KOWEPO invites proposals for steaming coal supply short-term contract

REQUEST FOR PROPOSAL
for
Steaming Coal Supply Short-Term Contract
for TAEAN Power Plant

1. RFP No. : KOWEPO-COAL-2008-Spot-01

2. (Sub)Bituminous Coal to be purchased.
- Suppliers shall offer at least 60,000 Metric Tons on the basis of either FOBT price together with CFR price or FOBT price only

Specifications	Vessel Size
Spec. #1 (NAR min. 5,600kcal/kg)	Either Capesize or Panamax ?(125,000~130,000MT or 60,000~70,000MT)
Spec. #2 (NAR min. 5,350kcal/kg)	Either Capesize or Panamax (125,000~130,000MT or 60,000~70,000MT)

* In the event that the quality is outside the limits of range as the Standard Quality Specifications, KOWEPO will select as the successful supplier(s) if KOWEPO judges that Coal can be used by the Taean Power Plant

3. Term of Contract : March 1, 2008 ~ June 30, 2008
* The shipments should be delivered evenly during the contractual period.

4. Procurement Method : Individual Price Negotiation with Suppliers
- At first, KOWEPO shall select the preferential negotiation supplier(s) considering coal quality and coal price.
- According to the results of price negotiation, KOWEPO shall select in the order of the lowest evaluated price until the quantity amounts to the target contractual quantity of KOWEPO.
- In the event that the preferential Suppliers? prices are in excess of the target price of KOWEPO, both parties shall negotiate the price.
- In the process of further price negotiation with the preferential negotiation suppliers, in the event that both parties fail to reach an agreement on the price and other terms and conditions, KOWEPO may, at its sole discretion, decide not to select even the lowest price Supplier as the successful contract party.

5. Proposal Closing Date : 1:00 p.m., 5th February, 2008.(Korean Standard Time)

6. Qualification of Suppliers
Coal Producer or Marketing Company or Trading Company those who had or has any coal supply contract during the recent 3 years no less than 60,000MT with power generation companies(or electric power companies), or steel makers of Korea, Japan or Taiwan.
If the Supplier who has been awarded a bidding of the 5 Korean Generation Companies during the recent 3 years, but has failed to supply and/or caused material problems of the quality of coal etc., KOWEPO shall have the right, at its sole discretion, to limit the qualification to participate in this RFP.

7. Any queries on this RFP are welcomed to contact
Tel) +822-2050-5712, Fax) +822-2050-5719
E-mail : kwak1104@iwest.co.kr / www.iwest.co.kr/english

8. Proposal documents should be forwarded to
Mr. S. T. (Steve) Lim / Senior Manager-Fuel Procurement Team
Korea Western Power Co., Ltd.
167, Samseong-Dong, Gangnam-Gu, SEOUL, 135-791, Korea.

January 30, 2008
Korea Western Power Co., Ltd.