Few will qualify for ONGC design PMC contract

Vol 27, PW 17 (22 Aug 24) People & Policy
 

Only a few companies are likely to meet ONGC's stringent bid criteria for its tender to hire a Design Engineering/Project Management Consultant (PMC) for 33 new platforms and associated pipelines.

ONGC wants eligible bidders with experience in both design engineering and PMC for the estimated $60m western offshore project after extending the August 19 (2024) bid deadline to September 3 (2024). "Finding bidders with this composite experience is difficult," we hear.

Some feel only Engineers India (EIL) and Nauvata can qualify. "But many experienced people have quit EIL for better jobs overseas," we are told.

"Nauvata has limited PMC experience, especially in wellhead platforms." Other big names, including Aker, Worley, NPCC, and Consub, attended ONGC's pre-bid on July 22 (2024).

According to a source, Aker and Worley have a wealth of design experience but limited PMC experience. During the pre-bid, ONGC told Aker and Worley that it needs 33 new platforms, of which 24 are confirmed.

Aker, EIL, Nauvata and almost all the others wanted nine or ten months to complete Phase-1. ONGC declined and said Phase-1 should be completed within three months of the LoA and Phase-2 within five months.

ONGC also rejected Consub's plea to increase previous design experience from ten to 15 years and make it worth $1m instead of $2.5m. Consub also unsuccessfully asked ONGC to amend the experience criteria to include modifying an FPSO, MOPU, wellhead platform, water injection/process platform or process platform.

However, ONGC only wants experience designing new structures. ONGC rejected requests from EIL and Worley that the total contractor liability should be 10% and not 50% of the contract price for one year.

Also rejected was EIL's request that provisions for epidemics and pandemics be included in Force Majeure clauses. ONGC rejected EIL's request for another query round "considering the many tender documents and short time given for pre-bid queries."

Unlike most ONGC tenders, the winner will not be the lowest bidder but whoever scores best in the Quality and Cost Based System (QCBS).