TENDER

Sarir Oil Operation

Pre-qualification invitation

Publication date of this advertisement: 08/02/2024

End date of this advertisement: 11/03/2024 at exactly 05:00 PM Libya time.

Sarir Oil Operations Company announces its invitation to specialized local and foreign companies that have the ability and competence to provide the services listed below to submit a comprehensive file, including all required conditions and qualifications, to be evaluated and pre-qualified. Companies that meet the requirements will be invited to participate in the following tender:

TC-RES-03-2024 / Dynamic Reservoir Simulation Study Fasila Field

Brief Scope of work (SOW)

Sarir Oil Operations is planning to conduct a compositional dynamic reservoir simulation study in Fasila Field Area 107 in the Sirte basin, which covers a total surface of 625 km2.

The Fasila-Field (ex.PT Lidam), which is a gas-condensate reservoir with an oil rim, was discovered in 1967 by well B1- 97, which targeted the Upper Sarir in Area 107 (Ex C97) but encountered the basement of the B-High. The field is in an NW-SE orientated structure, is about 10 km wide and long, and is located east of P-Field and southwest of Take-Field.

All exploration wells in the adjacent areas had a primary objective to evaluate Sarir sandstone and a secondary objective to evaluate the e Lidam Formation.

The Field was brought into stream in 2006. Field size, which is covered by 3D seismic, extends approximately 47.551 Km2. At present, five wells have been drilled and completed; three wells are classified as producers, and two are considered abandonment wells.

The objective of this study is to evaluate and integrate all available static and dynamic reservoir information to come up with a reliable simulation model, including initialization, History Matching, Prediction scenarios, and production optimization equipped with all possible field development strategies based on a revised and updated static model for 2017-2018. As part of the study, different development scenarios will be considered, such as locations, completion types, and production rates.

Although the static model incorporates the most recent geological and geophysical data, as well as the results of recent testing activities, it may need to be adjusted in order to be optimized. It is necessary to collect additional data to capture the complex fluid behavior and the communication within the reservoir for the dynamic simulation study. A compositional reservoir simulator will be essential to assist with the history matching and development strategies.

The ultimate target of our field development plan is to maximize the recovery factor while ensuring operational feasibility. It also assesses the uncertainties and risks associated with each scenario and makes recommendations for future data acquisition and reservoir management.

Different strategies can be summarized as follows:

• Develop the oil rim in the reservoir
• Blow down the field by producing gas
• Producing oil condensate

Based on the numerical reservoir simulation model, the field development plan will be developed according to the company orientations. Horizontal wells were previously a viable technique option for developing the oil rim, but this may no longer be valid after the change in the properties of the produced fluid (API & GOR), which caused doubt about the existence of the oil rim. To achieve the above goal, the workflow of study, which consists of 6 phases, is proposed/derived as follows:

The study will cover the following phases:

• Phase 1: Data Gathering QC and Data Base Development.
• Phase 2: Static Model Review and Validation.
• Phase 3: Conventional Reservoir Engineering.
• Phase 4: Simulation Model Construction, Initialization & Validations.
• Phase 5a: History Matching.
• Phase 5b: Production Forecasts: Optimization of reservoir production strategy.
• Phase 5c: Uncertainty assessment
• Phase 6: Project progress and Final report.

Conditions and requirements for participating in the pre-qualification process:

All companies wishing to apply for pre-qualification for the mentioned tender must meet all conditions and provide all the required electronic information and documents specified in this announcement, knowing that any deficiency in the required documents detailed below will result in automatic exclusion from participating in this Pre-qualification.

1. An official letter on your company letterhead addressed to the head of the tender committee at Al-Sarir Oil Operations Company containing the following basic information:

• Clarification of your company’s intention to participate in this tender either individually or jointly with another company.
• The name and number of the desired Pre-qualification to be participated in.
• The full official name(s) of the company (or companies) applying to participate, their date of establishment, the name of the company representative, official email addresses of the company and phone numbers.
• In case of joint participation in this tender between two or more companies, the participants must specify the role of each of them in detail in this letter, including specifying responsibilities related to points of contact, task distribution, management responsibilities and duties. They must also seal and sign this letter together.
• Print this announcement and stamp all its pages with your company’s seal, then send an electronic copy to us with the required documents.

2. Fill in the Letter of Intent (LOI) and tender submission request form as well as the attached evaluation questionnaire and submit them along with the attached files.
3. Submit the following electronic documents and materials according to the method indicated at the end of this announcement: –

Complete Legal File (in Arabic and English): Providing all necessary licenses and legal documents indicating registration in Libya, valid for at least six (6) months from the date of the announcement. These documents include:

• Commercial register, chamber of commerce registration, commercial or industrial activity license, and tax payment certificate.
• Ministry of Economy approval if required.
• Company establishment contract, minutes of the founding meeting, articles of association, and any licenses relevant to the advertised tender.
• A written undertaking from your company confirming the full alignment between the licensed business activity and the one stated in your company’s purpose, and with the scope of work advertised in this announcement.
• Submission of documents showing the establishment of a joint venture in accordance with the applicable laws in Libya, whether between a local and foreign entity or between two local entities. All parties to the joint venture must submit their registration documents in Libya.
• Submission of solidarity agreements (if any) certified by relevant authorities, containing commitments by the co-obligors collectively or individually to perform all required work and services, and identifying the legal representative of the co-obligors.

If the above-mentioned legal documents are not ready before the end date of this announcement (which will negatively affect your participation in this tender), you must send an official letter addressed to Sarir Oil Operation Company explaining the deficiencies in detail, the reason for not submitting them, and the commitment to submitting all these legal documents in full and correctness in the next phase of this tender (in case you pass the pre-qualification stage).

Complete financial file (in either Arabic or English and in one of the following currencies only: Libyan Dinar, US Dollar, or Euro). Submit documents indicating the company’s financial position (for the last three years, which are 2022, 2021 and 2020), certified by an external financial auditor. These documents include (general budget report, income statement report, and cash flow report for all individual or collective participating companies). These reports must be in either Libyan Dinar, US Dollar, or Euro. These documents will not be accepted in any other language or currency other than those mentioned above.

The HSEQ file, in English, contains:

• Safety manual, procedures, policies, and regulations approved by your company in the fields of health, safety, environmental protection, and quality.
• Official letter from your company addressed to Sarir Oil Operation company confirming your commitment to applying all health, safety, environmental protection, and quality standards, procedures, and regulations followed in Sarir Oil Operation company.
• Relevant international certificates and quality certificates (ISO) owned by your company.

The technical file, in both Arabic and English, contains:

• Sending documents, certificates, and documents indicating previous experience in the required work to be carried out in this advertisement, whether this experience was within Libya or abroad for a period of at least three years.
• Sending your written commitment to follow all local and international specifications, standards, technical requirements, government laws, and industry and technological recommendations applicable.
• The available manpower along with a brief description of their experience to perform the proposed study.
• Software and hardware will be used to perform data analysis to review, validate the static model, and construct a dynamic simulation with a prediction scenario for the FDP study.

4. No documents in any language other than Arabic or English will be accepted.
5. To ensure your opportunity for pre-qualification for this tender, all required electronic documents and files must be submitted without any omissions (in the form of four compressed electronic folders named “Legal File”, “Financial File”, “HSEQ File”, and “Technical File” as stated above).
6. In case of incomplete or non-compliant submission according to the specifications detailed in this announcement, this automatically means the loss of your opportunity for pre-qualification for this tender.

How to respond to this advertisement:

• This pre-qualification invitation is not an invitation to participate in the mentioned tender, and the company is not obligated in any way to issue this tender or invite any of the pre-qualified participants to be included in the final list of companies that will be invited to participate in the tender.
• Sarir Oil Operations Company reserves the right to reject any and/or all companies at its own discretion. This action by the company must be final and cannot be objected to or challenged by any participant.
• The company will only deal with individuals officially authorized by the companies applying for pre-qualification.
• The company has the right to extend the deadline for submitting bids for another period if necessary. The additional period will be automatically announced on the company’s website and the National Oil Corporation website.
• All expenses incurred regarding this invitation, regardless of their nature, for the purpose of preparing and submitting pre-qualification documents, including visits if any, must be borne by the companies intending to participate in this competition.

Participation:

The required files are submitted and sent as follows:

Electronic copy to the email address: ( Sarir.TenderCommittee@sarir-oil.com )

Hardcopy to the company address: –

Corinthia Commercial Centre in Tripoli, with the following details:

Sarir Oil Operations, P.O. Box 469, 905, and 91050.

Phone No.: 3350140 – 7.