TENDER NOTICE

CEYLON PETROLEUM CORPORATION

(CEYPETCO)

BID FOR THE SUPPLY OF A CARGO OF 280,000 BBLS -5%/+10% OF

GAS OIL (0.05% MAX SULPHUR)

REF: BK/74/2022

FOR DUAL BERTH DISCHARGE AT DOLPHIN TANKER BERTH AND SPM

MUTHURAJAWELA, COLOMBO DURING LAYCAN 30-31/05/2022 ON
DAP COLOMBO BASIS (INCOTERMS 2010)

CHAIRMAN,
SPECIAL STANDING CABINET APPOINTED PROCUREMENT COMMITTEE (SSCAPC)
C/O. COMMERCIAL MANAGER
07TH FLOOR,
CEYLON PETROLEUM CORPORATION
No. 609, DR. DANISTER DE SILVA MAWATHA,
COLOMBO 09,
SRI LANKA.

28/04/2022
 INVITATION FOR BIDS

CEYLON PETROLEUM CORPORATION (CEYPETCO)

BID FOR THE SUPPLY OF A CARGO OF 280,000 BBLS -5%/+10% OF

GAS OIL (0.05% MAX SULPHUR)

FOR DUAL BERTH DISCHARGE AT DOLPHIN TANKER BERTH AND

SPM MUTHURAJAWELA, COLOMBO DURING LAYCAN 30-31/05/2022
ON DELIVERED AT PLACE (DAP) COLOMBO BASIS (INCOTERMS 2010)

SECTION 1 – INSTRUCTIONS TO BIDDERS (ITB)

1.1. INTRODUCTION

THE CHAIRMAN, SPECIAL STANDING CABINET APPOINTED PROCUREMENT COMMITTEE (SSCAPC), ON

BEHALF OF CEYLON PETROLEUM CORPORATION (HEREIN AFTER REFERRED TO AS ‘CEYPETCO’) INVITES
FIRM OFFERS FROM THE SUPPLIERS REGISTERED WITH CEYPETCO FOR THE SUPPLY OF A CARGO OF
280,000 BBLS -5%/+10% OF GAS OIL (0.05% MAX SULPHUR) FOR DUAL BERTH DISCHARGE AT DOLPHIN
TANKER BERTH AND SPM MUTHURAJAWELA, COLOMBO DURING LAYCAN 30-31/05/2022 ON DAP
COLOMBO BASIS (INCOTERMS 2010). IT IS IMPERATIVE THAT THE SHIPMENT IS DELIVERED IN COLOMBO
DURING THE TWO DAY DELIVERY LAYCAN 30-31/05/2022.THE FIRST BERTH OF DELIVERY IS TO BE
DETERMINED AT THE TIME OF ARRIVAL OF VESSEL AT COLOMBO.

INTERESTED SUPPLIERS MAY REQUEST FURTHER INFORMATION / CLARIFICATIONS FROM THE

COMMERCIAL MANAGER OF CEYLON PETROLEUM CORPORATION [TEL: 0094-115664649; FAX: 0094-
115455406; EMAIL: cm@ceypetco.gov.lk and commercial@ceypetco.gov.lk]

1.2. ISSUE OF BIDDING DOCUMENT

LOCAL AGENTS OF THE REGISTERED SUPPLIERS COULD OBTAIN BIDDING DOCUMENT FROM THE
COMMERCIAL MANAGER BETWEEN 0900 HRS. AND 1500 HRS. (SRI LANKA TIME) ON ANY WORKING
DAY COMMENCING FROM 28TH APRIL 2022 TO 09TH MAY 2022.
OR

REGISTERED SUPPLIERS COULD DOWNLOAD THE RELEVANT BID DOCUMENT FROM THE CEYPETCO
WEB SITE www.ceypetco.gov.lk

1.3. ELIGIBILITY FOR BIDDING

ONLY THE SUPPLIERS WHO HAVE CURRENTLY BEEN REGISTERED WITH CEYPETCO UNDER THE
RELEVANT PRODUCT ARE ELIGIBLE TO SUBMIT BIDS. THOSE SUPPLIERS WHO ARE SUSPENDED BY
CEYPETCO ARE NOT ELIGIBLE FOR BIDDING.

1 of 35
REF: BK/74/2022
1.4. SUBMISSION OF BIDS

PLEASE REFER CLAUSE 2.26.

1.5. LOCAL AGENT

PLEASE REFER CLAUSE 2.13.

1.6. AWARD OF THE TENDER

PLEASE REFER CLAUSE 2.17.

1.7. PRICING METHODOLOGY / CURRENCY

ALL VALUES SHOULD BE INDICATED IN UNITED STATES DOLLARS (USD).

1.8. BID SECURITY GUARANTEE

1.8.1 PRIOR TO THE BID OPENING, BIDDERS SHALL ESTABLISH A BID SECURITY GUARANTEE FOR
UNITED STATES DOLLARS TWO HUNDRED THOUSAND (USD 200,000/=) FOR THE TENDER
UNDERTAKING THAT THE BID WILL BE HELD VALID FOR THE SPECIFIED PERIOD AND THAT THE
BID WILL NOT BE WITHDRAWN DURING THAT PERIOD. SUCH SECURITY SHALL BE IN THE FORM
OF A BANK GUARANTEE ISSUED/CONFIRMED BY A LICENCED COMMERCIAL BANK IN SRI LANKA
OR A BANK BASED IN ANOTHER COUNTRY BUT THE GUARANTEE CONFIRMED & ASSURED BY A
LICENCED COMMERCIAL BANK IN SRI LANKA, IN FAVOR OF CEYLON PETROLEUM CORPORATION
AND PAYABLE TO THE SAME ON DEMAND. THE ORIGINAL BID SECURITY GUARANTEE SHALL BE
SUBMITTED ALONG WITH THE OFFER.

IMPORTANT

PLEASE NOTE THAT ALL BIDDERS IRRESPECTIVE OF WHETHER THEY ARE RECOGNIZED
GOVERNMENT OWNED INSTITUTIONS / SUBSIDIARIES AND/OR OIL MAJORS SHALL SUBMIT THE
BID SECURITY GUARANTEE.

1.8.2 THE BID SECURITY GUARANTEE SHALL BE VALID FOR A MINIMUM THIRTY (30) DAYS FROM THE
DATE OF CLOSING OF THE BID. THE FORMAT OF BID SECURITY GUARANTEE IS ANNEXED
HERETO AS ANNEX - ‘A’.

1.8.3 FAILURE TO SUBMIT THE BID SECURITY GUARANTEE, INCONFORMITY WITH THE BID
REQUIREMENT ON OR BEFORE THE CLOSING TIME OF BID BY ANY BIDDER, WILL RESULT IN THE
BID BEING REJECTED. CEYPETCO SHALL BE ENTITLED TO CALL ON THE BID SECURITY GUARANTEE
IN THE EVENT THE SUCCESSFUL BIDDER FAILS TO SUBMIT A PERFORMANCE SECURITY
GUARANTEE, WITHIN A PERIOD OF SEVEN (7) WORKING DAYS SUBSEQUENT TO WRITTEN
INSTRUCTION FROM CEYPETCO TO ENTER INTO THE SAID CONTRACT.

1.8.4 THE BID SECURITY GUARANTEE OF THE SUCCESSFUL BIDDER WILL BE RETURNED ONLY AFTER
THE SUBMISSION OF THE PERFORMANCE SECURITY GUARANTEE BY THE SUCCESSFUL BIDDER.
CEYPETCO SHALL BE ENTITLED TO CALL ON THE BID SECURITY GUARANTEE UNLESS A
PERFORMANCE SECURITY GUARANTEE IS PROVIDED BY THE SUCCESSFUL BIDDER, ON THE DATE
SPECIFIED BY CEYPETCO.

1.8.5 THE BID SECURITY GUARANTEE FROM THE UNSUCCESSFUL BIDDERS WILL BE RETURNED TO
THEM AFTER THE AWARD IS MADE TO THE SUCCESSFUL BIDDER.

2 of 35
REF: BK/74/2022
1.9. CORRECTION OF ERRORS

WHERE THERE IS A DISCREPANCY BETWEEN THE AMOUNT IN FIGURES AND WORDS, THE
AMOUNT IN WORDS WILL GOVERN.

SECTION 2 - TERMS & CONDITIONS OF THE BID

2.1. BUYER
CEYLON PETROLEUM CORPORATION (CEYPETCO),
NO. 609,
DR. DANISTER DE SILVA MAWATHA,
COLOMBO 09,
SRI LANKA.

2.2. CONTRACTUAL CARGO QUANTITY

2.2.1. TOTAL QUANTITY OF PRODUCT REQUIRED UNDER THIS CONTRACT IS AS FOLLOWS.

PRODUCT TOTAL CONTRACTUAL QUANTITIES

GAS OIL (0.05% MAX SULPHUR) 280,000 BBLS -5% / +10%

2.2.2. THE TOTAL QUANTITY OF THE SHIPMENT SHALL BE AS PER THE COMBINATION IN ANNEX – ‘B’
WHERE TOTAL CARGO SIZE IS 280,000 BARRELS MINUS FIVE PERCENT/PLUS TEN PERCENT (- 5%/
+10%).

2.2.3. THE QUANTITY OF THE PRODUCT SHALL BE LOADED WITHIN THE MINUS FIVE PERCENT / PLUS
TEN PERCENT (-5%/+10%) TOLERANCE.

2.2.4. ANY DEVIATION TO THE MINUS FIVE PERCENT / PLUS TEN PERCENT (-5%/+10%) TOLERANCE
LIMIT SPECIFIED UNDER 2.2.3. WILL ONLY BE CONSIDERED UNDER SPECIAL CIRCUMSTANCES,
ON MUTUAL AGREEMENT BETWEEN CEYPETCO AND THE SUCCESSFUL SUPPLIER/ BIDDER.

2.3. DELIVERY

THE TWO DAY DELIVERY LAYCAN SHALL BE COMMENCED FROM 0001 HRS OF THE FIRST DAY OF
THE DELIVERY LAYCAN UP TO THE 2400 HRS OF THE SECOND DAY OF THE TWO DAY DELIVERY
LAYCAN.

2.3.1. THE SUCCESSFUL SUPPLIER/ BIDDER SHALL DISCHARGE THE FULL CARGO AS GIVEN IN ANNEX -
‘B’ EITHER DUAL BERTH AT BOTH DOLPHIN TANKER BERTH, COLOMBO AND SPM
MUTHURAJAWELA, COLOMBO OR SINGLE BERTH AT DOLPHIN TANKER BERTH, COLOMBO OR
SPM MUTHURAJAWELA, COLOMBO.

2.3.2. CEYPETCO SHALL NOTIFY THE SUCCESSFUL SUPPLIER/ BIDDER ABOUT THE PREFERRED
DISCHARGING OPTION OF CARGO I.E. EITHER DUAL BERTH DISCHARGE AT BOTH DOLPHIN
TANKER BERTH, COLOMBO AND SPM MUTHURAJAWELA, COLOMBO OR SINGLE BERTH
DISCHARGE AT DOLPHIN TANKER BERTH, COLOMBO OR SPM MUTHURAJAWELA, COLOMBO
UPON ARRIVAL OF THE VESSEL AT COLOMBO.

3 of 35
REF: BK/74/2022
2.4. IMPORTANT

IT IS IMPERATIVE THAT THE CARGO IS DELIVERED FOR DUAL BERTH DISCHARGE AT DOLPHIN
TANKER BERTH AND SPM MUTHURAJAWELA, COLOMBO IN ONE LOT DURING THE TWO DAY
CONTRACTUAL LAYCAN AND UNDER NO CIRCUMSTANCES THE CARGO WILL BE ACCEPTED IN TWO
SEPARATE TANKERS. SHOULD THE SUCCESSFUL SUPPLIER / BIDDER FAIL TO DELIVER THE CARGO
FOR TWO BERTH DISCHARGE AT DOLPHIN TANKER BERTH AND SPM MUTHURAJAWELA, COLOMBO
IN ONE LOT DURING THE SAID TWO DAY CONTRACTUAL LAYCAN, THE SUCCESSFUL SUPPLIER /
BIDDER WOULD BE HELD LIABLE FOR HEAVY PENALTIES AND ALL CONSEQUENTIAL LOSSES.

2.5. THIRD PARTY CARGO

TENDERERS ARE NOT PERMITTED TO CARRY ANY THIRD PARTY CARGO ALONG WITH THIS CARGO
IN THE SAME TANKER.

2.6. QUALITY

BIDDER SHALL ENSURE THAT THE PRODUCT OFFERED ARE IN CONFORMITY WITH THE RELEVANT
SPECIFICATIONS GIVEN IN ANNEX - ‘C’ FOR GAS OIL (0.05% MAX SULPHUR). BIDDER SHALL STATE
THE COMPLIANCE TO THE SPECIFICATIONS IN ANNEX - ‘C-1’ FOR GAS OIL (0.05% MAX SULPHUR)
& SUBMIT ALONG WITH THE BID.

2.7. SOURCE OF SUPPLY

2.7.1 THE COUNTRY OF ORIGIN & THE PORT OF SHIPMENT OF PRODUCT SHALL BE CLEARLY
INDICATED.

2.7.2 CEYPETCO PREFERS TO BUY GAS OIL (0.05% MAX SULPHUR) DIRECTLY FROM REFINERIES.

2.7.3 ON BOARD BLENDING OF PRODUCTS ARE STRICTLY PROHIBITED.

2.7.4 IF THE PRODUCTS ARE PURCHASED FROM A THIRD PARTY, THE FULL DETAILS OF THE THIRD
PARTY INCLUDING THE ORIGINAL SOURCE OF PURCHASE SHALL BE CLEARLY INDICATED.

2.8. MODE OF LOADING/PORT OF LOADING

2.8.1 UNDER THIS SHIPMENT, THE PRODUCT SHALL BE LOADED ON TO THE NOMINATED VESSEL
ONLY FROM SHORE TANKS AND THE SHIP TO SHIP TRANSFER OF PRODUCTS IS STRICTLY
PROHIBITED.

2.8.2 UNDER NO CIRCUMSTANCES THE PRODUCT SHALL BE LOADED TO THE SLOP TANKS OF THE
VESSEL. THE PRODUCT LOADING PLAN SHALL BE PROVIDED TO CEYPETCO INDICATING ALL
NOMINATED TANKS.

2.9. INSPECTION

2.9.1 INSPECTION AT LOAD PORT

2.9.1.1. CEYPETCO SHALL NOMINATE AN INDEPENDENT INSPECTOR (GEO-CHEM / ITS

CALEB BRETT / SBC ASIA – SAYBOLT / SGS / BUREAU VERITAS / CCIC/ AMSPEC)
ACCEPTABLE TO THE SUCCESSFUL SUPPLIER/ BIDDER TO SAMPLE, TEST AND
CERTIFY THE QUALITY OF THE PRODUCT FOR INCONFORMITY WITH THE TENDER
SPECIFICATIONS AND THE QUANTITY FOR INCONFORMITY WITH THE TENDER
CONDITIONS. THEY SHOULD PRESENT AT THE TIME OF LOADING OF THE CARGO
4 of 35
REF: BK/74/2022
 TO CARRYOUT THE INSPECTION AND TO PREPARE THE QUALITY AND QUANTITY
CERTIFICATES AND ANY OTHER DOCUMENTS SPECIFIED.

2.9.1.2. CEYPETCO RESERVES THE RIGHT TO NOMINATE A SECOND INSPECTION

COMPANY AT ITS SOLE DISCRETION TO WITNESS THE QUALITY & QUANTITY OF
THE PRODUCT AT LOAD PORT AS AND WHEN REQUIRED AT ITS OWN COST.

2.9.1.3. IT IS THE RESPONSIBILITY OF THE SUCCESSFUL SUPPLIER/ BIDDER TO ENSURE

THE PRESENCE OF THE INDEPENDENT INSPECTOR AT THE TIME OF SAMPLING,
TESTING AND LOADING OF THE CARGO AT THE LOAD PORT. THE SUCCESSFUL
SUPPLIER/ BIDDER SHALL CO-OPERATE AND LIAISE WITH THE INDEPENDENT
INSPECTOR TO ENSURE THAT THE INSPECTION IS CARRIED OUT TO THE
SATISFACTION OF CEYPETCO. UNDER NO CIRCUMSTANCES THE QUALITY OF THE
CARGO SHALL BE TESTED AT THE LABORATORY AT THE LOAD PORT OR THE
CARGO LOADED ON TO THE VESSEL AT THE LOAD PORT WITHOUT THE PRESENCE
OF THE INDEPENDENT INSPECTOR APPOINTED AS PER SUB CLAUSE 2.9.1.1. AND
THE SECOND INSPECTOR IF NOMINATED BY CEYPETCO AS PER SUB CLAUSE
2.9.1.2.

IN CASE CEYPETCO REQUESTS, THE INDEPENDENT INSPECTOR AT LOAD PORT IS

ALSO RESPONSIBLE TO SEND A SHIP’S COMPOSITE SAMPLE WITH SUFFICIENT
QUANTITY AT THE EARLIEST POSSIBLE TIME AFTER LOADING THE VESSEL TO
REACH CEYLON PETROLEUM STORAGE TERMINALS LIMITED (CPSTL)
LABORATORY AT COLOMBO VIA AIR FREIGHT. IN THIS CASE, ALL RELATED COST
SHALL BE UNDER CEYPETCO ACCOUNT.

2.9.1.4. CEYPETCO WILL FURNISH FULL PARTICULARS OF THE RESPECTIVE CARGO TO BE

PURCHASED TO THE INDEPENDENT INSPECTOR UNDER ADVICE TO THE
SUCCESSFUL SUPPLIER/ BIDDER. THE QUALITY AND QUANTITY OF THE PRODUCT
SHALL BE TESTED IN ACCORDANCE WITH GOOD INDUSTRY STANDARDS AND
PRACTICES, USING INTERNATIONALLY ACCEPTED SAMPLING AND ANALYTICAL /
TESTING METHODS STIPULATED IN RELEVANT SPECIFICATION SHEETS.

2.9.1.5. SHORE TANK QUALITY CERTIFICATE ISSUED BY THE SUCCESSFUL SUPPLIER’S/

BIDDER’S TERMINAL AND SIGNED BY THE MUTUALLY AGREED INDEPENDENT
INSPECTOR, SHALL BE FORWARDED/COMMUNICATED TO THE DEPUTY GENERAL
MANAGER (COMMERCIAL & SUPPLY CHAIN) OR COMMERCIAL MANAGER OF
CEYPETCO THROUGH E-MAIL, BEFORE COMMENCEMENT OF LOADING.

2.9.1.6. THE SUCCESSFUL SUPPLIER/BIDDER SHALL ENSURE THAT VESSEL LOADS ONLY
THE PRODUCT THAT MEETS EACH, EVERY AND ALL SPECIFICATIONS AS SPECIFIED
BY CEYPETCO IN THE CONTRACT. THE INDEPENDENT INSPECTOR NOMINATED
BY CEYPETCO AND ACCEPTED BY THE SUCCESSFUL SUPPLIER/BIDDER SHALL
ALSO ENSURE THAT THE VESSEL LOADS ONLY PRODUCT THAT ARE ON
SPECIFICATIONS.

IF THE LOAD PORT QUALITY CERTIFICATES OF THE PRODUCT DOES NOT MEET
THE CEYPETCO CONTRACTUAL SPECIFICATIONS, CEYPETCO SHALL
COMMUNICATE THE REJECTION OF SUCH PRODUCT WITH REASONS WITHIN A
REASONABLE TIME PERIOD AFTER THE SUCCESSFUL SUPPLIER/BIDDER HAS SENT
THE QUALITY CERTIFICATES THROUGH E-MAIL.

5 of 35
REF: BK/74/2022
 UNDER NO CIRCUMSTANCES THE LOADING SHALL BE DELAYED, IF ALL THE
PARAMETERS OF LOAD PORT QUALITY CERTIFICATES FOR THE PRODUCT IS ON
SPECIFICATIONS.

2.9.1.7. CEYPETCO SHALL PROVIDE AT LEAST THREE (03) E-MAIL ADDRESSES FOR SUCH
CORRESPONDENCE TO THE SUCCESSFUL SUPPLIER/ BIDDER AND THE
SUCCESSFUL SUPPLIER/ BIDDER SHALL SEND THE QUALITY CERTIFICATES TO ALL
THREE E-MAIL ADDRESSES PROVIDED BY THE BUYER FOR THE SAID PURPOSE.

2.9.1.8. THE SUCCESSFUL SUPPLIER/BIDDER SHALL LOAD THE CARGO COMPLYING WITH
CEYPETCO TENDER SPECIFICATION AT THEIR OWN RISK.

2.9.1.9. THE SUCCESSFUL SUPPLIER/ BIDDER SHALL BE BOUND TO PROVIDE A TANK

CLEANLINESS & DRY CERTIFICATE SIGNED BY THE INDEPENDENT INSPECTOR
CERTIFYING THE INSPECTION AND WITNESSING, ENSURING DRY AND
CLEANLINESS OF THE VESSEL’S TANKS & LINES BEFORE LOADING AND VESSEL’S
TANKS FACILITIES SUCH AS PIPELINES, PUMPS AND STRAINERS TO BE CLEANED,
DRY AND SUITABLE FOR GAS OIL (0.05% MAX SULPHUR) THROUGH THE
INDEPENDENT INSPECTOR.

2.9.1.10. IT IS EXTREMELY IMPORTANT TO SUBMIT THE ABOVE CERTIFICATE TO CEYPETCO

BY THE SUCCESSFUL SUPPLIER/BIDDER THROUGH INDEPENDENT INSPECTOR
PRIOR TO COMMENCEMENT OF LOADING. THE SUCCESSFUL SUPPLIER/ BIDDER
SHALL BE RESPONSIBLE TO LOAD THE CARGO INTO THE CLEAN AND DRY TANKS
OF THE VESSEL AS CERTIFIED BY THE INDEPENDENT INSPECTOR.

2.9.1.11. IN THE EVENT PRODUCT IS LOADED FROM DIFFERENT SHORE TANKS,

INDEPENDENT INSPECTOR SHALL PROVIDE QUALITY CERTIFICATES IN RESPECT
OF EACH AND EVERY SHORE TANK.

2.9.1.12. THE COST OF INSPECTION AT LOAD PORT SHALL BE SHARED EQUALLY BETWEEN
CEYPETCO AND THE SUCCESSFUL SUPPLIER/BIDDER.

2.9.1.13. QUANTITIES MENTIONED IN THE BILLS OF LADING (B/Ls) AT RESPECTIVE LOAD

PORTS SHALL BE BINDING ON BOTH PARTIES.

2.9.1.14. IN THE EVENT THAT THE SUCCESSFUL SUPPLIER/BIDDER DOES NOT AGREE TO
THE NOMINATED INDEPENDENT INSPECTOR BY CEYPETCO AS PER THE CLAUSE
2.7.1.1., THE SUCCESSFUL SUPPLIER/ BIDDER IS PERMITTED TO NOMINATE AN
ALTERNATIVE INDEPENDENT INSPECTOR FROM COMPANIES LISTED UNDER THE
SAID CLAUSE. UNDER NO CIRCUMSTANCES THE SUCCESSFUL SUPPLIER/ BIDDER
SHALL BE PERMITTED TO CHANGE SUCH ALTERNATIVE NOMINATION
THEREAFTER.

2.9.2 INSPECTION AT DISCHARGE PORT

2.9.2.1. DISCHARGE PORT INDEPENDENT INSPECTOR SHALL BE DIFFERENT TO THAT OF

THE LOAD PORT.
2.9.2.2. THE QUALITY AT DISCHARGE PORT COLOMBO SHALL BE DETERMINED BY
CEYLON PETROLEUM STORAGE TERMINALS LIMITED (CPSTL) LABORATORY AND
WITNESSED BY THE INDEPENDENT INSPECTOR (ITS CALEB BRETT / GEO-CHEM /
SBC ASIA – SAYBOLT / SGS / BUREAU VERITAS) AT COLOMBO AND ONE
REPRESENTATIVE IF NOMINATED BY THE SUCCESSFUL BIDDER. SUCH
6 of 35
REF: BK/74/2022
 DETERMINATIONS SHALL BE BASED ON THE RECOGNISED CARGO ANALYSIS
CARRIED OUT BY THE CPSTL LABORATORY. THE CERTIFICATE OF QUALITY ISSUED
BY CPSTL LABORATORY AS WITNESSED BY THE INDEPENDENT INSPECTOR AT
COLOMBO BASED ON SUCH RECOGNISED CARGO ANALYSIS SHALL BE BINDING
ON BOTH PARTIES.

CEYPETCO SHALL RESERVE THE RIGHT TO DEPLOY ITS OWN REPRESENTATIVE/S

TO WITNESS THE SAMPLING / TESTING PERFORMED AT THE VESSEL / CPSTL
LABORATORY.

2.9.2.3. A SHIP TANK COMPOSITE SAMPLE WITH ADEQUATE QUANTITY FOR THE
PRODUCT SHALL BE DRAWN FROM THE SHIP’S TANKS ACCORDING TO ASTM
STANDARD METHOD OF SAMPLING BY A MUTUALLY AGREED INDEPENDENT
INSPECTOR AT DISCHARGE PORT WITNESSED BY CEYPETCO / CPSTL
REPRESENTATIVES AND REPRESENTATIVE IF NOMINATED BY THE SUCCESSFUL
SUPPLIER/BIDDER. SAMPLES SHALL BE PROPERLY SEALED AND AUTHENTICATED
BY THE INDEPENDENT INSPECTOR, VESSEL’S MASTER OR REPRESENTATIVE OF
THE MASTER AND REPRESENTATIVES OF THE CEYPETCO / CPSTL AND
REPRESENTATIVE IF NOMINATED BY THE SUCCESSFUL SUPPLIER/BIDDER.
SUCH SAMPLE WILL BE ANALYZED AT THE CPSTL LABORATORY ACCORDING TO
CONTRACTUAL SPECIFICATION AND SHALL BE WITNESSED BY THE MUTUALLY
AGREED INDEPENDENT INSPECTOR. THE RESULT OF THE ANALYSIS SHALL BE THE
RECOGNIZED CARGO ANALYSIS AND SHALL BE BINDING ON BOTH PARTIES.

2.9.2.4. UNDER NO CIRCUMSTANCES A REPRESENTATIVE OF THE SUCCESSFUL

SUPPLIER/BIDDER FROM AN INSPECTION COMPANY AND AN EMPLOYEE OF THE
INSPECTION COMPANY AS MENTIONED UNDER SUB CLAUSE 2.9.2.2. WILL BE
ALLOWED.

2.9.2.5. UNDER NO CIRCUMSTANCES A PROTECTIVE INSPECTOR WILL BE ALLOWED TO

THE SUCCESSFUL SUPPLIER/BIDDER OTHER THAN THE MUTUALLY AGREED
INDEPENDENT INSPECTOR.

2.9.2.6. THE SUCCESSFUL SUPPLIER/BIDDER SHALL DECLARE IN THE BID THAT THE
CERTIFICATE OF QUALITY AT DISCHARGE PORT FOR THE PRODUCT SHALL BE ON
THE BASIS OF SHIP TANK COMPOSITE SAMPLE TAKEN ON ARRIVAL OF THE
VESSEL AT DISCHARGE PORT AS PER THE SUB CLAUSE 2.9.2.3.

2.9.2.7. HOWEVER, IN THE EVENT THE FIRST COMPOSITE SAMPLE DOES NOT MEET THE
CONTRACTUAL SPECIFICATIONS, THE INDEPENDENT INSPECTOR WILL BE
REQUESTED TO DRAW A SECOND SET OF SAMPLES FROM VESSEL’S INDIVIDUAL
TANKS IN THE PRESENCE OF REPRESENTATIVES FROM CEYPETCO/CPSTL, A
REPRESENTATIVE FROM THE SUCCESSFUL SUPPLIER/ BIDDER’S CARGO INSURER,
TWO REPRESENTATIVES FROM THE SUCCESSFUL SUPPLIER/ BIDDER AND ONE
REPRESENTATIVE FROM THE PROTECTION & INDEMNITY INSURANCE (P&I
CLUB).

SUCH INDIVIDUAL SAMPLE WILL BE ANALYZED AT THE LABORATORY OF CPSTL

ACCORDING TO THE CONTRACTUAL SPECIFICATIONS AND SHALL BE WITNESSED
BY THE MUTUALLY AGREED INDEPENDENT INSPECTOR. THE RESULTS OF THESE
ANALYSIS BASED ON THE SAMPLES DRAWN FROM VESSEL’S INDIVIDUAL TANKS
SHALL BE THE RECOGNIZED CARGO ANALYSIS AND SHALL BE BINDING ON BOTH
7 of 35
REF: BK/74/2022
 PARTIES. ALL REPRESENTATIVES WITNESS THIS TEST REQUIRED TO BE SIGNED
EACH OF THE FULL TEST CERTIFICATES ISSUED BY CPSTL LABORATORY.
2.9.2.8. IF THE SPECIFICATION OF THE PRODUCT DEVIATED FROM THE CEYPETCO
STANDARD SPECIFICATIONS, CEYPETCO RESERVES THE RIGHT TO REJECT THE
PRODUCT.
2.9.2.9. UNDER NO CIRCUMSTANCES ANY TESTING RESULTS FROM ANY OTHER
LABORATORIES OTHER THAN THE CPSTL LABORATORY SHALL BE ENTERTAINED
FOR FINAL DETERMINATION OF THE QUALITY OF THE SUBJECT CARGO.

2.9.2.10. IN THE EVENT OF CEYPETCO DECIDING TO ACCEPT A PART CARGO ON BOARD

THE VESSEL BASED ON THE TEST RESULTS OF THE SECOND TEST FOR THE
INDIVIDUAL TANKS, THE PART CARGO SHALL BE DISCHARGED AT ITS SOLE
DISCRETION OF CEYPETCO. IN CASE IT IS DECIDED TO ACCEPT PART CARGO
DISCHARGE, THEN LAYTIME AND DEMURRAGE TO BE PRO-RATED IN LINE WITH
THE QUANTITY OF CARGO DISCHARGED. THE TIME PERIOD BETWEEN FIRST
REJECTION OF THE CARGO OR PART CARGO AND RECOMMENCEMENT OF THE
LAYTIME FOR THE PART CARGO SHALL NOT BE COUNTED AS USED LAYTIME.
2.9.2.11. THE QUALITY CERTIFICATE AT DISCHARGE PORT, COLOMBO SHALL BE ISSUED BY
THE INDEPENDENT INSPECTOR BASED ON THE TEST REPORT OF CPSTL
LABORATORY.
2.9.2.12. DISCHARGE OF VESSEL SHALL COMMENCE ONLY AFTER THE CERTIFICATE OF
QUALITY AT DISCHARGE PORT, AS ISSUED BY INDEPENDENT INSPECTOR BASED
ON THE TESTS REPORTS OF CPSTL LABORATORY COUNTERSIGNED BY
CEYPETCO’S REPRESENTATIVE IS IN POSSESSION OF THE SUCCESSFUL
SUPPLIER’S/ BIDDER.
2.9.2.13. THE QUANTITY OF THE PRODUCT AT THE DISCHARGE PORT COLOMBO SHALL BE
DETERMINED BY AN INDEPENDENT INSPECTOR (ITS CALEB BRETT / GEO-CHEM/
SBC ASIA – SAYBOLT / SGS / BUREAU VERITAS) AT COLOMBO. SUCH
DETERMINATIONS SHALL BE REPORTED ON THE CERTIFICATE OF QUANTITY.

IN THE EVENT THAT THE OUT-TURN LOSS (OUT-TURN QUANTITY VS. B/L
QUANTITY) IS IN EXCESS OF 0.5% AND/OR THERE IS ANY FREE FLOWING
PRODUCT LEFT ON BOARD AS REPORTED AND CERTIFIED BY THE INDEPENDENT
INSPECTOR AT DISCHARGE PORT, THE SUCCESSFUL SUPPLIER/ BIDDER SHALL
DEDUCT THE EXCESS LOSS AND/OR FREE FLOWING PRODUCT LEFT ON BOARD
FROM THE BILL OF LADING QUANTITY FOR INVOICE PURPOSES.

2.9.2.14. IN THE EVENT THE OUT-TURN LOSS IS PROVED TO BE DUE TO CEYPETCO’S FAULT
INCLUDING BUT NOT LIMITED TO DISCHARGING PIPE LINE LEAKAGE, CAUSING
AND OUT-TURN LOSS IN EXCESS OF 0.5%, SUCH EXCESS LOSS SHALL NOT BE
DEDUCTED FROM THE B/L QUANTITY FOR INVOICE PURPOSES.

2.9.2.15. THE COST OF INSPECTION, INCLUDING COST FOR TESTING OF SECOND

COMPOSITE SAMPLE PAYABLE TO INDEPENDENT INSPECTOR AT DISCHARGE
PORT SHALL BE SHARED EQUALLY BETWEEN CEYPETCO AND THE SUCCESSFUL
SUPPLIER/BIDDER.

8 of 35
REF: BK/74/2022
2.10. RECOVERY OF DAMAGES OR LOSSES FOR CEYPETCO DUE TO UNACCEPTABLE QUALITY

A) IF THE QUALITY OF THE PRODUCT AT THE DISCHARGE PORT DOES NOT MEET / COMPLY
WITH THE CONTRACTUAL SPECIFICATIONS SPECIFIED UNDER ANNEX - ‘C’ WITH RESPECT TO
ANY OF THE PARAMETERS INDICATED THEREIN, SUBJECT TO CLAUSE 2.9.2.7 CEYPETCO
RESERVES THE RIGHT TO REJECT THE FULL CONSIGNMENT ON BOARD THE VESSEL OR PART
OF THE CONSIGNMENT AS THE CASE MAY BE.

B) VALUE OF THE REJECTED CARGO SHALL BE DETERMINED, BASED ON THE B/L QUANTITY,
THE FIRST DAY OF THE AGREED TWO DELIVERY LAYCAN OF THE REJECTED CARGO AND AS
PER THE PRICING CLAUSE OF THE TENDER

C) IN SUCH A CASE, THE SELLER IS OBLIGED TO PROVIDE THE REPLACEMENT CARGO AT

REQUEST OF THE SUCCESSFUL SUPPLIER / BIDDER WITHOUT ANY ADDITIONAL COST TO THE
CEYPETCO AFTER THE FIRST TWENTY (20) DAYS FROM THE DATE OF REJECTION OF THE
ORIGINAL CARGO SUBJECT TO PAYMENT OF ZERO POINT ZERO FIVE PRECENT (0.05%) OF
THE DAP “VALUE OF THE REJECTED CARGO” PER DAY PRO-RATA BASIS BY THE SUCCESSFUL
SUPPLIER / BIDDER TO CEYPETCO FOR THE PERIOD COMMENCING FROM THE 2400 HRS OF
THE TWENTIETH (20TH) DAY FROM THE DATE OF REJECTION OF THE CARGO UNTIL THE
REPLACEMENT CARGO IS DELIVERED AT COLOMBO (I.E. UP TO THE NOTICE OF READINESS
(NOR) TENDERED TIME) DURING THE NEW LAYCAN VALUE OF THE REJECTED CARGO SHALL
BE DETERMINED, BASED ON THE B/L QUANTITY, THE FIRST DAY OF THE AGREED TWO
DELIVERY LAYCAN OF THE REJECTED CARGO AND AS PER THE PRICING CLAUSE OF THE
TENDER.

D) THE CONSENT FOR THE SUPPLY OF REPLACEMENT CARGO SHALL BE COMMUNICATED IN

WRITING BY THE SUCCESSFUL SUPPLIER/BIDDER TO CEYPETCO WITHIN FORTY EIGHT (48)
HOURS OF SUCH REQUEST BY CEYPETCO.

E) IN THE EVENT OF REJECTION OF THE CARGO RESULTING IN THE DELAY OF REPLACEMENT

CARGO UNDER THIS CONTRACT, THE SUPPLIER SHALL BE BOUND TO EXTEND THE VALIDITY
OF THE PERFORMANCE SECURITY GUARANTEE UP TO THE DATE DETERMINED BY CEYPETCO
AS REQUIRED.

F) THE PRICING OF THE REPLACEMENT CARGO SHALL BE DETERMINED AS PER THE FIVE DAY
AVERAGE PRICE AROUND THE FIRST DAY OF THE TWO DAY DELIVERY LAYCAN OF THE
REJECTED CARGO/ORIGINAL CARGO AT COLOMBO PLUS PREMIUM / DISCOUNT. THE
CALCULATION OF THE VALUE OF THE REPLACEMENT CARGO SHALL BE AS PER THE CLAUSE
2.12. UNDER THE HEADING OF “PRICE / INTEREST / PAYMENT” OF THIS TENDER
DOCUMENT.

G) IN THE EVENT, FAILURE BY THE SUCCESSFUL BIDDER/SUPPLIER TO PROVIDE A

REPLACEMENT CARGO, CEYPETCO RESERVES THE RIGHT TO TERMINATE THE CONTRACT
AND TO CALL ON THE PERFORMANCE SECURITY GUARANTEE.

H) FOR THE REPLACEMENT CARGO, THE SAME TERMS AND CONDITIONS OF THIS TENDER
SHALL BE APPLICABLE IN ALL ASPECTS INCLUDING QUALITY, DELIVERY AND RECOVERY OF
DAMAGES OR LOSSES FOR CEYPETCO.

I) IN THE EVENT THE CEYPETCO DECIDING, AT ITS SOLE DISCRETION, NOT TO REQUEST A
REPLACEMENT CARGO FOR PRODUCT, NO ANY RECOVERY OF DAMAGES OR LOSSES FOR
CEYPETCO FROM THE SUCCESSFUL BIDDER/SUPPLIER.

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REF: BK/74/2022
2.11. OUT-TURN LOSS

IN THE EVENT THAT THE OUT-TURN LOSS (OUT-TURN QUANTITY VS. B/L QUANTITY) IS IN EXCESS
OF 0.5% AND / OR THERE IS ANY FREE FLOWING PRODUCT LEFT ON BOARD AS REPORTED BY
INDEPENDENT INSPECTORS (GEO-CHEM / ITS CALEB BRETT / SBC ASIA-SAYBOLT/ SGS / BUREAU
VARITAS) AT DISCHARGE PORT, COLOMBO THE SUCCESSFUL SUPPLIER / BIDDER SHALL DEDUCT
THE EXCESS LOSS AND / OR FREE FLOWING PRODUCT LEFT ON BOARD FROM THE B/L QUANTITY
FOR INVOICE PURPOSES.
2.12. PRICE / PAYMENT / INTEREST

2.12.1 PAYMENT IN (30) DAYS AFTER THE B/L DATE - OPTION -1

DAP COLOMBO PRICE FOR GAS OIL (0.05% MAX SULPHUR) SHALL BE CALCULATED AS
FOLLOWS:

PRICE OFFERED FOR GAS OIL (0.05% MAX SULPHUR) IN USD PER BARREL ON DAP COLOMBO
BASIS (INCOTERMS 2010) SHALL BE THE AVERAGE OF THE MIDS OF FOB SINGAPORE PRICE OF
GAS OIL 500PPM PUBLISHED IN PLATTS MARKET SCAN UNDER THE HEADING “PLATTS
SINGAPORE MIDDLE DISTILLATES ASSESSMENTS”, ON THE FIRST DAY OF THE TWO DAY
DELIVERY LAYCAN, TWO DAYS IMMEDIATELY BEFORE AND TWO DAYS IMMEDIATELY
AFTER THE FIRST DAY OF THE TWO DAY DELIVERY LAYCAN (IF THERE IS NO PUBLICATION
ON THE FIRST DAY OF THE TWO DAY DELIVERY LAYCAN THEN TWO DAYS IMMEDIATELY
BEFORE AND TWO DAYS IMMEDIATELY AFTER THE FIRST DAY OF THE TWO DAY DELIVERY
LAYCAN ARE TO BE TAKEN INTO ACCOUNT) PLUS A FIXED PREMIUM/DISCOUNT FOR THE
30 DAY INTEREST FREE CREDIT PERIOD [ B/L DATE COUNT AS DAY ZERO (0)].

2.12.2 PAYMENT IN NINETY (90) DAYS AFTER THE B/L DATE – OPTION -2
DAP COLOMBO PRICE FOR GAS OIL (0.05% MAX SULPHUR) SHALL BE CALCULATED AS
FOLLOWS:
PRICE OFFERED FOR GAS OIL (0.05% MAX SULPHUR) IN USD PER BARREL ON DAP COLOMBO
BASIS (INCOTERMS 2010) SHALL BE THE AVERAGE OF THE MIDS OF FOB SINGAPORE PRICE OF
GAS OIL 500PPM PUBLISHED IN PLATTS MARKET SCAN UNDER THE HEADING “PLATTS
SINGAPORE MIDDLE DISTILLATES ASSESSMENTS”, ON THE FIRST DAY OF THE TWO DAY
DELIVERY LAYCAN, TWO DAYS IMMEDIATELY BEFORE AND TWO DAYS IMMEDIATELY AFTER
THE FIRST DAY OF THE TWO DAY DELIVERY LAYCAN (IF THERE IS NO PUBLICATION ON THE
FIRST DAY OF THE TWO DAY DELIVERY LAYCAN THEN TWO DAYS IMMEDIATELY BEFORE
AND TWO DAYS IMMEDIATELY AFTER THE FIRST DAY OF THE TWO DAY DELIVERY LAYCAN
ARE TO BE TAKEN INTO ACCOUNT) PLUS A FIXED PREMIUM/DISCOUNT FOR THE FIRST
THIRTY (30) DAYS INTEREST FREE CREDIT PERIOD PLUS INTEREST RATE FOR THE EXTENDED
CREDIT PERIOD AFTER THIRTY (30) DAYS TO NINETY (90) DAYS [B/L DATE COUNT AS DAY ZERO
(0)] BASED ON A MARGIN OVER THREE (3) MONTHS LIBOR (U.S. DOLLARS) AS PUBLISHED BY
THE FINANCIAL TIMES OR REUTERS.
LIBOR WILL BE THAT EXISTING ON THE FIRST DAY OF THE TWO DAY DELIVERY LAYCAN. IF THE
FIRST DAY OF THE TWO DAY DELIVERY LAYCAN IS A NON-BANKING DAY IN LONDON, THEN
THREE (3) MONTHS LIBOR (U.S. DOLLAR) QUOTE WILL BE THE FOLLOWING LONDON BANKING
DAY AFTER THE FIRST DAY OF THE TWO DAY DELIVERY LAYCAN. LC AMOUNT SHALL COVER THE
CARGO VALUE AND THE INTEREST AMOUNT FOR THE EXTENDED PAYMENT PERIOD.

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REF: BK/74/2022
2.12.3 PAYMENT IN HUNDRED AND EIGHTY (180) DAYS AFTER THE B/L DATE - OPTION -3

DAP COLOMBO PRICE FOR GAS OIL (0.05% MAX SULPHUR) SHALL BE CALCULATED AS
FOLLOWS:
PRICE OFFERED FOR GAS OIL (0.05% MAX SULPHUR) IN USD PER BARREL ON DAP COLOMBO
BASIS (INCOTERMS 2010) SHALL BE THE AVERAGE OF THE MIDS OF FOB SINGAPORE PRICE OF
GAS OIL 500PPM PUBLISHED IN PLATTS MARKET SCAN UNDER THE HEADING “PLATTS
SINGAPORE MIDDLE DISTILLATES ASSESSMENTS”, ON THE FIRST DAY OF THE TWO DAY
DELIVERY LAYCAN, TWO DAYS IMMEDIATELY BEFORE AND TWO DAYS IMMEDIATELY AFTER
THE FIRST DAY OF THE TWO DAY DELIVERY LAYCAN (IF THERE IS NO PUBLICATION ON THE
FIRST DAY OF THE TWO DAY DELIVERY LAYCAN THEN TWO DAYS IMMEDIATELY BEFORE
AND TWO DAYS IMMEDIATELY AFTER THE FIRST DAY OF THE TWO DAY DELIVERY LAYCAN
ARE TO BE TAKEN INTO ACCOUNT) PLUS A FIXED PREMIUM/DISCOUNT FOR THE FIRST
THIRTY (30) DAYS INTEREST FREE CREDIT PERIOD PLUS INTEREST RATE FOR THE EXTENDED
CREDIT PERIOD AFTER THIRTY (30) DAYS TO HUNDRED AND EIGHTY (180) DAYS [B/L DATE
COUNT AS DAY ZERO (0)] BASED ON A MARGIN OVER SIX (6) MONTHS LIBOR (U.S. DOLLARS) AS
PUBLISHED BY THE FINANCIAL TIMES OR REUTERS.
LIBOR WILL BE THAT EXISTING ON THE FIRST DAY OF THE TWO DAY DELIVERY LAYCAN. IF THE
FIRST DAY OF THE TWO DAY DELIVERY LAYCAN IS A NON-BANKING DAY IN LONDON, THEN SIX
(06) MONTHS LIBOR (U.S. DOLLAR) QUOTE WILL BE THE FOLLOWING LONDON BANKING DAY
AFTER THE FIRST DAY OF THE TWO DAY DELIVERY LAYCAN. LC AMOUNT SHALL COVER THE
CARGO VALUE AND THE INTEREST AMOUNT FOR THE EXTENDED PAYMENT PERIOD.

THE FOB BASIS, IF QUOTED BY THE BIDDERS, WILL BE USED FOR REFERENCE PURPOSE ONLY.

(A) PAYMENT WILL BE MADE THIRTY (30) DAYS UNDER (OPTION -1) OR NINETY (90) DAYS UNDER
(OPTION -2) OR HUNDRED AND EIGHTY (180) DAYS UNDER (OPTION -3) AFTER THE B/L DATE
[B/L DATE TO COUNT AS DAY ZERO (0)] BY AN IRREVOCABLE, NON-ASSIGNABLE, NON-
TRANSFERABLE & UNCONFIRMED DOCUMENTARY LETTER OF CREDIT (L/C) ESTABLISHED
THROUGH BANK OF CEYLON / PEOPLE’S BANK, COLOMBO. ALL BANK CHARGES OUTSIDE SRI
LANKA, IF ANY, WILL BE TO THE ACCOUNT OF THE SUCCESSFUL SUPPLIER/BIDDER.
CONFIRMATION CHARGES OF L/C SHALL BE TO THE BENEFICIARY’S ACCOUNT.

(B) IN THE EVENT THAT THERE ARE DIFFERENT B/L DATES FOR LOADING THE CARGO, PAYMENT
WILL BE MADE THIRTY (30) DAYS UNDER (OPTION -1) OR NINETY (90) DAYS UNDER (OPTION -
2) OR HUNDRED AND EIGHTY (180) DAYS UNDER (OPTION -3) AFTER EACH B/L DATE [B/L DATE
COUNT AS DAY ZERO (0)] BY AN IRREVOCABLE, NON-ASSIGNABLE AND NON-TRANSFERABLE
DOCUMENTARY LETTER OF CREDIT ESTABLISHED THROUGH BANK OF CEYLON / PEOPLE’S
BANK, COLOMBO.

(C) LETTER OF CREDIT (L/C) TO BE ESTABLISHED BY THE CEYPETCO THROUGH ITS BANKERS EITHER
BY BANK OF CEYLON OR PEOPLE’S BANK BASE ON THE TERMS AND CONDITIONS ACCEPTABLE
TO BOTH SUCCESSFUL SUPPLIER/BIDDER AND CEYPETCO, AT LEAST TWELVE (12) CALENDAR
DAYS PRIOR TO THE FIRST DAY OF THE TWO DAY DELIVERY LAYCAN AT COLOMBO.

THE SUCCESSFUL SUPPLIER/BIDDER SHALL BE RESPONSIBLE TO TRACE AND VERIFY THE RECEIPT
OF THE L/C THROUGH THEIR CORRESPONDING BANK. THE SUCCESSFUL SUPPLIER/BIDDER
SHALL BE RESPONSIBLE TO SEND ALL REQUIRED DETAILS INCLUDING PERFORMA INVOICE FOR
THE ESTABLISHMENT OF THE L/C BY CEYPETCO WITHIN THREE (03) BUSINESS DAYS AFTER THE
AWARD OF THE TENDER.

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REF: BK/74/2022
(D) IF THE PAYMENT DUE DATE FALLS ON A SATURDAY OR NON-MONDAY BANK HOLIDAY IN NEW
YORK, USA, PAYMENT SHALL BE EFFECTED ON THE LAST PRECEDING BANKING DAY IN NEW
YORK, USA. IF THE PAYMENT DUE DATE FALLS ON A SUNDAY OR MONDAY BANK HOLIDAY IN
NEW YORK, USA, PAYMENT SHALL BE EFFECTED ON THE FIRST FOLLOWING BANKING DAY IN
NEW YORK, USA CREDIT PERIOD UNDER SUB CLAUSES 2.12.1., 2.12.2. & 2.12.3. ABOVE FOR
THE PURPOSE OF INTEREST CALCULATION SHALL BE ADJUSTED AS PER PAYMENT DUE DATE
BEING AFFECTED UNDER THIS CONDITION.

(E) IN THE EVENT THAT CEYPETCO SHALL REMIT ANY MONIES DUE AND PAYABLE TO SUCCESSFUL
SELLER’S/ BIDDER’S BANK ACCOUNT ON A DATE AFTER THE DUE DATE SPECIFIED FOR
PAYMENT, THEN INTEREST SHALL BE CHARGED AT PREVAILING MONTHLY AVERAGE LIBOR (US
DOLLARS) AS PUBLISHED BY THE FINANCIAL TIMES OR REUTERS PLUS A PREMIUM OF TWO
PERCENT (2%) PER ANNUM, ON ALL AMOUNTS REMAINING OUTSTANDING FOR THE PERIOD
FROM THE DATE PAYMENT WAS DUE TO THE DATE OF SUCCESSFUL SELLER’S / BIDDER’S
RECEIPT OF PAYMENT.

(F) FINAL UNIT PRICE FOR EACH PRODUCT SHALL BE EXPRESSED TO THREE DECIMAL PLACES BY
ROUNDING UP THE THIRD DECIMAL PLACE IF THE FOURTH DECIMAL PLACE IS FIVE (5) OR
GREATER.

(G) L/C ESTABLISHED BY CEYPETCO WILL CALL FOR THE FOLLOWING ORIGINAL DOCUMENTS.

a. MANUALLY SIGNED ORIGINAL COMMERCIAL INVOICE BASED ON THE B/L QUANTITY IN

US BARRELS @ 60 0F (IN AIR).

b. FULL SET OF 3/3 ORIGINAL ‘CLEAN ON BOARD’ BILL OF LADING ISSUED OR ENDORSED
TO THE ORDER OF BANK OF CEYLON / PEOPLE’S BANK, COLOMBO AND NOTIFY ‘CEYLON
PETROLEUM CORPORATION’ AND SHOWING FREIGHT PAYABLE AS PER CHARTER
PARTY. EACH ORIGINAL B/L TO BE MANUALLY SIGNED BY THE MASTER OF THE VESSEL
OR OWNERS OR SIGNED ON BEHALF OF THE MASTER AS AGENTS.

c. CERTIFICATE OF QUALITY EX SHORE TANKS AT LOAD PORT ISSUED OR ENDORSED BY

THE INDEPENDENT INSPECTOR, CONFIRMING THAT THE PRODUCT SHIPPED CONFORM
TO THE CONTRACTUAL SPECIFICATIONS.

d. CERTIFICATE OF QUANTITY EX SHORE TANKS AT LOAD PORT ISSUED OR ENDORSED BY

THE INDEPENDENT INSPECTOR.

e. CERTIFICATE OF ORIGIN ISSUED BY SELLER OR TERMINAL OR ANY AUTHORITY OR LOCAL

BODY OR CHAMBER OF COMMERCE SUCH CERTIFICATE SHALL NOT BE ISSUED BY
COUNTRIES WHICH COMES UNDER SANCTION IMPOSED BY UNITED STATES / UNITED
NATIONS/ EUROPEAN UNION.

f. TANK CLEANLINESS & DRY CERTIFICATE ISSUED BY THE INDEPENDENT INSPECTOR,

CONFIRMING THAT THE SHIP’S TANKS ARE CLEAN AND DRY PRIOR TO LOADING.

g. CERTIFICATE OF QUALITY AT DISCHARGE PORT, COLOMBO ISSUED OR ENDORSED BY

THE INDEPENDENT INSPECTOR BASED ON THE REPORT OF TESTS CONDUCTED BY
CEYLON PETROLEUM STORAGE TERMINALS LIMITED, CONFIRMING THAT THE PRODUCT
SHIPPED CONFORM TO THE CONTRACTUAL SPECIFICATIONS.

h. CERTIFICATE OF SHIP ARRIVAL QUANTITY AND OUT-TURN QUANTITY AT DISCHARGE

PORT, COLOMBO ISSUED OR ENDORSED BY THE INDEPENDENT INSPECTOR.

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REF: BK/74/2022
 i. THE NEGOTIATION OF LETTER OF CREDIT (L/C) UPON PRESENTATION OF LETTER OF
INDEMNITY (LOI) IN LIEU OF ABOVE ORIGINAL SHIPPING DOCUMENTS IS PERMITTED
FOR THE SUCCESSFUL SUPPLIER / BIDDER SUBJECT TO;

i. PRESENTATION OF BENEFICIARY'S MANUALLY SIGNED ORIGINAL COMMERCIAL

INVOICE.

ii. PRESENTATION OF SHIP ARRIVAL QUANTITY REPORT ISSUED BY THE

INDEPENDENT INSPECTOR AT DISCHARGE PORT, COLOMBO.

iii. PRESENTATION OF TANK CLEANLINESS & DRY CERTIFICATE ISSUED BY THE

INDEPENDENT INSPECTOR, CONFIRMING THAT THE SHIP’S TANKS ARE CLEAN &
DRY PRIOR TO LOADING.

iv. PRESENTATION OF QUALITY CERTIFICATE ISSUED BY THE INDEPENDENT

INSPECTOR AT DISCHARGE PORT DONE BY CPSTL LABORATORY, COLOMBO.

v. PRESENTATION OF OUT-TURN QUANTITY REPORT ISSUED BY THE INDEPENDENT

INSPECTOR AT DISCHARGE PORT, COLOMBO.

vi. OBTAINING PRIOR APPROVAL OF CEYPETCO FOR SUCH LOI FORMAT.

2.12.4 VALIDITY OF THE L/C SHOULD BE UP TO MAXIMUM OF NINETY (90) DAYS FROM THE DATE OF
ESTABLISHMENT OF THE L/C IRRESPECTIVE OF THE PAYMENT OPTION SELECTED.

2.13. LOCAL AGENT & LOCAL AGENCY COMMISSION

OFFER SHOULD INDICATE THE LOCAL AGENT’S NAME, ADDRESS AND THE QUANTUM OF
COMMISSION PAYABLE TO LOCAL AGENT, WHICH SHOULD BE INCLUDED IN THE PRICE QUOTED.
THE LOCAL AGENT’S COMMISSION WILL BE DEDUCTED FROM THE TOTAL DAP COLOMBO VALUE
AND PAID IN SRI LANKA RUPEES.

2.14. TITLE AND RISK

TITLE AND RISK / PROPERTY OF THE PRODUCT SUPPLIED, UNDER THE TERMS OF THIS TENDER,
SHALL PASS ON TO CEYPETCO AT THE DISCHARGE PORT WHEN PRODUCT PASSES THE
SUCCESSFUL SUPPLIER’S / BIDDER’S VESSEL’S PERMANENT HOSE/DISCHARGING ARM
CONNECTION.

2.15. PERFORMANCE SECURITY GUARANTEE

A) THE SUCCESSFUL SUPPLIER / BIDDER INCLUDING RECOGNIZED GOVERNMENT OWNED

INSTITUTIONS / SUBSIDIARIES AND OIL MAJORS, ON BEING NOTIFIED BY THE CEYPETCO OF THE
ACCEPTANCE OF HIS OFFER, SHALL FURNISH AT HIS OWN EXPENSE A PERFORMANCE SECURITY
GUARANTEE AFTER THE DATE OF AWARD OF THE BID TO THE SUCCESSFUL TENDERER, WITHIN
SEVEN (7) WORKING DAYS BY A LICENCED COMMERCIAL BANK IN SRI LANKA IN FAVOR OF
CEYLON PETROLEUM CORPORATION AND PAYABLE TO THE CEYLON PETROLEUM CORPORATION
ON DEMAND TO THE VALUE OF UNITED STATES DOLLARS ONE MILLION (USD 1,000,000/=).

(B) THE PERFORMANCE SECURITY GUARANTEE SHOULD BE FURTHER VALID FOR THIRTY (30) DAYS
FROM THE SCHEDULED CONTRACT COMPLETION DATE.

13 of 35
REF: BK/74/2022
(C) THE SUCCESSFUL SUPPLIER / BIDDER SHOULD STRICTLY ADHERE TO THE FORMAT OF
PERFORMANCE SECURITY GUARANTEE WHICH IS ANNEXED HERETO AS ANNEX - ‘’D”.

(D) THE SUCCESSFUL SUPPLIER / BIDDER SHOULD ENSURE AND CLEARLY INDICATE IN ITS OFFER
THAT WILL BE PROVIDED A PERFORMANCE SECURITY GUARANTEE UPON THE AWARD.
FAILURE TO COMPLY WITH THIS REQUIREMENT SHALL BE CONSIDERED AS A MAJOR
DEVIATION RESULTING TO AWARD BEING CANCELLED, WHILE THE BID SECURITY GUARANTEE
BEING FORFEITED.

(E) IF THE SUCCESSFUL SUPPLIER/ BIDDER FAILS TO FURNISH THE PERFORMANCE SECURITY
GUARANTEE AS AFORESAID, THE SUCCESSFUL SUPPLIER’S NAME TO BE PLACED IN THE LIST OF
DEFAULTING SUPPLIERS. CEYPETCO SHALL THEREFORE, RESERVE THE RIGHT, IN ITS ABSOLUTE
DISCRETION TO MAKE SUITABLE ARRANGEMENTS REQUIRED TO PERFORM OF SUCH TENDER.

(F) THE SUCCESSFUL SUPPLIER/ BIDDER, IN THE EVENT OF HIS FAILURE TO FURNISH THE
PERFORMANCE SECURITY GUARANTEE AS REQUIRED UNDER THIS TENDER DOCUMENT, SHALL
BE LIABLE FOR ANY LOSSES, COSTS, EXPENSES AND DAMAGES, WHICH CEYPETCO MAY SUSTAIN
IN CONSEQUENCE OF SUCH FAILURE AND THE BID SECURITY GUARANTEE, SHALL BE FORFEITED.

(G) THE LETTER OF CREDIT (L/C) FOR THE SHIPMENT WILL BE OPENED ONLY AFTER THE RECEIPT OF
PERFORMANCE SECURITY GUARANTEE. THE PERFORMANCE SECURITY GUARANTEE SHALL BE IN
FAVOUR OF CEYLON PETROLEUM CORPORATION.

2.16. CLAIMS, DISPUTES AND RECOVERY OF DAMAGES OR LOSSES FOR CEYPETCO BY LATE DELIVERY
AND DELIVERY OF LESSER QUANTITY THAN AGREED

(A) ANY CLAIM WHATSOEVER ARISING BETWEEN THE SUCCESSFUL SUPPLIER/ BIDDER AND
CEYPETCO TO THIS CONTRACT, UNDER THE TERMS OF THIS CONTRACT SHALL BE LODGED IN
WRITING WITHIN SIXTY (60) DAYS OF RECEIPT OF PRODUCT BY CEYPETCO OR IN THE CASE THE
CARGO IS NOT DELIVERED TO CEYPETCO WITHIN SIXTY (60) DAYS OF THE LAST DATE OF TWO
DAY DELIVERY LAYCAN AS NOTIFIED BY CEYPETCO. OTHERWISE ANY SUCH CLAIM SHALL BE
DEEMED TO HAVE BEEN WAIVED.

(B) EVERY ENDEAVOUR SHALL BE MADE TO SETTLE ANY DIFFERENCE OR DISPUTE BETWEEN
CEYPETCO AND THE SUCCESSFUL SUPPLIER/ BIDDER ARISING FROM ANY TRANSACTION BY
MUTUAL NEGOTIATIONS, FAILING WHICH SUCH DIFFERENCES OR DISPUTES SHALL BE SETTLED
BY ARBITRATION.

(C) THE VENUE OF ARBITRATION SHALL BE COLOMBO, SRI LANKA.

(D) THE ARBITRATION SHALL FOLLOW UNITED NATIONS COMMISSION ON INTERNATIONAL TRADE
LAW (UNCITRAL) PROCEDURES.

(E) THIS TENDER SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF
SRI LANKA EXCLUDING ANY CONFLICT OF LAWS AND RULES.

(F) THE LANGUAGE OF ARBITRATION SHALL BE ENGLISH. THE ARBITRATION TRIBUNAL SHALL
CONSIST OF THREE ARBITRATORS, ONE TO BE APPOINTED BY THE SUCCESSFUL SUPPLIER/
BIDDER, ONE BY CEYPETCO AND THE TWO ARBITRATORS THUS APPOINTED SHALL CHOOSE THE
THIRD ARBITRATOR.

(G) ARBITRATION SHALL BE A CONDITION PRECEDENT TO THE INSTITUTION OF ANY LEGAL ACTION
BY EITHER PARTY AGAINST THE OTHER.

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REF: BK/74/2022
 (H) THE SUCCESSFUL SUPPLIER/ BIDDER IS FULLY RESPONSIBLE TO DELIVER THE CARGO WITHIN
THE AGREED UPON DELIVERY DATE /LAYCAN. FAILURE TO COMPLY WITH THE AGREED UPON
DELIVERY DATE /LAYCAN WILL MAKE THE SUCCESSFUL SUPPLIER/ BIDDER LIABLE FOR
LIQUIDATED DAMAGES OF ZERO POINT ONE PERCENT (0.1%) OF THE DAP VALUE PER DAY PRO-
RATA FOR EACH DAY OF DELAY AFTER 2400 HRS. OF THE LAST DAY OF THE DELIVERY LAYCAN
UNTIL VESSEL TENDER NOR AT DISCHARGE PORT AT COLOMBO. IF THE DELAY EXCEEDS SIX (6)
DAYS AFTER THE LAST DATE OF THE AGREED DELIVERY LAYCAN WITHOUT OBTAINING PRIOR
APPROVAL, CEYPETCO WILL RESERVE RIGHT TO TERMINATE THE CONTRACT.

(I) THE SUCCESSFUL SUPPLIER/ BIDDER IS FULLY RESPONSIBLE TO DELIVER THE AGREED QUANTITY
OF CARGO UNDER THE SHIPMENT. IN THE EVENT OF FAILURE TO DELIVER THE AGREED
QUANTITY BELOW PLUS/MINUS FIVE PERCENT (+/-5%) (CONTRACTUAL PER SHIPMENT
QUANTITY VS. B/L QUANTITY) AS PER IN ANNEX - ‘B’ THE SUCCESSFUL SUPPLIER/ BIDDER WILL
BE HELD LIABLE FOR THE PAYMENT OF DAMAGES OR LOSSES TO CEYPETCO AT THE RATE OF
USD 10,000 PER EACH 1,000 MT OF SHORT LOADED QUANTITY OR PART THERE OF ON PRO-
RATA BASIS.

(J) IF THE BIDDER FAILS TO DELIVER FULL SHIPMENT UNLESS AGREED FOR AN ALTERNATIVE,
CEYPETCO WILL RESERVE THE RIGHT TO FORFEIT THE PERFORMANCE SECURITY GUARANTEE.

2.17. AWARD OF THE TENDER

2.17.1 CEYPETCO RESERVES TO ITSELF THE RIGHT TO CANCEL THE TENDER OR TO REJECT ANY PART
OF THE TENDER OR REJECT THE TENDER WITHOUT ASSIGNING ANY REASON WHATSOEVER. IN
SUCH AN EVENT CEYPETCO SHALL NOT BE LIABLE TO ANY COMPENSATION OR DAMAGES
ARISING THEREFROM.

2.17.2 SSCAPC RESERVES THE RIGHT TO DETERMINE THE SELECTION OF THE PAYMENT OPTION(S) [I.E.
OPTION – 1 [PAYMENT IN THIRTY (30) DAYS], OPTION – 2 [PAYMENT IN NINETY (90) DAYS] AND
OPTION – 3 [PAYMENT IN HUNDRED AND EIGHTY (180) DAYS]] BY TAKING INTO
CONSIDERATION OF THE DOMESTIC COST FACTORS AS PER THE ANNEX – ‘F’.

2.17.3 IF DEEMED NECESSARY, SSCAPC RESERVES THE RIGHT TO CONDUCT DUE DILIGENCE ON ANY
SELECTED BIDDER.

2.17.4 WHERE THE TENDER IS AWARDED SUCH AWARD SHALL BE IN ACCORDANCE WITH THESE
TERMS AND CONDITIONS NOTWITHSTANDING ANY VARIATION IN THE OFFER THEREFROM
UNLESS EXPRESSLY AND SPECIFICALLY PROVIDED FOR OTHERWISE IN THE COMMUNICATION
OF THE AWARD.

2.17.5 THE SUCCESSFUL SUPPLIER / BIDDER, ON THE RECEIPT OF THE AWARD, SHALL FORTHWITH
ACKNOWLEDGE AND CONFIRM ACCEPTANCE OF SAME BY FAX / E-MAIL AND PROCEED TO
TAKE ALL STEPS THAT ARE NECESSARY TO ENSURE PERFORMANCE IN ACCORDANCE WITH
THE TERMS AND CONDITIONS OF THE TENDER.

2.18. LAYTIME FOR DISCHARGE AT COLOMBO

2.18.1 LAYTIME FOR DISCHARGE AT DOLPHIN TANKER BERTH, COLOMBO

LAYTIME FOR THE DISCHARGE OF TOTAL CARGO OF OF 280,000 BBLS -5%/+10% OF GAS OIL (0.05%
MAX SULPHUR) AT DOLPHIN TANKER BERTH, COLOMBO SHALL BE 96 HRS. AND THE
COMMENCEMENT OF LAYTIME SHALL BE DETERMINED IN THE FOLLOWING MANNER.
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REF: BK/74/2022
 (A) NOR SHOULD BE TENDERED BETWEEN 0700 AND 1700 HRS OF THE TWO DAY DELIVERY
LAYCAN. IF NOR IS TENDERED AFTER 1700 HRS, FOR ALL PURPOSES IT WILL BE CONSIDERED
THAT NOR HAS BEEN TENDERED AT 0700 HRS ON THE FOLLOWING DAY AND LAYTIME SHALL
COMMENCE 06 HRS THEREAFTER OR AT THE TIME OF BERTHING, WHICHEVER IS EARLIER.

(B) IF NOR IS TENDERED BEFORE THE COMMENCEMENT OF THE TWO DAY DELIVERY LAYCAN, IT
WILL BE CONSIDERED THAT NOR HAS BEEN TENDERED AT 0700 HRS ON THE FIRST DAY OF THE
TWO DAY DELIVERY LAYCAN. LAYTIME SHALL IN SUCH CASE COMMENCE 06 HRS THEREAFTER
OR AT THE TIME OF BERTHING, WHICHEVER IS EARLIER.

(C) IF THE VESSEL IS BERTHED PRIOR TO THE TWO DAY DELIVERY LAYCAN, AT THE REQUEST OF
THE SELLER LAYTIME SHALL COMMENCE AT 0700 HRS ON THE FIRST DAY OF THE DELIVERY
LAYCAN.

(D) IF NOR IS TENDERED AFTER 1700 HRS OF THE SECOND DAY OF THE TWO DAY DELIVERY LAYCAN
AGREED UPON, FOR ALL PURPOSES IT WILL BE CONSIDERED THAT NOR HAS BEEN TENDERED
AT 0700 HRS ON THE FOLLOWING DAY AND LAYTIME SHALL COMMENCE SIX (6) HRS
THEREAFTER OR AT THE TIME OF MOORING, WHICHEVER IS EARLIER.

(E) IF NOR IS TENDERED AFTER THE SECOND DAY OF THE TWO DAY DELIVERY LAYCAN AGREED
UPON, LAYTIME SHALL COMMENCE AT THE TIME OF BERTHING SUBJECT TO THE CONDITION
THAT THE LAYTIME SHALL CEASED TO COUNT IF THE VESSEL SHALL BE UN-BERTHED TO ALLOW
BERTHING OF OTHER VESSELS ARRIVING ON AGREED DELIVERY LAYCAN OR BERTHING OF
OTHER VESSELS ON PRODUCT AVAILABILITY BASIS OF THE COUNTRY. UNDER THESE
CIRCUMSTANCES, THE ACTUAL TIME UTILIZED BY THE VESSEL AT THE BERTH SHALL ONLY BE
CONSIDERED AS USED LAYTIME.

2.18.2 LAYTIME FOR DISCHARGE AT SPM MUTHURAJAWELA, COLOMBO

LAYTIME FOR THE DISCHARGE OF TOTAL CARGO OF OF 280,000 BBLS -5%/+10% OF GAS OIL (0.05%
MAX SULPHUR) AT SPM MUTHURAJAWELA, COLOMBO SHALL BE 96 HRS. AND THE
COMMENCEMENT OF LAYTIME SHALL BE DETERMINED IN THE FOLLOWING MANNER.

(A) NOR SHOULD BE TENDERED BETWEEN 0600 AND 1500 HRS OF THE TWO DAY DELIVERY
LAYCAN. IF NOR IS TENDERED AFTER 1500 HRS, FOR ALL PURPOSES IT WILL BE CONSIDERED
THAT NOR HAS BEEN TENDERED AT 0600 HRS ON THE FOLLOWING DAY AND LAYTIME SHALL
COMMENCE 06 HRS THEREAFTER OR AT THE TIME OF MOORING, WHICHEVER IS EARLIER.

(B) IF NOR IS TENDERED BEFORE THE COMMENCEMENT OF THE TWO DAY DELIVERY LAYCAN, IT
WILL BE CONSIDERED THAT NOR HAS BEEN TENDERED AT 0600 HRS ON THE FIRST DAY OF THE
TWO DAY DELIVERY LAYCAN. LAYTIME SHALL IN SUCH CASE COMMENCE 06 HRS THEREAFTER
OR AT THE TIME OF MOORING, WHICHEVER IS EARLIER.

(C) IF THE VESSEL IS MOORED PRIOR TO THE TWO DAY DELIVERY LAYCAN, AT THE REQUEST OF
THE SELLER THE LAYTIME SHALL COMMENCE AT 0600 HRS ON THE FIRST DAY OF THE DELIVERY
LAYCAN.

(D) IF NOR IS TENDERED AFTER 1500 HRS OF THE SECOND DAY OF THE TWO DAY DELIVERY LAYCAN
AGREED UPON, FOR ALL PURPOSES IT WILL BE CONSIDERED THAT NOR HAS BEEN TENDERED
AT 0600 HRS ON THE FOLLOWING DAY AND LAYTIME SHALL COMMENCE SIX (6) HRS
THEREAFTER OR AT THE TIME OF MOORING, WHICHEVER IS EARLIER.
16 of 35
REF: BK/74/2022
 (E) IF NOR IS TENDERED AFTER THE SECOND DAY OF THE TWO DAY DELIVERY LAYCAN AGREED
UPON, LAYTIME SHALL COMMENCE AT THE TIME OF BERTHING SUBJECT TO THE CONDITION
THAT THE LAYTIME SHALL CEASED TO COUNT IF THE VESSEL SHALL BE UN-BERTHED TO ALLOW
BERTHING OF OTHER VESSELS ARRIVING ON AGREED DELIVERY LAYCAN OR BERTHING OF
OTHER VESSELS ON PRODUCT AVAILABILITY BASIS OF THE COUNTRY. UNDER THESE
CIRCUMSTANCES, THE ACTUAL TIME UTILISED BY THE VESSEL AT THE BERTH SHALL ONLY BE
CONSIDERED AS USED LAYTIME.

(F) BERTHING OF TANKERS AT SPM MUHTURAJAWELA, COLOMBO IS GOVERNED BY THE BUILDERS

(SBM-IMODCO) RECOMMENDATIONS ESPECIALLY WITH REGARD TO THE SAFETY LIMITS OF
WEATHER/SEA CONDITIONS. ANY DELAY IN MOORING DUE TO WEATHER AND/OR SEA
CONDITIONS TO BE COUNTED AS HALF LAYTIME (CONOCO WEATHER CLAUSE).

2.18.3 LAYTIME FOR DUAL BERTH DISCHARGE AT DOLPHIN TANKER BERTH, COLOMBO AND SPM
MUTHURAJAWELA, COLOMBO

LAYTIME FOR THE DUAL BERTH DISCHARGE OF TOTAL CARGO OF OF 280,000 BBLS -5%/+10% OF
GAS OIL (0.05% MAX SULPHUR) AT DOLPHIN TANKER BERTH, COLOMBO OR SPM
MUTHURAJAWELA, COLOMBO SHALL BE 96 HRS. AND THE COMMENCEMENT OF LAYTIME SHALL
BE DETERMINED IN THE FOLLOWING MANNER.

(A) IF THE FIRST BERTH IS DOLPHIN TANKER BERTH, LAYTIME STARTS AS PER CLAUSE 2.18.1 GIVEN
ABOVE AND IF THE FIRST BERTH IS SPM MUTHURAJAWELA, LAYTIME STARTS AS PER CLAUSE
2.18.2 GIVEN ABOVE.

(B) SAILING TIME EITHER FROM SPM MUTHURAJAWELA TO DOLPHIN TANKER BERTH OR VICE
VERSA SHALL NOT BE COUNTED AS USED LAYTIME.

(C) BERTHING OF TANKERS AT SPM MUHTURAJAWELA, COLOMBO IS GOVERNED BY THE BUILDERS

(SBM-IMODCO) RECOMMENDATIONS ESPECIALLY WITH REGARD TO THE SAFETY LIMITS OF
WEATHER/SEA CONDITIONS. ANY DELAY IN MOORING DUE TO WEATHER AND/OR SEA
CONDITIONS TO BE COUNTED AS HALF LAYTIME (CONOCO WEATHER CLAUSE).

2.19. NOTICE OF ARRIVAL AT COLOMBO

MASTER OF VESSEL SHOULD ADVISE ESTIMATED TIME OF ARRIVAL (ETA) AT COLOMBO 3/2/1
DAYS and 12 HOURS IN ADVANCE TO THE COMMERCIAL MANAGER, CEYLON PETROLEUM
CORPORATION TEL NOS. +94-11-5664649 FAX NOS. +94-11-5455406/5455400 E-MAIL:
cm@ceypetco.gov.lk, commercial@ceypetco.gov.lk, THE MANAGER (SHIPPING), CEYLON
PETROLEUM CORPORATION TEL NO. +94-11-5455300 FAX NO. +94-11-5455407 E-MAIL:
shipping@ceypetco.gov.lk, THE ACTNG. MANAGER (OPERATIONS), CEYLON PETROLEUM
CORPORATION FAX NO. +94-11-5455432 E-MAIL: menakaj@ceypetco.gov.lk, THE MANAGER
(OPERATIONS) AT OIL FACILITIES OFFICE, CPSTL, COLOMBO TEL NO. +94-11-2422388 / FAX +94-
11-2434273, THE OPERATIONS MANAGER (BULK MOVEMENTS AND BULK PRODUCTS), CPSTL,
COLOMBO TEL/FAX NO. +94-11-2572324 AND THE MANAGER (OPERATIONS),
MUTHURAJAWELA TEL NO. +94-11-5769519 FAX NO. +94-11-5353352 VIA VESSEL AGENT AT
COLOMBO.

17 of 35
REF: BK/74/2022
2.20. VESSEL REQUIREMENTS

2.20.1 REQUIREMENTS OF TANKERS FOR DISCHARGING OF PRODUCT VIA DOLPHIN TANKER BERTH,
COLOMBO

VESSEL NOMINATED
1. SHOULD MEET FOLLOWING COLOMBO PORT RESTRICTION:
TYPE OF HULL - DOUBLE HULL
SDWT - 60,000 MT MAX.
LOA - 210 METERS MAX.
BEAM - 32.2 METERS MAX.
DRAFT - 11.8 METERS MAX.
DISTANCE FROM SEA LEVEL TO CENTRE MANIFOLD - 14 METERS MAX.
MANIFOLD SIZE - 6” DIAMETER
MANIFOLD TYPE - ANSI 150 CLASS
ARRIVAL MANIFOLD HEIGHT FROM SEA LEVEL - 11.5 METERS MAX.

2. SHALL NOT EXCEED 20 YEARS OF AGE. UNDER NO CIRCUMSTANCES VESSELS OVER 20 YEARS OF
AGE WILL BE ACCEPTED. ACCEPTABLE CAP RATING OF THE VESSEL IS 0 OR 1 FOR HULL AND
MACHINERY.

3. SHOULD BE A CLEAN TANKER WHICH HAS CARRIED CLEAN PETROLEUM PRODUCTS ON THE LAST
THREE VOYAGES. (OBO CARRIERS ARE NOT ACCEPTABLE).

4 SHOULD BE CAPABLE OF DISCHARGING A CARGO OF GAS OIL (0.05% MAX SULPHUR)

SIMULTANEOUSLY THROUGH TWO ADJOINING MANIFOLDS AT A MINIMUM DISCHARGING RATE
OF 270 M3 PER HOUR AND 400 M3 PER HOUR THROUGH TWO LINES OF 10 INCH AND 12 INCH
DIAMETER RESPECTIVELY WHILE MAINTAINING PRESSURE AT VESSEL’S MANIFOLDS FROM 10.0
KG/CM2 TO 12.5 KG/CM2 RESPECTIVELY. TWO NUMBERS MANIFOLD CONNECTIONS WILL BE
PROVIDED FOR THE DISCHARGE OF PRODUCTS SIMULTANEOUSLY THROUGH TWO NUMBERS 6
INCH LOADING / DISCHARGING ARMS.

5. SHOULD BE CAPABLE OF FLUSHING THE 10 INCH OR 12 INCH, 7,000 METER LENGTH, DISCHARGE
LINE WITH MINIMUM OF 5.0 KG/CM² PRESSURE AT MANIFOLD, WITH SEA WATER ABOUT FOUR
HOURS EACH BEFORE COMMENCEMENT AND AFTER COMPLETION OF DISCHARGE OF PRODUCT.

6. SHOULD BE EQUIPPED WITH DOUBLE VALVE SEGREGATION WHICH WILL HAVE TO BE CONFIRMED
BY THE INDEPENDENT INSPECTORS.

7. AVAILABILITY OF CONTINUOUS PRESSURE MONITORING AND RECORDING / REPORTING FACILITIES

SHALL BE PREFERRED.

8. SHOULD HAVE ALL VALID CERTIFICATES REQUIRED UNDER THE INTERNATIONAL AND NATIONAL
RULES AND REGULATIONS APPLICABLE AND SHOULD BE ISM CODE CERTIFIED OR WHOSE OWNERS
OR OPERATORS SHOULD HOLD AN ISM CODE DOCUMENT OF COMPLIANCE.

18 of 35
REF: BK/74/2022
9. SHOULD HAVE CARGO TANKS/ PIPE LINES/ PUMPS/ STRAINERS CLEAN AND DRY PRIOR TO
COMMENCEMENT OF LOADING.

10. A DOCUMENT FROM VESSEL OWNERS CONFIRMING THAT THE VESSEL COMPLIES WITH ALL THE
ABOVE REQUIREMENTS FROM SUB CLAUSE 1 TO SUB CLAUSE 9 AND THE LATEST UPDATED
QUESTIONNAIRE 88 SHOULD BE FURNISHED AT THE TIME OF VESSEL NOMINATION.

11. IN THE EVENT OF A DELAY IN DISCHARGING THE CARGO AT COLOMBO DUE TO VESSEL’S NON-
COMPLIANCE WITH THE ABOVE REQUIREMENTS FROM SUB CLAUSE 1 TO SUB CLAUSE 10 THE
SUCCESSFUL SUPPLIER / BIDDER WILL BE HELD LIABLE FOR PAYMENT OF MAXIMUM OF USD
60,000.00 TO CEYPETCO.

12. ACCOMMODATION/MEALS

(A) FOLLOWING PERSONNEL WOULD STAY ON BOARD THROUGHOUT THE PERIOD OF

TANKER MADE FAST AT DOLPHIN TANKER BERTH.

(a) TWO LOADING MASTERS

(b) ONE SAMPLE COLLECTOR (CREW)
(c) ONE INDEPENDENT INSPECTOR (JUNIOR OFFICER)
(d) ONE INTERNAL AUDITOR FROM CPSTL

(B) PROPER ACCOMMODATION ON OFFICERS’ DECK SHOULD BE ARRANGED FOR LOADING

MASTERS, INDEPENDENT INSPECTORS AND INTERNAL AUDITOR FROM CPSTL.

(C) MEALS FOR LOADING MASTERS, INDEPENDENT INSPECTORS AND INTERNAL AUDITOR
FROM CPSTL SHOULD BE SERVED IN OFFICERS’ DINING SALOON.

13. THERE SHALL BE NO INSPECTION / SURVEY ON BOARD WHILE DISCHARGING.

14. AFTER ACCEPTANCE OF THE NOMINATED VESSEL BY CEYPETCO, A CERTIFIED COPY OF THE
APPLICABLE CHARTER PARTY OR A CERTIFIED COPY OF THE SIGNED FIXTURE NOTE / FIXTURE RECAP
INCLUDING THE RATE OF DEMURRAGE SHALL BE SUBMITTED BY THE SUCCESSFUL SUPPLIER/
BIDDER.

2.20.2 REQUIREMENTS OF TANKERS FOR DISCHARGING OF PRODUCT VIA SPM MUTHURAJAWELA,

COLOMBO

VESSEL NOMINATED
1. SHOULD MEET FOLLOWING RESTRICTIONS AT SPMMUTHURAJAWELA, COLOMBO (DUAL PATH
BUOY)

TYPE OF HULL - DOUBLE HULL

SDWT - 60,000 MT MAX
LOA - 228 METERS MAX.
BEAM (MOULDED) - 34.9 METERS MAX.
DEPTH (MOULDED) - 18.2 METERS MAX.

19 of 35
REF: BK/74/2022
 DRAFT 100% LOADED - 12.5 METERS MAX.
DRAFT 20% LOADED - 4.6 METERS MIN.
MANIFOLD SIZE/TYPE - 12” DIAMETER/ANSI 150 CLASS

2. SHALL NOT EXCEED 20 YEARS OF AGE. UNDER NO CIRCUMSTANCES VESSELS OVER 20 YEARS OF
AGE WILL BE ACCEPTED. ACCEPTABLE CAP RATING OF THE VESSEL IS 0 OR 1 FOR HULL AND
MACHINERY.

3. SHOULD BE A CLEAN TANKER, WHICH HAS CARRIED CLEAN PETROLEUM PRODUCTS ON THE LAST
THREE VOYAGES (OBO CARRIERS ARE NOT ACCEPTABLE).

4. SHOULD BE CAPABLE OF DISCHARGING GAS OIL (0.05% MAX SULPHUR) THROUGH 12 INCH PORT
MANIFOLD AT A MINIMUM DISCHARGE RATE OF 1,200 M³ PER HOUR THROUGH 12 INCH
FLOATING HOSE, WHILE MAINTAINING PRESSURE AT VESSEL’S MANIFOLDS FROM 5.0 KG/CM².

4. SHOULD BE CAPABLE OF FLUSHING THE 18 INCH, 7,000 METER LENGTH, DISCHARGE LINE WITH
MINIMUM OF 5.0 KG/CM² PRESSURE AT MANIFOLD, WITH SEA WATER ABOUT FOUR HOURS EACH
BEFORE COMMENCEMENT AND AFTER COMPLETION OF DISCHARGE OF PRODUCT.

5. SHOULD BE EQUIPPED WITH DOUBLE VALVE SEGREGATION WHICH WILL HAVE TO BE CONFIRMED
BY THE INDEPENDENT INSPECTORS.

7. AVAILABILITY OF CONTINUOUS PRESSURE MONITORING AND RECORDING / REPORTING FACILITIES

SHALL BE PREFERRED.

8. THE VESSEL SHOULD HAVE ALL VALID CERTIFICATES REQUIRED UNDER THE INTERNATIONAL AND
NATIONAL RULES AND REGULATIONS APPLICABLE AND SHOULD BE ISM CODE CERTIFIED OR
WHOSE OWNERS OR OPERATORS SHOULD HOLD AN ISM CODE DOCUMENT OF COMPLIANCE.

9. SHOULD HAVE CARGO TANKS/ PIPE LINES/ PUMPS/ STRAINERS CLEAN AND DRY PRIOR TO
COMMENCEMENT OF LOADING.

10. A DOCUMENT FROM VESSEL OWNERS CONFIRMING THAT THE VESSEL COMPLIES WITH ALL THE
ABOVE REQUIREMENTS FROM SUB CLAUSE 1 TO SUB CLAUSE 9 AND THE LATEST UPDATED
QUESTIONNAIRE 88 SHOULD BE FURNISHED AT THE TIME OF VESSEL NOMINATION.

11. IN THE EVENT OF A DELAY IN DISCHARGING THE CARGO AT COLOMBO DUE TO VESSEL’S NON-
COMPLIANCE WITH THE ABOVE REQUIREMENTS FROM SUB CLAUSE 1 TO SUB CLAUSE 10 THE
SUCCESSFUL SUPPLIER / BIDDER WILL BE HELD LIABLE FOR PAYMENT OF MAXIMUM OF USD
60,000.00 TO CEYPETCO.

12. VESSEL MOORING EQUIPMENTS AND MANIFOLDS SHOULD CONFORM TO OCIMF STANDARDS.

13. MANIFOLD
MANIFOLD LOCATION - MIDSHIP (PORT SIDE)
MANIFOLD CONNECTION - ONE 12 INCH STUDDED CAMLOCK FLANGE ANSI CLASS 150

20 of 35
REF: BK/74/2022
14. DETAILS OF DERRICK AT MANIFOLD LOCATION
DERRICK SHOULD HAVE MINIMUM SAFE WORKING LOAD OF 10 MT AND SHOULD BE IN
GOOD OPERATIONAL CONDITION.

15. MOORING EQUIPMENT, MOORING AND TOWING ARRANGEMENT

A) TANKER SHOULD BE FITTED WITH A CENTRAL BOW STOPPER (CHAIN STOPPER) OF 100
TONNES SWL FOR OCIMF CHAFE CHAIN “B”
B) TANKER SHOULD BE FITTED WITH A CENTRAL BOW FAIR LEAD (BULL RING) MEASURING AT
LEAST 600 MM X 450 MM
C) POSITION OF PEDESTAL ROLLER FAIRLEAD/WINCH DRUM

(a) SHOULD BE A CONTINUATION OF THE DIRECT LEAD LINE BETWEEN THE BOW
FAIRLEAD (BULL RING) AND BOW CHAIN STOPPER.

(b) SHOULD BE NOT LESS THAN 4.5 METRES DIRECTLY BEHIND THE BOW CHAIN STOPPER.

(c) SHOULD BE AT SUCH A HEIGHT THAT FAIRLEAD ROLLERS WILL ENABLE AN

UNRESTRICTED LINE PULL TO BE ACHIEVED.

D) PEDESTAL FAIRLEAD SHOULD BE FITTED FOR LEAD TO WINCH/WINDLASS.

E) SHOULD HAVE A MESSENGER LINE OF CIRCUMFERENCE 4 INCH/5 INCH X 500 FT. LONG, ONE
END CONNECTED TO AN EMPTY MOORING ROPE WINCH DRUM.

F) TANKER SHOULD HAVE A “PANAMA” LEAD RIGHT AFT ON ITS CENTRE LINE.

G) A GOOD TOW ROPE (POLYPROPYLENE) OF 10” CIRCM OR ABOVE IN SIZE AND LENGTH (APPROX.
650 FT.) TO BE KEPT READY AT THE STERN. IF NECESSARY, TWO ROPE COILS MAY BE JOINED TO
OBTAIN LENGTH OF 650 FT.

H) MOORING MASTERS SHOULD HAVE FREE ACCESS TO NAVIGATIONAL CHARTS AND

EQUIPMENTS REQUIRED FOR MOORING OPERATION.

I) WHEEL HOUSE TO BE KEPT OPEN THROUGHOUT THE PERIOD THE TANKER MADE FAST TO THE
BUOY.

J) A FORE-CASTLE WATCHMAN TO BE MADE AVAILABLE BY THE TANKER THROUGHOUT THE

PERIOD THE TANKER MADE FAST TO THE BUOY.

K) ALL TOOLS REQUIRED FOR CONNECTION/DISCONNECTION OF CARGO HOSE TO BE SUPPLIED BY

THE TANKER.

L) CONNECTION/DISCONNECTION OF HOSE IS THE RESPONSIBILITY OF SHIP’S STAFF UNDER THE

SUPERVISION OF A SHIP’S OFFICER ON THE INSTRUCTIONS OF CEYPETCO OFFICIALS ON BOARD
THE TANKER.

L) TANKER’S MAIN ENGINE SHOULD BE KEPT READY THROUGHOUT THE PERIOD OF STAY AT THE
BUOY FOR MANEUVERING PROMPTLY ON NOTICE.

21 of 35
REF: BK/74/2022
16.INERT GAS SYSTEM

TANKER SHOULD HAVE AN OPERATIONAL INERT GAS PLANT CAPABLE OF MAINTAINING TANK
ATMOSPHERE OF LESS THAN 8 PCT. OXYGEN CONTENT AND POSITIVE PRESSURE IN CARGO TANKS
WITHIN SAFE LIMITS AT ALL STAGES OF DISCHARGE.

17.COMMUNICATION EQUIPMENT

TANKER SHOULD HAVE VHF CHANNEL 09,16,68,71 FACILITIES FOR COMMUNICATION WITH SHORE
FACILITY. TANKER’S CARGO CONTROL ROOM SHOULD HAVE FACILITY TO MAINTAIN A CONTINUOUS
WATCH ON VHF CHANNEL 71 FOR OPERATIONAL REQUIREMENTS.

18. ACCOMMODATION/MEALS

(A) FOLLOWING PERSONNEL WOULD STAY ON BOARD THROUGHOUT THE PERIOD OF

TANKER MADE FAST TO THE BUOY.

(a) TWO MOORING MASTERS (SENIOR MASTER MARINERS)

(b) ONE CARGO RECEIVER
(c) ONE LOADING MASTER
(d) ONE SAMPLE COLLECTOR (CREW)
(e) ONE INDEPENDENT INSPECTOR (JUNIOR OFFICER)
(f) ONE INTERNAL AUDITOR FROM CPSTL

(B) PROPER ACCOMMODATION ON OFFICERS’ DECK SHOULD BE ARRANGED FOR MOORING

MASTERS, LOADING MASTERS, INDEPENDENT INSPECTORS AND INTERNAL AUDITOR
FROM CPSTL.

(C) MEALS FOR MOORING MASTERS, LOADING MASTERS, INDEPENDENT INSPECTORS AND
INTERNAL AUDITOR FROM CPSTL SHOULD BE SERVED IN OFFICERS’ DINING SALOON.

19. A DOCUMENT FROM TANKER OWNERS CONFIRMING THAT THE TANKER COMPLIES WITH ALL THE
ABOVE REQUIREMENTS.

20. THERE SHALL BE NO INSPECTION/SURVEY ON BOARD WHILE DISCHARGING.

21. AFTER ACCEPTANCE OF THE NOMINATED VESSEL BY CEYPETCO, A CERTIFIED COPY OF THE
APPLICABLE CHARTER PARTY OR A CERTIFIED COPY OF THE SIGNED FIXTURE NOTE / FIXTURE
RECAPINCLUDING THE RATE OF DEMURRAGE SHALL BE SUBMITTED BY THE SUCCESSFUL
SUPPLIER/BIDDER.

2.21. LINE FLUSHING AT DOLPHIN TANKER BERTH, COLOMBO

THE VESSEL NOMINATED BY THE SELLER SHOULD BE CAPABLE OF FLUSHING THE 10 INCH OR 12
INCH, 7,000 METER LENGTH, DISCHARGE LINE WITH MINIMUM OF 5.0 KG/CM 2 PRESSURE AT
MANIFOLD, WITH SEA WATER ABOUT FOUR HOURS EACH BEFORE COMMENCEMENT AND
AFTER COMPLETION OF DISCHARGE OF PRODUCT ACCORDING TO THE FOLLOWING SEQUENCE,

(A) ON ARRIVAL BEFORE DISCHARGING, VESSEL SHALL FLUSH THE DISCHARGE LINE WITH SEA
WATER FOR FOUR HOURS.
22 of 35
REF: BK/74/2022
 (B) THEN COMMENCE DISCHARGING GAS OIL (0.05% MAX SULPHUR).

(C) ON COMPLETION OF DISCHARGING GAS OIL (0.05% MAX SULPHUR), DISCHARGE LINE WILL
BE ONCE AGAIN FLUSHED WITH SEA WATER FOR ABOUT FOUR (4) HOURS.

(D) SUCCESSFUL SUPPLIER/BIDDER SHALL MAKE SURE GIVING PROPER INSTRUCTIONS TO THE
MASTER OF THE PERFORMING VESSEL TO USE CARGO PUMPS FOR LINE FLUSHING
OPERATIONS WHILE AVOIDING STRIPPING PUMPS FOR LINE FLUSHING. ALL DELAYS DUE TO
LOW RATE OF LINE FLUSHING SHALL BE THE RESPONSIBILITY OF THE SUCCESSFUL
SUPPLIER/BIDDER.

2.22. LINE FLUSHING AT SPM MUTHURAJAWELA, COLOMBO

THE VESSEL NOMINATED BY THE SUCCESSFUL SUPPLIER/BIDDER SHOULD BE CAPABLE OF FLUSHING

THE 18 INCH, 7,000 METER LENGTH, DISCHARGE LINE WITH MINIMUM OF 5.0 KG/CM2 PRESSURE
AT MANIFOLD, WITH SEA WATER ABOUT FOUR (4) HOURS EACH BEFORE COMMENCEMENT AND
AFTER COMPLETION OF DISCHARGE OF PRODUCT ACCORDING TO THE FOLLOWING SEQUENCE,

(A) ON ARRIVAL BEFORE DISCHARGING, VESSEL SHALL FLUSH THE DISCHARGE LINE WITH SEA
WATER FOR ABOUT FOUR HOURS.

(B) THEN COMMENCE DISCHARGING GAS OIL (0.05% MAX SULPHUR).

(C) ON COMPLETION OF DISCHARGING GAS OIL (0.05% MAX SULPHUR) DISCHARGE LINE WILL
BE ONCE AGAIN FLUSHED WITH SEA WATER FOR ABOUT FOUR HOURS.

(D) SUCCESSFUL SUPPLIER/BIDDER SHALL MAKE SURE GIVING PROPER INSTRUCTIONS TO THE
MASTER OF THE PERFORMING VESSEL TO USE CARGO PUMPS FOR LINE FLUSHING
OPERATIONS WHILE AVOIDING STRIPPING PUMPS FOR LINE FLUSHING. ALL DELAYS DUE TO
LOW RATE OF LINE FLUSHING SHALL BE THE RESPONSIBILITY OF THE SUCCESSFUL
SUPPLIER/BIDDER.

2.23. DEMURRAGE

(A) ALL CLAIMS FOR DEMURRAGE SHALL BE ACCOMPANIED BY THE RESPECTIVE CHARTER PARTY
OR A CERTIFIED COPY OF THE SIGNED FIXTURE NOTE / FIXTURE RECAP. CEYPETCO SHALL NOT
BE BOUND BY THE TERMS AND CONDITIONS OF THE CHARTER PARTY OR A CERTIFIED COPY OF
THE SIGNED FIXTURE NOTE / FIXTURE RECAP EXCEPT TO THE EXTENT SUCH TERMS AND
CONDITIONS HAVE BEEN COMMUNICATED TO CEYPETCO AND EXPRESSLY AGREED TO BY
CEYPETCO IN WRITING.

(B) IN CASE OF VESSEL ARRIVING OUTSIDE LAYCAN AGREED UPON, LAYTIME TO START COUNTING
FROM THE TIME OF BERTHING AS PER SUB CLAUSE 2.18.1. (E), SUB CLAUSE 2.18.2. (E).

(C) IF THE TOTAL LAYTIME TO COMPLETE THE ENTIRE CARGO DISCHARGE EXCEEDS THE LAYTIME
ALLOWED AS PER CLAUSE 2.18, CEYPETCO WILL BE LIABLE TO PAY THE DEMURRAGE TO THE
SUCCESSFUL SUPPLIER / BIDDER.

(D) HOWEVER IN THE EVENT THE SUCCESSFUL SUPPLIER’S / BIDDER’S VESSEL ARRIVES LATE AND IS
BERTHED ON ARRIVAL WHICH AFFECTS BERTHING OF VESSEL OR VESSELS WHICH ARE ARRIVING
ON SCHEDULE, THEN THE SUCCESSFUL SUPPLIER’S / BIDDER’S VESSEL WILL BE UN-BERTHED
(WAITING TIME SHALL NOT BE COUNTED AS USED LAYTIME) TO ACCOMMODATE THE VESSEL
23 of 35
REF: BK/74/2022
 OR VESSELS ARRIVING ON SCHEDULE OR CONTINUE TO DISCHARGE THE CARGO OF SUCCESSFUL
SUPPLIER’S / BIDDER’S VESSEL PROVIDED THAT THE SUCCESSFUL SUPPLIER/ BIDDER SHALL
AGREE TO BEAR THE DEMURRAGES ON THE SUBSEQUENT THREE VESSELS THAT ARRIVE ON
SCHEDULE AND GETS DELAYED DUE TO THE PRESENCE OF SUCCESSFUL SUPPLIER/BIDDER
VESSEL ON BERTH. LIABILITY FOR DEMURRAGES ON SUBSEQUENT VESSELS MENTION HEREIN
ARE IN ADDITION TO THE RECOVERY OF DAMAGES OR LOSSES FOR CEYPETCO CHARGED UNDER
SUB CLAUSE 2.16. (CLAIMS, DISPUTES AND RECOVERY OF DAMAGES OR LOSSES FOR CEYPETCO
FOR LATE DELIVERY AND DELIVERY OF LESSER QUANTITY THAN AGREED).

MOREOVER, THE CEYPETCO RESERVES THE RIGHT TO BERTH THE VESSEL ONLY ON PIER
AVAILABILITY BASIS AND BASED ON THE REQUIREMENT FOR THE PRODUCTS IN THE COUNTRY.
FURTHERMORE, CEYPETCO SHALL NOT BE RESPONSIBLE FOR ANY DEMURRAGES INCURRED BY
THE SUPPLIER’S VESSEL ARRIVING OUTSIDE THE CONTRACTUAL LAYCAN. CEYPETCO WILL TAKE
EVERY ENDEAVOUR TO MINIMIZE THE OVERALL COMMERCIAL LOSS TO ALL PARTIES.

IN THE EVENT THE SUCCESSFUL BIDDER DOES NOT AGREE TO BEAR THE SUBSEQUENT
DEMURRAGES (IF INCURRED) AND IN THE EVENT IF THE SUBJECT VESSEL COULD NOT COMPLETE
THE DISCHARGING BEFORE THE ARRIVAL OF SUBSEQUENT VESSEL/S, CEYPETCO RESERVES THE
RIGHT TO REMOVE THE SUBJECT VESSEL FROM THE BERTH IN ORDER TO ACCOMMODATE THE
SUBSEQUENT VESSEL/S OF OTHER SUPPLIERS. IN SUCH A CASE, THE SUBJECT VESSEL WILL BE
REBIRTHED ONLY AFTER THE COMPLETION OF THE DISCHARGING OF THE SUBSEQUENT
VESSEL/S AND/OR ON THE PIER AVAILABILITY BASIS.

IN ANY CIRCUMSTANCES, CEYPETCO REQUIRES TO UNLOAD THE PRODUCT ONBOARD THE

VESSEL AS PER THE PRODUCT REQUIREMENT TO ENSURE THE ENERGY SECURITY OF THE
COUNTRY, CEYPETCO COMPELS TO DISCHARGE THE MINIMUM REQUIREMENT OF THE CARGO
ONBOARD THE SUBJECT VESSEL AND ALL COST INVOLVEMENTS IN THIS EVENT SUCH AS
DEMURRAGES OF THE SUBSEQUENT THREE VESSELS, COMMERCIAL LOSSES (IF ANY) SHALL BE
BORNE BY THE SUCCESSFUL SUPPLIER.

IN ORDER TO MITIGATE ADVERSE IMPACT ON VESSELS ARRIVING LATER THAN THE STIPULATED
CONTRACTUAL DELIVERY LAYCAN, SUCCESSFUL SUPPLIER/BIDDER SHALL PROVIDE A MOORING
TUG AT HIS OWN COST WITH THE APPROVAL OF CEYPETCO WHILE PROVIDING A 24 HRS.
ADVANCE NOTICE TO CEYPETCO FOR PLANNING PURPOSE. HOWEVER, THE BERTHING AT SPM
MUTHURAJAWELA WILL BE FACILITATED GIVING PRIORITY FOR THE SUBSEQUENT VESSELS
ARRIVING ON SCHEDULE.

(E) DEMURRAGE RATE OF THE NOMINATED VESSEL SHALL BE DECLARED BY THE SUCCESSFUL
SUPPLIER / BIDDER AT THE TIME OF VESSEL NOMINATION FOR THE CARGO.

(F) AFTER ACCEPTANCE OF THE NOMINATED VESSEL BY CEYPETCO, A CERTIFIED COPY OF THE
APPLICABLE CHARTER PARTY OR A CERTIFIED COPY OF THE SIGNED FIXTURE NOTE / FIXTURE
RECAP INCLUDING THE RATE OF DEMURRAGE SHALL BE SUBMITTED BY THE SUCCESSFUL
SUPPLIER/ BIDDER TO THE CEYPETCO.

2.24. FORCE MAJEURE

THE SUCCESSFUL SUPPLIER / BIDDER OR THE CEYPETCO SHALL NOT BE LIABLE FOR ANY LOSS,
CLAIM OR DEMANDS OF ANY NATURE WHATSOEVER, OR BE DEEMED TO BE IN A BREACH OF
THIS AGREEMENT BECAUSE OF ANY DELAYS OR FAILURE IN OBSERVING OR PERFORMING ANY
OF THE CONDITIONS OR PROVISIONS HEREOF IF SUCH DELAY OR FAILURE WAS CAUSED BY OR
AROSE OUT OF ANY CIRCUMSTANCES WHATSOEVER BEYOND THE SUCCESSFUL SUPPLIER’S /
BIDDER’S OR CEYPETCO’S CONTROL INCLUDING (BUT WITHOUT LIMITING THE GENERALITY OF
THE FOREGOING) DECLARED OR UNDECLARED WAR, SABOTAGE, BLOCKADE, PIRACY OR
24 of 35
REF: BK/74/2022
 PIRATICAL SEIZURE OF VESSEL, REVOLUTION, POLICE ACTION, RIOT OR DISORDER, EMBARGO
OR TRADE RESTRICTION OF ANY SORT GOVERNMENT OR QUASI GOVERNMENT ACTION, ACT
OF GOD, FIRE, FLOOD, EARTHQUAKE, STORM, TIDE OR TIDAL WAVE, EXPLOSION, ACCIDENT,
RADIATION, STRIKE, LOCKOUT OR OTHER LABOUR DISPUTE.

2.25. OTHER REQUIREMENTS

THIS BID SHALL BE GOVERNED BY THE TERMS & CONDITIONS OF TRADE FOR TENDERERS
REGISTERED WITH THE COMMERCIAL FUNCTION OF CEYPETCO.

2.26. SUBMISSION OF BIDS

2.26.1. IT IS MANDATORY TO SUBMIT THE FOLLOWING DOCUMENTS ALONG WITH THE BID WHICH
SHALL BE PROPERLY SEALED/STAMPED AND INITIALED BY THE AUTHORIZED PERSON OR
PERSONS SIGNING THE BID IN EACH PAGE;

2.26.1.1. FORM OF BID (ANNEX – ‘E’) DULY COMPLETED AND SIGNED BY THE BIDDER

2.26.1.2. DULY FILLED ANNEX – ‘C-1’ FOR GAS OIL (0.05% MAX SULPHUR)

2.26.1.3. BID SECURITY GUARANTEE (ANNEX – ‘A’, SPECIMEN FORM ATTACHED)

2.26.1.4. A BOARD RESOLUTION AUTHORIZING THE PERSON WHO SIGNS THE BID OR A
DOCUMENTED DECISION OF THE PARTNERS IN A PARTNERSHIP AS THE CASE MAY BE.

2.26.1.5. A LETTER OF AUTHORIZATION ENABLING THE LOCAL AGENT TO SUBMIT THE BID IN
THE EVENT THE BIDS ARE SUBMITTED THROUGH THE LOCAL AGENTS.

2.26.2. BIDDER SHALL SUBMIT BID AS PER THE SPECIFIED “FORM OF BID” GIVEN IN ANNEX - ‘E’ OF
THIS TENDER DOCUMENT AND SHALL STATE THE COMPLIANCE TO THE TENDER TERMS &
CONDITIONS LISTED THEREIN. FURTHERMORE, BIDDER SHALL STATE THE COMPLIANCE TO THE
SPECIFICATIONS IN ANNEX – ‘C-1’ FOR GAS OIL (0.05% MAX SULPHUR).

2.26.3. A “DUPLICATE” OF THE BID, WHICH CONTAINS ONE SET OF COPIES OF ALL THE ORIGINAL
DOCUMENTS OF THE “ORIGINAL” BID SHALL ALSO BE SUBMITTED. THE “ORIGINAL” AND THE
“DUPLICATE” OF THE BIDS SHALL BE SEALED IN SEPARATE ENVELOPES, DULY MARKING THE
ENVELOPES AS “ORIGINAL” AND “DUPLICATE” AND SHALL BE MARKED REF: BK/74/2022 ON
EACH ENVELOPES. THE ENVELOPES SHALL THEN BE SEALED IN AN OUTER ENVELOPE AND
SHALL BE MARKED REF: BK/74/2022.

2.26.4. ANY FORM OF ALTERNATIVE BIDS ALONG WITH THE ORIGINAL BID SHALL NOT BE PERMITTED.
IN THE EVENT IF ALTERNATIVE BIDS HAVE BEEN SUBMITTED BY THE BIDDER, THE SECOND AND
SUBSEQUENT ALTERNATIVE BIDS SHALL BE REJECTED. IF THE BIDDER HAS SUBMITTED
ORIGINAL BID AND ALTERNATIVE BIDS USING THE SAME FORM OF BID AND BID SECURITY
GUARANTEE, SSCAPC RESERVES THE RIGHT TO REJECT ALL BIDS SUBMITTED BY THE BIDDER.

2.26.5. SUBMISSION OF BIDS BY FAX OR EMAIL IS NOT ENTERTAINED.

2.26.6. BIDDER SHALL SUBMIT A DETAILED BID COVERING AND CONFIRMING THAT BIDDER WILL
AGREE TO AND ABIDE BY THE ABOVE REQUIREMENTS/TERMS AND CONDITIONS OF TENDER.

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REF: BK/74/2022
2.26.7. THE ENVELOPE SEALED AS ABOVE AND ADDRESSED TO THE CHAIRMAN, SPECIAL STANDING
CABINET APPOINTED PROCUREMENT COMMITTEE (SSCAPC), 3RD FLOOR, CEYLON PETROLEUM
CORPORATION, NO. 609, DR. DANISTER DE SILVA MAWATHA, COLOMBO 09, SRI LANKA
SHOULD BE DEPOSITED IN THE TENDER BOX KEPT AT THE AFORESAID ADDRESS BEFORE 1200
HRS, SRI LANKA TIME ON 10TH MAY 2022.

2.26.8. BIDDERS ARE REQUESTED TO INDICATE AUTHORIZED SIGNATURE ON EACH PAGE OF OFFERS.
THE OFFICER WHO SIGNS THE BIDS (AUTHORIZED OFFICER) SHOULD HAVE PROPER AUTHORITY
FROM THE RESPECTIVE BIDDER OR THE PRINCIPAL FOR SIGNING ALL DOCUMENTS RELATED
TO THE BID. THE AUTHORIZATION SHALL BE FOR THE PARTICULAR BID OR FOR A DEFINITE
PERIOD COVERING THE DATE OF SIGNING THE BID.

2.27. VALIDITY OF THE OFFER

OFFERS CLOSE AT 1200 HRS, SRI LANKA TIME ON 10TH MAY 2022 AND SHOULD BE HELD VALID
FOR SEVENTY TWO (72) HRS THEREFROM.

NOTE

I. BIDDERS ARE REQUESTED TO INDICATE AUTHORISED SIGNATURE ON EACH PAGE OF OFFERS.

II. WHEN OFFERS ARE SUBMITTED THROUGH THE BIDDER’S LOCAL REPRESENTATIVES, BIDDERS
ARE REQUESTED TO SUBMIT A LETTER FROM THE PRINCIPALS THAT THEIR LOCAL
AGENT/REPRESENTATIVE IS AUTHORISED TO SUBMIT THE OFFER ON BEHALF OF THEM.

III. PLEASE ALSO NOTE THAT ONLY THOSE WHO HAVE SUBMITTED OFFERS (OR THEIR LOCAL
AGENTS) COULD BE PRESENT AT THE TIME OF OPENING OF TENDERS. NO LOCAL AGENT IS
PERMITTED TO BRING MOBILE PHONES.

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REF: BK/74/2022
 ANNEX - ‘A’

FORMAT FOR BID SECURITY GUARANTEE

[This Bank Guarantee from shall be filled in accordance with the instructions indicated in brackets]
…………………… [insert issuing agency’s name and address of issuing branch or office]……………

Beneficiary : Ceylon Petroleum Corporation

Date : …………………………. [insert (by issuing agency) date]
BID GUARANTEE NO : ………………………………. [insert (by issuing agency) number]
We have been informed that ………………………… [insert (by issuing agency) name of the Bidder; if a joint
venture, list complete legal names of partners] (hereinafter called “the Bidder”) has submitted to you
its bid dated …………………… [insert (by issuing agency) date](hereinafter called “the Bid”) for execution /
supply [select appropriately] of [insert name of contract] under Invitation for Bids No. ………….. [insert
IFB number] (“the IFB”)

Furthermore, we understand that, according to your conditions, Bids must be supported by a Bid
Guarantee.

At the request of the Bidder, we …………………….. [insert name of issuing agency] hereby irrevocably
undertake to pay you any sum or sums not exceeding in total an amount of …………….. [insert amount in
figures] …………………. [insert amount in words] upon receipt by us of your first demand in writing
accompanied by a written statement stating that the Bidder is in breach of its obligation(s) under the
bid conditions, because the Bidder

(a) has withdrawn its Bid during the period of bid validity specified; or
(b) does not accept the correction of errors in accordance with the Instructions to Bidders
(hereinafter “the ITB”) of the IFB; or
(c) having been notified of the acceptance of its Bid by the Ceylon Petroleum Corporation during
the period of bid validity, (i) fails or refuses to execute the Contract Form, if required, or (ii) fails
or refuses to furnish the Performance Security, in accordance with the ITB.

This Guarantee shall expire: (a) if the Bidder is the successful bidder, upon our receipt of copies of the
Contract signed by the Bidder and of the Performance Security issued to you by the Bidder; or (b) if the
Bidder is not the successful bidder, upon the earlier of (i) our receipt of a copy of your notification to
the Bidder that the Bidder was unsuccessful, otherwise it will remain in force up to …………………. [insert
date]

Consequently, any demand for payment under this Guarantee must be received by us at the office on
or before that date …………………………

[signature(s) of authorized representative(s)]

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REF: BK/74/2022
 ANNEX - ‘B’

SHIPMENT QUANTITY
WITHOUT MINUS FIVE PERCENT (-5%) AND PLUS TEN PERCENT (+10%) TOLERANCE

PRODUCT TOTAL QUANTITY OF THE PRODUCT

GAS OIL (0.05% MAX SULPHUR) 280,000 BBLS

NOTE:

1. BIDDERS ARE REQUESTED TO OFFER FOR THE TOTAL QUANTITY AS GIVEN IN THE TENDER.

2. ANY BIDDER WHO FAILS TO OFFER FOR THE TOTAL QUANTITY AS GIVEN IN THE TENDER WILL BE
REJECTED.

3. OFFERS SUBMITTED WITH REDUCED QUANTITY WILL NOT BE EVALUATED.

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REF: BK/74/2022
 ANNEX - ‘C’
SPECIFICATIONS FOR GAS OIL (0.05% MAX SULPHUR)

PROPERTY/TEST TEST METHOD SPECIFICATIONS

CLEAR, BRIGHT AND FREE
APPEARANCE FROM WATER & VISIBLE
IMPURITIES
DENSITY AT 15 0C kg/m3 ASTM D 1298 / ASTM D 4052 820 - 860
COLOUR ASTM D 1500 MAX. 1.5
DISTILLATION ASTM D 86
IBP 0C REPORT
T10 0C REPORT
T50 0C REPORT
T85 0C MAX. 350
T95 0C MAX. 370
CETANE INDEX OR ASTM D 976 / ASTM D 4737 MIN. 46 (NOTE 1)
CETANE NUMBER ASTM D 613 MIN. 49
0
CLOUD POINT C ASTM D 2500 MAX. 15
CFPP 0C ASTM D 6371 MAX. 5
SULPHUR CONTENT mg/kg ASTM D 4294 / ASTM D 2622 MAX. 500
FLASH POINT 0C ASTM D 93 MIN. 55
VISCOSITY KIN AT 40 0C, cSt ASTM D 445 2 - 4.5
WATER CONTENT (mg/kg) ASTM D 6304 MAX. 200
CU - STRIP CORROSION 3 hrs AT 50 0C ASTM D 130 MAX. 1
ASH % m/m ASTM D 482 MAX. 0.01
CARBON RESIDUE, % m/m ASTM D 524 / ASTM D 4530 MAX. 0.3
PARTICULATE CONTAMINANTS, TOTAL
ASTM D 6217 MAX. 10
mg/L
TOTAL ACID NO. mg KOH/g ASTM D 664 MAX. 0.08
CALORIFIC VALUE GROSS kcal/kg ASTM D 240 MIN. 10500
3
OXIDATION STABILITY g/m ASTM D 2274 MAX. 25
DSEP RATING ASTM D 7261 50 – 100
FAME ASTM D 7371 NON DETECTABLE (NOTE 2)
LUBRICITY
ASTM D 6079 MAX. 460
(HFRR wear scar dia.@600c) micron

IMPORTANT:
NOTE 1 : NOT APPLICABLE IF ANY CETANE IMPROVER ADDITIVE IS PRESENT
NOTE 2 : ADDITION OF BIO DIESEL OR BIODIESEL BLENDS ARE NOT PERMITTED

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REF: BK/74/2022
 ANNEX - ‘D’

FORMAT FOR PERFORMANCE SECURITY GUARANTEE

………………………………. [issuing Agency’s Name and Address of issuing Branch or Office] ………………………

Beneficiary : Ceylon Petroleum Corporation

Date : …………………………………

PERFORMANCE SECURITY GUARANTEE NO : ……………………………………..

We have been informed that …………………….. [name of Contractor/Supplier] (hereinafter called “the
Contractor”) has entered into contract No. ……………………… [reference number of the contract] dated
……………………… with you, for the …………………… [insert “construction” / “Supply”] of
……………………………………………………………. [name of contract and brief description of works] (hereinafter
called “the Contract”)

Furthermore, we understand that, according to the conditions of the Contract, a performance

guarantee is required.

At the request of the Contractor, we …………………….. [name of agency] hereby irrevocably undertake to
pay you any sum or sums not exceeding in total an amount of USD…………….. [amount in figures] (United
States Dollars………………….) [amount in words], such sum being payable in the types and proportions of
currencies in which the Contract Price is payable, upon receipt by us of your first demand in writing
accompanied by a written statement stating that the Contractor is in breach of its obligation(s) under
the Contract, without your needing to prove or to show grounds for your demand or the sum specified
therein.

This guarantee shall expire, no later than the …………… day of …………., 20…. [insert date, thirty (30) days
beyond the scheduled contract completion date] and any demand for payment under it must be received
by us at this office on or before that date.

……………………………..
[Signature(s)]

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REF: BK/74/2022
 ANNEX - ‘E’
FORM OF BID

The Chairman, Special Standing Cabinet Appointed Procurement Committee,

3rd Floor, Ceylon Petroleum Corporation, No. 609,
Dr. Danister De Silva Mawatha,
Colombo 09, Sri Lanka.

Dear Sir,

BIDDING FOR THE SUPPLY OF A CARGO OF GAS OIL (0.05% M.S.) FOR DUAL BERTH DISCHARGE AT
DOLPHIN TANKER BERTH, COLOMBO AND SPM MUTHURAJAWELA, COLOMBO DURING LAYCAN 30-
31/05/2022.

(TENDER REF: BK/74/2022)

I/We the undersigned read and fully acquainted myself / ourselves with the contents of the Conditions
of the terms and Contract and all other Conditions pertaining to the above Bid do hereby undertake to
supply the Petroleum Product with the specifications and quantity as specified in the tender.

A. PRODUCT / PRICE / INTEREST

Total Premium / Discount on (USD per Bbl)

Contractual DAP Colombo basis
Product Compliance
cargo FOB basis (30 days) (90 days) (180 days)
quantities Option – 1 Option – 2 Option – 3

* * * *
Gas Oil 280,000 Bbls Comply /
(0.05% M.S.) -5%/+10% Not comply

Three (3) Six (6) months

months LIBOR LIBOR (USD)
Interest Rate (Per Annum) (USD) plus plus
** **

***
Local Agent and Local Agency Commission (USD)
(if any)

B. TERMS & CONDITIONS

BID DOCUMENT CLAUSE REFERENCE COMPLIANCE

1.1
Comply / Not Comply
Two day delivery laycan
1.8.
Comply / Not Comply
Bid Security Guarantee (Annex – ‘A’)
2.2.
Contractual cargo quantity Comply / Not Comply
(Annex – ‘B’)

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REF: BK/74/2022
2.3.
Comply / Not Comply
Delivery
2.4
Comply / Not Comply
Important
2.5.
Comply / Not Comply
Third party cargo
2.6.
Quality (Compliance to each parameter and notes in Annex – ‘C-1’ is mandatory) Comply / Not Comply

2.7.
Comply / Not Comply
Source of supply
2.8.
Comply / Not Comply
Mode of loading / port of loading
2.9.1.
Comply / Not Comply
Inspection at Load port
2.9.2.
Comply / Not Comply
Inspection at Discharge port
2.10.
Comply / Not Comply
Recovery of damages or losses for CEYPETCO due to unacceptable quality
2.11.
Comply / Not Comply
Out-turn loss
2.12.
Comply / Not Comply
Price / Payment / interest

2.12.1.
Comply / Not Comply
DAP Colombo price for Gas Oil (0.05%M.S.) calculation method under Option -1

2.12.2
Comply / Not Comply
DAP Colombo price for Gas Oil (0.05%M.S.) calculation method under Option -2

2.12.3
Comply / Not Comply
DAP Colombo price for Gas Oil (0.05%M.S.) calculation method under Option -3

2.13.
Comply / Not Comply
Local Agent & Local Agency Commission
2.14.
Comply / Not Comply
Title and Risk
2.15.
Comply / Not Comply
Performance Security Guarantee (Annex – ‘D’)
2.16.
Claims, disputes and recovery of damages or losses for CEYPETCO by late delivery and Comply / Not Comply
delivery of lesser quantity than agreed
2.17.
Comply / Not Comply
Award of the tender
2.18.1
Comply / Not Comply
Laytime for discharge at Dolphin Tanker Berth, Colombo
2.18,2.
Comply / Not Comply
Laytime for discharge at SPM Muthurajawela, Colombo
2.18.3.
Laytime for dual berth discharge at Dolphin Tanker Berth, Colombo & SPM Comply / Not Comply
Muthurajawela, Colombo
2.19.
Comply / Not Comply
Notice of arrival at Colombo
2.20.1.
Requirements of tankers for discharging of product via Dolphin Tanker Berth, Comply / Not Comply
Colombo
2.20.2.
Comply / Not Comply
Requirements of tankers for discharging of product via SPM Muthurajawela, Colombo
Comply / Not Comply
2.21.
Line flushing at Dolphin Tanker Berth, Colombo

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REF: BK/74/2022
2.22.
Line flushing at SPM Muthurajawela, Colombo Comply / Not Comply

2.23.
Comply / Not Comply
Demurrage
2.24.
Comply / Not Comply
Force Majeure
2.25.
Comply / Not Comply
Other requirements
2.26
Comply / Not Comply
Submission of Bids
2.26.1.1. & 2.26.1.2.
Comply / Not Comply
Submission of ANNEX – ‘E’ & ANNEX - ‘C-1’
2.26.1.4.
submission of a Board resolution authorizing the person who signs the bid or a Comply / Not Comply
documented decision of the partners in a partnership as the case may be
2.26.8.
Proper authority to the officer who signs the bids (authorized officer) from the Comply / Not Comply
respective bidder or the principal for signing all documents related to the bid
2.27.
Comply / Not Comply
Validity of the offer
Amendment Notice (s) (if any) Comply / Not Comply

 I/We confirm that the bid shall remain open for acceptance as mentioned above under validity
of bid and that it will not be withdrawn or revoked prior to that date.

 I/We attach hereto the following documents as part of my/our Bid (If any);
……………………………………………………………………….…………………………………………………..
……………………………………………………………………….…………………………………………………..
……………………………………………………………………….…………………………………………………..
 I/We understand that you are not bound to accept the lowest or any other Bid and that you
reserve the right to reject any or all Bids or to accept a Bid in full or in part without assigning
any reasons therefore.

 I/We undertake to deliver the quantity of Petroleum product referred to above.

Yours Faithfully,
Authorized signature & the official seal of the Bidder : ………………………………………………………

Name of the Bidder : ……………………….……………………………...…………

…………..………………….……………………….…………………………………………………..
Address : ……………………….………………..…………….…………………………………………………..
…………..…………….…………………………….…………………………………………………..
……………….……………………………………...…………………………………………………..
……………….……………………………………...…………………………………………………..
Telephone No. : ……………….…………………………….………..…………………………………………………..
Fax No. : ………….………………………………………………………………………………………………..
E-mail : ………….………………………………………….…………………..………………………………..
Date : …………………………………

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REF: BK/74/2022
 ANNEX - ‘C-1’
SPECIFICATIONS FOR GAS OIL (0.05% MAX SULPHUR)
PROPERTY/TEST TEST METHOD SPECIFICATIONS COMPLIANCE
CLEAR, BRIGHT AND
APPEARANCE FREE FROM WATER & Comply / Not comply
VISIBLE IMPURITIES
ASTM D 1298 / ASTM D
DENSITY AT 15 0C kg/m3 820 – 860 Comply / Not comply
4052
COLOUR ASTM D 1500 MAX. 1.5 Comply / Not comply
DISTILLATION ASTM D 86 Comply / Not comply
0
IBP C REPORT Comply / Not comply
0
T10 C REPORT Comply / Not comply
0
T50 C REPORT Comply / Not comply
0
T85 C MAX. 350 Comply / Not comply
0
T95 C MAX. 370 Comply / Not comply
ASTM D 976 / ASTM D
CETANE INDEX OR MIN. 46 (NOTE 1) Comply / Not comply
4737
CETANE NUMBER ASTM D 613 MIN. 49 Comply / Not comply
CLOUD POINT 0C ASTM D 2500 MAX. 15 Comply / Not comply
CFPP 0C ASTM D 6371 MAX. 5 Comply / Not comply
ASTM D 4294 /
SULPHUR CONTENT mg/kg MAX. 500 Comply / Not comply
ASTM D 2622
FLASH POINT 0C ASTM D 93 MIN. 55 Comply / Not comply
0
VISCOSITY KIN AT 40 C, cSt ASTM D 445 2 - 4.5 Comply / Not comply
WATER CONTENT (mg/kg) ASTM D 6304 MAX. 200 Comply / Not comply
CU - STRIP CORROSION 3 hrs AT 50
0 ASTM D 130 MAX. 1 Comply / Not comply
C
ASH % m/m ASTM D 482 MAX. 0.01 Comply / Not comply
ASTM D 524 / ASTM D
CARBON RESIDUE, % m/m MAX. 0.3 Comply / Not comply
4530
PARTICULATE CONTAMINANTS,
ASTM D 6217 MAX. 10 Comply / Not comply
TOTAL mg/L
TOTAL ACID NO. mg KOH/g ASTM D 664 MAX. 0.08 Comply / Not comply
CALORIFIC VALUE GROSS kcal/kg ASTM D 240 MIN. 10500 Comply / Not comply
3
OXIDATION STABILITY g/m ASTM D 2274 MAX. 25 Comply / Not comply
DSEP RATING ASTM D 7261 50 – 100 Comply / Not comply
NON DETECTABLE
FAME ASTM D 7371 Comply / Not comply
(NOTE 2)
LUBRICITY
(HFRR wear scar dia.@600c) ASTM D 6079 MAX. 460 Comply / Not comply
micron

IMPORTANT:
NOTE 1 : NOT APPLICABLE IF ANY CETANE IMPROVER ADDITIVE IS PRESENT Comply / Not comply

NOTE 2 : ADDITION OF BIO DIESEL OR BIODIESEL BLENDS ARE NOT PERMITTED Comply / Not comply

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REF: BK/74/2022
 ANNEX – ‘F’
FORMULA FOR SELECTION OF THE MOST VIABLE PRICING OPTION

𝑃 = {(𝐶) + [(𝐶) ∗ 𝐴] + [(𝐶) ∗ 𝐵] + [(𝐶) ∗ 𝐷] + [(𝐶) ∗ (𝐺) ∗ (𝐻)] + [(𝐶) ∗ 𝐸 ∗ (𝐹/360)]}

∗ 𝐼𝑚𝑝𝑜𝑟𝑡 𝑄𝑢𝑎𝑛𝑡𝑖𝑡𝑦

A: Port and Aviation Levy [i.e. currently 7.5% for Gas Oil (0.05% M.S.)]
B: LC Opening Commission (i.e. currently 0.0525%)
C: FOB + Premium.
D: Bank Acceptance rate (i.e. currently 0.0375%)
E: Domestic Dollar Borrowing Interest Rate offered by BOC/People’s Bank
F: Days in Highest Credit Payment Option offered by Responsive Bidders – Days in the Concerned
Payment Option
G: LIBOR + Interest
H: (Days in Payment Option - Interest Free Credit Period)/360)

NOTE:

BANK ACCEPTANCE COMMISSION SHALL NOT BE APPLICABLE FOR THIRTY (30) DAYS PAYMENT OPTION.

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REF: BK/74/2022