List
Company: XXXXXXXXXX
Department:
Total Amount: € 0.00
CTR Nº : 001
Input Data:
Scope of Work:
Assumptions:
Deliverables:
Resource (labour)
Name and Responsibility
Project Manager
Process Engineer
Mechanical Engineer
Rotating Engineer
I&C Engineer
Electrical Engineer
Civil Engineer
Cost Estimation Engineer
Lay out / CAD / Drawing
TOTAL
Additional Cost / Out Sourcing
Definition
3rd Party (if required)
TOTAL
Notes
s to be provided as required to cover the full scope of work.)
Total Cost (Euros)
RCE SHEET
Start:
End:
Activity:
ur)
Man - Hour Rate / hr Amount
0
0
0
0
0
0
0
0
0
0
0
0
0 €0
Sourcing
Qty or Contract Value Amount
€0
Bidder to populate the Schedule of Rates below if not listed in existing framework contracts.
Schedule of Rates
Dayrates
Description UOM
Indirect Labour
Contractor to nominate below as required Day
Direct Labour
Contractor to nominate below as required Day
Note:
1.1. Dayworks
1.1.1. Labour Rate Inclusions
1.1.1.1. Contractor’s personnel directly involved with performing the additional works o
1.1.1.2. All payroll, employment, travel (rotational and business rotational travel shall b
1.1.1.3. All required hand tools, consumables, ladders trestles and the like.
1.1.1.4. All other payments and expenses which Contractor may make under national o
1.1.1.5. Travel time and related travel costs for personnel to and from site and to and fr
1.1.1.6. Non-productive time, including shift change-over time, meal breaks, scheduled
1.1.1.7. All costs for all Subcontractor and Secondary Subcontractor management, site s
1.1.1.8. Accommodation costs
1.1.2. Labour Rate Exclusions
1.1.2.1. Contractor’s margin and overheads
1.1.3. Labour Rate Assumptions
1.1.3.1. The Daywork rates provided for in the pricing schedule should be for daytime w
1.1.3.2. This section applied equally to both direct and indirect labour.
1.1.3.3. Dayworks apply equally to performing the works in large or small quantities, at
1.1.3.4. Work performed on an hourly basis shall be determined to the nearest complet
1.1.3.5. Work performed on a Daywork Rate basis shall be determined on a 10 hour per
1.1.3.6. Rates shall apply to all hours / Days worked regardless of whether Work is perfo
1.1.3.7. The Daywork rates shall apply regardless of whether the work is executed by th
1.1.3.8. The Daywork rates and prices in the Pricing Schedule shall be fixed for the dura
1.1.4. Payment of Dayworks
1.1.4.1. Contractor shall submit timesheets for all personnel for which the Contractor re
1.1.5. Materials Rate
1.1.5.1. Materials for Dayworks shall be reimbursed at the cost plus agreed markup per
1.1.5.2. The markup percentage shall account for Costs for the supply of all materials, c
1.1.5.3. The costs shall include but are not necessarily limited to:
1.1.5.4. All costs associated with the procurement and supply of all necessary materials
1.1.5.5. All costs associated with delivering to site, taking delivery, handling, preservatio
1.1.5.6. The supply of all Consumables and sundry items associated with the nature of t
1.1.5.7. the supply of all temporary protective materials.
1.1.5.8. The supply of fabrication aids, fabricating and erecting temporary supports and
1.1.5.9. The supply of all tags and inspection consumables.
1.1.5.10. Costs of services involved in the sourcing and supply of the material to site
1.1.5.11. 3rd party related costs associated with transportation to and from site, laydow
1.1.5.12. Contractor shall ensure these costs are not duplicated with the Material Compo
1.1.5.13. Costs for fabrication shall include all labour, materials, consumable items, prov
1.1.5.14. The costs shall additionally include but are not necessarily limited to:Materials
1.1.5.15. Risk associated with subcontractors and material suppliers pricing;
1.1.5.16. Fabrications aids, fabrication drawings, fabricating and erecting temporary supp
1.1.5.17. Temporary fittings, welding consumables, sealing tapes and compounds.
1.1.5.18. Painting and coating.
1.1.5.19. Traceability management.
1.1.5.20. Testing (if required).
1.1.5.21. Cleaning
1.1.5.22. The Contractor shall submit receipts for any materials which the Contractor req
1.1.6. Plant and Equipment Rate Inclusions
1.1.6.1. Plant & equipment directly involved with performing the additional works only.
1.1.6.2. The only items of Plant & Equipment that shall be compensated on a Dayworks
1.1.6.3. Contractor may only claim payment of Plant & Equipment for the time it is actu
1.1.6.4. Daywork Rates for Plant & Equipment include Consumables required for the us
1.1.6.5. Daywork Rates for equipment shall exclude operators unless otherwise indicate
1.1.6.6. standby rates for Equipment shall only be payable by Principal if such equipmen
1.1.6.7. In the event that Equipment is required in addition to that listed in the Pricing S
1.1.6.8. All costs of inspections, hiring, testing, tagging, and keeping compliant all plant,
1.1.6.9. Use of any tools (including earth engaging tools), all necessary consumables inc
1.1.6.10. All statutory requirements
1.1.6.11. Storage and protection if required
1.1.6.12. Rates for plant equipment and temp facilities should be inclusive of hire charge
1.1.7. Plant and Equipment Rate Exclusions
1.1.7.1. Plant & equipment operators.
1.1.7.2. Contractors margin.
1.1.8. Plant and Equipment Assumptions
1.1.8.1. Dayworks apply equally to performing the works in large or small quantities, at
1.1.8.2. Work performed on an hourly basis shall be determined to the nearest complet
1.1.8.3. Work performed on a Daywork Rate basis shall be determined on a 10 hour per
1.1.8.4. Plant and equipment used on nightshift shall be charged at the same rate as th
1.1.8.5. where an item of plant or Equipment is reimbursed on the basis of daily rates t
1.1.8.6. The daywork rates and prices in the Pricing Schedule shall be fixed for the dura
1.1.9. Dayworks Procedure
1.1.9.1. Contractor shall provide to Principal, priced timesheets for all personnel, Equip
1.1.9.2. As early as practically possible (and in any event not less than twenty-four (24)
1.1.9.3. Throughout the duration of Work under the Contract being compensated on a
1.1.9.4. reference number (where applicable);
1.1.9.5. date when work was executed;
1.1.9.6. names and occupations of personnel employed;
1.1.9.7. signature of the employee and the appropriate supervisor;
1.1.9.8. equipment by type and classification;
1.1.9.9. materials supplied and used ;
1.1.9.10. hours worked for personnel and Equipment; and
1.1.9.11. sufficiently detailed description of the Work under the Contract;
1.1.9.12. Contractor shall fully price each Daywork sheet by multiplying the hours worke
1.1.9.13. Principal shall have the right to reject any Daywork sheets submitted by Contra
1.1.9.14. do not comply with the requirements listed above; or
1.1.9.15. are submitted to the Principal Representative after the time stipulated for subm
1.1.9.16. Contractor shall be entitled to re submit corrected Daywork sheets on the next
1.1.9.17. Throughout the duration of the Work under the Contract executed on a Daywo
1.1.10. Margin
1.1.10.1. The rates included in the day works section of the schedule of prices shall be ex
1.1.10.2. Contractors margin shall include but not be limited to the following;
1.1.10.3. All corporate support personnel shall be included within the Contractors margin
1.1.10.4. Local, regional and national management teams including operating manager, g
1.1.10.5. The costs of running Contractors corporate offices and facilities including but n
1.1.10.6. All finance charges.
1.1.10.7. Personnel recruitment costs including any relocation costs
1.1.10.8. Mobile phones not dedicated to the works.
1.1.10.9. Document storage and archiving fee’s.
1.1.10.10. Legal fees, costs and expenses.
1.1.10.11. Development of Contractor’s policies, systems, procedures and processes.
1.1.10.12. Specialist software subscription costs not specific to the project.
1.1.10.13. Fringe benefit taxes.
1.1.10.14. Corporate memberships and sponsorships.
1.1.10.15. Corporate travel and accommodation, including where corporate travel and acc
1.1.10.16. Audit fees.
1.1.10.17. Insurances.
1.1.10.18. Contractor’s Profit.
1.1.10.19. Contractor’s overhead including but not limited to all head office costs, payroll,
1.1.10.20. Compliance with all Contractor obligations under the Contract.
1.1.10.21. All costs of royalties, duties, license fees, know-how fees, usage of proprietary i
1.1.10.22. Foreign currency exchange fluctuations if any;
1.1.10.23. Forward escalation;
1.1.10.24. Ground conditions;
1.1.10.25. Loss and or damage to Company supplied material upon transfer of care custod
1.1.10.26. Industrial and employment relations actions;
1.1.10.27. All costs of compliance with the requirements of the Contract
1.1.10.28. Contractor shall refer to the Risk Allocation table for additional detail on risks th
1.1.10.29. Compensation to Contractor for Corporate Overhead costs associated with the
1.1.10.30. items forming the Corporate Overheads include but are not limited to:
1.1.10.31. Directors’ fees and salaries of partners or corporate officers,
1.1.10.32. Head office costs including management and administration,
1.1.10.33. Corporate and non-manual employee business travel, accommodation and mea
1.1.10.34. Advertising and entertainment costs,
1.1.10.35. Principal financing costs and interest charges,
1.1.10.36. Costs for establishing and maintaining Bank Guarantees, Letters of Credit, etc,
1.1.10.37. Costs for Insurance policies (except Project related insurances) including premiu
1.1.10.38. Corporate and business taxes, fees, permits, licences or charges levied by any a
1.1.10.39. Corporate functional charges including IT, HSE and Employee Relations/Industri
1.1.10.40. Costs of any and all donations, gifts and contributions,
1.1.10.41. Fines or penalties of any nature levied by governmental authority,
1.1.10.42. Legal Services,
1.1.10.43. Offsite administration costs including wages costs to attend pre-employment m
1.1.10.44. Ownership and real estate costs,
1.1.10.45. Salaries, wages and benefits for “off project” personnel,
1.1.10.46. Off and On Project communications and mobile telephone charges,
1.1.10.47. licence charges and fees for intellectual property and patents,
1.1.10.48. Marketing, advertising and business promotion expenses,
1.1.10.49. Financial audit and advisory fees,
1.1.10.50. Corporate office running expenses including rents, bonds, rates, telephones, mo
1.1.10.51. Stamp Duty
1.1.10.52. Professional development courses
1.1.10.53. Accounts payable and receivable
1.1.10.54. Mainframe computer system, computers and software
1.1.10.55. Staff time, travel and accommodation costs for events and functions,
1.1.10.56. legal costs for any action or advice sought by the Tenderer under this Contract;
1.1.10.57. All other costs and expenses, support services, taxes, risks, liabilities and contin
1.1.10.58. Weather and the effects of weather outside the definition for a qualifying cause
1.1.10.59. With the exception of Inclement Weather, the Contractor is deemed to have ta
1.1.10.60. Inclement Weather means a localised weather event with a demonstrated dura
1.1.10.61. Inclement Weather is a qualifying cause of delay for variation works only, subje
1.1.10.62. Principal approved claims for Inclement Weather will be valued in accordance w
1.1.10.63. The maximum claimable duration for labour, plant and equipment standby time
1.1.10.64. Indirect Labor covered by PMT shall not be entitled to an inclement weather cla
ng framework contracts.
Dayrate
equired)
ded for in the pricing schedule should be for daytime working hours, a separate uplift % should be priced in the pricing schedule for nig
ally to both direct and indirect labour.
o performing the works in large or small quantities, at all elevations, in all positions, and of any complexity or difficulty irrespective of
ourly basis shall be determined to the nearest complete quarter hour.
ywork Rate basis shall be determined on a 10 hour per Day basis or pro rata for part thereof.
ours / Days worked regardless of whether Work is performed during normal working hours or at hours outside normal working. No pre
apply regardless of whether the work is executed by the Contractor’s own resources or the resources of a subcontractor or other third
rices in the Pricing Schedule shall be fixed for the duration of the Contract.
timesheets for all personnel for which the Contractor requires reimbursement at Daywork Rates. Such timesheets shall be submitted to
mit receipts for any materials which the Contractor requires reimbursement at Daywork rates. Such receipts shall be submitted to the
nt and temp facilities should be inclusive of hire charges and delivered to site.
o performing the works in large or small quantities, at all elevations, in all positions, and of any complexity or difficulty irrespective of
ourly basis shall be determined to the nearest complete quarter hour.
ywork Rate basis shall be determined on a 10 hour per Day basis or pro rata for part thereof.
d on nightshift shall be charged at the same rate as the dayshift. Ie no nightshift uplift shall be applicable to equipment
r Equipment is reimbursed on the basis of daily rates the maximum amount payable in any one week shall not exceed the daily rate m
rices in the Pricing Schedule shall be fixed for the duration of the Contract.
to Principal, priced timesheets for all personnel, Equipment, and materials used by Contractor in the performance of Work Under the C
ssible (and in any event not less than twenty-four (24) hours) before commencement of any work being compensated on a Dayworks b
of Work under the Contract being compensated on a Daywork basis, Contractor shall provide each day to Principal Daywork sheets gi
e applicable);
of personnel employed;
e and the appropriate supervisor;
lassification;
day works section of the schedule of prices shall be exclusive of margin, it is the Principal’s requirement that margin be identified clea
include but not be limited to the following;
rsonnel shall be included within the Contractors margin.
nal management teams including operating manager, general managers and all other functional managers.
tractors corporate offices and facilities including but not limited to rent and lease costs associated with buildings, utility costs, cleaning
and sponsorships.
ommodation, including where corporate travel and accommodation is in relation to site visits.
cluding but not limited to all head office costs, payroll, procurement, administration and communications etc. and labour costs for per
ractor obligations under the Contract.
es, license fees, know-how fees, usage of proprietary information, Contractor’s Background Intellectual Property, research and develo
ge fluctuations if any;
expenses including rents, bonds, rates, telephones, mobile phones and communication, electricity gas, water, cleaning, office repairs a
r agreements, all government contributions and all compliance with government regulations and laws.
ble at Dayworks Rates but instead shall be included for in the provided Dayworks Rate.
afety toolbox talks, prestart, take five, preparation of permits and the associated documentation.
ce / attendance necessary by during performance of the Work.
plexity or difficulty irrespective of the timing of the activity or its place in the construction sequence.
rs outside normal working. No premium shall be applied to the Rates for overtime, weekend or public holiday working.
s of a subcontractor or other third party;
ch timesheets shall be submitted to Principal for approval the following day after the Work was performed. Acceptance and payment s
ontract as being supplied by others) for incorporation into the temporary and permanent works.
mited to welding rods, grinding discs, blasting material and the like, electricity, air, water, gas, fuel, oil, and grease.
s necessary during fabrication and erection and subsequently dismantling and clearing away all necessary temporary works and tempo
all items as necessary during fabrication and erection and subsequently dismantling and clearing away of all temporary works associate
receipts shall be submitted to the Principal for approval, acceptance and payment shall be in accordance with the provisions of the Co
g Construction Work by a breach or act of prevention by Principal giving rise to an Extension of Time.
uired to be hired from a third party then, subject to obtaining the prior written agreement of Principal, Contractor shall procure such e
nection with the supply of such Equipment.
plexity or difficulty irrespective of the timing of the activity or its place in the construction sequence.
cable to equipment
k shall not exceed the daily rate multiplied by seven stated in the Pricing Schedules for such plant or Equipment.
ble Daywork Rates. Fully priced Daywork sheets shall be submitted to Principal for approval within 5 Working Days of the relevant Day
reasonable efforts to control and minimise the cost of such Work under the Contract.
ment that margin be identified clearly and applied to the net costs for labour, materials, plant & equipment on any day works claim.
with buildings, utility costs, cleaning, stationary, photocopiers, printers and fax machines, infrastructure support, repairs and maintenan
ations etc. and labour costs for personnel not permanently on site. Contractor’s general administration, overhead (e.g. head office cost
tual Property, research and development (including those related to the development of computer systems), corporate and administra
ecessary to maintain general and off site business activities shall be included in the Margin Rate and embedded within the lump sums w
net worth or the like,
ness activities necessary for execution of the Work and performance of obligations.
matic and weather conditions and the effect these may have on the construction process.
ntinuous hours.
ons of Contract unless otherwise agreed in the variation.
Plant and Equipment stand-by rates included in the Contract, unless otherwise agreed with the Principal. The maximum claimable dur
ncipal is 8 hours per day.
nd costs are covered under the TCE mechanism.
rectly or indirectly engaged in the performance of the works. This shall include, but not limited to salaries, wages, payroll burdens, bon
holiday working.
med. Acceptance and payment shall be in accordance with the provisions on the Contract and remeasured and claimed on a monthly b
and grease.
nce of an operator
, Contractor shall procure such equipment from the relevant third party and be reimbursed at net invoiced cost plus and agreed mark
ipal’s presence during the progress of such work.
mented in carrying out that Work Under the Contract including the following:
e support, repairs and maintenance of any of the Contractor’s off-site facilities and staff amenities.
, overhead (e.g. head office costs, payroll, procurement, administration and communications), labour costs for personnel not permane
tems), corporate and administrative services such as legal, advertising, recruiting, general procurement, corporate accounting, marketi
oiced cost plus and agreed mark up. This percentage mark-up represents all of Contractor’s costs of operating and maintaining Equipm
costs for personnel not permanently on site.
nt, corporate accounting, marketing, industrial relations, sales and their related office costs.
Weather per day is eight hours.
e, overtime, employment premiums, redundancy provisions, leave allowances including long service leave, payroll taxes, all insurance,
erating and maintaining Equipment, including all mechanical downtime.
eave, payroll taxes, all insurance, superannuation, payments or benefits under national or local agreements, government taxes, visas an
ents, government taxes, visas and work permits, safety and welfare programs and protective clothing.
Priced Commercial Departures
Note: Contractor to confirm above that framework agreement terms and conditions apply.
Price and UOM Comment
tions apply.
Contractor shall submit its Commercial Bid Proposal as an attachment.
Furthermore, Contractor to propose Incentive scheme (Bonus/Malus System). Company suggestion is itemized Tab 6 Incen
Contractor to base its pricing on CTR model as more particularly described below.
2 Rates, Prices and % (per cent) mark-ups from the existing Master Service Contract (MSC) for
Engineering Work (Exhibit D) are applicable for Works properly performed in accordance
with the Contract, FEED Addendum and this Call Off/Purchase Order. Additional
compensation terms applicable specifically for this Call Off/Purchase Order are as expressly
stated in this Attachment. The foregoing represents the sole compensation available to
Contractor for the proper performance of the FEED Works in accordance with this Call
Off/Purchase Order.
TCE Calculation Example
Scenario 1 - In the money
Estimate of
Hours /
SOW Item SOW Description LEM LEM Description Dayrates Duration
2.3 Project Management Labor PM 1000 100
Labor PE 1000 150
Labor Supervisor 1000 100
Labor Storeman 700 200
Labor Peggy 700 100
Equipment Manitou 500 100
Equipment Light Vehicle 150 100
Material Gravel
Total
Estimate of
Hours /
SOW Item SOW Description LEM LEM Description Dayrates Duration
2.3 Project Management Labor PM 1000 100
Labor PE 1000 150
Labor Supervisor 1000 100
Labor Storeman 700 200
Labor Peggy 700 100
Estimate of
Hours /
SOW Item SOW Description LEM LEM Description Dayrates Duration
2.3 Project Management Labor PM 1000 100
Labor PE 1000 150
Labor Supervisor 1000 100
Labor Storeman 700 200
Labor Peggy 700 100
Equipment Manitou 500 100
Equipment Light Vehicle 150 100
Material Gravel
Total
Cost to
Company Margin as a %
(Final Cost + of Cost to
Contractors Margin Incentive) Company
TCE $ 63,500.00 $ 698,500.00 9.1%
Scenario 1 - In the Money $ 81,500.00 $ 676,500.00 12.0%
Scenario 2 - Out of the Money $ 23,000.00 $ 748,000.00 3.1%
Note
All figures and numbers are fictional and for illustration purposes only.
Breakeven for Contractor at 22.2% over its original estimate.
on is itemized Tab 6 Incentives.
Total Cost Actual Cost
(Dayrates * (Dayrates *
Estimate of Estimate of Margin (10%) Actual Hours + Actual Mar
Hours / Hours + (Total Cost * TCE (Total Cost Contract Sum Actual Material (10%) (Actu
Dayrates Duration Materials (Cost) Materials Cost) 10%) + Margin) (TCE) Cost) Cost * 10%)
1000 100 $ 100,000.00 $ 10,000.00 $ 110,000.00 $ 110,000.00 $ 85,000.00 $ 8,500
1000 150 $ 150,000.00 $ 15,000.00 $ 165,000.00 $ 165,000.00 $ 135,000.00 $ 13,500
1000 100 $ 100,000.00 $ 10,000.00 $ 110,000.00 $ 110,000.00 $ 110,000.00 $ 11,000
700 200 $ 140,000.00 $ 14,000.00 $ 154,000.00 $ 154,000.00 $ 150,000.00 $ 15,000
700 100 $ 70,000.00 $ 7,000.00 $ 77,000.00 $ 77,000.00 $ 50,000.00 $ 5,000
500 100 $ 50,000.00 $ 5,000.00 $ 55,000.00 $ 55,000.00 $ 40,000.00 $ 4,000
150 100 $ 15,000.00 $ 1,500.00 $ 16,500.00 $ 16,500.00 $ 15,000.00 $ 1,500
10000 $ 10,000.00 $ 1,000.00 $ 11,000.00 $ 11,000.00 $ 10,000.00 $ 1,000
Cost to
Cost to Margin as a % of Contractor as %
Company Margin as a % Cost to Cost to to original
Final Cost + of Cost to Contractor Company as % estimate (Total
ncentive) Company (Actual Cost) to TCE Cost)
$ 698,500.00 9.1% 10.0% 100.0% 100.0%
$ 676,500.00 12.0% 13.7% 96.9% 93.7%
$ 748,000.00 3.1% 3.2% 107.1% 114.2%
Cost to
Company =
Actual
ual Cost Amount
ayrates * Incentive Claimable
ual Hours + Actual Margin Final Cost Calculation (Final Cost +
ual Material (10%) (Actual (Actual Cost + ((TCE - Final Incentive
st) Cost * 10%) Actual Margin) Cost) / 2) Calculation)
85,000.00 $ 8,500.00 $ 93,500.00
135,000.00 $ 13,500.00 $ 148,500.00
110,000.00 $ 11,000.00 $ 121,000.00
150,000.00 $ 15,000.00 $ 165,000.00
50,000.00 $ 5,000.00 $ 55,000.00
40,000.00 $ 4,000.00 $ 44,000.00
15,000.00 $ 1,500.00 $ 16,500.00
10,000.00 $ 1,000.00 $ 11,000.00
Cost to
Company =
Actual
ual Cost Amount
ayrates * Incentive Claimable
ual Hours + Actual Margin Final Cost Calculation (Final Cost +
ual Material (10%) (Actual (Actual Cost + ((TCE - Final Incentive
st) Cost * 10%) Actual Margin) Cost) / 2) Calculation)
120,000.00 $ 12,000.00 $ 132,000.00
170,000.00 $ 17,000.00 $ 187,000.00
80,000.00 $ 8,000.00 $ 88,000.00
150,000.00 $ 15,000.00 $ 165,000.00
70,000.00 $ 7,000.00 $ 77,000.00
ual Cost Amount
ayrates * Incentive Claimable
ual Hours + Actual Margin Final Cost Calculation (Final Cost +
ual Material (10%) (Actual (Actual Cost + ((TCE - Final Incentive
st) Cost * 10%) Actual Margin) Cost) / 2) Calculation)
120,000.00 $ 12,000.00 $ 132,000.00
170,000.00 $ 17,000.00 $ 187,000.00
80,000.00 $ 8,000.00 $ 88,000.00
150,000.00 $ 15,000.00 $ 165,000.00
70,000.00 $ 7,000.00 $ 77,000.00
70,000.00 $ 7,000.00 $ 77,000.00
50,000.00 $ 5,000.00 $ 55,000.00
15,000.00 $ 1,500.00 $ 16,500.00
Contractor to consider payment milestones or incentives based on the below Company suggestions.
Contract Award
Kickoff Meeting
HAZOP
30% Model Review
60% Model Review
Tanks GFT Tender Package ready for issue to market
Compressors LLI Tender Package ready for issue to market
Other LLI Tender Package ready for issue to market
Civil package Tender Package ready for issue to market
EPCM SoW Package Ready in alignment with COMPANY
Intergration of FEED with GFT/GLR technology provider Exterran
FEED Complete
Contractor to propose incentive plan/structure below. COMPANY reserves the right to wholly reject or negotiate an amendment
Contractor to propose Incentive scheme (Bonus/Malus System). Company suggestion is itemized below.
Estimate of
Hours /
SOW Item SOW Description LEM LEM Description Dayrates Duration Materia
2.3 Project Management Labor PM 1000 100
Labor PE 1000 150
Labor Supervisor 1000 100
Labor Storeman 700 200
Labor Peggy 700 100
Equipment Manitou 500 100
Equipment Light Vehicle 150 100
Material Gravel
Total
Estimate of
Hours /
SOW Item SOW Description LEM LEM Description Dayrates Duration Materia
2.3 Project Management Labor PM 1000 100
Labor PE 1000 150
Labor Supervisor 1000 100
Labor Storeman 700 200
Labor Peggy 700 100
Equipment Manitou 500 100
Equipment Light Vehicle 150 100
Material Gravel
Total
Cost to Margin
Company Margin as a % Cost to
(Final Cost + of Cost to Contrac
Contractors Margin Incentive) Company (Actual
TCE $ 63,500.00 $ 698,500.00 9.1%
Scenario 1 - In the Money $ 81,500.00 $ 676,500.00 12.0%
Scenario 2 - Out of the Money $ 23,000.00 $ 748,000.00 3.1%
Note
All figures and numbers are fictional and for illustration purposes only.
Breakeven for Contractor at 22.2% over its original estimate.
Contractors Margin Incentive) Company (Actual
TCE $ 63,500.00 $ 698,500.00 9.1%
Scenario 1 - In the Money $ 81,500.00 $ 676,500.00 12.0%
Scenario 2 - Out of the Money $ 23,000.00 $ 748,000.00 3.1%
Note
All figures and numbers are fictional and for illustration purposes only.
Breakeven for Contractor at 22.2% over its original estimate.
ct or negotiate an amendment of the incentive scheme proposal.
umables, plant and equipment required to complete the Scope of Works in accordance with the specifications and drawings.
and Margin shall apply
ch labour and equipment description/rate (LEM) for each item of scope/ SoW position.
the TCE and the Final Cost. The Target Cost Estimate is subtracted by the Final Cost to give the variance. The variance is divided by 2. This a
Incentive Calculation.
negative) is made upon Principal approved completion of each TCE item in the month within which it occurs as per the progress claim sche
ncentive calculation, the Principal may deduct from the monies certified and due the amount owed or draw on the security provided.
enarios of the Incentive Calculation.
be for daytime working hours, a separate uplift % should be priced in the pricing schedule for night works if applicable.
mall quantities, at all elevations, in all positions, and of any complexity or difficulty irrespective of the timing of the activity or its place in th
e nearest complete quarter hour.
d on a 10 hour per Day basis or pro rata for part thereof.
ther Work is performed during normal working hours or at hours outside normal working. No premium shall be applied to the Rates for ov
k is executed by the Contractor’s own resources or the resources of a subcontractor or other third party;
fixed for the duration of the Contract.
h the Contractor requires reimbursement at Daywork Rates. Such timesheets shall be submitted to Principal for approval the following day
rary supports and effectively staying and supporting all items as necessary during fabrication and erection and subsequently dismantling a
aterial to site
from site, laydown area, camp, and Vienna
e Material Component Rate.
mable items, provision and operation of plant, tools and equipment (including testing) as required to perform the work.
ited to:Materials including but not limited to valves, in-line fittings, coating / isolation pads, connections, couplings, bolts, nuts, etc
ng temporary supports and effectively securing the supporting all items as necessary during fabrication and erection and subsequently dism
he Contractor requires reimbursement at Daywork rates. Such receipts shall be submitted to the Principal for approval, acceptance and pa
mall quantities, at all elevations, in all positions, and of any complexity or difficulty irrespective of the timing of the activity or its place in th
e nearest complete quarter hour.
d on a 10 hour per Day basis or pro rata for part thereof.
e same rate as the dayshift. Ie no nightshift uplift shall be applicable to equipment
sis of daily rates the maximum amount payable in any one week shall not exceed the daily rate multiplied by seven stated in the Pricing Sc
fixed for the duration of the Contract.
personnel, Equipment, and materials used by Contractor in the performance of Work Under the Contract being compensated on a Daywo
twenty-four (24) hours) before commencement of any work being compensated on a Dayworks basis Contractor shall notify Principal, and
ompensated on a Daywork basis, Contractor shall provide each day to Principal Daywork sheets giving full and detailed account of all of Co
g the hours worked by personnel and Equipment by the applicable Daywork Rates. Fully priced Daywork sheets shall be submitted to Princ
bmitted by Contractor that:
f prices shall be exclusive of margin, it is the Principal’s requirement that margin be identified clearly and applied to the net costs for labou
Contractors margin.
erating manager, general managers and all other functional managers.
es including but not limited to rent and lease costs associated with buildings, utility costs, cleaning, stationary, photocopiers, printers and f
d processes.
ate travel and accommodation is in relation to site visits.
ffice costs, payroll, procurement, administration and communications etc. and labour costs for personnel not permanently on site. Contract
ge of proprietary information, Contractor’s Background Intellectual Property, research and development (including those related to the de
rs of Credit, etc,
) including premiums, broker’s fees and deductibles.
es levied by any authority against income, profits, inventories, net worth or the like,
Relations/Industrial Relations
re-employment medical,
es, telephones, mobile phones and communication, electricity gas, water, cleaning, office repairs and maintenance,
Cost to
to Margin as a % of Contractor as %
pany Margin as a % Cost to Cost to to original
al Cost + of Cost to Contractor Company as % estimate (Total
ntive) Company (Actual Cost) to TCE Cost)
98,500.00 9.1% 10.0% 100.0% 100.0%
76,500.00 12.0% 13.7% 96.9% 93.7%
48,000.00 3.1% 3.2% 107.1% 114.2%
ntive) Company (Actual Cost) to TCE Cost)
98,500.00 9.1% 10.0% 100.0% 100.0%
76,500.00 12.0% 13.7% 96.9% 93.7%
48,000.00 3.1% 3.2% 107.1% 114.2%
ns and drawings.
e Dayworks Rate for labour, equipment, material, the estimate of hours, the estimate of material cost at cost price, the total cost (sum of l
ch TCE item individually per the Pricing Schedule with the addition of an actual cost column, and actual margin/mark-up/fee column, a fin
variance is divided by 2. This amount will be the Incentive Calculation and can be either positive or negative. This effectively means that th
the Contractor.
e to enable such updated pricing. Through this mechanism, the provisional sums may be adjusted up or down. The provisional sums listed
e costs for Contractor’s and subcontractors’ personnel directly or indirectly engaged in the performance of the works. This shall include, bu
nd all compliance with government regulations and laws.
luded for in the provided Dayworks Rate.
ation of permits and the associated documentation.
ance of the Work.
for approval the following day after the Work was performed. Acceptance and payment shall be in accordance with the provisions on the
g material and the like, electricity, air, water, gas, fuel, oil, and grease.
nd subsequently dismantling and clearing away all necessary temporary works and temporary supports.
m the work.
uplings, bolts, nuts, etc
erection and subsequently dismantling and clearing away of all temporary works associated.
or approval, acceptance and payment shall be in accordance with the provisions of the Contract.
ets shall be submitted to Principal for approval within 5 Working Days of the relevant Dayworks having been performed.
plied to the net costs for labour, materials, plant & equipment on any day works claim.
y, photocopiers, printers and fax machines, infrastructure support, repairs and maintenance of any of the Contractor’s off-site facilities an
permanently on site. Contractor’s general administration, overhead (e.g. head office costs, payroll, procurement, administration and com
luding those related to the development of computer systems), corporate and administrative services such as legal, advertising, recruiting
ness activities shall be included in the Margin Rate and embedded within the lump sums where applicable.
in the Contract, unless otherwise agreed with the Principal. The maximum claimable duration for labour, plant and equipment standby tim
Cost to
Company =
Actual
ost Amount
s* Incentive Claimable
ours + Actual Margin Final Cost Calculation (Final Cost +
Material (10%) (Actual (Actual Cost + ((TCE - Final Incentive
Cost * 10%) Actual Margin) Cost) / 2) Calculation)
000.00 $ 8,500.00 $ 93,500.00
000.00 $ 13,500.00 $ 148,500.00
000.00 $ 11,000.00 $ 121,000.00
000.00 $ 15,000.00 $ 165,000.00
000.00 $ 5,000.00 $ 55,000.00
000.00 $ 4,000.00 $ 44,000.00
000.00 $ 1,500.00 $ 16,500.00
000.00 $ 1,000.00 $ 11,000.00
Cost to
Company =
Actual
ost Amount
s* Incentive Claimable
ours + Actual Margin Final Cost Calculation (Final Cost +
Material (10%) (Actual (Actual Cost + ((TCE - Final Incentive
Cost * 10%) Actual Margin) Cost) / 2) Calculation)
000.00 $ 12,000.00 $ 132,000.00
000.00 $ 17,000.00 $ 187,000.00
000.00 $ 8,000.00 $ 88,000.00
000.00 $ 15,000.00 $ 165,000.00
000.00 $ 7,000.00 $ 77,000.00
000.00 $ 7,000.00 $ 77,000.00
000.00 $ 5,000.00 $ 55,000.00
000.00 $ 1,500.00 $ 16,500.00
gin/mark-up/fee column, a final cost, the incentive calculation, and the actual amount claimable.
. This effectively means that the Principal and Contractor will share equally in the performance of the works in both instances of performa
sion of the Provisional sums implies no obligation on the Principal to expend all or part of such rates, sums or amounts, and any such provi
wn. The provisional sums listed in the contract sum shall therefore not automatically become due and payable to the contractor.
he works. This shall include, but not limited to salaries, wages, payroll burdens, bonus programs, international mobilisation, vacations, holi
ce with the provisions on the Contract and remeasured and claimed on a monthly basis.
e relevant third party and be reimbursed at net invoiced cost plus and agreed mark up. This percentage mark-up represents all of Contract
performed.
as legal, advertising, recruiting, general procurement, corporate accounting, marketing, industrial relations, sales and their related office co
ant and equipment standby time due to Inclement Weather per day is eight hours.
arget Cost Estimate price.
r amounts, and any such provisional sums may be deleted in their entirety at no cost to Principal.
e to the contractor.
al mobilisation, vacations, holidays, sick leave, overtime, employment premiums, redundancy provisions, leave allowances including long s
k-up represents all of Contractor’s costs of operating and maintaining Equipment, including all mechanical downtime.
ales and their related office costs.
ve allowances including long service leave, payroll taxes, all insurance, superannuation, payments or benefits under national or local agree
s under national or local agreements, government taxes, visas and work permits, safety and welfare programs and protective clothing.
ms and protective clothing.
Schedule of Prices
Bidders to provide an estimate for the EPCM Scope of Work list. This will be revalidated during FEED.