NATURAL GAS SUPPLY TO IPP’s KG BASIN … GAS SUPPLY TO IPP’s KG BASIN ... Marine insurance @ 1% of FOB price. iii) ... Indian Vendor :

D:\rajesh\IPPS - KG Basin\Part-C(PK)\Insulating Joints\Vol I\IFB-IJ.doc

GAIL (India) Limited (A Govt. of India Undertaking)

NEW DELHI, INDIA

NATURAL GAS SUPPLY TO IPP’s KG BASIN THROUGH RELIANCE CONNECTIVITY

BID DOCUMENT FOR PROCUREMENT OF

INSULATING JOINTS

UNDER LIMITED INTERNATIONAL

COMPETITIVE BIDDING

Bid Document No.: 05/51/23J8(Part C-RIL)/GAIL/009

VOLUME – II OF II

PREPARED AND ISSUED BY

MECON LIMITED (A Govt. of India Undertaking)

Delhi, India

1

TENDER FOR INSULATING JOINTS FOR NATURAL GAS SUPPLY TO IPP’s KG BASIN

THROUGH RELIANCE CONNECTIVITY

GAIL (India) Limited

Bid No. 05/51/23J8(Part C-RIL)/GAIL/009

MECON LIMITED

INDEX OF

BID DOCUMENT

VOLUME – I OF II

Section-I : Invitation for bids (IFB) Section-II : Instructions to Bidder (ITB) Section-III : General Conditions of Contract (GCC – Goods) Attachment-I to GCC, Forms & Formats

VOLUME – II OF II

Section-IV : Special Conditions of Contract (SCC) Section-V : Brief Summary of Agreed Terms & Conditions Section-VI : Material Requisition and Technical Specification Section-VII : Bid Form Section-VIII : VOID Section-IX : Price Schedule / SOR

Section-X : Drawings

2





MECON LIMITED

SECTION-WISE CONTENT LIST

Volume – I of II

Section – I – Invitation for Bid – Volume I of II Section – II - INSTRUCTION TO BIDDER – Volume I of II A. GENERAL 1. Scope of Bid 2. Eligible Bidder 3. One Bid per Bidder 4. Bidder Eligibility 5. Cost of Bidding B. BIDDING DOCUMENT 6. Content of Bidding Document 7. Clarification of Bidding Documents 8. Amendment of Bidding Documents C. PREPARATION OF BIDS 9. Language of Bid 10 Documents Comprising the Bids 11. Bid Form & Price Schedule 12. Bid Prices 13 Bid Currencies 14 Documents Establishing Bidder's Eligibility and Qualification 15 Documents Establishing (Goods' Eligibility and Conformity) to Bidding Documents 16 Period of Validity of Bids 17 Bid Security 18. Pre-Bid meeting 19 Format and Signing of Bid 20 Zero Deviation 21 E-Payment 22 Agent/ consultant/ Representative/ Retainer/ Associate D. SUBMISSION OF BIDS 23. Sealing and marking of bids 24 Deadline for Submission of Bid 25 Late Bids 26 Modification And Withdrawal of Bids

3





MECON LIMITED

E. OPENING AND EVALUATION OF BIDS 27 Bid Opening 28 Process to be Confidential 29 Contacting the Purchaser 30 Preliminary Examination of Bids 31 Price-Bid Opening 32 Arithmetic Corrections 33 Conversion To Single Currency 34 Evaluation And Comparison of Bids 35 Domestic Preference 36 Purchase Preference F. AWARD OF CONTRACT 37 Post Qualification 38 Award Criteria 39 PURCHASER's Right to Vary Quantities at Time of Award 40 PURCHASER's Right to Accept Any Bid and To reject Any or All Bids 41 Notification of Award/ Fax of Intent 42 Acceptance of Purchase Order 43 Performance Guarantee 44 Income Tax Liability 45 Corrupt or Fraudulent Practices Section – III – General Conditions of Contract-GOODS – Volume I of II 1. Definitions 2. Seller to inform 3 Application 4. Country of origin 5. Scope of Contract 6. Standards 7. Instructions, direction & correspondence 8. Contract Obligations 9. Modification in Contract 10. Use of Contract Documents & Information 11. Patent Rights, Liability & Compliance of Regulations 12. Performance Guarantee 13. Inspection, Testing & Expediting 14. Time Schedule & Progress Reporting 15. Delivery & Documents 16. Transit Risk Insurance 17. Transportation 18. Incidental Services 19. Spare Parts, Maintenance Tools, Lubricants 20. Guarantee 21. Terms of Payment 22. Prices

4





MECON LIMITED

23. Subletting & assignment 24. Time as Essence of Contract 25. Delays in the Seller’s Performance 26. Price Reduction Schedule for Delayed delivery 27. Rejections, Removal of rejected equipment & replacement 28. Termination of Contract 29. Force Majeure 30. Resolution of disputes/arbitration 31. Governing Language 32. Notices 33. Taxes & Duties 34. Books & Records 35. Permits & Certificates 36. General 37. Import Licence 38. Fall clause 39. Publicity & Advertising 40 Repeat Order 41 Limitation of Liability Attachment-I to GCC – Volume I of II Forms and Format F – 1 Bidder’s General Information F – 2 Bid Form F – 3 List of Enclosures with Part – I (Unpriced Bid) F – 3A Annual Turnover F – 4 Proforma for Bank Guarantee for Earnest Money Deposit/ Bid Security F – 4A Proforma for Letter of Credit for Bid Security F – 5 Proforma for Letter of Authority F – 6 No Deviation Confirmation F – 7 Certificate F – 8 Proforma for Bank Guarantee for Performance Guarantee F – 9A Packing, Marking and Shipping Instructions

(for ICB Tenders) F – 9B Packing, Marking and Shipping Instructions

(for Domestic Tenders)

5





MECON LIMITED

Volume – II of II Section – IV – Special Conditions of Contract – Volume II of II

1. Scope of Supply 2. Delivery Schedule 3. Payment Terms 4. Price Reduction Schedule 5. Bid Evaluation and Comparison Criteria 6. Port of Destination 7. General Information-Consignee Address, Paying Authority etc.

Section – V – Brief Summary of Agreed Terms – Volume II of II & Conditions

Section – VI – Material Requisition and – Volume II of II Technical Specification Section – VII – Bid Form – Volume II of II Section – IX – Price Schedule / Schedule of Rates (SOR) – Volume II of II Section – X – Drawings – Volume II of II

6

GAIL (India)

Limited

TENDER FOR INSULATING JOINTS FOR NATURAL GAS SUPPLY TO IPP’s KG BASIN THROUGH RELIANCE

CONNECTIVITY

Bid No. 05/51/23J8(Part C-RIL)/GAIL/009 MECON LIMITED

SECTION - IV

SPECIAL CONDITIONS OF CONTRACT (SCC)

7

GAIL (India)

Limited


CONNECTIVITY


SECTION - IV SPECIAL CONDITIONS OF CONTRACT (SCC)

C O N T E N T

1.0 SCOPE OF SUPPLY 2.0 DELIVERY SCHEDULE 3.0 PAYMENT TERMS 4.0 PRICE REDUCTION SCHEDULE 5.0 BID EVALUATION AND COMPARISON CRITERIA 6.0 PORT OF DESTINATION 7.0 GENERAL INFORMATION – CONSIGNEE ADDRESS, PAYING AUTHORITY ETC.

8

GAIL (India)

Limited


CONNECTIVITY


SECTION - IV

SPECIAL CONDITIONS OF CONTRACT (SCC)

The following articles shall supplement the Instructions to Bidders and General Conditions of Contract (GCC Goods). In case any conflict between General Conditions of Contract and Special Conditions of Contract, the latter shall prevail to the extent applicable. 1. Scope of Supply The scope of supply shall be as given in Material Requisition and Technical Specifications

(Section-VI of Volume II). 2. Delivery Schedule

For Indian Bidder : 14 weeks from the date of FOI on FOT site basis

For Foreign Bidder : 10 weeks from the date of FOI on FOB port of exit basis. 3. Payment Terms

The terms of payment shall be as follows:

For Indian Bidders only

- 90 % (Ninety percent) payment through bank against despatch documents.

- 10% (ten percent) within 30 (thirty) days after receipt and acceptance of goods at site alongwith submission of complete as-built documentation and manuals.

For Foreign Bidders only

- 100% (one hundred percent) of order value through an irrevocable letter of credit on submission of shipping documents required as per Packing, Marking, Shipping and Documentation Specification for Imported Materials. The letter of credit shall be established after the seller submits the performance bank guarantee alongwith the unqualified Acceptance of Purchase Order.

4. Price Reduction Schedule:

Clause 26.1.1 of GCC shall be appended with the words “including subsequent modification”

9

GAIL (India)

Limited


CONNECTIVITY


5. Bid Evaluation and Comparison Criteria Clause 34.2 (B) of ITB of tender document, Vol. I of II stands modified as per following:-

B) Foreign Bidders:

The evaluated price of foreign bidders shall include the following:

i) Quoted CFR Prices ii) Marine insurance @ 1% of FOB price. iii) Landing charges @1% on CIF value, if applicable.

iv) Prevailing rate of Customs duty* on (CIF value + Landing charges)

* Project rate/ merit rate/ customs duty as applicable.

6. Port of Destination

Port of destination shall be Mumbai port of India.

7. General Information relating to Consignee address, Banker’s Name, Paying

Authority, Insurance Agent etc.: - Location & Address of project

Consignee Address : Manager (C&P)

GAIL (India) Limited, GAIL Bhavan , AVA Road Rajahmundry - 533103 Andhra Pradesh Kind Attn : Sh V Srinivasulu E-Mail : [email protected] Fax no. : +91-11-26185941 Extn 5509#) Store Address GAIL (India) Limited NH – 5 Road, Near ONGC Base Complex, Lalacheruvu, Rajahmundry

- Name & Address of the Bankers : a) For Indian Supplies : State Bank of India

Main Branch, Kambala Tank, Rajahmundry, Code No. : 0904 Distt : East Godavari Andhra Pradesh – 533 103

10

mailto:[email protected]

GAIL (India)

Limited


CONNECTIVITY


b) For imported supplies : State Bank of India CAG Branch, Jawahar Vayapar Bhawan, STC, Building, 1 Tolstoy Marg, New Delhi 110001

- CST Number :

KDA/08/1633 DATED 28.11.1997

- Local Sales Tax No. :

KDA/08/03/2780 dated 28.11.1997

- VAT TIN NO :

287002000088 Dated 21.03.2003

- Service Tax Registration No. :

TTPL/5/RANGEI/RJY/VSPII/2005-2006/GAIL (I) LTD

- Paying Authority :

i) Indigenous : Sr Manager (F&A) GAIL (India) Limited GAIL Bhavan , AVA Road Rajahmundry - 533103 Andhra Pradesh Kind Attn : Sh S Sampath E Mail : [email protected] Fax no. : +91-11-26185941 Extn 3009#

ii) Imported : GM (F&A) GAIL (India) Limited 16 Bhikaiji Cama Place, R.K. Puram, New Delhi – 110 066. Kind Attn.: Shri P. K. Jain E-mail : [email protected] Fax No.: 91-11-26185941Extn. 1055#

- Name & Address of consignee for import at seaport/ airport of entry

: Manager (C&P) GAIL (India) Limited MMRDA Building , 3rd Floor Bandra Kurla Complex Bandra (East) Mumbai – 4001 051 Kind Attn : Sh K B Biswas Ph. No. 0091 – 22 – 26592261 / 62 E- Mail : [email protected] Fax No. 0091 – 11 – 26185941 Extn 0280#

- Whether certificate for availing

concessional project rate of : Yes

11




GAIL (India)

Limited


CONNECTIVITY


custom duty will be given. - Can client issue C Form for :

a) Concessional rate of CST : N/A b) Concessional rate of ST : N/A

- Name of Address of insurance agency

: M/s Oriental Insurance Co. Ltd., Divisional Office No. 6, Manjusa Building, 2nd Floor, 57, Nehru Place, New Delhi – 110 019 Kind Attn: Mr. Rahul Dugal Sr. Divisional Manager Mobile: 09810903292 Ms. Usha Asst. Divisional Manager Ph No.: 91-11-26435761 91-11-26432320 91-11-26433351 Fax No.: 91-11-26435761

A) Indian Vendor : Policy No. 211600/21/2007/4 Dated 01.04.2006

(Renewed Policy No Shall be informed at

time of place of PO)

B) Foreign Vendor : Policy No. 211600/21/2007/3 Dated 01.04.2006

(Renewed Policy No Shall be informed at time of place of PO)

- Preferred mode of despatch : Imports : Sea Domestic : By Road

- Inspection agency for indigenous and imported items

: MECON Limited

12


TENDER FOR INSULATING JOINTS FOR

ODURU JUNCTION POINT TO KAKINADA & KCJP NATURAL

GAS PIPLEINE PROJECT OF M/s GAIL IN K.G. BASIN (RIL

CONNECTIVITY)

Bid No. 05/51/23J8/GAIL/009

MECON LIMITED

D:\Arun\Gautam\IPP's KG Basin\Part-C\Tender RFQ\IJ\Volume-II of II - Insulating Joints.doc

SECTION – V

BRIEF SUMMARY OF AGREED TERMS & CONDITIONS

13



CONNECTIVITY


D:\rajesh\IPPS - KG Basin\Part-C(PK)\Insulating Joints\Vol II\Section - V - Brief Summary.doc

SECTION - V BRIEF SUMMARY OF AGREED TERMS AND CONDITIONS

Following shall be duly filled in and should be returned by the bidder alongwith each copy of Unpriced part of Bid/ Offer

Sl. No.

Description Bidder's Confirmation

1 Bidder’s details: a) Name b) Full address c) Tel No. d) Fax No. e) Email f) Name & designation of the person signing the bid 2 Manufacturer's Details, in case the bidder is not

manufacturer: a) Name b) Full address c) Tel No. d) Fax No. e) Email f) Name & designation of the Contact person.

2A Submission of bid by Foreign Bidder INVOLVING Indian Agent and/ or Idnian Associate. In case Indian Agent

Bids should be submitted directly by the Foreign Bidder without involving Indian Agent.

a) In case of foreign bidders insisting for having an Indian Agent, please furnish following :

i. The unavoidable justification for engaging the Indian Agent.

ii. Name & complete address of Indian Agent

iii. Tel. No.

iv. Fax No.

v. E-mail address

vi. RBI Registration No.

14



CONNECTIVITY



Sl. No.


(Indian agent are required to get themselves registered with Reserve Bank of India). The payment to Indian Agent shall only be remitted after getting proof of registration with RBI, New Delhi. The payment to Overseas supplier shall be released through L/C after deducting the Indian Agent’s Commission.

b) Indicate Agency Commission included in Quoted Prices as percentage of quoted CIF prices (payable in equivalent non-convertible Indian Rupees upon complete execution of order & supplies are received & accepted at site)

3 The followings are to be enclosed alongwith the bid: a) Power of Attorney of the person signing the bid b) Letter of Authority of the person attending the bid opening. c) In case bidder is not manufacturer:

Letter of authority from the manufacturer that they will meet

the commitment of the bidder and supply the material in time, as required.

4 Indicate Country of origin of offered GOODS

5 Indicate despatch point (Place of despatch)

6 Bid Security details:

a) Name & Address of issuing Bank b) Security No. & Date c) Value (Rs .............. ) d) Validity {Valid minimum for 6(six) months from Bid Due date}

e) Details of issuing bank i. Name ii. Full address iii. Tel No. iv. Fax No. v. Email vi. Name & designation of the Contact person. 7 Please indicate the following for opening of LC (in case of

foreign bidder) :- a) Bank Name

b) Bank Address

c) Account No.

15



CONNECTIVITY



Sl. No.


8 Validity of Bid

{Valid minimum for 4(four) months from the Bid Due date}

9 a) Please confirm that the scope of work is complete as per tender requirement.

b) If reply to (a) is 'No', have all 'Exception & Deviation' been furnished in the format attached with bid document.

c) Confirm there are no 'Exception & Deviation' other than those indicated as (b) above and if indicated in offer else where the same shall be considered 'NULL & VOID'.

10 Delivery Period/ completion period

Confirm your acceptance of delivery period / completion period as per requirement Specified in bid Document in Delivery Schedule' on FOT Site Basis(for Indian Bidder)/FOB Port of Exit basis(for foreign bidder), to be reckoned from date of Fax of Intent (FOI).

11 Currency of Offer

a) Please indicate the currency in which the offer is submitted.

b) Please confirm that currency once quoted shall not be permitted to be changed.

c) Confirm that all correspondences will be in English language only.

12 Price a) Ensure and confirm that unit prices Quoted in ‘Price Schedule’,

(i.e. Schedule of Rates) on FOT Site Basis/FOB Port of exit & on CFR basis.

b) Please confirm that price quoted are as per 'Price Format' given in tender document without any change.

c) Confirm that the tender document is carefully studied & understood.

d) Confirm quoted prices will remain firm and fixed till complete execution of the order. Fax of Intent (FOI), placed within offer validity, shall be considered as ‘Notification of Award of Contract’.

13 Spares (Article – 19 of GCC)

Confirm that 2 years Spares if required in Bid Document, has been quoted on FOT Site/FOB port of exit Basis and Freight charges have also been indicated separately.

16



CONNECTIVITY



Sl. No.


14 Freight Charges

Ensure & confirm that firm freight charges upto Site has been quoted separately for each item.

15 Transit Insurance

Confirm that Transit Insurance beyond FOB Port of exit (for foreign bidder)/ FOT Despatch Point (for Indian Bidder) is excluded in the quoted prices as per tender document.

16.

Taxes & Duties

Please confirm that following :-

a) The un-priced SOR has been submitted with Part – I’ o‘ f the offer as per following: -

b) Each row/column of SOR has been marked with “Quoted” or “Not Quoted” as the case may be and no cell shall be left blank.

c) Following information has been provided in un-priced SOR (if more than one rate are applicable all the rates are to be mentioned).

i) Rate of excise duty ii) Rate of Sales Tax without ‘C’ Form

iii) Rate of Local Sales Tax (if applicable)

iv) VAT

d) All taxes & duties, levies incurred until delivery of the contracted goods, shall be borne and paid by the bidder. However, Sales tax & Excise Duty on finished products shall be reimbursed by the Purchaser. (limited to provisions as per bid document).

e) The statutory variation in Sales Tax & Excise duty (payable on finished product) if any, within the contractual delivery period shall be to the Owner account.

f) Confirm in case of delay in delivery beyond CDD, any new or additional taxes and duties imposed after contractual delivery shall be to Bidder's account & any decrease in the rate shall be passed on to the owner.

g) Excise Duty i) Bid Document calls for Spares, (Mandatory/2 years) where,

generally more than one rate of ED are applicable then such rates as considered in offer are to be indicated in the itemised Spare parts list.

ii) If there is any variation in Excise Duty at the time of supplies for any reason, other than statutory, including turnover, confirm the same will be borne by bidder.

17



CONNECTIVITY



Sl. No.


iii) It is noted and confirmed that statutory variation in ED within contractual delivery shall be to Purchaser’s account.

iv) If excise duty is presently not applicable, confirm the same will be borne by bidder in case it becomes leviable later.

v) In case (ii) or (iv) is not acceptable, advise maximum rate of excise duty chargeable. (same shall be considered by Purchaser for price evaluation & comparison).

17 Price Reduction Schedule: a) Confirm acceptance of Price Reduction Schedule (PRS) as per

GCC i) For delay in completion/ delivery beyond contractually

agreed delivery schedule as specified in the Bid Document.

ii) For deficiency in performance & services as per provision of Volume - II of tender document. The invoice shall be submitted for the amount duly reduced to the extent of PRS.

18 Confirm acceptance of relevant Terms of Payment as specified in the Bid Document.

a) It is noted and confirmed that deviations to 'Terms & Conditions of Payment' shall lead to loading of prices or rejection of offer, as Purchaser considers fit.

b) All the Deviation on 'Payment Terms & Conditions' have been indicated in 'Exception & Deviation' format (including annexure, if any) and have not been repeated in the bid/offer.

It is confirmed that payment Terms & Conditions indicated elsewhere including any Printed Terms & Conditions, shall not be considered by Purchaser .

19 Guarantee / Warrantee Confirm that the GOODS shall be guaranteed against defective

materials/workmanship etc. for a period of 24 months from the date of last shipment or 12 months from the commissioning date, whichever is earlier, as per Guarantee/warrantee conditions of Bid Document.

20 Contract-cum-Performance BG. Confirm that Contract-cum-Equipment-Performance Bank

Guarantee (CPBG) for 10% of order/contract value shall be furnished as per provision of bid document, valid for 3 months beyond the expiry of Guarantee/Warranty period as per terms of Bid Document.

21 Inspection (Article – 13 of GCC) a) Confirm acceptance to inspection requirement as per Bid

Document.

18



CONNECTIVITY



Sl. No.


b) As inspection & certification of all goods may also be conducted by Purchaser /MECON confirm there shall be no extra charges, since all personal & incidental expenses of MECON/Owner’s Inspectors shall be borne by the Owner.

22. Part order Confirm acceptance to PART ORDER. Incase of part ordering,

charges if quoted lumpsum and/or applicable to more than one item, shall be prorated on value basis.

23 Repeat Order

Confirm acceptance of repeat order(s) upto 50% of contract amount with mutual consent within 6 months from the date of basic order, as per terms of Bid Document.

24 Quantity Variation PURCHASER reserves the right at the time of award of ORDER

to increase or decrease by upto 15 % the quantity of GOODS specified in the Material Requisition, without any change in unit price or other terms and conditions. Variation beyond this limit will be subject to mutual agreement between the PURCHASER and the Seller.

25 Confirm that all Bank charges associated with Bidder’s Bank shall be borne by Bidder.

26 Confirm that all document, as per Article – 10 of ITB, have been enclosed.

27 Confirm that Purchaser reserves the right to make any change in the terms & conditions of the Bid Document and to reject any or all bids including those received late or incomplete.

28 Please indicate the website (i.e. www.gailonline.com or www.mecon.co.in) from where you have downloaded the tender document.

29 Declaration by Bidder a) Confirm acceptance in toto of the Terms & Conditions

contained in the bid document in two Volume - I & II. Deviation, if any, have been listed in 'Exception & Devaition' format.

b) Confirmed that all the terms & conditions have been indicated in this format (including annexure, if any) and have not been repeated in the bid elsewhere. It is noted and confirmed that Terms & Conditions indicated elsewhere including any Printed Terms & Conditions, shall not be considered by Owner.

19

http://www.gailonline.com/

http://www.mecon.co.in/



CONNECTIVITY



Sl. No.


c) Confirm that any of the Directors of bidder is not a relative of any Director of Purchaser or the Bidder is a firm in which any Director of Owner or his relative is a partner or the Bidder is a private company in which any Director of Owner is a member or Director.

d) Confirm that you have not been banned or delisted by any Government or Quasi-Government agencies or Public Sector Undertaking. If you have been banned delisted then this fact must be clearly stated in the column.

e) Foreign Bidder If the foreign bidder becomes successful bidder, order will be placed on FOB basis by fax of intent with purchaser’s right to convert the same to quoted CFR prices before 15 days of contractual completion period. Please confirm.

Bidder Signature: Name: Designation Stamp

20





CONNECTIVITY)

Bid No. 05/51/23J8/GAIL/009

MECON LIMITED


SECTION – VI

MATERIAL REQUISITION AND

TECHNICAL SPECIFICATION

21





CONNECTIVITY)

Bid No. 05/51/23J8/GAIL/009

MECON LIMITED


MATERIAL REQUISITION

22





CONNECTIVITY)

Bid No. 05/51/23J8/GAIL/009

MECON LIMITED


SECTION-VI

MATERIAL REQUISITION (MR No. : MEC/23J8/05/21/M/001/S009)

Project : Natural Gas Pipeline Project From Oduru Junction Point To Kakinada & KCJP of

M/s GAIL in K.G. BASIN (RIL Connectivity) Client : GAIL (India) Limited Items : Insulating Joints Tender No. : 05/51/23J8/GAIL/009

MR Item No.

Description Qty. (Nos.)

Remarks Destination

Insulating Joints as per Specification No. MEC/TS/05/62/009, R-0 and Data Sheets as given below :

1.0

Size NB, mm (Inches)

ANSI Rating

Data Sheet No.

1.1 450mm (18”) 600# MEC/VD52/05/21/M/001/DS-009-01 04 Natural Gas GAIL’s Store Rajahmundry,

A..P. 1.2 350mm (14”) 600# MEC/VD52/05/21/M/001/DS-009-02 01 Natural Gas GAIL’s Store

Rajahmundry, A..P.

1.3 300mm (12”) 600# MEC/VD52/05/21/M/001/DS-009-03 01 Natural Gas GAIL’s Store Rajahmundry,

A..P.

23





CONNECTIVITY)

Bid No. 05/51/23J8/GAIL/009

MECON LIMITED


TECHNICAL SPECIFICATION

24

D:\Arun\Gautam\IPP's KG Basin\Part-C\Tender RFQ\IJ\Insulating Joints - 09 - TS.doc

GAIL (India) Limited SPECIFICATION FOR INSULATING JOINTS

SPECIFICATION NO. : MEC/TS/05/62/009, Rev-0

MECON LIMITED DELHI - 110 092

25

MECON LIMITED REGD. OFF RANCHI

PROCESS & PIPING DESIGN SECTION

NEW DELHI

STANDARD SPECIFICATION INSULATING JOINTS

TECHNICAL SPECIFICATION NO. : MEC/TS/05/62/009 REV-0 Page 1 of 10


C O N T E N T S Sl.No. Description 1.0 SCOPE 2.0 REFERENCE DOCUMENTS 3.0 MATERIALS 4.0 DESIGN & CONSTRUCTION REQUIREMENTS 5.0 INSPECTION AND TESTS 6.0 TEST CERTIFICATES 7.0 PAINTING, MARKING AND SHIPMENT 8.0 GUARANTEE 9.0 DOCUMENTATION

PREPARED BY

CHECKED BY

APPROVED BY

26



NEW DELHI




1.0 SCOPE This specification cover the basic requirements for design manufacture, testing

and supply of carbon steel insulating joints to be installed in onshore pipeline systems handling hydrocarbons in liquid or gaseous phase including Liquified Petroleum Gas (LPG).

2.0 REFERENCE DOCUMENTS 2.1 Reference has been made in this specification to the latest edition of, the

following Codes, Standards and Specifications. a) ASME B 31.8 Gas Transmission & Distribution piping

System b) ASME B 31.4 Liquid transportation systems for

hydrocarbons, LPG, Anhydrous Ammonia and Alcohols

c) ASTM A 370 Mechanical testing of Steel Product d) ANSI B 16.25 Butt Welding Ends e) ASME Section Boiler & pressure Vessel Code viii & ix f) API 1104 Standard for welding pipelines and Related

facilities. g) SSPC-VIS-1 Steel Structures painting Council Visual

Standard. h) MSS-SP-53 Quality standard for steel castings and

forgings for valves flanges and fittings and other piping components - magnetic particle examination method.

i) MSS-SP-75 Specification for high test wrought welding fittings.

27



NEW DELHI




j) NACE RP 0286 The electrical isolation of cathodically protected pipelines.

2.2 In case of conflict between the requirements of this specification and any code,

Standard or Specification referred to in this Specification, the requirements of this specification shall govern.

3.0 MATERIALS 3.1 Material for the pressure containing parts of the insulating joints shall be as

indicated in the data sheets. Material for pups shall be equivalent or superior to the material of connecting pipeline which is indicated in the data sheets. Other part shall be as per manufacturer's standard suitable for the service condition indicated in Insulating Joint Data Sheets and shall be subject to approval by purchaser.

3.2 Insulating joints which are subject to field welding by purchaser, shall have

carbon equivalent (CE) not exceeding 0.45 based on check analysis for each heat of steel calculated according to the following formula :

CE = C + Mn/6 + (Cr+Mo+V)/5 + (Ni +Cu)/15 3.3 When specified in the IJ Data Sheet, charpy V-notch test shall be conducted on

each heat of base material, weld metal and heat affected zone of all pressure containing parts such as body, welding ends in accordance with the impact test provisions of ASTM A 370 at a temperature of 0° C. The charpy impact test specimens shall be taken in the direction of principal grain flow and notched perpendicular to the original surface of the plate of forging. Average impact energy value of three full sized specimens shall be 27 joules. Minimum impact energy value of any one specimen shall not be less than 80% of the average impact energy specified. No specimen shall exhibit less than 80% shear area.

3.4 Carbon steel used for the manufacture shall be fully killed 3.5 When specified in data sheet, hardness test shall be carried out as per ASTM

A370 for each heat of steel used. The maximum hardness of base metal, weld metal and heat affected zone of all pressure parts shall be 248 HV10, unless specified otherwise.

28



NEW DELHI




3.6 Insulation material shall be minimum 20 mm thick and shall comply section 5, NACE RP 0286.

4.0 DESIGN & CONSTRUCTION REQUIREMENTS 4.1 Mechanical 4.1.1 Insulating joints shall be of integral type fabricated by welding and with pups on

either side as shown in data sheet. A corrosion allowance as indicated in data sheet shall be considered in design. Bolted and threaded joints are not acceptable.

4.1.2 All materials used for the manufacture of the insulating joint shall be in

accordance with clause 3.0 of this Specification. 4.1.3 Insulating joints shall be designed using the design principles of ASME Section-

VIII Div. 1. The design shall be checked for the following two cases : Case-I : Design Pressure (as per Data Sheet) + Axial Force (F) The Axial force shall be calculated as under : F = 0.1 x S x A Where S = SMYS of connected pipe (refer Data Sheet) A = Metal cross-sectional area of connected pipe.

The allowable stress in this case shall be less than or equal to 0.5 x SMYS of insulating joint material.

Case-II : Hydrostatic Test Pressure The allowable stress in this case shall be less than or equal to 90% of SMYS of

insulating joint material. All design parameters shall be as per Insulating Joint Data Sheet. Detailed

calculations shall be submitted for Purchaser approval.

29



NEW DELHI




4.1.4 Insulating joint design and materials shall be capable of being vacuum tested to 1 millibar.

4.1.5 The joint between pipe pup pieces and main forging shall be full penetration butt

weld type. Weld design shall be such as resulting in a weld joint factor of 1.0. 4.1.6 Butt weld ends shall have ends as per ASME B16.25. However, end preparation

for butt welding ends having unequal thickness with respect to connecting pipe, shall be as per ASME B31.4/ B31.8 as applicable.

4.1.7 The reinforcement of inside weld seam, in case pups fabricated from LSAW

pipes, shall be removed for a distance of at least 50mm from each end. 4.1.8 Insulating joints shall allow free passage of scraper/ instrumented pigs. The

internal bore shall be same as that of connecting pipe including its tolerances. 4.1.9 The insulating joint shall be formed by sandwiching and locking in positions the

insulating material in a bell and spigot type of joint. The joint shall be assembled in such a way that its various components are firmly locked in position and the completed joint is capable of withstanding stresses due to designed operating conditions and field hydrostatic testing.

4.1.10 Insulating joints shall be suitable for aboveground or underground installations

as indicated in the data sheets. 4.1.11 All welds shall be made by welders and welding procedures qualified in

accordance with the provisions ASME section IX. The procedure qualification shall include impact test and hardness test and shall meet the requirements of clause 3.3, 3.5 of this specification.

4.1.12 Repair welding on parent metal is not allowed. Repair of welds shall be carried

out only after specific approval by purchaser's representative for each repair. The repair welding shall be carried out by welders and welding procedures duly qualified as per ASME section IX and records for each repair shall be maintained.

4.1.13 Internal diameter at the welding end shall not vary more than + 1, -3 mm from

the nominal internal diameter.

30



NEW DELHI




4.1.14 Out of roundness measured at the root face of the welding ends shall not be more than 0.5% of the specified inside diameter.

4.2 Electrical 4.2.1 The average dielectric strength of the insulating joint shall be minimum 15 kilo

Volts. 4.2.2 Two cleats as shown in data sheet shall be provided on the pups on either side

of the insulating joint for connecting 10 mm2 and 50 mm2 cables for measurement/ shorting purposes. Cleats shall be attached to the insulating joint by welding.

5.0 INSPECTION AND TESTS 5.1 The manufacture, shall perform all inspection and tests as per the requirements

of this specification and the relevant codes, prior to shipment at his works. Such inspection and tests shall be, but not limited to the following:

5.1.1 All insulating joints shall be visually inspected. 5.1.2 Dimensional checks shall be carried out as per the purchaser approved drawings. 5.1.3 Chemical composition and mechanical properties including hardness shall be

checked as per relevant material standards and this specification, for each heat of steel used.

5.1.4 Non-destructive inspection of insulating joints shall be carried out as given

below: a) 100% radiography shall be carried out on all butt & repair welds of

pressure containing parts. Acceptance limits shall be as per API 1104. Welds which in purchaser's Representative opinion can not be inspected

by radiographic methods,shall be checked by ultrasonic or magnetic particle methods. Acceptance criteria shall be as per ASME Section VIII Appendix-12 and Appendix-6 respectively.

31



NEW DELHI




b) All finished weld ends shall be 100% ultrasonically tested for lamination type defects for a distance of 5Omm from the ends. Any lamination larger than 6.35 mm shall not be acceptable.

c) All forgings shall be wet magnetic particle inspected on 100% of forged

surfaces. Method and acceptance shall comply MSS-SP-53.

d) All fillet weld of thickness < 6mm shall be examined 100% by magnetic particle inspection and ≥ 6mm shall be examined 100% by UT. Accetpance criteria for MPI & UT shall be as per ASME Sec.VIII Appendix-6 & Appendix-12 respectively.

5.1.5 Insulating joint shall be hydrostatically tested to a pressure as indicated in data

sheet. The test duration shall be of 15 minutes. 5.1.6 After the hydrostatic test insulating joints shall be tested with air at 5 kg/cm2 for

10 minutes. The tightness shall be checked by immersion or with a frothing agent. No leakage will be accepted.

5.1.7 Dielectric Test a) Insulation resistance of each insulating joint shall be atleast 25 mega-

ohms when checked with 500-1000 V DC. b) Insulating joint before and after the hydrostatic test, shall be tested for

dielectric integrity for one minute at 5000 V A.C., 50 cycles and the leakage current before and after hydrostatic test shall be equal. Testing time voltage and leakage shall be recorded and certified. No repair shall be permitted to the insulating joints failed in the above mentioned tests.

5.2 Purchaser reserves the right to perform stagewise inspection and witness test as

indicated in Para 5.1 at Manufacturer's works prior to shipment. Manufacturer shall give reasonable notice of time and shall provide without charge reasonable access and facilities required for inspection to the purchaser's Representative .

Inspection and tests performed/witnessed by the Purchaser's Representative

shall in no way relieve the Manufacturer's obligation to perform the required inspection and test.

32



NEW DELHI




6.0 TEST CERTIFICATES 6.1 Manufacturer shall submit following certificates to Purchaser's Representative. a) Test certificates relevant to the chemical analysis and mechanical

properties including hardness of the materials used for construction of insulating joint as per this specification and relevant standards.

b) Test reports on non-destructive testing. c) Test certificates for hydrostatic and air tests. d) Test certificate for electrical test. e) Test report on vacuum test. 7.0 PAINTING, MARKING AND SHIPMENT. 7.1 Insulating joint surface shall be thoroughly cleaned, freed from rust and grease

and applied with sufficient coats of corrosion resistant paint. Surface preparation shall be carried out by shot blasting to SP-6 in accordance with "steel structures painting council - Visual standard SSPC-VIS-l.". External surfaces of burried insulating joints shall be painted with three coats of suitable coal tar epoxy resin with a minimum dry film thickness of 300 microns.

Manufacturer shall indicate the type of corrosion resistant paint used, in the

drawings submitted for approval. 7.2 Insulating joints shall be marked with indelible paint with the following data:- a. Manufacturer's name b. Suitable for inch nominal diameter pipeline c. End thickness in mm d. Material e. Design Pressure/ Hydrostatic Test Pressure

33



NEW DELHI




f. ANSI Class Rating g. Tag No. h. Year of Manufacture 7.3 Insulating joints shall be suitably protected to avoid any damage during transit.

Metallic bevel protectors shall be provided to weld ends. 7.4 Only those insulating joints which have been inspected and certified by

Purchaser shall be shipped. 8.0 GUARANTEE 8.1 The manufacturer shall guarantee that the materials used comply with the

requirements of this specification. 8.2 Manufacturer shall replace or repair insulating joints found defective due to

inadequate engineering or quality of material. 8.3 Manufacturer shall replace the insulating joint without delay if the defect or

malfunctioning can not be eliminated. 8.4 Any defects occurring within 12 months from the date of installation or within 30

months from the date of despatch, whichever is earlier, shall be repaired making all necessary modifications and repair of defective parts free of charge to the purchaser.

9.0 DOCUMENTATION 9.1 All documents shall be in English Language. 9.2 At the time of bidding, Bidder shall submit the following documents:- a) General arrangement drawing along with cross sectional view, overall

dimensions and details of insulating meterials recommended. b) Reference lists of previous supplies of insulating joint of similar

specification.

34



NEW DELHI




c) Clausewise list of deviation from this specification, if any. 9.3 Within three weeks of placement of order, the Manufacturer shall submit four

copies of but not limited to the following drawings, documents and specifications for approval.

a) Fabrication drawings and relevant calculations for pressure containing

parts. b) Welding procedure and method of manufacture for all phases of

manufacture. c) Quality Assurance Plan (QAP) Once the approval has been given by purchaser any changes in design, material

and method of manufacture shall be notified to the Purchaser whose approval in writing of all changes shall be obtained before the insulting joint are manufactured.

9.4 Within four weeks from the approval date Manufacturer shall submit one

reproducible and six copies of the approved drawings, documents and specifications as listed in 9.3 of this specification.

9.5 Prior to shipment, the manufacturer shall submit one reproducible and six copies

of the test certificates as listed in Clause 6.0 of this specification.

35





CONNECTIVITY)

Bid No. 05/51/23J8/GAIL/009

MECON LIMITED


ANNEXURE-I

TO TS No. MEC/TS/05/62/009, Rev-0

GAS COMPOSITION FOR

NATURAL GAS SUPPLY PIPELINE PROJECT FROM ODURU JUNCTION POINT TO KAKINADA & KCJP IN K.G. BASIN (RIL CONNECTIVITY)

Components Mole%

C1 94.63

C2 1.31

C3 1.46

i-C4 0.33

n-C4 0.40

i-C5 0.20

n-C5 0.10

C6+ 0.30

N2 0.34

O2 Nil

CO2 0.27

H2S N.A.

Gas Quality N.A.

Specific Gravity 0.601

36





CONNECTIVITY)

Bid No. 05/51/23J8/GAIL/009

MECON LIMITED


SECTION – VII

BID FORM

37





CONNECTIVITY)

Bid No. 05/51/23J8/GAIL/009

MECON LIMITED


Section – VII

BID FORM – PART - II

To: (Name and address of PURCHASER) Date: Gentlemen, Having examined the Conditions of Contract and Specifications including Addenda Nos. (Insert Numbers) the receipt of which is hereby duly acknowledged, we the undersigned, offer to supply and deliver (Description of Goods and Services) in conformity with the said Drawings, Conditions of Contract and specifications for the same for (total bid amount in words and figures*) or such other sums as may be ascertained in accordance with the Schedule of Prices attached herewith and made part of this bid. We undertake, if our bid is accepted, complete delivery of ……………………………………………… as agreed and specified in the IFB document. If our bid is accepted, we will obtain the guarantee of a Bank in a sum not exceeding (10)% of the Contract price for the due performance of the Contract. We agree to abide by this bid for a period of 4(four) months from the date fixed for bid opening under Instructions to Bidders and it shall remain binding upon us and may be accepted at any time before the expiration of that period. Until a formal contract is prepared and executed, this bid, together with your written acceptance thereof in your notification of award (Fax of Intent) shall constitute a binding Contract between us. We understand that you are not bound to accept the lowest or any bid, you may receive. Dated this Day of 2007

Signature ………………………………….

In the capacity of Duly authorized to sign bid for and on behalf of Witness Address Signature (*) : Quoted amount should be filled in this bid form when it is being submitted

as part of price bid i.e. being enclosed with Part – II of the bid.

38





CONNECTIVITY)

Bid No. 05/51/23J8/GAIL/009

MECON LIMITED


SECTION-IX

PRICE SCHEDULE/ SCHEDULE OF RATES (SOR)

39

FORMAT-I

NAME OF BIDDER :BID DOCUMENT NO. : 05/51/23J8(PART C-RIL)/GAIL/009BID TITLE : NATURAL GAS PIPLEINE PROJECT FROM ODURU JUNCTION POINT TO KAKINADA & KCJP OF M/s GAIL IN K.G. BASIN (RIL CONNECTIVITY)ITEM : INSULATNG JOINTS

Country of origin………………FOB port of exit……………….

Item Qty. Destination CURRENCY Estimated(Nos.) FOB Port of

Loading (Specify Port)

CFR Port of Entry Mumbai

CIF Port of Entry Mumbai

FOB Port of Loading

(Specify Port)(3x5)

CFR Mumbai (3x6)

CIF Mumbai (3x7)

ShippingWeight & Volume

of the Item

(1) (3) (4) (5) (6) (7) (8) (9) (10) (11)1.0 Insulating Joints as per Specification No. MEC/TS/05/62/009, R-0

and Data Sheets attched with the bid document

1.1 4 Rajahmundry 1.2 1 Rajahmundry 1.3 1 Rajahmundry

Indian Agency commission : Indicate percentage of FOB price.

450mm (18”) 600#

ANSISize NB,mm (inches)

(2)

PRICE SCHEDULE FOR FOREIGN (NON-INDIAN) BIDDERS

Unit Price Total PriceDescription

350mm (14”) 600#300mm (12”) 600#

d:\fateh\ipps - kg basin\tender rfq\ball valves\Price Schedule - Non-Indian -Indian - IJ Non-Indian Signature of Bidder Page 1 of 1

40

FORMAT-2

NAME OF BIDDER :BID DOCUMENT NO. : 05/51/23J8(PART C-RIL)/GAIL/009BID TITLE : NATURAL GAS PIPLEINE PROJECT FROM ODURU JUNCTION POINT TO KAKINADA & KCJP OF M/s GAIL IN K.G. BASIN (RIL CONNECTIVITY)ITEM : INSULATNG JOINTS

Sl.No.

Qty.(Nos.)

Destination Unit Price Ex-works including cost of imported

raw material/ components & Project Rate of Customs Duty thereon, pkg/

fwd, but excluding ED & ST on finished

goods

Per Unit Terminal

Excise Duty

Per Unit Sales Tax

Per Unit Freight

upto Project Site by Road

Per Unit FOT Site

(4+5+6+7)

Total FOT Project

Site(3x8)

Total Ex-works(3x4)

CIF value of Imp.

Comp. Per Unit

Included in (4)

Total CIF value of

Imp. Comp.

Included(3x11)

Project Rate of

Customs Duty(CD), Surcharge,

CVD included In (4) **

Domestic Value

addition (in percentage) against the

item if availing Price Preference as per Bid Doc. Article-35 Section-2

(1) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)1.0 Insulating Joints as per Specification No. MEC/TS/05/62/009, R-0

and Data Sheets attched with the bid document

1.1 4 Rajahmundry

1.2 1 Rajahmundry

1.3 1 Rajahmundry

Please indicateExcise Duty @ ………………Sales Tax @Without `C' FormLST @ ………………..VAT @ …… Without any Form

600#

300mm (12”) 600#

mm (inches)

350mm (14”) 600#

450mm (18”)

PRICE SCHEDULE FOR INDIAN BIDDERS

(2)

Description

Size NB, ANSI

d:\fateh\ipps - kg basin\tender rfq\ball valves\Price Schedule - Non-Indian -Indian - IJ Indian Signature of Bidder Page 1 of 1

41





CONNECTIVITY)

Bid No. 05/51/23J8/GAIL/009

MECON LIMITED


SECTION-X

DATA SHEETS & DRAWINGS

42

A = OVERALL LENGTH OF IJ TO BE CONFIRMED BY MANUFACTURER.

1. INSULATING JOINTS MFR. :

2. PURCHASER'S SPECIFICATION NO. : MEC/TS/05/62/09, R-0

3. RATING : 600#

4. DESIGN PRESSURE : 72 KG/CM2(G)

5. DESIGN TEMPERATURE : 65°C

6. SERVICE : Natural Gas

7. CORROSION ALLOWANCE : 1.5 MM

8. SIZE NB (INCHES) : 18"

9. END CONNECTION : BUTT-WELD AT BOTH ENDS

10. DESIGN CODE : ASME SECTION-VIII DIV-I

11. DESIGN FACTOR : 0.5

12. HYDROSTATIC TEST PRESSURE : 108 KG/CM2(G)

13. CHARPY TEST : REQUIRED AS PER SPEC.

14. HARDNESS TEST : REQUIRED AS PER SPEC.

15. MATERIALS SPECIFICATION (EQUIVALENT OR SUPERIOR)A) BODY : ASTM A-694, F-70B) PUPS : API 5L GR. X-70, 8.7 mm THK.C) INSULATING MATERIAL : AS PER MANUFACTURER'S STANDARD

16. CONNECTING PIPE SPECIFICATION SIZE, NB, MM (INCHES) 450 (18")WALL THICKNESS, MM 8.7GRADE API 5L Gr. X-70

17. SPECIAL REQUIREMENTS : INSULATION JOINT SHALL BE SUITABLE FOR ABOVE GROUND INSTALLATION

18. QUANTITY : 04 NOS.(IJ-0201, 0301, 0601, 0701)

REV. NO. DATE ZONE DESCRIPTIONS BY APPRD REVISIONS REFERENCES DRG. NO.

SECTION PROCESS & PIPING CLIENT : GAIL (India) Limited NAME DATE CHKD DATE

DSGN PROJECT : Natural Gas Pipeline Project DRWN in K.G.Basin (RIL Connectivity)

SCALE : REVAPPROVED A.K.JOHRI DATA SHEET FOR DATA SHEET NO.: MEC/23J8/05/21/M/001/DS-009-01 0

INSULATING JOINTS

DATA SHEET FOR INSULATING JOINTS

MECON LIMITED

d:\ipps - kg basin\RIL CONNECTIVITY\IJ\12_inch\Data Sheet - IJ - 01-18 inches43




3. RATING : 600#





8. SIZE NB (INCHES) : 350(14")







15. MATERIALS SPECIFICATION (EQUIVALENT OR SUPERIOR)A) BODY : ASTM A-694 F-52B) PUPS : API 5L Gr. X-52, 12.7 mm THK.C) INSULATING MATERIAL : AS PER MANUFACTURER'S STANDARD

16. CONNECTING PIPE SPECIFICATION SIZE, NB, MM (INCHES) 350 (14")WALL THICKNESS, MM 12.7


18. QUANTITY : 01 NO.(IJ - 0101)





INSULATING JOINTS


MECON LIMITED

d:\ipps - kg basin\RIL CONNECTIVITYij\12_inch\Data Sheet - IJ - 02-14 inches44




3. RATING : 600#





8. SIZE NB (INCHES) : 300(12")







15. MATERIALS SPECIFICATION (EQUIVALENT OR SUPERIOR)A) BODY : ASTM A-694 F-52B) PUPS : API 5L Gr. X-52, 12.7 mm THK.C) INSULATING MATERIAL : AS PER MANUFACTURER'S STANDARD

16. CONNECTING PIPE SPECIFICATION SIZE, NB, MM (INCHES) 300 (12")WALL THICKNESS, MM 12.7


18. QUANTITY : 01 NO.(IJ - 0401)





INSULATING JOINTS


MECON LIMITED

d:\ipps - kg basin\RIL CONNECTIVITY\ij\12_inch\Data Sheet - IJ - 03-12 inches45





CONNECTIVITY)

Bid No. 05/51/23J8/GAIL/009

MECON LIMITED


DRAWINGS

46





CONNECTIVITY)

Bid No. 05/51/23J8/GAIL/009

MECON LIMITED


NIL

47