B -- FEASIBILITY STUDY -- TIGHT GAS RESERVOIR DEVELOPMENT -- ARGENTINA

Notice Date

October 5, 2001

Contracting Office

USTDA, 1621 N. Kent Street, Suite 200, Arlington, VA 22209-2131

ZIP Code

22209-2131

Response Due

November 27, 2001

Point of Contact

POC -- Evangela Kunene, USTDA, 1621 N. Kent Street, Suite 200, Arlington, VA 22209-2131, Tel: (703) 875-4357, Fax: (703) 875-4009

Description

The Grantee invites submission of qualifications and proposal data (collectively referred to as the "Proposal") from interested U.S. firms which are qualified on the basis of experience and capability to develop a feasibility study for a Tight Gas Reservoir Field Development project in Argentina. PeCom Energ a, S.A. (PeCom) the second largest private, Argentine oil and gas exploration and development company has undertaken efforts to commercialize newly discovered gas-bearing horizons in Argentina's Punta Rosada formation. PeCom has indicated that their preliminary analyses have been positive yet they demonstrate a need for innovative drilling, completion and stimulation treatments to commercialize the discoveries. The feasibility study will analyze the application of fracturing technology (which breaks up a tight formation to permit the entrapped oil and/or gas to flow), among other technical applications for the deep formations and the eventual goal of commercializing the gas reserves. Preliminary tests conducted by PeCom have shown that the Punta Rosada Formation can be produced commercially, but they have also revealed that at present the tools are missing that would allow the operator to identify those among the various gas-bearing formations in the Punta Rosada formation that will respond to stimulation treatments. The tests have also uncovered a need for innovative drilling, completion, and stimulation techniques. The project is designed to develop a technique that will permit PeCom to select and complete potentially productive formations in the Punta Rosada Formation. If successful, estimates show that the proposed project will yield an estimated 2.0 trillion cubic feet (TCF) of natural gas and 7.1 million barrels of condensate. The U.S. firm selected will be paid in U.S. dollars from a $500,000 grant to the Grantee from the U.S. Trade and Development Agency (TDA). In addition to the TDA grant funding, the Grantee shall provide an estimated U.S. $158,000 in the form of in-kind labor and travel expenses to the United States for the Grantee's personnel. A detailed Request for Proposals (RFP), which includes requirements for the Proposal, the Terms of Reference, and a background definitional mission report are available from TDA, at 1621 N. Kent Street, Suite 200, Arlington, VA 22209-2131. Requests for the RFP should be faxed to the IRC, TDA at 703-875-4009. In the fax, please include your firm's name, contact person, address, and telephone number. Some firms have found that RFP materials sent by U.S. mail do not reach them in time for preparation of an adequate response. Firms that want TDA to use an overnight delivery service should include the name of the delivery service and your firm's account number in the request for the RFP. Firms that want to send a courier to TDA to retrieve the RFP should allow one hour after faxing the request to TDA before scheduling a pick-up. Please note that no telephone requests for the RFP will be honored. Please check your internal fax verification receipt. Because of the large number of RFP requests, TDA cannot respond to requests for fax verification. Requests for RFPs received before 4:00 PM will be mailed the same day. Requests received after 4:00 PM will be mailed the following day. Please check with your courier and/or mail room before calling TDA. Only U.S. firms and individuals may bid on this TDA financed activity. Interested firms, their subcontractors and employees of all participants must qualify under TDA's nationality requirements as of the due date for submission of qualifications and proposals and, if selected to carry out the TDA-financed activity, must continue to meet such requirements throughout the duration of the TDA-financed activity. All goods and services to be provided by the selected firm shall have their nationality, source and origin in the U.S. or host country. The U.S. firm may use subcontractors from the host country for up to 20 percent of the TDA grant amount. Details of TDA's nationality requirements and mandatory contract clauses are also included in the RFP. Interested U.S. firms should submit their Proposal in English directly to the Grantee by 5:00p.m., November 27, 2001 at the above address. Evaluation criteria for the Proposal are included in the RFP. Price will not be a factor in contractor selection, and therefore, cost proposals should NOT be submitted. The Grantee reserves the right to reject any and/or all Proposals. The Grantee also reserves the right to contract with the selected firm for subsequent work related to the project. The Grantee is not bound to pay for any costs associated with the preparation and submission of Proposals.

Record

Loren Data Corp. 20011010/BSOL004.HTM (W-278 SN5100Z2)