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505573-0000-51AF-I-0100 Rev. 00 APPLICATION FOR BIDDER SELECTION Package Number: CD0508 Package Title: Supply and Install Electrode Sites Closing Date: 12-Sep-2013

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505573-0000-51AF-I-0100 Rev. 00

APPLICATION FOR BIDDER SELECTION

Package Number: CD0508Package Title: Supply and Install Electrode SitesClosing Date: 12-Sep-2013

Application For Bidder SelectionPackage Number: CD0508

DOCUMENT LIST

INVITATION FOR BIDDER SELECTIONINSTRUCTIONS TO APPLICANTS FOR BIDDER SELECTIONSCOPE OF WORK SUMMARYAPPLICATION FOR BIDDER SELECTIONAPPENDIX 1 - COMMERCIAL QUESTIONNAIREAPPENDIX 2 - TECHNICAL CAPABILITY QUESTIONNAIREAPPENDIX 3 - HEALTH AND SAFETY QUESTIONNAIREAPPENDIX 4 - ENVIRONMENTAL QUESTIONNAIREAPPENDIX 5 - QUALITY QUESTIONNAIRE

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Application For Bidder SelectionPackage Number: CD0508

19-Aug-2013

ATTENTION: Applicant

REFERENCE: Lower Churchill Project (LCP) – Muskrat Falls Development

SUBJECT: Invitation for Bidder SelectionPackage No.: CD0508Package Name: Supply and Install of Electrode Sites

To whom it may concern:

Nalcor Energy (“Company”) invites you to submit an application for consideration in our Bidder Selection process for the above referenced Package. The Package forms part of the work for the 824 MW Muskrat Falls hydroelectric facility in Newfoundland and Labrador, Canada.

Bidder Selection will be in accordance with the attached documents (appendices) and Applica-tions must be completed and submitted to the Company on or before 12-Sep-2013.

The Application for Bidder Selection will be posted on Company’s website at https://muskrat-falls.nalcorenergy.com and Word versions of the Application forms and questionnaires can be accessed from there.

The undersigned Contract Administrator shall be your single point of contact for the duration of the Bidder Selection process.

Yours truly,

Anthony JackmanSr. Contracts Co-ordinatorEmail: [email protected]: (709) 737-1860

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Application For Bidder SelectionPackage Number: CD0508

INSTRUCTIONS TO APPLICANTS FOR BIDDER SELECTION

1.0 DEFINITIONS

For the purposes of this Invitation for Bidder Selection the following definitions shall apply:

“Applicant” means the person, corporation, partnership, joint venture, or other organization which has received the Invitation for Bidder Selection.

“Application” or “Application for Bidder Selection” means the document submitted by an Applicant in response to the Invitation for Bidder Selection.

“Bidder” means an Applicant that has been selected to bid on one of the contracts or purchase orders for the execution of the Lower Churchill Project - Muskrat Falls Development.

“Company” means Nalcor Energy.

“Engineer” means Nalcor Energy, or such other Person designated by Company in writing from time to time by giving Notice to Contractor, and any successors or assigns.

“Package” or “Package for Bidder Selection” means the specific package for which the Invitation for Bidder Selection is extended.

“Bidder Selection Document” means the documents issued to an Applicant by the Company in connection with the Invitation for Bidder Selection.

“Site” means the location for the performance of Work at the power plant, dam and/or immediate vicinity at Muskrat Falls, Labrador, or at power transmission line routes, including all roads and access routes to Muskrat Falls and transmission lines, as may be further described in the Scope of Work for the Package.

2.0 INTRODUCTION

2.1 Invitation

The Company is inviting companies with the requisite experience to submit Applications for Bidder Selection with respect to work for the Lower Churchill Project (LCP). The spe-cific Package for which the present invitation is made is identified in the covering letter to which these instructions are attached.

The Company intends to request formal proposals for the referenced Package from qualified Applicants.

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Application For Bidder SelectionPackage Number: CD0508

2.2 Lower Churchill Project Description

The Churchill River in Labrador is a significant source of renewable, clean electrical energy; however, the potential of this river has yet to be fully developed. The existing five thousand four hundred twenty-eight (5,428) MW Churchill Falls generating station, which began producing power in 1971, harnesses about sixty-five percent (65%) of the potential generating capacity of the river. The remaining thirty-five percent (35%) is located at two (2) sites on the lower Churchill River, known as the Lower Churchill Project. The LCP, one of the Company's five (5) lines of business, is the most attractive undeveloped hydroelectric project in North America.

The Lower Churchill Generation Project's two (2) proposed installations, Gull Island and Muskrat Falls, will have a combined capacity of 3,074 MW and can provide sixteen point seven (16.7) terawatt hours of electricity per year. The proposed eleven hundred (1,100) kilometres high voltage direct current (HVdc) link will be the first of its kind in New -foundland and Labrador and will be constructed from the central region of Labrador down to Newfoundland's Avalon Peninsula.

2.3 Health, Safety and the Environment

Company places the highest priority in having a safe and healthy workplace for employees and contractors’ employees and conducting all our activities in an environmentally responsible manner. Company’s commitment is to meet or exceed the standards expected of an industry leader by the community and Government, and thereby achieve an accident free and healthy workplace.

2.4 Provincial Benefits

Company has agreed to a Lower Churchill Construction Projects Benefits Strategy

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Application For Bidder SelectionPackage Number: CD0508

(http://www.nr.gov.nl.ca/nr/energy/lcp_benefits_strategy.pdf) with the Province of Newfoundland and Labrador. This Benefits Strategy outlines all contracting, purchasing, and employment benefits objectives for the LCP. This strategy also outlines Company’s commitments to gender equity and diversity. The Successful Bidder will be required to undertake a commitment to support gender equity and diversity in the execution of Work on the LCP. All contractors are required to adhere to applicable principles and commitments contained in this strategy.

Company has signed an Impacts and Benefits Agreement (“IBA”) with the Innu Nation. This agreement includes obligations relating to employment, training, procurement and workplace policies. The intent of the IBA is to build capacity within the Innu Nation and involve the Innu in the LCP in a significant way. Innu content will be a consideration in the overall evaluation of all bids submitted.

Also the Government of NL has entered into a Memorandum of Understanding (“MOU”) with the Government of Nova Scotia regarding industrial and employment benefits with respect to the Maritime Link transmission project. Details of this MOU can be found at (http://www.releases.gov.nl.ca/releases/2011/nr/1128n06.htm).

2.5 Information Submitted for Bidder Selection

The information provided by the Applicant is strictly confidential and solely for the use of Company in the Bidder Selection process.

3.0 BIDDER SELECTION PROCESS

3.1 Principles

Company is committed to ensuring fairness in its Bidder Selection process. To accomplish this, Company will only utilize contractors who meet or exceed its Commercial, Technical, Health & Safety, Environmental and Quality Standards. Your complete response to the information requested in the Application for Bidder Selection is essential to allow Company to make its determination.

3.2 Qualifications

Company will evaluate whether or not the Applicant is able to meet, or exceed, its minimum standards with respect to the following:a) Commercial: This includes financial capacity, credit worthiness, insurance and

bonding capacity, litigation history, understanding and commitment to the Lower Churchill Construction Project Benefits Strategy, and, if applicable, operational integration of the business partners.

b) Technical Capability: This includes the Applicant’s capacity to execute the work of the Package in a timely manner, as indicated by its experience in performing contracts of similar nature and complexity, and in harsh northern/marine environments. It also includes the organization, personnel, and equipment that the

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Application For Bidder SelectionPackage Number: CD0508

contractor/supplier would make available for the contract.c) Health and Safety: This includes both the health and safety management systems to

be utilized and the Applicant’s Incident Frequency and Workmen’s compensation history.

d) Environment: This includes both the environmental management systems to be utilized and the Applicant’s Environment Incident history.

e) Quality: This includes the quality management systems to be utilized, if selected.

4.0 PREPARATION AND SUBMISSION OF APPLICATIONS

4.1 Bidder Selection Document

The Bidder Selection Documents will be issued in electronic format (pdf and native file) and will be composed of the following documents: Invitation for Bidder Selection; Instructions to Bidder Selection Applicants; Scope of Work Summary; Application for Bidder Selection, including: Appendix 1 – Commercial Questionnaire Appendix 2 – Technical Capability Questionnaire Appendix 3 – Health and Safety Questionnaire Appendix 4 – Environmental Questionnaire Appendix 5 – Quality Questionnaire

When completing the Bidder Selection Documentation, the following requirements are to be strictly observed: the Applicant is requested to complete and submit the Application for Bidder

Selection including the Appendices; ensure that the name of the Applicant is entered in the footer of each Appendix; the Appendices are to be completed by the Applicant and each partner of a joint

venture or partnership, where applicable.

If the Applicant is applying for Bidder Selection as a joint venture/partnership then the following applies: the Application must be submitted by the lead partner; each partner of the joint venture/partnership must agree to be jointly and severally

responsible for the work; and, a copy of the joint venture/partnership agreement must be attached (see

Attachment 1).

4.2 Communications

The Contract Administrator, identified in the covering letter to which these instructions are attached shall be the single point of contact for any questions related to the Bidder Selection Process. All communications from the Applicant during the Bidder Selection period shall be by letter or e-mail, and addressed to the Contract Administrator.

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Application For Bidder SelectionPackage Number: CD0508

Uninvited visits to Company’s office to discuss the Bidder Selection process are not permitted.

4.3 Submission of Application

Applications shall be submitted by e-mail to the Contract Administrator as mentioned in the Invitation for Bidder Selection.

4.4 Signatures

The Application for Bidder Selection must be signed by a person who has been authorized to sign on behalf of the Applicant.

5.0 UNDERSTANDING WITH RESPECT TO THE APPLICATION

In submitting its Application, the Applicant acknowledges that: Company, shall have no liability whatsoever, for any costs, expenses, charges or

losses which the Applicant may incur or be required to expend in its preparation or presentation of this Application for Bidder Selection.

Applicant’s submission of documentation/information requested in response to the Invitation for Bidder Selection shall not convey any right to Applicant to be included on the final Bidders List and it will be Company’s sole right to determine the final list of qualified bidders to be included on said Bidders list.

While the information submitted is not for general publication, it will be used as necessary for the purposes of pre-qualification.

6.0 SCOPE OF WORK SUMMARY

The work shall comprise of the supply and construction of shoreline pond electrode stations at L’Anse au Diable in Labrador and Dowden’s Point in Newfoundland, and shall consist of breakwaters, electrode elements, terminal structures, cables and cable trenches, junction boxes, control buildings, associated equipment, access roads, and perimeter fencing and gates.

The extent of the work shall consist of, but not limited to, the following: Civil works including, but not limited to:

o Construction of a 400 m breakwater at Dowden’s Point and a 425 m breakwater at L’Anse au Diable;

o Supply and installation of control buildings to provide a weatherproof, environmentally controlled enclosure for auxiliary, control, protection, and communication equipment at the electrode station sites;

o terminal structures for the termination of the incoming electrode lines;o earthworks such as excavation, backfilling, levelling, etc.;o various concrete installation work;o access road construction;

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Application For Bidder SelectionPackage Number: CD0508

o landscaping; and,o security fencing.

Supply and install electromechanical equipment including, but not limited to:o hook-stick operated disconnects;o surge arresters;o buswork and post insulators;o electrode main feeder cables;o electrode elements complete with distribution cables;o auxiliary power supply, o fiber optic line;o spare parts; and,o static commissioning of the complete system.

Construction services including, but not limited to:o Survey;o laydown areas;o worker travel and accommodations (if required);o site security; and,o site offices, washrooms and related services.

Preliminary breakwater quantity estimates are as follows (LAD – L’Anse Au Diable, DP – Dowden’s Point):

LAD DPBreakwater Quan: Quan: UT-1 Armor stone 6-10 ton 36869 44000 TT-2 Armor stone 4-8 ton 19200 15000 TS/1 T-1 Core Mat 600-1200 63637 58500 TS/1 T-2 Core Mat 100-1200 11634 15000 TFilter stone 0.1-0.25 ton 9230 8500 TRip-Rap 100-600kg 3310 4000 T

Figure 1: Dowden's Point

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Application For Bidder SelectionPackage Number: CD0508

7.0 PROJECT LABOUR AGREEMENT

The Collective Agreement between the Lower Churchill Transmission Construction Employers’ Association Inc. and the International Brotherhood of Electrical Workers, IBEW Local 1620 (“Project Labour Agreement” or “PLA”), will apply to this work.

The successful Bidder will be bound to the terms of the PLA for the duration of its Work under the PLA, become a member of the applicable Project Employers’ Association and name at least one (1) staff person to be responsible for daily labour relations matters at the Site. Prior to working at Site, all Contractor’s personnel will be required to attend an LCP Site orientation session that includes: health, safety and environment obligations; human resources policies, including respectful workplace, cultural sensitivity, gender equity and diversity; and labour relations, including PLA overview, Site standards, corrective action and dispute resolution.

8.0 PRELIMINARY MILESTONE SCHEDULE

Milestone Forecasted DateIssue RFP Q4 2013RFP Close Q1 2014Award of Contract Q2 2014Construction Start Q2 2015Final Completion Q4 2016

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Application For Bidder SelectionPackage Number: CD0508

INSTRUCTIONS

The Application for Bidder Selection Letter will be completed by Applicant. Applicant shall present its Application for Bidder Selection Letter on its letterhead in exactly the same format and content as provided herein. The letter must be signed by a duly authorized signing officer or officers of Applicant.

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Application For Bidder SelectionPackage Number: CD0508

APPLICATION FOR BIDDER SELECTION

Date:

From:Applicant’s NameAddressCity, Province/StatePostal/ZIP CodeCountry

To:Nalcor Energy - Lower Churchill Project350 Torbay Road Plaza, Suite 2St. John’s, NLA1A 4E1

Attention: Anthony JackmanPackage No: CD0508Package Title: Supply and Install of Electrode Sites

Dear Mr. Jackman:

I/We hereby agree that:(Official Name of Applicant)

1. After carefully examining the Bidder Selection documentation, we do hereby submit our Application for Bidder Selection to be a Bidder for the above referenced Package and enclose the following appendices as part of our Bidder Selection submittal: Appendix 1 – Commercial Questionnaire Appendix 2 – Technical Capability Questionnaire Appendix 3 – Health and Safety Questionnaire Appendix 4 – Environmental Questionnaire Appendix 5 – Quality Questionnaire

2. We are are not submitting this Application as a Joint Venture or Partnership. Where this response is in the affirmative (check each box as appropriate): we confirm that we are the Lead Partner, and that each of the partners is

identified in Attachment 1 to this Application, along with the scope of their participation;

we confirm that each partner agrees to be jointly and severally responsible for the work;

we confirm that a copy of the Joint Venture Agreement/Partnership agreement is enclosed.

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Application For Bidder SelectionPackage Number: CD0508

3. The name and the position of our representative who is coordinating this Application, and who may be contacted for further information, as required, is as follows:

Name:

Position:

E-mail:

Tel:

4. We confirm that we have read and fully understood all of the information supplied with the Bidder Selection Document. In particular, we confirm that if we are invited to bid on the Lower Churchill Project: we will comply with the Company’s standards with respect to Health and Safety in

the workplace, and fairness with respect to all bidding; we will comply with the Lower Churchill Construction Project Benefits Strategy. we will sign a Non-disclosure and Conflict of Interest Agreement prior to receipt of

the Request for Proposal Documents.

5. We confirm and certify that the information submitted in this Application for Bidder Selection is true and correct.

6. We understand that the Company will need to verify information in the Application, as required, and we hereby confirm that your representatives are authorized to communicate with any person identified in the Application and Appendices.

7. We also confirm and acknowledge that: Company shall have no liability whatsoever, for any costs, expenses, charges or

losses which we may incur or be required to expend in the preparation or presentation of this Application for Bidder Selection.

Our submission of this Application shall not convey any right to be included on the final Bidders List; and it will be Company’s sole right to determine the final list of qualified bidders to be included on said Bidders List.

While the information submitted is not for general publication, it may be used as necessary for the purposes of Bidder Selection.

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Application For Bidder SelectionPackage Number: CD0508

SIGNED on This _____________day of _________________, 20______

For and on behalf of:

_______________________________________Official name of Applicant

_______________________________________Name and signature of authorised signing officer

_______________________________________Title

_______________________________________Date

_______________________________________Telephone No. (including country code and area code)

_______________________________________Official e-mail address of Applicant

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Application For Bidder SelectionPackage Number: CD0508

ATTACHMENT 1

DESCRIPTION OF JOINT VENTURE / PARTNERSHIP

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Application For Bidder SelectionPackage Number: CD0508

Name of Partner Distribution of the Work1 Lead Partner and:2345

We confirm that a copy of the Joint Venture/partnership agreement is enclosed with this Attachment 1.

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