Tender Opportunity for the Provision of Insurance Services to Support Swamp/Land Drilling and Completion Operations at Enageed Resource Limited

Enageed Resource Limited

Tender Opportunity for the Provision of Insurance Services to Support Swamp/Land Drilling and Completion Operations NipeX Tender Number: 3800073   

1.0     Introduction:

Enageed Resource Limited (“Enageed”), operator of OPL 274 onshore Nigeria, is seeking qualified Insurers for the Provision of Well Insurance Coverage required for its drilling and completions program. The estimated number of wells to be drilled and completed is fourteen (14).

Enageed invites submission from reputable Nigerian registered Insurance Companies having world class experience in the provision of Insurance Services for Major Oil and Gas Companies.

2.0   Scope of Work/Services Required:

Insurer should be able to provide drilling/field development Insurance for fourteen (14) wells on OPL 274. The insurance will cover oil field drilling and development activities, physical/property loss, control of well, re-drilling and specified third party liabilities as a minimum. The service would provide Insurance Coverage for 14 wells located in both land and swamp regions. Anticipated commencement date for the land drilling and completion program is Q3-2015 while the swamp drilling is expected to start in Q2-2016. The service shall continue for a primary term of two (2) years with an optional extension of one (1) year under same term and condition. The well campaign shall involve the drilling and completions of twelve (12) wells on land and two (2) wells on swamp locations.

The Insurer shall retain a percentage of the risk in Nigeria and re-insure the excess capacity with leading foreign underwriters with A+ rating by Standard & Poor’s (S & P). The insurer will liaise with the jointly appointed re-insurance Broker for the purpose of re­insurance with foreign Underwriter. The Insurer shall retain 70 percent of the risk in Nigeria. The insurer will also handle claims services, policy documentation, renewals, endorsement etc.

Interested Bidders must be prequalified in either of the NJQS Service Category stated as follows:

(i.)     Non-Life Insurance Services 3.14.32

(ii.)    Other Insurance Services 3.14.39

Basic Requirements:

Any Insurance Company seeking to be selected must satisfy the following conditions:

(i.)     Be a Limited Liability Company registered in Nigeria and licensed by the National Insurance Commission (NAICOM) to transact General Insurance Business.

(ii.)    Be Registered with NSTIF

(iii.)   Be Registered with ITF

(iv.)   Be Registered with PENCOM

(v.)    Have Workmen Compensation/GPA Insurance for Bidder Company

(vi.)   Have a net asset of not less than N3billion as per its last published Accounts for its general business.

(vii.)  Have acquired good experience in Oil and Gas insurance business.

(viii.) Have adequate and qualified staff with experience in Oil and Gas Insurance business.

(ix.)   Must be in good standing as regards prompt settlement of all claims reported to date.

(x.)    Must be Tax Compliant

Supporting Documentation:

(i.)     A certified true copy of the Corporate Affairs Commission (C AC) of the Company’s Certificate of Incorporation.

(ii.)    A certified true copy by NAICOM of the Company’s license as an Insurer to transact non-life and/or general insurance business.

(iii.)   Current registration with the Department of Petroleum Resources (DPR).

(iv.)   Current registration with NSTIF

(v.)    Current registration with ITF

(vi.)   Current registration with PENCOM

(vii.)  Documentation/evidence demonstrating experience in similar Oil and Gas insurance cover that Insurer has provided in the last 3 years (2012 to 2014), including clients’ name and dates of cover (please attach copies of participation slips/treaties).

(viii.) Provide company profile indicating Nigerian Shareholding, Company’s financial details, and published annual Report and Accounts for the past 3years (2012 to 2014).

(ix.)   Evidence of NAICOM’s approval of Annual Returns and Accounts for previous underwriting year (2014).

(x.)    A profile of six (6) top management staff of the Company with their qualifications and insurance working experience in Oil and Gas insurance business.

(xi.)   Provide evidence of qualified professional staff and training plans.

(xii.)  In case of Joint Venture, an attached copy of the joint venture agreement and details of the interest of each of the Joint venture partners, the role of each party clearly indicated.

(xiii.) A signed Declaration by the Chief Executive Officer that the Company has settled all discharged claims.

(xiv.) Company’s Tax Clearance certificates for the past three (3) years (2012 to 2014).

(xv.)  Give brief description of re-insurance strategy and provide names of foreign Re-Insurers and principal Brokers.

(xvi.) Provide relevant information of two (2) contact persons: name, telephone, fax numbers and email address.

(xvii.) Certified true copy of NAICOM approval of Recapitalization and Consolidation to continue to transact business within the Federal Republic of Nigeria.

(xviii.) Evidence of statutory deposit with CBN.

(xix.) Documentary evidence showing clearly the pre-capitalization status and the additional capital raised.

(xx.)  Evidence of VAT remission and Tax Clearance Certificate.

(xxi.) Certificate of compliance from the Pension Commission (PENCOM).

(xxii.) Certificate of compliance from the Industrial Training Fund (ITF).

(xxiii.) Group Life Insurance Certificate for Employees.

(xxiv.) Workmen compensation/GPA insurance for bidders company 3.0

Mandatory Tender Requirements:

(i.)     To be eligible for this tender exercise, interested contractors are required to be pre-qualified in either Category 3.14.32 (Non-Life Insurant) or 3.14.39 (Other Insurant Services) in NipeX Joint Qualification System (NJQS) database. All successful pro-qualified suppliers in this category will receive Invitation to Technical Tender (ITT).

(ii.)    To determine if you are pre-qualified and view the product/service category you are listed for: Open www.nipexng.com and and access NJQS with your log in details, click on continue Joint Qualification Schema tool, click check my supplier status and then click supplies product group.

(iii.)   If you are not listed in a product/service category you are registered with DPR to do business, contact NipeX office at 30, Oyinkan Abayomi Street, Ikoyi Lagos, with your DPR certificate as evidence for verification and necessary update.

(iv.)   To initiate the JQS pre-qualification process, access www.nipexng.com to download application form, make necessary payments contact NipeX office for further action.

(v.)    To be eligible, all tenders must comply with the Nigerian Content requirements in the NipeX system.

4.0   Nigerian Content:

(A.)   Only Nigerian indigenous company with more than 51% Nigerian equity shareholding in the legal registered entity of the tenderer shall be allowed to bid for this work scope. Nigerian indigenous companies in joint alliance with foreign companies that will execute part of the work scope must provide;

(i.)     Evidence of registration of the foreign company in Nigeria

(ii.)    Binding memorandum of agreement governed by the laws of the Federal Republic of Nigeria and duly signed by the Managing Directors of both parties

(B.)    Furnish details of company ownership and shareholding structure. Also submit clear copies of your CAC forms C02 and C07.

(C.)    Provide evidence of written approval from NATIONAL Insurance Commission (NAICOM) to re­insure the excess capacity offshore with leading foreign underwriters.

(D.)   Provide evidence of current registration with NAICOM, PENCOM, NSTIF and ITF

(E.)    Provide verifiable evidence (certificate of ownership, lease agreement, layout drawings and photographs) of detailed location of in-country facility office.

(F.)    Provide evidence of the percentage of 1) key management positions that are held by Nigerians and 2) total work force that are Nigerians, Provide company organogram.

(G.)   Provide details of project specific training, man-hour budget, skill development and technology transfer plan for Nigerian personnel according to work scope.

5.0   Closing Date:

Only bidders who are registered with NJQS Product/Category 3.14.32 (Non-Life Insurance) or 3.14.39 (Other Insurance Services) by 4pm, June 5th, 2015 being the advert close date shall be invited to submit technical bid. Please note the following;

(i.)     Bidders eligible for this tender opportunity are expected to be prequalified in NJQS under this product/service category.

(ii.)    The Invitation to Tender (ITT) and any further progression of this tender shall be via NipeX.

(iii.)   All costs incurred in preparing and processing NJQS prequalification shall be to the contractor’s accounts.

(iv.)   This advertisement shall neither be construed as any form of commitment on the part of Enageed Resource Limited to award any contract to any company and or associated companies, sub-contractors or agents, nor shall it entitle prequalified companies to make any claims whatsoever, and/or seek any indemnity from Enageed Resource Limited and or any of its partners by virtue of such companies having been prequalified in NJQS.

(v.)    The tendering process shall be the NNPC contracting process requiring pre-qualified companies to submit technical tenders first. Following a technical review, only technically and financially qualified contractors will be requested to submit commercial tenders

(vi.)   Enageed Resource Limited will communicate only with authorized officers of the pre-qualifying companies and NOT through individuals or Agents.

Please note that interested bidders including their sub-contractor(s) shall be required to:

(i.)     Meet all mandatory requirements as contained in the NipeX Portal to be listed as “Prequalified” under a specific category in the NJQS database.

(ii.)    Meet all Nigerian Content requirements stated in this advert.


Please visit NipeX portal at www.nipexng.com for this advert and other information.