JEKAAD TECHNICAL SERVICES NIGERIA LIMITED
MATERIAL PROCUREMENT PLAN
MATERIAL PROCUREMENT
PLAN
DOCUMENT NO. JTSNL -013-DPE-106-005892
CLIENT ;
NNPC/NGC
CONTRACTOR ;
JEKAAD TECHNICAL SERVICES LIMITED
PROJECT TITLE
Construction of 24” x 22km pipeline from OB/OB gas
plant to Egbema (NIPP)
REV DEC 2013 ISSUED FOR TECHNICAL EVALUATION PN PN JK
APP NOV 20 14 DESCRIPTION Review No : 003 ORIG CHK APPR
Project Area Document Discipline Serial Next Revision
Code Code Designation Code Number
Code
Document Control No.
JTSNL 013 MPP 106 005892 NOV 2015
T A B L E O F C O N T E N T S
1.0 SCOPE
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Technical Bid Submission For the construction of 24” x 22km pipeline from OB/OB gas plant to Egbema (NIPP
JEKAAD TECHNICAL SERVICES NIGERIA LIMITED
MATERIAL PROCUREMENT PLAN
2.0 REFERENCE DOCUMENTS
3.0 RESPONSIBILITIES
4.0 DEFINITION OF TERMS
5.0 PROCEDURE
6.0 ATTACHMENTS
1.0 SCOPE
This procedure describes the issue of the procurement documents and the control procedure
for the procurement of consumables and materials required for construction work.
2.0 REFERENCE DOCUMENTS
2.1 construction of 24” x 22km pipeline from OB/OB gas plant to Egbema
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Technical Bid Submission For the construction of 24” x 22km pipeline from OB/OB gas plant to Egbema (NIPP
JEKAAD TECHNICAL SERVICES NIGERIA LIMITED
MATERIAL PROCUREMENT PLAN
2.2 Project Quality Management Manual
2.3 Project Procurement Control Procedure Manual
2.4 Subcontracting Plan
3.0 RESPONSIBILITIES
3.1 The Project Coordinator
3.1.1 Approval of Procurement Specification.
3.1.2 Approval of Material Requisition and Local Purchase Order.
3.2 The QA/QC coordinator
3.2.1 Review of procurement documents for materials.
3.2.2 Source and Receiving Inspection.
3.3 The Material/Procurement Coordinator
3.3.1 Establishment of the Project Procurement Control Procedure Manual.
3.3.2 Development of bidders list.
1) Purchase of material and Equipment.
2) Development, monitoring, reporting, and control of procurement schedules.
3) Request/preparation source and receiving inspection for JEKAAD TECHNICAL SERVICES
supplied materials to the QA/QC coordinator .
3.4 The Contract Coordinator
3.4.1 Execution of the subcontract, subcontractor management and closing the subcontract.
3.4.2 The Contract Coordinator shall be the contact point with CLIENT and subcontractor in
contractual phase by involving the relevant Discipline Coordinators.
3.5 The Engineering Coordinator
3.5.1 Preparation of the material Procurement Specifications and the Bill of Materials for quotation
purpose.
3.5.2 Issue of Material Requisition for permanent materials.
3.5.3 Technical Bid Evaluation for technical proposal documents.
3.5.4 Technical review and comment on Material Vendor/Supplier documents.
3.6 The Site Coordinator
Issue of Material Requisition and Material Issue Slip for all construction work.
4.0 DEFINITION OF TERMS
Procurement Documents:
The documents such as Material Requisition, Procurement Specification, Drawing, take-in
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Technical Bid Submission For the construction of 24” x 22km pipeline from OB/OB gas plant to Egbema (NIPP
JEKAAD TECHNICAL SERVICES NIGERIA LIMITED
MATERIAL PROCUREMENT PLAN
voucher, contractual document and instruction specified the requirements for procurement in
order to perform the procurement activities.
5.0 PROCEDURE
5.1 Procurement Specification (“PS” hereafter).
5.1.1 The Engineering Coordinator/Engineer shall prepare the procurement details in order to
purchase the consumables according to the requirement of the contractual documents,
technical specifications, applicable codes and standards, drawings and this procedure.
5.1.2 The procurement details shall include the following items.
1) Instruction.
2) Applicable codes and standards.
3) General requirements.
4) Design requirements.
5) Manufacturing requirements.
6) Inspection, testing and repair requirements.
7) Documentation/certification requirements.
8) Attachment.
5.1.3 Procurement Specifications shall include the scope of the work to be performed by vendor and
the provisions for identification and traceability and handling, storage, packaging, preservation
and delivery of the items
5.1.4 Quality Assurance Procurement Specification (“QAPS” hereafter) describes general
requirements for quality assurance.
The responsible engineer assigned by the Engineering Coordinator shall prepare the QAPS.
The QAPS shall be used with PS or independently.
The following requirements shall be included in the QAPS, as a minimum.
1) Provisions for identification of test, inspection and acceptance requirements of JEKAAD
TECHNICAL SERVICES for monitoring and evaluating the vendor's performance. The
vendor shall notify the inspection schedule to the QA/QC Coordinator through JEKAAD
TECHNICAL SERVICES procurement organization.
2) Provisions that the vendor shall have a documented quality system, the extent of which
shall depend upon the type and use of the item being procured, and vendor shall
incorporate appropriate quality system requirements as listed in the procurement
documents.
3) Provisions to allow access to the vendor's plant facilities and records for inspection or audit
by JEKAAD TECHNICAL SERVICES, designated representative, and/or other parties
authorized by JEKAAD TECHNICAL SERVICES.
4) Provisions for required documents to be submitted for information, review or approval by
JEKAAD TECHNICAL SERVICES with the time of submittal.
5.1.5 After preparation of the PS and QAPS by the responsible engineer assigned by the
Engineering Coordinator, the Specifications shall be reviewed and approved by the
Engineering Coordinator to ensure inclusion of the technical and quality characteristic
requirements specified in the Client documents. All PS and QAPS shall be also reviewed by the
QA/QC Coordinator to ensure inclusion of the quality-related requirements specified in the
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Technical Bid Submission For the construction of 24” x 22km pipeline from OB/OB gas plant to Egbema (NIPP
JEKAAD TECHNICAL SERVICES NIGERIA LIMITED
MATERIAL PROCUREMENT PLAN
Client documents.
5.1.6 The responsible engineer shall send the approved Procurement Specifications to the
Document Controller for distribution.
5.1.7 Provisions to require the vendor to maintain quality records. Reviewed by the QA/QC
Coordinator to ensure that the quality requirements described in the contractual documents and
applicable codes and standards are reflected on the PS.
5.2 Material Requisition (“MR” hereafter)
5.2.1 The Engineering Coordinator/Engineer shall prepare MR (Attachment 1) in order to purchase
the necessary materials for the construction work through review of Drawings, contractual
documents, technical specifications, applicable codes and standards.
5.2.2 The materials to be purchased by Procurement are based on the requirements of this
procedure shall be described by the related PS number and revision number on the MR and
the PS shall be attached to the MR.
5.2.3 MR shall be reviewed by the QA/QC Coordinator, approved by the Project Coordinator and
sent to the Materials Coordinator for purchasing.
But, the MR for consumables and materials to be used temporarily shall be excluded from the
review by QA/QC Coordinator.
5.2.4 The Material/Procurement Coordinator shall give the number of MR approved by PM and shall
send the procurement details with the Purchase Order and request to the Procurement Office
5.2.5 The Material/Procurement Coordinator shall prepare the Procurement Schedule Control Status
for the request and receipt of materials.
5.3 Bid Evaluation
5.3.1 Upon receipt of the MR Package, the Material/Procurement Coordinator assigns procurement
staff in his organization to select the appropriate vendor.
5.3.2 A procurement staff will use the Approved Vendor List, which shall be CLIENT vendor list to
select the appropriate approved vendors for the items to be procured.
5.3.3 A letter requesting the quotation will be sent to the selected vendors with the copies of PS and
a copy of attachments included in the MR, as appropriate. Copies of such documentation shall
be submitted to CLIENT for information.
5.3.4 When the offers are received from the vendor, a procurement staff shall document the Bid
Evaluation (Attachment 3, 4) and report to the Material/Procurement Coordinator for selection
of a vendor.
5.3.5 The bid evaluation for the following subjects (Paragraph 5.3.6) may not be necessarily
performed for the procurement of materials. But the commercial evaluation for prices, delivery,
and payment terms shall be documented on the Bid Evaluation, as a minimum.
5.3.6 When the bid evaluation is performed, the procurement staff shall coordinate with the
personnel who prepared and reviewed the MR. The following subjects shall be evaluated by
the personnel who prepared and reviewed the MR, as applicable to the type of procurements:
1) Technical considerations to assure that the vendor meets the technical requirements
specified. If any alternates, exceptions or changes are made by the vendor, the
procurement staff shall obtain the acceptance from the MR preparer and reviewer to assure
any additional or modified design criteria is required and such changes may affect the
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Technical Bid Submission For the construction of 24” x 22km pipeline from OB/OB gas plant to Egbema (NIPP
JEKAAD TECHNICAL SERVICES NIGERIA LIMITED
MATERIAL PROCUREMENT PLAN
intent of the MR or quality of the items to be procured. If not accepted, the offer from that
vendor must be dropped from the bid evaluation.
2) Quality requirements specified on PS have been applied.
3) Vendor's current capability to perform the necessary activities for the items to be procured
by reviewing the delivery specified on offer or current engagement of the orders from
others through meeting or any correspondence.
4) Vendor's past experience by evaluation of vendor's history of providing an identical or
similar product, which performs satisfactorily in actual use.
5) Vendor's current quality records supported by documented qualitative and quantitative
information, which can be objectively evaluated.
The Requisition technical evaluation including a list of deviations from specification shall be
submitted to CLIENT for review.
5.3.7 The Material/Procurement Coordinator shall make the selection of the vendor by reviewing the
bid evaluation results during the administrative internal approval. He documents the selected
vendor's name on the Bid Evaluation.
5.4 Purchase Order (“PO” hereafter)
5.4.1 The Material/Procurement Coordinator on the basis of the approved MR shall perform the
procurement activities according to this procedure.
5.4.2 The Material/Procurement Coordinator shall request for the technical bid from more than two
(2) vendors.
5.4.3 The Material/Procurement Coordinator shall request for the Technical Bid Evaluation for
technical items from the Engineering Coordinator.
5.4.4 The Engineering Coordinator shall perform the Technical Bid Evaluation on the basis of the PO
and the related documents in the technical quotation submitted from vendor and shall send the
result of the evaluation to the Material/Procurement Coordinator.
5.4.5 The Material/ Procurement Coordinator shall evaluate the Technical Bid Evaluation Report and
estimation document and shall select a capable vendor.
After contract, the Material/ Procurement Coordinator shall send the Take-in Voucher or the
Purchase Approval Notice to the related Coordinator including site, if necessary.
5.4.6 The Material/ Procurement Coordinator shall identify the procurement status by the appropriate
period in cooperation with the Site Coordinator, the Engineering Coordinator and vendor in
order to provide and install on time the materials for construction, and shall notify the related
documents to the relevant Coordinator.
5.5 Review and Approval of Vendor Print (“VP” hereafter)
5.5.1 The Engineering Coordinator shall receive VP from the selected vendor through the Material/
Procurement Coordinator for the main materials.
5.5.2 The received VP shall be reviewed and approved in accordance with related procedure and
shall be approved by the Client or Site Coordinator, if necessary.
5.5.3 The QA/QC Coordinator shall review VP for quality according to contracts, codes and
standards.
5.6 Revision of Procurement Documents
The revision of Procurement Documents should be prepared, reviewed, approved and
controlled in the same manner as original.
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Technical Bid Submission For the construction of 24” x 22km pipeline from OB/OB gas plant to Egbema (NIPP
JEKAAD TECHNICAL SERVICES NIGERIA LIMITED
MATERIAL PROCUREMENT PLAN
But, the change of delivery, quantity and price should be excluded from the review by the
QA/QC Coordinator.
5.7 Purchasing of Materials Committed to site
5.7.1 The evaluation and approval of vendor for Major engineering materials shall be approved by
the Project Coordinator based on technical, fabrication capability and past experiences of
vendor.
5.7.2 The Material/ Procurement Coordinator shall perform the procurement activities by using the
approved MR.
5.8 Contract and Control of Subcontractor
5.8.1 The Project Coordinator shall perform the contract activities with the over-seas subcontractor.
5.8.2 The Contractor Coordinator shall perform the contract activities with the subcontractor
according to this procedure and Subcontracting Plan.
5.8.3 The Project Coordinator and the Contractor Coordinator shall reflect properly the quality
requirement such as following items in the contractual document when contracting to
subcontractors.
1) The requirements for submission and approval of Quality Plan of the subcontractor for best
quality in construction.
2) The requirements of performance for quality activities to be the same as the quality system
of NAOC.
3) The requirements of cooperation such as access to site and office of the subcontractor to
verify quality activities of the subcontractor.
4) The requirements of corrective action for quality problems during verification of quality
activities.
5.9 Subcontractor Supplied materials
5.9.1 The Contractor Coordinator shall perform the procurement activities for materials committed to
CLIENT .
5.9.2 The Site Coordinator (including the QA/QC Coordinator, if necessary) shall receive the
procurement documents from subcontractor and they shall verify whether the technical and
quality requirements are properly reflected.
6.0 ATTACHMENT
Attachment 1 Material Requisition (MR)
Attachment 2 Commercial Bid Evaluation (CBE)
Attachment 3 Technical Bid Evaluation (TBE)
Attachment 4 Local Phase Order (LPO)
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Technical Bid Submission For the construction of 24” x 22km pipeline from OB/OB gas plant to Egbema (NIPP
Attachment 1
JEKAAD TECHNICAL SERVICES NIGERIA LIMITED
MATERIAL PROCUREMENT PLAN
MATERIAL REQUISITION (MR)
PJT NAME CONSTRUCTION OF 24” X 22KM PIPELINE FROM OB/OB GAS PLANT TO EGBEMA
MR NO. JTSN – MR – ISSUED DATE
ITEM ESTIMATED
DESCRIPTION UNIT Q’TY ACTIVITY DELIVERY STATUS/REMARKS
NO AMOUNT
NOTICE: RECEIVED
TOTAL REVIEWED BY
BY
PJT CNTL BASE/SITE QA/QC MAT
PREPARED BY CHECKED BY APPROVED BY
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Technical Bid Submission For the construction of 24” x 22km pipeline from OB/OB gas plant to Egbema (NIPP
Attachment 1
JEKAAD TECHNICAL SERVICES NIGERIA LIMITED
MATERIAL PROCUREMENT PLAN
EM PM
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Technical Bid Submission For the construction of 24” x 22km pipeline from OB/OB gas plant to Egbema (NIPP
Attachment 2
JEKAAD TECHNICAL SERVICES NIGERIA LIMITED
MATERIAL PROCUREMENT PLAN
COMMERCIAL BID EVALUATION (CBE)
Contract No. : Prepared By : Date :
------------------------------------------------------ --------------------------------- ---------------------------
(A) (B) (c)
No. Description Q'ty Unit
U/Price Amount U/Price Amount U/Price Amount
Total
Delivery Availability
Payment Terms Offered
Technical and QA evaluation
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Technical Bid Submission For the construction of 24” x 22km pipeline from OB/OB gas plant to Egbema (NIPP
Attachment 2
JEKAAD TECHNICAL SERVICES NIGERIA LIMITED
MATERIAL PROCUREMENT PLAN
Remarks :
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Technical Bid Submission For the construction of 24” x 22km pipeline from OB/OB gas plant to Egbema (NIPP
