Loren Data Corp.

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COMMERCE BUSINESS DAILY ISSUE OF JANUARY 18,2000 PSA#2517

Department of the Interior, Minerals Management Service, Procurement Operations Branch, MS2500, 381 Elden Street, Herndon, Virginia 20170-4817

B -- DEEPWATER PROGRAM: EFFECTS OF OIL AND GAS EXPLORATION AND DEVELOPMENT AT SELECTED CONTINENTAL SLOPE SITES IN THE GULF OF MEXICO SOL 1435-01-00-RP-31034 DUE 020300 POC Jane M. Carlson, Contracting Officer (703) 787-1364 E-MAIL: Contracting Officer's email address, Jane.Carlson@mms.gov. B -- The Department of the Interior, Minerals Management Service (MMS) intends to competitively award a contract to conduct a major deep-sea research program in the Gulf of Mexico. The following information will describe the prospective effort and advise potential offeror's how to respond. MMS expects deepwater natural gas and oil activities to continue to grow as operators explore and develop recently acquired and existing active leases. The intense interest and surge in deep Gulf OCS activity is highlighted by: an increase of 69% in the number of deepwater exploratory wells in just two years (72 in 1996 to 122 in 1998) and the percent of production below a 1000 ft water depth increased from 6% to 36% between 1985 and 1998. The shallow continental shelf of the northern Gulf of Mexico has been studied for many decades and is generally much better known than the deeper waters of the continental slope. Deepwater operations differ from those conducted in the shallower waters of the Gulf in many ways, including remoteness from land and that more sophisticated technology is required, but also, the very different environmental conditions of the deep sea. Field studies need to be done to assess deepwater environmental impacts. Two major studies have been, or soon will be, initiated to study the deep Gulf: (1) Northern Gulf of Mexico Continental Slope Habitats and Benthic Ecology Study (TAMU 9/99) and (2) Gulf of Mexico Comprehensive Synthetic Based Fluids Monitoring Program (award expected prior to availability of this RFP, check CBD announcement for details). The Request for Proposals for this study represents an additional effort to begin deepwater oil and gas impact investigations. OBJECTIVES: The broad objective of this study is to assess the impacts of oil and gas exploration and development at a number of selected sites in water depths greater than 1000 m on the continental slope in the Gulf of Mexico. Study sites will be divided into two types, some sites will be investigated before and after exploratory activities, and other sites will be chosen to make a one-time assessment of the impacts resulting from fully completed development activities. Specific sub-objectives for both sampling site types include: A. determine the physical impacts of oil and gas operations at selected sites to include: (1) areal extent and accumulation of muds and cuttings, (2) physical modification/disturbance of the sea bed due to impacts from anchors, and their mooring systems including chains or wire ropes and (3) accumulation of debris attributable to oil and development activity. B. determine the extent of physical/chemical modification of sediments in the immediate area of drilled well sites compared to sediment conditions at sites distant from impacted areas (or prior to exploratory wells in the same location). C. conduct limited biological collections to determine biological effects related to chemical and physical impacts using conventional field collections or innovative experimental approaches. SCOPE OF WORK: A. General Program Overview: The contractor shall conduct a series of field sampling cruises at selected sites in water depths greater than 1000 m during the 2000 to 2003 time frame. Coordination with MMS will be required to obtain information regarding the scheduling of lease activity through the MMS plans and permitting processes. A minimum of two sites selected for sampling before and after exploratory drilling will require the highest degree of scheduling flexibility. Sampling of post-development sites will be essentially a "snapshot" of existing impacts after the completion of development operations at a minimum of three deepwater sites. This one-time look is similar to the GOOMEX study where three sites were investigated to assess the nature and extent of contaminant impacts at long-term development sites. (Kennicutt, 1994). A very important aspect of study design will be coordination with two simultaneous studies, (1) Northern Gulf of Mexico Continental Slope Habitats and Benthic Ecology Study (TAMU 9/99) and (2)Gulf of Mexico Comprehensive Synthetic Based Muds Monitoring Program. The former study has been awarded by MMS to Texas A&M University and the latter study should be awarded close to the time of this CBD publication. The Contractor's sample design and sampling techniques must yield data that will compare with and compliment the information from these other two studies. Bidders are also encouraged to review the designs and shortcomings of previous benthic studies in the Gulf of Mexico to develop an understanding of how to address the difficulties of determining cause and effect from biological data. B. Program Scheduling: This study shall have a maximum of a thirty-six-(36)month period of performance following the date of contract award. Due to the nature of the objectives requiring dependence on exploration drilling activity, field sampling efforts will be separated in time. Field sampling would ideally take place during Years I and II with sample analysis and reporting taking place in the final year, however, unforeseen problems in scheduling such as delays in completion of exploration activities could cause delays and it may be necessary to extend field sampling into the final Year III. Timing for field sampling of post-development sites is less restricted, but attempts should be made to sample selected sites after a similar period of time has elapsed after the completion of development activities. Beyond field sampling, additional time of the project will be devoted to laboratory analyses, data management and analysis, and reporting. The final synthesis year (Year III) should be devoted primarily to data analysis, management and interpretation, and production of the Final Synthesis Report. Limited field sampling and instrument retrieval may be required in Year III. The period of performance shall encompass all contracted tasks from initial planning, through and including MMS's final acceptance of all contract deliverables. C. Location: Site selection will be very important and potentially problematic requiring adjustments of field effort schedules. Post-development sites will be selected in coordination with MMS and will be chosen from potentially active leases with one from each "region" of the Gulf: (1) as far east as possible (DeSoto Canyon), (2) Central Gulf, and (3) Western Gulf. Exploratory sites will be selected where, prior to activity, surveys could be conducted to characterize the geological, physical, chemical, and biological characteristics of the areas. All selected sites would ideally be located at similar depths. At least one exploratory site must be located as far east as possible bordering the Eastern Planning Area (DeSoto Canyon). D. Tasks, TASK 1- Site Selection (1) Pre- and Post-exploratory site selection: With direct assistance from MMS, the Contractor will select a minimum of two (2) sites that are planning to begin exploratory drilling operations on the continental slope of the northern Gulf of Mexico. Selection of these sites must be done with operational schedules of vessels and required sampling apparatus taken into account that will allow sampling to take place before the exploratory drilling platform reaches the site. Due to daily costs, it is expected that the exploratory drilling equipment and rig will vacate the site immediately after completion of activities. Ideally, the post-exploratory field sampling will take place at a similar period of time after completion of activities at each selected site. All sites should be selected with the following characteristics: (1) located in water depths greater than 1000 m, (2) each site should be located at a similar depth, and biologically and geologically similar, (3) at least one (1) site must be located as far east as possible in the Central Planning Area (DeSoto Canyon), and (4) drilling preferably not performed using dynamic positioning (DP) to enable documentation of anchor and other physical impacts. 2) Post-development site selection: a minimum of three (3) sites shall be selected that have completed development drilling activities and where production is underway. Sampling at these sites will not have critical timing as they will be sampled only once. These sites could also be sampled as a fallback option during one particular cruise, if sites chosen for exploratory drilling become logistically unavailable. Ideally, each post-development field sampling will take place at a similar period of time after completion of activities at each selected site. All sites should be selected with the following characteristics: (a) located in water depths greater than 1000 m, (b) each site should be located at a similar depth, c) at least one site must be located as far east as possible in the Central Planning Area. (DeSoto Canyon), (d) preferable if the previously conducted exploratory drilling at these sites was done with similar equipment (i.e., semi-submersible as opposed to DP drillships), and (e) all development drilling activities should be completed. TASK 2-Field Sampling: Utilizing appropriate surface vessels, the Contractor shall conduct a field sampling program at the selected sites with criteria specified in Task 1 above. At least two (2) field seasons are anticipated that will be devoted primarily to field sampling, laboratory analyses, data management and analyses, and reporting. The MMS anticipates that conventional sampling methodologies will be adopted for most of the program, but innovative and experimental approaches may be considered where appropriate. Surveys shall be conducted before and after exploratory oil and gas activities and one-time only for post-development sites. Each survey will incorporate a statistically valid scientific design (e.g., near/far comparisons). Innovative use of environmental indicator organisms is encouraged. Biological characterization of impacted and control areas should focus on specific indicators that would provide meaningful results using higher taxonomic levels of identification such as nematode/harpacticoid copepod ratios or other infauna group indicators. Selected groups (such as harpacticoid copepods) could be considered for detailed analysis, but any species-level infauna taxonomic efforts should be well justified. Collections and/or census of megafauna should also be considered. Other innovative sampling and analysis techniques can also be considered that might detect sub-lethal biological impacts, for example, genotoxicology or histopathology studies. Larger scale physical impacts of particular interest include anchor scars, bottom disturbance resulting from mooring systems with chains or wire ropes, drilling templates, cuttings piles, drilling fluid impacts, and debris accumulations. The physical and chemical parameters of interest for sediments include, but are not limited to, grain size, organic carbon content, hydrocarbon content, trace metals, and possibly appropriate isotopic tracers. Limited information indicates the impacts of synthetic drilling fluids increases the anoxic layer into shallower depths of the sediment. Bidders should also consider techniques to document these potential impacts as compared to normal stratification of oxygenated/anoxic sediments. Additional measurements that could be considered include hydrographic conditions at sampling sites, including deployment of current profilers or other instrumentation. Examples of sampling methodologies would include, but are not limited to, (a) ROV/submersible surveys and sampling (physical collections and imaging), (b) sediment coring, (c) swath bathymetry/multibeam or similar high resolution sonar mapping, (d) limited sediment coring for selected infauna indicators, (e) megafauna trawling and trapping. The imaging components (both acoustic and visual) for detection of physical impacts is emphasized. New generation multibeam sonar (swath bathymetry) or its equivalent should be considered. ROV or submersible imaging and sampling is a possible solution to the problem of precision sample location over small areas in deepwater. If ROV methodologies are chosen, surveys would require operation from an independent research vessel in the case of pre- and post-exploratory drilling sites as there would be no platform or structure to operate from, but in the case of post-production surveys, it may be possible to at least partially utilize ROV's that are typically on site as an integral part of platform operations in deepwater. The proposal should indicate what equipment would have to be added, if any, to such ROV's to enable them to perform desired sampling. Any sampling beyond the tether limit of the platform based ROV (typically 400-600 feet) would also require independent systems. Bidders are welcome to propose additional program elements that address the overall program objectives. TASK 3-Sample and Data Analysis: Environmental indicators of physical impacts and contaminant stress will be selected and sampled to measure changes in the benthic environment over the course of three years. Basic questions in the form of null hypotheses should be incorporated into the study design model. Each study component must have a sampling design that is statistically valid and incorporates an adequate number of reference sites for comparison. An acceptable type of QA/QC plan and report will be used to document the acceptability of all data types generated. Data regarding the operational aspects, types of chemical additives used, inventory and loading of cuttings and associated drilling fluids discharged at each site will be obtained from operators of each selected study site and used for final analyses. TASK 4-Data Interpretation, Synthesis and Reporting: The Contractor shall produce two (2) narrative Interim Reports and a Final Report that present the assessments of, the body of data collected in the sampling program, descriptions of methods and analyses, interpretations of the analyzed information, and results and discussions of the findings. These assessments shall be based upon the program analysis effort and interpretation effort synthesized with other available data to characterize the physical, chemical and biological effects of discharges, anchoring and other impacts of deepwater drilling activities. Emphasis shall also be placed on both the immediate study and existing literature and other data relevant to the objectives of the study. A final report should demonstrate the immediate physical, chemical and biological impacts of the two different types of deep-water activities and answer specific questions such as how far from the actual site of impact do the measured variables drop to background levels. As an integral part of these reports, the Contractor shall prepare appropriate charts, maps or schematics documenting station location, sampling design, biological attributes, distribution of physical alterations or impacts to the sea bed, etc. References: Kennicutt, M.C. II, ed. 1995. Gulf of Mexico Offshore Operations Monitoring Experiment, Phase I: Sublethal Responses to Contaminant Exposure. Final Report. OCS Study MMS 95-0045. U.S. Department of the Interior, Minerals Management Service, Gulf of Mexico OCS Region, New Orleans, Louisiana. 709 pp. In order to compete for this contract, an offeror must demonstrate they are qualified to perform the work by providing, not later than February 3, 2000, a Capabilities Statement describing in detail: (A) KEY PERSONNEL with the expertise and experience to conduct the described multidisciplinary program. Particularly relevant is their expertise in the fields of oceanography and ecology of the deep sea. Also pertinent is their expertise and familiarity with deepwater OCS activities and technology as they relate to environmental impacts. For all areas of expertise, descriptions of key personnel should include their familiarity and understanding of the deep water Gulf of Mexico environment, their experience in the types of work proposed, demonstrated ability to do the work, and an understanding of the directed missions of the MMS. Principal scientists must collectively illustrate relevant experience in all areas of expertise demonstrated through authorship, presentations, and committee or group membership, through peer-reviewed publications, work history, and professional affiliations. Key personnel will also include the selection of a Scientific Review Board (SRB) which shall not exceed three (3) members and be subject to approval by MMS. You must provide information on which task(s) each key personnel will perform, and the rationale for that assignment. (B) The organization's expertise with this type of work and description of your facilities and resources shall be clearly described. Specific references (including project identifier and description, period of performance, dollar amount, and client name and phone number) for previous work of this nature that your organization or personnel is currently performing or has completed within the last three years shall be demonstrated. REFERENCES WILL BE CHECKED. Offerors shall submit their Capabilities Statement in original and two (2) copies to Jane M. Carlson, Contracting Officer, Minerals Management Service, 381 Elden Street, MS-2500, Herndon, Virginia 20170-4817. Ten (10) additional copies shall be submitted to Connie Landry, Procurement Coordinator, (MS 5431) Minerals Management Service, Gulf of Mexico OCS Region, 1201 Elmwood Park Boulevard, New Orleans, Louisiana 70123-2394. Time of receipt of submissions will be determined by the time received in the Procurement Operations Branch, Herndon, Virginia. YOUR CAPABILITIES STATEMENT WILL BE EVALUATED BASED ON: (A) Experience and expertise of all technical KEY PERSONNEL (particularly in the fields of deep-sea ecology and multidisciplinary oceanography), their experience in the types of work proposed, and demonstrated ability to do the work. Scientific personnel must collectively demonstrate relevant experience in the scientific disciplines demonstrated through authorship in appropriate peer reviewed publications. Experience on similar programs in the Gulf of Mexico or in similar deepwater areas is particularly relevant. "Key Personnel" will also include the lead technical personnel responsible for the supervision of laboratories, deck watches, and logistical activities; organization and handling of information; and the technical editing and production of documents. (B) The Project Manager shall have: (1) experience and demonstrated leadership ability required for the coordination of the study process, (2) experience in managing a large multi-disciplinary team and the inter disciplinary process required for this study, and (3) ability to control costs and to keep project performance and document preparation on schedule; and (C) Your organization's history of (1) successful completion of similar projects (similar in size, scope, complexity, duration, and dollar value), (2) producing high-quality documents, and (3) conducting similar projects on schedule and within budget. People's skills and experience will be evaluated in light of the tasks they will be performing. Questions should be faxed to Jane Carlson at (703)-787-1387 or e-mailed to Jane.Carlson@mms.gov. All correspondence should include the RFP number, your full name/company name, address and phone and fax numbers. Requests or questions by telephone are strongly discouraged. Posted 01/13/00 (W-SN415960). (0013)

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