Naval Distillate Fuel

Trade Agreement: WTO-AGP/NAFTA/AIT/Canada-Peru
FTA/Canada-Colombia FTA
Tendering Procedures: All interested suppliers may submit a bid
Attachment: None
Competitive Procurement Strategy: Lowest/Lower Bid
Comprehensive Land Claim Agreement: Yes
Nature of Requirements: 
NAVAL DISTILLATE FUEL, TYPE 15 

TRADE AGREEMENTS:
This requirement is subject to the provisions of the World Trade
Organization Agreement on Government Procurement (WTO-AGP), the
North American Free Trade Agreement (NAFTA), and the Agreement
on Internal Trade (AIT).

REQUIREMENT:

This Canadian Coast Guard requirement is for the supply of a
total potential quantity of 13,350,000 litres of Naval
Distillate Fuel (Type 15, in accordance with CGSB Standard
3.11-2010 (latest issue), except Pour point max. -15°C, Cloud
point max. -9°C, and Kinematic Viscosity at 40°C, min. 2.5 mm2/s
and max. 4.2 mm2/s) as follows: a total firm quantity of
3,900,000 litres and a total optional quantity of 550,000 litres
for the first year and the same estimated firm and optional
quantities for each of the two one-year supply period options. 

The product is required at several locations in the Arctic as
follows:

1- A firm quantity of 200,000 litres, and an additional optional
quantity of up to 150,000 litres, via by ship-to-ship delivery
into Canadian Coast Guard vessel Sir Wilfred Laurier, outside
Fairway Buoy at Tuktoyaktuk, Northwest Territories. If weather
and sea conditions cause significant delivery delays, delivery
at Summer Harbour may be accepted.

Anticipated delivery date is July 30th, 2012.

2- A firm quantity of 2,500,000 litres, by ship-to-ship delivery
into Canadian Coast Guard Icebreaker vessels, at Nanisivik,
Nunavut or another mutually agreeable location in the Canadian
Eastern Arctic area (Lancaster Sound). 

Anticipated delivery period is September 3rd to September 7th,
2012.

3- A firm quantity of 1,000,000 litres, via ship-to-ship
delivery to Canadian Coast Guard vessel Louis S. St-Laurent, at
Kugluktuk, Nunavut.

Anticipated delivery date is September 9th, 2012.

4- A firm quantity of 200,000 litres, and an additional optional
quantity of up to 400,000 litres, via pipeline into Canadian
Coast Guard vessel Sir Wilfred Laurier, at Dutch Harbor, Alaska. 

Anticipated delivery date is October 8th, 2012.

Delivery dates for all items to be confirmed by the Canadian
Coast Guard.

COMPREHENSIVE LAND CLAIM AGREEMENTS:
The following Comprehensive Land Claim Agreements apply to this
procurement:

Inuvialuit Final Agreement (IFA) for deliveries to* Tuktoyaktuk,
Northwest Territories. The benefits that apply to this
procurement are contained in Article 16.(8) of the Inuvialuit
Final Agreement (IFA).

Inuit of Nunavut Land Claim Agreement (NLCA) for deliveries to*
Nanisivik and Kugluktuk, Nunavut. The benefits that apply to
this procurement are contained in Article 24 of the NLCA.

*where "deliveries to" means goods delivered to, and services
performed in.

Sulphur in Diesel Fuel Regulations
Environment Canada has developed a proposed amendment to the
current Sulphur in Diesel Fuel Regulations, with a publication
date expected prior to June 1st, 2012. This amendment pertains
to Category 3 vessels only, and removes the maximum 15ppm
sulphur limit on the import, production and sale of marine
diesel fuel (for Category 3 vessels only) until June 1st 2014,
when a maximum 1000ppm sulphur limit will take effect for the
import, production and sale of marine diesel fuel for Category 3
vessels. 
It is therefore requested that the fuel supplied for the
requirements listed in Line Item Detail have a minimum sulphur
level of 500ppm and a maximum sulphur level of 600ppm* for the
entire duration of the contract (including options), which is in
compliance with the proposed amendment to the Sulphur in Diesel
Fuel Regulations.

*If no bid is received for the requested product, then Canada,
at its sole discretion, may consider bids for the requested Type
of Naval Distillate Fuel with a lower sulphur level.

Lubricity Requirement 

Naval Distillate Fuel must have a wear scar diameter of less
than or equal to 460 µm at 60°C (Items 1, 2, 3 and 4). 


Delivery Date: Above-mentioned

The Crown retains the right to negotiate with suppliers on any
procurement.

Documents may be submitted in either official language of Canada.