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Selection of Oil Companies for the Exploration

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Selection of Oil Companies for the Exploration SELECTION OF OIL COMPANIES FOR THE EXPLORATION AND EXPLOITATION OF HYDROCARBONS IN OFFSHORE BASINS OF REPÚBLICA ORIENTAL DEL URUGUAY (URUGUAY ROUND 3) BIDDING ROUND TERMS Page 1 of 174 TABLE OF CONTENTS SELECTION OF OIL COMPANIES FOR THE EXPLORATION AND EXPLOITATION OF HYDROCARBONS IN OFFSHORE BASINS OF REPÚBLICA ORIENTAL DEL URUGUAY (URUGUAY ROUND 3) BIDDING ROUND TERMS ............................................................................................................................ 1 TABLE OF CONTENTS ................................................................................................................................ 2 1. OBJECT ............................................................................................................................................. 5 2. SCHEDULE ........................................................................................................................................ 5 3. AREAS AVAILABLE FOR THE SELECTION PROCESS ........................................................................... 5 4. MODEL CONTRACT .......................................................................................................................... 5 5. GENERAL REQUIREMENTS FOR THE SELECTION PROCESS .............................................................. 5 6. PURCHASE OF BIDDING ROUND TERMS .......................................................................................... 7 7. BIDDER QUALIFICATION CRITERIA ................................................................................................... 7 8. QUERIES AND CLARIFICATIONS ..................................................................................................... 13 9. REQUIREMENTS FOR PROPOSAL SUBMISSION ............................................................................. 13 10. MINIMUM TERM OF VALIDITY OF PROPOSALS......................................................................... 13 11. BID/S SUBMISSION AND OPENING ........................................................................................... 13 12. TECHNICAL INFORMATION ABOUT THE AREAS ........................................................................ 14 13. EVALUATION OF PROPOSALS .................................................................................................... 14 14. PERFORMANCE BOND............................................................................................................... 21 15. AUTHORIZATION FROM THE EXECUTIVE BRANCH .................................................................... 21 16. CONTRACT EXECUTION ............................................................................................................. 21 ANNEX A ..................................................................................................................................................... 22 TYPE I AREAS .......................................................................................................................................... 23 TYPE II AREAS ......................................................................................................................................... 28 TYPE III AREAS ........................................................................................................................................ 36 ANNEX B ..................................................................................................................................................... 40 ANNEX C ..................................................................................................................................................... 41 ANNEX D ..................................................................................................................................................... 42 ANNEX E...................................................................................................................................................... 43 ANNEX F ...................................................................................................................................................... 44 ANNEX G ..................................................................................................................................................... 45 ANNEX H ..................................................................................................................................................... 47 ANNEX I ...................................................................................................................................................... 48 ANNEX J ...................................................................................................................................................... 49 ANNEX K ..................................................................................................................................................... 53 ANNEX L ...................................................................................................................................................... 60 ANNEX M .................................................................................................................................................... 68 Page 2 of 174 ANNEX N ..................................................................................................................................................... 83 ANNEX O: MODEL CONTRACT FOR ALLOCATION OF AREAS FOR EXPLORATION AND EXPLOITATION OF HYDROCARBONS IN OFFSHORE BASINS OF REPÚBLICA ORIENTAL DEL URUGUAY .................................... 84 SECTION I ............................................................................................................................................... 84 CLAUSE 1 - PREFACE ............................................................................................................................... 84 CLAUSE 2 - DEFINITIONS AND INTERPRETATIONS ................................................................................. 84 CLAUSE 3 - OBJECT ................................................................................................................................. 93 CLAUSE 4 - TYPE OF CONTRACT ............................................................................................................. 93 CLAUSE 5 - TERM .................................................................................................................................... 93 SECTION II .............................................................................................................................................. 94 CLAUSE 6 - RIGHTS AND OBLIGATIONS OF THE CONTRACTOR .............................................................. 94 CLAUSE 7 – LOCAL CONTENT ................................................................................................................. 98 CLAUSE 8 - RIGHTS AND OBLIGATIONS OF ANCAP ................................................................................ 99 SECTION III ........................................................................................................................................... 100 CLAUSE 9 - EXPLORATION PERIOD ....................................................................................................... 100 CLAUSE 10 - EXPLOITATION PERIOD .................................................................................................... 105 CLAUSE 11 – ABANDONNMENT ........................................................................................................... 111 CLAUSE 12 - TRANSFER OF PROPERTY ................................................................................................. 112 SECTION IV ........................................................................................................................................... 113 CLAUSE 13 - OIL AND NATURAL GAS LIQUIDS ...................................................................................... 113 CLAUSE 14 - NATURAL GAS .................................................................................................................. 114 CLAUSE 15 - ANCAP’S PREFERENTIAL RIGHT ........................................................................................ 115 CLAUSE 16 - HYDROCARBONS COMMERCIALIZATION ......................................................................... 116 SECTION V ............................................................................................................................................ 116 CLAUSE 17 - ITEMS RECOVERED BY THE CONTRACTOR ....................................................................... 116 SECTION VI ........................................................................................................................................... 121 CLAUSE 18 - ASSOCIATION ................................................................................................................... 121 CLAUSE 19 - DELIVERY OF TECHNICAL INFORMATION......................................................................... 122 CLAUSE 20 - MANAGEMENT COMMITTEE ........................................................................................... 124 CLAUSE 21 - UNFORESEEABLE CIRCUMSTANCES BEYOND THE CONTROL OF THE PARTIES ................ 125 CLAUSE 22 - ENVIRONMENT PROTECTION .......................................................................................... 126 CLAUSE 23 - CONFIDENTIALITY ...........................................................................................................
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