Procedures of Obligatory Tenders Holding in the Course of the Purchase in the Oil and Gas Branch

RusEnergyLaw JOURNAL • 2'2003/Table of Contents • Article

All issues connected with the above mentioned procedure shall be settled by the Rules of goods, works and services procurement during the oil operations adopted by the Order as of June 7, 2002 of the Government of the Republic of Kazakhstan.

In accordance with these Rules, the procurement of goods, works and services by enterprises of oil and gas branch, shall be carried out on the basis of tender.

The above Rules shall determine the methods and terms of goods, works and services procurement during the performance of oil operations.

General provisions of these Rules:

1) The Ministry of Industry and Commerce of the Republic of Kazakhstan was determined as the authorized state body responsible for regulation of goods, works and services procurement during the oil operations performance.

The authorized state body shall control the goods, works and services procurement during the oil operations performance and also it approves the results of the tender for the goods, works and services procurement during the oil operations performance.

2) The new methods for carrying out of the procurements were determined. Therefore the tender (of open and closed type) is provided and the procurement without tender is permitted.

3) The requirements were established for the procurement procedures.

The essential moments of the procurement procedures are consisted in the following:

1) The authorized body of the subsoil user established the requirements for decision making about the procurements carrying out.

2) The procedure for obtaining of the tender terms obligatory approval by the Subsoil user in the Ministry of Industry and Commerce of the Republic of Kazakhstan was established the above terms include:

the information about the tender shall be addressed to the potential tender participators;

the tender documentation;

the provision of the tender commission.

3) The Protocol made according to the tender results, shall also subject to the approval in the Ministry of Industry and Commerce of the Republic of Kazakhstan.

4) The Ministry of Industry and Commerce of the Republic of Kazakhstan representative shall be obligatory included to the tender commission.

5) "Tender Organiser" institution shall be provided. I.e., the Subsoil user may charge any third person with the co-ordination, organization and carrying out of the procurements in accordance with the above Rules.

In case of the procurements carrying out without tender, it is also necessary to obtain the permission of the Ministry of Industry and Commerce of the Republic of Kazakhstan.

Order of the tender holding

After the approval of the Tender Terms, the tender Organiser informs the potential participators about holding of the tender. The tender information shall be addressed to the potential tender participators not later than 30 days prior to bids receiving deadline.

The method of potential participators notification shall correspond with the form of the held tender. During the open tender holding, the information about such tender shall subject to publication in the periodicals of the Republic of Kazakhstan.

During the tender holding, the Kazakhstani enterprises manufacturing the goods, performing the works, rendering the services and which corresponds with the tender terms, standards and the other requirements made to the oil operations, shall be attracted in the priority order for participation in the tender.

Holding of the tender, exclusively among the foreign organizations, if the Kazakhstani enterprises manufacturing the goods, performing the works and rendering the services in the territory of the Republic of Kazakhstan exist, and which correspond with the tender terms, standards and the other requirements to the oil operations, shall be forbidden by the Rules.

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