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TRANSNET NATIONAL PORTS AUTHORITY OF SOUTH AFRICA

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					                            TRANSNET NATIONAL PORTS AUTHORITY
                               A DIVISION OF TRANSNET LIMITED
                             (REGISTRATION NO. 1990/000900/06)

                                         REQUEST FOR PROPOSAL

                                  (hereinafter referred to as “RFP”)


REQUEST FOR PROPOSAL FOR THE CONSTRUCTION AND OPERATION OF A
LIQUID BULK STORAGE FACILITY AT THE PORT OF CAPE TOWN ON A
PORTION OF LAND MEASURING 29 800M², EASTERN MOLE, AS INDICATED
ON SKETCH TBH106.A8-2279/3 .




1.        INTRODUCTION

1.1       Transnet Limited, Registration no. 1990/000900/06, a public company with
          limited liability and duly incorporated in compliance with the company laws of the
          Republic of South Africa and trading as TRANSNET NATIONAL PORTS
          AUTHORITY A DIVISION OF TRANSNET LTD (hereinafter referred to as “TNPA”)
          being the registered owner of certain land at the Port of Cape Town, invites pre-
          qualified bidders/lessees to submit a proposal for the provision and operation of a
          liquid bulk storage facility.

1.2       The following sections of this document detail the nature of the RFP and the
          process which will be adopted by TNPA in selecting a suitable/bidder/lessee.


2.        SCOPE & OBJECTIVES OF THIS PROPOSAL

2.1       The scope of this RFP covers the provision of finance and the design,
          construction, commissioning, operation and maintenance of a liquid bulk storage
          facility (excluding LPG and LNG) for imported and exported products under a
          lease agreement for a maximum period of twenty (20) years. TNPA will not
          supply any financial support towards this development.




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2.2       Objectives

2.1.1     The objective of the RFP is to invite pre-qualified bidders/lessee to submit to
          TNPA proposals for the provision of a liquid bulk storage facility at the Port of
          Cape Town.

2.1.2     The proposed liquid bulk storage facility will form part of the Port of Cape Town
          Development Framework Plan (PDF) and will be based on a good understanding
          of the makeup of urban environments and the needs of the port community.

2.1.3     The development and operation shall take cognizance of the development and
          usage of adjacent sites. In particular its proximity to the Joint Bunker Services
          (JBS), FFS Refiners and Cape Town Bulk Storage (CTBS) tank farms who are
          tenants at the Eastern Mole and Tanker Basin.

2.1.4     The development shall be planned and designed in consultation with all the
          communities and interested parties and shall seek to maximise the benefits
          accruing to the local community and other local stakeholders.

2.1.5     The development shall also take into account the need for an Environmental
          Impact Assessment and a Traffic Impact Assessment for such development and
          facility within the port environment.

2.1.6     During this stage of the process pre-prequalified bidders/lessees are invited to
          submit proposals to TNPA.

2.1.7     An evaluation committee consisting of TNPA employees will evaluate the proposal
          call bids. Post tender negotiations will then be entered into with the preferred
          bidder/lessee, which will culminate in the signing of a lease agreement.


3.        TECHNICAL DESCRIPTION OF THE SITE

3.1       Survey of site and registration of title

          The site is located at the Eastern Mole within the Port of Cape Town on a portion
          of land measuring 30 452m² as indicated on sketch number TBH106-2279/1. The
          site shall be surveyed by a registered Land Surveyor to be appointed by the
          successful bidder/lessee at its own cost and the bidder shall provide TNPA with
          the approved survey diagram.

3.1.1 Soil conditions

          The site has been reclaimed from the sea by means of a landfill site that
          accepted any clean “builders rubble” etc. The bidder/lessee shall be responsible
          for determining the sub-surface conditions of the site, at its own cost.

3.1.2 Site Infrastructure

          The provision of site infrastructure such as road access, water, sewerage and
          electricity to the boundary of the site shall be arranged by and at the cost of the
          successful bidder/lessee. No rail facilities are available.
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          The bidder/lessee shall be liable for any connection fee levied by the Council, or
          TNPA for the provision of any services to the site, as well as any other service
          contributions payable on the date of submission of building plans.

          The TNPA will not be responsible for interruptions to any of these services. All
          construction work done on the site shall conform to the provisions of the National
          Building Regulations and other relevant legislation.

3.1.3 Current Utility Services Availability and Capacity

          The following services are available at the boundary of the site:

3.1.3.1             Fresh water supply (160mm diameter ring feed around the perimeter of
                    the site). Sewage disposal (a pump sump at each end of the site).

3.1.3.2             Salt-water fire main (250mm pipe pressurized by fire-fighting pumps
                    capable of supplying 17 bar pressure) runs adjacent to the site to provide
                    fire protection to the berths of Eastern Mole. Fire fighting capability
                    within the proposed site shall be provided by the successful bidder
                    independent of the abovementioned fire main.

3.1.3.3             There is an access road which is a 10m wide road on one side of the site.
                    The successful bidder will be required to construct the turn-off
                    intersection from this road to the site.

3.1.3.4             Existing storm water drains in the area are not sufficient. The successful
                    bidder will have to install drainage for the site across the access road to
                    the sea (approximately 60m).

3.1.3.5             Adequate power supply is not available at the site.

3.1.3.6             Detailed drawings of all services are available for inspection at the Port
                    Engineer’s drawing office located on the 2nd floor, TNPA House, South
                    Arm Road, Port of Cape Town.

3.1.4 Quay Infrastructure and Berth Availability

          Any proposed pipelines feeding from the Tanker Basin or Eastern Mole berths to
          the site will not be allowed on the existing pipe-rack running on the face of the
          sea-wall behind the berths but will be required to be located within the pipe
          viaduct that has been constructed on the reclaimed area behind the Tanker Basin
          or within an extension of this viaduct (still to be constructed) behind the Eastern
          Mole berths.




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          The technical details of the Eastern Mole Berth is as follows:

           Berth                          Maximum draft                    Bollards           Berth Length
           Eastern Mole 1                 11.2 meters                      1-18               259,1m
           Eastern Mole 2                 11.8 meters                      19-28              259,1m


3.1.5 Existing Encumbrances

          The site will be passed to the bidder/lessee free of any structures or buildings.
          However, the TNPA takes no responsibility for any underground obstructions
          arising from previous uses of the site or the material used for reclamation.

3.1.6 Site Location

          The site is zoned “Harbour Use”. Approval must be obtained from the City of
          Cape Town in respect of approval of all plans.

3.1.7 Future site inspection and investigation

          The site is made available and open to pre-qualified bidders/lessees for the
          duration of the RFP process in order to carry out surveys, sampling and/or other
          tests at their own cost in collaboration with TNPA. All survey, sample and other
          test results must be made available to the TNPA without any charge in order for
          TNPA to update its records.


4.        NOTICE TO PRE-QUALIFIED BIDDERS

4.1       Administrative Procedures

          Proposals (eight (8) copies each) must reach TNPA, before the closing date shown
          below and must be enclosed in a sealed envelope which must have the following
          inscription on the outside: Request for proposal HPM2/06/28/3/32.

          If posted, the envelope must be addressed to Transnet National Ports Authority,
          Real Estate Department, P O Box 4245, Cape Town, 8000 and despatched in time
          for sorting by the Post Office to reach TNPA before the closing time of the
          application.

          In the event of the late receipt of an application, an applicant’s franking machine
          impression will not be accepted as proof that the proposal was posted in time.

          The measurements of the "tender slot" are 500mm wide x 100mm high,
          and you must ensure that tender documents/files are no larger than the
          above dimensions. Applications for pre-qualifications which are too
          bulky (i.e. more than 100mm thick) must please be split into two or more
          files.

          N.B.: KINDLY NOTE THAT THE TENDER BOX IS LOCATED IN THE FOYER,
          GROUND FLOOR, TNPA HOUSE, SOUTH ARM ROAD, PORT OF CAPE TOWN
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          AND WILL BE ACCESSIBLE TO THE PUBLIC 24 HOURS PER DAY, 7 DAYS A
          WEEK.

          PLEASE NOTE THAT THIS REQUEST FOR PROPOSAL CLOSES PUNCTUALLY
          AT 10:00 ON MONDAY 31 MAY 2010.

          If proposals are not posted or delivered as stipulated herein, such proposals will not
          be considered and will be returned as "late" proposals.

          Transnet Ltd does not bind itself to accept any proposal nor will it disclose the
          successful bidder’s/lessee’s proposed price or any other proposed prices, as this is
          regarded as confidential information, unless required to make such disclosure by
          law.

          However, all unsuccessful bidder/lessee will be informed in writing.

          Envelopes must not contain documents relating to any proposal other than that
          shown on the envelope.

          No slips are to be attached to the proposal documents. Any additional conditions
          must be embodied in an accompanying letter. Alterations, additions or deletions
          must not be made by the pre-qualified bidders to the actual documents.

4.2       BIDDERS ENQUIRIES OR COMMUNCIATIONS

          All enquiries and communications to TNPA should be made in writing.

4.2.1 CHANGES TO PROPOSAL DOCUMENTS

          Any changes to RFP documents will be communicated in writing to the
          bidders/lessees.

4.3       CONFIDENTIALITY

          All proposal documents including any correspondence relating to the RFP
          documents shall be treated as confidential and shall not be disclosed to the public
          unless authorized by law.

4.4       INTELLECTUAL PROPERTY

          All intellectual property relating to this RFP shall remain vested in TNPA.

4.5       PUBLICITY

          No public announcements or media statements shall be issued.

4.6       RESOLUTION OF BOARD OF DIRECTORS / MEMBERS / DECLARATION

          Bidders/Lessees must submit details of Resolutions of Boards of Directors /
          Members / or any Declarations.


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4.7       BID SUBMISSIONS

          The information requested below must be submitted by bidders/lessees (eight (8)
          copies) and should follow the same numbering and order. Evaluation of the RFP
          documents by TNPA in selecting the Preferred bidder/lessee will be on the basis of
          points allocated for each of the submission items with adjustment according to the
          indicated weightings.

          Cognisance will be taken of application for pre-qualification during the RFP
          adjudication process. Bidders/Lessees must therefore highlight any changes made
          to submissions.

4.8       RESERVATION OF RIGHTS

          TNPA reserves the right:

4.8.1     To cancel this RFP process at any time;

4.8.2     Not to accept any RFP in part or in full;

4.8.3     To accept one or more RFP’s for further negotiations; and

4.8.4     To extend the dates and modify the scope of the RFP.




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          VOLUME 1

          FORMAT OF RFP SUBMISSION

1.        BBBEE Rating                                                                     Weighting = 10%

1.1       Broad Based Black Economic Empowerment.

          Transnet Ltd fully endorses and supports the Government’s Black Economic
          Empowerment Programme and it is strongly of the opinion that all South African
          Business Enterprises have an obligation to redress the imbalances of the past and
          Transnet Ltd will therefore prefer to do business with local business enterprises
          who share these same values. To this end, Transnet Ltd will seriously reconsider
          continued business relationships with such local business enterprises that do not
          possess a B-BBEE recognition level of at least a level 4. Transnet Ltd
          consequently urges applicants to have themselves accredited by any one of the
          various Accreditation Agencies available, who conduct B-BBEE ratings in
          accordance with the latest Codes (i.e. those promulgated on 9 February 2007)
          and whose names appear on the present ABVA (Association of BEE Verification
          Agencies) –“List of Full Members” as displayed on the ABVA website
          (www.abva.co.za).

          Each respondent is required to furnish a verification certificate to Transnet Ltd.
          Failure to do so will result in a score of zero being allocated for B-BBEE.


2.        Business Plan                                                          Weighting = 90%

2.1       Market Analysis                                                        Weighting 15/90

2.1.2     Identification of status quo market and services;

2.1.3     Identification of the potential market / sector analysis;

2.1.4     Gap analysis identifying discrepancy between actual & potential market;

2.1.5     Identification of competition / competitors;

2.1.6     Economic spin-offs per market segment;

2.1.7     SWOT analysis;

2.1.8     Identify potential market share – low, mid, high projections / forecast;

2.1.9     Sustainability and growth assumptions;

2.1.10 Products and services;

2.1.11 Details of sources of information on all market information / analysis;

2.1.12 Logistics chain / value chain beneficiation overview.
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2.2       Commercial Operations                                                  Weighting = 10/90

          A clear statement of the vision, mission and strategic objectives of the Company
          / Consortium;

          Demonstration of innovative approach to provision of up to date equipment /
          operating methods through the lease period;

          Description of proposed facility layout as well as graphical representation i.e.
          short -, medium – or long – term / phased approach.


2.2.1 Construction Phase                                                         Weighting = 15/90

          Project management schedules detailing all construction activities, milestones,
          cost, timelines etc. for the whole project.

2.2.1.1             Technical Criteria

2.2.1.1.1           Names of the Design Teams and other Consultants;

2.2.1.1.2           Name of the Construction Contractor;

2.2.1.1.3           Activity projections and programs;

2.2.1.1.4           Phasing and contents of each phase;

2.2.1.1.5           Conformity to design Criteria and specifications;

2.2.1.1.6           Efficacy of Design.


2.2.1.2             Presentation of Preliminary Design Proposals for the new facility
                    to include:

2.2.1.2.1           1:1000 Site Development Plan;

2.2.1.2.2           1:100 Floor Plans;

2.2.1.2.3           1:100 Elevations;

2.2.1.2.4           1:200 Earthworks;

2.2.1.2.5           Geo-technical evaluation;

2.2.1.2.6           Preliminary design calculations (clear & logical sequence);

2.2.1.2.7           Schedule of prices linked to quantities;

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2.2.1.2.8           Preliminary maintenance schedules and programs;

          Details of discussions with planning authority (City of Cape Town) concerning
          design of facility and choice of construction materials.


2.2.2 Operational Phase                                                          Weighting = 15/90

2.2.2.1              Service offering (prime)

2.2.2.1.1           A process flow diagram including all activity components linked to time;

2.2.2.1.2           A signed statement of what the Company / consortium envisage the
                    effect will be on adjacent facilities in terms of noise, visual, pollution etc;

2.2.2.1.3           Confirmation of extent of BBBEE involvement in procurement of services
                    and materials as linked to bidder’s/lessee’s Procurement Policy and
                    distribution of work.

2.2.2.2             Human Resources (HR) plan

2.2.2.2.1           An organogram detailing the HR plan in terms of equity and local/foreign
                    participation linked to activity;

2.2.2.2.2           Provide an outline of the proposed management structure relating to
                    Services;

2.2.2.2.3           Details of an appropriate local empowerment and capacity building
                    program aimed at real skills transfer, skills development, training,
                    induction – safety, environment, quality, etc;

2.2.2.2.4           Confirmation that bidder/lessee will comply with SA labour legislation;

2.2.2.2.5           Confirmation of share of contract work that will be given to BBBEE sub-
                    contractors as linked to bidder’s/lessee’s Procurement Policy and
                    distribution of work;

2.2.2.2.6           Number of employment opportunities to be created up and down stream,
                    to include permanent versus temporary jobs in the construction and
                    operational phase.

2.2.2.3             Quality Control

                    An overview on the approach or management system (ISO 9001) to be
                    utilized for the Project covering all aspects of Quality Control to
                    demonstrate the achievement and Maintenance of a Quality Assurance
                    program.

2.2.2.4              Environmental Management

                    An overview of the approach or management system (ISO 14001) to be
                    utilized for the Project covering all aspects of Environmental management
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                    to demonstrate the achievement and Maintenance of Environmental Legal
                    Compliance.



2.2.2.5              Security Management

2.2.2.5.1           Give details of the bidder’s/lessee’s Security policy and the details of how
                    the policy is implemented;

2.2.2.5.2           Confirmation that whoever takes responsibility for security on the facility
                    is registered with the Security Industry Regulating Authority (SIRA);

2.2.2.5.3           Description of access and egress system of the site linked to the overall
                    port security system;

2.2.2.5.4           Details as to how the bidder/lessee will conform to ISPS security code,
                    embodied in the Maritime Security Regulations in Merchant Shipping Act,
                    in all aspects relevant to the facility.

2.2.2.6             Occupational Health and Safety Management

                    Give details of the bidder’s/lessee’s Health & Safety policy and the details
                    of how the policy will be implemented. An overview on the approach or
                    management system (OHSAS 18001) to be utilized for the Project
                    covering all aspects of Occupational Health & Safety management to
                    demonstrate the achievement and Maintenance of Occupational Health &
                    Safety Legal Compliance is required.

2.2.2.7             Risk Management

2.2.2.7.1           Bidder/Lessee to define all risks in terms of the development and
                    operational phase (executive risks);

2.2.2.7.2           A signed statement setting out how the bidder/lessee proposes to allocate
                    the technical, financial and commercial risks associated with the
                    development;

2.2.2.7.3           Bidder/Lessee to illustrate clearly transfer of risk to all parties involved;

2.2.2.7.4           Bidder/Lessee to provide information that indicates how they will manage
                    and protect business risk (insurance profile).


2.3       Financial                                                              Weighting = 35/90

          Bidder/Lessee to provide all information as indicated below;

          Bidder/Lessee to indicate at all times how cost and revenue streams link to
          overall project in terms of the market, commercial and financial sections of RFP
          document.

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2.3.1      Initial investment (development phase)

2.3.1.1             Capital expenditure and outlay (debt, equity etc);

2.3.1.2             Construction cost, equipment, design cost, EIA, geotechnical
                    investigation;

2.3.1.3             Import costs (take into account any exchange fluctuations);

2.3.1.3             Other costs implications identified.


2.3.2 Operational Costs (through lifespan of lease period, 20 years)

2.3.2.1             Maintenance;

2.3.2.2             Material;

2.3.2.3             Energy;

2.3.2.4             Labour;

2.3.2.5             Proposed lease rental and escalation rate;

2.3.2.6             Training;

2.3.2.7             Environmental / quality / safety / risk program costs;

2.3.2.8             Equipment;

2.3.2.9             Outsourcing;

2.3.2.10            Other.


2.3.3 Operational Revenues (long, medium and high projection scenarios)

2.3.3.1             Income generated information;

2.3.3.2             Tariff / revenue stream;

2.3.3.3             Other revenue sources identified.


2.3.4      Financial evaluations

2.3.4.1             Cash flow projections;

2.3.4.2             Present value of future cash flows;
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2.3.4.3             Profit and loss accounts (present and projected);

2.3.4.4             Balance sheets;

2.3.4.5             Return on investment.


2.3.5      Assumptions

2.3.5.1             Inflation;

2.3.5.2             Interest rate;

2.3.5.3             Equity;

2.3.5.4             Other.




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          VOLUME 2

1.        TECHNICAL SPECIFICATION

1.1       Project Quality Management System

          Assessment of the bidders/lessees technical submissions will be aimed at
          ensuring that the displayed solution meets the output specification and will give
          rise to a facility which will be technically & environmentally acceptable and which
          will exploit the petroleum market to the maximum advantage of both the
          bidder/lessee and TNPA.

          All construction work done on the site shall conform to the provisions of the
          National Building Regulations and other appropriate latest standards.

          Bidders/Lessees must submit a project quality plan, which should include clear
          method statements as to what quality control measures would be in place to
          ensure specifications are met for the various aspects of the project and which
          would include, amongst others:

          Design;

          Construction;

          Procurement;

          Operation of the facility;

          Accreditation of contractors, suppliers;

          Responsibilities;

          Procedures.

1.2       Risk Management

          Risk assessment will be undertaken at an early stage and the risk (commercial,
          technical, etc) will be actively managed by the TNPA throughout. The policy to
          be adopted in managing risk will be as follows:

          Risks will be borne by the party most able to assess and control those risks;

          Risks will, wherever practical, possible and commercially expeditious, to be
          transferred to the bidder/lessee;

          Risks taken by the bidder/lessee organization will actively be mitigated / avoided
          by TNPA wherever possible in order to maximize the bidder’s/lessee’s chances of
          securing finance and delivering the project.



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1.3       Design and Drawing Requirements

1.3.1 General

          The design and drawing requirements are divided into two categories:

          Preliminary Design and Detailed Design.

          Preliminary design and drawings shall be submitted with this RFP Submission.
          Detailed design and drawings would be submitted for the negotiation stage of the
          project. (3rd Stage)

          Bidders/Lessees shall submit with their proposals preliminary design drawings
          and calculations in sufficient detail so as to enable an assessment to be made of
          the general efficacy of the designs and of their principal elements.

          The calculations shall be clear and in a logical sequence and shall clearly reflect
          all the design assumptions.

1.3.2      Design Code (Civil)

          All designs shall comply with the following general Codes:

          National Building Regulations;

          SANS 10120 series: - Code of practice for use with standardized specifications for
          civil engineering construction and contract documents;

          National Water Act, 1998 (Act No 36 of 1998);

          Applicable local by-laws.

          In addition, all relevant codes applicable to bulk installations within the petroleum
          industry shall apply. This includes, but not necessarily limited to, the following
          codes:

          SANS 10089-1:2008 The petroleum industry Part 1; Storage and distribution of
          petroleum products in above-ground bulk installations;

          SANS 10089-2: 2007 The petroleum industry Part 2; Electrical and other
          installations in the distribution and marketing sector;

          SANS 10108: 2005 The classification of hazardous locations and the selection of
          apparatus for use in such locations;

          SANS 10105: The use and control of fire-fighting equipment;

          SANS 10232-3: 2007 Transport of dangerous goods Emergency information
          systems Part 3: Emergency response guide.


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          Unless otherwise dictated by requirements in the above codes, fencing for the
          perimeter of the site shall conform to the standard used throughout the port,
          namely 2,4m galvanized steel palisade fence.


1.3.2.1 Preliminary Design Calculations

          Preliminary calculations shall be submitted with the RFP. Such calculations shall
          give adequate details so as to enable an assessment to be made of the general
          efficacy of the design and of its principal elements as well as of the degree to
          which the design prescription and codes, as specified by TNPA, are being
          complied with. The calculations shall be clear and in a logical sequence and shall
          clearly reflect design assumptions.

          Each submission must be accompanied by a Schedule of Prices. Where quantities
          are indicated it must be shown how those quantities were determined.


1.3.2.2 Preliminary Drawings

          Preliminary drawings of the proposed structures shall be submitted with the RFP.
          These drawings shall comprise adequate layout plans, elevations and sections
          and shall clearly illustrate the general efficacy of the designs and their principal
          elements. Foundation depths and other elements depending on foundation
          conditions shall, in so far as may be applicable, be in accordance with foundation
          conditions as determined during appropriate investigations (refer to item 2.2.1 of
          this document)).

          At least the following drawings are to be provided:

          Site layout plan                                  1:1 000

          Plans of tanks                                    1:100

          Elevations                                        1:100

          Earthwork layout                                  1:200


1.3.3 Design codes (Electrical)

          All designs shall comply with the relevant South African and International Cods as
          may be applicable to the installation being considered and proposed;

          The installation must comply with the Occupational Health and Safety Act 85 of
          1993;

          The installation must comply with the SANS 10142-1: 2008. The wiring of
          premises;

          The installation must comply with the NRS Quality of Supply Standards;

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          The system must be earthed according to the appropriate earthing standards;

          The installation must take SANS 10123: 2001 the control of undesirable static
          electricity, into account;

          The bidder/lessee must provide the certificate of compliance after the successful
          installation of the electrical system equipment;

          The bidder/lessee must provide the Bill of Quantities for the electrical equipment;

          The bidder/lessee must provide the lightning protection.

          The bidder/lessee shall clearly indicate within his submission his electrical
          demand of TNPA’s electrical infrastructure. Should such capacity not be available
          to meet said demand thereby necessitating electrical infrastructure upgrade, the
          cost of such upgrade shall be borne by the bidder/lessee.

1.3.4 Preliminary Adjudication of Bids

          TNPA will undertake a preliminary scrutiny of any bid designs for general
          compliance with the specified design codes.

          The bidder/lessee shall note that the acceptance of a bid which includes bid
          designs shall mean that the proposal designs have been approved in principle
          only. If the bidder/lessee is successful and the final calculations, drawings and
          details do not comply with the specified requirements, such designs may be
          rejected, unless they are suitably amended by the Preferred bidder/lessee so as
          to be acceptable to TNPA.



1.3.5 Contract Drawings Provided by the Preferred Bidder/Lessee

          Where the Preferred bidder/lessee is required to prepare drawings for the
          purpose of contract closure, they shall be prepared as specified below and in
          accordance with any further requirements specified by TNPA.

          Accepted drawings shall form an integral part of the contract documents, and
          any drawings not accepted and signed will not be permitted to be included in the
          contract. Notwithstanding the approval and/or acceptance and signing of the
          drawings, the bidder/lessee shall take full responsibility for all details,
          discrepancies, omissions, errors, etc. in respect of the said drawings as well as
          the consequences thereof.

1.3.6 Construction Drawings and Calculations

          The bidder/lessee shall submit working drawings and calculations for scrutiny by
          the TNPA at least three (3) months before commencement of the associated
          construction activity.

          Within six weeks of having received the above, the TNPA will indicate which
          drawings and calculations are acceptable and which are not, with reasons
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          furnished. The bidder/lessee shall then submit to the TNPA in good time any
          modified drawings and other particulars for approval, for which TNPA will require
          two (2) weeks.

          Any delay arising from the fact that the amended particulars do not meet the
          requirements shall be the responsibility of the bidder/lessee.

          Construction may not be commenced unless the drawings and calculations have
          been approved.

1.3.7 Responsibility for design

          The approval of a design by the TNPA shall not in any way relieve the Preferred
          bidder/lessee of its responsibility to produce designs which conform in all
          respects to all the specified requirements and which will be suitable for the
          purpose envisaged.

          The specifying of minimum design criteria and parameters shall not be
          considered to invalidate the bidder’s/lessee’s/Preferred bidder’s/lessee’s
          obligation to provide competent and stable designs. The bidder/Preferred bidder
          must therefore ensure that its design proposals are to its satisfaction in all
          respects and may apply more conservative design criteria or parameters where it
          considers these to be necessary to achieve satisfactory standards of stability.


1.4       Development of SITE

1.4.1 Development of the Site shall conform to City Planning criteria in respect of the
      “Harbour” zoning and the planned activity on the Site, addressing the following
      aspects in particular:

          a. Coverage;

          b. Floor area ratio;

          c. Height restriction;

          d. Building lines;

          e. Building restrictions;

          f.    Parking;

          g. Ingress / Egress;

          h. Loading / Off-loading.

          The commencement of construction is subject to the approval of a Site
          Development Plan by the TNPA and the Cape Town Unicity.



Request for Proposal for the Construction and Operation of a Liquid Bulk Storage Facility: Eastern Mole: Port of Cape
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          Dedicated services provided by the bidder/lessee to the Site will be within
          services reserves confirmed by the TNPA. Such services will remain the property
          of the bidder/lessee and will be covered by separate wayleave agreement.

1.5       Environmental Management

          Liquid Bulk operations are a scheduled process in terms of the National
          Environmental Management Act 107 of 1989 and an Environmental Impact
          Assessment (EIA) must be conducted by the Preferred bidder/lessee prior to
          construction. The Bidder will be required to appoint an independent consultant
          to do the EIA study, which shall include the establishment of the facility and
          operations and which study shall be submitted to the Department of
          Environmental Affairs and Tourism for approval.

          In addition a detailed Environmental Management Plan addressing all significant
          environmental issues identified during the EIA process will be required by TNPA
          for the Construction, Operation and Decommissioning of the site.                The
          submissions referred to in this clause are not a requirement of this RFP stage.

1.6       Programme Management

          The bidder/lessee shall submit a detailed program including all aspects of the
          project. The program is to include timeframes for all major activities, all
          milestones and resource allocation for these activities.


2.        GENERAL INFORMATION

2.1       The following minimum lease conditions will apply:

          Rental = R18.00 m²/p.m. excluding VAT;

          Escalation = 10% p.a.;

          Rent review every 5 years;

          Maximum period of lease = 20 years with no option to renew.

          A compulsory investment clause will be included in the lease agreement stating
          that 90% of an amount to be determined must be invested within a period of
          three (3) years from initial date of the agreement. Non compliance to the
          compulsory investment clause will result in a breach of contract.

          A clause will be incorporated into the lease agreement indicating that Transnet Ltd
          can give the lessee 36 months notice should the property be required for port
          planning. This notice may only be given 5 years after the initial date of the
          agreement.




Request for Proposal for the Construction and Operation of a Liquid Bulk Storage Facility: Eastern Mole: Port of Cape
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2.2       Rates and Taxes charges

          Rates = R3.40 per m² per month.

          Please note that this rate is applicable until the end of June 2010 and is subject
          to adjustment thereafter.



2.3       Current Service consumption charges

          Water = R7.92 per KL plus reticulation charges of R3.96 per KL;

          Electricity = 0.070846 per KWH or .02566 per KWH plus R81.3849 per KVA for
          large consumers.

          Please note that this rate is applicable until the end of June 2010 and is subject
          to annual adjustments.

2.4       Library

          Library facilities are available at TNPA drawing office, Port of Cape Town for the
          duration of the RFP process. Copies of various plans of the Port, its services and
          infrastructure as well as any other data of a non-confidential nature in the
          possession of TNPA and relevant to the Project will be provided on request. A
          nominal charge for copies may be charged. All requests from library to be made
          in writing allowing a minimum of two (2) days notice.

2.5       Annexures

          The following documents are annexed hereto.

          Volume 1            -         Format of RPF Submission
          Volume 2            -         Technical Specification
          Annexure       A    -         Sketch
          Annexure       B    -         Transnet SHEQ Policy
          Annexure       C    -         Port of Cape Town EMP Guidelines
          Annexure       D    -         Port of Cape Town Safety, Health and Environmental
                                        Specification




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