enhancement of kjo digital radio trunking system tender no. … · 2019. 6. 17. · enhancement of...

Enhancement of KJO Digital Radio Trunking System Tender No. GT600IT18

Instructions to Bidders of 15 Page 1 of 15

Instructions to Bidders

For Enhancement of KJO Digital Radio Trunking System

Aramco Gulf Operations Company Limited (“AGOC”) and Kuwait Gulf Oil Company (K.S.C.) ("KGOC"), jointly operating at and from Al-Khafji, Saudi Arabia, for oil and gas exploration, development and production in the offshore area of the divided ex-Neutral Zone between Saudi Arabia and Kuwait ("Al-Khafji Joint Operations") hereby call for tenders for the performance of the captioned work, and request each intending bidder to make his proposal in strict compliance with the following instructions:

1. Eligibility of Bidder 1.1 The bidder must be a commercial entity organized and existing under the laws of

Saudi Arabia or Kuwait, and registered at the Chamber of Commerce of either country, or a Saudi or Kuwait national with an establishment on his name, qualified to undertake commercial transactions under the laws of his country, and registered at the Chamber of Commerce there.

1.2 The bidder must qualify to lawfully undertake the services required under the

intended contract ("Contract") on his account at the time of bidding and throughout the duration of the Contract.

1.3 The bidder shall have the financial, technical and administrative resources and

capabilities sufficient to satisfactorily and timely commence, carry out and complete the entire works and services under the Contract by himself.

The bidder must also have sufficient experiences in the satisfactory prosecution of works similar to those required under this Tender, particularly in the field of Communication Systems installation. In this regard, the following is required as a prerequisite condition for the eligibility of the bidder: The bidder shall be a certified partner of the proposed equipment and shall be supported by his manufacturer. All equipment and materials to be used in the services shall be new and best quality, and shall be a field-proven equipment and should be designed, treated and finished so as to achieve during the contract period operating life in the conditions in which it will operate.

The bidder must have at least five (5) years’ experience in the field of procurement, installation & commissioning similar Systems and must have executed and completed at least one (1) similar contract for such installation and commissioning within the last five (5) years preceding the closing date of this tender.

2. Tender Documents

2.1 For this Tender, the following documents are issued:



(a) Instructions to Bidders (this document) with the Price Proposal Form (Bid Form 1) and the Qualification Proposal Form (Bid Forms 2 to 6).

(b) Form of Agreement with its Schedules, namely: Schedule A General Terms and Conditions Schedule B Scope of Work

Schedule C Consideration Schedule D Safety, Health and Environmental Requirements Schedule E Settlement of Disputes, Arbitration and Choice of Law Schedule F Taxes, Duties and Related Obligations Schedule G Materials, Tools and Equipment Schedule K Undertaking on Conflict of Interest Schedule Q Quality Assurance and Control, Inspection and Testing (c) Sample of bank guarantees (Bid Bond and Performance Bond)

(d) Sample format for Bidder's Inquiry

2.2 The bidder shall carefully study and fully understand the intents and contents of

the above listed documents, particularly the terms and conditions of the Contract, no provisions of which shall be negotiable by the bidder, and, in making the proposal for this Tender, the bidder shall refer only to the above listed documents.

Any misinterpretation of, or deviation from the intents and contents of the above listed documents or reference to any other sources of information and data on the part of the bidder shall in no event be entertained.

2.3 The bidder shall not disclose or divulge any part of the said documents or any information or data contained therein to any third party. Should the bidder, for preparing his proposal hereunder, need to disclose such documents, information or data to third party(ies) including his associates and subsidiaries and the intended subcontractors, he shall give AGOC/KGOC a prior written notice specifying the party(ies) to whom such disclosure will be made and the documents, information and data to be disclosed, for AGOC/KGOC's approval.

3. Prerequisite Conditions

3.1 Knowledge of the Circumstances

The bidder shall, in the course of preparation of his proposal, examine and familiarize himself with the nature of the works and services required of him to carry out under the Contract, the location and peculiarities of the place of such works and services including the relevant facilities, utilities, and equipment of AGOC/KGOC, the general and particular characters, qualities and quantities of equipment, tools, materials, supplies, facilities, utilities, vehicles, personnel and labor required preliminary to and during the prosecution of the said works and



services, and all other matters which could affect such works and services under the Contract.

The bidder shall also fully study, examine and be familiar with all laws and

regulations including the ministerial orders, regulations and decrees applicable under the jurisdiction of Saudi Arabia and Kuwait and any other countries which will be the sources of any of his provisions required to perform the Contract.

Failure by the bidder to have familiarized himself with the above said matters or to have reasonably discovered any matters which affect the contemplated works and services shall be entirely his responsibility and any request for compensation in this regard shall not be entertained.

3.2 Pre-Tender Meeting and Site Visit

In order to assist prospective bidders in preparation of their proposals, the following procedure shall be followed after the issue of the complete set of tender documents:

3.2.1 The bidder shall attend the explanatory meeting and site visit for this

Tender to be held at Auditorium Hall, Office Park Building, at Al-Khafji Joint Operations, Al-Khafji, Saudi Arabia, at 10:00 am local time on June 24, 2019. Following the , Pre-tender Explanatory Meeting there shall be a site visit. The bidder shall, during his site visit, collect all data and information necessary for the preparation of his proposal.

3.2.1 Any bidder who fails to attend the Explanatory Meeting and conduct the site visit is automatically disqualified for the bidding of this tender.A Pre-Tender Meeting will be held at the Information Technology Department (ITD), at Al-Khafji Joint Operations Al-Khafji, Saudi Arabia, at 10:00 a.m. local time on xxxxxxxx 2019 in order to:

- review and explain the nature and scope of the services, - ensure that all bidders have received the tender documents, - review all tender documents, - answer bidders questions, and - discuss details of the Site Visit

3.2.2 A Site Visit shall be conducted at Al-Khafji Joint Operations Al-Khafji, Saudi Arabia, on the same day after the pre-tender meeting. Bidders are required to visit the site to ascertain pertinent local conditions, such as accessibility, general character and adjacent facilities of the site and to perform any other evaluation as necessary to be able to submit a complete proposal. Any information obtained during such Site Visit shall not be deemed to change or supplement the basis set forth in this ITB unless such information is formally issued as an Addendum to the tender documents.

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3.2.3 The bidder is requested to contact Manager, Contracts Department of Al-Khafji Joint Operations to arrange for the bidder's Pre-Tender Meeting and Site Visit submitting the names and nationalities of the persons who will attend the required Pre-Tender Meeting and conduct the Site Visit together with photocopies of their Iqamas or passport with valid visas not later than at least five (5) days before the above stated meeting schedule. Each bidder can depute a maximum of four (4) persons for the Pre-Tender Meeting and a maximum two (2) persons for the Site Visit if any in offshore and it would be essential that such persons or consultants as those who will eventually execute the services be deputed for the Pre-Tender Meeting and the Site Visit.

All the costs and expenses associated with the required Pre-Tender Meeting and the Site Visit shall be borne by the bidder and all necessary arrangement for his visit to AGOC/KGOC including those for transportation, accommodation and acquisition of visas shall be made by the bidder. (Transportation to and within AGOC/KGOC offshore facilities will be provided by AGOC/KGOC.)

IMPORTANT NOTICE: Kuwaiti bidders to note that in connection with

the Site Visit, they are kindly requested to contact General Oil Affairs Department in Al-Khafji for facilitating their representative entrance to Al-Khafji. Telephone No: 013-7660555 Ext. 3936/3937, Fax No : 013-7671523

4. Proposal to be made

4.1 General

4.1.1 The proposal, (in two separate envelopes) which the bidder shall prepare and submit for this Tender, shall consist of the Price Proposal and the Qualification Proposal, which shall be accompanied by a) the original bank guarantee (Bid Bond) as mentioned in Sub-Article 4.4 hereof, b) the certificate of Pre-Tender Meeting issued by AGOC/KGOC, and (c) the original receipt issued by AGOC/KGOC against the Bidder’s purchase of the Tender documents for this Tender.

4.1.2 The bidder shall make the proposal of the above contents in

duplicate, in clear English language and typewritten, complete and accurate in every part.

The proposal as such shall not contain any reservations, alternatives or variations except when such is expressly required or allowed hereunder.



4.1.3 Any bidder's proposal shall be disregarded or any bidder shall be disqualified under the following circumstances:

- Bidder’s Qualification proposal contain any information of

commercial nature or the Bid Prices, except the Bid Bond pursuant to sub-Article 4.4.

- The proposal is incomplete failing to cover all items required to be

submitted under this Tender which are specifically itemized in Appendix I to Instructions to Bidders.

- The proposal is illegible for any reason or inaccurate of its

meanings, or - The proposal contains any reservation, alternative or variation

except when expressly so required or allowed hereunder.

4.1.4 It is advisable for the bidder to check his submission by referring to Appendix I to Instructions to Bidders "List of Submissions" to avoid submitting an incomplete, insufficient or inadmissible proposal.

4.2 Price Proposal

4.2.1 The bidder shall make his Price Proposal in the attached Price Proposal Form (Bid Form-1) signed by his authorized representative and dated with the date of submitting his proposal, with the bidder’s name typewritten and the bidder’s official seal or stamp affixed to it. A Price Proposal made in a different form shall in no event be considered. The bidder shall also submit the list of spare parts with price as deemed necessary and relevant to the scope of service to the Company along with the Bid form 1 as Attachement-1 to Bid Form-1. The spare parts required during the period of Contract shall be as per the recommendation from the Vendor/Manufacturer. The Bidder shall quote the spare parts price as per the format in Bid Form-1 Price Proposal as an Attachment-1. The Total Lump Sum Amount for the main System/Equipment of Digital Radio Trunking (Item No.2 in Bid Form-1 -Price Proposal) shall be the same as the Total Amount for list of Main Equipment/Materials (Item No. 2.1 in Bid Form-1- Price Proposal). Nonetheless, errors in addition shall be corrected by AGOC/KGOC.



Bids without the detailed above mentioned list of Main Equipment/Materials and the breakdown of relevant costs (Item No. 2.1-Bid Form 1-Price Proposal) will be summarily rejected

4.2.2 All the rates to be quoted by the bidder shall be expressed only in United States Dollars. A Price Proposal containing rates expressed in other currencies or both in US Dollars and in other currencies shall in no event be considered.

Each rate shall be written both in numerals and in words, and in case

of any discrepancy between the numerals and the words, the amount written in words shall prevail. Errors in addition shall be corrected by AGOC/KGOC. The corrected total amounts shall be considered as the bid price.

4.2.3 The bidder shall make sure that the rates as quoted in his Price Proposal shall be inclusive of and cover any and all costs and expenses to be incurred by him, when awarded the Contract, for and in regard to the Contract, particularly for delivery and completion of the works and services under the Contract at AGOC/KGOC's designated places such as, but not limited to, costs and expenses for supervision, labor, equipment, materials, supplies, consumables, services, visas and permits, mobilization and demobilization, overheads, profit, insurance premiums, Ramadan premiums, provisions for risks and contingencies including risks of fluctuations of any costs and currencies values, Zakat, withholding tax, income tax, custom duties and any other taxes (except Value Added Tax(VAT) under applicable KSA law) and imposts to be levied and payable on account of the Contract. If applicable, VAT rate and corresponding VAT amount should be indicated separately in the Price Proposal.

4.2.4 In connection with the foregoing item 4.2.3, the bidder shall

particularly take into account the following requirements:

Costs and expenses for provision of the equipment, tools, vehicles, materials, goods, supplies, consumables and any other things to be required for prosecution of or incorporation into the works and services under the Contract shall be calculated on the basis of delivery of these items at the site(s) of such works and services in Al-Khafji, Saudi Arabia, ready for their intended use. Accordingly, these costs and expenses shall be inclusive of, among others, custom duties that may be levied by the Saudi Arabian taxation authorities in respect of such things to be imported from outside Saudi Arabia and shall be paid by the Contractor, at his own cost, when so levied.

4.2.5 The bidder shall also take into account that all the rates quoted in his

Price Proposal shall be fixed throughout the duration of the Contract and that no adjustment to such rates shall be accepted by AGOC/KGOC, except when otherwise provided for in the Contract.



AGOC/KGOC shall not be liable to pay any extra money other than that expressly rendered payable or reimbursable by AGOC/KGOC pursuant to the relevant provisions of the Contract.

4.2.6 The Price Proposal submitted by the successful bidder on Bid Forms

1 shall make the Schedule C, “Consideration” and its Attachments of the Contract, when awarded to him.

4.2.7 In connection with the Zakat and Tax liability of the Contractor in

respect of AGOC/KGOC payments under the Contract, the Bidder shall specifically note and understand the provisions set out in Article 5 of the Form of Agreement and Articles 3 and 4 of Schedule F.

4.3 Qualification Proposal

The bidder shall make his Qualification Proposal of the contents as set out in items 4.3.1 through 4.3.13 hereof. Each document which constitutes the bidder's Qualification Proposal as such shall be signed by his authorized representative, who shall be the same as the signatory of his Price Proposal, dated with the date of submitting his proposal, with the bidder's name typewritten and the bidder's official seal or stamp affixed to it.

Bidders are advised that notwithstanding the submission of their Qualification

Proposal as part of their bids, the successful bidder shall be required, post Contract, to submit any other submittals as may be stipulated in the Contract documents. Submittals made as part of a bid shall not be accepted as submittals for the purpose of satisfying the requirements of the Contract, unless otherwise specified.

4.3.1 Corporate Registration, etc.

The bidder shall submit a certified copy of his current corporate registration or other documentary evidences, as properly certified, to demonstrate his legal status. No specific form is provided for this purpose. The bidder shall also submit a copy of his current registration at the Chamber of Commerce as required in item 1.1 hereof. The bidder shall also submit the same aforesaid documents for all his nominated subcontractors, if any. The bidder shall also submit a copy of his VAT registration certificate.

4.3.2 Representation on Financial Capability

The bidder shall submit his representation on financial capability duly signed as per the Qualification Proposal Form (Bid Form 2) attached hereto.

4.3.3 General Information



The bidder shall submit, in the attached Qualification Proposal Form (Bid Form 3), the general information of the bidder such as his Commercial Registration Number, Chamber of Commerce Number and the breakdown of his shareholders by nationality and the percentage of shares or interests held by each nationality. Such submittal shall form part of Schedule R of the successful bidder.

4.3.4 General Organization for Social Insurance (GOSI) Certificate and PISS

Certificate The Bidder shall submit a certificate issued by the appropriate insurance office evidencing that his firm has been registered with the Organization and that he has discharged all his obligations towards the Organization or otherwise that he is not subject to the provisions of this Law.

4.3.5 Vendor/Manufacturer’s Certification The bidder shall submit, as part of his Qualification Proposal, a certified copy of certification from the manufacturer of the proposed equipment/system evidencing that he is the partner of the product main system, spare parts and support from the manufacturer of said products. The Bidder shall provide the Company with the manufacturer’s supply records or evidence that it has already supplied other telecommunication authorities or other companies with a similar system. This certification, if he is awarded the Contract, shall make a part of Schedule R of the Contract.

4.3.6 Work Schedule The bidder shall submit in the attached Qualification Proposal a work schedule on a weekly basis in a bar chart format for all items of the work, provided that such work schedule shall meet the time limitations or requirements stipulated in the tender documents specially those for the total work period which shall not exceed Fifty Four (54) months from the commencement date of the work. Such submittal shall form part of Schedule R of the successful bidder.

4.3.7 Record of Experiences

The Bidder shall submit his record of experiences in the attached Qualification Proposal Form (Bid Form 4). Such record shall cover the past minimum 5 years, and shall include the experience as required in 1.3 hereof for works and services similar to those contemplated under this Tender. Such record of experience shall include the following information:

i. Client name, address, and principal contact.

ii. Title of project with brief description of scope of work.

iii. Value of project in United States Dollars (for the bidder’s part of the work).

iv. Start and completion dates of projects.



v. Number of personnel on each project. Each of such records shall be supported by authenticated documentary evidence, such as copies of contract and/or certificates from the previous client(s).

4.3.8 List of Personnel

The bidder shall submit, in the attached Qualification Proposal Form (Bid Form 5), the list of key personnel whom the bidder intends to assign for the performance of the works and services contemplated under this Tender. The bidder shall attach to the List Personnel curricula vitae for:

Project Manager/Contractor's Representative Resident Engineer Radio Technician

The curricula vitae shall include, without limitation, the names, nationalities, dates of birth, qualifications and work experiences, and shall be accompanied by certificates of degrees or diplomas for such personnel. In this regard, the successful bidder shall take note that it is required of him, when awarded the Contract, to show AGOC/KGOC the original of Iqamas and the foregoing certificates of such key personnel to be assigned by him under the Contract, well in advance of the date upon which the work will commence. AGOC/KGOC reserves the right to demand submission of original or duly authenticated copies of these documents if it deems fit or necessary. Such submittal shall form part of Schedule R of the successful bidder.

4.3.9 Organization Chart

The bidder shall submit an organization chart showing: the lines of responsibility of the personnel mentioned in item 4.3.8

hereof and their inter-relationship Line of communication between Site & Contractor’s HO back-up Lines of communication between Contractor & AGOC/KGOC

No specific form is provided for this organization chart. Such submittal shall form part of Schedule R of the successful bidder.

4.3.10 Methodology for Execution of Work The Bidder shall describe in detail how the Scope of Work under the Tender will be executed and implemented.

The Technical Proposal must include the key activities and shall be

sequenced as per the requirements set out in SCHEDULE B.



No specific format is provided for this methodology. In addition, in the above regard, as part of Qualification requirement and AGOC/KGOC evaluation, Bidders may be required to make an onsite presentation during the tender period. The methodology submitted by the successful Bidder, shall make

SCHEDULE R of the Contract when awarded to him.

4.3.11 Acknowledgement of Mobilization

The Bidder shall prepare and submit, in the attached Qualification Proposal Form (Bid Form 6), the acknowledgement of mobilization by which the Bidder is required to make a representation that he shall complete the mobilization within a period of time not exceeding thirty (30) days from the date of acceptance of the award of the Contract.

Such acknowledgement of mobilization submitted by the successful

Bidder shall make the SCHEDULE R of the Contract, when awarded to him.

4.3.12 Technical Submittals

Bidder shall submit as part of his bid submittal a full description of his proposed system details to show that the proposed system will meets the scope of work and technical specifications set out in Schedule B.

The bidder shall clearly state, by way of a comparison table, where any of proposal deviate from the Scope of Work or technical specification.

4.3.12.1 Proven Technology

All equipment and materials to be used in the network and services shall be new and best quality, and shall be a field-proven equipment with fully developed systems and designed, treated and finished so as to achieve during the contract period operating life in the conditions in which it will operate.

4.3.12.2 List of Equipment & Technical Details

The bidder shall submit a list of equipment and technical details which the bidder intends to provide for the performance of the Contract which shall satisfy the requirements set out in Schedule B “Scope of Work”. The equipment and technical details shall consist of all major equipment, hardware & software which the Contractor shall provide with name of manufacture, make/model and country of manufacture. Performance specifications/technical/catalogue details of proposed equipment.



4.3.12.3 Spare Parts a) The Bidder shall submit list of all the required spare parts

for the proposed System.

b) The Bidder shall submit the list of spare parts with price as deemed necessary and relevant to the scope of service to the Company along with the Bid form 1 as Attachement-1 to Bid Form-1. The spare parts required during the period of Contract shall be as per the recommendation from the Vendor. Company has exclusive right and decision as to when to procure such spare parts and also the type and quantity of each spare part to be procured. The price of spare parts listed in Attachment-1 to Bid Form-1 (Schedule C) shall remain firm during the entire course of the contract or any extensions thereof.

c) The Bidder shall guarantee the flow and availability of the

recommended spare parts and major component/devices availability in the market/manufacture for the next seven (7) Years period.

4.3.13 Ethics Compliance All bidders and their employees shall comply with the requirements of

laws, rules and regulations establishing ethical standards for the conduct of business in the Kingdom of Saudi Arabia, and all the rules and regulations specific to AGOC/KGOC. In signing the proposal, the bidder certifies full compliance with those provisions for any present or future dealings, transactions, sales, contracts, services, offers, relationships, etc., involving AGOC/KGOC and/or its employees. Failure to comply with those provisions may result in disqualification from the solicitation process, termination of Contract, and/or other civil or criminal proceedings as required by law.

The bidder shall make an undertaking on conflict of interest on the

bidder’s official letter head in accordance with the sample undertaking attached herewith. Such undertaking submitted by the successful bidder shall make the Schedule K of the Contract, when awarded to him.

4.4 Bank Guarantee

4.4.1 The Bidder shall obtain and submit to AGOC/KGOC an irrevocable bank guarantee ("Bid Bond") in the amount of United States Dollars Sixty Thousand (US$ 60,000.00) The Bid Bond shall be issued by a bank licensed and operating in Saudi Arabia or Kuwait or an international bank having correspondence with such banks in Saudi Arabia or Kuwait and kept valid for one hundred twenty (120) days counting from the closing date of this Tender to the effect that the issuing bank shall at any time



while the Bid Bond is so kept valid and upon AGOC/KGOC's written request, pay to AGOC/KGOC an aggregate amount of money not more than the above said amount unconditionally and irrespective of any contestation on the part of the Bidder, and provided that the Bid Bond, once issued, shall not be withdrawn, cancelled or in any way modified without AGOC/KGOC's written consent.

4.4.2 The Bid Bond shall be made out in the issuing bank's own official letter form for such purpose and the Sample of Bank Guarantee (Bid Bond) attached hereto is for reference purpose only. However, a bank guarantee failing to set out the conditions specified in the said Sample of Bank Guarantee may lead to disqualification of the Bidder.

Important Note: The Bid Bond shall be made in the name of Aramco Gulf Operations Company Limited or Kuwait Gulf Oil Company (K.S.C.) as per the attached sample; not in the name of Al-Khafji Joint Operations.

4.4.3 The Bid Bond is intended to warrant the validity of Bidder's proposal submitted to AGOC/KGOC, and should the Bidder withdraw or cancel his proposal for this Tender, either in whole or in part, after its submission to AGOC/KGOC or should the successful Bidder refuse to enter into the Contract with AGOC/KGOC after AGOC/KGOC's decision to award the Contract to him, AGOC/KGOC shall confiscate the full amount of the Bid Bond and the Bidder shall forfeit any right to claim for the money paid to AGOC/KGOC through the Bid Bond.

4.4.4 Upon award of the Contract to the successful Bidder, AGOC/KGOC shall return the Bid Bonds to the unsuccessful Bidder’s without delay. The successful Bidder shall keep the Bid Bond valid until execution of the Contract and his submission of another bank guarantee as mentioned in item 4.4.5 herein below.

4.4.5 The Bidder shall take note that upon execution of the Contract, the successful Bidder is required to furnish AGOC/KGOC with another bank guarantee in assurance of the proper performance of the Contract and the Works there under ("Performance Bond") pursuant to Sub-Paragraph 6.2 of the Form of Agreement.

The Performance Bond shall be made out in the issuing bank's own official letter form for such purpose, and the Sample of Bank Guarantee (Performance Bond) attached hereto is for reference purpose only.

5. Submission of Proposal

For submission of his proposal, the Bidder shall put his Price Proposal in a package and mark the package as “Package A – Price Proposal”, and shall put his Qualification Proposal together with (i) the original bank guarantee (Bid Bond), (ii) the original Certificate of Attendance at Pre-Tender Meeting and Site Visit, in another package and mark the package as “Package B – Qualification Proposal”,



and also marked on each package the Tender Number, Tender Title and Bid Closing date then firmly seal each of these two packages with stamped red wax. Any Bidder's proposal shall be rejected or any Bidder shall be disqualified, if the proposal fails to cover any items required to be submitted under this Tender which are specifically itemized in Appendix I to Instructions to Bidders. The Bidder shall arrange the so prepared package to be hand delivered to Tender Box No. 2 at the Contracts Department of Al-Khafji Joint Operations in Al-Khafji, not later than 14:00 hours_Monday July 22, 0000000000, 2019 (local time), which is the closing date of this Tender. AGOC/KGOC will not consider any proposal brought to it after such date and time. Notwithstanding the above, the Bidder who has neither an agent nor a partner in Saudi Arabia may, at his sole risk, send the so prepared packages by registered mail or courier service addressed to: Manager, Contracts Department Al-Khafji Joint Operations P.O.Box 688 Al-Khafji, 31971 Saudi Arabia

To be received by the said closing date and time.

AGOC/KGOC will not consider any proposal that has failed to reach AGOC/KGOC at all or by such date and time as stated here above, for whatsoever reasons.

6. Validity and Irrevocability of Proposal

The Bidder shall, in submitting his proposal which shall be made pursuant to the instructions set out in this document, render his proposal valid in its entirety for one hundred twenty (120) days counting from the said closing date of this Tender, and keep his proposal once submitted, irrevocable throughout the said period of validity. It is reiterated that should the Bidder withdraw or cancel his submitted proposal, he shall forfeit any right to claim for the money to be paid to AGOC/KGOC by the bank having issued the Bid Bond. Once submitted, the proposal shall in no event be revised, modified, altered or supplemented by any means and for any reasons including mere typographical errors, errors in cost calculation or risk computation and misinterpretation of the terms and conditions of the Contract or other conditions of this Tender.

7. AGOC/KGOC's Discretion on Award of the Contract

7.1 The Bidder shall understand that AGOC/KGOC will decide on award of the Contract at its discretion, while the price quoted by each Bidder is not necessarily decisive for AGOC/KGOC to select the successful Bidder.

AGOC/KGOC may decide not to award the Contract to any Bidder at all, or may even suspend or cancel this Tender without bearing any obligations to



the Bidder, and no acts of AGOC/KGOC before making a decision on award of the Contract shall constitute any commitment by AGOC/KGOC to award or not to award the Contract to any particular Bidder.

No Bidder shall have the right or be allowed to make any claim to AGOC/KGOC in regard to AGOC/KGOC's decision on award for any reason, and AGOC/KGOC shall never be obligated to explain to any Bidder the reason of his being not awarded the Contract or AGOC/KGOC's evaluation of any proposal or decision on award.

AGOC/KGOC reserves the right to reject any or all proposals submitted for any reason. AGOC/KGOC is under no obligation to award to a Bidder the business which is the subject of this Tender. A Bidder's failure to conform to any requirement, specification or condition expressed or implied by this document is not waived by AGOC/KGOC if such Bidder's proposal is accepted.

7.2 The Contract to be awarded to and made with the successful Bidder shall be written in exactly the same language as that of the Form of Agreement and its Schedules (except for typographical errors), no provisions of which shall be negotiable by the Bidder in the course of this Tender or even after AGOC/KGOC's decision to award the Contract to him.

7.3 Upon the decision of award of the Contract to a Bidder (“the successful

Bidder”), AGOC/KGOC shall send the successful Bidder a Letter of Intent to enter into the Contract. By the successful Bidder’s counter signature of the Letter of Intent for acceptance, it shall be deemed that the Contract is entered into by and between AGOC/KGOC and such successful Bidder, to be further substantiated by way of the parties signing the formal Contract.

7.4 After award of the Contract, if it turns out that the Bidder has misrepresented /

cancelled any requirement under the laws and regulations of Saudi Arabia &/or Kuwait, which is mandatory at the time of bidding and during performance of the Contract and which prevents the Bidder from commencing or continuing the works and services contemplated under this Tender in accordance with the requirements specified herein, AGOC/KGOC may terminate the Contract forthwith by giving a written notice of termination and shall confiscate the full amount of the bank guarantee available with AGOC/KGOC and the Bidder shall forfeit any right to claim for the money paid to AGOC/KGOC through such bank guarantee.

8. Costs and Expenses for this Tender

All the costs and expenses incurred by the Bidder on account of or in connection with this Tender shall be solely for the Bidder’s account, and AGOC/KGOC shall in no event accept any claim by or involving the Bidder for such costs, expenses, or loss or damage, whether direct or indirect or consequential, which may arise or result from or in connection with this Tender.

9. Use of Bidder’s Proposal and Accompanying Material



All proposals and associated materials submitted by the Bidder shall become the property of AGOC/KGOC and may be evaluated by any employee or agent of AGOC/KGOC. All proprietary information provided by the Bidder will be treated as confidential by AGOC/KGOC. All proprietary information provided by AGOC/KGOC shall be treated as confidential by the Bidder.

10. Inquiry on this Tender All inquiries from the Bidder in regard to this Tender must be received no later than Ten working (10) days prior to the closing date of this Tender.

The Bidder shall always make his inquiries, if any, in writing, and address the same to:

Superintendent, Procurement & Tendering Division Contracts Department Al-Khafji Joint Operations P.O.Box 256, Al-Khafji, 31971 Saudi Arabia Facsimile: 013-765-5148 Email; [email protected]

AGOC/KGOC may communicate any Bidder inquiries and AGOC/KGOC’s response to such inquiries to the other Bidder, when necessary, at AGOC/KGOC’s sole judgment.

No inquiries of whatsoever nature in regard to this Tender shall be accepted by AGOC/KGOC after the closing date of inquiries, which is 00000000000 2019.

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*** Attachments: - Appendix I to Instructions to Bidders "List of Submissions" - Bid Forms 1 to 6 - Sample Undertaking on Conflict of Interest - Sample of Bank Guarantees (Bid Bond and Performance Bond)

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