Request for Proposal for Appointment of Arrangers for ... - GAIL

More documents

Recommendations

Info

B. Order for Compressor stations & ECA Financing 1. As part of the project GAIL has placed a purchase order no. GAIL/ND/C&P/PROJ/DBPL/07-72/04/C-08/48 dated October 20, 2008 on M/s Rolls Royce Energy Systems Inc., USA for supply of GT driven Centrifugal Compressor Packages for Vijaipur & Jhabua stations for Vijaipur – Dadri - Bawana Pipeline project. 2. As per the P.O., total value for supply of the GT Driven Centrifugal Compressor Packages on FOB international sea port of exit basis is US$ 132 million. The expected due date for payment on FoB basis is 5 th January 2010 for approximately US$ 41 million & 5 th March 2010 for balance US$ 91 million. As per the terms of payment, 100% payment would be released against the supply of equipment on FoB and services, if any. 3. It has been confirmed by M/s Rolls Royce that the source of equipments and material for manufacture of the compressor machine is mainly from USA (80%) and balance from other countries. However, actual sourcing of equipments and material for manufacture of the compressor machine mainly from USA would be given by M/s Rolls Royce at the time of due diligence. 4. M/s Rolls Royce has also confirmed that they would extend their full cooperation to GAIL and its arranger including ECA of USA for carrying out the due diligence for financing the compressor machine. 5. GAIL has opened the LC of US$ 130.07 million (after excluding the Indian agent commission payable in India) with M/s IDBI Bank, New Delhi in terms of purchase order. It is proposed that after finalization of ECA backed loan, the payment through LC may be substituted by direct payment by the lenders to the vendor or any other method as mutually agreed upon in consultation with the vendor and ECA. 6. GAIL proposes to obtain US Dollar denominated debt funds for the import of GT Driven Centrifugal Compressor Packages. Since this import / procurement is a major foreign currency capital expenditure, therefore, financing of the proposed capex is sought through foreign currency borrowing guaranteed by the ECA of the county from where the export of the capital equipment is being done. 7. In order to finalize the ECA based financing GAIL will follow two stage bidding as discussed below:
1 st Stage bidding In the first stage, the bidders are requested to submit bids for appointment as ‘Arranger’. The Scope of work would include mainly to obtain the guarantee from US Exim or any other ECA. The Scope of Arranger is mentioned in the bid document. 2 nd Stage Bidding In the second stage the bidder(s) who had submitted bids and found qualified in the first stage will be requested to submit bid for cost of debt financing based on the Guarantee from US Exim and indicative term sheet. This RFP is for the purpose for finalization and selection of bank / Arranger for carrying out the Scope defined in the first stage.
Page 1 and 2: Request for Proposal for Appointmen
Page 3: to Sangarur • New Pipeline of 30
Page 7 and 8: 7. GAIL also reserves the right to
Page 9 and 10: Documentary Proof The bidder should
Page 11 and 12: mandate for funding. However, in ca
Page 13 and 14: H. Time Period The time period for
Page 15 and 16: DRAFT CONFIDENTIALITY AGREEMENT Thi
Page 17 and 18: Party and who are informed by Recip

Request for Proposal for Appointment of Arrangers for ... - GAIL

Create successful ePaper yourself

Delete template?

Save as template?