ATTN: PLN CONSTRUCTION LIMITED DATE: 2019-01-02

78 INDUSTRIAL AREA, SECTOR 32, GURUGRAM REF. NO: P158-CBJ-PLN-HDD-LOI-0001

122 001, HARYANA, INDIA PAGES: 01
REGISTTERD OFFICE:
FIRST FLOOR, a-142, RAJU PARK,
SAINIK FARMS (EASTERN AVENUE), KHANPUIR
NEW DELHI 110062, INDIA

FROM: COMMODORE (RTD.) MOQSUMUL QUADER

PROJECT DIRECTOR
JET – A1 PIPELINE FROM PITALGONJ TO KAD INCLUDING
PUMPING FACILITIES & JETTY PROJECT
CMECC -BEL JV

SUBJECT: NOTIFICATION OF AWARD (NOA) TO PLN CONSTRUCTION FOR HORIZONTAL DIRECTIONAL DRILLING
(HDD) OF ROAD/RAIL/WATERWAY CROSSING OF PIPELINE CONSTRUCTION WORK OF THE PROJECT
“CONSTRUCTION OF JET A-1 PIPELINE FROM PITALGANJ TO KAD INCLUDING PUMPING FACILITIES &
JETTY”

Dear Concern,

This is to notify you that, in response to the Request for Quotation having reference number P158-PR-RFQ-PL-
0002-00; dated 16/10/2019, the offer submitted by you on 19th December, 2019 for execution of Horizontal
Directional Drilling (HDD) of Road/Rail/Waterway Crossing of Pipeline Construction Work is accepted by CMECC-
BEL JV. Refer to the above-mentioned commercial proposal, unit price offered for HDD works, CMECC-BEL JV
would like to award the work mentioned in the RFQ to the PLN CONSTRUCTION LIMITED at USD. 790 (USD. Seven
Hundred and Ninety only) Per Meter length of HDD Crossing (Excluding VAT & AIT). Considering approximate
crossing length 2000 Meter and agreed unit price USD. 790 per meter, Provisional contractual amount for this
work shall be USD 1,580,000.00 (USD One Million Five Hundred and Eighty Thousand only). The final payable
amount or actual contractual amount shall be determined as per actual work done quantity at site.

PLN Constructions Limited is hereby requested to furnish the Performance Guarantee, amounting equivalent to
5% of the Provisional Contractual Amount with a validity of 18 Months from the date of issuance of this NOA, in
favor of CMECC-BEL JV within 28 days and enter into the contract agreement within the same period in
accordance with the conditions of the contract. This will cover project performance guarantee during project
implementation period of 06 months from the date of acceptance of this NOA to the date of obtaining PAC by
PLN CONSTRUCTION LIMITED and rest 12 months from the date of obtaining PAC as performance warranty.

PLN Constructions Limited is hereby notified that, CMECC-BEL JV is issuing this NOA by considering the following
terms and these terms will be elaborately included along with other terms in the contract agreement.

1. SCOPE OF CMECC BEL JV:

Following items will be supplied by CMECC-BEL JV, any material is not mentioned bellow shall be provided
and arranged by PLN CONSTRUCTION LIMITED, without any additional financial charge.

a. 8” API 5L x52 FBE Coated Mainline Pipe

b. 6” Casing Pipe
c. Coating repair material and Heat shrinkable sleeves.
d. Welding Electrodes for Mainline Pipe
 Apart of the material supply, CMECC -BEL JV shall only be responsible to arrange necessary authority
permission for crossing, pipeline route and ROW having width 12 meter. Rest of all necessary arrangement
and supply of material to perform the scope of work shall be on PLN CONSTRUCTION LIMITED.

2. SCOPE OF PLN CONSTRUCTION LIMITED:

a. Detailed engineering & HDD Profile layout of HDD Crossings along with necessary calculations to
get it approved by POCL.
b. PLN Construction will finalize all the detailed engineering documents and profile drawings and
start placing for approval within 15 days from the date of acceptance of this NOA.
c. Project Specific HDD Crossing Profile drawing, Construction drawing, Detailed BOQ, List of
Material Take off, Detailed work break up and schedule, Project Execution Plan and all required
construction documents related to construction, quality control, HSE and Procurement along with
inspection & testing plans and report shall be prepared by PLN Construction. As-Built drawings
and documents shall also be prepared by PLN Construction.
d. PLN Construction shall supply the following materials, but their scope shall not be confined into
the materials mentioned here. Any material required to carry-out the work and not included in
supply scope of CMECC-BEL JV shall be arranged and supplied by PLN Construction.
i. Bentonite
ii. Drilling equipment along will all required accessories, qualified operator, technicians and
fuel.
iii. Mainline pipe welding & testing equipment, tools and qualified personnel.
iv. Necessary arrangement for Pre & Post pressure test, cleaning & drying including but not
limited to testing water, testing pump, nitrogen gas, pig launcher -receiver, pig and other
necessary materials along with qualified personnel.
v. Any other necessary and required materials, calculations and required manpower to
carry-out the work on time.
e. Mainline pipe and casing pipe construction, testing, commissioning and Tie-in (in applicable cases)
f. Other required document, material, facilities and personnel to carry out the scope as per RFQ
P158-PR-RFQ-PL-0002-00; dated 16/10/2019 shall be provided and arranged by PLN
CONSTRUCTION LIMITED

3. MILESTONE FOR PROGRESS PAYMENT:

Progress payment shall be made to PLN Constructions at the following milestones only. No advance payment
shall be made to PLN Construction Limited

PROGRES
SI NO MILESTONE DETAILS
PERCENTAGE
1 Detail Engineering documents & Profile Drawing approval 10%
Mobilization of HDD Rig spread along with other necessary accessories, tools
2 15%
and Consumables on site (Except the materials supplied by CMECC BEL JV)
Completion of HDD Crossing, Post Hydrotest and reinstatement of each
3 75%
crossing.
4. PAYMENT TERMS:

a. Unit Price for Per Meter HDD Crossing shall be USD 790.00 and this shall remain unchanged
regardless the final length of crossing.
b. Payable amount shall be determined by multiplying the unit price with crossing length. Provisional
contractual amount shall be USD 1,580,000.00
c. 40% of the total payable amount shall be paid thru irrevocable confirmed Letter of Credit (L/C) and
rest 60% shall be paid in local currency (BDT) in the form of Bank Cheques. Payable amount shall be
calculated at the Exchange rate of 1 USD = 85 BDT as on date. Any change in exchange rate shall have
no effect on this Unit Price or payable amount.
d. Unit Price is excluding VAT & AIT only. Any applicable government taxes shall be born by PLN
Constructions.

5. MILESTONE DEADLINES:

a. Detail Engineering documents & HDD Profile drawing

submission for client approval : 15 days from the date of issuance of NOA

b. Mobilization of HDD Equipment and required

consumables on site : 35 days from the date of issuance of NOA

c. HDD Crossing completion including Mainline & Casing

Pipe welding, Pre & Post-Hydrotest and re-instatement: 60 days from the date of issuance of NOA.

PLN Construction Limited is hereby requested to accept the NOA and revert it back to CMECC – BEL JV by 05
(Five) working days form the date of issuance. At the same time, PLN Construction Limited is also requested
to take necessary action to mobilize resources as agreed earlier and comply with the requirements to get into
the contract agreement. Failure to comply any of the deadlines will be treated as unwillingness to carry-out
the work and this NOA shall be terminated with a notification to PLN Construction Limited.

With Regards

Commodore (Rtd.) Moqsumul Quader

Project Director
Jet A-1 Pipeline from Pitalganj to KAD
Including Pumping felicities and Jetty
ACKNOWLEDGEMENT AND COMMENT/ACCEPTANCE OF NOA:

For and on-behalf of PLN Constructions Limited

Name : [Name of the authorized signatory]

Designation in the company :
Contact :