CALLING FOR EXPRESSIONS OF INTEREST

FOR PURCHASE / PROCESSING OF CO2

Expressions of Interest (EoI) are hereby invited from interested parties for outright purchase / processing of Carbon Dioxide Gas produced in the Ammonia Plant of FACT at Udyogamandal, Kerala.

EoIs are invited for two options:

i. Outright purchase of the CO2 gas, to be made available by FACT at plant battery limits, at a pressure of 0.2 Kg/cm2.

ii. Processing of CO2 gas including purification and conversion into liquid or dry ice and handing over the same to FACT. In this option,

- Minimum quantity per annum shall be 5000 MT.

- The respondents shall have a minimum annual turnover of Rs.5 crores.

- Land for the processing facility, to the extent of 2 acres will be provided by FACT. The party shall install the necessary equipment and accessories to receive raw CO2, process the same and store the products and the party shall operate the facility. The land will continue to be owned by FACT and the party will have no right to use the land for any other purpose.

- Utilities such as power and treated water will be provided by FACT. The unit consumption of utilities shall be guaranteed by the party.

- The entire quantity of processed CO2 (liquid / dry ice) handed over to FACT shall be bought back by the party at a price to be finalized on a competitive basis after initial processing of the EoI.

- The rate to be separately quoted by the party after the initial processing of EoI will take into account the processing expenses incurred by the party inclusive of the facilitation charges to FACT for the utilisation of land and consumption of utilities provided by FACT.

- The party shall be responsible for obtaining all statutory approvals, but FACT will render assistance wherever called for.

Quantity: The quantity of CO2 normally available for sale / processing is around 850 MT per day or 280000 MT per annum. However, in case of either option, if due to production interruptions or changes in production plan, the total availability of CO2 is less than the total requirement of all buyers including existing buyers, FACT shall, at its sole discretion, allocate the available quantity among all buyers. In case of supply shortfalls due to whatever reason, FACT will not be liable for payment of any damages to the party.

Quality: The party shall get himself satisfied as to the quality of the gas. Normally the gas is made available with 95% purity, but FACT undertakes no responsibility for the purity or fitness of the gas for the buyer’s use.

Period of Contract: The period of contract in case of either option will be for a period of 15 years, extendable at mutual consent. In case of Option (ii), it will be treated as a Build, Own, Operate (BOO) contract and if there is no extension after 15 years, the party shall dismantle and remove the entire installation on a time bound manner and release the land.

Taxes and Duties: All taxes and duties shall be extra and to the account of the party.