Tender for Pipeline Engineering and Loading Arms of Ceylon Petroleum Storage Terminals Limited, Sri Lanka

Tender Name: Engineering, Procurement, Construction and Commissioning (EPCC) for the Kolonnawa to Port Pipeline Project

Project Type: International Competitive Bidding (ICB)

Bidding Method: Single Stage – Two Envelope System (Technical and Price Proposals separated)

Lot Division: Bidders must undertake full responsibility for design, procurement, construction, and commissioning. Bidding for partial works is not allowed.

Subcontracting Restrictions: Subcontracting is permitted only for subsea pipeline construction to specialized subcontractors. Other works are not allowed to be subcontracted in principle; any subcontracting requires written approval from the Employer.

Project Budget: Total estimated cost is LKR 12.78 billion (approximately CNY 250 million)

Project Duration: 540 calendar days

Project Scope:

Construction of two new piggable pipelines (18-inch and 14-inch) between the Colombo Port Dolphin Berth and the Kolonnawa Oil Depot, including subsea and onshore sections.

Construction of a new 12-inch piggable subsea pipeline between the Colombo Port Dolphin Berth and the South Jetty, connecting to the existing 12-inch pipeline.

Installation of two Marine Loading Arms (MLAs) and pig launching/receiving facilities at the Colombo Port Dolphin Berth.

Terminal modifications at the Kolonnawa Oil Depot, including construction of a new pigging station, pipeline system, valves, and tank connections.

Completion of all design, procurement, construction, commissioning, and trial operation works.

Marine Loading Arm Specifications:

Type: Hydraulically operated Marine Loading Arm for refined petroleum products (Diesel, Gasoline, Jet A1, Kerosene, Naphtha)

Pressure Rating: 150 LB

Connection Type: ANSI B16.5 Class 150 RF Flange

Functional Requirements: Equipped with Emergency Release System (ERS), Quick Connect/Disconnect Coupler (QCDC), Electrical Isolation Flange

Material: Pipe ASTM A106 Grade B, Flange ASTM A105N, Bolts DIN 267 Gr 8.8

Coating: Compliant with ISO/EN12944 C5 Marine Environment High Durability standard

Qualification Requirements:

Completion of at least 2 EPC/EPCC projects for long-distance petroleum product pipelines in the last 10 years, with each project having an onshore pipeline length of no less than 10 km, a subsea pipeline length of no less than 1 km, and pipe diameters ranging from 12 inches to 22 inches or above.

If subsea pipeline construction experience is provided through a subcontractor, that subcontractor must have completed at least 4 similar-scale subsea petroleum pipeline projects in the last 10 years.

Average annual turnover over the last five years not less than USD 43 million (or equivalent).

Turnover in the last financial year not less than USD 43 million.

Current Ratio (Current Assets/Current Liabilities) ≥ 1.5

Debt to Equity Ratio < 50%

Working Capital > USD 5 million

Available liquid assets or credit facilities ≥ USD 7.1 million

Key Personnel: Project Manager (Chartered Engineer, 12 years experience), Lead Design Engineer (10 years), Lead Project Engineer (10 years), Project Engineer (8 years), etc., all must possess relevant qualifications and experience.

Bid Security:

Amount: LKR 128 million or USD 416,700

Valid until January 6, 2027

Acceptable Forms: Bank Guarantee from a commercial bank recognized by the Central Bank of Sri Lanka, or a foreign bank guarantee endorsed by a local Sri Lankan bank.

Bidding Document Purchase:

Fee: LKR 500,000 or USD 1,630 (non-refundable)

Purchase Period: Before May 5, 2026, on working days from 09:00 to 14:00

Purchase Method: Submit a written application and complete payment via bank transfer; all bank charges to be borne by the bidder.

Pre-Bid Meeting:

Time: April 7, 2026, at 10:00 AM local time

Location: Kolonnawa Oil Depot, Deputy Chief Engineer's Office

Optional Virtual Attendance: Must apply via email before 14:00 on April 6, 2026

Bid Submission:

Submission Address: Chairman, Senior Procurement Committee, C/O Manager Procurement, Ceylon Petroleum Storage Terminals Limited, Procurement Function, New Building, Oil Installation, Kolonnawa, Wellampitiya, Sri Lanka

Submission Deadline: May 6, 2026, 14:00 (local time)

Document Requirements: Hard copy bid documents (one original, one copy), plus an electronic copy (USB drive). Technical and Price Proposals to be sealed separately.

Bid Opening:

Technical Proposal Opening: May 6, 2026, 14:00

Price Proposal Opening: Only for technically qualified bidders, date to be notified separately.

Bid Validity Period: Until November 11, 2026

Payment Currency:

40% of the contract amount payable in Sri Lankan Rupees (LKR), 60% payable in US Dollars (USD).

Foreign contractors can be paid in USD; for local contractors, the USD portion will be converted to LKR at the exchange rate of the Central Bank of Sri Lanka.

Main Applicable Codes & Standards: API 5L, API 6D, API 1104, ASME B31.4, ASME B31.8, NACE RP-01-69, ISO 12944, etc.

Project Execution Environment: Construction is to be carried out within operational facilities such as Kolonnawa Oil Depot, Colombo Port, and along railway lines without disrupting normal operations. The Contractor must obtain all necessary construction permits, traffic control approvals, safety clearances, etc.

Contract Type: Lump Sum EPCC Contract

Performance Security: 10% of the contract amount, valid until the expiry of the Defects Liability Period.

Advance Payment: 20% of the contract amount (paid in two installments, corresponding to contract signing and site mobilization).

Payment Method: Milestone payments (milestone nodes and percentages to be proposed during bidding and executed upon confirmation by the Employer).

Warranty Period: 365 calendar days

Dispute Resolution: Arbitration in Colombo under the Arbitration Act No. 11 of 1995 of Sri Lanka, language of arbitration is English.

Governing Law: Laws of Sri Lanka