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Bidding Procedure

Date Posted: 2009-08-25 09:08:10


We were informed that each bidder shall present a Bid Bond amounting to USD 3 Million to the Ministry of Mines (MOF) for each block. And we assume that the Letter of Credit of the bidders who fail to be awarded the tender would become nullified at the same time of the Announcement of Bidding Results. Please clarify it.

Answer

Date Answered: 2009-08-25 09:08:50


The template Letter of Credit is included in Exhibit II in the Terms of Reference, and states in item 6 that the Letter of Credit expires automatically for unsuccessful bidders " [..] the day after the Exploration and Production Sharing Contract is duly signed and entered into by the successful bidder and the Ministry of Mines and this legally binding [..]".