"Tender No.: 410/2001 Supply and Delivery of Heavy Fuel Oil for 2002 Successful Tenderer Brief Description of Contract Work 1. EXTENT OF CONTRACT - The Contract covers the supply of the following: (a) Item 1: 370.000 tonnes 25% of heavy fuel oil for delivery to Vasilikos E.A.C. installations, to the specification, shown below. (b) Item 2: 340.000 tonnes 25% of heavy fuel oil for delivery to Dhekelia and /or Moni E.A.C. installations, to the specification, shown below. The Contract will cover the supply of heavy fuel oil for orders placed between 1st January 2002 and 31st January 2003 for Item 1 and for orders placed between 1st December 2001 and 31st January 2003 for Item 2. 2. SPECIFICATION 2.1. ITEM 1 Test Method (a) Density kg/l at 15oC max 0,997 IP160 (ASTM D1298) (b) Viscosity cst at 100oC min 12,5 max 45 IP71 (ASTM D445) (c) Flashpoint by Pensky-Martens closed tester oC min 66 IP34 (ASTM D93) (d) Sulphur content % mass max 1,0 IP336 (e) Water content % vol. max 1,0 (ASTM D95) (f) Sediment % mass max 0,15 (ASTM D473) (g) Ash content % mass max 0,08 IP4 (ASTM D482) (h) Sodium content % mass max 0,01 IP288 (ASTM D1318) (i) Vanadium content % mass max 0,02 IP288 (ASTM D1548) (j) Pour Point oC max 28 IP15 (ASTM D97) (k) Asphaltenes % mass max 7 IP143 (l) Net Calorific value (dry oil) GJ/tonne min 40,0 IP12 (ASTM D240) (m) Hot filtration test % max 0,10 IP375 (SMS 2696-83) 2.2. ΙΤΕΜ 2 Test Method (a) Density kg/l at 15oC max 0,997 IP160 (ASTM D1298) (b) Viscosity cst at 100oC min 12,5 max 45 IP71 (ASTM D445) (c) Flashpoint by Pensky-Martens closed tester oC min 66 IP34 (ASTM D93) (d) Sulphur content % mass max 2,0 IP336 (e) Water content % vol. max 1,0 (ASTM D95) (f) Sediment % mass max 0,15 (ASTM D473) (g) Ash content % mass max 0,08 IP4 (ASTM D482) (h) Sodium content % mass max 0,01 IP288 (ASTM D1318) (i) Vanadium content % mass max 0,02 IP288 (ASTM D1548) (j) Pour Point oC max 28 IP15 (ASTM D97) (k) Asphaltenes % mass max 7 IP143 (l) Net Calorific value (dry oil) GJ/tonne min 39,7 IP12 (ASTM D240) (m) Hot filtration test % max 0,10 IP375 (SMS 2696-83) 3. CONDITIONS OF CONTRACT - The Conditions of Contract will be the Electricity Authority of Cyprus conditions and the Contract will be in conformity with the Laws of the Republic of Cyprus and shall be governed by such Laws. 4. SHIPMENT - The ports to which the heavy fuel oil should be shipped, are Vasilikos or Dhekelia or Moni E.A.C. Installations on the South Coast of Cyprus. 5. DELIVERY - Delivery of the heavy fuel oil is to be effected in consignments of 45.000 tonnes each for Item 1 and in consignments of 30.000 or 48.000 tonnes each for Item 2 spread as evenly as possible over the whole contract period and in accordance with the Authority’s needs. 6. PAYMENT - To be effected thirty days after the date of commencement of discharge, by Cash Against Documents through any local Bank carrying out full Banking operations in Cyprus. 7. TENDER DOCUMENTS - Tender Documents will be available from the Electricity Authority of Cyprus as from 6 August 2001 upon payment of C£100 plus V.A.T. for a set of 4 Documents. This payment will not be refundable. Where Tender Documents are to be mailed by the Authority abroad, an additional amount of C£20.- per set should be paid in order to cover packing and postage costs. 8. PRICES - Offers for Item 1 to be based on the following price: (a) The average of the daily mean prices published by Platt’s Oilgram in US Dollars per tonne for FOB Italy for 1% (one pct) sulphur Heavy Fuel Oil during the 15 day period which commences on the date that is 7 calendar days before the stipulated delivery date and ends on the date that is 7 calendar days after the stipulated delivery date. (b) Plus an adjustment in U.S. Dollars per tonne on (a) above for delivery to Vasilikos storage tanks, where delivery includes freight, insurance, tanker berthing, unloading etc. Offers for Item 2 to be based on the following price: (a) The average of the daily mean prices published by Platt’s Oilgram in US Dollars per tonne for FOB Italy for 3,5% (three point five pct) sulphur Heavy Fuel Oil during the 15 day period which commences on the date that is 7 calendar days before the stipulated delivery date and ends on the date that is 7 calendar days after the stipulated delivery date. (b) Plus an adjustment in U.S. Dollars per tonne on (a) above for delivery to Dhekelia and/or Moni storage tanks, where delivery includes freight, insurance, tanker berthing, unloading etc. 9. CLOSING DATE - Tenders are returnable to the Head Office of the Electricity Authority of Cyprus, by 12.00 hours local time on Friday 21 September 2001. 10. PUBLIC OPENING - The Public Opening of the Tenders will take place at the Authority's Head Office on Friday 21 September 2001, at 13.15 hours local time. 11. VALIDITY - Tenders are required to be held open for acceptance for 90 days from the Closing Date specified. 12. TENDER BOND - The Tenderer is required, as a security for the due performance of his obligations under the Tender, to submit with his Tender an Irrevocable Bank Guarantee issued or confirmed by a local bank carrying out full banking operations in Cyprus in the sum of U.S. Dollars 1.000.000 (one million U.S. Dollars). The validity should remain valid up to and including 30 days after the expiration of the Tender validity. The above shall be returnable to the Tenderer's Banker if his Tender is not accepted. 13. PERFORMANCE BOND - The successful Tenderer will be required to furnish a Performance Bond issued or confirmed by a local bank carrying out full banking operations in Cyprus to the amount of U.S. Dollars 3.000.000 (three million U.S. Dollars). The said Bond shall be valid up to 31 March 2003. 14. LOCAL AGENT - No more than two Tenders which nominate the same Local Agent will be accepted by the Authority. It is brought to the Tenderer’s attention that in case three or more of the Tenders submitted nominate the same Local Agent, then all these Tenders nominating the same Local Agent will be rejected by the Authority. 15. GENERAL - The Electricity Authority of Cyprus does not bind itself to accept the lowest or any Tender, nor will it be responsible for any costs incurred by the Tenderers in making their Tenders."