ot_data

Supply of explosives and blasting services

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by

Munkhbadral
in

“Oyu Tolgoi” LLC (the ‘Company’) would like to invite all potential experienced suppliers to submit their Expression of Interest in relation to the “Supply of Explosives and Blasting Services” for Open Pit and Underground operations as further defined in this EOI.

The Company is only seeking Expression of Interest from potential suppliers and makes no representation or promise in relation to procuring work from a supplier or suppliers. The purpose of this EOI is to understand the capability, past experiences and overall capacity of interested suppliers for this scope. The Company currently has a supplier engaged under contract to March 2019.

PART A – UNDERGROUND OPERATIONS

The supplier will be required to carry out the supply of explosives and services for Underground operations that are used for lateral development, shaft sinking, secondary blasting, mass excavation blasting, undercut blasting and draw bell blasting which shall include, but not be limited to, the following requirements:

  • Manufacture of water-resistant bulk explosives (water gel) for the underground mine development, shaft sinking and other applications supporting the Company’s requirement;
  • Delivering the bulk explosives manufactured to the shaft-head frame in quantities and at the times requested by the Company;
  • Supplying the initiation systems and accessories;
  • Operating key machinery and equipment to complete the services in underground application, this includes the mixing and delivery of pumped product;
  • Onsite magazine management while maintaining all legislative requirement of maintaining the storage of explosives onsite at OT in accordance with all applicable Mongolian Laws and Regulations; and
  • Provision of technical support for blasting applications.
  • Manufacture of water-resistant bulk explosives utilizing the onsite plant manufacturing facility;
  • Deliver and load the bulk explosives manufactured down the relevant bore holes to meet the mine plan design provided by the Company;
  • Supply initiation systems and accessories as per design requirements;
  • Operating key machinery and equipment that is necessary to manufacture bulk explosives;
  • Onsite magazine management while maintaining all legislative requirements of maintaining the storage of explosives onsite; and
  • Provision of technical support for blasting applications.

A detailed specification for the supply of explosives and services for Underground operations is included in Attachment 1 of this EOI – Attachment 1OT_UG_Explosive Technical Specification_Mar 2017.

PART B – OPEN PIT SURFACE OPERATIONS

The supplier will be required to carry out supply of explosives and services for Open Pit operations that are used for open pit applications such as trim blasting, production blasting and presplit blasting which shall include following but not limited to:

Potential suppliers must meet following supplier requirements as a minimum:

  • Capability and capacity to supply both Underground and Open Pit operating requirement;
  • Supply a product range that is fit for purpose for the Company’s mine operating conditions;
  • Supply products that are easy to use by Company trained personnel;
  • Supply delivery systems that are compatible with Underground and Open pit operations and meet the production rates in accordance with the Company’s schedule;
  • Sufficient and qualified resources available to effectively manage the scope;
  • Demonstrated capability to add value in Underground and Open pit applications;
  • Efficient supply chain management practices and implement effective internal systems and processes;
  • Strong previous experience and proven performance history in relation to supply of explosives and associated services, and
  • International companies will be required to partner with local Mongolian companies in order to execute the scope accordance with legislative requirements and the Company’s own policies and procedures.

EXPRESSION OF INTEREST DOCUMENTATION DELIVERBALES

All interested suppliers are required to submit an Implementation Plan document outlining the following key information for the Company’s review and evaluation:

1.Technical proposal including, but not limited to, the following:

  • Implementation plan for the supply of explosives and services;
  • Demonstrate supplier capability to cover the supply of explosives and services as per the requirements mentioned above;
  • Outline of product range and production capacity that can meet the specifications required by the Company;
  • Summary of equipment, infrastructure and facilities required to complete the scope;
  • Technical capability to deliver all aspects of the technical support requirements;

2.Commercial proposal including, but not limited to, the following:

  • Indicative operating and pricing model for the supply of explosives and services;
  • Indicative products and estimated pricing range to be offered for supply;
  • Current corporate organization chart;
  • Demonstrate your company’s financial capability;
  • Overview of supply chain network to deliver the required explosives and accessories from the production plant to the Company’s site;
  • Demonstrate ability to maintain the supply chain and manage identified risks;

3.Information on local content:

  • Plan to obtain and maintain all required permits and licenses required by all applicable Mongolian laws and regulations;
  • Associated strategies to meet the Company’s local content requirements regarding engaging local labour and supporting the local South Gobi communities;

4.Other required documents to be submitted:

  • Draft Health and Safety Management Plan;
  • Draft Quality Assurance Plan; and
  • Employee Relations / Industrial Relations Plan;

Requests for further information will be accepted by the Company and should be addressed to the OT Procurement Department via RFxBox@ot.mn

Please submit your proposal prepared in English or Mongolian via RFxBox@ot.mn (subject: WS970830011 – Supply of explosives and blasting services – Supplier name) before 10аm, (Ulaanbaatar time) 15 May 2017 and/or hard copies must be submitted in an envelope with the Suppliers name, tender name and number to the following address:

“Oyu Tolgoi” LLC

Procurement Department

Monnis Tower
Chinggis Avenue 15
Sukhbaatar District, 14240
Ulaanbaatar, Mongolia

The Company reserves the right to refuse any document(s) which is incomplete or submitted after the specified date. The Company will not be responsible for any costs associated with preparing and submitting an Expression of Interest to the Company. The Company will only contact potential suppliers who are qualified or shortlisted for discussion.

It is required for interested parties to complete the registration process at http://oyutolgoi.achillesapac.com/en/, if not already registered in the Company’s Master Supplier Database.

“OYU TOLGOI” LLC

PROCUREMENT DEPARTMENT