bids analysis for replacement of perforated service air pipe line in area 5 - update

8/2/2019 Bids Analysis for Replacement of Perforated Service Air Pipe Line in Area 5 - Update.

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OPEXCOM MEMORANDUM

1.0 INTRODUCTION :Maintenance attempt to execute the job of replacement of perforated 3 service air

line as requested by Production Lubes in the first instance was unsuccessful because,

available pipes issued from the Ware House were rejected by ETSD (I& T) on report

number 2445 of November 24, 2010. Action was then initiated through MRF to

enable MMD replace the 14 lengths of pipes needed to execute this job. Necessary

fittings were sourced as a prelude for execution of this job.

When it became obvious that available in-house welders were engaged in

identical/emergency jobs plant-wide, KRPC Management was entreated to approve

invitation to competent service providers in this job area to bid for its execution.

The request was granted by management and the bids returned are herein analyzed.

2.0 PROCEDURE/ SCOPE OF WORK:The scope of work includes but is not limited to the following:

Cut and remove perforated pipes

Prefabricate new pipes.

Install prefabricated piping

Complete welding of new pipes.

Provision of welding machine.

Provision of crane (KRPC to provide).

Provision of grinding machines (big and small)

Provision of scaffolds (KRPC to provide).

Provision of cutting discs (180 X 3 X 22.23 mm)-20 pcs

Provision of cutting discs (115 X 3 X 22.23 mm)-25 pcs

Provision of grinding discs (180 X 3 X 22.23 mm)-25 pcs)

Provision of grinding discs (115 X 3 X 22.23 mm) -25 pcs

Provision of welding electrodes (LB52-E7018-3.2 mm)-10pkts

Provision of welding electrodes (LB52-E7018.2.6 mm)-10pkts

Provision of oxyacetylene gas set (KRPC to provide)

Provision of pick-up towing van/staff transportation.

Provision of 3 (14 lengths) STD pipes (KRPC to provide).

Provision of 3 x 90deg Elbows STD 4pcs (KRPC to provide)

Provision of 3 x 150# flanges 3sets (KRPC to provide)

Provision of 3 equal Tee 1pc (KRPC to provide)

Provision of 1 boss (KRPC to provide)

Provision of 1 boss (KRPC to provide)

3 end flange 1 (KRPC to provide)

Provision of Labour.

Mobilization/Demobilization.

Housekeeping.

Testing and commissioning of lines.


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3.0 IN-HOUSE COST ESTIMATE:

The in-house cost estimate, which is exclusive of costs of radiography, and

hydrostatic pressure test is N933,350.00 was derived from NNPC standard rate on

labour and equipment hiring (see detailed attachment1). The radiography andhydrostatic tests are statutory functions of ETSD which are to be performed after

job execution.

4.0 BIDS BENCH-MARKING:

Find in the table below the BIDS returned by the approved short-listed servicecompanies in ascending order with the in-house estimate ofN933,350.00 also

indicated.

S/N NAME OF

BIDDERS

COMPLIANCE

WITH

W/SCOPE

QUOTATION

(N)

MOBILIZATION

PERIOD

COMPLETION

PERIOD

VALIDITY

QUOTATION

1. PARSOULVENTURES.

- 344,100.00 1 DAY 5 DAYS 30 DAYS

2. IKEDIOBIIRON &

STEEL

OKAY 678,900.00 1DAY - -

3. SAUKOENGRG

- 709,020.00 - - -

4. OKORO

METAL

OKAY. 817,000.00 - 5 DAYS 60 DAYS

5. LAFO

ENGG

OKAY 1,272,700.00 - 10 DAYS 60 DAYS

6. IN-HOUSE

ESTIMATE

N/A 933,350.00 N/A 5DAYS N/A

5.0 BIDS ANALYSIS

The sum ofN344,100.00 returned by Messrs PARSOUL VENTURES was the lowest price

quoted for this job. The sum ofN678,900.00 was returned by Messrs IKEDIOBI IRON

AND STEEL VENTURES as second lowest, while the third lowest quotation of

N709,020.00 was submitted by Messrs SAUKO ENGINEERING AND CONSTRUCTION

LTD. The highest quotation ofN1,272,700.00 was returned by Messrs LAFOENGINEERING LTD. The in-house estimate ofN933,350.00 was derived from NNPCstandard rate on labour and equipment.

Analysis of the bids shows that Messrs PARSOUL VENTURES who returned the lowest

cost estimate ofN344,100.00 for this job were thelowest bidders.All the companies are adjudged equally competent.


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6.0 NOTATION:

Management is invited to kindly note;

That in- house Maintenance teams were engaged in identical start-up jobs in

other locations of KRPC at the time. Only coded Welders and coded Fitters who pass KRPC statutory test shall be

allowed to work.

That the IN-HOUSE cost estimate of N933,350.00 was derived from NNPCCorporate Labour and Equipment hiring rate.

That the N344,100.00 submitted by Messrs PARSOUL VENTURES as cost

of executing this job not convincing, considering the quotations submitted byother companies on the one hand and the in-house estimate on the other.

That PARSOUL VENTURES should be requested to re-confirm their

quotation in writing prior to final contract award.

7.0 PRAYER:

OPEXCOM is prayed to consider and approve award of contract for the replacement of

perforated 3 service air line in LUBES Area 5 in favour of MessrsPARSOUL

VENTURES at their quoted price of N344,100.00 subject to a written re-confirmation

letter from the Service Company to that effect.

MAINTENANCE MANAGEMENT


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KADUNA REFINING AND PETROCHEMICAL COMPANYLIMITED

(A Subsidiary of Nigerian National PetroleumCorporation)

INTERNAL MEMORANDUM

KRPC THE PRIDE OF THE NATION

TO: CHAIRMAN PC REF: KRPC/MTCE/MM/019

FROM: MANAGER MAINTENANCE DATE: SEPTEMBER 25, 2011.

RE- replacement of perforated 3 service air line in LUBES Area 5.

Please, find attached OPEXCOM MEMORANDUM on award of contract

for replacement of perforated 3 service air line in LUBES Area 5for your

review and endorsement to OPEXCOM.

Award is recommended in favour of MessrsPARSOUL VENTURES at

their quoted price ofN344,100.00 subject to a written re-confirmation letter

from the Service Company to that effect.

ENGR S. A. GARBA.


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OPEXCOM MEMORANDUM

FORREPLACEMENT OFPERFORATED 3 SERVICE

AIR LINE IN LUBES AREA 5.

SEPTEMBER, 2011


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bids analysis for replacement of perforated service air pipe line in area 5 - update

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