COAL TENDER: KOSPO-Coal-2009-ET01-01 ~ ET05-03

Monday, November 23 2009 - 12:53 AM WIB

INVITATION TO BID
for Steaming Coal Supply

KOSPO is inviting a bid for the supply of coal from qualified suppliers on ITB and invites your company to submit a bid to supply coal for Hadong Power Plants as follows,

1. Tender No. : KOSPO-Coal-2009-ET01-01 ~ ET05-03

2. Quantity: about 1,500,000MT
- Delivery condition: FOBT and/or CFR

3. Shipping Schedule (Loading port) : 16. December, 2009 ~ 31. March, 2010

Total Quantity (MT) ITB No Type of Specification Loading Schedule
330,000 ET01-01 Spec 1 (4 * 65,000MT?10%) NCV min. 4,800kcal/kg 16. Dec. 2009 ~ 15. Jan. 2010
ET01-02 Spec 2 (1 * 65,000MT?10%) NCV min. 4,600kcal/kg
150,000 ET02 Spec 3 (1 * 150,000?10%) NCV min. 5,500kcal/kg 16. Jan. 2010 ~ 15. Feb. 2010
410,000 ET03-01 Spec 1 (4 * 65,000MT?10%) NCV min. 4,800kcal/kg
ET03-02 Spec 1 (1 * 90,000MT?10%) NCV min. 4,800kcal/kg
ET03-03 Spec 2 (1 * 65,000MT?10%) NCV min. 4,600kcal/kg
150,000 ET04 Spec 3 (1 * 150,000?10%) NCV min. 5,500kcal/kg 16. Feb. 2010 ~ 31. Mar. 2010
480,000 ET05-01 Spec 1 (5 * 65,000MT?10%) NCV min. 4,800kcal/kg
ET05-02 Spec 1 (1 * 90,000MT?10%) NCV min. 4,800kcal/kg
ET05-03 Spec 2 (1 * 65,000MT?10%) NCV min. 4,600kcal/kg

4. Procurement Method: International Open Bidding

5. Qualification: Coal Producers, Marketing companies or traders who is the member of CoalinQ by the closing date and who is qualified to participate in the ITB.

6. Coal Specification
- Bituminous / Sub-Bituminous coal spec. for KOSPO

Item Unit Limit of Range
Spec 1 Spec 2 Spec 3 Spec 4
Total Moisture (TM) (As received basis)? % WT Max. 25 Max. 28 Max. 15*1 Max. 15*1
Volatile Matter (Air dried basis) % WT 22~45 2~45 22~36 22~45
Fixed Carbon (Air dried basis) % WT Max. 60 Max. 60 Max. 60 Max. 60
Ash (Air dried basis) % WT Max. 17 Max. 17 Max. 17 Max. 17
Total Sulfur (As received basis) % WT Max. 1.00 Max. 1.00 Max. 1.00 Max. 1.00
Grindability (HGI) - Min. 45 Min. 43 Min. 45 Min. 45
(As Received Basis)
Gross Calorific Value kcal/kg
Net Calorific Value * kcal/kg Min. 4,800 Min. 4,600 Min. 5,500 Min. 5,350
Nitrogen (Dry ash free basis) % WT Max. 2.4 Max. 2.4 Max. 2.4 Max. 2.4
Ash Fusion Temperature (IDT)
(Reducing Atmosphere)
0C Min. 1,200 Min. 1,150 Min. 1,200 Min. 1,200
Ash Analysis
Fe2O3 % WT Max. 35 Max. 35 Max. 16 Max. 16
Na2O % WT Max. 2 Max. 2 Max. 2 Max. 2
K2O % WT Max. 3 Max. 3 Max. 3 Max. 3
Size Distribution
Above 50mm % Max. 5 Max. 5 Max. 5 Max. 5
Under 2mm % Max. 40 Max. 40 Max. 40 Max. 40

*1. Total Moisture is acceptable up to 18.5% max., if ash content(Air Dried Basis) is equal to or less than 10.0%

7. Payment Terms
a. KOSPO shall determine the payment from either Banker's Letter of Credit (L/C) or Telegraphic Transfer (T/T) payment basis and notify it to seller.

8. Terms and conditions for a new Bidder

A. Definition
a. A new Bidder means the bidders who have never had any successful coal supply contract morethan 65,000 tons to power generation companies of KOSEP, KOMIPO, KOWEPO, KOSPO and KEWESPO, Tai-power and Japanese Power Utilities including J-Power in recent five year

B. Evaluation
a. Evaluation of the bid shall be performed on the CFR basis. The supplier, however, should offer price on both FOBT and CFR basis.

C. Determination of Coal Quality
a. Coal quality analysis at the unloading port by International Agency shall be final.

D. Bid Bond and Performance Bond
a. A new Bidder has to provide Bid Bond and Performance Bond according to Bidding Instructions'Clause 2 and 5 respectively.

9. Bid closing date
The Bidder shall be registered to Call Up Buy System not later than the Closing Date/Time designated in Buyer's Application at http://www.coalinq.com

Total Quantity (MT) ITB No Type of Specification

Bid Closing Date Time

330,000 ET01-01 Spec 1 (4 * 65,000MT?10%) NCV min. 4,800kcal/kg 14:00, December 4.
2009(KST)
ET01-02 Spec 2 (1 * 65,000MT?10%) NCV min. 4,600kcal/kg
150,000 ET02 Spec 3 (1 * 150,000?10%) NCV min. 5,500kcal/kg 14:00, December 8
2009(KST)
410,000 ET03-01 Spec 1 (4 * 65,000MT?10%) NCV min. 4,800kcal/kg 14:00, December 11
2009(KST)
ET03-02 Spec 1 (1 * 90,000MT?10%) NCV min. 4,800kcal/kg
ET03-03 Spec 2 (1 * 65,000MT?10%) NCV min. 4,600kcal/kg
150,000 ET04 Spec 3 (1 * 150,000?10%) NCV min. 5,500kcal/kg 14:00, December 15
2009(KST)
480,000 ET05-01 Spec 1 (5 * 65,000MT?10%) NCV min. 4,800kcal/kg 14:00, December 18
2009(KST)
ET05-02 Spec 1 (1 * 90,000MT?10%) NCV min. 4,800kcal/kg
ET05-03 Spec 2 (1 * 65,000MT?10%) NCV min. 4,600kcal/kg

Remark : The offer from supplier is submitted only one time and KOSPO will not ask the counter offer.

10. Bid forms should be forwarded to
Mr. Byung-Chul Kim / General Manager Fuel Team, Business Strategy Department, Korea Southern Power Co. Ltd KEPCO Annex Bld. 2th floor,
167 Samseong-dong Gangnam-gu, Seoul, 135-791, Korea

Any queries on this Bid are welcomed to contact
S. B. Kim / Fuel Team, KOSPO
Tel) 82-70-7713-8151, Fax) 82-70-7713-8267
E-mail : imaksb@kospo.co.kr

CoalinQ Call Center
Masanori
Eto / CoalinQ Corporation
Tel) 81-3-3586-4122, Fax) 81-3-3586-4125
E-mail : eto-m@coalinq.com

November 20. 2009
Korea Southern Power Co. Ltd.

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