EPC OF PRODUCTION EXPANSION FROM 105 MBD TO 165 MBD OF PSSA

INSTRUCTIONS TO BIDDERS
FOR
CIVIL, ELECTRICAL, MECHANICAL AND INSTRUMENTATION
WORKS FOR PRODUCED WATER TREATMENT PLANT AT
DEHYDRATING AND DESALINATION PLANT IN MORICHAL
(INQ No.：50831-03-40-000-ING-012)

REV. DATE STATUS WRITTEN BY CHECKED BY APPROV./AUTHOR. BY

(name & visa) (name & visa) (name & visa)
DOCUMENT REVISIONS
 EPC OF PRODUCTION EXPANSION FROM 105 MBD TO 165 MBD OF PSSA

CONTENT
PAGE

1. GENERAL 3

2. INQUIRY ACKNOWLEDGEMENT 4

3. SUBMISSION OF PROPOSAL 4

a. NUMBER OF COPIES AND ADDRESSES 4

b. BID DUE DATE 4

c. LANGUAGE 4

d. RETURN OF INQUIRY DOCUMENTS 5

4. COMMUNICATIONS AND CLARIFICATIONS 5

5. EVALUATION OF PROPOSAL 5

6. VALIDITY OF PROPOSAL 6

7. DEVIATION FROM INQUIRY REQUIREMENTS 6

8. WORKING HOURS & WORKING CONDITIONS 6

9. SAFETY REQUIREMENTS 7

10. CONSTRUCTION UTILITIES & FACILITIES 7

11. SECURITY 7

12. WORK SCHEDULE 7

13. CLARIFICATIONS 8

14. BID PRICE 8

15. PROPOSAL AND ARTICLES OF AGREEMENT 8

16. CONTENTS OF PROPOSAL 8

17. COSTS OF PREPARATION OF THE BIDDER'S PROPOSAL 11

18. CONFIDENTIAL DATA AND INFORMATION 11

19. HOURLY COST 11

20. PAYMENT ITEM 11

 EPC OF PRODUCTION EXPANSION FROM 105 MBD TO 165 MBD OF PSSA

1. GENERAL

This document is used only for the bidding process for Civil, Electrical, Mechanical and
Instrumentation works for Produced Water Treatment Plant at Dehydrating and
Desalination Plant in Morichal, hereinafter called “OCEMI 3”.

This bid includes one (01) package, with the following scope:

Package:

a. Civil Work. Includes activities of excavation, compaction and filling), concrete

and steel work, fabrication and installation of steel structures and other
activities related to this discipline that are necessary to complete the
Produced Water Treatment Plant.

b. Electrical Work, includes the installation, connection, test of electrical wires,

connection, powering and electrical tests of equipments and other activities
related to this discipline that are necessary to complete the Produced Water
Treatment Plant.

c. Mechanical Work, includes all the work for fabrication, installation and tests of
piping work, installation and test of equipments, asssambly of steel structures
and other activities related to this discipline that are necessary to complete the
Produced Water Treatment Plant.

d. Intrumentation Work, includes all the work for installation and test of
instruments, wires, signals, equipments and other activities related to this
discipline that are necessary to complete the Produced Water Treatment
Plant.

The Bidder is requested to submit to the Contractor “HQCEC” a proposal based on the
Inquiry Documents for the specified construction of the Project.

The Inquiry Documents consist of the following major parts:

1. Instructions To Bidders For Construction Works (This Document)

2. Inquiry Acknowledges

3. Exhibits from A to E with relevant attachments, which are mainly:

 Exhibit A: Scope, Measurement and Conditions of Payment

 Exhibit B: Bill of Quantities
 Exhibit C: Time Schedule and Price Schedule
 Exhibit D: Documents of Reference
 Exhibit E: HSE Requirements

The Bidder's proposal must comply entirely with this Instruction To Bidders Document,
hereinafter called “ITB”, in all respects.

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 EPC OF PRODUCTION EXPANSION FROM 105 MBD TO 165 MBD OF PSSA

Should any conflicts and/or contradictions arise among in this ITB Document, the
following order of precedence shall prevail:

a. Contractual Documents (if any)

b. Technical requirements
c. Quotation

Deviations from the conditions and requirements enumerated in the Inquiry Documents
may disqualify any proposal submitted.

The Bidder is requested to confirm that all applicable documents stated herein are in
its possession, and if any of them prove to be missing, the Bidder must inform HQCEC
in order to obtain them promptly.

2. INQUIRY ACKNOWLEDGEMENT

Within five (05) working days from the receipt of the Inquiry Documents, the Bidder is
requested to send an official email to HQCEC acknowledging the receipt of the above.

The inquiry number and subject must appear on all correspondence and documents
without exceptions.

In case of unwillingness to submit a proposal, the Bidder is requested to send an

official email to HQCEC within five (05) working days from receipt of the Inquiry
Documents, expressing such unwillingness, and to promptly return all documents.

3. SUBMISSION OF PROPOSAL

a. Number of Copies and Addresses

One (01) original and two (02) copies of the Bidder's proposal shall be submitted
to HQCEC at the address in paragraph 4 below. In case the Inquiry Document
including Project Price Lists is available on electronic support, Bidder is
requested to submit the proposed prices filling-in the electronic Project Price
Lists.

The electronic version of Bidder's proposal shall be also submitted by flash disk
together with copies.

Original proposal and copies proposal shall be packaged separately.

b. Bid Due Date

The Bidder is requested to submit a proposal on or before 16:00PM, June 26th,

2017.

c. Language

The proposal and all related documents, including such items as reports, studies,
correspondence, shall be in the English language.

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 EPC OF PRODUCTION EXPANSION FROM 105 MBD TO 165 MBD OF PSSA

d. Return of Inquiry Documents

The unsuccessful Bidder shall immediately, upon explicit request of HQCEC

notice, return all Inquiry Documents.

4. COMMUNICATIONS AND CLARIFICATIONS

Your quotation shall be sent to the following address:

HQCEC Barcelona Office. Address:

Calle Arismendi, C.C. Atlantico Piso 2, Lechería Sector Vistamar, Barcelona

Estado Anzoátegui, Venezuela 6016.

Any official E-mail communications shall be addressed to:

Mr. Luo Sheng (Construction Inquiry Manager)

E-mail: Luosheng@hqcec.com
luosheng19999@gmail.com
Phone: 0412 9420017

Mr. Liao Zhi (Cost Engineer)

E-mail: liaozhi6189@gmail.com

5. EVALUATION OF PROPOSAL

The evaluation of the Bidder's proposal will not be limited to price but will also take into
consideration the technical level, experience, time schedule of works, reliability of
execution plan, quality level, etc.

Particular attention shall be paid on the evaluation of the Execution Plan submitted by
Bidder according to the instruction detailed at paragraph 16 below.

HQCEC reserve the right to award the Subcontract to a Bidder other than the lowest
price Bidder, or select not to award the Subcontract to any Bidder at all.

HQCEC reserve the right to award the Subcontract to any Bidder based on the
evaluation conducted by HQCEC active representatives.

HQCEC may, at their sole discretion, without liability, cost or penalty:

 Alter any dates in this Bid Inquiry at any time before or after the closing date
and time
 Cancel this Bid Inquiry at any time before or after the closing date an time,
and may, but need not, at its sole discretion, issue a new Bid Inquiry
 Amend or supplement this Bid Inquiry by addenda at any time

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 EPC OF PRODUCTION EXPANSION FROM 105 MBD TO 165 MBD OF PSSA

6. VALIDITY OF PROPOSAL

The Bidder's proposal shall be binding upon the Bidder and shall remain valid for at
least 120 days.

7. DEVIATION FROM INQUIRY REQUIREMENTS

In the event that the Bidder wishes to submit an alternative proposal, the Bidder shall
first prepare his basic proposal strictly in accordance with the requirements and
conditions of the inquiry documents.

In addition to the basic proposal, the Bidder may prepare an alternative proposal
clearly indicating:

 Technical reasons
 Effects on price, in comparison to the basic proposal
 Effects on the time schedule of works of the alternative proposal

HQCEC reserves the right to accept either the basic proposal or the alternative
proposal but, in the event that the basic proposal is accepted, the requirements and
conditions of the Inquiry Documents shall be deemed to have been accepted by the
Bidder.

In the event of submission of an alternative proposal by the Bidder, the requirements

and conditions of the Inquiry Documents to which no amendments and
alternatives/deviations have been proposed by the Bidder at the time of the submission
of the alternative proposal shall be deemed to have been accepted fully by the Bidder.

Any deviation and/or alterations from the inquiry conditions (commercial and technical)
must be clearly and specifically stated in one section (to be titled "Deviations") of the
proposal. Deviations indicated in parts other than the said "Deviation" section will not
be considered by HQCEC.

In the event that the Bidder is awarded the Subcontract, it will be only on the basis of
those deviations and alterations proposed in the said separate "Deviations" section
and accepted by HQCEC.

8. WORKING HOURS & WORKING CONDITIONS

It is the Bidder's responsibility to familiarize with the Work to be performed in

accordance with the Inquiry Documents, working conditions, location of work, and all
other requirements, such as local conditions, applicable laws and regulations, labour
conditions, environmental aspects, etc., in order to submit a firm and comprehensive
proposal.

The Bidder shall also check and verify the local information contained in the Inquiry
Documents and is expected to have fully satisfied thereon before submitting his
proposal.

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 EPC OF PRODUCTION EXPANSION FROM 105 MBD TO 165 MBD OF PSSA

The Bid shall be deemed to have taken into account all aspects of mentioned field
location and local circumstances.

The Bidder shall make his own arrangements and inquiries with regard to the loading,
unloading and transport of all construction equipment and material required for the
work. The Bidder shall make his own arrangements for the materials (of his supply)
handled at ports or transported to the work site by road, railway or river, in particular
with regard to the weight-bearing capacity of all bridges and culverts, and the Bidder
shall comply with all relevant regulations of the governmental departments connected
therewith.

All work shall be performed in accordance with the Labour and Workmen Law of
Venezuela.

The work conditions shall be those in force according to Venezuela regulation and
common international standards.

9. SAFETY REQUIREMENTS

The Bidder shall pay particular attention to fulfil the HSE requirements included into the
BID INQUIRY DOCUMENTS. The relevant information/documentation requested to be
submitted with the Technical Bid, shall be taken into consideration for the evaluation of
the Commercial Bid.

Bidder shall also declare his full compliance to all HSE requirements.

10. CONSTRUCTION UTILITIES & FACILITIES

The Bidder shall consider that all the construction utilities and facilities (necessary to
perform the specified scope of work) shall be at Subcontractor’s care, cost and charge.

11. SECURITY

However, Bidder shall organize and bear all security costs relevant to its own area.

In particular, all costs necessary to ensure the security of its equipment, resources and
facilities, shall be at Bidder cost and charge and shall be included in the proposed
price.

12. WORK SCHEDULE

The Bidder shall provide the schedule for OCEMI works for Produced Water Treatment
Plant at DDP. The requirement of executing for OCEMI construction as follow:

 The work schedule shall be presented to complete the OCEMI works in 10

MONTHS after HQCEC award the contract to the Bidder and comply with the
payments section.

 The OCEMI work Schedule shall be detailed in activities and separated by

disciplines and phase of construction.

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 EPC OF PRODUCTION EXPANSION FROM 105 MBD TO 165 MBD OF PSSA

13. CLARIFICATIONS

For clarifications and/or any questions regarding any part of the Inquiry Documents,
the Bidder may contact HQCEC by following the instruction provided at point 4. Any
confirmation or reply by HQCEC shall not be valid or binding unless made by official
email.

14. BID PRICE

The Contract price is based on a Unit price analysis (not adjust during the Subcontract
validity period) and the quantities calculated according to the method of measurement
specified in the Contract.

The estimated contract price is not adjustable unless the actually work is beyond the
bidding work scope according the list contained in the attached document named:
Exhibit A: Scope, Measurement and Conditions Of Payment.

Each unit price shall be deemed to include involved direct and indirect cost, such as
direct labour, consumables, construction equipment, tools & consumables, supervision
staff, indirect personnel, scaffolding, housing, loading & unloading of structure,
transportation fee from warehouse to job site, HSE expenses, overheads and profit.

Each Unit Price shall be quoted in currency of USD

All the proposed unit prices shall be fixed and not subject to escalation until the
completion of works.

15. PROPOSAL AND ARTICLES OF AGREEMENT

The Bidder's submitted proposal shall not be deemed to constitute as integral part of
the subsequent Agreement. Only those parts of the Bidder's proposal which will be
agreed in writing shall be considered as forming a part of such Agreement.

16. CONTENTS OF PROPOSAL

The Bidder must prepare the documents as listed here below.

The contents of the Bidder's proposal should be explicit so that the technical and
commercial aspects can be fully analysed by HQCEC.

Failure to enclose the requested information and/or the requested documents will
result in disqualification.

The Bidder's proposal shall include, without limitation, the data set out below:

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 EPC OF PRODUCTION EXPANSION FROM 105 MBD TO 165 MBD OF PSSA

Ref. code Description

K-000A EXECUTION PLAN: such proposed Execution Plan shall

include, as minimum:

 A mobilization and demobilization plan for personnel

 A mobilization and demobilization plan for equipment/tools
 A detailed study of local content plan and local manpower to
be employed for the construction activities and supervision
services
 Construction materials procurement plan (especially
materials for civil works like concrete, inert, etc.).
 Subcontracting plan (if any).
 Construction method for each construction discipline (piling,
foundations, installation, lifting, U/G piping, buildings).

K-0001 Price Summary and Price List

The Bidder shall fill in the blanks of all tables thereof, where a
quantity is shown and where a price per memory is required.

In case the Inquiry Documents including Project Price Lists is

available on electronic support, Bidder is requested to submit
the proposed prices filling-in the electronic Project Price Lists.

K-0010 Site Organization

Bidder shall submit a site organization chart for construction

activities. In case the said activities are carried out at two or
more locations, the Bidder shall prepare and submit separate
and integrated organization charts covering the respective
locations.
The site organization chart shall be accompanied by a short
description of responsibilities and powers of authority of various
personnel functions shown.

K-0011 Curriculum Vitae Key Candidates

Curriculum vitae for key personnel (name, qualification,

experience, background, age, length of service in Bidder's
company, etc.). All key personnel shall be the Bidder's own
employee and any appointment to key positions of temporarily
hired personnel or the Bidder's subcontractor's personnel shall
not be allowed.

K-0012 Manpower Schedule for Discipline

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 EPC OF PRODUCTION EXPANSION FROM 105 MBD TO 165 MBD OF PSSA

In order to allow HQCEC to make technical evaluation and

acceptance of the Bid, Bidder shall submit manpower schedule
for the work, which shall be accompanied by:

- Field Staff/Supervision

The scheduled length of assignment to site supervision for

each member shown in the Bidder's proposed organization
chart, up to foreman level, shall be shown in bar-chart form.

- Foreman/Labour

The numbers of personnel, up to and including foreman level,

to be employed monthly (including subcontractors, if any) shall
be shown.

K-0013 Detailed Time Schedule for Discipline

Bidder shall submit a realistic detailed schedule in the form of a

bar-chart for the entire work in accordance with the
requirements of the PROJECT SCHEDULE provided, together
with a proposal which clearly indicates the various work items.

K-0020 Construction Equipment List for Discipline

Bidder shall submit a list of construction equipment to be

employed for the performance of the work, stating the source of
supply (e.g. rental or Bidder's own property) and a mobilization
and demobilization schedule for such equipment, in bar-chart
form.

K-0025 Schedule of Estimated Utilities Consumption

Bidder shall submit a list of estimated quantities of utilities for

Bidder's use (such as electricity, potable water, industrial water,
etc.), which will be consumed each month by both the work site
and the field office and/or camp.

K-0030 Subcontractors List for Discipline

Bidder must state clearly which parts of the work will be

subcontracted, and which parts performed by the Bidder's own
staff. Any subcontracting work shall be approved by HQCEC.

K-0040 Temporary Facilities Plan and Area Requirements

Bidder shall provide the layout plan, descriptions and capacities

of all temporary facilities to be constructed by the Bidder at the
work site.

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 EPC OF PRODUCTION EXPANSION FROM 105 MBD TO 165 MBD OF PSSA

K-0045 Site Visit Declaration

Bidder shall include in his proposal written declaration

confirming his site visit and acknowledgement of any
restrictions due to works to be carried out in site and operating
plant, if any.

K-0050 Proposed Construction Method

Bidder shall state in detail the construction methods or work

execution procedures planning to employ to fulfil his scope of
work, together with comments on related advantages.

K-0055 Company Workload

Bidder shall supply workload (expressed as months/men)

deducible by the actual purchases and the expected purchased
for next 12 months from the proposal date.

K-0060 Company Registration in the Country

Bidder shall submit written declaration of his registration in the

country.

17. COSTS OF PREPARATION OF THE BIDDER'S PROPOSAL

Bidder shall bear all necessary costs and expenses required for the preparation of the
proposal.

18. CONFIDENTIAL DATA AND INFORMATION

The Bidder shall keep the data and information contained in the Inquiry Documents
strictly confidential.

19. HOURLY COST

The Bidder is requested to fill in the ALL-IN HOURLY COST TABLE; the data
contained in this table shall be the result of sum of direct labour only costs and indirect
costs divided by the total direct man-hours of K-0012 ref.

20. PAYMENT ITEM

Upon receipt of Performance Bonds, Labor Bond and Advance Payment Bond, the
amount of twenty five percent (25%) of Contract price shall be paid to the awarded
Bidder, which will be named “THE SUBCONTRACTOR”, within forty-five (45) days
counted from the date of the signature of the contract.

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 EPC OF PRODUCTION EXPANSION FROM 105 MBD TO 165 MBD OF PSSA

Seventy five percent (75%) of the remaining Subcontract price shall be paid monthly by
presenting a Month Valuation as the progress payment, and the month Valuation shall
comply with all the requirements described in the contract and the work scope.

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