Chandrika SPS and SURF pre-bids cancelled
ONGC has inexplicably cancelled two pre-bid tenders for the estimated $400m integrated development of DSF-3 asset KG/OSDSF/CHANDRIKA/2021 (Chandrika) with the nearby KG/OSDSF/GS49/2021 (GS49) and YS-6 fields.
Both pre-bids were scheduled on October 14 (2024) at ONGC's eastern offshore asset office in Kakinada, one for the supply of subsea production systems (SPS) and the other for the installation of subsea umbilicals, risers and flowlines (SURF). However, on October 12 (2024), EPC contractors and consultants preparing to attend the pre-bids received a brief email from ONGC saying they've been postponed.
No reason was given, nor was any new date announced. A source says this short-notice cancellation was too late for overseas EPC contractors and consultants to change their travel plans.
"While those based in India cancelled their air tickets, those arriving from overseas could not do this," he stresses. "Some arrived in Kakinada and held informal meetings with ONGC."
Some speculate that ONGC cancelled the pre-bids because top management wanted more clarity from the eastern offshore asset teams regarding reserves at Chandrika and other eastern offshore fields. However, this could not be independently confirmed.
Technip Energies, Baker Hughes and Schlumberger submitted pre-bid queries in advance for the SPS tender. "Each wanted to know if they could offer specific proprietary equipment," we hear.
"These queries are broadly in line with the tender's technical specifications, and ONGC should have no issues with them." McDermott International and Indonesia's PT Meindo sent in pre-bid queries for the SURF tender.
"Both sought more technical details," we hear. "The queries were generic; participation in the SPS tender is on expected lines, but ONGC was expecting more SURF participants."
ONGC issued the SPS tender, estimated to be worth around $130m, on September 20 (2024) and the SURF tender, estimated to be worth around $170m, on September 24 (2024). Bids for both should be submitted by November 25 (2024).
ONGC doesn't want an offshore platform installed for this development project, which means there will be significant savings in CAPEX and OPEX.