ANNEXURE C OF TENDER DOCUMENT

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1 ANNEXURE C OF TENDER DOCUMENT SUPPLY OF CORROSION INHIBITOR FOR MUMBAI MANMAD-BIJWASAN PIPELINE SECTION, BINA- KOTA PIPELINE SECTION, KOTA- JOBNER PIPELINE SECTION AND KOCHI KARUR PIPELINE FOR ONE YEAR 1.0 SCOPE OF WORK: 1.1 The scope of this contract is to only supply the Corrosion Inhibitor in Drums as specified in the tender documents to the various dosing locations in India viz Mumbai, Manmad, Manglya, Kota, Mathura and Piyala of Mumbai- Manmad Bijwasan Pipeline, Kota- Jobner Pipeline, at Bina for Bina-Kota Pipeline, Kochi and Coimbatore for CCKPL pipeline and removal of the empty CI drums from above locations. The detailed delivery addresses for the supply of Corrosion Inhibitor shall be as follows:- (1) Bharat Petroleum Corporation Ltd. Mumbai Manmad- Bijwasan Pipeline, Mumbai- Dispatch Terminal Pump House Area, Refinery, Mahul, Mumbai, Maharashtra India (2) Bharat Petroleum Corporation Ltd., Mumbai Manmad Bijwasan Pipeline Office, Manmad Installation, Manmad- Nandgaon Road, Panewadi, Manmad, Dist Nashik, Maharashtra , India (3) Bharat Petroleum Corporation Ltd., Mumbai- Manmad-Bijwasan Pipeline Office, Manglya Installation, Manglya- Savner Road, Manglya, Dist Indore, Madhya Pradesh India (4) Bharat Petroleum Corporation Ltd., Mumbai Manmad- Bijwasan Pipeline Office, Kota Installation, Village Brijesh Pura, Tehsil Tathead, District Kota, Rajasthan , India (5) Bharat Petroleum Corporation Ltd., Mumbai #Manmad-Bijwasan Pipeline Office, Mathura Installation, Road No. 26, UPSIDC Ind. Area, Opposite IOCL Refinery, Mathura, Uttar Pradesh , India (6) Bharat petroleum Corporation Ltd., Mumbai- Manmad- Bijwasan Pipeline Office, Piyala Installation, Post-Asaoti, Tehsil- Ballabgarh, Dist- Faridabad, Haryana , India Page 1 of 22

2 (7) Bharat Petroleum Corporation Ltd. Bina- Kota Pipeline office, Bina Dispatch Terminal Premises, Bina, Dist -Sagar Madhya- Pradesh , India (8) Bharat Petroleum Corporation Ltd. Pipelines, CCKPL-Kochi Terminal Seaport - Airport Road, Irimpanam P.O., Kochi, Kerala , India (9) Bharat Petroleum Corporation Ltd. Pipelines, CCKPL- Coimbatore Terminal, Rawathur P.O.,Coimbatore , India 1.2 BPCL shall carry out the dosing and monitoring of the accepted Corrosion Inhibitor. 1.3 Vendor shall deliver following approximate quantity of Corrosion Inhibitor location wise in one year at respective location (addresses mentioned in Clause 1.1 above) as follows, (a) Mumbai = Kg. (b) Manmad = Kg. (c) Manglya = 4862 Kg. (d) Kota = Kg. (e) Mathura = Kg (f) Piyala = 3366 Kg. (f) Bina = Kg. (g) Kochi = kg (h) Coimbatore = 3740 kg The above quantities are indicative quantities only, please refer clause no 8.0 for evaluation of the offers and quantities to be ordered. BPCL may tentatively place order every quarter or 45 days based on the requirement at each location. The tentative supply schedule is given below. Separate Purchase Order or Call off will be issued for supply of respective quantity. The indicative quantities may be ordered in 4 nos of lots across the year. BPCL may or may not consume the full quantity during the contract period of one year 2.0 BRIEF DESCRIPTION OF MUMBAI- MANMAD- BIJWASAN PIPELINE, BINA- KOTA PIPELINE KOTA JOBNER PIPELINE AND KOCHI KARUR PIPELINE : 2.1 Bharat Petroleum Corporation Ltd. is transporting the various grades of the following finish petroleum products from Mumbai Refinery through their Mumbai Manmad- Bijwasan Pipeline Page 2 of 22

3 having length total of about 1389 Km and Bina Kota Pipeline of approximate length 257 Km and KJPL pipeline of approximate length 211km. The pipeline BPCL CCK is meant to evacuate petroleum products from BPCL - Kochi Refinery and to meet the requirements of petroleum products in Tamil Nadu in areas such as Coimbatore, Salem, Erode, Trichy, Karur, Madurai etc. The pipeline has a pumping station at Cochin and delivery terminals at Coimbatore (Irugur) and Karur in Tamil Nadu. (a) MS : Motor Spirit (MS IV and MS VI) (b) HSD : High Speed Diesel (HSD IV and HSD VI) (c) SKO : Superior Kerosene Oil d) PCK : Pipeline compliant Kerosene The product data sheets are enclosed for ready reference as Annexure (a) The approximate quantity of the petroleum products that would be pumped through the pipelines during the contract period of 12 months is as follows, 1. Ex Mumbai : 8.0 MMTPA 2. Ex- Manmad : 2.8 MMTPA 3. Ex- Manglya : 1.2 MMTPA 4. Ex- Kota : 0.70 MMTPA (For Kota Jobner Pipeline) 5. Ex- Mathura : 3.2 MMTPA 6. Ex- Piyala : 0.8 MMTPA 7 Ex- Kota : 3.8 MMTPA 8 Ex Bina : 4.0 MMTPA 9 Ex- Kochi : 3.5 MMTPA 10 Ex- Coimbatore : 1.2 MMTPA 2.3 The petroleum product pumping facilities provided along the various location of Mumbai - Manmad-Bijwasan Pipeline Section, Kota Jobner Pipeline, Kochi Karur pipeline and Bina- Kota Pipeline Section is enclosed as Annexure Based on the past experience BPCL is currently carrying out dosages of Corrosion Inhibitor as follows, 1. Mumbai (Refinery location) : 7 PPM 2. Manmad : 4 PPM 3. Manglya : 4 PPM 4. Kota : 4 PPM ( For Kota Jobner pipeline section ) & 4 PPM ( For Kota Piyala section) 5. Mathura : 4 PPM 6. Piyala : 4 PPM 7. Bina (Refinery location) : 7 PPM 8. Kochi : 6 PPM 9. Coimbatore : 3 PPM Page 3 of 22

4 This is for information only. 2.5 TECHNICAL SPECIFICATIONS FOR THE CORROSION INHIBITOR MATERIAL REQUIRED: The specifications covers the technical requirement of the supply of chemical Corrosion Inhibitor to be injected into cross country petroleum product pipelines transporting Motor Spirit (MS), Superior Kerosene Oil ( SKO), High Speed Diesel( HSD),PCK etc. with a view to prevent Internal Corrosion of the pipelines TECHNICAL REQUIREMENTS: The corrosion Inhibitor to be supplied should be enlisted in the latest Qualified Product List of products qualified under performance specification MIL-PRF (Category 1 of QPL) for Inhibitor, Corrosion / Lubricity Improver, Fuel soluble. Bidder to submit the following documentary proof of their product along with Technical (Unpriced) Bid. A) The plant approval under Category-1 of MIL-PRF B) The MSDS of the product C) The Technical specifications of the product D) Shelf life of product proposed The dosing of corrosion inhibitor, in no case should affect the quality of the products like Motor Spirit (MS), Superior Kerosene Oil (SKO), High Speed Diesel (HSD), PCK etc. being transported in pipelines The chemical shall meet the requirement of testing as per NACE standard Test Method NACE TM (or latest edition) for relative effectiveness of the corrosion inhibitors for minimum B++ rating in laboratory test Vendor shall note that the technical acceptance of the corrosion inhibitor shall be based on the laboratory testing by BPCL as per the clause no. 3.0 of this contract The corrosion inhibitor shall be shear stable and effective during flow through cross country pipelines of 8 to 18 diameter and of upto 350 Km length with intermediate booster stations and flow rate of 1200 KL/ Hr at a different pressure upto 95 Kg/ cm Other properties of the corrosion inhibitor should have, (a) It should contain only Oxygen, Hydrogen and Carbon in its formulations and it should be free from Nitrogen, Phosphorus and Sulphur. (b) The corrosion inhibitor shall have no effect on gum or oxidation stability of the fuel. (c) The corrosion inhibitor shall be completely soluble with the petroleum products.it shall not have any emulsifying effect. Page 4 of 22

5 (d) The corrosion inhibitor shall be compatible with the materials structure of the pipes, pumps, basket filters, pump strainers, storage tanks, valves, meters, instruments and any other fitting used in the petroleum pipeline. (e) The corrosion inhibitor shall be compatible with the other additive used in petroleum products like Drag Reducer Additive (DRA) which are polymer based compound. (f) It should be suitable for use and storage in the ambient temperature ranging from 5 0 C to 50 0 C. (g) The inhibitor shall not show any precipitation, layering or either evidence of gross separation or degradation after storing for a period of 12 months. (h) The inhibitor should be compatible with Euro IV/ Euro VI grade product transportation through the cross country pipelines Packing in drums : Net Corrosion Inhibitor Quantity per drum shall be in the range of 185 to 205 Kg each approximately. The drums received at BPCL locations must be in the sealed condition DETAILS TO BE FURNISHED BY THE VENDOR IN THE TECHNICAL BID: (a) Name and address of the organization with key/ contact person (b) Manufacturing and other facilities available in the organization. (c) Name and address of the other participating and or collaborating organizations, if any. (d) Brand name and nomenclature of the corrosion inhibitor offered. (e) Material safety data sheet. (f) Shelf life of the corrosion inhibitor. (g) Any other information that the vendor likes to provide supporting the corrosion inhibitor The vendor shall submit the test data for the following properties of the hydrocarbon soluble, liquid film former along with the tender. (a) Colour (b) Form (c) Odour (d) Density at 15 Degree Celcius (Kg/ Liter) (e) Kinematic Viscosity (Centistokes at 40 Degree Celcius) (f) Pour Point (Degree Celcius Maximum) (g) Flash Point (Degree Celcius minimum) (h) Solubility in Water (i) Neutralization No. (j) Ash Content (% maximum) Bidder shall propose the Dosing rate for Mumbai, Kochi and Bina only Location 1. Mumbai 2. Kochi 3. Bina Dosage Rate of C I Product Offered In ppm Page 5 of 22

6 2.6 INFORMATION TO VENDOR REGARDING HYDROCARBON PRODUCT AND PRODUCT PUMPING FACILITIES AND CORROSION INHIBITOR DOSING FACILITIES: The data sheets of hydrocarbon product (SKO, PCK, MS IV, HSD IV, MSVI, HSDVI) being pumped in the pipeline is enclosed as Annexure-1: The petroleum product pumping facilities and CI dosing facility (As mentioned in clause 1.0) provided along the various location of MMBPL (Mumbai-Manmad Bijwasan Pipeline Section),BKPL ( Bina- Kota Pipeline Section),KJPL ( Kota Jobner Pipeline section), CCKPL (Kochi Coimbatore Karur Pipeline ) is enclosed as Annexure CERTIFICATE TO BE FURNISHED BY THE SUCCESSSFUL BIDDER AT THE TIME OF SUPPLY: The successful Bidder shall be required to furnish the lab test Certificates in original for each batch of corrosion inhibitor being dispatched. The test certificate should indicate the batch no., Physico chemical characteristics. 2.8 ABBREVATIONS: MMTPA : Million Metric Tonnes per Annum PPM : Parts Per Million CI : Corrosion Inhibitor MPY : Mills per Year. CRDC : Corporate Research and Development Center of BPCL. MMBPL : Mumbai Manmad- Bijwasan Pipeline BKPL : Bina- Kota Pipeline KJPL : Kota Jobner Pipeline 3.0 SPECIAL CONDITIONS OF THE CONTRACT: 3.1 For technical acceptance of the bidder s product, after receipt of this tender the bidder shall forward following to our BPCL, Corporate Research and Development Center at Noida within a week period, (i) Two liter of Corrosion Inhibitor sample (same as offered against this tender and which will be supplied subsequently) in a sealed container along with the test certificate. (ii) Vendor may request for withdrawing 2 samples of approximate 1 L to 2 L each at Mumbai of HSD before dosing point for testing at its own end and for proposing the PPM dosage rate in the Bid for Mumbai, Kochi and Bina Location. CI dosage rate in excess of 10 ppm shall not be acceptable either proposed by Bidder or as obtained during testing at BPCL CRDC Noida. BPCL shall arrange for the necessary undoped HSD samples of C grade (NACE TM (Spindle Test rating) and gate pass from BPCL Mumbai Refinery.Bidder shall collect the same Page 6 of 22

7 and transfer to its Testing Lab. Bidder shall assume the same C grade rating HSD to propose the dosage rate at Kochi and Bina (both Refinery locations) also. (iii) Further BPCL shall consider the dosage rates at other downstream locations as 60% of the PPM dosage rates as proposed at Mumbai and Bina and 50% of the PPM dosage rate as proposed at Kochi as per clause no 7.0. (iv) MSDS of the corrosion inhibitor. Physical and Chemical Properties of the corrosion inhibitor not limiting the following, a) Colour b) Form c) Odour d) Density at 15 Degree Celcius (Kg/ Liter) e) Kinematic Viscosity (Centistokes at 40 Degree Celcius) f) Pour Point (Degree Celcius Maximum) g) Flash Point (Degree Celcius minimum) h) Solubility in Water i) Neutralization No. j) Ash Content (% maximum) The bidder supplied corrosion inhibitor sample will be tested by our R & D center to ensure compatibility of the Corrosion Inhibitor with product sample. Bidder shall also confirm about dispatch of the same along with a scanned copy of proof of dispatch on the id: jayarawat@bharatpetroleum.in; patharea@bharatpetroleum.in The above mentioned details along with the Corrosion Inhibitor Product shall be forwarded to the following address, Dr. JAYA RAWAT Ch. MANAGER ( R& D), BHARAT PETROLEUM CORPORATION LTD. CORPORATE R&D CENTRE, PLOT NO.2A, UDYOG KENDRA, P.O. SURAJPUR, GREATER NOIDA, UTTAR PRADESH, PIN INDIA Based on the confirmation by our CRDC, about the acceptance of the Corrosion Inhibitor the offer of the bidder shall be considered for this bid. Bidder shall note that the rejection criteria of the Corrosion Inhibitor during testing by CRDC may be subject to following:- (1) The Corrosion Inhibitor is not compatible with the hydrocarbon products being pumped in the pipeline as mentioned in this tender. (2) The hydrocarbon products quality mentioned in this tender is getting affected by the maximum dosages recommended by the Vendor upto a maximum of 10 ppm. Page 7 of 22

8 (3) The Corrosion Inhibitor is not meeting minimum B++ rating in the spindle test samples during Laboratory test. (4) Physical / chemical properties test results of the corrosion inhibitor found not in line with the Vendor s test certificate as mentioned in tender clause no. 6.1 and 6.2 (5) Any abnormal test results noticed against the requirement mentioned in clause no The Vendor shall note that their job shall be for the supply of Corrosion Inhibitor only at the designated places as mentioned in Clause no. 1.0 and removal of the empty drums after use by BPCL. The manpower and equipments required for the loading, unloading of the CI drums (filled fresh stock of drums/ empty) is in the scope of the Vendor. The empty drums certified for emptiness by BPCL shall be removed from site and taken back by the Vendor without any extra cost to BPCL in the respective dosing locations. Any deviation in the above clause shall be treated as a rejection criteria. 3.4 BPCL shall carry out the dosages of the corrosion inhibitor and monitor the same. 3.5 In the Technical Bid, about the details of the packed drum of Corrosion Inhibitor viz. drum dimensions, gross weight of each drum, empty weight of each drum, net weight of Corrosion Inhibitor per drum, handling and storage of packed Corrosion Inhibitor drums, Material Safety Data Sheet, Method for storage of Corrosion Inhibitor drums and any other data related to the Corrosion Inhibitor. 3.6 The Vendor shall note that the Corrosion Inhibitor Drums delivered by the Vendor at site shall have minimum One Year Shelf life from the date of receipt of Corrosion Inhibitor at site. The Batch/ Lot certificate of the Corrosion Inhibitor shall contain the manufacturing date and its shelf life from the date of manufacturing. In case, if the shelf life of the corrosion inhibitor received at site is found less than one year from the date of receipt the same will be rejected before sampling and vendor shall remove the same from site at his cost within a week. 3.7 The Vendor shall submit batch/ lot certificate of the Corrosion Inhibitor supplied at the following locations:- (a) At each nominated locations as per clause 1.1 during the delivery of drums through . (b) MMBPL Mumbai Office at following address within seven days from the receipt of drums at site. Ch. Manager (Mech & Civil Maint.), Pipelines Mumbai Manmad- Bijwasan Pipeline Office, 2nd Floor, Admin Annex Building, Bharat Petroleum Corporation Ltd., Refinery, Mahul Mumbai , India. 4.0 PROCEDURE FOR SAMPLING OF FRESH STOCK OF CORROSION INHIBITOR DRUMS RECEIVED AT SITE: A) The sampling of the vendor supplied corrosion inhibitor drums at location is in the scope of vendor per consignment per location. The sampling of the Corrosion Inhibitor shall be Page 8 of 22

9 carried out by the vendor with necessary sampling instruments for each consignment at site (Mumbai, Manmad, Manglya, Kota, Mathura, Piyala, Bina, Kochi and Karur) as per the following procedure. 1. Selection of Corrosion Inhibitor Drums for Sampling: (a) The drums to be selected for sampling shall be decided by BPCL randomly based on the number of drums of each batch received at site. (b) 10% of the drums or minimum 1 number of drums of each batch/ lot whichever is higher shall be randomly selected by BPCL for sampling of the same at each location. The drum shall not be rolled before taking the sample. 2. From each randomly selected drums of a particular batch/lot the Vendor shall withdraw only middle portion of the Corrosion Inhibitor by tube sampling method as per ASTM The Vendor shall prepare 2 nos. of composite sample of at least 1 Liter (1 quantity) each by mixing equal portions not less than 500 ml (1 part) from each container sampled. It is Vendor s responsibility to draw the samples and prepare composite samples in presence of BPCL Engineer. 3. The composite sample of each batch as per the above method shall be taken for all the batches received at site. All the composite samples taken shall be sealed in the BPCL supplied aluminum container and kept in a standard wooden box and shall be sealed. The report of sampling with seal details shall be prepared at site which needs to be jointly signed by the representative of BPCL and Vendor. The seals and wire required for sealing the samples shall be provided by the BPCL.BPCL is responsible for necessary transport of the samples to CRDC Noida. 4. The Vendor shall arrange for tube sampler, apparatus etc. for withdrawing sample from the drums. All the necessary precautions to be taken by the vendor during withdrawing the sample. 1. The drawn samples shall be sealed and forwarded by BPCL along with the batch/ lot certificate for testing in BPCL approved Laboratory. 5.0 PROCEDURE FOR SAMPLING FOR SPINDLE TEST FOR EACH BATCH RECEIPT: A) SPINDLE TEST OF CI SAMPLE BEFORE DOSING WITH UN-DOPED HSD FROM REFINERY LOCATIONS 1. Two numbers of composite CI sample will be collected as indicated in clause no 4 above at each location whenever a new CI batch is received. Page 9 of 22

10 2. Out of 2 nos. of samples collected a part of the 1 sample shall be tested for the chemical analysis of the CI batch received at the locations as per US MIL at our BPCL CRDC Noida as mentioned in clause no The other part of the same composite CI sample is to be tested for Spindle test with undoped HSD samples drawn from Mumbai /Bina/Kochi Refinery of C Grade NACE TM 0172 (Spindle). BPCL shall arrange to draw and send the sample of un-doped HSD from Mumbai /Bina/Kochi Refinery to BPCL CRDC NOIDA. The sample drawn from the tankages at Mumbai/ Bina/Kochi shall involve composite samples of 1 L each consisting of 30% Top 40% Middle and 30% Bottom samples of the Tank. The HSD samples thus received at BPCL CRDC Noida shall be analyzed for 1) The corrosion rating of the HSD product un-doped as obtained from the HSD tank for comparison with the Bid Evaluation HSD product un-doped report.nace TM 0172 (Spindle) 2) The CI dosing in ppm required to achieve the B++ rating with NACE TM (Spindle Test). Further the acceptance of the performance of the corrosion inhibitor samples shall be governed by the clause no 6.2 of the contract. 3) Mumbai/Bina/Kochi Refinery location to be used for drawing un-doped Hydrocarbon sample for spindle test with CI batch received at each location. The Hydrocarbon undoped sample drawn will be of C/B grade only (NACE TM 0172 (Spindle)) B) SPINDLE TEST OF HYDROCARBON SAMPLE AT SAMPLING POINTS AFTER EACH DOSING LOCATION 1. The vendor shall take the pipeline hydrocarbon samples two nos. of 1 liter each from the sampling point in presence of BPCL Engineer from the next dosing location. The sampling boxes shall be arranged by BPCL. The Joint pipeline product sample as stated above is to be taken within ten days after ensuring the CI dosing of new supplied batch from the previous location. 2. The samples will be sealed by BPCL in presence of Vendor representative and joint sampling report to be signed by the Vendor representative with BPCL representative. 3. BPCL shall arrange for the transportation of the samples to CRDC and testing will be carried out at CRDC. In case any abnormal results found in the Spindle test. The same will be intimated to the Vendor and the spindle test shall be carried out once again in presence of vendor by opening the 2 nd sampling box. In case of abnormal results in the second sample tested, Vendor shall carry out again the joint sampling at the location and take the pipeline hydrocarbon samples one no of 1 liter sample from the sampling point in presence of BPCL Engineer. The sampling boxes shall be arranged by BPCL and necessary transportation shall be carried out by BPCL. Further the acceptance of the performance of the corrosion inhibitor samples shall be governed by the clause no 6.3 of the contract. Page 10 of 22

11 4. The spindle test samples to be drawn as follows, Sl. No. Corrosion Inhibitor dosing from Spindle test sample to be drawn from 1 Mumbai ( MMBPL) Manmad 2 Manmad ( MMBPL) Manglya 3 Manglya (MMBPL) Kota 4 Kota ( MMBPL) Mathura 5 Kota ( KJPL) Jobner 6 Mathura ( MMBPL) Piyala 7 Piyala ( MMBPL ) Bijwasan 8 Bina ( BKPL) Kota 9 Kochi (CCKPL) Coimbatore 10 Coimbatore (CCKPL) Karur The location address of the Jobner and Bijwasan are as follows, 1. Bharat petroleum Corporation Ltd., Mumbai- Manmad- Bijwasan Pipeline Office, Jobner Installation, Dist- Jaipur, Rajasthan, India. 2. Bharat petroleum Corporation Ltd., Mumbai- Manmad- Bijwasan Pipeline Office, Bijwasan Installation, Delhi, India 3. Bharat Petroleum Corporation Ltd. Pipelines, CCKPL- Karur Terminal, Athur Village, Karur , India 6.0 ACCEPTANCE OF CORROSION INHIBITOR DELIVERED BY VENDOR AT LOCATIONS: Acceptance criteria of the corrosion inhibitor supplied by the vendor shall be based on following both the tests mentioned under clause 6.1, 6.2 and 6.3 carried out in BPCL approved laboratory. 6.1 Acceptance by testing of the Corrosion Inhibitor Samples for each batch in BPCL lab CRDC and comparing test results with ASTM reproducibility results. The Vendor shall note that Density at 15 Degree Celsius, Neutralization number, ash content Kinematic 40 Degree Celsius, Flash Point, Pour Point should be mentioned in the Page 11 of 22

12 batch certificate and shall be within permissible levels as per approved range as specified in the MIL-PRF (Category 1 of QPL) within the range of ASTM reproducibility criteria. BPCL CRDC shall carry out tests on some of the properties as mentioned above. If there is any discrepancy noticed in the test result as per the acceptable criteria mentioned in MIL PRF 25017, The same will be intimated to the Vendor and the CI properties test shall be carried out once again in presence of vendor by opening the 2 nd CI sample box. In case of any discrepancy noticed in the test result of the 2 nd CI sample box above all the Corrosion Inhibitor drums of particular batch shall be rejected and no payment shall be done for the batch. The vendor shall arrange to replace the rejected Corrosion Inhibitor drums available at the respective location at Vendor s own cost within two weeks from the date of test results of Corrosion Inhibitor samples. BPCL CRDC technical evaluation shall be treated as final. Any complaint afterwards from the Vendor shall not be entertained. Vendor shall note that if for any reason the Corrosion Inhibitor sample of the fresh batch supplied after rejection of first batch fails for the second time. BPCL reserves the right to cancel/ terminate the contract. BPCL s decision on this will be final and binding to the Vendor. AND 6.2 Acceptance by testing of performance of fresh corrosion inhibitor batch for Spindle test to arrive at the Dosage rate to achieve B++ rating as per NACE Standard TM or latest. 1) Vendor shall note that BPCL shall test each new fresh batch of Corrosion Inhibitor received at each location (Refinery and Downstream) for testing dosage effectiveness of the batch with respect to the un-doped HSD samples drawn from Mumbai/ Bina/Kochi. The Hydrocarbon undoped sample drawn will be of C/B grade only (NACE TM 0172 (Spindle)) BPCL shall utilize the CI samples collected under clause 4 for CI sample and clause 5(A) for the test. BPCL shall arrange to send the sample of un-doped HSD samples from Bina and Mumbai Refinery and CI samples from different dosing locations for every new batch to BPCL CRDC NOIDA. The HSD samples thus received at BPCL CRDC Noida shall be analyzed for the following: 1) The corrosion rating of the HSD product un-doped as obtained from the HSD tank for comparison with the Bid Evaluation HSD product un-doped report. The ratings thus obtained based on NACE TM by spindle test method shall be useful in establishing a grade of the corrosiveness of the HSD samples drawn from the tank as undoped. Vendor to note the maximum grade of corrosive rating of the un-doped HSD product expected by BPCL is C (Test Details explained in NACE TM0172). Page 12 of 22

13 For Example: The pre Bid evaluation gets the grade of HSD un-doped as C. The post PO award un-doped HSD sample sent from Mumbai/Bina/Kochi gets rating C. This shall be useful in comparison of the HSD samples un-doped. 2) The dosing of vendor supplied CI in ppm required to achieve the B++ rating with NACE TM (Spindle Test). Further the acceptance of the performance of the corrosion inhibitor samples shall be governed by the PPM dosage required to achieve the B++ rating from the existing un-doped HSD Samples as drawn from the Mumbai/Kochi/ Bina Refinery Locations. In case of mismatch of the PPM dosage rate as required to achieve B++ rating during Bid evaluation and during the testing of the new batch received at any location post award of the PO, Vendor has the following options:- CASE I :- The new CI Batch received at Refinery locations ( Mumbai/Bina/Kochi).The CI batch is tested with the un-doped Tank HSD samples at CRDC Noida Lab and the new batch CI PPM dosage required to achieve the B++ rating is arrived. In case the PPM thus arrived is more than the one required to achieve B++ rating during Bid evaluation then 1) Increase the PPM dosage at the Refinery location (Mumbai/ Bina/Kochi) step by step to match the PPM dosage required to achieve the B++ rating. Maximum allowable dosage is 10 PPM. Further for every additional increase in PPM at the Refinery location the joint spindle sampling shall be carried out at the next immediate downstream location as per clause no 5.0 (B).If the B++ rating is achieved the same incremental dosage to be accounted in the PPM dosage at the subsequent downstream locations step by step to match the PPM dosage required to achieve the B++ rating. In case the downstream locations are achieving the B++ rating without any incremental dosage the Vendor may not dose additional incremental PPM at downstream locations. In the above scenario for any reasons not attributable to BPCL, The vendor shall supply all the additional CI product required at Refinery location and downstream location to meet the B++ rating at no extra cost to BPCL. AND 2) All the Corrosion Inhibitor drums of particular batch shall be rejected and no payment shall be done for the batch in case the PPM dosage required to achieve the B++ rating is more than 10 PPM. The vendor shall arrange to replace the rejected batch Corrosion Inhibitor drums available at the respective location at Vendor s own cost within two weeks from the date of test results of Corrosion Inhibitor samples. Page 13 of 22

14 BPCL CRDC technical evaluation shall be treated as final. Any complaint afterwards from the Vendor shall not be entertained. Vendor shall note that if for any reason the Corrosion Inhibitor sample of the fresh batch supplied after rejection of first batch fails for the second time. BPCL reserves the right to cancel/ terminate the contract. BPCL s decision on this will be final and binding to the Vendor. For Example: The pre Bid evaluation gets the grade of HSD un-doped as C. The PPM dosage required to achieve the B++ rating during Bid evaluation as tested by CRDC Noida is 7PPM. The post PO award un-doped HSD sample sent from Mumbai/Bina/Kochi for each batch of CI receipt gets rating C. The PPM dosage NOW required to achieve the B++ rating during as tested by CRDC Noida is 8PPM. Vendor options: Option 1) The additional PPM thus required to be supplied by the Vendor at no extra cost to BPCL is 1PPM at Mumbai/Bina/Kochi. Further joint spindle sample test shall be carried out at Manmad/Kota/Coimbatore for the B++ rating of the pipeline Cargo. In case the B++ is not achieved at Manmad further incremental dosage to be done at Mumbai to a maximum of 10 ppm and spindle samples to be taken at Manmad/Bina/Coimbatore every week till B++ is achieved. For further downstream Manglya, the joint spindle sample as withdrawn at Manglya shall be tested for the B++ rating at the current dosage rate at Manmad. In case the B++ rating is achieved at Manglya with the current PPM dosage then no additional dosage increment is required at manmad in ratio of 60% of Revised Mumbai dosage. In case the B++ rating is not achieved at Manglya with the current PPM dosage then additional dosage increment is required at manmad in ratio of 60% of Revised Mumbai dosage. The additional quantity thus utilized shall not be payable by BPCL to the vendor. AND 2) All the Corrosion Inhibitor drums of particular batch shall be rejected and no payment shall be done for the batch if the PPM requirement for a particular batch to achieve the B++ rating is more than 10 PPM. The vendor shall arrange to replace the rejected batch Corrosion Inhibitor drums available at the respective location at Vendor s own cost within two weeks from the date of test results of Corrosion Inhibitor samples. CASE II: The new CI Batch received at Downstream locations ( excluding Mumbai/Bina/Kochi).The CI batch is tested with the un-doped Mumbai/ Bina/Kochi Tank HSD samples at CRDC Noida Lab and the new batch CI PPM dosage required to achieve the B++ rating is arrived. In case the PPM thus arrived is more than the one required to achieve B++ during Bid evaluation. Page 14 of 22

15 1) Increase the PPM dosage at the downstream location (excluding Mumbai/ Bina/Kochi) to 60% of the PPM as required to achieve the B++ rating as observed In Lab Test. Further for every additional increase in PPM at the Downstream location the joint spindle sampling shall be carried out at the next immediate downstream location as per clause no 5.0 B).If the B++ rating is achieved the same incremental dosage to be continued. In the above scenario for any reasons not attributable to BPCL, The vendor shall supply all the additional CI product required at Refinery location and downstream location to meet the B++ rating at no extra cost to BPCL. If the B++ rating is not achieved at the next immediate downstream location by maintaining 60%(others) /50% (Coimbatore) CI dosage as per the new revised CI PPM as observed during the Lab test with the un-doped HSD, the additional CI above 60%(others) /50% (Coimbatore) of the new revised PPM dosage thus required shall be borne by BPCL. AND 3) All the Corrosion Inhibitor drums of particular batch shall be rejected and no payment shall be done for the batch in case the PPM dosage required to achieve the B++ rating is more than 10 PPM. The vendor shall arrange to replace the rejected batch Corrosion Inhibitor drums available at the respective location at Vendor s own cost within two weeks from the date of test results of Corrosion Inhibitor samples. BPCL CRDC technical evaluation shall be treated as final. Any complaint afterwards from the Vendor shall not be entertained. Vendor shall note that if for any reason the Corrosion Inhibitor sample of the fresh batch supplied after rejection of first batch fails for the second time. BPCL reserves the right to cancel/ terminate the contract. BPCL s decision on this will be final and binding to the Vendor. CASE II For Example: The pre Bid evaluation gets the grade of HSD un-doped as C. The PPM dosage required to achieve the B++ rating during Bid evaluation as tested by CRDC Noida is 7PPM. The post PO award un-doped HSD sample sent from Mumbai/Bina for each batch of CI receipt at Manglya gets rating C. The PPM dosage NOW required to achieve the B++ rating during as tested by CRDC Noida is 8PPM. Vendor options: Option 1) The additional PPM thus required to be supplied by the Vendor at no extra cost to BPCL is 60% of 8PPM at Manglya as against earlier case 60% of 7 PPM. Further joint spindle sample test shall be carried out at Kota for the B++ rating of the pipeline Cargo. In case the B++ is achieved at Kota the incremental dosage to continue at Manglya.The additional CI thus utilized shall not be payable by BPCL to the vendor. Page 15 of 22

16 In case the B++ is not achieved at Kota further incremental dosage to be done at Manglya till B++ is achieved. The additional CI PPM thus required beyond 60% of 8PPM at Manglya shall be borne by BPCL. AND 2) All the Corrosion Inhibitor drums of particular batch shall be rejected and no payment shall be done for the batch in case the PPM dosage required to achieve the B++ rating is more than 10 PPM. The vendor shall arrange to replace the rejected batch Corrosion Inhibitor drums available at the respective location at Vendor s own cost within two weeks from the date of test results of Corrosion Inhibitor samples. 6.3 Acceptance by testing of performance of corrosion inhibitor for Spindle test as per NACE Standard TM or latest. 1. Vendor shall note that Corrosion Inhibitor dosages shall be carried out as illustrated in clause no 7.0 and monitored by BPCL. The sample of the hydrocarbon product (being dosed by vendor supplied corrosion inhibitor) being received at any of our downstream pipeline location shall be taken randomly and tested with NACE TM (Spindle Test) to determine the corrosive properties of cargo in the pipeline. If the spindle test rating gets result as B++ then the corrosion inhibitor is acceptable Vendor shall note that if the spindle test rating goes below B ++ grade for any particular batch for the joint samples collected vide clause no 5 sub clause no B of the contract for no reasons attributed to BPCL, then in that case BPCL shall increase the dosages at the immediate upstream location Stepwise 1ppm till it matches the ppm proposed in the Technical Bid by the Bidder at Refinery locations (Mumbai/ Bina/Kochi) or achieves the required B++ rating at the spindle test at Manmad/Kota/Coimbatore whichever is earlier. The sample of the hydrocarbon product (being dosed by vendor supplied corrosion inhibitor) being received at any of our downstream pipeline location shall be taken randomly in 2 nos. of 1L each and tested with NACE TM (Spindle Test) to determine the corrosive properties of cargo in the pipeline. If the spindle test rating gets result as B++ then the corrosion inhibitor is acceptable. If the 1 st spindle sample fails then the 2 nd 1L sample as collected shall be evaluated for the spindle test in presence of the Vendor. In Case after reaching the C I ppm dosage as proposed by Bidder In technical Bid, the B++ Rating is not achieved then based on the recommendations of vendor to a maximum of 10ppm CI dosage can be done at the Refinery locations. Page 16 of 22

17 In case the B++ Rating is achieved at Manmad/Kota/Coimbatore then based on the recommendations of vendor to a maximum of 10ppm CI dosage of the PPM dosage at Refinery Location shall continue at the risk and cost of vendor to meet the criteria of B++ spindle rating for the batch. The additional corrosion inhibitor quantity used by BPCL beyond the proposed ppm of the bidder in the technical bid for achieving desired spindle test ratings of B++ shall not be payable to the vendor. Further the joint spindle samples withdrawn at other downstream locations excluding Manmad, Kota (Ex Bina),Coimbatore (Ex Kochi), Vendor shall note that if the spindle test rating goes below B ++ grade for any particular batch for the joint samples collected vide clause no 5 sub clause no B of the contract for no reasons attributed to BPCL, then in that case BPCL shall increase the dosages at the immediate upstream location Stepwise 1ppm achieves the required B++ rating at the spindle test. The sample of the hydrocarbon product (being dosed by vendor supplied corrosion inhibitor) being received at any of our downstream pipeline location shall be taken randomly in 2 nos. of 1L each and tested with NACE TM (Spindle Test) to determine the corrosive properties of cargo in the pipeline. If the spindle test rating gets result as B++ then the corrosion inhibitor is acceptable. If the 1 st spindle sample fails then the 2 nd 1L sample as collected shall be evaluated for the spindle test. In Case at other downstream locations excluding Manmad, Kota (Ex Bina),Coimbatore (Ex Kochi)after reaching the 60 %(others)/ 50% (Coimbatore) dosage rate of C I ppm dosage as proposed by Bidder In technical Bid or enhanced by Bidder at Mumbai/Bina/Kochi post testing in Clause no 6.2, B++ Rating is not achieved then additional dosage required at downstream locations excluding Manmad and Kota (Ex Bina) shall be borne by BPCL. The vendor technical team needs to consult to BPCL for discussion on inhibitor performance. In case the B++ rating for the product is not achieved even by putting max acceptable dosing in 10 ppm in Mumbai/Bina, and again upon failing for providing B++ rating in spindle test the contract shall be terminated. In case of termination of the contract the quantity of CI as dosed in the pipeline during the spindle test above shall not be payable to the vendor. 2) Vendor to note if the spindle samples at Manglya, Kota (Manglya- kota), Mathura, Piyala, Jobner, Bijwasan, Karur fail to achieve the B++ rating at dosage rate of 60% of CI dosage in PPM at Bina and Mumbai and 50% of CI dosage at Kochi as observed during the testing as mentioned in clause no 5.0 A), Vendor is not attributable for any additional CI supply free of cost at Manmad, Manglya, Kota (Manglya- kota), Mathura, Piyala, Coimbatore.BPCL shall arrange for additional procurement of CI to meet the demand of CI at the Manmad, Manglya, Kota (Manglya- kota), Mathura, Piyala, Coimbatore to meet the B++ rating. Page 17 of 22

18 7.0 DOSAGE RATE DURING THE CONTRACT PERIOD ILLUSTRATION CASE Location BIDDE R QUOT E (PPM) BPCL CRDC (PPM) BPCL DOSING RATE (PPM) CI DOSING RATE CONSIDERE D FOR PO QUANTITY (PPM) DOSAGE BEYOND WHICH THE QUANTITY SHALL NOT BE PAYABLE TO VENDOR TO ACHIEVE B++ RATING (PPM) THROU GHPUT (MMT) QTY of CI IN MT to be considered for the Purchase Order of the vendor XYZ A B LOWEST (BIDDER) D E=(C*D) (A or B) C 1. Mumbai Manmad (60% of 6PPM =3.6 i.e rounded to nearest integer 4) Manglya (60% of 6PPM=3.6 i.e rounded to nearest integer 4) 2. Bina Kota (60% of 7 PPM =4.2 i.e. rounded to nearest integer 4)) Mathura (60% of 7 PPM =4.2 i.e rounded to nearest integer 4)) Piyala (60% of 7PPM=4.2 i.e rounded to nearest integer 4)) Ex Kota Jobner (60% of 7PPM=4.2 i.e rounded to nearest integer 4)) Kochi Coimbatore (50% of 6 PPM =3 i.e. rounded to nearest integer 4)) Quantity Determination for Evaluation of Offers:- BPCL has invited offers for supply of Corrosion Inhibitor (CI) to nine different locations. The approximate quantity of the Petroleum Products that would be pumped through the Mumbai Manmad Bijwasan pipeline during the contract period of 12 months is given below. Page 18 of 22

19 1. Ex Mumbai : 8.0 MMTPA 2. Ex- Manmad : 2.8 MMTPA 3. Ex- Manglya : 1.2 MMTPA 4. Ex- Kota : 0.70 MMTPA (For Kota Jobner Pipeline) 5. Ex- Mathura : 3.2 MMTPA 6. Ex- Piyala : 0.8 MMTPA 7 Ex- Kota : 3.8 MMTPA 8 Ex Bina : 4.0 MMTPA 9 Ex- Kochi : 3.5 MMTPA 10 Ex- Coimbatore : 1.2 MMTPA As per the past experience of BPCL, the current dosage rate of CI at each location is:- Ex- Refinery Locations - Mumbai & Bina 7 ppm, all other locations 4 ppm. (Approx. 60% of Refinery Locations) Ex- Refinery Locations - Kochi 6 ppm, all other locations 3 ppm. (Approx. 50% of Refinery Locations) Drag Reducing Additive is also injected at Mumbai Location. Based on the above information and other details provided in the tender document, the bidders are required to submit their offer in following format:- Bidder shall propose the Dosing rate for Mumbai, Bina and Kochi only in the technical bid. Location 1. Mumbai 2. Bina 3. Kochi Dosage Rate of Product Offered In ppm These details are required to be indicated in the Technical Bid. The C I samples submitted by each bidder will be analyzed / tested at our CRDC, New Delhi. CRDC will determine dosage rates based on C I sample as provided by bidder for a) for Mumbai b) Bina and c) Kochi. The results obtained by CRDC will be binding on each bidder and same will be considered for evaluation of offers. Page 19 of 22

20 Quantity which will be considered for evaluation is as given below TABLE 1 Location Mumbai Throughput MMT Bina 4.0 Kochi 3.5 Location Throughput MMT Manmad (60% of Mumbai) Manglya (60% of Mumbai) Kota (KJPL) (60% of Mumbai) Location Mathura (60% of Bina 3.2 ) Piyala (60% of Bina) 0.8 Throughput MMT Dosage Rate of Product as obtained by analysis done by BPCL CRDC for vendor XYZ -PPM Dosage Rate of Product as % of PPM as obtained by analysis done by BPCL CRDC for vendor XYZ MUMBAI Dosage Rate of Product as % of PPM as obtained by analysis done by BPCL CRDC for vendor XYZ BINA Quantity in MT to be considered for evaluation of the offer of vendor XYZ Throughput X Dosage Rate(PPM) Quantity in MT to be considered for evaluation of the offer of vendor XYZ Throughput X Dosage Rate(PPM) Quantity in MT to be considered for evaluation of the offer of vendor XYZ Throughput X Dosage Rate(PPM) Kota (KPPL) (60% of Bina) Location Coimbatore (50% of Kochi) Illustration Location Mumbai (Refinery location) Location Downstream location Manmad (60 % of Mumbai) 3.8 Throughput MMT 1.2 Throughput MMT Dosage Rate of Product as % of PPM as obtained by analysis done by BPCL CRDC for vendor XYZ KOCHI Dosage Rate of Product as obtained by analysis done by BPCL CRDC for vendor XYZ PPM MT Throughput MMT Dosage Rate of Product as 60 % of PPM as obtained by analysis done by BPCL CRDC for vendor XYZ Ref Location (Mumbai) MT Quantity in MT to be considered for evaluation of the offer of vendor XYZ Throughput X Dosage Rate(PPM) Annual required Quantity in Throughput X Dosage Rate MT Quantity in MT to be considered for evaluation of the offer of vendor XYZ Throughput X Dosage Rate (PPM) The offers will be evaluated considering the throughput at each location and the dosage rate as obtained by analysis done by BPCL-CRDC for Mumbai, Bina and Kochi and % basis for other locations. Page 20 of 22

21 The total annual required quantity would be worked out (considering all 9 locations) based on dosage rates as per BPCL CRDC analysis for each bidder s sample and % basis for downstream locations and would be used for commercial evaluation to determine lowest offer as illustrated in Table 1. The ordering will be based on overall lowest quote basis and the quantity considered for ordering would be based on total annual required quantity (for all 10 locations) as per vendor recommended dosages as calculated in Table 2. For finalizing the Purchase Order quantity the maximum PPM dosage shall be based on as follows TABLE NO 2ILLUSTRATION CASE Location CI DOSING BPCL RATE QTY of CI IN MT to BIDDER BPCL THROUGH be considered for DOSING CONSIDERED QUOTE CRDC PUT the Purchase RATE FOR PO (PPM) (PPM) (MMT) Order of the (PPM) QUANTITY vendor XYZ (PPM) A B LOWEST (BIDDER) D E=(C*D) (A or B) C 1. Mumbai Manmad (60% of 6PPM =3.6 i.e rounded to nearest integer 4) Manglya (60% of 6PPM=3.6 i.e rounded to nearest integer 4) 2. Bina Kota (60% of 7 PPM =4.2 i.e rounded to nearest integer 4)) Mathura (60% of 7 PPM =4.2 i.e rounded to nearest integer 4)) Piyala (60% of 7PPM=4.2 i.e rounded to nearest integer 4)) Ex Kota - jobner(60% of 7 PPM=4.2 rounded to nearest integer 4)) 2. Kochi Coimbatore (50% of 6 PPM =3 ) Page 21 of 22

22 The evaluation will be based on overall lowest quote basis (table no 1) and the quantity considered for ordering (table no 2 ILLUSTRATION) would be based on total annual required quantity (for all 10 locations) as per vendor recommended dosages at Mumbai, Bina and 60% of the same at other Downstream locations and Kochi and 50% at the other downstream location Coimbatore. 9.0 CONTRACT PERIOD: The contract period would be for ONE YEAR from the date of the LOA or Contract date PENALTY CLAUSE Refer Clause no 6.2 and clause no 6.3 of the scope of work for the additional quantity of CI to be supplied free of cost to BPCL. Page 22 of 22