INVITATION FOR PROPOSALS

2202722מעודכן -טופס פניה רכש גוררת

Ashdod Port Company Ltd.

Date: July 30, 2015

Tender for the Design, Fabrication, Supply, Testing, Warranting and of 74

Ton Bollard Pull Tractor Tugs, Options, Additional Services and Spare

Parts

Tender No. 2582/YAM/15

(the: "Tender")

INVITATION FOR PROPOSALS

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2202722מעודכן -טופס פניה רכש גוררת 2

1 Invitation for Proposals (“IFP”)

1.1 Pursuant to the Government Procurement Agreement (GPA), the Mandatory Tenders

Law, 1992 and the Mandatory Tenders Regulations, 1993, Ashdod Port Company Ltd.

(the “APC”) hereby invites proposals for the:

Design, fabrication, supply, testing and warranting of two (2)* 74 Ton Bollard Pull

Tractor propelled Tugs to be used as a harbor and coastal tug, for handling all types of

ships in the Port of Ashdod, as set forth in the Technical Specifications (attached as

Appendix A herein) and Basic Training (the "Tug" or "Tugs"), as well as Optional

Features and Optional Warranty, all as defined in Section 1.4.3 below.

*It is hereby clarify that the purchasing of one Tug (out of the two mentioned

above) is conditioned with a financial approval of APC's board of directors,

which will discuss this matter until September 1, 2015.

APC shall have the option (the "Tug Option"), at its sole discretion, for a period of three

(3) years as of the date of APC's Final Acceptance at Destination of the first Tug (as

defined below), to purchase up to two (2) additional Tugs, in accordance with Section

1.7 below.

1.2 Pursuant to the above, APC shall receive sealed competitive proposals (the “Proposals”)

from shipyards (each shipyard: a “Proposer”, collectively: “Proposers”), based upon

the terms, covenants and provisions of the Proposal Documents, as defined below.

1.3 “Tender Committee” shall mean the committee set up to carry out this tender process

in an objective and competitive process, as set out hereunder.

1.4 “Proposal Documents” shall mean the following documents, which shall solely govern

the tendering process:

1.4.1 This IFP;

1.4.2 Appendix A: "Technical Specifications", consisting of

1.4.2.1 Section A - Technical Specifications.

1.4.2.2 Section B – Data Sheet including Technical Mandatory Requirements

(TMR).

1.4.3 Appendix B: Financial Proposal Form – which shall comprise pricing for: a)

one Tug including, inter alia, basic training (“Basic Training”), as set forth in

section 0.20 to the Technical Specifications, warranty as set forth in section 16

to the Agreement ("Warranty"); b) optional features (“Optional Features”), as

set forth in section 30.2 to the Agreement; and c) optional warranty ("Optional

Warranty") as set forth in section 30.3 to the Agreement.

1.4.4 Appendix C: Proposer’s Reply Form;

1.4.5 Appendix D: Agreement for the design, fabrication, supply, delivery, testing

and warranting of two (2) Tugs, additional services and spare parts (the

“Agreement”), which shall include, inter alia, a Tugs Option, as set forth in

Section 1.7 below;

1.4.6 Appendix E: Detailed list of Quality and Technical Evaluation Values.

1.4.7 Appendix E-1: Detailed list of Quality Values for Shipyard Evaluation.

1.4.8 Appendix F: Forms of Compliance with the Prerequisite included in Section

3.2.1 below;

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1.4.9 Appendix G: Form of Confirmation by Proposer’s legal counsel/CPA, of

Proposer’s signatory rights;

1.4.10 Appendix H: Form of autonomous, unconditional and irrevocable bank

guarantee as security regarding Proposal submitted hereunder (“Bid Bond”), set

forth in Section 3.4.1 below;

1.4.11 Appendix I: Letter of undertaking for industrial cooperation in accordance with

the terms and conditions of the Mandatory Tender Regulations (Mandatory

Industrial Cooperation) – 2007 ("Industrial Cooperation Regulations")

(“Foreign Supplier's Industrial Cooperation Undertaking”);

1.4.12 Appendix J: Form of fulfillment program setting out how Proposer, if

successful in the Tender, will carry out its undertaking for industrial cooperation

in accordance with the Industrial Cooperation Regulations, set forth in Section

3.4.2 below, as instructed by the APC ("Fulfillment Program").

1.4.13 Appendix K: Israeli Industrial Cooperation Guidelines.

1.5 Proposer shall not be entitled to submit a Proposal with respect to less than two (2) Tugs.

1.6 The price for the Tugs shall include, inter alia, the Tugs' design, fabrication, supply,

delivery, testing, acceptance, Warranty, Basic Training, Spare Parts, Tugs Option,

Optional Features and Optional Warranty all in accordance with the terms and conditions

of the Proposal Documents. APC does not undertake to purchase the Optional Warranty

and/or Optional Features from the selected Proposer, beyond what is covered under the

purchase price.

1.7 The APC is under no obligation to exercise the Tugs Option, but if it does, it shall be

entitled to purchase the Tugs which are the subject-matter of the Tugs Option, on the

same terms and conditions (including prices), lead times for delivery, shipment, costs,

risk, title, warranties, etc. as the first purchase under the Agreement. Notwithstanding the

aforementioned, the price of the Tugs Option (if exercised by the APC) as of the second

(2nd

) year of the Agreement, may be increased by up to two (2%) percent, per each year,

subject to negotiations conducted in good faith with the APC.

2 Timetable

2.1 Proposals, including all documents specified in Section 3.4 herein below, shall be

submitted during ordinary working hours (08:00 – 16:00 Israel time), no later than,

Thursday, October 8, 2015 at 14:00 IL Time (the “Deadline”) to:


Tender Box, located in the security cabin at gate 3 Port of Ashdod

Ashdod, Israel 77191

2.2 The APC reserves the right to modify (shorten or lengthen) the time scheduling set forth

above, and this by written notification to the Proposers. Proposers waive any objection

to such modification.

2.3 The APC reserves the right to reject any or all Proposals, to re-advertise this IFP, as

amended, and/or to cancel or postpone the IFP process.

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3 Prerequisites

3.1 Proposers who maintain all conditions set forth in section 3.2 below shall be entitled to

participate in this Tender.

The APC may, in its sole discretion, disqualify any Proposal which is partial or

incomplete.

APC may recognize, at its sole discretion, the prerequisite conditions set forth in Section

3.2.1 herein, as fulfilled by Affiliated Companies of the Proposer and/or by companies

that have been sold to and/or merged into the Proposer, insofar as this took place prior to

issuance of this tender.

“Affiliated Company” means a company wholly owned by the Proposer, or the

Proposer's parent company, or other affiliated companies of the Proposer which are to be

approved by APC Tender Committee at it sole discretion and subject to any conditions

which the APC Tender Committee shall decide to apply.

3.2 Prerequisites:

3.2.1 Proposer is a shipyard that starting as of January 1, 2009, has built and delivered at

least two (2) Voith propeller Tractor concept Tugs, each Tug with at least 50 ton

Bollard Pull, which were supplied to a foreign country costumer; and

3.2.2 Proposer is certified according to ISO 9001:2000 or ISO 9001:2008 or an equivalent

standard in the subject field, approved by the APC; and

3.2.3 Compliance with the Technical Mandatory Requirements (TMR); and

3.2.4 Proposer has submitted a Bid Bond, in the amount of at least 50,000 Euro, with

validity of six (6) months from the last date set for the submission of the Proposals,

issued by an internationally recognized bank rated at least A, according to Section

3.4.1 below.

3.3 Delivery Date: The first Tug shall be delivered and accepted by APC in accordance with

the Agreement and the Technical Specifications no later than twenty (20) months as of

the Effective Date of the Agreement. The second Tug shall be delivered and accepted

by APC in accordance with the Agreement and the Technical Specifications no later than

twenty four (24) months as of the Effective Date of the Agreement.

3.4 Submission of Proposals: Each Proposal shall be submitted in the form required and

provided by the Proposal Documents, as follows:

3.4.1 The Technical Proposal (to be submitted by the Deadline, set forth in

Section 2.1 above) shall include the following items. The Technical

Proposal shall be initialed on each page, signed by the Proposer and sealed

in a separate and sealed envelope marked as “Technical Proposal for

Tender No. 2582/YAM/15”.

* No price nor reference in any way to the compensation under the

Agreement/Tender may appear in any of the documents of the

Technical Proposal. In the event that any prices appear in any of

said documents, the Proposal shall be disqualified.

The Technical Proposal shall be submitted in two (2) identical copies (with

accompanying documents and appendices), and shall include:

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The IFP, initialed on each page;

The documents included in the Technical Specifications

(Appendix A) of this IFP, as follows:

o Section A - Technical Specifications initialed on each

page;

o Section B – Data Sheet including Technical Mandatory

Requirements, completed, initialed on each page and

signed by Proposer;

Proposer’s Reply Form (Appendix C), completed, initialed on

each page and signed by Proposer;

In order to provide Proposer’s compliance with the Prerequisites

detailed in Section 3.2.1 above, Proposer shall submit within its

Technical Proposal a Bid Bond in the form of Appendix H in the

amount of at least 50,000 Euro, with validity of six (6) months

from the last date set for the submission of the Proposals, issued

by an internationally recognized bank, rated at least A, and

delivered by authenticated swift to one of the Israeli banks

specified herein: Bank Leumi Le Israel, First International Bank

of Israel, Union Bank (Israel), Bank Hapoalim (Israel) and Bank

Hamizrahi (Israel); Unless the Bank Guarantee is issued directly

by one of the banks specified above, as security for effectuation

of the Proposer’s proposal under this tender.

APC reserves the right to demand an extension of the Bid Bond

from all Proposers, from time to time, and the Proposers shall

extend the validity of the Bid Bond, if so requested.

APC shall consider, at its sole discretion, alternative wording of

the Bid Bond, so long as the validity date required by APC, the

amount set forth therein and the rating of the issuing bank are

identical to the terms set forth in Appendix H, and there is no

limitation on collectability of the Bid Bond beyond those set

forth in Appendix H.

APC shall be entitled to collect upon the executed Bid Bond, in

whole or in part, if a Proposer withdraws its Proposal, or if the

selected Proposer does not fulfill one or more of the

requirements that constitute a condition for starting the business

relationship (including, without limitation, signing the

Agreement etc.).

APC shall hold the Bid Bonds six (6) months after announcing of

the winning Proposer (Proposers shall prolong the validity of the

bank guarantees if so required), after which the Bid Bonds of

those Proposers not chosen will be returned. The Bid Bond of the

selected Proposer shall be held pending the first payment to

Proposer under the Agreement and the provision by the Proposer

to APC of the applicable guarantees and Insurance Certificate as

defined within the Agreement.

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The Agreement including its appendixes (Appendix D), initialed

on each page by Proposer;

Detailed list of Quality and Technical Evaluation Values

(Appendix E), initialed on each page by Proposer;

Detailed list of Quality Values for Shipyard Evaluation

(Appendix E-1), initialed on each page by Proposer;

In order to provide Proposer’s compliance with the Prerequisites

detailed in Section 3.2.1 above, submission of Proposer's CEO

or CFO or comptroller's written statement with respect to

compliance with prerequisites form is required in accordance

with the form attached hereto as Appendix F;

Confirmation of Proposer’s signatory rights (Appendix G) by

Proposer's legal counsel/CPA;

Foreign Supplier's Industrial Cooperation Undertaking for the

benefit of the State of Israel in the form attached hereto as

Appendix I - signed by Proposer;

Israeli Industrial Cooperation Guidelines (Appendix K) -

initialed on each page by Proposer;

Technical catalogues as required in the Technical Specification;

Proposed timetable for delivery of each Tug, in weeks, detailing

the required phases, as of the Effective Date of the Agreement in

accordance with and subject to Section 3.3 above and to the

terms of the Agreement.

In order to provide compliance with the pre-requisite included in

Section 3.2.2 above, submission of an ISO 9001:2000 or ISO

9001:2008 certificate or an equivalent quality standards

certificate.

APC at its sole discretion may disqualify a Proposal, if to APC's

determination the certificate issued is not satisfying in terms of

the required standards or regulations or if the examination

institute is not acceptable to APC. APC reserves the right to

request submission of additional documentation and details

from Proposers. Proposers, by submitting Proposals hereunder

irrevocably waive any claim of any kind against APC in

connection with APC's decision with respect to Proposer's

compliance or non compliance with the pre-requisite included in

Section 3.2.2 above.

In order to evaluate the Proposer in accordance with Section 4 to

Appendix E, Proposer shall submit a detailed list of three

customers, including the following information: costumer name,

address, telephone number, E-mail and contact details.

Any Addenda to the Tender documents issued by APC – initialed

on each page by the Proposer.

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The following certifications required in order to receive

preference in accordance with and subject to Section 2B to the

Mandatory Tenders Law, 1992 (business controlled by a

woman):

(a) CPA's certification as required according to Section 2B to the

Mandatory Tenders Law, 1992; and

(b) Affidavit legally verified by a lawyer as required according to

Section 2B to the Mandatory Tenders Law, 1992.

3.4.2 The Financial Proposal shall include the following detailed items. The

Financial Proposal shall be initialed on each page, signed by the Proposer,

and sealed in a separate and sealed envelope marked as “Financial

Proposal for Tender No. 2582/YAM/15”:

Prices for one Tug (to include, inter alia, Basic Training and

Warranty). Prices of Optional Features and Optional Warranty

should be inserted by Proposer in the Financial Proposal Form

(Appendix B).

Proposer's Fulfillment Program in the form attached hereto as

Appendix J; The Fulfillment Program must refer also to the

optional items.

The Financial Proposal shall be designated in EURO only, and shall be

submitted in two (2) identical original copies (with accompanying documents

and appendices).

3.4.3 The Proposal is forward-looking and details the undertakings of the Proposers

with respect to the entire term of the Agreement, and thus, the terms of the

Proposal (including, without limitation, to prices, schedules, warranties,

performance, guarantees, etc.) shall be valid throughout the term of the

Agreement, subject to and in accordance with its terms.

3.4.4 The Proposal shall remain valid and in effect for not less than six (6) months

as of the last date set for submission of Proposals. APC may require extension

of the validity of the Proposal, and Proposers undertake to extend the validity

of the Proposal, if so requested.

3.4.5 Both sealed envelopes should be marked "Tender No. 2582/YAM/15

Financial/Technical", as applicable, and should be submitted to APC in one

envelope bearing the Tender number according to the provisions in this IFP.

4 Tender Evaluation Procedure

General- APC reserves the right to request a Proposer to submit any documents or data

that was not submitted with the Proposal and related thereto, within a given time.

4.1 Preliminary Evaluation Stage. The APC shall examine whether the Proposer(s) answer(s)

to all Pre-requisites in order to determine whether the Proposer(s) is/are qualified to

participate in the Tender.

APC shall be entitled to require clarifications from Proposers and Proposers may submit

at APC's consent amendments to the Technical Mandatory Requirements form submitted

within the Technical Proposal.

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4.2 Evaluation of Proposals.

4.2.1 Proposals which the APC deems qualified pursuant to Sections 4.1 above, will

be evaluated by APC in two stages, as follows:

4.2.1.1 Quality and technical evaluation – weight of 50%;

4.2.1.2 Price – weight of 50%.

4.2.2 Technical Evaluation:

4.2.2.1 Stage One of the Technical Evaluation.

4.2.2.1.1 APC shall check to see that all documents required to be

submitted as per Section 3.4.1 were submitted as required.

APC shall examine the Proposals to determine whether they

are complete and whether the documents have been properly

initialed or signed, as the case may be. Any Proposals found

to be non-responsive, partial or incomplete may be

rejected by APC; and

4.2.2.1.2 APC shall undertake a quality and technical evaluation of the

Technical Proposal (the “Technical Proposal Evaluation”),

in accordance with the detailed list of Quality and Technical

Evaluation Values (Appendix E) (“Evaluation Values”).

4.2.2.1.3 Given the precedential and complicated nature of the Tender,

the Tender Committee may – at this stage of the Technical

Evaluation - update the Tender Technical Specifications, so

long as after such update, the Proposers are given ample time

to submit an improved Technical Proposal. Any decision

regarding the update of the Tender Technical Specifications

shall be undertaken for special reasons that will be recorded,

and in keeping with fair competition between the Proposers.

4.2.2.1.4 At this Stage, a Proposal which does not reach a threshold

score of at least 65% as set forth in the Evaluation Values

Appendix (Appendix E), shall be disqualified.

4.2.2.2 Stage Two of the Technical Evaluation- evaluation of Proposers at

shipyard.

Only Proposals which were qualified at Stage One shall be evaluated in

Stage Two, as follow:

Upon this Stage Two, APC shall evaluate Proposers at the shipyard. For

that purpose, representatives of APC shall visit the shipyards. APC's

representatives shall evaluate the Proposers in accordance with the

Appendix E-1.

In order to provide Technical calculated grade, APC shall calculate the

scores given to the Proposals in stage one and two above, as follows:

Stage one grade X 70%

PLUS

Stage two grade X 30%

("Technical Calculated Grade")

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4.2.3 Financial Evaluation

4.2.3.1 At this stage, APC will evaluate the Financial Proposals. The financial

evaluation will be divided as follows:

100% - Financial Evaluation will be based on the total price for one (1)

Tug, as per Section 1 of the Financial Proposal Form (Appendix B). The

Tugs will be delivered DAP Incoterms 2010 (Ashdod Port, Israel)

subject to the explicit terms included in the Agreement.

The lowest priced proposal will receive the maximum

grade and all other proposals will be graded respectively

("Financial Evaluation Grade").

4.2.3.2 Proposal Calculated Grade

The calculated grade of each Proposal (Technical + Financial grades)

shall be calculated as follows:

Proposal’s Technical Calculated Grade

(as per Section 4.2.2.2) x 50%

+

Proposal’s Financial Evaluation Grade

(as per Section 4.2.3.1) x 50%

(Hereinafter the "Proposal Calculated Grade")

A Proposer who has submitted all documentation as required

in Section 3.4.1 above within its Technical Proposal, shall

receive preference in accordance with and subject to Section

2B to the Mandatory Tenders Law, 1992 (business controlled

by a woman).

4.2.3.3 In evaluating the prices of the Tugs, APC will take into account the fact

that certain import duties will be imposed on Tugs of certain Proposers,

while the Tugs of other Proposers may be exempt from such duties due

to tax treaties to which Israel and some countries are a party, such that

the effect of such additional duties will be added in calculating the price

of such Tugs which are subject to import duties.

4.2.3.4 The Tender Committee shall be entitled to reject a Financial Proposal

that is excessively low, after the Proposer has had an opportunity to

explain said Proposal.

4.2.3.5 It is hereby clarified that as per the decision of APC's Tender

Committee, APC shall be entitled to review the Financial Proposals of

Proposers who were disqualified, at any stage of the Tender, or of

Proposals that were withdraw, prior to their return, for the sake of

financial effectiveness.

4.2.4 Negotiations and submission of Best and Final Proposals

The Tender Committee reserves the right at its sole discretion to

negotiate the Financial Proposal and the Technical Proposal, in order to

improve the proposals.

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In the event that the Tender Committee shall exercise its right to

negotiate as stated above, then upon completion of said negotiations, the

Proposers shall be entitled to submit the “Best & Final” Proposals, in

accordance with APC's instructions, and the grades of the Proposals shall

be readjusted by APC in accordance with Proposals Evaluation Values

as specified in Appendix E in section 4.2.2.1 above only, and

calculation as specified in section 4.2.3.2 above (hereinabove "Final

Evaluation Grade").

During the negotiation as aforesaid, representatives of the APC shall be

entitled to meet with representatives of the Proposer, and this for

purposes of clarifying the revised Technical and Financial Proposals.

Proposer which has not submitted Best & Final Proposals as specified

above, its last Proposal submitted shall be considered as a final Proposal

to the Tender.

Subject to the APC’s right, at any time, to reject any or all

Proposals, to re-advertise this IFP (as may be amended) or to cancel

the IFP process, and subject also to the provisions of Section 10

below, the Proposer whose Final Evaluation Grade is the highest

shall be awarded with the Agreement.

The Tender Committee shall be entitled to disqualify a Proposal in the

event the Fulfillment Program (Appendix J) was not submitted within the

Financial Proposal as required or was not submitted within the "Best &

Final" Proposal as instructed by the APC.

5 Responsibility of Proposers

5.1 Proposer shall bear all costs associated with the preparation and submission of its

Proposal. APC shall, in no event, be liable for any costs, regardless of the conduct or

outcome of this Tender.

5.2 Each Proposer shall carefully examine the Proposal Documents, and shall become

familiar with the required operation, and shall judge for itself all of the circumstances

and conditions which might affect its Proposal and operations thereunder. Failure on the

part of any Proposer to examine, inspect and be completely knowledgeable of the terms

and conditions of the Proposal Documents, the operational conditions or any other

relevant documents or information, shall not relieve the Proposer from having to fully

comply with its Proposal and the Agreement.

5.3 All requirements in the Proposal Documents apply to the Proposer named in the

Proposer’s Reply Form, unless specifically permitted herein.

6 Right of Examination of Tender Documents

6.1 Unsuccessful Proposers shall be entitled to review the selected Proposal within thirty

(30) days as of receipt of APC's notification regarding the results of the Tender, subject

to the Mandatory Tenders Law, 1992 and the Mandatory Tenders Regulations, 1993, and

provided that, it has applied in writing to the Secretary of the Tender Committee

following the award and paid the APC an amount of NIS 750, including V.A.T.

6.2 Each Proposer should mark within its Technical Proposal, which parts contain (in the

Proposer’s opinion) the Proposer’s commercial secrets which should not to be disclosed

to other Proposers; these parts should be clearly identified and should be physically

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separated from the rest of the Proposal, insofar as this is feasible. Regardless of the

aforementioned, the Proposer’s experience and Financial Proposal shall not constitute

commercial secrets.

6.3 The Tender Committee shall have sole discretion and shall make its own judgment with

regard to the nature and extent of the “commercial secrets” contained in any of the

Proposer’s documentation, and shall not be limited in disclosing such information to

other Proposers in accordance with applicable law. The Proposers, by submitting

Proposals hereunder, irrevocably waive any claim of any kind against either the Tender

Committee or the APC, in connection with such disclosure (regardless of whether they

have marked the same as “commercial secret”).

6.4 Regardless, the Tender Committee shall provide prior notification to the Proposer, in the

event that it intends to disclose information marked as “commercial secrets” to another

Proposer, and this in order to enable the Proposer a reasonable response time. If the

Tender Committee decides to disclose the information nevertheless, it shall inform the

Proposer prior to the disclosure.

6.5 A Proposer who marks certain items as “commercial secrets” is representing that these

parts, in other Proposers’ Proposals, are also commercial secrets and waives its right to

inspect those sections in other Proposals.

7 Requirements of the Industrial Cooperation Authority

7.1 In accordance with the Mandatory Tender Regulations (Mandatory Industrial

Cooperation) – 2007 ("Regulations"), a Proposer who wins the Tender (the "Selected

Proposer") must undertake an industrial cooperation. The major principles of the

Regulations are set forth below but are not intended as the full or complete requirements,

which are as set forth in the Regulations themselves:

7.1.1 Industrial cooperation for a sum equal to at least 35% of the total sum of the

Value of the Transaction (for suppliers of non-excluded products from GPA

member states, the extent of industrial cooperation is 20%). “Value of the

Transaction” shall include the total sum of all of the payments, including taxes,

which must be paid in accordance with the transaction, as per their value at the

date of the signing the Agreement, including the value of options included in the

Agreement, as further defined in the Mandatory Tenders Regulations, 1993.

7.1.2 In the framework of its commitment to an amount of industrial cooperation, per

section 7.1.1. above, the Selected Proposer must collaborate in a local sub-

collaboration to the extent of no less than 20% of the Value of the Transaction;

7.2 In light of the above, each of the Proposers must submit the following documentation:

7.2.1 Foreign Supplier's Industrial Cooperation Undertaking, as per Section 3.4.1

above as set out in Appendix I to be submitted as part of the Technical

Proposal;

7.2.2 Proposer's Fulfillment Program in the form attached hereto as Appendix J to be

submitted as part of Proposer's Financial Proposal as per Sections 1.4.12 and

3.4.2. The submission of this document is a pre-requisite for participation

in this Tender.

7.3 The signing of the Agreement with the Selected Proposer is conditioned upon receipt of

approval from the Industrial Cooperation Authority of the Israeli Ministry of Economy

("ICA"), confirming that the Selected Proposer has complied with the Industrial

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Cooperation requirements, including submission of a Fulfillment Program for executing

the Industrial Cooperation requirements;

7.4 The Selected Proposer will be required to submit to the APC and the ICA, upon

completion of the work, confirmation from an accountant regarding the extent of the

collaboration with a local sub-collaborator, as it was actually carried out and its details;

7.5 It is clarified that the commitment to an industrial cooperation shall apply to the

Selected Proposer only in the event that the Value of the Transaction (i.e. the total

value of the Proposal including taxes and including the value of options) is above

5,000,000 USD.

In the event that the Value of the Transaction is above 5,000,000 USD, the

commitment to an industrial cooperation shall also apply to any continued

cooperation for sums above 500,000 USD;

7.6 Each Proposer is required to submit the documentation set out in clause 7.2 above

regardless of their Value of Transaction;

7.7 To remove any doubt, it is clarified that in any event of a contradiction between this

Section 7 and the requirements under the Regulations, the Regulations shall prevail.

7.8 For the convenience of Proposers, attached hereto as Appendix K the 'Israeli Industrial

Cooperation Guidelines' issued by the ICA.

8 Rejection of Irregular Proposals

Proposals which contain any alternation, addition (which is not requested under the

Proposal Documents or by APC specifically in writing), omission, condition, limitation or

show irregularity of any kind, may be rejected by APC. APC reserves the right to reject,

disregard or waive any additions, conditions, irregularities, technicalities or informalities in

any Proposal or to reject any or all Proposals.

9 Clarification Procedure

9.1 Should a prospective Proposer find a discrepancy in, or omission from, the Proposal

Documents, or should it need clarification as to the meaning therein, it should notify the

APC officer Mrs. Ayelet Mandler in writing (either by facsimile: 972-8-8517523 or

email: [email protected]). Any request for interpretation, clarification or

correction must be received at least fourteen (14) calendar days prior to the last date

scheduled for submission of the Proposals, in order to be given consideration, and it is

the Proposer’s responsibility to verify that the request has been received by the APC (by

telephone inquiry at 972 – 8 –21571880/).

9.2 A request for interpretation, clarification or correction must contain the Tender number

herein, the name of the Proposer, address and contact information

(telephone/facsimile/email and business address).

9.3 Replies to the same shall be in writing and issued in the form of “Addenda to the

Proposal Documents”, sent by facsimile or electronic mail to all prospective Proposers of

record as of the date of issuance of the Addenda, at the contact information provided by

each prospective Proposer. APC shall not be liable for any replies, information, or

instructions issued in any manner, other than as set forth herein.

9.4 The APC shall not disclose the identity of the prospective Proposer who made the

request for interpretation or correction.

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10 General

10.1 Submission of a Proposal hereunder shall constitute proof that the Proposer read all of

the Proposal Documents, understood them and agreed to them in full and without

reservations.

10.2 APC is not obligated to choose the Proposal which received the highest calculated

financial score, the Proposal which received the highest calculated Technical Evaluation

Score, or any other Proposal.

10.3 The selected Proposer shall execute the Agreement (Appendix D) within thirty (30)

calendar days as of the date APC notifies the selected Proposer, in writing, that it has

been selected under the Tender (the "Effective Date"). Within this period, the parties

shall conduct at least one meeting, and the selected Proposer shall take any measure in

order to obtain a final and approved Technical Specification until the end of such period.

In the event of any discrepancies between the Tender documents and the Agreement,

every effort shall be made to bridge the discrepancies; if APC is unable to do so, the

terms and conditions of the Agreement shall prevail. Failure of the Proposer to execute

the Agreement as detailed in this Section shall be deemed a breach of the Agreement and

shall give rise to APC’s right to collect on the Bid Bond, to terminate the selection of

said Proposer as the selected Proposer in the Tender, and to choose an alternative

Proposer.

10.4 As condition precedent to entering into the Agreement, the selected Proposer shall

submit all undertakings, confirmations, certifications and other documentation set forth

in the Agreement. Failure to submit the same shall constitute a material breach of the

Agreement, and APC shall be entitled, without derogation from any other remedies to

which it may be entitled under the Proposal Documents and/or applicable law, to collect

upon the Bid Bond.

10.5 Without prejudice to any other remedy or right of APC, in the event of a breach of

Agreement, as aforesaid, or withdrawal of Proposal by the winning Proposer, APC may

declare the Proposer’s win void and declare the second highest Proposer (or the incomer

Proposer if such second highest Proposer fails to meet the requirements and so on) to the

winner in the Tender. In such case, all obligations listed above shall apply to the newly-

designated winner.

10.6 For the avoidance of any doubt, the Proposals and bid Bonds submitted within the

framework of the Tender shall remain in force for 60 days after termination of the

Tender, so that if the winning Proposer fails to meet the requirements of the Agreement,

APC would be able to declare another Proposer the winner and APC's declaration would

be binding upon that Proposer.

10.7 APC shall be entitled to approach an alternative Proposer even after 60 days, but at this

stage the Proposer shall have the right to turn down the offer without entitling APC to

collect upon the Bid Bond.

10.8 The governing law regarding this Tender will be the Israeli law without regard to its

conflict of law provisions. The Tender will be subject to the sole and exclusive

jurisdiction of the authorized courts of Tel-Aviv, Israel.

P.O.Box 9001, Ashdod 7719100, Israel. Office: +972-8-8517403. Fax: +972-8-851768

TECHNICAL SPECIFICATION FOR TUGS 19072015 VERSION A -9

Equipment & maintenance department

Appendix A, section A, Tender no. 2582/YAM/15

TECHNICAL SPECIFICATION FOR A

74 Ton Bollard Pull TRACTOR TUG

FOR

ASHDOD PORT LTD.

19.07.2015 Rev 9

P.O.Box 9001, Ashdod 7719100, Israel. Office: +972-8-8517403. Fax: +972-8-8517685 2


TABLE OF CONTENTS

CHAPTER 0 – GENERAL ............................................................................................................................. 6

0.0 ABBREVIATIONS ............................................................................................................. 6 0.1 GENERAL PROVISIONS .................................................................................................... 6 0.2 GENERAL DESCRIPTION .................................................................................................. 8 0.3 MAIN DIMENSIONS ......................................................................................................... 9 0.4 CAPACITIES AND DEADWEIGHT ...................................................................................... 9 0.5 BOLLARD PULL .............................................................................................................. 10 0.6 SPEED ............................................................................................................................ 10 0.7 NOISE AND VIBRATION ................................................................................................. 10 0.8 CLASSIFICATION AND RULES ......................................................................................... 13 0.9 CERTIFICATES AND DOCUMENTS ................................................................................... 13

0.9.1 Technical Acceptance at Yard ................................................................ 13 0.9.2 List of Drawings and documents for Technical Acceptance at Yard .... 15

0.11 LAUNCHING .................................................................................................................. 23 0.12 TESTS AND TRIALS ......................................................................................................... 24

0.12.1 Test Procedure ....................................................................................... 24 0.12.2 Builder's Trials ........................................................................................ 24 0.12.3 Dock Trial ................................................................................................ 24 0.12.4 Inclining Test- ......................................................................................... 26 0.12.5 Sea Trial .................................................................................................. 26 0.12.6 Basic Acceptance Test ............................................................................. 27

0.13 PLANS AND DRAWINGS ................................................................................................ 27 0.13.1 General .................................................................................................. 27 0.13.2 Technical Manuals and Instruction Books ............................................ 28 0.13.3 List of Drawings and Documents for Approval ..................................... 29

0.14 MATERIALS AND WORKMANSHIP ................................................................................ 33 0.15 MAKERS LIST ................................................................................................................. 33 0.16 SPARE PARTS AND TOOLS ............................................................................................. 34 0.17 OWNER’S SUPPLY. ........................................................................................................ 35 0.18 SUPERVISION DURING CONSTRUCTION ....................................................................... 35 0.19 TECHNICAL ACCEPTANCE .............................................................................................. 36 0.20 TRAINING ......................................................................................................................... 36 0.21 GUARANTEE AND RESPONSIBILITY............................................................................... 36

CHAPTER 1 - HULL .................................................................................................................................. 37

1.1 GENERAL ....................................................................................................................... 37 1.2 SHELL PLATING AND SIDE FRAMES ............................................................................... 38 1.3 SKEG AND PROPELLER GUARD ..................................................................................... 39 1.4 BOTTOM AND DOUBLE BOTTOM CONSTRUCTION ...................................................... 39 1.5 DRAIN PLUGS ................................................................................................................ 40 1.6 BULKHEADS ................................................................................................................... 40 1.7 MAIN ENGINE AND PROPELLER FOUNDATIONS .......................................................... 41 1.8 FOUNDATIONS FOR AUXILIARIES ................................................................................. 41 1.9 FORE AND AFT PEAKS ................................................................................................... 41 1.10 CHAIN LOCKERS ............................................................................................................ 42 1.11 HAWSE PIPE .................................................................................................................. 42 1.12 TRANSMISSION TRUNK................................................................................................. 42 1.13 OPENINGS FOR SEA CHESTS .......................................................................................... 43 1.14 TANKS ........................................................................................................................... 43 1.15 MANHOLES ................................................................................................................... 44 1.16 DECKS ............................................................................................................................ 44 1.17 DECKHOUSES ................................................................................................................ 45 1.18 WHEELHOUSE ............................................................................................................... 45 1.19 BULWARK ...................................................................................................................... 45 1.20 FUNNEL ......................................................................................................................... 46



1.21 MARKS .......................................................................................................................... 46 1.22 PAINT ............................................................................................................................ 46 1.23 CATHODIC PROTECTION ............................................................................................... 47

CHAPTER 2 - OUTFITTING ...................................................................................................................... 48

2.1 MOORING, ANCHORING AND TOWING ....................................................................... 48 2.1.1 Anchoring and Mooring Equipment ..................................................... 48 2.1.2 Towing Equipment ................................................................................ 49

2.2 FENDERS ........................................................................................................................ 50 2.3 RADIO COMMUNICATION, NAVIGATION & NAUTICAL EQUIPMENT........................... 50

2.3.1 Equipment GMDSS ................................................................................ 50 2.3.2 Navigation & Nautical Equipment ........................................................ 51

2.4 SIGNAL AND NAVIGATION MAST ................................................................................. 52 2.5 WINDOW WIPERS ......................................................................................................... 52 2.6 INTERNAL COMMUNICATION SYSTEMS ....................................................................... 52 2.7 FIRE DETECTION AND ALARM SYSTEM ......................................................................... 53 2.8 LIFE SAVING EQUIPMENT ............................................................................................. 54 2.9 FIRE FIGHTING EQUIPMENT .......................................................................................... 54 2.10 CO2 SYSTEM ................................................................................................................. 55 2.11 EXTERIOR FIRE FIGHTING SYSTEM ................................................................................ 55 2.12 RAILING ......................................................................................................................... 56 2.13 NAMEPLATES AND IDENTIFICATION ............................................................................ 56

CHAPTER 3 - ACCOMMODATION ........................................................................................................... 58

3.1 GENERAL ....................................................................................................................... 58 3.2 DESCRIPTION OF ACCOMMODATION SPACE ............................................................... 58 3.3 LOOSE ACCESSORIES IN ACCOMMODATION ................................................................ 61 3.4 INSULATION, FLOORS, BULKHEADS AND CEILINGS ...................................................... 61

3.4.1 Insulation ............................................................................................... 61 3.4.2 Floors ..................................................................................................... 62 3.4.3 Bulkheads and Ceilings.......................................................................... 62 3.4.4 Entertainment System – Option ............................................................ 63 3.4.4 Internet Network – Option .................................................................... 63

3.5 DOORS, PORTHOLES AND WINDOWS .......................................................................... 63 3.5.1 Doors ...................................................................................................... 63 3.5.2 Windows ................................................................................................ 64

3.6 STAIRS, STANCHIONS, SCUTTLES AND INSPECTION HATCHES ..................................... 65 3.7 AIR CONDITIONING ....................................................................................................... 65 3.8 MECHANICAL VENTILATION FOR GALLEY & SANITARY SPACES ................................... 67 3.9 VACUUM CLEANING SYSTEM ................................................................................................ 67

CHAPTER 4 - PROPULSION PLANT ......................................................................................................... 68

4.1 PLANT DESCRIPTION ..................................................................................................... 68 4.2 MAIN ENGINES .............................................................................................................. 68 4.3 PROPELLERS .................................................................................................................. 72

CHAPTER 5 - AUXILIARY MACHINERY .................................................................................................... 74

5.1 GENERATING SETS ........................................................................................................ 74 5.2 COOLING EQUIPMENT .................................................................................................. 74 5.3 CONTROL AND INSTRUMENTATION ............................................................................. 75 5.4 COMPRESSED AIR EQUIPMENT .................................................................................... 76 5.5 DIESEL OIL AND LUBRICATING OIL EQUIPMENT ........................................................... 76

5.5.1 Diesel oil transfer system ...................................................................... 76 5.5.2 Diesel oil feeding system ....................................................................... 77 5.5.3 Oil transfer feeding system ................................................................... 77

5.6 PURIFIYING EQUIPMENT .............................................................................................. 78 5.7 BALLAST, FIRE FIGHTING AND BILGE EQUIPMENT ....................................................... 78



5.8 SANITARY EQUIPMENT ................................................................................................. 79 5.9 SCUPPERS AND SANITARY DISCHARGE SYSTEMS ........................................................ 80 5.10 ENGINE ROOM VENTILATION ....................................................................................... 80 5.11 MACHINERY MISCELANEOUS EQUIPMENT .................................................................. 82

CHAPTER 6 - PIPING SYSTEMS ............................................................................................................... 84

6.1 PIPING ........................................................................................................................... 84 6.1.1 General .................................................................................................. 84 6.1.2 Flow Velocities ....................................................................................... 85 6.1.3 Test Pressures of Piping Systems .......................................................... 85 6.1.4 Joints and Flanges ................................................................................. 85 6.1.5 Gaskets .................................................................................................. 85 6.1.6 Galvanizing ............................................................................................ 85 6.1.7 Protection and Cleaning ........................................................................ 86 6.1.8 Fittings and Penetration Pieces ............................................................ 86 6.1.9 Clips, Supports and Expansion Compensators ...................................... 86 6.1.10 Strainers and Filters .............................................................................. 87 6.1.11 Valves .................................................................................................... 87

6.2 PIPE MATERIALS AND STANDARDS .............................................................................. 88 6.2.1 Pipe Schedules ....................................................................................... 89

6.3 PIPING SYSTEM DESCRIPTION ...................................................................................... 90 6.4 PUMPS .......................................................................................................................... 95 6.5 HEAT EXCHANGERS ....................................................................................................... 95 6.6 SEA CHESTS AND SEA VALVES ....................................................................................... 95 6.7 VENTING AND DRAINING ARRANGEMENTS ................................................................. 95

CHAPTER 7 - ELECTRIC PLANT AND AUTOMATION ............................................................................... 97

7.1 GENERALITIES ............................................................................................................... 97 7.1.1 Miscellaneous ........................................................................................ 97 7.1.2 Ground Wire Connection. ...................................................................... 98 7.1.3 Electric Material Labelling and Marking .............................................. 98 7.1.4 Cables ..................................................................................................... 98

7.2 SUPPLY SYSTEMS .......................................................................................................... 99 7.2.1 Supply Sources ....................................................................................... 99 7.2.2 Batteries ................................................................................................ 99 7.2.3 Battery Charger ................................................................................... 100

7.3 GENERATING PLANT ................................................................................................... 100 7.3.1 Generating Plant Description .............................................................. 100 7.3.2 Operation of the Installation .............................................................. 100

7.4 POWER MANAGEMENT SYSTEM ................................................................................ 101 7.5 SWITCHBOARDS AND DISTRIBUTION PANELS ........................................................... 102 7.6 MAIN SWITCHBOARD ................................................................................................. 102

7.6.1 Main Switchboard Structure ............................................................... 102 7.6.2 Paint ..................................................................................................... 103 7.6.3 Bars ...................................................................................................... 103 7.6.4 Breakers ............................................................................................... 103 7.6.5 Description of the Board ..................................................................... 103

7.7 TRANSFORMERS ......................................................................................................... 104 7.8 SHORE CONNECTION BOX .......................................................................................... 104 7.9 STARTERS AND CONTROL BOXES ............................................................................... 104 7.10 ELECTRICAL PROTECTION ........................................................................................... 106 7.11 LIGHTING ..................................................................................................................... 106

7.11.1 General Lighting .................................................................................. 106 7.11.2 Small Switch/Socket Devices ............................................................... 107 7.11.3 Emergency Lighting ............................................................................. 108 7.11.4 Secondary Switchboards ..................................................................... 108 7.11.5 Navigation Lighting Panel ................................................................... 109



7.1 1.6 Emergency Switchboard in Bridge ...................................................... 109 7.12 SUNDRY ....................................................................................................................... 109 7.13 MACHINERY MONITORING AND ALARM SYSTEM ..................................................... 110

7.13.1 General Description ............................................................................. 110 7.13.2 Elements of the System ....................................................................... 110 7.13.3 Summons to Engineers and Alarms Repetition System...................... 111

APPENDIX A – MAKERS LIST ................................................................................................................ 112



CHAPTER 0 – GENERAL

0.0 ABBREVIATIONS

Owner/ Buyer : The Ashdod Port Company Ltd. or its Authorised Representatives.

Builder : The Tug building Yard who is a party to the Contract.

Tug: Tractor propelled vessel with propellers under the bow of the vessel, equipped

with a sophisticated protective guard plate and NACA profile type skeg, complete

with equipment, machinery, installations and outfit as described in this Specification.

Contract: Agreement no. 2582/YAM/15, signed between the Owner and the

Builder.

Specification: This Technical Specifications, as signed in Tender process, and as

amended from time to time in writing.

Final Specification: The final Technical Specifications, as determined between the

Parties, on the Effective Date of the Agreement.

GAP: The General Arrangement Plan.

IMOT: The Israeli Ministry of Transport, and all valid regulation or instruction given

by IMOT from time to time, until the Effective Date of the Agreement.

Classification Society: Lloyd’s Register Class Notation or equivalent IACS member

notation (subjected to owner's approval).

Rules and/or Regulations: all valid rules and/or regulation that apply on the building

of the Tug, from time to time, until the Effective Date of the Agreement.

SOLAS: International Convention for the Safety of Life at Sea, latest edition, and all

subsequent valid IMO Regulations including GMDSS (A2), and/or recommendations.

IMO: International Maritime Organization

Makers: Manufacturers of machinery and equipment as detailed in the Makers List,

or equivalent Makers subject to Owner's prior written approval.

Business Day(s): means a day in which banking institutions are operating in Israel,

but in any case shall not include Friday as of 3 pm Israel time, Saturday, national

holiday or mid-holidays.

Equivalent: Where it is indicated below that an “equivalent” alternative may be

submitted, the equivalent is subject to the prior written approval of the Owner, at its

sole discretion.

0.1 GENERAL PROVISIONS

It is the intent of this Specification to describe the Tug, suitable built and equipped

for service as a harbor and coastal tug, for handling all types of ships in the Port of

Ashdod. The Tug is intended for both towing and pushing duties.

Besides towing and pushing duties, the tug is also intended for firefighting service.



The Builder is to deliver the Tug at the Port of Ashdod, fully suitable for the intended

purpose, built and constructed in a first class manner, with a standard of

construction equivalent to the standard in a first class European yard.

It is not the intent of this Specification to specify every detail that may be required to

make a completely finished and workable Tug. Any errors or omissions in the

Specification and/or the plans, which may be detrimental to the safe construction

and/or the safe operation of the Tug, or are not in compliance with the IMOT and/or

Classification Society and/or other agencies having jurisdiction over certain part of

the construction or equipment, shall be supplied by Builder at no additional cost to

the Owners.

It is clearly understood that these Specifications contain basic clauses, and that

Builder will develop and detail the Specifications in according to the Time Schedule

attached as Appendix P to the Contract. Any such Specifications will be deemed as

Final Specifications. In the Final Specifications the words "or equal", "about",

"approximate" or "at least" will not appear. The exact makes, dimensions and

capacities will be specified.

The Final Specification is to be applied in conjunction with the following plans and

documents submitted by Builder and approved by Owner:

General Arrangement Plan

Arrangement of Engine Room including List of Main Machinery Items

Midship Section Drawing

Makers List

These Plans and Specifications are intended to explain each other. Anything drawn

on the Plans and not stipulated in the Final Specification, or anything stipulated in

the Specification and not drawn on the Plans shall be deemed and considered as if

included in both.

In the event that there are inconsistencies or contradictions between the Plans and

this Specification, this Specification shall govern. In case of inconsistencies or

contradictions between the Contract and the Specification, the Contract shall prevail

and be adopted.

No deviations shall be made from the Specification without explicit approval of the

Owner. Any such deviation on drawings, calculations or other information must be

clearly and expressly pointed out and explained prior to obtaining Owner's approval.

All correspondence plans and documents under this Specification to be in English.

All labels will be in English and Hebrew.

All units of measurements for this Tug will be in metric units.



0.2 GENERAL DESCRIPTION

The TUG's lines shall be optimum for the principal dimensions, based on proven

design, proven hull components and approved by propulsion system manufacturer.

The TUG shall be built with one continuous deck, with fore and aft sheer and camber

(100 mm). Transverse sheer shall be 1/50 the beam breadth.

The bulwark is to have a tumble home in order to avoid clashing with raking bows

and sterns of handled ships.

The following spaces will be arranged under the main deck:

Aft peak as ballast water tank

Bunker fuel oil storage tanks

Deck machinery power-pack room & workshop

Engine Room

Fuel tanks on both sides of E.R.

Double bottom tanks (Comply with Classification Society requirements to

damage stability)

Foam tank

Fresh water tanks

Engine control room (main switchboard & alarm panels)-ECR to be located

with immediate accessibility from accommodation and from/into the ER.

Machinery store

Workshop

Chain lockers and ballast water fore peak

The following spaces shall be arranged on and above the main deck:

Four (4) Cabins – two (2) in the mess room level and two (2) in upper level.

Mess room

Galley

Toilets & Showers

Engine casing & Toilet

CO2 room

Paint store – not to exceed 2m2

The following spaces will be in the void on the boat deck:

A/C and store/electric Room

Fireman’s Outfit Store

Aft and Fwd collision bulkheads and double sides in engine room.

The engine room is separated from each of the fore and aft collision bulkheads by

deep void compartments and deep tanks.



The bridge will be on the void. The wheelhouse will have all-around visibility and be

accessible from inside and outside (both sides).Aft deck and bridge sides shall be

fully visible from bridge – therefore funnels shall be located accordingly.

The TUG's lines shall be based on proven design of similar tugs.

The propellers shall be installed in the fwd part of the TUG's bottom, coupled to two

medium speed diesel engines. The engines shall develop not less than 2.640 kW at

about 700-1000 rpm in the tropical conditions described below. Each of these

engines shall have a built-on fire-fighting pump.

The Tug and all of its components shall be specifically designed for tropical

conditions, i.e. day temperature up to 45ºC and seawater temperature of 37ºC and

relative humidity of 70%.

The diesel engine shall be rated for an air intake of 45ºC and 60% relative humidity.

The air conditioning system shall be sized according to the criteria specified in

Chapter 3 (item 3.7).

The hull and equipment shall be constructed for safe operation at statically heeling

up to 15º and dynamic condition up to 22.5 º.

0.3 MAIN DIMENSIONS

The main dimensions of the tug shall be as follows:

Overall length- not to exceed .......................................................... 32.50 m

Beam moulded -Approx.………………………. ........................................ .. 12.50 m

Depth to main deck (hull)-Approx. ………………… ................................ 4.85 m

Operational load condition draught (Harbour) not to exceed . ....... 6.40 m

Maximum load condition draught (Seagoing)-Approx. ….….. ............ 6.65 m

0.4 CAPACITIES AND DEADWEIGHT

Volumes at 98% and dead weight shall be approximately the following:

Ballast water – about ...................................... 80 m3

Gas-oil – about ............................................... 130 m3

Overflow - about ............................................. 6 m3

Fresh water - about ......................................... 30 m3

Lub & hydraulic oil - about .............................. 21 m3

Foam - about ................................................... 17 m3

Grey water - about ......................................... 9 m3

Dirty oil - about ............................................... 10 m3

Oily waters - about ......................................... 9 m3

Sludge ............................................... about 3 m3

Spillage ............................................. about 1.5 m3



The deadweight shall be calculated deducting the lightship from the summer load

line displacement for seawater density of 1.025 t/m3. The lightweight shall include

outfitting and liquids in machinery piping.

For the load conditions a G.O. density of 0.86 tonnes/m3 shall be used. Tanks shall

be filled to a maximum of 98%.

The operational load condition in harbour for a mean draught of abt. 6.40 m (with

approx. 40 mm trim aft) is to be approximately as follows:

Gas-oil - .about 90 m3

Fresh water …………………………………..about 20 m3

Lub oil……………………….…………….......about 10 m3

Foam …………………………………………….about 10 m3

Fresh water in ballast tanks……………about 67 m3

The gross tonnage shall be less than 499 GT. Tonnage calculation will be made in

accordance with the latest revision being in force as of the date of this Contract of

the International Convention for the Tonnage Measurement Regulations, 1969 and

Suez requirements.

0.5 BOLLARD PULL

The Tug’s bollard pull at 100% Maximum Continuous Rating (MCR) under standard

tropical conditions and design draught shall be of 74 metric tons (Steady Bollard

Pull).

Bollard pull is to be carried out according to the Classification Society procedure.

Bollards pull to be certified by Classification Society.

Bollard pull test is to be done with in the harbor condition described in this

specification (draught approx. 6.40 m).

0.6 SPEED

The free running speed over an approved measured course, in trial condition, at

operational harbor draught (6.40 m) and with main engines running at nominal 700-

1000 rpm and maximum propellers power is to be not less than 13 knots.

0.7 NOISE AND VIBRATION

Actual noise levels shall have the following maximum values - in accordance with

IMOT requirements and Standard Code - IMO MSC.337(91):



Noise Rating Levels - dB(A)

Location on Board dB(A)

Navigating bridge 60

Crew cabins 55

Mess room 65

Alleyways 75

Machinery spaces 110

Engine control room 70

Engine workshop 75

Galley 75

General machinery spaces 85

Main Deck near Towing Winch and

near Windlass (not operating) 85

Noise measurement procedure to be according to “IMO-Code on Noise Levels on

Board Ships-Resolution A.468(XII)”. The measurements will be carried out with the

following machinery equipment running in navigation condition:

Main engines running at 90% MCR or maximum achievable output at 12.2

knots, whichever is less (the measurement in order to define the 90% MCR to

be according with the recommendation of the main engines maker). In any

case engine RPM shall be the nominal 700-1000 rpm subjected to the type and

maker.

One diesel generator set.

One general service bilge/fire pump.

Hydraulic unit for towing system.

Air conditioning system.

Ventilation system.

Sanitary pump.

NOTE – Lower noise level shall be preferred.

The vibration test shall be carried out during sea trials on the similar conditions that

exposed on the noise test according to ISO standard 6954-2000.

For the admissibility of vibration, the acceleration rates in cm/sec2 must be below

the listed limits in frequency range between 2 to 80 Hz.



Location Vertical Horizontal

Crew cabins, mess room 40 20

Engine control room 60 30

Machinery spaces 200 100

It is important that vibration and noise from all sources to be reduced to a minimum,

particularly at the source. Therefore, the closest attention will have to be paid to

ensure stiffness of the structure and fittings, and this applies particularly to the main

and auxiliary machinery seating.

Reinforcements shall be incorporated, if required, to avoid or reduce vibrations, as

far as practicable.

If local vibrations occur while the Tug either is in service, at sea or moored, and if

these vibrations, in any part of the structure or fittings appear in IMOT opinion to be

excessive, the Builder will have to undertake the necessary modifications in order to

reduce such vibrations.

To minimise vibration and noise levels in accommodation, the following measures

shall be adopted during design and construction:

Acoustic insulation in all engine room ceiling.

Floating system - floating floor, bulkhead mounting over floating floor, elastic

mounting of ceiling, acoustic insulation of doors. Floating floor will be

provided in accommodation, engine control room and bridge.

Acoustic insulation in-between accommodation's cabins.

Resilient-mounting of machinery.

Main and auxiliary air intakes and casings shall be efficiently sound insulated.

Acoustic insulation in A/C room.

Viscoelastic materials where required.

NOTE – Lower vibration shall be preferred

The Builder undertakes no later than steel cutting, to perform calculations destined

to show that the revolutions of the main propulsion engines, in conjunction with the

propellers, are clear of the natural vibration period of the ship, and will submit these

calculations to the Owner for approval. Calculations for the torsional lateral and axial

vibrations of the main shafting are also to be submitted to Owner for their approval.

No barred range will be allowed on the revolutions of the main engines and the

flexibility of the shafting plus the rotating masses are to be adjusted. Any

adjustment, if needed, will be done by the main engines manufacturer.



0.8 CLASSIFICATION AND RULES

The Tug shall be built, tested, classified and certified according to the Classification

Society requirements, and with the following notation:

HULL: 100A1 TUG

MACHINERY: LMC UMS, Fire Fighting Ship 1(2400) with water spray

Or other IACS member notation subjected to the owner approvals

The Tug shall comply with all Rules and Regulations and, inter alia, with the

following:

- Builder's country flag regulations applicable to this kind of Tug.

- IMO regulations applicable to this kind of Tug.

- International Convention for the Safety of Life at Sea (SOLAS).

- International Load Line Convention, 1966.

- International Tonnage Convention. 1969.

- Suez Canal navigation rules.

- International convention for prevention of pollution of sea (MARPOL 73/78)

Annex VI.

- International convention for prevention of collision at sea (COLREG 1972).

- IMO Resolution MEPC.213(63) Guidelines for developing of a ship energy

efficiency management plan (SEEMP) and amendments – to be prepared by

the Builder.

- GMDSS (Area A2)

- IMOT regulations, inter alia, regarding the following:

- Stability regulations

- Noise regulations

- Crew accommodation regulations

- Instructions for Automation on Merchant Ships

- Life saving and fire fighting appliances as per chapter 2. Safety Plan is

to be approved by IMOT.

0.9 CERTIFICATES and DOCUMENTS

0.9.1 Technical Acceptance at Yard

The following certificates and documents detailed below will be delivered to the

Owner as a condition for receiving the Technical Acceptance Protocol, in conformity

to all above Rules, Regulations, Classification Society and IMOT requirements:

- Drawings, plans, technical manuals, certificates pertaining to each Tug as

stipulated in this Specifications.

- Classification Society Certificates for HULL, Machinery and Equipment

(including UMS and FI-FI 1 notation certificates).



- Builder's Certificate.

- International Load Line Certificate.

- International Tonnage Certificat.

- Certificate for Suez Canal Tonnage Measurement.

- Certificate for seaworthiness.

- Certificate for Safety equipment.

- Certificate for lifesaving equipment.

- Certificate for radio.

- Stability booklet approved

- Protocol of Inclining Test

- Stability Book according with IMOT Regulations

- Certificates of Navigation and Communication Equipment.

- Certificate for compass and compass adjustment.

- Certificate for nautical equipment

- CLASS SOCIETY Certificate for the Main Engines and elastic couplings.

- CLASS SOCIETY Certificate for the propellers.

- CLASS SOCIETY Certificate for Auxiliary engines and Generators.

- CLASS SOCIETY Certificate for Compressed air receivers.

- CLASS SOCIETY Certificate for Davits.

- CLASS SOCIETY Certificate for Anchor and Chains.

- CLASS SOCIETY Certificate for Towing winch, Towing hook and

Windlass.

- CLASS SOCIETY Certificate for External Fire Extinguishing Plant.

- CLASS SOCIETY Certificate for Air Compressors.

- CLASS SOCIETY Certificates for pumps.

- CLASS SOCIETY Certificates for Main Switchboard and transformers.

- Certificates for Heat insulation.

- Certificate for navigation lights.

- Certificate for Lifeboat and Life Saving Equipment.

- Certificate for Life Buoys.

- Certificate for ropes.

- Certificate for freshwater tanks paint.

- Anti-fouling certificate.

- Certificate for engine room fixed firefighting equipment.

- Certificate for CO2 and internal firefighting equipment.

- Certificate for fire detectors.

- Trial's protocols.

- Maker’s certificate for quality of fuel oil and lub. oil remaining on board

at the delivery.

- Maker's certificate of fuel oil consumption of main engine.

- Description, maintenance and operating instruction of Makers/builder



for deck, machinery, domestic and navigation equipment shall be

handed over in three copies at Technical Delivery at Yard.

- Protocol of Inventory of the equipment of each Tug, including spare

parts, equipment, material, fitting, appurtenance or article, all as

specified in the Specifications.

0.9.2 List of Drawings and documents for Technical Acceptance at Yard

Three (3) disk-on-key and three (3) hard copies of the following “as-fitted” drawings and documents will be delivered to the Owner at Technical Acceptance at Yard:

General information:

- Final Specification (including all changes agreed during construction)

- Intact stability book

- Reports of dock trials and sea trials.

- Inventory and spare list

- Docking plan

- General arrangement

- Capacity plan

- Lightship weight distribution

- Body lines

Hull:

- Midship section

- Cross sections

- Longitudinal sections

- Structure

- Main engine foundation

- Propellers seating

- Bulkheads

- Skeg structure

- Decks and stringers

- Shell views

- Bulwark

- Fore end structure



- Aft end structure

- foundations for deck machinery

- End connection

- Anchor-chain.

Outfit:

- External hull anodes general arrangement.

- Anodes arrangement for peak ballast tank.

- Anodes arrangement aft peak ballast tank.

- Radar & light mast-structure

- Anchor & mooring arrangement

- towing arrangement

- Annexe I - towing staple

- Towing & anchor winch foundation

- Water & weathertight doors

- General arrangement of hatch covers

- Manholes general arrangement

- Drain plugs arrangement

- Tank access ladder arrangement

- Ladders

- Top bridge equipment

- External fitting fog bel

- External fitting zener barrier box

- External safety and electrical elements

- Stanchions

- Bulwark gates

- Fenders general arrangement

- Draught marks & paint line

- Ship name and register port

- Ship name and register port location

- Logo situation



- Windows.

- Handrails

- Catodic protection

Accommodation:

- Galley

- Accommodation

- Mess room

- Crew cabin PT

- Chief engineer cabin

- Captain cabin

- Motorman and able cabins

- Master key system

- Insulation plan

Life saving and fire-fighting:

- Structural fire integrity

- Lifeboat davit scheme

- Arrangement of life rafts & rescue boat

- Means of escape

- safety plan

- Fire extinguishers distribution

Machinery:

- Floor arrangement in E. room

- Shaft line arrangement

- Engine room arrangement

- General arrangement peak aft

- General arrangement peak bow

- General arrangement air conditioning E room

- General arrangement casing

- Engine control arrangement

- FI-FI System sea chest



- Sea chest ship´s services

- HVAC system for accommodation area

- Engine room and technical spaces ventilation

- General arrangement in chamber ventilation machines

Piping diagrams/schemes:

- CO2 system

- Hydraulic diagram

- Tank sound and ventilation system

- Salt water cooling pipes diagram

- Fresh water cooling system

- Air compressed pipes diagram

- Engines fuel diagram

- Fuel pipes diagram

- Lubrication oil diagram

- Sludge diagram

- Ballast, fire and wash-down pipes diagram

- bilge diagram

- FI-FI pipe system diagram

- Water spray system diagram

- Sanitary water diagram

- Black & grey waters system diagram

- Scuppers diagram

- Sea chest arrangement

- Quick closing valves diagram

- Quick closing valve connection scheme

- exhaust gas diagram

List of items included in piping diagrams above:

- Schedule of piping.

- Schedule and type of valves.

- Fittings (including manometers & thermometers).



Electricity & Automation:

- Antennas and batteries arrangement

- Fire detection connection scheme

- Fire detection system general arrangement

- General alarm bell general arrangement

- Fire damper scheme

- G.P.S. connection scheme

- Satellite compass connection scheme

- Lrit equipment connection scheme

- Radar connection scheme

- Echo sounder and speed log scheme

- Echo sounder and speed log situation

- GMDSS radio equipment general arrangement

- GMDSS radio equipment scheme

- Docking loudspeaker connection scheme

- Internal communications equipment general arrangement

- Order-to engines telegraph scheme

- Spare cable general arrangement

- A.I.S. connection scheme

- Sound-powered telephone scheme

- Internals communication arrangement

- Wheelhouse wiper windows mounting details

- Main engine connection scheme

- Propeller scheme

- A.Es. scheme

- Emergency battery charger scheme

- Fireman bottle charger air scheme

- M.S. F.W. preheating module connection scheme

- Starting air compressor starter scheme

- Purifiers scheme



- Paint store exhaust-fan starter scheme

- Battery drawer exhaust-fan starter scheme

- Firefighting system (FI-FI) general arrangement

- firefighting system (FI-FI) scheme

- Bilge separator scheme

- hidrophore set scheme

- Swage treatment plant scheme

- Main electric balance

- Emergency electric balance

- Device coordination study

- Short-circuit computations

- Starter type scheme

- Main switchboard –material

- Main switchboard - outfit arrangement

- Main switchboard 400_230v. scheme

- Main switchboard 400_230v. terminals scheme

- Regulation of circ-breaker & thermal relay

- Generators generator Arrangement

- Switchboards circuits list

- Switchboard lighting and a-2 services 230v. scheme

- Switchboard scheme

- Electric isolation list

- Switchboard, softstarters scheme

- Switchboard outfit arrangement

- Bridge desk scheme

- Bridge desk outfit arrangement

- Helmsman desk scheme

- Bridge ceiling control panel scheme

- Radar table scheme

- Emergency stopping general arrangement



- One wire general scheme

- Electric cable tray

- Electric devices outfit arrangement

- Emergency lighting general drawing

- Navigation lights general arrangement

- Navigation lights switchboard scheme

- Floodlights lighting general arrangement

- Shore connection diagram scheme

- Fire extinction system scheme

- B.N.W.A.S. equipment connection scheme

- Air conditioning scheme

- function & instrumentation list

- Tank level sensor arrangement

- Automation equipment scheme

- Automation equipment connection scheme

- Automation battery charger scheme

- Propeller & MM.EE.'s control general arrangement

- MM.EE. interface box electric scheme

- Automation alarms general arrangement

- Flood level bilge alarm scheme

- Navigation lights arrangement

- Cathodic protection scheme

- Idler roller general arrangement

- Mooring & windladses equipment general arrangement

- Anchor & towing winch equipment scheme

- Towing hook scheme

- Air conditioning general arrangement

- lifeboat davit scheme

- Instruction manuals for all equipment that provided by the makers.



- One white print laminated framed and well mounted copy to be provided

and installed on board for the followings drawings:

Safety plan

General arrangement.

Capacity plan.

Docking plan.

Tank and manhole plan.

Machinary plan

Any other relevant document

0.10 STABILITY, TRIM AND INCLINING TEST

No permanent ballast to be fitted.

Preliminary Trim and stability report in various conditions to be submitted no later

than steel cutting to the Owners.

The Tug will float on an approximate even keel under harbour loading condition.

A stability information booklet will be delivered with the Tug at Technical

Acceptance at Yard.

The inclining experiment can be carried out when the Tug is completed according to

IMO requirements, in presence of the Owner’s representative and IMOT Surveyor.

The Class Surveyor presence to this test is not to be mandatory.

The results of this test will be adjusted with those pending or exceeding weights.

The limit required by IMO shall not be exceeded by any means.

The procedure shall be agreed upon well in advance.

The results shall be recorded in a well-arranged form and to be handed over to the

Owners.

The trim and stability book shall be issued after the inclining experiment with due

regard to its approved results as to the KG, LCG and lightship displacement. Its

format shall correspond to the Owner’s requirements.

It shall contain at least the following conditions:

1. Lightship

2. Docking condition

3. Design load condition at Harbour operational draught

4. Full load condition with 100% consumables.

5. Half load condition with 50% consumables.

6. Minimum operating load condition with 10% consumables.



7. Plimsoll disc (max. seagoing condition)

The IMOT stability requirements shall be fulfilled for all the above conditions.

0.11 LAUNCHING

All necessary precaution against distortion of the hull will be taken during building

period, after launching and during the docking of the Tug.

The Builder will advise the Owner at least 15 days before the launching date in order

to enable the Owner checking the readiness of the TUG for launching.

Readiness of the TUG for launching shall be approved by Owner's Representative.

The Owner’s Representative shall Approve the completion of underwater works

including the following:

1- The painting of hull of the TUG up to the main deck shall be completely carried

out and checked in accordance with the Paint Specification, as specified below.

2- All the steel structure shall be welded up to the main deck. The tightness test

of tank connected to the hull shall be done prior to the launching.

3- The superstructure shall be mounted into the deck and adequately welded to

avoid deformations during the launching.

4- All shell openings, zinc anodes, etc. shall comply with the Owner's satisfaction.

5- Before launching, the draught marks from cut plate will have to be carefully set

off in the presence of the Owners, and painted on the port side and starboard

side, at the stern, amidships, and on the bow. The draught marks are to be in

metric units.

6- Heavy equipment installed on its final location to avoid opening the deck after

the launching.

The freeboard marks, from cut plate, are to be fitted according to the International

Load Line Regulations, and will be welded on after the launching.

After launching the TUG is to be well earthed and protected against leakage

currents.

The TUG will be docked if the period from launching and delivery time exceed of 5

months. If docked the bottom will be cleaned and painted before delivery. Non

availability of dock at the time of the dry-docking shall be considered as permissible

delay. Dry-docking, if needed, shall be performed after the Builder’s trials and before

the Sea trials.



0.12 TESTS AND TRIALS

Tests and Trials, of each Tug, in dock and at sea and otherwise, shall be all carried out by the Builder at its yard or at Destination, in accordance with section 12 to the Agreement and in accordance with this Specification and with the Time Schedule specified for each Test or Trial. All testing shall be conducted according to the Classification Society Rules, Authorities requirements, Makers and standard practice of the Shipyard. Sea trails shall be carried out in calm water and light wind (Not more than sea state 3 according to Buffort scale)

0.12.1 Test Procedure

Test commissioning protocols, procedures and Test specification/forms shall be issued in quadruplicate at least two months prior to commencement of the tests and shall be submitted to Owner's Approval. A written notice regarding the commencement of each Test will be issued by the Builder at least two weeks prior to commencement of the relevant Test. The exact notice shall be issued by the Builder no later than 48 hours prior to commencement of the relevant Test. The testing of each item will be carried out according to a test form approved by the Owners' and listing the characteristics of the item and all testing data. Three forms of the commissioning protocols, signed by the Owners' representatives and countersigned by Classification Society, will be forwarded to the Owner after the completion of the relevant test, according to the criteria detailed in the Test form.

0.12.2 Builder's Trials

The Builder is to conduct the trials in order to ensure that the main and auxiliary machinery is fully adjusted and operating satisfactorily before the TUG is deemed suitable for official sea trials. Owner’s representatives can attend the Builder’s trials and shall be notified well in advance to attend all tests and trials. The Builder is responsible for performing the following Technical Acceptance at Yard and Final Acceptance at Destination Trials:

0.12.3 Dock Trial

Tests of each TUG's mounted machinery, equipment and systems which are carried

out at Builder's quay and performed prior to sea trial. Anyhow, some of the dock

trials can be performed after the sea trials only upon Owner's approval, always

provided that these trials in the pier are not interfering the performance of the sea

trials.

Dock trails shall include at least the following tests. Final list of the tests shall be

submitted by Builder to Owner prior to the launching date as specified above in

section 0.11, and approved by the owner after the detailed design:

Dock trails tests list



Piping Pressure Test

Inclining Test

Starting Air Compressors and Bottles

Auxiliary Engines

Main Switchboard

Power Management System (P.M.S.)

BNWAS

TV system , auto telephone sockets and CCTV

Shore power connection mode

Compressor for breathing bottles.

General Service Pump (Bilge & Ballast)

General Service Pump (Emergency. Bilge & Fire)

Spare H.T. Main Engine Pump

Spare L.T. Main Engine Pump

G-O Transfer Pump

G-O Spare M.E. Pump

Spare Oil Main Engine Pumps

Spare Cooling Sea Water Pump Pumps

Sludge Pump

Oily water pump

Piston bilge pumps

Grey water/sewage pump

Lub oil transfer pump.

Portable diesel Fi-Fi pump

Service Air System

Ballast Service

Bilge System

Bilge Separator

Fire & Deck Washing System

G-O Transfer Service

G-O Supply Service

F.W. Cooling System

S.W. Cooling System

G-O Separator

Sludge System

Bunkering

Pumps & Fans Remote Stop

Quick Closing Valves

CO2 Extinguishing System

Remote control of fans

Workshop

Navigation Lights

Emergency Lights and Supplies

Sound Powered Telephones

Internal Communication System (Talk Back)

Orders to Engines Telegraph

Typhoon

Fire Detection and Alarms



Wheelhouse Windows Washing

Alarms Push Buttons (Alarm Bells)

Nautical and Navigation Eq. (Harbour Tests)

Searchlight

Fire Dampers

Aft Davit

Boat Davit

Rescue Boat

Portable FI-FI Equipment

Doors/Windows/Hatches Water Tightness

Lifting Eyes and lifting beams/rails

F.W. Sanitary Pump

Cold Fresh Sanitary Hydrophore Tank

Sewage Treatment Plant

Sanitary Water Heater

Air Condit. And Vent. Accommodation: Flows

Air Conditioning System

Galley & Hotel Equipment

Main Engines Starting

Propulsion Starting – Including propeller system

Main Engine Starting

Automation

M.E. Deflections

Electrical Insulation

0.12.4 Inclining Test-

When the TUG has reached a sufficient advanced stage (According to IMO criteria)

of completion and only minor work remains to be done, an inclining experiment will

be carried out to determine the light ship weight and center of gravity. During the

inclining experiment the TUG will be in a suitable condition, with no loose water or

oil on board and all shipyard equipment removed.

The test shall be witnessed by representatives of the statutory authorities,

classification society and Owners.

0.12.5 Sea Trial

Sea Trials shall be carried out in accordance with the Classification Society and

Owner's approved sea trial’s procedures. These trials may be performed immediately

and following the completion of the Dock tests. As above provided, some of the dock

trials can be performed after the sea trials only upon Owner's approval, always

provided that these trials in the pier are not interfering the performance of the sea

trials.A sample of the trial schedule will be submitted to the Owners for approval



Sea trials will be carried out comprising the following tests. The final list of the tests

shall be submitted by Builder to Owner as specified above in section 0.12.1, and

approved by the Owner (As a minimum):

Nº Test

1. Towing Winch

2. Towing Hook

3. Windlasses (Anchorage)

4. Main Engine Starting

5. Stationary Turning Trials

6. Crash Stop

7. Nautical and Navigation Eq. (Sea Tests)

8. Speed Trials (Ahead and stern)

9. M.E. Endurance Trial

10. AUT - Class

11. Bollard Pull*

12. Noise Test

13. Vibration Test

14. FI-FI System

15. Mechanical Vent. Engine Room & Stores

*Bollard pull trials will be carried out to demonstrate the bollard pull of each TUG.

A tested and certified dynamometer will be used. Readings will be recorded of the steady

ahead bollard pull for a range of progressively increasing powers.

During the Sea Trials, particularly during the speed, endurance and maneuvering

trials, recordings will be taken at regular intervals of the main machinery pressures,

temperatures, RPM, and fuel rack settings. All data and records obtained during the

various trials will be carefully analyzed, properly tabulated and incorporated into a

Trials Record Booklet.

During Sea Trials final adjustments will be made to all machinery, controls and

instrumentation.

0.12.6 Basic Acceptance Test

Test performed (if necessary) on completion of outstanding works after the sea trial.

This test is the final TUG test before signing the TUG Acceptance and Delivery.

0.13 PLANS AND DRAWINGS

0.13.1 General

Three (3) hard copies of plans, documentation, technical specifications and performance characteristics of all components and materials as per the list in paragraph 0.13.3 shall be submitted for approval as set forth in the Contract and noted below and as mentioned elsewhere in this Specification.



Even if the drawings are approved, the responsibility for the suitability for the purpose, and for fulfillment of the Specification, and compliance with the rules and regulations remains with the Builders. Owner shall send to the Builder approved Drawings or comments to the Drawings by fax or by E–mail within 14 (fourteen) Business days as of receipt of the hard copies drawings. Should special circumstances necessitate a longer period of examination by the

Owners, this period shall have to be agreed upon.

Should any comments be made by the Buyer on said plans and drawings, the Builder

shall revise said plans and drawings and submit them again to the Buyer in

accordance with the above, till final approval. Approval of plans and drawings by the

Buyer shall not in any way diminish the responsibility of the Builder under this

Contract.

The Builder shall cooperate with the Owner in order to secure the approval of the

IMOT for the relevant plans and drawings.

Any alteration, modification or changes in this Specification, including in the

Drawings and Plans, shall be treated in accordance to section 22 to the Contract. An

updated computerized list of drawings shall be available at all times.

In addition, Owner’s representative at the Yard will receive one copy of each

drawing for inspection and survey purposes.

Drawings will be submitted for Owner's approval in due time to make eventual

modifications.

Should the Builder proceed with the construction without awaiting approval,

eventual modifications shall have to be undertaken at its own expense.

Final Delivery drawings shall be in “as fitted” condition.

0.13.2 Technical Manuals and Instruction Books

Technical description and documentation of machinery and equipment shall be

delivered to the owner prior to installing of the machinery or equipment.

Two copies of all technical documentation, catalogues, etc., shall be delivered to the

Owner's representative as soon as possible after ordering the respective items of

equipment.

Drawings, maintenance instructions manuals and spare parts catalog, that originally

were prepared with the aid of a computer, shall also be handed over to Owner in

addition to three (3) hard copies and 3 (three) disk-on-key.



0.13.3 List of Drawings and Documents for Approval

Three (3) copies of the following drawings and documents, in English, shall be sent to

the Owner for approval:

a) General information:

- General arrangement plan.

- Lines Plan.

- Hydrostatic curves.

- Capacity plan and tanks calibration.

- Curves of stability and stability and trim book.

- Docking plan.

- Light weight (state of weights).

- Weight distribution curve.

- Reports of dock trials and sea trials.

- Inventory and spare parts list

- Report of inclining experiment.

b) Hull:

- Midship section.

- Cross sections

- Longitudinal section.

- Shell expansion.

- Main engine foundation

- Propellers seating

- Skeg structure.

- Decks and stringers

- Bulwark

- Fore peak

- Aft peak

- Superstructure.

- Bulkheads.

- Foundations for deck machinery

- Working drawings (only for information, not for approval).



c) Outfit:

- Arrangement of hatches.

- Mast arrangement.

- Steel doors

- Windows.

- Manholes.

- Drain plugs.

- Mooring and anchoring arrangement.

- Towing winch and towing hook arrangement.

- Aft pins

- Stairs.

- Tank ladders

- Floor in engine room.

- Funnel outfit.

- Fenders.

- Wheelhouse layout and consoles arrangement.

- Wheelhouse window wipers arrangement.

- Painting specification.

- Acoustic & Thermal insulation plan.

- Cathodic protection.

- Anodes in ballast tanks

- Anodes in hull

- Logo situation

- Name of ship & port of registry.

- Arrangement of railings.

- Top bridge equipment.

- External elements safety and electrical

- Bulwark gates.

- End connection anchor chain

d) Accommodation:

- Accommodation general arrangement plan.

- Arrangement of galley.

- Doors and locks plan.



- Furniture details & dimensions.

- Mess room

- Crew cabin

- Captain/chief engineer cabin

e) Life saving and firefighting:

- Safety plan.

- Arrangement of life rafts & rescue boat.

- CO2 system.

- Fire extinguishers distribution.

- Means of escape

f) Machinery:

- Machinery room arrangement.

- Engine control room arrangement.

- Workshop arrangement.

- Store arrangement

- Shafting arrangement.

- Piping arrangement in funnels

- Engine room ventilation (calculation)

- Calculation of designed air quantities and rate of air changes

- Air conditioning system (calculation)

- A/C diagram

- A/C room arrangement

- Arrangement of natural ventilation

- Sea chest & overboard valves arrangement.

- Spares and tools

- Name plates.

- Lifting eyes

g) Piping diagrams/schemes:

- Ballast, Bilge and Deck washing system

- Seawater cooling system

- Fresh water cooling system

- Fuel oil system.

- Engine fuel system



- Lub oil system.

- Compressed air system.

- Firefighting system.

- Hydraulic system.

- Sanitary systems.

- Black and grey waters.

- External fire fighting (Fi-Fi 1)

- Water sprays system.

- Scuppers,

- air pipes and sounding pipes

- Exhaust system

- Mechanical ventilation system

h) List of items included in piping diagrams above:

- Schedule of piping.

- Schedule and type of valves.

- Fittings (including manometers & thermometers).

i) Electricity & Automation:

- Electrical balance.

- Emergency electrical balance.

- Starter Type Scheme

- Main distribution system.

- Main switchboard wiring.

- Main switchboard arrangement (layout & sections)

- Motor starter panels arrangement (layout & wiring diagram).

- Lighting diagrams.

- Internal and external lighting arrangement (including navigation lights)

- List & details of lighting fixtures

- Fire detection and alarm arrangement.

- Spares and tools

- Navigation and communication wiring diagrams

- Layout distribution of the equipment in wheelhouse.

- Alarm panel arrangement.

- Alarm and function list



- Internal communication systems layout.

- Electrical penetrations.

- Level sensors

- Softstarter Swtboard scheme

- Electric cable trays

- Electric devices G.A.

- General arrangement navigations light

- CO2 system

0.14 MATERIALS AND WORKMANSHIP

The TUG together with all machinery, equipment and outfitting shall be built conforming to the standards of first class shipyards and Marine Engineering Practice for a Tug of this type and class.

All materials will be brand new, of first class quality and suitable for use on board ships.

All plates and shapes shall be rolled before use, if applicable.

All steel plates, hull forgings and castings to be Classification Society requirements and approval. All steel plates and hull sections to be entirely free of mill scale, grit blasted and primed.

Timber, if used, to be reasonably free from knots and splints, well-seasoned and protected against rot and fungus.

Steel sheets, 3 mm and less in thickness shall be galvanized. Aluminum, where specified, should be of sea water resisting alloy.

All bolts, nuts, hinges, spindles and screw connections on weather exposed areas shall be of stainless steel 316L.

Welding shall be executed in accordance with the Builder's practice and under the approval of Classification Society. All welding, including tack-welding shall be done only by welders fully qualified by a regular Classification Society. The Builder will keep all welding operations free from rain, wind and snow.As far as practical, all work shall be carried out indoor.

0.15 MAKERS LIST

The list of manufacturers/suppliers of the equipment, material, fitting, appurtenance or article specified in the Specifications to be incorporated into each Tug will be in accordance with the "Makers List" (See list attached as appendix A).

Any supplier or manufacturer that is not specified in the Maker List, is to be pre-approved by the Owner, in writing. Where the Makers List does not cover items of equipment required for the construction of the Tugs, the Builder might select any



manufacturers/suppliers to provide such items within the requirements of the Specifications subject to Buyer’s written approval.

All items of machinery, spare parts and supplies destined for the TUG will be well stored under cover and protected from the weather conditions. The Owners' representative is to be notified immediately, whenever an item destined for each TUG has arrived and is to be invited to inspect the said item and its storage conditions.

Copy of all machinery/equipment orders (excluding labour and turn-key orders) higher than 1.000 EUR for the TUG shall be forwarded to the Owner, as well as to the Resident Surveyor ONLY for information. These copies shall be forwarded without prices and/or any other commercial information. In addition, the Builder shall forward to the Owner other specific equipment orders, such as galley equipment, small pumps or communication equipment, even below 1.000 EUR as far as practicable.

0.16 SPARE PARTS AND TOOLS

The following spare parts, tools and wearing parts are to be delivered along and with respect to each Tug upon Technical Acceptance at Yard with no additional cost, and subjected to Owner approvals before being supplied:

Main engines Spare parts and tools shall be delivered according to the following:

- One (1) set of spare parts for engine – unrestricted service according the main engines manufacturer recommendation.

- One (1) set of spare parts for resilient mounting.

- Two (2) sets of wearing parts for engine from 0 – 6.000 hours of operation according the manufacturer recommendation and two (2) sets from 6.000 – 12.000 hours. The parts to be accordance with manufacturer recommendations.

- One (1) set of tools for engine (According to the maker standard).

Propellers:

- Tools shall be delivered according to the propellers maker recommendations.

- Spares - According to the maker standard.

Generator sets: Spare parts and tools shall include:

- Spare parts for the marine diesel engines according to Classification Society, Unrestricted service (one set per TUG).

- Special tools for the marine diesel engines including Turbochargers special tools (per TUG)

- Spare parts for alternators (per TUG).

- Maintenance spare parts set for 12.000 operating hours (per engine) according the manufacturer recommendation.



- One set of special tools for auxiliary engines complete overhaul.

Fuel oil separator:

- One Set of tools and spares for the maintenance of the fuel oil separator.

Other equipment:

- Spares and tools according to Class requirements.

All spares and tools shall be conveniently stowed by the Yard.

Deck and engine inventory will be supplied according to the relevant Regulations, and according to this Specification.

The supplied spare parts list shall include the following data:

- Name of the part

- Maker's name

- Maker's part number

- Quantity supplied.

- Number or system to which the item belongs.

- Package identification number

- Store location on the Tug.

0.17 OWNER’S SUPPLY.

Any items supplied to the Builder by the Owner shall be furnished free of any costs to the Builder.

The Owner is responsible for the Owner’s supply purchase and transportation to the shipyard and for the timely delivery of the design information necessary for the installation of the equipment mentioned above.

The Builder shall be responsible for protection, insurance, storing and handling of those articles after delivery to the Yard.

0.18 SUPERVISION DURING CONSTRUCTION

In addition to the inspections required by the regulatory bodies specified herein, the TUG at all stages of construction, including all outfitting, machinery and equipment shall be subjected to the inspection and approval of Owner’s duly authorized representatives, as set forth in the Contract.

The Owner’s representatives shall have every authority to inspect and/or supervise materials, design and work, prior to and/or during construction or tests and trials.

The Owner's representatives will have the power to reject any defective materials, and/or workmanship that may be defective and/or found not complying with the terms of the Specification.



The Owner representatives shall have access during normal working hours to the sub-contractors facilities in order to inspect all equipment and machinery and to be present during any equipment testing, at any stage prior to delivery to the Shipyard. Approximate notices of such test shall be given to the Owner at least two weeks in advance stating date/time and place for the test. Exact notice of the test shall be given 48 h before such test

Copies of the technical correspondence between the Builders and the Owners and the Builders and IMOT and Classification Society are to be handed to the Owner representatives.

Reports

Monthly itemized progress report and photographs will be delivered by the Builder over each month to the Owner's representative once the first plate is cut, including an updated test plan. During the stay of the Owner surveyor at the Yard, suitable separate room with the necessary furniture and office equipment shall be made available for their use.

The Builder is to put at the disposal of the Owners’ representative the usage of its fax, telephone, E-mail and computer systems.

0.19 TECHNICAL ACCEPTANCE

According to the Contract.

0.20 Training

TUG's crew training programs shall be as follow:

1. Main propulsion engines as follows: 20 days of crew training in the makers training facilities (4 crew members x 5 days). Travel and hotel expenses are not included.

Propellers system: 20 days of crew training in the maker facilities (4 crew members x 5 days). Travel and hotel expenses are not included.

2. Main auxiliaries and electrical systems: 30 days of crew (operators, mechanical technicians and electricians) training in the builder facilities (6 crew members x 5 days). Travel and hotel expenses are not included. These trainings shall be carried out during the systems commissioning with the participant of the maker service engineers.

3. Other training to be recommended by the Builder and to be approved by the Buyer.

The training syllabus shall include theoretical and practical lectures and shall be provided for the Owner confirmation.

0.21 GUARANTEE AND RESPONSIBILITY

According to the Agreement.



CHAPTER 1 - HULL

1.1 GENERAL

All steel plates and profiles used for the hull construction shall be in accordance with Classification Society, Rules and Regulations, supplied with Classification Society certificate.

The TUG will be of all welded grade "A" mild steel construction with transverse framing and with double chine hull form. The structure will be adequately stiffened in way of propulsion gear, hawse pipes, deck machinery, propellers, bollards, towing fittings and elsewhere as required.

The steel shall be blasted to SA 2 1/2 and covered with shop primer before cutting.

Scantlings of the hull structural elements are to meet the requirements on the Classification Society Rules.

Scantling draught shall be for the calculated maximum freeboard draught according to Classification Society.

Accuracy in hull construction shall be according to IACS Shipbuilding and Repair Quality standard.

Welding

The TUG will be of all welded construction throughout. Electric welding will be carefully executed in accordance with the requirements of the Classification Society and good shipbuilding practice. Automatic welding shall be used to the greatest extent, as possible. All manual welding shall be performed by qualified welders to Classification Society requirements.

In general, continuous and scallop welding will be adopted. Intermittent welds may be adopted where allowed by the Classification Society. In all tanks and in way of machinery, structural members (including brackets) will be continuously welded to the plating. Scallops will be kept to a minimum on structural members welded to the shell. Construction will be carried out in accordance with the approved welding sequences and every care will be taken to avoid distortion and locked in strains.

Special attention and care shall be applied to edge preparation for welding chamfers and gaps to be uniform and free of slug and impurities.

Non-destructive tests shall be carried out. A testing procedure and planning for testing shall be according to the Classification Society and to the Owner. The Classification Society and the Buyer shall approve this test planning in advance.

X-ray photographs of welds of main structural parts and main FiFi pipes will be made to the extent required by the Classification Society. The location photographed will be decided in consultation with the surveyor of the Classification Society.



1.2 SHELL PLATING AND SIDE FRAMES

The ship sheer strake all around will be reinforced by means of transversal frames vertically fitted, from the deck to the keel strake.

The thickness of the shell plating will be as per Classification Society Requirements, but not less than10 mm.

Insert plates will be fitted to compensate for openings in the shell and all openings will be well rounded and carefully finished.

Frame spacing to be accordance to the designer recommendations and to be approved by Classification Society- in each Tug. Webs shall be fitted at every three frames (or every two where necessary to reinforce the Tug) in engine room and fore and aft stores making close rings with deck webs and floors at the bottom. The closed rings to be incorporated in the main engines foundation and to the propellers foundation.

The propellers unit's foundations to be stiffened by radial girders connected to floors and longitudinal girders at the bottom. The bottom plating structure in way of propellers shall be confirmed by the propellers maker.

The shell structure in the after peak in way of fenders shall be reinforced for pushing ships. It shall have a fender plate min 25 mm thick and approximate 500 mm wide, from the gunwale downwards, in which the fender shall be fitted. For protection of shell plating, the Tug will be provided with steel supports for rubber fenders all around, as mentioned in chapter 2.

The stem of the TUG from the keel to the waterline will be formed into a soft nose of ample radius. Adequate stiffening will be provided in way of the bow fendering and the anchor recesses.

Two anchor pockets to storage the anchors to be provided in the forward part of the hull. The anchor pockets and the surrounding areas to be specially reinforced to avoid dents by anchors.

The anchors will be recessed into a pocket in the shell at port and starboard side. In the area where the anchor blades touch the shell stainless steel plating will be provided. Each recess will accommodate the anchor within the line of the shell plating.

The structure of the sheer strake to be properly designed to avoid possible buckling or folding up of the adjacent deck area. For this purpose the sheer strake structure shall distribute in a proper way the external forces to the surrounding areas and members.

Transversal frames to reinforce the shell plating to be of bulb flat type. Openings for sea chest, skeg and propellers will be specially reinforced. Insert plates will be fitted to compensate for openings in the shell and all openings will be well rounded and carefully finished.



1.3 SKEG AND PROPELLER GUARD

A double plate Skeg (NACA Profile) will be fitted amidships aft to improve the directional stability of the TUG. Other means of dynamic stabilizers shall be approved by Classification Society and the buyer. A protection guard will be fitted under the propellers constructed out of welded plates and shaped according to the directions and with the approval of the propeller maker.

The Skeg and guard for the propeller will be designed and reinforced as suitable docking area.

The Skeg to be built with steel structure using internal reinforcement of plates, shell plates and bottom plate. The vertical edges forward and aft shall be fitted with strong pipes arranged from the bottom to the shell plating of the hull.

The internal plating shall have holes on corners and properly distributed to allow good draining. The Skeg shall have two drain plugs, one in the upper part and other in the lower part.

After internal painting, the Skeg to be closed by welding the closing perforated plate to the internal stiffeners, by inserts welded on backing flat bars.

Upon completion of the Skeg, the structure will be tested following the requirement of the Classification Society.

The horizontal bottom part of the propellers guard shall be airfoil shaped. The bottom shall have filling plugs, draining plugs and shall be tested according to Classification Society requirements.

The propeller guard shall be constructed according to the propeller maker recommendations.

Closing of bottom shall be similar to skeg by inserting welding through the perforated closing plates, by means of backing flat bars.

Each propeller guard shall be provided with means of dismantling or installation of propeller.

1.4 BOTTOM AND DOUBLE BOTTOM CONSTRUCTION

The TUG shall have a closed double bottom in the forward compartment and in the aft compartment, while in the engine room shall be designed and construct to meet Classification and Regulation, all with respect to damage stability.

Exceptions shall be confirmed by CLASS SOCIETY and IMOT (Partial Double Bottom Construction).

Minimum height of double bottom construction shall be according to SOLAS.

Aft and Fwd collision bulkheads and double sides in engine room.

The engine room is separated from each of the fore and aft collision bulkheads by deep void compartments and deep tanks.



Floors will be constructed out of plating with on top a flat bar.

Prime and secondary side girders and floors to be continuously or intercostal according the requirements of the Classification Society.

Cofferdams between tanks shall be arranged to comply with the applicable Rules and Regulation.

Drain holes and scallops for free flow of liquids and air shall be foreseen at the top and bottom of the floors.

Lightening holes for decrease of weights shall be of proper design and shape.

1.5 DRAIN PLUGS

A drain plug of stainless steel shall be fitted in the bottom shell at the lowest point of each tank.

Plugs for freshwater tanks and for other tanks (Oil, Fuel) shall be of different heads, and according to Shipyard standard.

Drain plugs sealing (packing) shall be made of copper.

Drain plugs shall be made flush with the outside of the shell plating. Special thickness plate shall be fitted on the bottom plating in way of the plugs. All drain plugs shall be marked by welding as to which tank they belong.

Two (2) sets of combined spanner wrenches shall be supplied for opening / closing bottom plugs.

1.6 BULKHEADS

The Tug shall be subdivided by watertight steel transversal bulkheads according to Rules.

The thickness of the bulkhead plating will be at least 7 mm.

Stiffeners on longitudinal bulkheads will be kept in line with deck beams and bottom floors.

Under main deck, all bulkheads shall be of flush, all welded constructions with vertical stiffening.

External steel bulkheads in the superstructure shall be of flush construction with stiffening facing inside. Internal steel bulkheads will be corrugated type.

Bulkhead stiffeners shall be in line of bottom and strength deck girders.

Aft and Fwd collision bulkheads to be contacted and fitted according to Classification Society requirements.

In wet accommodation's rooms (Showers, toilets) –the bulkhead shall be made of AISI316L.



1.7 MAIN ENGINE AND PROPELLER FOUNDATIONS

Engines and machinery will be mounted on substantially and properly constructed seating. Supporting structures in way of seating will be strengthened as appropriate to avoid vibration.

The main engine girders will be efficiently integrated with the main hull structure. Care will be taken to ensure access to all holding down bolts and all areas for inspection and maintenance.

Two pairs of continuous strong longitudinal girders shall be incorporated in the bottom construction of the engine room, as main engine foundations.

The main engine top plate shall be of adequate thickness. The elastic mountings shall have the type approval of its manufacturer and the elastically installation (number of chocks and location) shall be approved by the engine builder. Special attention shall be put on getting the proof for all components attached to the ME with concern to their performance and resistance under vibration condition

The plating of the propeller seats shall be of strong plates forming part of the external shell. The top flange of the propeller foundation shall be according to propeller maker recommendations.

Scallops and drain holes shall be foreseen in the foundations.

The top plating of the foundations shall be connected in the floor system transversally at sides.

All precautions shall be taken to avoid vibrations and buckling.

1.8 FOUNDATIONS FOR AUXILIARIES

Well-designed strong foundations shall be provided for the towing winch, towing hook and anchor windlass on the main deck.

Height shall be so adjusted as to ensure free passage of the lines when operating the winch.

Deck structure below machinery and mooring equipment shall be strengthened properly and to be approved by Classification Society.

Foundations for auxiliary equipment in the engine room shall be designed according to recommendations of the Makers, where applicable.

The generator sets to be installed in a proper foundation. This foundation will be connected to the girders and floors below.

Special attention shall be given to avoid vibration.

All foundation bolts shall be accessible.

1.9 FORE AND AFT PEAKS

The fore and aft peaks shall be welded and fitted with strengthening beams, girders and horizontal bow stringers.



One central girder from the bottom shall be connected vertically to the deck.

1.10 CHAIN LOCKERS

Two chain lockers will be provided, one port and one starboard, in the space below the fore deck, separated by a non-watertight bulkhead having hand and foot holes.

The chain lockers will be self-stowing and will have ample clearance when the cables are stowed. Access to the chain locker will be by means of a manhole on the chain locker bulkhead.

The manholes shall be provided with watertight covers.

The stiffeners of the lockers shall be kept outside for easy stowage of the chains.

The anchor cable ends will be properly secured between lugs welded to the Tug's structure, which will be strengthened in way. A false bottom of heavy mild steel plates, perforated and galvanized, will be fitted in each locker.

End links of cables shall be secured by steel bolts through the deck with release from the deck.

The chain locker shall be connected to the bilge system.

Manual drain valves in the lower part of the lockers to be provided, the drains to be led to the bilge.

The chain locker shall be painted internally with high resistance epoxy based paint.

1.11 HAWSE PIPE

The hawse pipes will be constructed from mild steel pipe. The pipe will be so positioned that the anchor head and flukes bear evenly on the plating within the anchor recess. The length will be sufficient to accommodate the shank and part of the cable when the anchors are housed. A mild steel half round chafing bar will be fitted around the hawse pipe opening and closing plates with stainless steel bolts and nuts will be fitted at the deck opening.

The pipes shall ensure an easy dropping and lifting of the anchors which must fall clear of stem by its own weight and stow properly under all conditions of trim. Washing down nozzles shall be arranged in each hawse pipe.

The shell and deck plating shall be strengthened with fore and aft stiffeners, where frames and beams are cut by the round bar steel pieces.

Increased thickness plates shall be fitted to shell in way of anchors.

1.12 TRANSMISSION TRUNK

Propellers shall be controlled by mechanical transmission. Transmission rods between wheelhouse and propulsion units in engine room shall run in trunks passing the accommodation part of the superstructure. The trunks are provided with inspection and maintenance holes.



1.13 OPENINGS FOR SEA CHESTS

The TUG shall be constructed with sea water cooling system.

Sea chests will be provided. Openings for sea chests shall be properly reinforced.

Sea chests will be located in undisturbed water flow – preferably in the bottom sides.

Dismountable gratings of galvanized steel with stainless steel bolts and nuts shall be provided, for each sea chest.

1.14 TANKS

Tanks integrated in the main structure will be arranged. Drain holes will be arranged in bottom floors, side girders, center keel etc. to facilitate adequate drainage and a good flow to the suctions. Air holes will be arranged in the beams and girders etc. at the crown of each tank, in order to prevent air pockets.

Small tanks or tanks for aggressive chemicals will not be integrated in the main structure.

All tanks will be tested for tightness in accordance with the Classification Society Requirements.

The following structural tanks will be provided:

- Ballast tanks

- Fresh water tanks

- Foam tanks

- Gas oil daily service tanks

- Gas oil storage tanks

- Overflow tank

- Sludge tank

- Propellers lubricating oil

- Hydraulic oil

- Engines lubricating oil

- Grey water tank

- Dirty oil tank

- Spill tank

- Void and cofferdam tanks

All tanks shall be accessible and ladders provided.

Loose tanks shall be provided with inspected hand holes/manholes and all necessary fittings.

Gas Oil, Hydraulic oil and lubricating oil tanks shall be equipped with visual level gage attached to the tanks bulkheads.



Sounding and venting devices to be provided according Classification Society.

1.15 MANHOLES

Manholes shall be provided for all tanks, cofferdams, void spaces.

Each tank space and void space will be provided with at least one manhole.

There shall be no manholes on the main deck, as much as practical and as per the applicable Rules and Regulations. In case there shall be manholes in main deck (fore and aft) it shall be flush type ones.

Manholes in working or stowage compartments to be covered with flush decorative steel plates – same height level of the surrounding floor.

The covers are to be connected to the stud bolts by stainless steel nuts.

Ladders or treads will be fitted to the manhole entrance where necessary.

Manhole covers shall have the compartment identification welded on the upper side. 1.16 DECKS

All decks shall be made of welded steel plates and transversally framed.

The thickness of the main deck will be at least 8 mm. suitably reinforced in way of openings and deck machinery seating.

The stringer plate shall be of increased thickness.

The deck plating in way of hatch corners and other openings in the strength deck shall be well rounded.

Decks shall be strengthened also in way of the bollards, no doublers shall be used.

The transverse framing of bulb flats on every frame shall be suitably connected to the side frames or stiffeners with welded brackets.

The beams in way of windlass, towing winch and towing hook shall be especially strengthened.

Longitudinal deck girders shall be fitted, consisting of bulb flat bars.

The top of the superstructure decks above it shall also be transversally framed by flat bulb bars. Pillars of tubular sections will be fitted in main deck and boat deck and in way of some web frames in the engine room.

Location not to interfere with machinery. Pillars shall be well connected to girders and floors at the bottom.

A-frame

A sturdy A-frame will be located on the aft deck. Location of the A-frame has to be optimized in relation with propellers and skeg and shall be confirmed by the propellers maker. The A-frame drawing is to be approved by the Owner and is to be designed to work with steel wire end synthetic rope.



1.17 DECKHOUSES

Deckhouses to be complete welded to the deck. Front bulkhead of main deckhouse shall be properly reinforced.

The main deckhouse shall be of welded steel, watertight construction and transversally framed.

Intermediate superstructure above the boat deck shall be of steel and transversally framed.

Suitable drainage shall be provided from the boat deck corners with piping leading to main deck.

Effective scuppers for water drainage from the Bridge top and mast will be installed.

Outside doors in the first tier of deckhouse for access to accommodations shall have the statutory high sills from the deck.

Internal bulkheads shall be made of steel, corrugated type.

Passage of deck beams throughout longitudinal walls shall be carefully welded. Doors and window openings shall have rounded corners.

1.18 WHEELHOUSE

The wheelhouse superstructure shall be built of steel as a dome with windows as large as possible all around the wheelhouse.

The frame profiles and stiffeners between the windows shall be as narrow as possible to facilitate a panoramic visibility.

There shall be full visibility for the aft (including all towing winch area) and the sides and maximum visibility to bow area from the helmsman position.

Pipes for electric cables on top wheelhouse will be bent to prevent water penetration (Sealed "gooseneck" type).

Proper drainage from wheelhouse top to be provided.

1.19 BULWARK

On the upper deck, a bulwark all around shall be provided welded to the deck and sloped inwards.

The normal height will be about 1.000 mm. Plates thickness shall be according to the Classification Society.

In way of mooring lines and at rounded fore and aft end hawses, increased thickness plates shall be provided.

The bulwark top shall be made with a hard stainless steel pipe to take the chafing of towing and mooring cables.

The bulwark shall be securely supported by pipe stanchions and flanged steel plates on every second frame except aft in way of fenders, where stanchions shall be provided at every frame.



The forward and aft structures in the fender zones and the bulwark aft of the towing cable chock will also be specially reinforced.

On each side of the bulwark large freeing ports shall be provided –size and locations according to Classification Society requirements.

On each side of the bulwark one (1) access to be provided. One (1) additional access to be provided for rescue escape operation with the rescue boat. All doors shall be equipped with hinges and grease nipples. 1.20 FUNNEL

The TUG shall be built with two trapezoidal funnels in order to increase visibility. Owner mark will be arranged at both sides.

The funnels shall be welded to the deckhouse. The funnels shall be properly stiffened inside.

The funnels shall be designed to the minimum possible size and shall permit maximum aft and side's visibility from the wheelhouse, and shall provide sufficient transmission of heat from the exhaust pipes.

The height of the funnel and exhaust pipes shall be determined and constructed in such a manner as to ensure that no smoke shall fall on deck under normal weather conditions, when the TUG is in normal operating conditions. The exhaust pipes shall be extended at least 1 m above the monkey island and shall be directed outside board.

Galvanized detachable ventilation grills, remote operated and manually in emergency shall be provided and protected from weather and water spray splashing.

Watertight access hatches to the funnel for maintenance shall be provided.

1.21 MARKS

The draught marks in international metric system will be made by steel plate numbers continuously welded and painted in fore and aft, at both sides.

The name of the ship will be marked by steel plate letters continuously welded and painted to bow and stern. The port of registry will be marked only in the stern. All names to be in Hebrew and English.

The freeboard signs to be made of continuous welding marks and painted at midships on both sides.

1.22 PAINT

Surface treatment and paint application will be made in according to the Maker’s specification.

Classification Society certificates shall be provided for the ballast tanks and for the antifouling paint.



Ballast tanks painting shall be in accordance with IMO PSPC code.

The finish colour for hull, structure and equipment shall be in accordance with owner's colour scheme.

All tanks (except fuel oil and lub. oil tanks) to be painted internally.

Last coat in main deck and other exposed working decks and passage way is to be anti-slip.

The paint not to be applied during the periods of rain, snow ,fog or mist in the open air and shall not be applied when the weather conditions may cause a condensation i.e., when the relative humidity is above 85% and the steel temp is lower than 3 deg above the dew point.

Painting specification, paint maker and surface preparation procedure shall be provided for Owner approvals.

1.23 CATHODIC PROTECTION

Zinc anodes will be conveniently distributed throughout the underwater hull and the propellers protections.

Total quantity shall be such that effective protection is guaranteed for three (3) years of docking interval.

Zinc anodes shall have three years live, and shall be installed in fore and aft peaks (Ballast tanks).

Anodes in way of fuel tanks shall be fitted on doublers and bolted by stainless steel bolts and nuts.

The sea chests and sea water cooling from main collector to all the sea water cooling piping will be fitted with active cathodic protection (impressed current), with dual purpose, antifouling and pipe corrosion prevention.



CHAPTER 2 - OUTFITTING 2.1 MOORING, ANCHORING AND TOWING

Mooring, anchoring and towing equipment will be fitted according the following requirements.

One Towing winch shall be installed in the aft main deck.

One Towing hook shall be installed in the aft main deck.

One anchor windlass shall be installed in the fwd part of the main deck.

2.1.1 Anchoring and Mooring Equipment

The TUG will have all the corresponding Rules and Regulations elements, including the following:

- One (1) locally controlled anchor windlass with two cable lifters, two mooring wire drums and two warping heads and suitable for the K2 grade stud link chain will be installed on the fore deck.

The windlass shall be able to lift the two anchors and two chains simultaneously.

Cable lifter:

Sized for chains of diameter shall be according to the Rules and Regulations. Anchor chains shall be deep hot galvanized and painted.

Pulls/speed: According final maker’s specification

Warping head:

Diameter: According final maker’s specification

Pull/speed: According final maker’s specification

Hydraulic drive from the main hydraulic system.

- Two (2) chain stoppers.

- Two (2) anchors, size and weight according to the Rules and Regulations.

- Grade 2 anchoring galvanized chain with length and diameter according to the Rules and Regulations.

- One (1) reinforced bitts forward with the corresponding maneuver rollers and guides.

- Two (2) double bitts forward, one on each side, with the corresponding maneuver rollers and guides.

- Two (2) single bitts, one at each side at midships.

- Two (2) double bitts aft, similar to the forward ones with guides in the bulwarks.

- Four (4) guides in the bulwark.

- Two (2) nylon mooring ropes, cross-braided with minimum rupture load of 50 tones, with 50 m long and 52 mm in diameter each.



The final situation of bollards and guides shall be visible from the bridge in order to have safe manoeuvring.

2.1.2 Towing Equipment

One (1) hydraulically driven towing winch with one drum and one warping end. Static pull towing on automatic brake of minimum 187.5 T. The drum shall have capacity for 345 m of steel wire rope of 44-50 mm diameter. Both drum sides shell shall be approx 1800 mm diameter in order to fully protect the cable inside the drum.

Main characteristics according to final maker’s specification.

Electro-hydraulic pump unit, consisting of:

- Two (2) main driving pumps, each of 100% total required capacity, working pressure according to the maker requirements for deck equipment, each flexibly coupled with one A.C motor IP-54, insulation class F, III, 400 V / 50Hz. Power according to final maker’s specification

- One (1) servo pump, flexibly coupled with one A.C motor IP-54, insulation class F, III, 400 V / 50Hz. Power according to final maker’s specification.

- Drive: Hydraulic motors with control valve, local control at the winch in a place approved by the Owner as well as remote control from the bridge.

One (1) 345 meter break load of minimum 187.5 ton steel galvanised 44-50 mm wire rope in three (3) parts of 115 m. with one end spliced eye dia. 2 m and closed with two led units. One rope will be installed on the towing winch, while the two others will be supplied as spares.

Optional: Instead of towing winch fitted with steel wire rope, Builder shall propose the following towing system:

Towing winch with double drams.

Each dram with 120 m synthetic/fibre rope – approved by Classification Society for 74 ton static SWL.

One dram will be in operation and the 2nd will serve as backup.

One (1) towing hook, fixed on deck, with hydraulic automatic release, and working load capacity of 100 T. The hook has a remote release system to be operated from the Bridge through push-buttons and from a place next to the hook. Hydraulic drive from its own hydraulic system.

For guidance of the towing rope, a heavy duty “A” round frame of steel welded construction shall be erected aft of the towing winch. Inner surface of the A frame (where the wire/rope is in friction) shall be made from high grade hard stainless steel – approved by Classification Society.

Nigger head with brass bushes and grease nipples shall be provided.



The aft bulwark, at the towing cable outlet shall be reinforced.

Covers for windlass and towing winch control columns to be supplied.

2.2 FENDERS

Fenders of the following types shall protect the entire perimeter of the TUGs: All fenders shall be marine type and UV resistance. The Tug’s stern shall be equipped with a combination of fenders.

- Two (2) cylindrical approximate 700 mm diameter fenders (inner hole 350 mm), The cylindrical fenders are to be installed on top of the vertical fenders.

Option: Instead of these two (2) cylindrical fenders – builder shall propose one (1)

cylindrical approx 1400 mm diameter gender surround the tug's stern. - Vertical "W" fenders of 500x450 mm, on the sides

The cylindrical fender shall project 100 mm from the block fender. The cylindrical fender shall extend on the tug sides forward. Vertical and horizontal guide plates to be fitted. Round galvanized bars Ø 35 mm to be fitted at the edge of lower and upper guide plates. The guide plates shall be of suitable thickness and shorter width to prevent their damage. 20 mm thick slanted fairing plates will be provided inside cylindrical fender guide. Nylon belts shall be considered as cylindrical fender support, to avoid sparks. Slots for belts will be provided in the rubber fender. Bottle screws of securing strops to be sheltered inside bulwark. The height of the vertical block fenders above the water level in the vertical part of the stern to be not more than 0.5 m. Transition pieces between the vertical block fenders and side fenders to be provided. The bow to be protected by means of vertical "W" fenders 480x300 mm. The side rubber fenders, with a 300x300 mm hollow “D”-shape profile.

2.3 RADIO COMMUNICATION, NAVIGATION & NAUTICAL EQUIPMENT

The following equipment for navigation and communication shall be installed on board:

2.3.1 Equipment GMDSS

GMDSS A2 equipment with MF/HF and VHF systems as following:

One (1) MF/HF Radiotelephone 150w One (1) VHF Radiotelephone with DSC class duplex-semiduplex. Gooseneck microphone controlled by pedal and hand (push to talk) shall be mounted nearby the propulsion control position. The followings models or equivalents to be provided:

Two (2) portable VHF radiotelephone



One (1) 406 MHz EPIRB (KANNAD 406 AUTO)

One (1) 9 GHz Radar transponder (KANNAD RESCUE)

One (1) NAVTEX JRC NCR-333 (including printer)

One (1) additional VHF radiotelephone simplex-semiduplex (SAILOR RT 5022) in the bridge.

One (1) VHF remote control unit to the mess unit install in the tug master cabin

One (1) VHF unit to install in the mess room

Antennas, batteries, etc.

All units shall operate on 24V d.c. system.

2.3.2 Navigation & Nautical Equipment

The followings models or equivalents to be provided: - One (1) graphic and digital echo-sounder with colour display (JRC JFE-380)

- One (1) of 10 Kw, X-Band, 96 nm reach, JRC JMA-5310/6 with antenna 6"

- One (1) GPS (JRC Mod. 112-J-NAV500) with antenna

- One (1) AIS (JRC Mod. JHS-182)

- One (1) LRIT.

- One (1) TV antenna. One (1) TV cable connection to shore provided. One (1) TV antenna socket shall be fitted in the mess room and at each cabin.

- CCTV system – display in bridge- with two (2) video cameras located in the external structure – exact location shall be define during the plan approval.

- CCTV system – display in bridge and in Chief engineer cabin- with two (2) video cameras located in the Engine room – Cameras location shall be define to cover both main engines, the DGs and the propulsion components.

- Orders to engines telegraph.

- Telephone wiring shall be fitted in mess-room and at each cabin. Shore connection to be installed.

- One (1) binnacle with magnetic compass, with spare compass and alidade, is to be considered with one (1) electric repeater on the bridge ceiling.

- One (1) satellite JRC JLR-20 GPS compass is to be installed to serve the AIS system

- One (1) typhoon. Zollner – The DB level shall be the minimum required by Rules and Regulations.

- One speed log JRC JLN 205



- One marine vane – installed on mast with digital screen in the wheelhouse.

- BNWAS system with alarms in mess room and mater& AB cabins

- One (1) SVDR installed on bridge – according to IMOT requirements

- Nautical equipment according to Rules and Regulations, including:

- One (1) bell. - Two (2) clinometers, wall mounted - Six (6) battery clocks, quartz type - One (1) complete set of International signalling flags - One radio/CD (car standard) with two loud speakers is to be fitted in the

bridge. 2.4 SIGNAL AND NAVIGATION MAST

On top of the wheelhouse aft, one mast made of steel for fitting of navigation lights, radar and communication antennas, to be welded to the deck as shown in the G.A. drawing. Special attention shall be applied to avoid extreme vibration in the mast structure. Safety guards in the mast ladder are to be provided. Option: Builder shall propose foldable Aluminum mast. Providing option to minimize the air draft of the tug while operating with big ships or passing low bridges. 2.5 WINDOW WIPERS

The following wipers, to be provided in the windows on bridge:

- Three (3) pairs of window wipers (one pair on each aft window to cover all surface).

- Two (2) window wipers on lateral windows aft.

- Three (3) window wipers (one on each forward window).

Window wipers will be straight line, heavy-duty type. The controls of the wipers shall be installed on the wheelhouse control desk selector enable operate each of them separately. In addition there will be an option to operate with 2 selectors all wipers – one for the fwd and on for the aft ones.

The wipers shall be of variable speed type.

Supply of fresh water for windows washing with two (2) nozzles to each window. Two independents segregations shall be laid (fore &aft) 2.6 INTERNAL COMMUNICATION SYSTEMS

Internal communication talk-back system make AMPLIDAN or equivalent , shall be provided. The following internal communication system to be installed:



- A system of sound powered telephones will be installed in bridge, ECR and in engine room.

- One Internal Communication system (talk-back system) to be provided in the tug to provide communication between the bridge and other spaces on board. This system will have bi-directional order loud speakers to connect the bridge (where one selector loud speaker will be provided in the bridge ceiling) with the following areas on board (one loud speaker to be installed in each area):

- Mess room

- Cabins (4 units)

- Engine room (IP 44)

- Fore deck manoeuvre area (IP 65)

- Aft deck manoeuvre area (IP 65)

- Top of the wheelhouse (IP 65)

- E.C.R. substation

- Workshop

- ER store room

This system to be supplied with 24 V d.c. for emergency situations .

Communication between bridge and ECR (two ways) shall be by two independent devices

2.7 FIRE DETECTION AND ALARM SYSTEM

One fixed fire detection system, make SIEMENS or Consilum or equivalent, to be provided on board. The system shall have valid Classification Society type approvals. This system will be based on detectors in category A machinery spaces and accommodation spaces according to the Rules and Regulations. The detectors will be smoke or heat type and will have push buttons for manually operation. In engine room and in galley, one additional flame detector will be installed. The alarm central for fire detection will be installed in the mess room area, with repeater panel alarm in Bridge. According to the Rules Regulations the alarm system will be distributed in different loops. Besides, an alarm ring system will be fitted for indication of fire alarm and for the general alarm. The system will be activated manually (by officer order in the bridge) or automatically (in case of inattention of fire alarm from the fire detection system after 2 minutes).



The following elements to be incorporate in the system:

Fire alarm push buttons for mounting in wheelhouse and accommodation corridor.

Siren with lamp in accommodation corridor. Horn and flashing light in engine room and workshop. Red rotating lamp on top of the mast. CO2 releasing alarm signal. Ship abandon (7 short +1 large)

2.8 LIFE SAVING EQUIPMENT

The Tug shall be equipped with the following lifesaving equipment complying with applicable Rules and IMOT Regulations:

- 2 Life rafts of 10 persons each

- 12 Lifejackets (with light)

- 2 Life buoy rings 4,5 kg with automatic light

- 2 Life buoy rings 4,5 kg with 27,5 m line

- 2 Life buoys rings with light and smoke

- Survival craft portable radio

- 2 Line throwing devices

- 10 Inmersion suits

- 1 Thermal protective aid

- 1 Davit electrically driven to lower boat to the water – The davit shall be fitted as a kit to provide easy dismantling once the rescue boat will not be fitted on board.

- 1 Rescue boat (ridged with foamed collars - 6 persons)

- 6 Hand flares

- 12 Rockets of Red Star

- 2 Smoke buoys (orange smoke)

- Mob signals (light and smoke)

2.9 FIRE FIGHTING EQUIPMENT

The tug’s statutory fire-fighting equipment will comprise with the Rules and Regulations, and to the following:

- 1 Fire and emergency bilge pump (described in chapter 5)

- 1 Bilge and emergency fire pump (described in chapter 5)

- 1 Portable pump



- 1 International shore connection flange portable

- 5 Fire hydrant 40 mm diameter

- 5 cabinet with hose and combined jet/fog nozzle

- 1 Portable foam applicator

- 1 CO2 release station

- 1 Space protected by CO2

- 8 CO2 extinguishers of 5 kg

- 3 Powder extinguishers of 6 kg



- 4 Fire fighting pails with line

- 4 Fireman outfit sets

- 100% Spare charges for extinguishers

- 1 Air compressor for breathing apparatus

- 1 Fire blanket

One special store for loose fire-fighting equipment will be provided on boat deck. Fire fighting shall comply with MSC. 339(91) 2012. 2.10 CO2 SYSTEM

The Tug will be provided with a fixed CO2 fire fighting equipment for machinery spaces according to the Rules and Regulations . The CO2 bottles will be installed in a separate space (outside of the protected engine room). The system to be operated locally and/or from remote control station. 2.11 EXTERIOR FIRE FIGHTING SYSTEM

The following elements shall be fitted for exterior fire-fighting service in accordance with Lloyd’s Register notation or equivalent Classification Society notation “Fire Fighting Ship 1” with water spray:

Two (2) monitors, both for foam-water mixture, with electrical remote control and manual back up for monitor movements. The monitors will be made of stainless steel and bronze. They shall be mounted over the deckhoses in Fwd area (Boat deck); the monitors will be capable of throwing 1200 m3/h of water and 300 m3/h of foam-water mixture each and throw length of min 120 m.



Two (2) centrifugal fire-fighting pumps, each of 1500 m3/h at 14 bar. The pumps horizontally mounted with single stage and single suction impeller.

The casing of the pumps in cast iron and impeller in Ni-Al-Bronze. The shafts will be made in stainless steel with soft gland packing. Each one shall be operated from the PTO of the main engines through a gearbox and a hydraulic operated clutch.

A fire fighting control system shall be installed in bridge. One (1) complete electric remote control system for monitors, remote operated valves, step-up gear clutches and alarm monitoring. All operation and monitoring will be from an integrated mimic panel. There will be remote start/stop for valves and Fi-Fi clutches.

Two (2) step-up gearboxes for driving the Fi-Fi pumps, with built-in hydraulic operated clutch, equipped with oil cooler, filters, gauges and alarm switches. Remote controlled by 24 V DC solenoid and manual operation. Each step-up gearbox shall be flanged on fire pump. There will be remote indication of temperature and pressure for each gearbox in the automation system.

Two (2) elastic couplings between each main engine and gearbox to be installed. The couplings shall be stand alone components.

Two (2) ejectors for injecting the foam generating liquid, one per pump.

At both sides of the main four (4) 65 mm fire-fighting mains and four (4) hoses shall be arranged.

During exterior fire-fighting service operations all outside surfaces of the Tug shall be sprayed with a flow of at least 10 l/min per surface m2. Nozzles distribution shall be accordance to Classification Society.

2.12 RAILING

Railings with stanchions shall be fitted on the tug's deck, bridge deck and wheelhouse top. Railing on the wheelhouse top shall be provided. Storm rails around superstructure. Inside accommodation in alleyways, handrails shall be fitted in ladders and bridge. Each entrance and exit to and from compartment shall be equipped with hand grips. 2.13 NAMEPLATES AND IDENTIFICATION

Plastic or brass nameplates, engraved in English and/or in Hebrew were are necessary shall be fitted to all inside doors of all the rooms, compartments, etc. Brass engraved nameplates to be fitted externally where necessary. Nameplates shall be fitted near hand wheels of all valves and adjacent to all manually operated levers, switches, push buttons and other control equipment.



An engraved nameplate designating Tug's name, Builder and production year shall be fitted in Hebrew and in English. Tug’s Name and Port of Registry plates in Hebrew and in English. Owner's Emblems will be installed.



CHAPTER 3 - ACCOMMODATION 3.1 GENERAL

Accommodation spaces are to be fitted on the main deck, comprising galley, mess room, four (4) toilets and four (4) double (1+1) cabins. The bridge is to be fitted over this main deck.

All wood furniture shall be made from plywood.

All accommodation doors, cabin wardrobes and small galley lockers shall have a master-key system.

The clear height in accommodation measured from the top of the floor to the underside of the ceiling shall not be less than 2.10 m.

3.2 DESCRIPTION OF ACCOMMODATION SPACE

Cabins: Two (2) double (1+1) cabins fitted forward lower accommodation level. Two (2) double (1+1) cabins fitted in the intermediate floor- these cabins shall be fitted with toilet and shower in each cabin. All cabins shall be fitted with one bunk bed and one Pullman bed. Cabins shall have fonoacustic doors.

The bunk bed of 2,000 x 900 mm will have a small shelf in the bulkhead. The mattresses size shall be similar to the bed dimension with width of 90mm at least. The Pullman bed will have similar dimensions as the bunk bed. The bed to be made in plywood and the Pullman in painted steel. Drawers under the beds to be lockable. Each cabin shall have one porthole. Furthermore, each cabin shall have arranged with: Three (3) vertical wardrobes. Each one made in plywood, fitted with door,

metallic bar and a drawer. Doors will be fitted with locks.

One (1) writing desk with drawers in plywood. The writing desk in the Chief Engineer cabin shall be large type and equipped to fit a computer for the automation equipment.

One (1) metallic chair without armrests.

One (1) book shelf in plywood.

One (1) decorative set of curtain with rail and valance over the window.

Clothes hanging hooks.

Decorative ceiling and bulkheads.

Flexible epoxy self-levelling floor 4 mm thick.

One (1) wall clock.



One flat computer (PC) – 24'' monitor: only for the captain and CE cabins.

Mess room: Furniture and equipment shall be supplied with: One (1) dining table with capacity for eight (8) persons (the dimensions as

shown in the G.A. Plan). The table shall have two metallic supports and shall be made in plywood.

One (1) plywood upholstered bench.

One (1) cupboard made in plywood with shelves for mess service utensils on which a TV of 39” monitor, and a DVD player.

One (1) electric coffee machine of 10 cups

One (1) decorative set of curtain with rail and valance.

Decorative ceiling and bulkheads.

Flexible epoxy self-levelling floor 4 mm thick.

The builder is to provide the decorative bulkhead and a removable door between the mess room and the corridor.

Galley:

Galley with the following furniture and equipment:

One (1) industrial stainless steel refrigerator, of approx 260 liter.

One (1) industrial, electric, four-furnace cooker with oven. A red lamp at the galley entrance to be fitted connected to the cooker/oven.

A counter in stainless steel finishing with one basin stainless steel sink, shelves and drawers for storage of galley utensils.

One (1) electrically driven exhaust fan of 900*900 mm, with adjustable speed of the fan.

One (1) electric toaster.

One (1) garbage can in stainless steel with approx. capacity 50 liter in the galley, stowed under the counter.

Decorative bulkheads with finishing in stainless steel.

Decorative ceiling with finishing in stainless steel.

Ceramic non-slip tiles floor.

Twelve (12) small personal lockers.

One (1) toaster oven

Microwave of 20 liter capacity.



Toilets:

The toilet in main deck accommodation will have one (1) toilet bowl, one (1) porcelain wash basin with mirror and one (1) shower with curtain- The design goal for the shower size shall be 900X900mm as a minimum net size. There shall be also one towel holder, one soap dish, one toilet paper roll holder, and clothes hooks on the entrance toilet door. The toilet shall be lined with decorative bulkheads and ceilings. Ceramic non-slip floor, with suitable sealing to avoid water leakages in the floors, shall be provided. Electric heater shall be provided.

The toilets in main deck engine room casing will have one (1) toilet bowl, one (1) porcelain wash basin with mirror. There shall be also one towel holder, one soap dish, one toilet paper roll holder, and clothes hooks on the entrance toilet door. The toilet shall be lined with glass fibre. Ceramic non-slip floor, with suitable sealing to avoid water leakages in the floors, shall be provided. The washing machine of 6 kg and 6 kg tumble dryer will be fitted in this toilet.

The two (2) toilets in intermediate deck accommodation (Captain and C.E cabins) shall include in each toilet the following: one (1) toilet bowl, one (1) porcelain wash basin with mirror and one (1) shower with curtain, one towel holder, one soap dish, one toilet paper roll holder, and clothes hooks on the entrance toilet door. The toilet shall be lined with decorative bulkheads and ceilings. Ceramic non-slip floor, with suitable sealing to avoid water leakages in the floors, shall be provided. Electric heater shall be provided.

The toilet bowls, wash basins and shower use fresh water. The wash basins and shower shall be connected to the heater to provide hot water.

Suitable scuppers in the floor of shower and toilet rooms will be provided.

Corridors:

Decorative bulkheads and ceiling Flexible epoxy self-levelling floor 4 mm thick.

In the accommodation the following panels will be installed: - Fire detection and alarm system

- Air conditioning control

Bridge:

Navigation and communication desks.

Propulsion desk – Split into two (2) desks – one for the steering control and the 2nd for the throttles.

Navigation and communication desks arrangement shall be approved by the Owner.

As much as practical – all instruments shall be "touch screen" type.

Bridge desks shall be faced with plywood.

Blinds fitted in all wheelhouse windows (except in the roof windows).



Option: Active and adjustable anti reflection system embedded in the bridge windows.

Total thickness of the wheelhouse windows glasses shall be not less than 25 mm (except in the roof windows glasses to be 10 mm as minimum)

All bridge windows shall be installed with inclination to avoid drops accumulation and direct sun reflection.

One (1) high class pilot chair shall be installed in the bridge. Rails to be fitted in split desk configuration.

Plywood lined in bulkheads.

Decorative ceiling.

Rubber tiles floor.

One (1) metal waste paper basket.

Hand grips on desks side and attached to the bridge panels.

Stores: Shelves and lockers in main deck/boat deck store. Shelves in paint store – The paint store shall be in size of not to exceed 2m2.

3.3 LOOSE ACCESSORIES IN ACCOMMODATION

In each cabin two (2) mattresses.

One (1) metal waste paper basket in each cabin, one (1) in each toilet and one (1) in the mess room.

One (1) textile loose carpet approx. 1000 x 400 mm in each cabin.

One (1) garbage can with approx. capacity 50 l in the galley, stowed under the counter.

3.4 INSULATION, FLOORS, BULKHEADS AND CEILINGS

3.4.1 Insulation

The exposed surfaces of the galley, mess, cabins and bridge will be insulated with rock wool or similar. The insulation to be according to Rules and Regulation, Classification Society and to IMOT requirements.

Certificated fireproof materials or certificated fire retarding materials, for service under tropical conditions, will be used.

The Builder will design the insulation solutions to fulfil the required vibration and noise levels in accommodation.



To minimise noise levels in accommodation, all machinery spaces ceiling area will be insulated. Scheme of insulation shall be guided by Noise and Vibration prediction report done by well known and experienced acoustic company, pre-approved by the Owner. These reports shall be subjected to the Owner approvals as part of plan approvals for the insulation plan.

3.4.2 Floors

The floors in accommodation will be floating floor type, in order to minimise noise in these areas.

The floor in Bridge shall be floating floor type. Decorative floor covering shall be approved by the owner.

All material in floors will be according IMOT and Classification Society regulation regarding fire prevention.

The machinery space zone will have an aluminium floor with angular supports. The floor in the engine control room shall be floating floor type.

Where necessary covers will be provided for access to valves, strainers, manholes etc.

3.4.3 Bulkheads and Ceilings

The accommodation decorative bulkheads will have the appropriate insulation to meet IMOT and Classification Society requirements.

The decorative bulkheads and ceilings shall be sandwich type panels of 70mm at least thickness between cabins, of 50 mm thickness, made of two sheets of rock wool with air space in between. Bulkhead panels shall have metallic plate on both sides. The bulkhead panel plate, which shall be facing inside the accommodation, shall be covered with a decorative sheet of PVC, except in galley. In the galley, the bulkhead shall be covered with sandwich panels which are facing inside shall be covered by stainless steel sheet AISI 316L of 0,5 mm. Galley working desk/platform and 600mm wall above it shall cover with composite marine material. To minimise noise levels in accommodation on main deck, the decorative bulkheads shall be mounted over the floating floor by means of U-shaped battens or profiles with rubber or felt inlay. Laterally at the top, these decorative bulkheads, are to be mounted by resilient suspenders (rubber or similar) to the structure. The ceilings shall be acoustic type panels, made of rock wool, lined with metallic plate in one side, and shall be 1 mm perforated metallic plate in the internal side (side on the top of the accommodation).



The ceiling panel plate, which is facing inside the accommodation, shall be covered with a decorative sheet of PVC, except in galley. In the galley the ceiling sandwich panels which are facing inside, shall be covered by stainless steel sheet AISI 316L of 0,7 mm. The ceiling shall be removable for maintenance reasons. Decorative ceilings in accommodation shall be mounted with resilient suspenders (rubber or similar) to the structure, in order to reduce noise levels in accommodation.

3.4.4 Entertainment System – Option

The Builder shall supply in each cabin and in the mess room a Bluetooth Speaker. Each speaker will be equal or similar to Bose SoundLink Mini Bluetooth Speaker.

The speaker connects wirelessly to Smartphone, tablet or other Bluetooth device. The speaker will have rechargeable lithium-ion battery. Auxiliary port to connect other audio sources, like and MP3 player. USB port to allows software update to ensure ongoing Bluetooth device compatibility.

3.4.4 Internet Network – Option

The tug shall have an internet wifi network. The internet wifi network shall be in crew cabins, mess room, wheelhouse and ECR. The Builder shall install every devices necessary to have wifi network and enough speed. The internet wifi network shall have:

- Router with connect a USB card 3G/4G net and RJ45 input to OnShore Connection

- Wifi Extender Antenna - Cabling SFTP CAT6 Halogen Free

3.5 DOORS, PORTHOLES AND WINDOWS

3.5.1 Doors

The exterior access doors and the Engine room doors shall be metallic and watertight. The inside fonoacustic doors shall be of sandwich type panels as the bulkheads, and will meet the IMOT and Classification Society requirements regarding fire insulation. All doors will have retaining devices. Spring closing devices with hydraulic brakes shall be provided for all outside doors giving access to accommodation, sanitary spaces and to inside doors in engine room. Main entrance door to accommodation shall be wider than the others doors on board.



Steps of non-skid plating shall be provided at all sills, exceeding 450 mm height (in both sides of the door). On the main deck, a sill of minimum 230 mm high shall be provided to outside doors. All other sill heights shall comply with IACS Regulation and Resolution MSC.143(77) Reg. 17 Welded anti-slip beads shall be provided at the outside doors on deck. Internal doors and frames in accommodation (where floating floor and floating decorative bulkheads are fitted) shall be integrated in the floating system instead of mounting in the structure. Interior entrance door to accommodation will be of acoustic type to provide noise attenuation as per required noise levels. The minimum clear dimensions of cabin doors shall be 1.95 x 0.70 meter. All internal doors will have ventilation grills. All deck doors and wheelhouse doors shall be provided with securing hook for open position. All deck doors and wheelhouse doors (Weather doors) shall be made of marine aluminum – and shall be Classification Society certified. Automatic hydraulic closing devices will be installed in the accommodation doors.

3.5.2 Windows

The portholes shall be openable, with tight covers and fitted with safety "SECURIT" type glass on rubber frames. The portholes in accommodation have approximately a diameter of 450mm clear dimensions, except in the mess room and galley where it is required to mount 550 mm clear dimension (Subjected to Classification Society approvals as escape route), number and location according to the final approved G.A. Special dimension windows shall be mounted in the bridge. Glass thickness of the bridge windows shall be not less than 25 mm.

All accommodations windows glasses shall be covered with high grade anti- reflection film.

Accommodation's windows frames shall be made of marine aluminium.

All openable windows shall be equipped with stainless steel mosquito net.

The bridge glass panels shall be covered with an anti-reflection film and eight of the windows have appropriate window wipers (defined in Chapter 2).

Option: Active Anti reflection windows system for bridge – with controllable dimmer.

The wheelhouse doors will have window – covering most of the doors area (top to bottom).



Gutter ways for water drainage shall be provided at all windows. Rain deflection plates in all portholes are to be provided.

Window stoppers to be fitted in all cabins.

3.6 STAIRS, STANCHIONS, SCUTTLES AND INSPECTION HATCHES

The exterior stairs and those of the machinery space shall be of anti-slip steel. Steel stairways will be fitted as shown on the general arrangement plan. Steel stairways will have bulb flat strings and non-skid treads welded to the strings. Handrails will be of galvanized piping 32 mm diameter. As far as practicable the stairways will not be less than 600 mm wide and the angle of inclination will not exceed 50 degrees from the horizontal. External stairs will be made removable and be galvanized, including stair railings. Ladders will be fitted as defined in the final general arrangement plan. Ladders will be 300 mm wide, of strong construction, secured top and bottom with treads of 25 mm square bar. The railing will have galvanised steel stanchions and pipe hand railing. All the store access hatches will be watertight, with outside closing device and easily operated inside opening device. Hatches covers shall be made from Marine Aluminium. The access hatches from the main deck to the below main deck compartments will have a coaming and an inside opening device (Stainless steel AISI 316L mechanism). Height of each coaming according to Classification Society requirements. Covers shall be made from Marine Aluminium. Bolted assembly hatch shall be provided for dismounting heavy and big equipment from ER. Size of this hatch shall be determined according to the size of the biggest equipment part that need to be replaced/repaired during overall.

All tanks will have tight inspection hatches, bolted to allow access to the inside.

3.7 AIR CONDITIONING

Centralised system All the cabins, E.C.R and Bridge will be air conditioned for summer and winter (refrigeration cooling and heating).

The calculations of the air conditioning shall be made according to ISO 7547 in accommodation.



In addition, the calculations of the air conditioning in the bridge shall be according with the procedure of “spot cooling system”; considering 65% thermal load of the worst heat loss.

One (1) Air cooled refrigeration unit connected with one (1) single duct, serving the accommodation, shall be fitted on board. The unit shall be split unit – Novenco type or equivalent subjected to Owner's approval.

Compressors shall be air cooled type. The unit is designed to produce the 120% of the total required power, according with the general conditions below.

All AC rotating units shall be installed on shock observers.

The air conditioning fan shall be of two speed type.

In each cabin local thermostat shall be installed to control the climate in each area (cabins and mess room).

In general conditions, 30% of the total air treated shall be recirculated. Capacity of fan in air conditioner and air louvers to air conditioning room is calculated by using 100% fresh air.

The design conditions are as follows (the "Design Conditions"):

Summer Winter

Outside temperature 37º C -5º C

Outside Relative Humidity 85% 85%

Inside Temperature 24º C 22º C

Inside Relative Humidity 50% 50%

The AC units shall operate properly in all outside temperature.

Each system components shall be equipped with local starter in addition to the main remote operation panel in the Accommodation.

The number of air-changes per hour for the air-conditioned spaces is based on the heat load in summer time and transmission heat loss in winter time. Under all circumstances, from the total capacity of air supplied to cabins and a minimum of fresh air of 30 m3/h per person will be supplied to cabins and a minimum fresh air 30 m3/hr per person to mess rooms.

Heat transmission calculations are based on ISO 7547 Air-conditioning and ventilation of accommodation spaces on board ships, the Design conditions and the calculations.

The central electrical panel to control the air conditioning units and ventilation for accommodation shall be installed in the accommodation. Control panel to be approved by Owner.

The air conditioning equipment will have thermostats, one for each compartment.

Special consideration shall be given to avoid noise and vibration transmission to living quarters.



Equipment for air conditioning system installed on board by resilient mounting with cylindrical or conical rubber system.

Butterfly -high quality- regulating dampers will be provided.

A.C. system in engine control room.

One split unit shall be installed as a dedicated unit for the E.C.R., make by Toshiba or equivalent subject to Owner's approval and cooled by air. The unit capacity shall be approximately 30,000 BTU.

The units shall be designed for marine applications.

This unit only supplies cold air.

Split system for the bridge

Two (2) air conditioning units split type shall be installed in the bridge, each one of approximately 6.000 Kcal/hour (24,000 BTU).

All split A.C. units shall be Toshiba/Carrier product or equivalent subject to Owner's approval.

The units shall be designed for marine applications.

3.8 MECHANICAL VENTILATION FOR GALLEY & SANITARY SPACES

Mechanical ventilation by means of exhaust electrical ventilators to be provided for galley and sanitary spaces on main deck. In galley one (1) industrial electrically driven extractor to be installed above the cooker to provide air changes according to Rules and Regulations. In each sanitary space, one (1) common electrical extractor to provide air changes according to Rules and Regulations to be installed. 3.9 Vacuum cleaning system

Central Vacuum cleaning system to be provided in accommodation spaces. One (1) vacuum socket in the mess room, One (1) in each cabin and One (1) in the Galey. The system shall start automatically when the hose is plugged into the wall-mounted hose socket. The system shall comply with IEC 60092 The vacuum unit shall contain: Control box. Automatic self cleaning Filter with dust container – min 35 litters. Plugs and flexible hoses for each wall mounted hose socket. Electric motor and ducts to provide air flow of at least 300 m3/h



CHAPTER 4 - PROPULSION PLANT

4.1 PLANT DESCRIPTION

The propelling machinery will consist of two non-reversible supercharged marine diesel engines, four stroke, and single acting direct injection.

The main engines will drive two fwd tractor propellers (Voith tractor concept).

The two systems shall be completely independent from one another and shall continue normal operation also in case of breakdown of electrical power supply.

All vital propulsion auxiliaries shall be attached to the main engines.

The machinery plant shall conform to Classification Society requirements and to Rules and Regulations for unattended engine room, Class notation UMS.

The propulsion plant shall be suitable for operation in tropical conditions with seawater temperature of 37º C, ambient temperature of 45º C and 60% relative humidity.

The engines will be primarily started, operated and controlled from the wheelhouse, which will have all the necessary control and indication functions.

Steering transmission from the bridge to the propellers has to be mechanical for safest operation and simplest maintenance.

Control of the propellers from the bridge has to be suitable. Operation direction of handles must be identical with reaction direction of the tug regardless in which direction the tug is sailing.

The whole function of propulsion and steering system has to be independent from any secondary or auxiliary power supply.

4.2 MAIN ENGINES

Two (2) four-stroke turbocharged diesel engines with intercooling, of about 2.650 Kw / (700-1000 rpm) at 100% MCR. The engines shall be cooled by fresh water in a closed circuit through plate heat exchangers.

The engines shall be integrated with an electronic governor and actuators.

The engines shall have a pneumatic start and to be prepared to burn G.O.

The propelling engines shall be coupled to propelling equipment specified below.

Each diesel engine shall have a power main (PTO) aft to couple a fire-fighting pump. The speed and power of the power mains shall be determined by the characteristics of the pumps, as defined below.

Each diesel engine shall have the built-in auxiliary equipment mentioned in the specification. It shall have a control panel in the engine room (Not attached to the ME) and another one in the Bridge.

It shall be possible to start and stop the engines from the engine room local (Not attached to the ME) and from the control panel and from the Bridge.



The engines shall have the following characteristics:

- Fuel system:

The engines shall burn GO. The fuel is to be injected by means of an individual fuel injection pump. Fuel booster pump shall be driven by the engine. Duplex fuel filter is to be provided.

- Lubrication system: The crankcase complies with Classification Society requirements regarding trimming and heeling angles. Each engine is to be fitted with:

- Oil pan including magnetic strainer

- Double non-return valve between built-on pump and stand-by pump

- Pressure regulating valve

- Built-in lubrication oil pump

- Lubricating oil automatic filter with safety filter.

- Thermostatic valve elements for lubricating oil temperature control.

- Pre-lubrication /stand by oil pump.

- External filter with condensation water observer capabilities/oil purifier.

Starting system: The engines have a pneumatic start at 30 bar. Each engine is to be fitted with:

- Air starting motor.

- Turning gear with electric motor, enclosure IP54, insulation class B

- Remote control device with 15 meter cable, for electrical turning

There shall be also a reduction valve for each engine and one starting panel.

Two (2) starting air containers of about 1250 litter at 30 bar are to be supplied – final dimension and capacity as required by the Classification Society requirements.

- Speed control system Electronic speed control with mechanical hydraulic actuator shall be installed

Cooling system: Cooling system shall be separated in two systems:

- High temperature (HT) cooling water system

- Low temperature (LT) cooling water system

The HT cooling water system of each main engine shall be refrigerated by a FW/FW stainless steel plate heat exchanger, which shall be cooled by FW from the LT cooling system. Thermostatic valve elements for temperature control of the HT system are to be installed. Electric engine pre-heaters with circulation pump shall be provided.

The LT cooling water system of each main engine shall be refrigerated by SW/FW titanium plate heat exchangers, sized to absorb the heat generated by the main



engine at 100% of the MCR, plus the heat from the FiFi step-up gearbox cooler and propellers lub oil cooler of their own side (if any).

Each engine shall be fitted with two fresh water pumps (one for the HT cooling system and other for the LT cooling system) and one PTO-coupled mechanical sea water pump.

The thermostatic valves shall be installed in the cooling circuit, not built-in the engines.

a) Charging air system: Each engine shall be mounted with two-stage air cooler with tubes of aluminium brass.

b) Turbocharger system: Each engine shall be equipped on aft end of the engine with a turbocharger for constant pressure turbocharging. Maker and model shall be approved by the main engines maker and by the owner.

Exhaust system:

The exhaust pipes shall have gas silencers with spark-arrestors, with noise reduction of at least 35 dB(A).

The exhaust system of each main engine shall include:

- Exhaust gas compensator for mounting in exhaust gas system

The exhaust pipes are to be resiliently mounted.

The engines will comply with IMO REVISED MARPOL, Annex VI, Reg. 13 (4)TIER2 and NOx Technical Code 2008 SOLAS covering.

- Engines protection and control system:

The engines shall be equipped with control and protection system, designed and made by the maker. Grouped alarms connected to the main automation system, are to be provided. The engines shall be equipped with electric governor.

Instrumentation, indications and alarms shall comply with Classification Society requirements and shall be approved by the owner.

Slave instrument panel (OP-E slave) for installation in engine control room to be installed.

Alarm and monitoring system:

Built-on monitoring system for serial transmission of alarm signals to the ship alarm plant shall be provided.

Sensors according to the requirements of main engine maker and the Classification Society requirements shall be provided.

Oil mist detector shall be provided.

Exhaust gas temperature sensors are to be provided.



Safety system: Built-on safety system for serial transmission of alarm signals to the ship’s alarm plant shall be provided. Sensors according to the requirements of main engine maker and the Classification Society shall be provided.

The provided system shall shut down in case of the following situations:

Engine Overspeed

Engine lub. oil press. low

HT cooling water temp. high

HT cooling water press. low

Oil mist in crank case

Other – according the Classification Society.

The provided system shall start blocking in case of the following situations:

Turning gear engaged

Pitch and propellers steering not in "0" position (If CP propellers are installed).

Bridge safety start/stop panel, console mounted, comprising:

Illuminated instrument - engine rpm

Indication lamp - shut down

Illuminated push button - reset shut down

Illuminated push button - cancel shut down

Buzzer - shut down indication

Illuminated push button - reset buzzer

Illuminated push button - lamp test

Illuminated push button - restart engine

Illuminated push button - emergency stop

Dimmer - increased/decreased light

Control room start/stop panel, console mounted, comprising:

Instrument - engine rpm

Indicator - shut down

Illuminated push button - lamp test

Illuminated push button - stop engine

Indicator - reset shut down



Indicator - cancel shut down

Indicator - start blocked

Illuminated push button - start engine

Additional propellers control equipment to bridge safety panel:

Mounting and power take off:

The engines are to be resiliently mounted on board in order to reduce transmission of vibration to the hull structure.

Monitoring system to monitor the resilient mounting static deflection shall be provided. The system shall transmit the actual deflection of each resilient mount compared to the original situation and send an alarm once exceeding 70% of the permissible deflection. The system parameters shall be approved by the Main Engine maker.

Each diesel engine shall have an aft power take off (PTO) to couple a fire-fighting pump through a gear transmission.

Each engine is to be equipped with a main power take off forward to drive the propulsion unit. One elastic hydraulic coupling for the proper functioning of the propulsion system, taking into account the resilient-mounting of the engines, is to be fitted in this forward PTO.

4.3 PROPELLERS

The Tug is to be propelled by two complete propelling sets based on Voith tractor propulsion concept, from the output of the diesel engines indicated in part 4.1 to the propellers, with mechanical operating control from the Bridge. For an optimized adaptation of conditions in this operation range c.p propellers are required. Propellers blades materials shall be made of cavitation's resistance stainless steel. One lub oil cooler shall be mounted on each of the propellers. Cooling shall be done by L.T. fresh water pumped by a pump built on the main engine. The cooling system is to be according to propellers maker approval. The control stand shall consist of one steering-wheel and speed levers. Necessary push-pull rods and bearings for the mechanical connection between the controls stands and the Propellers and the synchronization of the control stands in between Also a set of push buttons allows the use of tree pre-sets main engines speeds, an the possibility to increase/decrease the engine speed continuously. The control stand and rods shall be suitable for elastic mounting. The control stand shall be resilient mounted. The transition of the steering's control from full ahead to full astern shall last less than 10 seconds, under full load operation.



A start locking system for main engines when the propellers turning gear is engaged will be provided. The stowage position for the turning handle bar to be fitted. The complete propulsion system shall be checked by the engine manufacturer with regard to torsional vibration in order to guarantee satisfactory operation. Torsional vibration calculation is to be approved by the Classification Society. No bared speed/rpm shall be accepted under normal operation mode.



CHAPTER 5 - AUXILIARY MACHINERY 5.1 GENERATING SETS

The Tug’s electricity shall be produced by two sets of auxiliary generators, each comprised by a diesel engine, of about 200 kVA, 400V, 50 Hz alternator that shall have all their auxiliary accessories. The final generator sets power shall be determined by the Builder and subject to Owner's prior approval, after the electric load analysis (normal and emergency ELA) Each one shall have a 35 db silencer with spark arrestors. Diesel engines shall be started pneumatically. Pneumatic start pressure shall be installed according to Maker’s instructions, (the generator sets will have also an emergency manually operated start), and shall be provided with pressure regulating valve. One of the generators is prepared for dead ship start with an hydraulic manual starter. Each auxiliary engine is to be cooled by sea water circulating fresh water through a dedicated SW/FW tubes heat exchanger. A pump built-on the engine shall drive this fresh water. A seawater pump built on the engine will be fitted. The diesel engine, the coupling and the alternator shall be installed rigidly on common foundation. The generator sets and its foundations will be mounted on board by using resilient mounting by means of conical or cylindrical rubber system. 5.2 COOLING EQUIPMENT

The cooling system of main engines and propulsion equipment is to be made with fresh water through plate heat exchangers. The SW/FW plate heat exchangers shall be fitted for a sea water temperature of 37ºC and fouling margin of 10%. The following plate heat exchangers shall be installed: - One (1) FW/FW stainless steel plate heat exchanger for the HT cooling system

of each main engine at 100% of the MCR. The water shall be cooled by fresh water of the LT cooling circuit.

- One (1) SW/FW titanium plate heat exchanger for the LT cooling system of each main engine at 100% of the MCR, FiFi step-up gearbox cooler and propellers lub oil cooler of their own side.



In addition:

- Two (2) electrically driven sea water pumps shall be installed. Each pump will have enough capacity to serve all sea water consumers of one propulsion line.

- One (1) electrically driven fresh water pump for HT system to serve as stand-by to the fresh water circulation pumps shall be supplied for both main engines.

- One (1) electrically driven fresh water LT system to serve as stand-by to the fresh water circulation pumps shall be supplied for both main engines and auxiliary equipment of its shaft line.

- Two (2) electrically driven sea water for the air conditioning cooling of suitable capacity.

The Builder is to provide and install on board the following additional item/systems:

- Temperature and pressure indication for sea water after the attached pump, locally and remote in the automation system computer.

- Local temperature readings in the inlet sea water and fresh water circuits of

the heat exchangers as well as in the outlet pipes.

- Back washing circuit in the heat exchangers is to be provided. 5.3 CONTROL AND INSTRUMENTATION

- Control system: Machinery Alarms shall be connected to the automation system through BUS link. Also required signals are connected to the PMS, installed in the main switchboard. Alarms and shut down comes shall be installed on the own Genset control panel.

- Instrumentation:

Instrument panel, engine mounted on shock absorbers, facing ship centreline- with good man machine interfaces, comprising:

- 1 mechanical lub. oil pressure gauge - 1 cooling water temperature thermometer - 1 electrical RPM indicator, including drive and tacho generator - 1 local digital exhaust gas pirometer - Running hours counter - Start/stop buttons - Selector switch local remote start including restart interlock - 1 mechanical type sea water pressure gauge, loose - Other indications required by the Rules, Regulation and the Classification Society

requirements.



The control panels will not be placed over the generator. 5.4 COMPRESSED AIR EQUIPMENT

A compressed air system shall be provided for starting of diesel engines at 30 bar and for general services at 7 bar. The following equipment shall be fitted on board for this system:

- Two (2) electrically driven, air cooled, compressors. Each compressor shall include control panel with starter, air suction filter with silencer, air safety valve (high pressure and low pressure), high pressure gauge, built-in cooler and flexible coupling.

- Compressors capacity and power shall be determined by the Rules, Regulation and the Classification Society requirements (Starting main engines and diesel generator air receivers capacity).

- In any case the minimum capacity for each compressor shall be 50m3/hr

- Two (2) reduction valves, of 30 to 7 bar.

- Two (2) starting air bottles, for engines and general services of 30 bar (Final air bottles volume shall be approved by the main engines manufacturer). The capacity of the bottles complies with Classification Society and SOLAS requirements. These bottles shall be provided with filling valve, safety valve, discharge valve and automatic water purge based on electrical timer.

From the air bottles, there shall be a main pipe designed for 30 bar to start the engines. A secondary pipe from the reduction valve shall be installed for general services at 7 bar (services such as auxiliary valves on deck or machinery room). Another third reduction valve provides reduced air from 7 to 1.5 bar to the sea chest blowing . Piping materials and schedule – please note chapter 6. Compressed air piping shall be mounted above floor plates – as much as practicable. 5.5 DIESEL OIL AND LUBRICATING OIL EQUIPMENT

5.5.1 Diesel oil transfer system

A filling main station arranged at suitable location on main deck for loading diesel oil on board through a filter, differential pressure gauges across the filter, a manometer and standard fuel connection fittings. There shall be a statutory oil tray with drainage system to avoid oil spills from the shore filling connection. A collector pipe from this filling main station with valves connecting the several diesel tanks fitted.



Quick-closing valves shall be provided. Valve actuators are to be hydraulics and panel for control of these valves shall be installed as close as possible to the diesel oil tanks. According to the Rules, Regulation and the Classification Society requirements, such panel shall be on main deck - outside of the engine room. Piping for quick closing valves shall be made of seamless AISI316L. The following equipment shall be supplied and installed: - One (1) electrically driven fuel transfer pump. - One (1) manually operated pump to feed, in case of emergency, the daily service

fuel tank. The diesel oil shall be pumped from diesel oil storage tanks to daily service tank using the above mentioned pumps.

5.5.2 Diesel oil feeding system

The diesel engines shall be fed from daily service tanks through a filter, by means of its own built-in pumps. Service tanks shall be side tanks and not double bottom tanks. - One (1) gas oil electrically driven pump to serve as stand-by of the gas oil pumps

shall be fitted for each main engines.

5.5.3 Oil transfer feeding system

Each storage oil tank shall have its own filling pipe. One pipe for discharging dirty oil and sludge to shore, with international connection shall be provided. Each oil storage tank shall be equipped with mechanical tube level indicator – same as for all the gas oil tanks. (In addition to the IMCS sensors) One (1) electrically operated transfer pump will be provided. One (1) manually operated oil transfer pump of to fill the main engines from the storage oil tanks shall be installed. Two (2) electrically driven prelubrication pumps which also shall serve as stand-by to the built-in lubrication pumps, shall be installed (one for each engine). One (1) electrically operated transfer will be provided for propellers oil transfer (between the oil storage tanks to the propellers) In addition:



- One (1) manually operated hydraulic oil transfer pump of 1400 l/h. - Other pumps according the propellers and the main engines makers

recommendations

5.6 PURIFIYING EQUIPMENT

There shall be the following equipment for diesel purification:

- One (1) fuel purifier of min. 4500 l/h (G.O), with an external appropriate feed pump.

- One (1) fuel purifier as back up – capacity according to CLASS SOCIETY rules.

The diesel oil purifier shall be installed in parallel with the diesel oil pumps described in paragraph 5.5, and according maker’s recommendations. One self cleaning filter with condensation water observing capabilities or lub oil purifier, shall be installed for each main engine. This filters/purifier shall be approved by the main engines maker. 5.7 BALLAST, FIRE FIGHTING AND BILGE EQUIPMENT

For ballast, fire-fighting and bilge systems, two (2) electrically driven general service pumps (mentioned in Chapter 2, part 2.6 as fire-fighting pumps) shall be provided.

One of these pumps with capacity of about 40 m3/h for fire-fighting and bilge service and the other pump for ballast service and fire-fighting. Emergency starting is to be remote from the bridge. The sea water shall be provided from the sea chests. Necessary connection between these two general services pumps shall be fitted for ballasting sea water, pump sea water for fire fighting and to empty out bilge. Ballast tank provided fore to have good trimming in all cargo conditions. Sea water from sea chests collector shall be pumped into the ballast tanks using these pumps. A main collector for fire fighting fitted with branches to fire fighting mains in engine room and deck as described in Chapter 2. A bilge manifold collecting bilge suction pipes from aft to forward shall be provided. To this manifold the bilge wells shall be connected. There shall be one (1) ejector to empty the chain locker of approximately 1400 l/h.



To discharge clean water, one (1) bilge separator, connected to the bilge system and to the sludge tank shall be fitted. The bilge separator shall be certified by CLASS SOCIETY . One (1) electrically driven oily water shall be installed. This pump will serve as a back up to the piston bilge pump as to pump out the oily water to shore. Two (2) piston type bilge pump electrically driven of about 5 ton/h capacity each shall be installed in the engine room. With these pumps it will be also possible to pump out the oily water tank and the sludge tank to shore/to intermediate tank. All suction valves shall be connected to grouped manifold in suitable location in ER. 5.8 SANITARY EQUIPMENT

To supply the sanitary water and to treat the black and grey waters, the following equipment shall be fitted: - One (1) hydrophore set with tank of approximately 100 l and two (2) segregates

centrifugal pumps of 4 m3/h at 3 bar for fresh water (one as standby of the other).

- Two (2) 150 l electric heater with the corresponding hot and cold water facilities.

- One manually operated pump of 1,1 m3/h at 2,5 bar for emergency operation of the set described above.

- One (1) sewage treatment plant capacity for eight persons. The plant shall be of chemical type. It shall be capable to treat black water from WCs, grey waters from wash basins and showers. The plant unit shall be certified by CLASS SOCIETY.

Black and grey waters shore discharge pipeline is fitted with the standard discharge connection complying with MARPOL 73/78, Annex IV, Reg. 10. The discharge to shore shall be done by sewage pump of 5m3/h capacity and with an option to pump the sewage with external pump to shore.

The hydrophore set shall be fed from both FW tanks in separate feeding lines-each line connected to its own FW tank. The sanitary water supplies by the hydrophore set. The hydrophore and manual pumps transfer the fresh water from the storage tanks to the hydrophore tank through a non-return valve. The hydrophore pump shall have automatic start/stop system governed by the pressurised tank (manual/auto mode). All hydrophore pumps shall be made of Stainless Steel suitable for drinking water. A main pipe for cold sanitary water shall be provided from the hydrophore tank and there shall be secondary connections to the consumers and to the electric heater mentioned in chapter 3. Hot sanitary water pipes shall be provided from the heater to the consumers.



5.9 SCUPPERS AND SANITARY DISCHARGE SYSTEMS

The upper deck shall be drained through large freeing ports on both sides, forward and aft – size and locations according CLASS SOCIETY rules. The upper deck shall be designed with camber and inclination to provide natural drain through the bulwark port holes. Scuppers shall be fitted on all superstructure decks on position, where water may

collect. 50mm pipes (Minimum) shall be led on suitable corner along house and shall discharge the drainage to the deck below. Striking plate welded to the deck shall be provided under the outlets of each scupper pipes. Suitable drainage from Monkey Island will be provided. All internal scuppers and discharges shall be entirely separate system from the external scuppers. A scupper to be provided in the A/C room/store. Separate scuppers for showers and toilet space in the sanitary rooms shall be provided, positioned in such a way to keep the space dry. All accommodation scuppers and discharges from wash basins, showers, and sinks shall be discharged overboard and to the sewage tank through proper water traps and plugs for water blowing. Discharge from W.C.'s shall lead to the sewage treatment plant. 5.10 ENGINE ROOM VENTILATION

Two (2) two-speed electric reversible axial fans and one extractor shall be installed in order to obtain the required flow. The fans will be resiliently mounted with conical rubber system. Engine room ventilation based on ISO 8861. The total air supply of the engine room to be more than 250% of the air consumption of the main engines at maximum continuous rating plus one auxiliary engine. Necessary flow has been calculated according ISO 8861 As the tug is foreseen to operate in a dust environment with particles of phosphates, ores or coal, effective exchangeable, washable and durable filters shall be installed on all fan inlets. The filters housing shall be made of AISI316L.



The tug electric power will give the capability to operate one (1) fan continuously in Harbor condition and in addition one extractor fan for short time. The losses in air intake filters shall be taken into account. A slight positive pressure in engine room shall be always maintained. Calculation of engine room ventilation will be submitted to Owner approval. The fans and air intakes will be designed for minimum noise. The main air ducts shall be insulated against noise. The air will be well distributed over the whole engine room, with special outlets near engine turbochargers, operating stands and hot spots. Air ducts shall be properly arranged in the engine room, Height of Air ducts from ER floor shall be about 2.2 meter as much as practical. Dampers shall be fitted at the outlets, where found necessary. The ducts should not interfere with traffic or with machinery dismantling. The duct below main, machinery assembly hatch are removable Watertight closures shall be provided for all inlet and outlet ducts, open to the weather, outside of the engine room. Natural exhaust shall be through louvers in the funnels and over deck, far away from air intakes. Supply branch to workshop and store shall be provided. Easy dismantling and inspection of fans will be provided. In case of fire, fans shall be stopped from the outside of engine room. In case of opening the Co2 release panel fans shall be stopped automatically. Impeller material of fans shall be sea water resistant. Fire damper operated from outside of engine room shall be fitted to air intakes with stainless steel pins and non-ferrous bushes. Main engine room air intakes dampers shall be remote operated with manual back up. One spark arrest fan is installed for the emergency battery box/store, and also other for the paint locker



Other fans shall be installed subjected to heat dissipation analyses and accordance with the Rules, Regulation and the Classification Society requirements. 5.11 MACHINERY MISCELANEOUS EQUIPMENT

In engine room, stores and the following equipment shall be installed:

- One beam over each main engine, each one with manual trolley and chain hoist of maximum capacity 1.000 kg. The beam will only cover the length of the engine. This beam shall provide the capability to dismantle one complete cylinder from and into the main engine.

- One beam over each auxiliary engine, each one with manual trolley and chain hoist of maximum capacity 100 kg. The beam will only cover the length of the engine.

- One beam with manual trolley and chain hoist of maximum capacity 500 kg. The beam will used for transporting equipments from in between the main engines (engine room hatch) to the workshop table.

- Two auxiliary beams in line with the main hatch in E.R: , of 500kg, shall be installed

- A suitable number of lifting eyes for the dismantling of the propellers shall be fitted, according to propellers maker recommendation.

- There will be a lifting beam on boat deck aft with a capacity of 0.5 ton to reach the engine room hatch. The lifting beam shall be operated electrically.

- Lifting eyes above each equipment over 35 kg net weight.

- Shelves and cupboards to store materials and spare parts shall be provided in workshop and stores.

- An electric fan with adequate capacity according to the towing winch power pack maker in the deck machinery store room.

- One workshop bench in the workshop-store, with vice, file and drilling machine.

- Main engines to be provided with permanent working platforms- Exact locations shall be determined according to the ME manufacturer and subjected to Owner approvals.

Labels All items of machinery, electric starters, starting air Tugs, service tanks, mountings, gauges etc. will be clearly marked with name plates of brass or Formica as appropriate. They will be fastened with screws of stainless steel or brass. The text will be in English and Hebrew. All machinery items and valves will get a number on the drawings and the same number will also appear on the labels. All pipelines will be marked with colour bands according to their function, and with a coloured arrow indicating the flow direction. Fire, bilge, sea discharges and other safety labels shall be in Hebrew



Positioning numbers for all machinery items will be: 1- Port and Upper; 2-Starboard and Lower.



CHAPTER 6 - PIPING SYSTEMS 6.1 PIPING

6.1.1 General

All piping systems shall be of ample strength, and shall be suitably supported and virtually free from vibration. The pipe runs will have maximum length between flanges or other connecting devices, but the arrangement shall insure that every run can be dismantled without disturbing any item of machinery. Pipeline shall have the minimum of welded sections; where ever longer sections could be used small sections will not be permitted. Non ferrous pipes shall be fastened by means of collars with proofed plastic/rubber packing. All galvanization will be carried out only after forming and welding, all of which to be done by the hot process. All pipes for hot media shall be insulated as specified. All stainless steel pipes should be passivated after welding. Pipe fittings shall not to be fitted over or adjacent electric switchboards. Steel pipes, if bent, will be bent in a cold bending machine. All piping shall be designed for minimum flow resistance at bends taking into consideration pressure losses at the specified velocities and pump characteristics. Pipes and fittings of different materials, where matching, shall be chosen for minimum corrosion effect. All seawater flanges will be connected with flat coaxial electric cables. Corrosion flanges (Sacrificial flanges) shall be installed attached to all sea water cooler and sea water pumps. Pipe connections to resiliently mounted equipment shall be by flexible pipe sections. All lines will have isolation valves for each machinery item, and wherever else is necessary. Outlet valves on fuel oil tanks shall be of the quick closing hydraulically operated type with open/close indication on the operating panel. High pressure pipes (above 10 Kgf/cm2) shall not be routed through the accommodation. Exhaust pipes and all pipes having a temperature exceeding 50º C will be insulated so that the surface temperature will not exceed 50º C, or the ambient temperature plus 25º C whichever is the lesser. All the valves, vents and soundings will be labelled indicating the service. The pipes will be marked with different colours, depending on the service (Standard IMO making rules).



6.1.2 Flow Velocities

The maximum flow speed in the different pipes shall be as follows:

3.0 m/s in sea water pipes, except those of the exterior fire-fighting service that shall be calculated in accordance with the Classification Society.

30.0 m/s compressed air 2.5 m/s light fuel (diesel oil). 3.0 m/s bilge and ballast discharge.

6.1.3 Test Pressures of Piping Systems

All piping shall be tested according to the Classification Society requirements. Where no Class requirements exists, piping with or without valves shall be tested to 1.5 times the design pressure, or 3.5 Kg/cm2, whichever greater, in workshop or on board. Scupper systems shall be tested functionally by filling up the piping with water. Compressed air system shall be tested with soap solution and shall hold pressure for at least two hours. Pipes shall generally be tested with the same medium for which they are intended.

6.1.4 Joints and Flanges

All pipe flanges will comply with respective standard (DIN or equivalent), depending on system conditions, and shall be electrically welded on both sides. Tees, crosses, etc., shall be avoided on steel pipes, as branches shall be welded directly on main pipe for all dimensions of pipes. No joints are to be made inside insulation on pipes traversing insulation. In exceptional cases, portable access to joints through insulator shall be made and marked. Ermeto or screw type with nipple and nut couplings shall be used for pipes up to 32mm. Pipe connections, joints and flanges shall be properly secured to prevent self-release.

6.1.5 Gaskets

Gaskets shall be of suitable material to avoid distortion by corrosion, temperature and pressure effects, etc. Each system shall have its correct gasket

6.1.6 Galvanizing

Where piping systems are specified to be galvanized, assemblies shall be completely fabricated and hot dipped galvanized after all bending and welding (sand blasting or chemical cleaning have been completed). Exceptionally, on joining larger sections, galvanizing damaged by welding shall be repaired with two coats of rich zinc paint. Galvanization thickness and procedure shall be according to ISO standards.



6.1.7 Protection and Cleaning

All piping shall be protected externally against corrosion. Special corrosion protection will be provided for sea water cooling system. Sacrificed anodes or sacrificed flanges shall be considered to critical pipe segments in sea water cooling system. All fuel, lub. oil and high pressure air pipes shall be thoroughly cleaned internally to be completely free from dirt and scale before being fixed in position by knocking the welds, blowing through and chemical cleaning. After the whole systems are installed on board, all oil pipes will first be chemically cleaned then flushed twice with flushing oil. All fresh water pipes will be flushed twice with fresh water. Lub. oil piping shall be pickled and inhibited for protection against corrosion. All oil pipes shall be flushed with flushing oil. Final NAS cleaning requirements shall be according to the machinery maker's requirements. Care shall be taken in storing pipes and during prefabrication. Hydraulic systems shall be cleaned by additional flushing of the system with hydraulic oil.

6.1.8 Fittings and Penetration Pieces

Material of fittings shall be compatible with pipe materials to avoid galvanic corrosion. When pipes pass through bulkheads and decks, three flange stud type penetration pieces shall be used. The central flange is welded to the bulkhead. Number of penetrations to be kept at a minimum. For pipes up to 32mm, heavy gauge galvanized pipe penetration pieces can be used. Piping for air conditioning system will be provided with watertight penetration pieces.

6.1.9 Clips, Supports and Expansion Compensators

No direct contact is allowed between clamps and pipes. A 2 mm proof lining of rubber or plastic shall be provided. Clips and hangers for all piping systems shall be of round steel bar fitted with steel bolts and nuts.

Saddle clips for water lines supply of 22mm or less, lying on wooden or steel bulkheads, shall be of copper. Expansion compensators with an inside sleeve made from St.St. shall be provided wherever flexibility and movement of piping relatively to the hull is required. Flanges to be heavy duty. Corrugated temperature compensators shall be applied in lines as necessary. Compensators for exhaust system shall be of stainless steel.



6.1.10 Strainers and Filters

Final list and position of strainers and filters shall be provided on the approved piping diagrams. Strainers shall be fitted on suction side of all pumps drawing liquids from tanks or sea in order to prevent foreign matters damaging the pumps, or equipment pump is serving, where applicable. Stainless steel filters to be provided in the suction line of each sea water pump except for the FIFI1 sea chests which shall not have filters. These filters shall be rectangular cross section. Fine particles filters, appropriate to system served, shall be installed between the discharge from all fuel and lub oil pumps and main and auxiliary engines. Filter mesh shall be in accordance with Engine Maker’s recommendation. Suitable venting and draining facilities shall be provided for filters, where necessary. Filters area in sea water system will be sufficient to provide the required amount of cooling water.

6.1.11 Valves

All machinery apparatus, tanks, pumps, compressors, heat exchangers, etc., shall have isolation valves fitted. On sea connections and sea chests, isolation arrangements before and after strainer shall be provided. Sea valves after sea chest shall be globe valve. Materials of valves shall be compatible with pipe materials to avoid galvanic corrosion, and be supplied with certificates as required by Classification Society. Valves of different services in the Tug to be hand operated, excepting quick closing valves to have hydraulic actuators. Valves for Fi-Fi 1 equipment to be operated according pneumatically. Valves for Tug’s internal fire fighting system shall be remote operated according with the rules of the Classification Society. Non-return valves shall be used whenever flow reversal is detrimental to operation or safety. Screw down non-return valves shall be used whenever non-flow reversal and positive shut off are necessary. In general, separated closing and non return valves to be fitted. All reducing valves shall be provided with inlet and outlet isolating valves. Remote quick-closing valves in fuel oil lines and for other purposes according Regulations to be fitted. Remote closing from suitable place outside engine room. These valves also to be locally operated. Valves below floors to have easy access through holes with cover in the Engine Room floor. Extended spindles shall be fitted where necessary for the operation of valves. All valves shall be identified with name plates and numbers, as per drawing. All solenoids valves shall be equipped with LED open/close indication.



Valve materials to be used in different systems are specified in the enclosed tables. 6.2 PIPE MATERIALS AND STANDARDS

Pipe materials and standards:

All the sea water refrigeration pipes shall be of hot deep galvanised steel. Option : Builder shall provide quotation for CuNiFe sea water piping system.

The sanitary water (fresh and hot sanitary water) system pipes shall be of copper in engine room, and aluminium with external plastic cover (Certified for marine applications) in accommodation. Penetrations in accommodation in stainless steel

The scupper, shower and wash basin drain pipes shall be of galvanised steel.

The sewage system pipes shall be of galvanised steel.

The compressed air pipes shall be of black steel for low pressure, and stainless steel AISI316L for 30 bar lines.

The sea chests shall have compressed air cleaning devices against marine incrustations and impressed current system as described in chapter 1.

The sea chests shall have galvanised steel grids fixed to the hull with AISI 316 stainless steel nuts and bolts.

Pipe work shall be in accordance with the Builder’s standards. International standards ASTM and DIN shall be applied.

The pipes specified as galvanised shall be hot-galvanised.

The pipes of the different services shall be fitted in such way that they can be disassembled without removing any item of machinery, as much as possible.

Fire-fighting pipes of the Fire Fighting Tug Class 1 shall be galvanised.

All the accessories, connections, valves, etc., of the fire-fighting system pipes carrying foam generating liquid shall BE in s.s. AISI 316L

The pipes carrying fluids at high temperature shall be insulated complying with safety standards.

All the valves, vents and soundings shall be labelled indicating the service.

Tank vents to the atmosphere shall be fitted with a welded socket on deck. It shall be possible to dismantling the air vent heads. The air vent heads shall be lowered below the upper side of the bulwark.

Insulation of exhaust gas pipes shall be finished with aluminium plate.

Ballast piping, passing fresh water tanks, shall be of heavy "C" type thickness, without flange or connection or welding inside ballast tanks.



6.2.1 Pipe Schedules

Pipe schedules will be according with following table:

OD

mm inch mm thick. Specification thick. Specification thick. Specification thick. Specification

15 1/2 21.3 2.77 ASTM 40 STD 3.25 DIN 2441

20 3/4 26.7 2.87 ASTM 40 STD 3.25 DIN 2441

25 1 33.4 3.38 ASTM 40 STD 3.38 ASTM 40 STD

32 1 1/4 42.2 3.56 ASTM 40 STD 3.56 ASTM 40 STD

40 1 1/2 48.3 3.68 ASTM 40 STD 5.08 ASTM 80 XS 7.14 ASTM 160 7.14 ASTM 160

50 2 60.3 3.91 ASTM 40 STD 5.54 ASTM 80 XS 8.74 ASTM 160 8.74 ASTM 160

65 2 1/2 73 5.16 ASTM 40 STD 5.16 ASTM 40 STD 7.01 ASTM 80 XS 7.01 ASTM 80 XS

80 3 88.9 5.49 ASTM 40 STD 5.49 ASTM 40 STD 7.62 ASTM 80 XS 7.62 ASTM 80 XS



150 6 168.3 4.5 DIN 2448 4.5 DIN 2448 10.97 ASTM 80 XS 10.97 ASTM 80 XS

175 7 193.7 5.4 DIN 2448 5.4 DIN 2448 10 DIN 2448 10 DIN 2448

200 8 219.1 6.3 DIN 2448 6.3 DIN 2448 8.18 ASTM 40 12.7 ASTM 80 XS

250 10 273 6.35 ASTM 20 6.35 ASTM 20 9.27 ASTM 40 STD 12.7 ASTM 80 XS

300 12 323.9 6.35 ASTM 20 6.35 ASTM 20 9.53 ASTM STD 12.7 ASTM XS

350 14 355.6 7.92 ASTM 20 7.92 ASTM 20 9.53 ASTM 30 STD 12.7 ASTM XS

400 16 406.4 7.92 ASTM 20 7.92 ASTM 20 9.53 ASTM 30 STD 12.7 ASTM 40 XS

450 18 457 9.53 ASTM STD 9.53 ASTM STD 9.53 ASTM STD 12.7 ASTM XS

500 20 508 9.53 ASTM 20 STD 9.53 ASTM 20 STD 9.53 ASTM 20 STD 12.7 ASTM 30 XS

ND "A" CLASS "C" CLASS

L.P. COMPRESSED AIR

INSIDE FUEL TANK

EXHAUST GAS

GREY & BLACK WATER

SCUPPERS

"D" CLASS

LUB. OIL

FUEL OIL

STEAM & CONDENSATE

FIRE FIHGTING

THERMAL OIL

INSIDE BALLAST TANK

SEA WATER COOLING

FRESH WATER

SEA INLETS/OUTLETS

"B" CLASS

SOUNDING

VENT. PIPES

OVERFLOW PIPES

HEATING COILS

H.P. COMPRESSED AIR

BALLAST

BILGE



6.3 PIPING SYSTEM DESCRIPTION

SERVICE

Particulars Fresh cooling water

Sea cooling water

Ballast Bilge

PIPING:

Material: Seamless steel Seamless steel/*CuNiFe

Seamless steel Seamless steel

Standard: A series C series B series B series

Treatment Black Galvanised Galvanised Galvanised

Insulation: -- -- -- --

CONNECTIONS

Coupling DN<40 Flanged or welded

Flanged or threaded

Flanged or threaded

--

Coupling DN>40 Flanged Flanged Flanged Flanged

Gasket Klingersil Universal

Klingersil Universal



VALVE DN<40

Body: Cast iron Bronze Cast iron (2) Cast iron (3)

Trimming: Ball and axis in stainless steel

Ball and axis in stainless steel



Type Ball Ball Ball Ball

VALVE DN>40

Body Cast iron Bronze Cast iron (2) Cast iron (3)

Butterfly: Stainless steel Bronze Bronze Stainless steel

Axis: Stainless steel Stainless steel Stainless steel Stainless steel

Type: Butterfly Butterfly Butterfly Butterfly

NOTES: Pressure test to be according to Regulations. (1) In overboard discharges the body will be cast steel. (2) In overboard and peak discharges the body will be cast steel. The valves will be

angle valves. (3) In overboard discharges the body will be cast steel. The valves will be non-

return valves. * CuNiFe piping shall be quoted as an optional.



SERVICE

Particulars Compressed air 30 bar

Lubricating Oil Tank ventilation Sounding

PIPING:

Material: stainless steel AISI 316L

Seamless steel Seamless steel Seamless steel

Standard: B series A series Acc. to Rules Acc. to Rules

Treatment Black Galvanised (1) Galvanised (2)

Insulation: -- -- -- --

CONNECTIONS

Coupling DN<40 Flanged Flanged or threaded

-- Welded

Coupling DN>40 Flanged Flanged Flanged or welded

Welded





VALVE DN<40

Body: Cast or forged steel

Cast iron -- --

Trimming: Stainless steel Stainless steel -- --

Type Ball Ball -- --

VALVE >40

Body Cast steel Cast iron -- --

Trimming: Stainless steel Stainless steel -- --

Type: Globe Butterfly -- --

NOTES: Pressure test to be according to Regulations. (1) The corresponding ventilations for oil and fuel tanks are not to be galvanised. (2) Sounding tanks corresponding to fuel tanks and those of other tanks that go

through fuel tanks to be non-galvanised, only in the pipe lengths that are in touch with it.



SERVICE

Particulars Compressed air (7 bar) Fuel

PIPING:

Material: Black seamless steel Seamless steel

Standard: A series A

Treatment Black Black

Insulation: -- --

CONNECTIONS

Coupling DN<40 Flanged or welded (2) Flanged or welded (2)

Coupling DN>40 Flanged or welded (2) Flanged or welded (2)

Gasket Klingersil Klingersil

VALVE DN<40

Body: Cast iron Cast iron

Trimming: Ball and axis in stainless steel Ball and axis in stainless steel

Type Ball (1) Ball

VALVE >40

Body: Cast iron Cast iron

Butterfly: Stainless steel Stainless steel

Axis: Stainless steel Stainless steel

Type: (Globe) Butterfly Butterfly

NOTES: Pressure test according to Regulations. (1) In DN 10 and DN 15 chromed brass threaded ball valves to be used. (2) Joints to valves of equipment will be done with flanges.



SERVICE

EXHAUST GAS (3)

Particulars (1)DN<150 mm (2)DN>150 mm Oil and fuel oil overflow

PIPING:

Material: Seamless steel Rolled steel Seamless steel

Standard: A series A series, 5 mm min. Thickness

A series

Treatment Black Black Black

Insulation: Rockwool Rockwool

Acc to service

CONNECTIONS

Coupling DN<40 -- Flanged or welded

Coupling DN>40 Flanged or welded Flanged or welded Flanged or welded




VALVE DN<40

Body: Bronze Cast steel ---

Trimming: Bronze Stainless steel ---

Type Ball Ball ---

VALVE >40

Body Cast iron Cast steel Cast iron

Trimming: Butterfly: Bronze Butterfly: Bronze Butterfly: Cast iron

Axis: Stainless steel Stainless steel

Type: Butterfly Globe Butterfly

NOTES: Pressure test according to Regulations. (1) Expansion bellows without telescopic bushing. Material: Stainless steel Couplings:

- pipes to pipes: welded. - pipes or expansion bellows: flanged. - pipes or expansion bellows to silencers and to engines: flanged. (2) Expansion bellows without telescopic bussing. Material: Stainless steel Couplings:

- pipes to pipes: welded. - pipes to expansion bellows, silencers, boilers and engines: flanged. (3) External exhaust gas pipes shall be made of stainless steel 316l passivated/electrically polished (Material and corrosion prevention procedure shall be subjected to owner approval)



SERVICE

Fresh Water (Accommodation) (2)

Sea Water

Particulars Cold potable water

Hot potable water Sanitary water (Not applicable)

Fire and deck washing

PIPING:

Material: Aluminium plastic coated

Aluminium plastic coated

--- Seamless steel

Standard: Series A Series A --- A series

Treatment --- Galvanised

Insulation: --- Integrated by plastic cover

--- ---

CONNECTIONS

Coupling DN<40 Acc to material Acc to material --- ---

Coupling DN>40 Acc to material Acc to material --- Welded or elastic coupling

Gasket Klinger Universal

Klinger Universal

--- Klingersil Universal

VALVE DN<40

Body: Cast iron Cast iron --- Bronze

Trimming: Ball and axis in stainless steel


--- Bronze

Type Ball Ball --- Storz

VALVE >40

Body Cast iron Cast iron --- Cast iron

Trimming: Stainless steel Stainless steel --- Stainless steel

Type: Butterfly Butterfly --- Butterfly

NOTES: Pressure test according to Regulations. (1) Hose connection valves to be body and trim of bronze. (2) Engine room and machinery spaces – cooper pipes.



6.4 PUMPS

Generally, all pumps to be delivered according to the maker's standard. Pumps to be self-priming where specified and otherwise where required by the Classification Society. Except where otherwise stated, all pumps will be of vertical type, electrically driven, equipped with mechanical shaft seals and ball or roller bearings. Centrifugal pumps shall have Phosphor Bronze impeller and AISI316L shaft. FW pumps shall be made of corrosion resistance materials (Including housing) The electric motors for pumps will not be overloaded under common working conditions. Screw pumps to have relief valve. Bases for pumps handling oil will be provided with drip trays. Dismounting of pipes for withdrawal of impeller shall not be necessary except for small pumps. Horizontal pumps and motors shall be mounted on a common bedplate. The construction, material, accessories, spare parts, packing, shaft coupling, etc. shall be in accordance with Manufacturer's standard. All displacement pumps to be fitted with by-pass valve on delivery-side with return to suction side. 6.5 HEAT EXCHANGERS

Water velocity in tube shall not exceed the allowable limit recommended by Maker. For plate type heat exchangers, the heat exchanging surface shall consist of a number of corrugated titanium (Sea water) or stainless steel (Fresh water) plates clamped together in a frame and sealed at edges by rubber gasket. The gaskets in plate type heat exchanger to be suitable for the relevant medium and temperatures. Heat exchangers built into machinery or supplied together with equipment shall be according to Manufacturer's standard and shall be minimum space consuming.

6.6 SEA CHESTS AND SEA VALVES

Two main suction sea chests shall be provided for the main cooling sea water pumps. For external fire fighting pumps, two separate sea chests shall be provided. Reinforcement plates on the hull shall be inserted for strengthening. Suitable strainer plates of stainless steel with stainless steel fastening will be fitted. The materials of the sea chests and overboard valves shall be according to CLASS SOCIETY recommendations Air-vent pipes shall be fitted to each sea chest. Easy access to valves to be provided. Sea chests will be cathodically protected by active cathodic protection system. 6.7 VENTING AND DRAINING ARRANGEMENTS

All piping systems shall be properly vented and drained, as specified above. Venting and drain pipes shall be arranged as close as possible, near respective machinery or equipment and led to bilge.



Collecting trays under fuel oil and lub. oil pumps and filters shall be provided and led to the spill tank and to dirty oil tank respectively. Funnels collecting and drain pipes serving sea water, shall be galvanized.



CHAPTER 7 - ELECTRIC PLANT AND AUTOMATION

7.1 GENERALITIES

7.1.1 Miscellaneous

The design, construction and installation for the complete electrical equipment on board will comply with SOLAS and the Classification Society. The main distribution system to be according to the "one wire" electric scheme. Electrical equipment will be, as far as practicable, in accessible sites, in well ventilated, adequately lighted spaces, in which flammable gases cannot accumulate and where it is not exposed to risk of mechanical injury or damage from water, steam or oil. The electrical equipment onboard will be suitable for functioning with environmental conditions of 45 ºC (as temperature inside the local where the equipment has to be fitted). The electrical equipment will be capable to operate efficiently under normal vibration conditions onboard. The power generation and distribution will be designed to assure the specified voltage and frequency in any outfit connection, with the corresponding tolerance. The electrical facilities of the Tug shall supply lighting, power and special services. Voltages, types of current and distribution systems used shall be: - Alternating current, 3-phase, 400V, 50 Hz for power facilities with a three-

conductor distribution system. - Three-phase at 230V, 50 Hz, alternating current, obtained through two

transformers, for lighting, domestic services and special services. - Direct current of 24V from batteries for emergency service and batteries

machinery services, in case of failure of AC supply system. The electrical system will be designed paying special attention in safety, availability and degree of redundancy demanded by the Classification Society. As far as practicable, electric and electromagnetic interference, both radiated and conducted, will be eliminated. Electric machinery enclosures such as general services pumps and lighting in machinery spaces shall be IP-44, other machinery enclosures shall be IP-23, on open decks IP-56; in enclosed spaces and accommodations IP-23. Galley equipment shall be splash proof. Electric motors for deck machinery and generators shall be provided with anti-condensation heaters controlled by the N.C. contact of the contactor, respectively the generator circuit breaker.



Electric equipment shall be provided with terminal box and proper cable entrance gland. All wires without exception shall have end wires (clips). All feeder lines and power consumers shall be protected by molded case circuit breakers connected to the busbars. Lighting sub-circuits and small power consumers shall be protected by miniature circuit breakers connected to the distribution busbars.

7.1.2 Ground Wire Connection.

All external metal parts of electric equipment will be connected to the steel structure of the tug. One of the following systems to be used: - Flexible wiring braid or insulated copper cable. - Additional lead in the feeder cable and connected to connection box or socket. The equipment, which has to be electrically insulated from the metallic structure of the Tug, will be equipped with ground connection using suitable protected flexible copper cable or insulated cable, according the maker of the equipment.

7.1.3 Electric Material Labelling and Marking

Engraved labels over non-combustible material in switchboards, indicating the corresponding service in each element.

7.1.4 Cables

As general procedure, the cables will have a suitable insulation for temperatures up to 85ºC, except in such cases where the Classification Society recommends another type of cable insulation. The installation of cables will be over hot deep galvanised steel plates. The cables will be fixed with metallic fasteners to the galvanised plates. Cables on exposed decks will be over AISI 316L cable trays. Cables used throughout the boat shall be of the approved marine, flame resisting type, halogen free, suitable for the voltage level of the systems in which they are used. Cables for equipment sensitive to electro-magnetic interference such as communication, control automation or fire detection systems, shall be screened in addition. All cables leading from mast, radar, etc. passing through the Bridge deck ceiling and other decks or W.T. bulkheads will be watertight sealed; watertight stuffing boxes will be used. 5 spare cable gland penetrations shall be provided through the bridge deck ceiling (for futures growth) Where non-watertight bulkheads are passed, steel bushings with rounded edges will be used for cable groups or soft metal bushings for single cables.



In decorative bulkheads, suitable plates for installation of cables shall be fitted. When cables were fitted over the decorative panel, these cables shall be protected with plastic commercial covers. In order to prevent damages during the normal cleaning or maintaining works, electric accessible parts shall be avoided. Special cables shall be installed following the recommendations of the corresponding maker. Cables number should be by means of durable name plates attached to each cable near cable gland outside panels. 7.2 SUPPLY SYSTEMS

7.2.1 Supply Sources

The Tug will have the following sources of electric power: - Two (2) main AC alternators driven by diesel engine, both engine and alternator

described in chapter 5.

- Emergency and battery charger, 24V DC, to emergency services. - Shore supply main for A.C. network, described in paragraph 7.8.

- Charger and batteries 24V DC to supply automation and machinery equipment.

The automation 24V supply shall be backed up by two (2) UPS with automatic exchange system.

7.2.2 Batteries

An emergency battery set composed of lead acid batteries shall be installed in the Tug. Other type of batteries shall be approved by the owner and CLASS SOCIETY. Batteries shall be maintenance free type. The battery shall be used for the supply of 24 V d.c. emergency electrical power to the following systems in case of A.C. power failure:

Accommodation and bridge emergency lighting

Engine room emergency lighting.

General alarm and fire detecting system.

Internal communication system (talk-back system).

Alarm and monitoring system.

Morse light.

Non under control lights.

Emergency supply to navigation lights.

External communication system.

Other system according to CLASS SOCIETY rules. Battery capacity will be in accordance with the load balance for at least 18 hours.



7.2.3 Battery Charger

The battery charger will charge a group of batteries having 18 h autonomy, according to the Rules and Regulation, for consumption in the emergency lighting points, emergency services, navigation and communications, as described above. 7.3 GENERATING PLANT

7.3.1 Generating Plant Description

The main switchboard shall be fed by:

- Two (2) generators 400 v, 50 Hz (described in Chapter 5). - One (1) shore connection of 400v, 50 Hz (described in paragraph 7.8)

The operation of the electrical plant shall be as follows:

- One (1) generator set running to supply electricity for the consumers, according with the electrical balance calculations. The second generator set as stand-by. - The generator sets and the shore connection cannot be connected simultaneously to the main switchboard, only for load transfer in automatic position of PMS. - In case of overload of one generator, an automatic disconnection of non-essential services shall happen in the main switchboard. In five seconds the air conditioning compressor shall be switch off, and in ten seconds non-essential galley services shall be disconnected. - After black-out of the installation, a starting of essential pumps (stand-by pumps) shall be done.

7.3.2 Operation of the Installation

Generators connected to the main switchboard. The total electric power shall be supplied by one generator, according to the electrical balance calculations. Selection of generator From the main switchboard or from the bridge the officer can select the running generator. The starting, connecting, transfer of load, load distribution shall be automatically made from the automation system. The system shall have automatic starting of the auxiliary engine on stand-by and connection to bars in case of black-out.



The parallel connection of the auxiliaries shall be automatic upon the officer’s order from the bridge. The load distribution shall be automatic. Overload An automatic disconnection of non-essential services from the main switchboard shall be done in case of overload. Black-out Running with one generator, in case of black-out, the automation system shall start and connect to the main switchboard the second generator automatically. Time to start the main propulsion from dead ship condition shall be accordance with CLASS SOCIETY requirements.

7.4 POWER MANAGEMENT SYSTEM

A Power Management System (PMS) which is able to carry out distributed control of generator sets within the interactive system will be installed. The system shall consist basically of a Generator Unit (GU) and a corresponding Control Panel (CP) for each generator set. The system's maker shall be confirmed by the owner. The application software will consist of two main software units: the generator control software unit and the PMS software unit control the system. The PMS software unit controls and supervises all common PMS functions in the system according to the functionalism of the selected plant mode. The generator set control software unit controls and supervises all local operations and protection of the generator set. The Control Panel (CP) is a slave unit, which operate according to received information from its corresponding GU. The automatic control of generator plant and synchronizing during shore connection -both ways- will be managed by the PMS (Power Management System). Thus, the PMS system will include control of auxiliary engines. The manual generator-shore connection load transfer control will be enabled by a selector switch in the main switchboard independent of PMS automation mode of operation. Each generator set may be selected to be under either:

- Switchboard (SWBD) control, or - Power management system (PMS) control

DG's - Shore Connection Load Transfer The load transfer is handled by the Shore Connection Breaker Control in Semi-Auto or Automatic mode. A manual switch selector will be provided to allow by-passing of the PMS system in case of emergency, in order to synchronise generator to shore connection as well as generator No.1 to generator No.2 and vice versa.



The manual load transfer control, starting and synchronization of each generator will be provided by the Main Switchboard, independent of PMS mode. 7.5 SWITCHBOARDS AND DISTRIBUTION PANELS

General Requirements All switchboards and distribution panels shall be of the dead front type with closed back and shall meet the Classification Society's requirements. All panels shall meet the requirements of the system, as well as the space available for their installation. In any case, the equipment installed within the panels shall be easily accessible for adjustments, repairs and maintenance without danger to personnel. Space for future additions of circuits in the main switchboard shall be provided. The main switchboard shall be provided with an insulated handrail along the front. In the front working area of the main switchboard a certified high-voltage insulation protecting carpet to be fitted. All switchboards and panels shall be provided with a proper nameplate indicating the name, voltage rating, date manufacture and all other pertinent information. A circuit diagram of the panel enclosed in a plastic cover shall be provided within each panel. All signal lamps shall be operated from 24V, through transformers only.

7.6 MAIN SWITCHBOARD

The main switchboard will be placed in the engine control room and will have protection and control devices for the generators and circuit breakers to distribute the power to the secondary panels and starters. The control room will be air conditioned to absorb the heat of the MSB and alarm panels. It will be possible to regulate the relays protecting the generators from overload between 100% and 130% of their rated value and they will have a device to disconnect non-essential services with timer-delay. The outputs of the main switchboard will have magneto-thermal circuit breakers of adequate capacity.

7.6.1 Main Switchboard Structure

The main switchboard will have access from the front side and will be dead front metallic type. Each panel will have metallic doors enough, with rubber joints on all its length in order to assure a suitable closing and to avoid kicks to the frame. The doors shall have mechanic retainers and hinges. The doors will be easily opened without dismantling any other element of the switchboard. The main switchboard will be closed below by metallic plates and will be suitable protected against any risk of damage from water/liquid splashes. Main switchboard shall be fully resilient mounted over a frame bed (Bottom and back side shock observers shall be installed)



7.6.2 Paint

The metallic structure of the switchboard to be painted with an anti-oxide treatment and finishing paint suitable for oil and petroleum spills, according to the maker’s standard.

7.6.3 Bars

The connecting bars will be of electrolytic copper and painted in violet, yellow and green. The joint points will be covered with tin.

7.6.4 Breakers

The generator breakers will be draw-out type. Their breaking capacity will be the maximum short-circuit current at this point and the nominal intensity of the switch will allow the overload relay to act. The automatic circuit breakers of the generators will be activated by springs that will be motor loaded and also manually loaded, which will trip due to:

Overload

Short-circuit

Reverse power (with four seconds retarder)

Low voltage

The auxiliary circuit of the generators’ breakers will feed by the generator itself. The main breakers in the main switchboard shall be SIEMENS or equivalent,

subjected to the Owner approvals. For 400 V services there will be automatic three-pole circuit breakers for more than 63 Amps and switches and fuses up to 63 Amps. For 230 V services there will be small automatic three-pole or two-pole switches. These switches will have tripping devices in case of overload and short-circuit. All the automatic switches of the main switchboard will support the overload and short-circuit current in all their application points and in accord with the Classification Society.

7.6.5 Description of the Board

The main switchboard will be made up of the following panels or outlets: I) Two (2) panels, one for each main generator set.

Synchronisation panel II) Outlet panel 400 V. III) Outlet panel 230 V. IV) Shore connection and transformers. V) Generator set panel. Each section (panel) will be equipped with one draw-out circuit automatic breaker, motorised with suitable relays. VI) Synchronisation panel. This panel will be fitted with the following equipment:

One synchronoscope.

One generator set selector circuit breaker.

Two synchronoscope lights.



One double voltmeter.

One double frequency meter.

Alarm relays according the Classification Society. VII) 400 V panel. This panel will be fitted with outlets with switches. There will be also starter outlets comply with the paragraph with regard to this equipment. VIII) 230 V panel. This panel will be fitted with magneto-thermic automatic breakers suitable to short-circuit current. IX) Shore connection.

- Shore connection: This panel will incorporate switch on signal lighting, signalling for shore voltage and minimum coil for interlocking.

- Lighting trafos: Shall have connection signalling and ampermeter. X) Fire and smoke detection: Inside the board, smoke and fire detectors shall be installed – these detectors shall be connected to the main fire detection system on board.

7.7 TRANSFORMERS

For the electrical supply of 230 v services, two (2) main transformers one in operation and 2nd as stand-by. The transformers shall be 3- phase and its capacity shall be determined by the electrical load analysis (ELA). The transformer shall be of the natural air cooled type enclosed in a sheet steel drip proof enclosure complete with terminals on the low and high voltage sides, cable entrance glands, lifting hook and nameplate. 7.8 SHORE CONNECTION BOX

The shore supply to be one 400 volts, 50 cycles, 3-phase, shore connection box, with the following elements:

- fixed change over switch to select the port side or the starboard side socket - connection signalling lamps-including semi automatic fuses. - 2 x three conductor flexible cable of 25 meter each (one for port side and one

for starboard side) and heavy duty socket at the end, all installed in a metallic box on each side.

Each flexible cable shall be handled to shore by a small manual device (one in each ship side), similar to a davit, foldable to the superstructure. 1x three conductor flexible of 24 meter with sockets on both sides are stored in the Tug. The amperage needed to the shore supply will be determined by the ELA. In any case will not be less than 110 Amp.

7.9 STARTERS AND CONTROL BOXES

The starters will be fitted locally at the machinery or inside of motor control boxes. When the starter is far from the pump (More than 1 meter), start/stop button with running signal shall been installed.



Engine room fans shall have a remote started in the engine control room. The starters installed on board shall have the following equipment:

- Suitable contactor(s) - Soft start (soft relay) to electric motors of more than 5 kW - Thermal relay with single-phase running protection - Motor protection fuses or magnetic protection in thermal relays - Operation fuses - 400/230 v operation transformer - Star/stop push buttons - Working indication lights - Electrical heating switching equipment (if any) - Auto/manual selector

All the circuits will be suitable labelled with the nominal current indication. Motor control boxes/starters will be provided, locally attached or nearby each motor, for the following services:

- Hydrophore pumps - Lub. oil transfer pump - Stand-by S.W. pumps - Stand-by F.W. pumps - Sludge pump - Lub. oil and freshwater cooling pumps - Main fire fighting pumps - Fuel oil transfer pump. - Air compressors - Main engine pre-heaters - Fuel oil separators/purifiers - Lub. oil stand-by pumps - Bilge/ballast/fire pumps - Bilge piston pumps - Towing winch - hydraulic system - Bow windlass - Bilge water separator. - Air conditioning and ventilation - Sewage pump

Contactor boxes for separators, air compressors and air conditioning compressors will be equipped with a running hour meter mounted on the contactor box door. The starter control circuits shall be 230V a.c. supplied from the 400/230V control transformer.

Remote emergency stop switches shall be installed by the fire station on deck within a panel with a breakable glass pane cover. A hammer for breaking the glass pane, under emergency conditions, shall be mounted on the outside of the box. Emergency stop switches for:

The air conditioning and fans system

Diesel and oil pumps

Engine room fans



Both fire pumps (main and spare) shall be arranged for remote starting from the wheelhouse. All control boxes shall be fitted with a suitable nameplate and a control wiring diagram.

7.10 ELECTRICAL PROTECTION

The electrical appliances on open deck (exposed deck) such as switchboard, motor starters and control gears, rotating machines, transformers and rectifiers, heating appliances, socket outlets, switches, connection boxes and instrumentation components will be IP 56. Lighting devices will be IP 55, according to the Classification Society. The following protection will be considered for the equipment inside the Engine Room:

Engines: IP 23.

Main electrical switchboard: IP 23.

Secondary switchboards: IP 23.

Starters fitted in metal boxes having protection IP 23. Anyhow, electrical enclosures of general services pumps and lighting in the engine room shall have IP-44 protection. 7.11 LIGHTING

7.11.1 General Lighting

All external and internal navigation lighting shall be AQUA SIGNAL or equivalent subjected to Owner approvals. Navigation lights shall be LED type. General lighting at 230 V will be supplied from the two 400/230 V transformers above mentioned, with three-phase output. The inside lighting will be fluorescent type, in Accommodation, Engine Room, Workshop and Bridge. All lighting shall be operate locally as well. The control lighting panel to be installed inside 230 v control panel and in a panel in the bridge. Lighting levels in all spaces to meet the IMOT requirements. Red light, incandescent type, are installed on the bridge The exterior lighting will be fluorescent type. In open decks, engine room and machinery spaces the fixtures shall be of the watertight type, protected by a suitable guard against mechanical damage. Store spaces shall be lighted by watertight incandescent fixtures. All toilets shall be lighted by watertight fluorescent ceiling or wall fixture. Deck lights and Floodlights All working stations on deck shall be properly illuminated. Outside deck walk-ways, around accommodations shall be lighted by incandescent lighting fixtures suitably protected against mechanical damage.



The following will be provided: - 1 WT floodlight 1000 W on forward side of deckhouse, directed forward - 4 WT floodlights 1000 W on aft side of deckhouse, directed aft - 2 WT floodlights 500W on aft side – directed to the aft winch working area. - 2 WT halogen lights 200 W – one at each side of the funnel – to illuminate the

End-user’s symbols - 1 WT / FL lamp 18 W above each winch - remaining deck lighting by means of WT / FL and / or WT lamps in such a way

that an average lighting level of 50 lux on main deck level can be achieved The WT / FL lamps are of the IP56 enclosure type Floodlights and deck lights will be switch controlled from the wheelhouse. Main Machinery Spaces All machinery spaces, engine room and workshops shall be lighted by watertight fluorescent fittings. Navigation Lights, Signal Lights and Search Lights The followings shall be supplied and mounted:

The navigation lights The N.U.C. lights The X-mast tree lights The Morse light The daylight signal light (Aldis lamp) Two (2) 1000W searchlights A socket and preparation for the installation of a Suez Canal search light shall

be provided, on forward bow. The search lights shall complies with firefighting rules. Black-out screen (black mate painted) will be fitted at the navigation lights 112.5 deg (IMOT requirement). Signal light for whistle shall be mounted on the signal mast. The signal Morse lamp (360º) will be connected to the whistle so that any whistle signal will also light up the signal lamp. A portable daylight signal lamp supplied by a dedicated 230/24 V transformer shall be provided. One flashing light (yellow) shall be provided on mast – concocted to the bilge flood alarm (Audio and visual alarm).

7.11.2 Small Switch/Socket Devices

Switches will be of approved type where possible flush mounted in accommodation spaces. Switches to toilets and wash places will be weather tight. Switches for ceiling luminaries in cabins will be fitted close to the entrance doors and will be decorative type. Switches for ceiling luminaries in corridors and stairs will be installed in distribution boxes. The toilets will have electric sockets with voltage indication labels. The sockets in accommodation will be two-pole, with ground connection, 10/16 Amps. European type.



Five (5) 220 volt sockets, four (4) 24 volt sockets and a 3 x 400 volt socket will be provided in the engine room. Two (2) 220 v sockets shall be installed in the workshop. One (1) 220 volt sockets, One (1) 24 volt sockets and a 3 x 400 volt socket will be provided in the engine casing – nearby the exit to the pain deck. Sockets inside the engine room and stores will be plastic type. Two 24V sockets will be provided in the wheelhouse. Switches to toilets and wash places will be weather tight. Sockets on weather decks to be avoided – unless specifically required.

7.11.3 Emergency Lighting

The emergency lighting will be supplied from a group of 24 V d.c. batteries and will be capable of maintaining the emergency lighting according to the Rules. It shall comprise lights in vital places of the Tug that will light automatically when the general 230 V A.C. supplies fail. All the lines and panels of this service will be independent from the general lighting system and will be clearly labelled. The emergency lighting panel will be placed in the Bridge. The emergency lights shall operate automatically in case of failure of the main generator. Except for the automatic transfer switch or contactor, no switches shall control the emergency lights. The emergency lighting fixtures shall be fitted with 15W, 24V d.c. LED lights. The engine room shall have the following installed:

One fixture at each generator.

One fixture at the engine room entrance.

Three fixtures at the engine room aft.

One fixtures at the engine room forward.

Two fixtures at the workshop.

Two fixtures at switchboard.

Two fixtures at each of the storeroom

7.11.4 Secondary Switchboards

There will also be secondary distribution panels in the Bridge 230Vac and in the Accommodation corridor (230Vac galley) having a dead front and quick-opening closing devices. Identifications labels will be placed on the circuits indicating nominal voltage. These switches will be magneto-thermal. The bridge 230Vac switchboard will be feed the following elements: Deck searchlights: two halogen searchlights (each of 1.000 W) with Electrical remote control from the wheelhouse shall be installed on top of the bridge. Exterior lighting Navigation light panel line 1.(including anchoring, towing and n.u.c. Lights) Windows wipers Suez floodlight socket Auxiliary services



7.11.5 Navigation Lighting Panel

There will be a double set of navigation lights, since the Tug can sail both forward and aftward. The navigation light panel will be in the Bridge and will have double supply lines, one 230 V from the Bridge switchboard and the other 24 V directly from the emergency batteries. The switchboard will have visual and acoustic alarm to detect failure in any of the navigation lights.

7.1 1.6 Emergency Switchboard in Bridge

The 24Vdc emergency switchboard in bridge, place in bridge desk, will be feed the following elements: Emergency internal lighting Emergency exterior lighting Navigation light panel line 2.(including anchoring, towing and n.u.c. Lights) Navigation equipment Internal and external communication Fire detection panel line 2 Hook control panel Fire dampers Emergency services Bilge flood alarm and flashlight.

7.12 SUNDRY

All switches and sockets shall be European standard. All the starters will have push buttons and indicating lights on the outside of the cover. All circuits will be duly labelled with indication of nominal amperage. There will be a box with the stop push buttons for the engine room fans, fuel transfer pump and fuel and oil purifiers placed close to the quick opening closing devices panel. All cabling lines will be adequately dimensioned and will be calculated to support the nominal load at 45 ºC. Remote level indication for diesel, oil, oily water and fresh water tanks to be provided. The level indicators will have electrical operation. One rotative red signalling light shall be installed on mast for “Fire in ship alarm”. Outside of galley a signal light of “dish heating” shall be installed. In mess room and on mast (that one is rotative) a signal light “bilge very high level in Engine Room” with an independent level switch shall be installed.



7.13 MACHINERY MONITORING AND ALARM SYSTEM

7.13.1 General Description

There will be an integrated automation system (I.A.S.) to control the parameters of the main and auxiliary machinery and those of the other necessary equipment for the correct operation of the Tug's machinery. The alarm system rack will be installed in the Engine Control Room. The alarm system will be in accordance with the Classification Society requirements to comply with the notation mentioned in chapter 0. The system will be based on microprocessor or PLC’s controlled equipment. It shall have presentation of parameters on screens, on LED light panels and analogical indicators, print-outs in printers. Equipment (according maker’s standard) could be equipped with an automation and alarm system, with local control and indication. All these separate systems (if any) will be connected to the I.A.S. by mean of grouped alarms, in accordance to the Rules. The main engines scope of supply shall include a marine control and protection system as standard equipment supplied by the maker. This system make the main engines control. The monitoring system of the main and auxiliary engines shall have a MODBUS ASCII interface for serial transmission of data and alarms to the I.A.S. The IAS shall show in screens the different parameters of the engines. The IAS shall include the temperature exhaust gases measuring system with alarms for deviation from the average and for high temperature. Alarm and safety shall be made from the I.A.S, according with Classification Society requirements. Safeties are included on its equipment. Alarms fitted on machinery will be indicated on a central alarm panel in the engine room and one in the bridge. Remote tank levels for all tanks (pressure sensors) shall be provided and connected to I.A.S. Water tanks position (open/close) shall be provided and connected to the I.A.S. A detailed specification of Alarm & Monitoring system shall be provided to Owner for approval.

7.13.2 Elements of the System

The machinery plant will be monitored and controlled by an Integrated Automation System (I.A.S.) comprising the following main elements:

Microprocessors or PLC’s based control stations Alarms printer in navigation bridge Alarms indication panel and analogic signals reading system in Bridge and E.R.

through monitor screens Alarms repetition mess room and chief eng. And mech. cabins. TFT operator terminal in rack in E.R. TFT colour monitors with graphics screen, one in bridge in Chief Engineer’s

cabin and other in E.C.R.. Laser printer white and black shall be provided for E.C.R.



One repeater grouped alarm panel in bridge One back-up copy of the software shall be provided to the Owner.

7.13.3 Summons to Engineers and Alarms Repetition System

During the un-manned Engine Room periods there will be a Summons to Engineers and alarms repetition system to report to the Duty Engineer of any occurred alarm condition, and to report any engineer required (Summons to Engineers system). The system will be part of the integrated automation system (I.A.S.). There will be panels for these systems in the following places:

Navigation bridge (complete repeater panel)

Mess room (grouped repeater panel)

Chief Engineer’s cabin (complete repeater panel)

Machinery men cabin (complete repeater panel) The panel in Engine Room or Bridge shall have a switch/selector and the necessary pilot signals to enable the officer receiving the alarms to place his selection. When any of the acknowledgement push-buttons is operated, a time count begins to run, in order to allow, in a reasonable time, the engineer to get to the Engine Room, where he shall operate, through a push button, the second alarm or call acknowledgement. If the established time has passed and this second acknowledgement is not carried out, the alarm or call will be repeated, and this time to all the panels. The system shall include a dead-man alarm system in E.R with: - An activation box in E.C.R. -Acknowledge push button and flashing light:-three in engine room.

- One in each machinery store. -One in workshop.

The system shall serve for monitoring the personnel on duty when operating with attended engine room.



Appendix A – Makers List It is hereby clarify that for each item below, equivalent maker may be submitted, subject to the prior written approval of the Owner, at its sole discretion.

Subject/System Makers

Paint International or equivalent

Impressed current system Catellco or equivalent

Windlass, aft Towing winch Steen, Hatlapa or equivalent

Towing hook Wieckhoff-Oelkers-eichler, Ferri or equivalent

Towing synthetic/fiber ropes Samson or equivalent

Fixed fire fighting system Whlhelmsen ships equipment or equivalent

Fire detection system Concillum, Siemens

Davit for rescue boat Davit international,TTS, Palfinger

Rescue boat Zodiac, Viking

Life rafts Viking, or equivalent

External FiFi System Reduction gear with couplings

Kverner, Jason Engineering or equivalent Kumera or equivalent

Metallic doors Winel or equivalent

Window whippers Winn or equivalent

Air condition system Novenco, Carrier or equivalent

Main Engines Wartsila, MAN B&W, MAK, , CATERPILLAR or equivalent

Propellers Voith Schneider, Rolls Royse, Schottel or equivalent

Generators set Liag/MAN ,Caterpillar, Wartsila or equivalent

Main Engines cooling heat exchanger ALFA LAVAL, GEA or equivalent

Starting air compressors Hatlapa or equivalent

Gas oil separator ALFA LAVAL, GEA or equivalent

Centrifugal pumps ALLWEILER,IMO, DESMI, Wartsila or equivalent

Piston pumps Heinrich Behrnens Germany or equivalent

Bilge water separator Detegasa, Wartsila or equivalent

Seawage plant Hamman, Wartsila or equivalent

Engine room fun Chicago or equivalent

Valves Econosto or equivalent

Temperature Regulator AKO Regelusteching GmbH or equivalent

Manometers Wika or equivalent

Thermometers Sika or equivalent

Automation, BNWAS,SVDR,DMCS Totem Plus – Israel or equivalent

Communication equipment

GMDSS A2,MF/HF RADIOTELEPHONE,VHF RADIOTELEPHONE,PORTABEL VHF

SAILOR

EPIRB,RADAR TRANSPONDER KANNAD

NAVTEX JRC

Navigation equipments

ECHO SOUNDER,LRIT SAILOR

RADAR,GPS,AIS JRC

International communication system

SOUND POWER TELPHONES,TALK BACK SYSTEM AMPLIDAN

ORDER TELEGRAPH SCM

Lighting fixtures Aqua Signal or equivalent

Electric system INSTEIMED S.A Spain or equivalent

Fuel injection pump Bosch or equivalent

fuel valve nozzle Bosch or equivalent

Alternator AVK- DevtsehlandGmb & Co KG Neidevlassung Dreiech or equivalent

TUGs 75 TON BP

Appendix A- Section B

DESCRIPTION ASH UNIT DATA0 Chapter 0 :GENERAL

0.1 Manufacture0.2 Country of origin0.3 TUGs model/type

0.4 TUGs designer

0.4.1The designer has experience with design of VSP concept tugs and

successfully delivered in the last 8 years (2008 - 2015):0.4.1.1 VSP concept tugs of above 70 ton BP ≥6 #0.4.1.2 VSP concept tugs of above 50 ton BP max

0.4.2Experience with proven design VSP concept tugs and successfully

delivered in the last 10 years (2006 - 2015) :0.4.2.1 VSP concept tugs of above 70 ton BP max0.4.2.2 VSP concept tugs of above 35 ton BP max

0.3 Bollard pull (see chapter 0.5 , page 10)

0.3.1Bollard pull at 100% Maximum Continuous Rating (MCR) under

standard tropical conditions - Mandatory≥73 Ton #

0.3.2 Draught at BP test ~6.4 m

0.3.2.1 Mximum load

0.4 Climate condition (see chapter 0.2 GENERAL DESCRIPTION, page 9)

0.4.1 Day temperature up to 45ºC Mandatory yes # yes/no

0.4.2 Day seawater temperature up to 37ºC Mandatory yes # yes/no

0.4.3 Humidity range 70% Mandatory yes # yes/no

0.5 Gross Tonnage - Mandatory ≤499 G.Ton #

0.6 CAPACITIES AND DEADWEIGHT

0.6.1

Deadweight in 6.4 m draught - Mandatory The deadweight shall be

calculated deducing the lightship from the summer load line displacement for seawater

density of 1.025 t/m3. The lightweight shall include outfitting and liquids in machinery

piping

≥128 Ton #

0.6.2 Volumes at 98%

0.6.3 Ballast water ~80 m3

0.6.4 Gas-oil ~130 m3

0.6.5 Overflow ~6 m3

0.6.6 Fresh water ~30 m3

0.6.7 Lob & hydraulic oil ~21 m3

0.6.8 Foam ~17 m3

0.6.9 Grey water ~9 m3

0.6.10 Dirty oil ~10 m3

0.6.11 Oily waters ~9 m3

0.6.12 Sludge ~3 m3

0.6.13 Spillage ~1.5 m3

0.6.14 Total 316.5 m4

0.6.15Draught at operational load condition in harbour (~40 mm

trim aft)≤6.4

0.6.15.1 Gas-oil ≥ 90 m3

0.6.15.2 Fresh water ≥ 20 m3

0.6.15.3 Lub oil ≥ 10 m3

0.6.15.4 Foam ≥ 10 m3

0.6.15.5 Fresh water in ballast tanks ≥ 67 m3

0.7 Speed

0.7.1 forward free running speed - mandatory ≥12 knots #

0.7.1.1 Engines running at nominal rpm 700-1000 rpm

The Proposer will enclose with its proposal the following filled out data sheet as far as possible.

DATA SHEET including Technical Mandatory

Requirements (TMR)- TRACTOR TUG - 74 TONS BP

Note: Items marked with a # are mandatory, and the Propsers must fill in yes/no and data required with respect to each mandatory item.

TUGs 75 ton BP

DATA SHEET 23.3.2015

G14486-V001 DATA SHEET 14715 1972015מעודכן ליום 1 Tender version - 4/2015

TUGs 75 TON BP

DESCRIPTION ASH UNIT DATA

0.7.3 Reverse speed max knots


0.7.3 Sides speed max knots


0.8 NOISE AND VIBRATION

0.8.1

Noise measurement procedure according to “IMO- Noise Level Code

on Board Ships-Resolution IMO MSC.337(91). The tug condition as

specified in the TecSpec Paragraph 0.5

yes # yes/no

0.8.1.1 Navigating bridge ≤60 dB(A) #0.8.1.2 Crew cabin ≤55 dB(A) #0.8.1.3 Ness room ≤65 dB(A) #0.8.1.4 Alleyways ≤75 dB(A) #0.8.1.5 Machinery space ≤110 dB(A) #0.8.1.6 Engine control room ≤70 dB(A) #0.8.1.7 Engine workshop ≤75 dB(A) #0.8.1.8 Galley ≤75 dB(A) #0.8.1.9 General machinery spaces ≤85 dB(A) #

0.8.1.10 Main Deck near Towing Winch and near Windlass (not operating) ≤85dB(A)

#

0.8.2

The vibration test shall be carried out during sea trials on the similar

conditions that exposed on the noise test according to ISO standard

6954-2000: Mandatory

yes # yes/no

0.8.3 Acceptable vibration 0.8.3.1 Crew cabins, mess room 0.8.3.1.1 Vertical ≤40 #0.8.3.1.2 Horizontal ≤20 #0.8.3.2. Engine control room0.8.3.2.1 Vertical ≤60 #0.8.3.2.2 Horizontal ≤30 #0.8.3.3 Machinery spaces0.8.3.3.1 Vertical ≤200 #0.8.3.3.2 Horizontal ≤100 #

0.9 General description yes # yes/no-GA, Midship sections, Maker list, TecSpec0.9.1 Machinery arrangement yes # Drawing-yes/no0.9.2 Bridge arrangement yes # Drawing-yes/no

0.9.3 Accommodation arrangement yes # Drawing-yes/no

0.10 CLASSIFICATION AND RULES (see chapter 0.8)

0.10.1 HULL: X 100A1 TUG (Or equivalent IACS member notation) yes # yes/no

0.10.2MACHINERY: X LMC UMS, Fire Fighting Ship 1(2400) with water spray

(Or equivalent IACS member notation)yes # yes/no

0.10.3Classification society- Lloyd’s Register or other IACS member (Name of

the proposed calcification society)yes # yes/no

0.11 Dimensions 0.11.1 Overall length - Mandatory ≤32.5 m #0.11.2 Beam moulded ~12.5 m0.11.3 Depth to main deck (hull) ~4.85 m0.11.4 Operational load condition draught - Harbour ≤6.4 m #0.11.5 Maximum load condition draught - Seagoing ~6.65 m0.12 Tests and Trails - list of harbor and sea trails (List to be provided) yes yes/no

0.13Spare parts and tools - List of spares and tools to be supplied (List to

be provided)yes yes/no

0.14 Equipment safe operation 0.8.9.1 Statically heeling (up to 15º) ≥15° #

0.8.9.2 Dynamic condition (up to 22.5 º) ≥22.5° #

1 Chapter 1 :Hull

1.1Hull design is based on proven design, proven hull components,

proven line plan and approved by propulsion system manufactureryes yes/no

1.1.1Numbers of world wide tugs with similar design last 10 years (2006 -

2015)max yes/no

1.2 Proven positions of propelers, skeg, towing winch and A frame yes/no

1.2.1Numbers of world wide tugs with similar positions last 10 years (2006 -

2015)max yes/no

1.3Accuracy in hull construction shall be according to IACS Shipbuilding

and Repair Quality standardyes # yes/no

1.4Engine room shall be designed and construct to meet LR regulation

with respect to damage stabilityyes yes/no

TUGs 75 ton BP



TUGs 75 TON BP


1.5 Aft and Fwd collision bulkheads and double sides in engine room yes yes/no

1.6 Shell plating and side frames1.5.1 Thickness of the shell plating ≥10 mm1.5 Funnel construction and position for maximum bridge visibility 360 deg Angle of visibility from bridge1.5.1 Funnel position (Aft, Fwd, at sides)

1.5.2 Hight of funnel outlet from the above the monkey island ≥1 m

1.6 Cathodic protection1.6.1 Zinc anodes1.6.2 Maker1.6.3 Model1.6.4 Effective protection guaranteed ≤3 years

2 Chapter 2 :OUTFITTING

2.1 Anchor windlass2.1.1 Maker2.1.2 Model2.1.3 Hydraulic drive yes yes/no2.1.4 Two drums yes yes/no2.1.4.1 Drums diameter mm2.1.5 Galvanized Chian yes yes/no2.1.5.1 Grade2.1.6 Pulls max KN2.1.7 Speeds max m/min2.1.8 Two warping heads yes yes/no2.1.9 Dimeter mm2.2 Towing winch2.2.1 Maker2.2.2 Model2.2.3 Hydraulically drive yes yes/no2.2.4 One drum yes yes/no2.2.5 Cable diameter 44-50 mm2.2.6 Cable length ≥345 m2.2.7 Drum capacity2.2.8 Pull max. KN2.2.9 Brake capacity2.2.10 Speeds max. m/min2.2.11 warping end yes yes/no2.2.11.1 Dimeter mm2.3 Towing hook2.3.1 Maker2.3.2 Model2.3.3 Hydraulically drive yes yes/no2.3.4 Hydraulic automatic release2.3.5 Towing capacity ≥100 ton2.3.6 Two directe release position yes yes/no2.4 Anchor2.4.1 Maker2.4.2 Model and material2.4.3 Two (2) anchors yes yes/no2.4.4 Size2.4.5 Weight kg2.7 Double bitts forward2.7.1 One on each side (2)2.7.2 Dimeter mm

2.8Fenders - Detailed arrangment - drawing. Including the optional aft

fender2.8.1 Cylindrical fenders 2 yes/no2.8.1.1 Maker and models2.8.1.2 Out side diameter ~750 mm2.8.1.3 Optional aft cylidrical fender ~14002.8.1.4 Inner diameter (innert hole) ~350 mm2.8.2 Vertical "W" fenders on the sides yes yes/no2.8.2.1 Dimension (≤500 x ≤450 mm) mm2.8.3 Rectangular fender, plate type yes yes/no2.8.4 D fender yes yes/no2.8.5 Marine type yes yes/no2.8.6 UV resistance yes yes/no

2.8.7Designed for use in extreme conditions and to absorb excessive bumps

and knocksyes yes/no

2.9RADIO COMMUNICATION, NAVIGATION & NAUTICAL EQUIPMENT (Indicate

maker and models)

TUGs 75 ton BP



TUGs 75 TON BP

DESCRIPTION ASH UNIT DATA2.9.1 Equipment GMDSS yes yes/no2.9.1.1 Makers2.9.1.2 Type2.9.1.3 Two (2) portable VHF radiotelephone yes yes/no2.9.1.4 One (1) 406 MHz EPIRB (KANNAD 406 AUTO). yes yes/no2.9.1.5 One (1) 9 GHz Radar transponder (KANNAD RESCUE) yes yes/no2.9.1.6 One (1) NAVTEX JRC NCR-333 (including printer) yes yes/no

2.9.1.7One (1) additional VHF radiotelephone simplex-semiduplex (SAILOR RT

5022) in the bridgeyes yes/no

2.9.1.8One (1) VHF remote control unit to the mess unit install in the Tug

master cabinyes yes/no

2.9.1.9 One (1) VHF unit to install in the mess room yes yes/no2.9.1.10 Antennas yes yes/no2.9.1.11 Batteries yes yes/no2.9.1.11.1 Maker2.9.1.11.2 Type2.9.1.12 All above mention units shall operate on 24V D.C. system yes yes/no2.9.2 Navigation & Nautical Equipment2.9.2.1 Makers2.9.2.2 Type

2.9.2.3One (1) graphic and digital echo-sounder with colour display (JRC JFE-

380)yes yes/no

2.10Signal and navigation mast- providing drawing for complete mast

and for optional foldable mastDrawing - schematic

2.11 Internal Commuction System 2.11.1 Maker2.11.2 Model2.11.3 24 V D.C. yes yes/no

2.12 Fire Detection and Alarm System (T.S - Paragraph 2.7)2.12.1 Maker2.12.2 Model2.12.3 LR or other IACS member type certificate yes # yes/no2.12.4 Smoke detector type yes/no2.12.5 Heat detector type yes/no

2.12.6One additional flame detector will be installed In engine room and in

galley yes yes/no

2.13 Fire Fighting Equipment (T.S - Paragraph 2.0) yes # yes/no2.14 CO2 System (T.S - Paragraph 2.10) yes # yes/no2.14.1 Maker and model2.15 Exterior Fire Fighting System (T.S - Paragraph 2.11)2.16.1 Maker2.16.2 Model2.16.3 System capability (water mix with foam)

2.16.3.1 Water 1200 m3/h

2.16.3.2 Foam 300 m3/h2.16.3.3 Throw length ≥120 m2.16.4 Centrifugal fire-fighting pump 22.16.4.1 Maker2.16.4.2 Model

2.16.4.3 Capacity ≥1200 m3/h2.16.4.4 At pressure 14 bar2.16.5 Gearboxes2.16.5.1 Maker2.16.5.2 Model2.16.6 Hydraulic or electeical clutch Hydraulic2.16.6.1 Maker2.16.6.2 Model2.16.8 Two (2) elastic couplings between each main engine and gearbox yes yes/no2.16.8.1 Maker2.16.8.2 Model2.16.8.3 Rated torque KN2.16.8.4 Max. torque KN2.16.8.5 Approx. weight (kg) kg2.16.9 Ejector2.16.9.1 Maker2.16.9.2 Model

3 Chapter 3 :ACCOMMODATION

3.1 Accomodation Arrangementd drwawing yes yes/no3.1.1 Navigating bridge

3.1.1.1 Size (floor area) mm2

TUGs 75 ton BP



TUGs 75 TON BP

DESCRIPTION ASH UNIT DATA3.1.2 Crew cabins

3.1.2.1 Size (length X width) mm2

3.1.3 Mess room / Galley / accommodation

3.1.3.1 Size (length X width) mm2

3.2 Insulation arrangment (Noise and viberation insulation) yes yes/no3.2.1 Materials in use yes yes/no3.3 Stairways3.3.1 Stairways will not be less than 600 m wide ≥600 mm

3.3.2 Angle of inclination will not exceed 50 degrees from the horizontal ≤50 deg3.4 Air Condition System - proven design and maker

3.4.1Number of operational system with similar design and similar

Environment condition last 6 years

4 CHAPTER 4 - PROPULSION PLANT

4.1 Propellers:4.1.1 Maker4.1.2 Propeller type/size4.1.3 Mechnical control yes #4.1.4 Nominal RPM

4.2 Engines4.2.1 Make4.2.2 Model4.2.3 Four-stroke yes # yes/no

4.2.4Comply with IMO REVISED MARPOL, Annex VI, Reg. 13 (4) TIER 2

Mandatoryyes # yes/no

4.2.5 Engine Maximum Continuous Rating power output ≥2,640 kw4.2.6 Max RPM 700-1000 rpm

4.2.7 Dry Weight kg

4.2.8 Length mm

4.2.9 Width mm

4.2.10 Height mm4.2.11 PTO yes # yes/no4.2.12 Tropical condition (see chapter 0.2 & page 9) Mandatory #4.2.13 Water pump yes yes/no4.2.13.1 Make / Model4.2.14 Specific Lub Oil consumption g/kw/h4.2.15 Fuel consumption at standard conditions, average liter /h4.2.16 Specific Fuel consumption g/kw/h4.2.17 Fuel injection equipment4.2.17.1 Maker Bosch4.2.17.2 Model4.2.18 fuel valve nozzle4.2.18.1 Maker4.2.18.2 Model4.2.19 Starting system4.2.19.1 Air starting motor ≥30 bar4.2.19.2 Maker4.2.19.3 Volume of air recivers m34.2.20 Type of silencer ≥35db4.2.20.1 Type of spark arrestors4.2.21 Turbocharger4.2.21.1 Maker4.2.21.2 Model

5 CHAPTER 5 - AUXILIARY MACHINERY

5.1 Diesel Generators

5.1.1 Maker5.1.2 Model5.1.3 Electric power ~200 kVA

5.1.4 Comply with IMO REVISED MARPOL, Annex VI, Reg. 13 (4)TIER 2 yes # yes/no

5.1.5 Engine Maximum Continuous Rating power output5.1.6 Operating speed RPM5.1.7 Weight Kg5.1.8 Length5.1.9 Width5.1.10 Height5.1.11 Fuel consumption at standard conditions, average5.1.12 Specific Fuel consumption minimum g/kw/h5.1.13 Engine In line or V type5.1.14 Type of silencer. 5.1.15 Silencer ≥35db5.1.16 Alternator

TUGs 75 ton BP



TUGs 75 TON BP

DESCRIPTION ASH UNIT DATA5.1.16.1 Maker5.1.16.2 Model5.1.16.3 Electric power KVA5.1.17 Air Starting system5.1.17.1 Air starting motor5.1.17.2 Emergency hydraulic/electric starting5.1.17.3 Manual opertion

5.2 Other auxiliaries:

5.2.1 Heat Exchangers5.2.1.1 Maker5.2.1.2 Model5.2.1.3 Dimension5.2.1.4 Materials5.2.2 Compressed Air Equipment5.2.2.1 Compressors maker5.2.2.2 Model5.2.2.3 Quantity of compressors 2

5.2.2.4 Capacity - F.A.D m3/mim5.2.2.6 Weight

5.2.2.7 Size of air charging bottles m3

5.2.2.8 Direct driven yes yes/no

5.2.2.9 Air resever capacit m3

5.2.3 Air-condition5.2.3.1 Navigating bridge5.2.3.1.1 Maker5.2.3.1.2 Model5.2.3.1.3 Quantity of systems 2 #

5.2.3.1.4 Capacity per unite 24,000 BTU

5.2.3.1.5 Designed for marine applications yes # yes/no5.2.3.1.6 Service in Israel yes yes/no5.2.3.2 Mess room / Galley / accommodation 5.2.3.2.1 Maker5.2.3.2.2 Model5.2.3.2.3 Quantity of compressors

5.2.3.2.4 Capacity per unite BTU

5.2.3.2.5 Designed for marine applications yes # yes/no5.2.3.2.6 Service in Israel yes yes/no5.2.3.3 Engine electrical & control room5.2.3.3.1 Maker5.2.3.3.2 Model5.2.3.3.3 Quantity of compressors5.2.3.3.4 Capacity BTU5.2.3.3.5 Designed for marine applications yes # yes/no5.2.3.3.6 Service in Israel yes yes/no5.2.3.4 Engine workshop - option5.2.3.4.1 Maker5.2.3.4.2 Model5.2.3.4.3 Quantity of compressors5.2.3.4.4 Capacity BTU5.2.3.4.5 Designed for marine applications yes yes/no5.2.4 PURIFYNG EQUIPMENT ספרטור

5.2.4.1 G.O. purifying system maker5.2.4.2 Model5.2.4.3 Quantity of purifying units

5.2.4.4 Capacity m3/hr5.2.5 ENGINE ROOM VENTILATION5.2.5.1 Fans maker

5.2.5.2 Capacity of each ER fan m3/hr

5.2.5.3 Quantity of fans

6 CHAPTER 6 - PIPING SYSTEMS

6.1 Pipes materials and scheduleProviding list of sytems+pipes

schedule+pipes materials

6.2Optional sea water pipes - CuNiFe proporties (for main engines, Heat

Exchangers & Diesel Generators) :

6.3 The maximum flow speed in the different pipes :

6.3.1 Sea water pipes, max - 3.0 m/h

6.3.2 Compressed air max - 30.0 m/s

6.3.3 Black steel

6.3.4 Diesel fuel oil max - 2.5 m/sTUGs 75 ton BP



TUGs 75 TON BP


6.3.5 Bilge and ballast discharge. max - 3.0 m/s

6.3.6 Galvanizing procedure according ISO requirmentsProviding proof for the QA standard of

the galvanising procedure

6.11 Strainers and FiltersProviding sumples of sea chest sea

water filtring system

6.12 Valves - Providing brochores of valves from each category

6.12.1 Makers

6.14 PUMPS - for each category:

6.14.1 Maker

6.14.2 Model

6.14.3 Capacity

6.15 PUMP - sea water

6.15.1 Maker

6.15.2 Model

6.15.3 Capacity m3/h

6.15 PUMP - fresh cooling water

6.15.1 Maker

6.15.2 Model


6.16 PUMP - G & S (General service)

6.16.1 Maker

6.16.2 Model


6.17 PUMP - piston bildge pump

6.17.1 Maker

6.17.2 Model


6.18 PUMP - L.O St.by (lubrication oil stand by)

6.18.1 Maker

6.18.2 Model


6.19 PUMPS - Fuel Oil

6.19.1 Maker

6.19.2 Model


6.20 Other miscellanies pumps

7 CHAPTER 7 - ELECTRIC PLANT AND AUTOMATION

7.1

Electric system designer and manufacturer LR or Other IACS member's

certified , with experience of at least 3 vessels project at the last 3

years - at least 2 of them tugs.

yes #

7.1.1 Number of project last 10 years max.7.1.2 Number of them tugs max.

7.2 Cables - type of cables in use for each categoryProviding sumples of certificates and

cable properties7.2.1 Maker7.2.2 Type7.3 POWER MANAGEMENT SYSTEM7.3.1 Maker7.3.2 Model7.3.3 Experience with integration with the IMCS system7.3.3.1 Providing Numbers of projects with the proposed configuration max.7.4 Navigation Lights, Signal Lights and Search Lights7.4.1 Maker7.4.2 Models7.5 General lighting and emergency lighting7.5.1 Maker7.5.2 Models7.6 Machinery monitoring and alarm system7.6.1 Maker7.6.2 models7.6.3 LR/IACS member type certificate yes # yes/no7.6.4 Ship Automation system (BNWAS, SVDR) – Service in Israel yes yes/no

8 Delivery due time (short as possible). ~81 weeks

9 GeneralTUGs 75 ton BP



TUGs 75 TON BP


9.1 Maker list - Providind all detailed list of equipments makers yes yes/no

9.2

QUALIFY CONTROL ACCORDING TO ISO 9001-2000 or ISO

9001:2008 or an equivalent standard in the subject field,

approved by the APC yes # yes/no

10Total quantity of Voith propeller Tractor concept Tugs

with at least 55 ton Bollard Pull supplied:#

10.1 World wide - last 7 years (i.e., 2009 - 2015) (see prerequisite) ≥3

10.1.1 2009

10.1.2 2010

10.1.3 2011

10.1.4 2012

10.1.5 2013

10.1.6 2014

10.1.7 2015

11Total quantity of Voith propeller Tractor concept Tugs with at least

35 ton Bollard Pull supplied:11.1 World wide - last 10 years (i.e., 2006 - 2015)11.1.1 200611.1.2 200711.1.3 200811.1.4 200911.1.5 201011.1.6 201111.1.7 201211.1.8 201311.1.9 201411.1.10 2015

The Proposer Date

TUGs 75 ton BP



Appendix C

Proposer’s Reply Form

Tender for the Design, Fabrication, Supply, Testing, Warranting and of 74 Ton Bollard Pull

Tractor Tugs, Options, Additional Services and Spare Parts (the "Tender")


Date: __________________

Proposer’s Name: _______________________

Name of contact person: _________________

Title of contact person: _________________

Country: _______________________

Tel: ___________________________________

Fax: ___________________________________

E-mail: _____________________________

To: Ashdod Port Company Ltd. ("APC")

Subject: Our Proposal for the Tender

Reference: Your Tender No. 2582/YAM/15

1. We, the undersigned, hereby submit our Proposal with respect to the above mentioned

Tender for the Design, fabrication, supply, testing and warranting of two (2)* 74 Ton

Bollard Pull Tractor propelled Tugs to be used as a harbor and coastal tug, for handling

all types of ships in the Port of Ashdod, as set forth in the Technical Specifications

(attached as Appendix A herein) and Basic Training (the "Tug" or "Tugs"), as well as

Optional Features and Optional Warranty, all as defined in Tender document.

*It is hereby clarify that the purchasing of one Tug (out of the two mentioned

above) is conditioned with a financial approval of APC's board of directors,

which will discuss this matter until September 1, 2015.

2. We further grant APC an option, at its sole discretion, for a period of three (3) years as

of the date of APC's final acceptance of the first Tug, to purchase up to two (2)

additional Tugs, at the same terms of the two (2) Tugs previously purchased.

3. We hereby confirm that we have read and understood all Proposal Documents (as such

term is defined in the Invitation for Proposals document), including, without limitation,

the Technical Specifications (as defined therein).

4. Attached please find all documents, information, data & certificates as specified in

Section 2 to the Invitation for Proposals document.

2

5. Our Proposal shall be valid for six (6) months from the last date set for the submission

of the Proposals in the Invitation for Proposals document.

6. We acknowledge and agree that APC may conduct negotiations with selected Proposers.

7. We acknowledge and agree that APC is not obligated to accept the most inexpensive

Proposal or any other Proposal.

8. We acknowledge and agree that in the event our Proposal will be selected by APC, APC

shall be entitled to provide our Proposal for the review of Proposers which were not

selected, including also those parts of our Proposal that we have marked as containing

commercial secrets and we shall not have any claims with respect thereto.

_______________ __________________________

Date Proposer signature & stamp

9102791חוזה גוררת טיוטה סופית

Appendix D

AGREEMENT No. 2582/YAM/15

Made this ______ day of __________2015

By and Between

ASHDOD PORT COMPANY LTD.

Company Registration Number 51-356977-2

of Ashdod Port, Ashdod 77191, Israel ("APC")("Buyer")

And

_______________________________________________

Company Registration Number [____________________]

of

_____________________________________________ ("Builder")

(The “Builder” and “APC”/"buyer" are each referred to as a “Party” and collectively as

“Parties”)

For

The Design, Fabrication, Supply, Testing and Warranting of 74 Ton Bollard Pull Tractor

Tugs, Options, Additional Services and Spare Parts

Whereas: APC wishes to purchase two (2) 74 Ton Bollard Pull Tractor Tugs (each, a

"Tug", and collectively, "Tugs" as further defined below) and to be provided

with additional services, spare parts, special tools and warranty; and

And Whereas: APC requires an option at its sole discretion, for a period of three (3) years as

of the date of APC's final acceptance of the first Tug (as defined below) to

purchase up to two (2) additional Tugs as further indicated below (the

"Option"); and

And Whereas: APC wishes to be granted from Builder, and Builder wishes to grant to APC,

separate and distinct Optional Features and Optional Warranty all as defined

below, and subject to the terms and conditions hereinafter; and

And Whereas: APC has issued Tender No. 2582/YAM/15 for the supply of the Tugs (the

"Tender"), so as to ensure the Builder's capability to conform to any and all

standards of performance, stated, inter alia, in the Tender Technical

Specifications (as defined below); and

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9102791חוזה גוררת טיוטה סופית גרסה משולבת מנופים וגוררת -

And Whereas: The Builder was elected to supply the Tugs as per its proposal dated

_______________and its exhibits and all documentation and data attached

thereto, as amended in writing pursuant to negotiations conducted between

the Parties (the "Proposal"); and

And Whereas: The Builder declares and certifies and warrants that he has the knowledge,

ability, expertise, facility resources, financial resources, licenses, permits all

that is required and necessary to undertake the obligations set forth in this

agreement; and

And Whereas: Builder acknowledges that time is of the essence for APC and therefore, it is

obligated to APC to comply with the strict Time Schedule, as defined below,

for the design, fabrication, supply, delivery, testing and warranting of the

Tugs, services and the Options should APC decide to exercise same.

Therefore, it is Agreed Declared and Stipulated between the Parties:

1. Preamble The preamble to this Agreement and its appendices constitute an integral part hereof.

The sections' headings contained in this Agreement are for convenience only and do

not constitute matters to be considered interpreting this Agreement.

2. Definitions. In this Agreement, the following terms shall have the meaning ascribed to them

below:

2.1. “Agreement” means this agreement entered into between APC and

Builder, together with the Agreement Documents (defined below), each of

which shall be construed as an integral part of this Agreement.

2.2. “Effective Date” means the date set forth above. In the event that Builder

has not executed this Agreement within thirty (30) calendar days of the

date APC notifies Builder, in writing, that it has been selected under the

Tender, then the "Effective Date" shall mean thirty (30) calendar days of

such date.

2.3. "IMOT"- Israeli Ministry of Transport.

2.4. "Tug" or "Tugs" or the "Work(s)", means Tug in compliance with the

Technical Specifications as defined below, and in accordance with

provisions of this Agreement.

2.5. "Technical Specifications" means: the Technical Specifications attached

to the Tender documents as Appendix A thereof, included herein by

reference and made a part hereof;

2.6. “Agreement Documents” means:

2.6.1. Appendix A: Technical Specifications including the following:

Section A - Technical Specifications including Maker List.

Section B – Data Sheet including Technical Mandatory Requirements

(TMR)

2.6.2. Appendix B: Price of the Tugs, including options;

2.6.3. Appendix C: Performance Guarantee;

2.6.4. Appendix D: Payment Guarantee;

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2.6.5. Appendix E: Bank Guarantee for Warranty Period;

2.6.6. Appendix F: Bank Guarantee for Liquidated Damages;

2.6.7. Appendix G: Insurance Certificate;

2.6.8. Appendix H: Price Schedule, Terms and Procedures of Payment;

2.6.9. Appendix I: Completion of Tug's Keel Laying Certificate;

2.6.10. Appendix J: Completion of installation of the propellers Certificate;

2.6.11. Appendix K: readiness of the Tug for launching Certificate;

2.6.12. Appendix L: Protocol of Technical Acceptance At Yard;

2.6.13. Appendix M: Protocol of Final Acceptance At Destination;

2.6.14. Appendix N: Certificate of propriety;

2.6.15. Appendix O: Time Schedule;

2.7. "Day" – Calendar day.

2.8. "Month" – Calendar month.

2.9. "Destination"- Ashdod Port, Israel.

Other capitalized terms shall have the meaning described to them below.

3. Subject matter of the Agreement

3.1. In addition to any of Builder's obligations and undertakings under this Agreement,

the Builder’s obligations under this Agreement encompass, inter alia:

3.1.1. The performance of all Works required and undertaken with the highest

professional manner for the design, build, launch, equip, outfit, tests of two (2)

Tugs and delivery of the Tugs to the Buyer in Ashdod Port, Israel, as well as the

provision of Basic Training, all in accordance with the Technical Specifications

and the Builder's technical proposal as and if amended, as well as any other

work required for obtaining Final Acceptance at Destination including, without

limitation, provision of all documentation as required in the Technical

Specifications.

3.1.2. The granting of the Tugs Option, Optional Features and Optional Warranty, all

as defined hereinafter.

3.1.3. Time Schedule. Builder shall commence and complete its undertakings under

this Agreement within the period specified in the Time Schedule, as time is of

the essence. It is clarified - without derogation from the aforementioned – that

Builder shall obtain Final Acceptance At Destination for the first Tug no later

than _______________________[maximum 20 months] months as of the

Effective Date, as further detailed within the Time Schedule, or as extended, if

extended, in accordance with the terms and conditions of this Agreement. The

Builder shall obtain Final Acceptance at Destination for the second Tug in

accordance with the Agreement and the Technical Specifications no later than

twenty four (24) months as of the Effective Date of the Agreement. In the

event that Buyer shall exercise its Tug Option as set forth in section 30.1 below,

for the supply of two Tugs simultaneously, then Builder shall be obligated to

the above Time Schedule (20 months and 24 months as of the Date of Buyer's

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purchase order, respectively). To the extant Buyer shall exercise its Tug Option

as set forth in section 30.1 below, for the supply of one Tug, per each order, then

Builder shall obtain Final Acceptance At Destination for the Tug no later than

_______________________[maximum 20 months] months as of the Date of

Buyer's purchase order.

3.1.4. Permits. Unless otherwise specifically stated within this Agreement, the Builder

shall acquire in its name all permits, approvals and/or licenses from all

applicable authorities (governmental or otherwise) in Israel and abroad that are

necessary for the performance of this Agreement and Builder's obligations

herein, including without limitation, visas as required and entry permits for all

imported Builder’s Equipment.

3.1.5. Builder’s Equipment, as well as any other equipment, materials, or parts shall be

produced or manufactured (or if activities and services required for Builder’s

performance, activities or services shall have been carried out or provided) in

countries or locations with whom Israel maintains full diplomatic relations, and

where APC personnel (and those acting on its behalf) are assured of free and

unrestricted access, and Israel must not prohibit any import of goods from that

place and does not prohibit any payments to persons or entities in that location.

3.1.6. Industrial Cooperation Requirements

i) Builder undertakes to comply with the requirements of the Mandatory

Tender Regulations (Mandatory Industrial Cooperation) – 2007 (the

"Regulations"), and accordingly undertakes industrial cooperation in

accordance with its Foreign Builder's Industrial Cooperation

Undertaking submitted by Builder as part of its Proposal to the Tender.

The signing of the Agreement with the Builder is conditioned upon

receipt of approval from the Industrial Cooperation Authority of the

Israeli Ministry of Economy ("ICA"), confirming that the Builder has

complied with the industrial cooperation requirements, including

submission of a Fulfillment Program (as defined in the Tender

documents) for executing the industrial cooperation requirements.

ii) Builder will be required to submit to the APC and the ICA, upon

completion of the works according to this Agreement, confirmation from

an accountant regarding the extent of the collaboration with a local sub-

collaborator, as it was actually carried out and its details.

3.1.7. The Builder shall cooperate, as far as reasonable, with the APC in order to

enable the approval of the Israel's Ministry of Transport/Shipping Department

for the relevant plans and drawings according the Specifications.

3.2. Yard number

The TUG shall, for the purposes of identification, be known as Hull Number:

_________ (fill in number).

4. APC Responsibilities

4.1. APC shall obtain the required import license solely for the Tugs and Tug's parts

shipped to Israel in the name of APC (excluding raw materials and Builder's

Equipment). It is clarified that all other permits, approvals and/or licenses from any

authorities or undertakings shall be acquired and paid for by Builder.

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4.2. Without imposing any liability on APC, in the event that APC is requested by

Builder, APC shall use its best efforts to assist the Builder in obtaining permits,

approvals and/or licenses necessary for the Builder’s performance of this

Agreement.

4.3. APC shall obtain Deletion Certificate regarding the original foreign flag of the

supplied Tugs sent by courier and shall obtain the applicable registration for the

Tugs in Israel IMOT.

4.4. The Tugs shall, upon Final Acceptance at Destination, be registered in the Buyer's

name under the laws of the State of Israel. All costs relating to such registration of

the Tugs in the IMOT Registry, including receipt of seaworthiness certificates and

Navigation License shall be borne and paid by the Buyer.

5. Builder's Warranties and Representations

Without derogating from Builder's obligations, warranties and representations

contained elsewhere in this Agreement and/or any applicable law, and in addition to

any such warranties and or representations, Builder hereby undertakes to APC as

follows:

5.1. Builder has the ability and experience to carry out the obligations assumed by it

under this Agreement.

5.2. Builder has the right and power to enter into this Agreement and that by virtue of

entering into this Agreement it is not and will not be in breach of any express or

implied obligation to any third party.

5.3. Builder shall use the highest professional level in performing all activities under or

in association with this Agreement, and comply with any and all applicable laws,

and that the execution of this Agreement by Builder was not due to unlawful

inducement and Builder hereby certifies it by signing the 'Certificate of Propriety'

attached herein as Appendix N hereto.

5.4. Builder shall not engage in deceptive, misleading and/or unethical practices that are

or might be detrimental to APC and/or the Tugs.

5.5. Builder shall secure at its sole discretion and at its sole cost and expense, all

necessary governmental permits, licenses, registrations and approvals required in

connection with its obligations under this Agreement.

5.6. Builder agrees that APC, by entering into and performing its obligations under this

Agreement, does not assume and shall not be exposed to the business and

operational risks associated with Builder's business.

5.7. Builder represents and confirms that it is entering into this Agreement on the basis

of its conducting full and proper independent investigation, including without

limitation Builder's inspection of the data provided by APC. The Builder

acknowledges that any failure to acquaint itself with all such data and information

shall not relieve its responsibility to estimate the difficulty and/or cost of

successfully performing its undertakings under this Agreement, including the

Works.

5.8. In making its decision to participate in the Tender and to execute this Agreement,

the Builder is not relying on any oral representations or assurances from APC or

any other person.

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5.9. The Builder has such experience in business and financial matters that it is capable

of evaluating the risks involved in the contemplated transaction.

5.10. Builder shall make no claim for additional payment from the APC on the ground of

its misunderstanding or misapprehension in respect of any matter or on the ground

of any allegation or fact that incorrect or inaccurate information was mistakenly

given to it by any person, firm or any legal entity whether in the employ of APC or

not, provided that a reasonable and similarly experienced Builder should have been

able to identify the incorrectness or inaccuracy of the information, or of the failure

on its part to obtain correct information.

5.11. The Tugs supplied or any part thereof or spare parts shall be free from defects

and/or faults in their design, engineering, materials, systems, components, etc. and

in their workmanship.

5.12. The Tugs shall be designed, built, equipped, outfitted, completed, tested and sea

trials performed under the survey of IACS member notation (hereinafter called the

"Classification Society"):

Decisions of the Classification Society as to compliance or non-compliance with

the classification shall be final and binding upon Builder.

5.13. The Tugs shall be built and completed in all respects in conformity with the

provisions of this Agreement and with all rules, regulations and requirements stated

in the Technical Specifications, as well as to the rules, regulations and

requirements of the Classification Society, IMOT, or any other official or

governmental authority (herein, "Rules, Regulations and Requirements"), as

applicable for this type of Tugs.

5.14. The Tugs shall be built, equipped, outfitted and completed with new classed

material and, all in accordance with the Technical Specification. All materials shall

be new and, to the extent required, class approved by the Classification Society. In

the event of the non-availability of any particular specified equipment, material,

fitting, appurtenance or article specified in the Technical Specifications and in the

Makers List, the same may be substituted with an available equivalent item subject

to prior written approval by the Buyer to such substitution.

5.15. That APC will enjoy the reliable use and operation of the Tugs for its intended

purpose.

5.16. The Tugs and any other services, spare parts or features purchased hereunder

(whether purchased under Options or otherwise) shall conform to the requirements

hereunder, and other descriptions furnished to APC, be free from all claims against

good title, be new and previously unused, be merchantable in all respects.

5.17. Builder shall execute the design, fabrication, supply, delivery, transporting, testing

and warranting required under this Agreement in compliance with the provisions

hereunder and in accordance with good engineering practice.

5.18. Builder shall comply with all applicable laws, both in Israel and as pertains to it in

other countries, and shall act in a manner which will not in any way, directly or

indirectly, bring APC and/or the Tugs into disrepute. Builder shall indemnify and

hold harmless the APC from and against any and all liabilities, damages, claims,

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fines, penalties, and expenses of whatever nature arising or resulting from any

violation of such laws by the Builder.

6. Payment; Bank Guarantees

6.1. Subject to the Builder’s fulfillment of its obligations hereunder, APC shall pay the

Contract Price (with no price adjustment or linkage), in accordance with the

milestones for payment and the mechanisms set forth in the Price Schedule, Terms

and Procedures of Payment (Appendix H).

The Builder shall furnish all documents necessary by law and this Agreement for

executing any payment hereunder, including without limitation, any certificate(s)

relating to taxation.

APC is entitled to accept, at its sole discretion, alternate wording to the Bank

Guarantees, provided that the respective Guaranty was issued by an internationally

recognized bank, rated at least A (hereinafter the "Approved Bank"), in the

amounts and validity terms as set forth in the sample formats attached to this

Agreement and there is no limitation on collectability of the Bank Guarantees

beyond those set forth in the formats attached hereto.

It is specifically specified that the acceptance of any Bank Guarantee by APC is

subject to the following terms: (1) APC must pre-approve the identity of the issuing

bank before the submission of the relevant Guarantees; Builder must furnish, in

writing, the bank details for APC's approval within fourteen (14) calendar days of

the date APC notifies Builder, in writing, that it has been selected under the

Tender; (2) the Bank Guarantee issued by such an Approved Bank must be

delivered by authenticated swift only to one of the following Israeli banks : Bank

Leumi Le Israel, First International Bank of Israel, Union Bank (Israel), Bank

Hapoalim (Israel) and Bank Hamizrahi (Israel); Unless the Bank Guarantee is

issued directly by one of the banks specified above; and (3) APC has approved the

Bank Guarantee form.

No payment made by APC hereunder shall be deemed to constitute Acceptance.

6.2. It is agreed that in any event that APC fails to effect payment by more than 60

days of the date payment was due hereunder, then Builder's sole and exclusive

remedy for APC's belated payment, will be the payment in full of all then due

amounts together with interest according to the interest rate for which APC is

credited on its shekel deposits calculated as of the date such payment was first due

until its actual payment. The above compensation shall not be paid if the belated

payment is due to Builder’s failure to timely provide any information that is

required to facilitate payment or if Builder is in breach of any of its undertaking

and/or obligation that entitles APC to withhold payment.

6.3. Payment Guarantees. Payment Guarantees to be provided by Builder, as set forth

in Appendix H. Without derogating from the above mentioned in subsection 6.1,

the Payment Guarantees shall be issued in the format as set forth in Appendix D

(Payment Guarantee). Validity shall be until Final Acceptance at Destination of

relevant Tug.

6.4. Performance Guarantees. The Builder shall, upon the Effective Date and as a

condition precedent to the first payment under this Agreement, provide

Performance Guarantees (each such Performance Guarantee correlating to one (1)

Tug) for the due performance by the Builder of its undertakings herein, in

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accordance with its terms and the Technical Specifications, and each in the amount

of ten percent (10%) of the Contract Price for One Tug. Without derogating from

the above mentioned in subsection 6.1 the Performance Guarantees shall be issued

in the format set forth in Appendix C (Performance Guarantee).

Each Performance Guarantee shall remain in force until Final Acceptance at

Destination of relevant Tug by the APC, in strict accordance with the provisions of

this Agreement, including the issuance of a signed original Protocol of Final

Acceptance at Destination of each Tug, by both Parties, in the form attached to the

Agreement as Appendix M, and against submission of a Bank Guarantee for

Warranty Period, all for the specific Tug.

6.5. Bank Guarantee for Liquidated Damages. The Builder shall provide Bank

Guarantees for Liquidated Damages, in accordance with the terms and conditions

of Clause 18 below, if applicable. Without derogating from the above mentioned in

subsection 6.1, the Bank Guarantees for Liquidated Damages shall be issued in the

format set forth in Appendix F (Bank Guarantee for Liquidated Damages).

Each Bank Guarantee for Liquidated Damages shall remain in full force and effect

for a period of 4 (four) months as of the date of its issuance, and shall be extended

in accordance with APC's request for an additional 3 (three) months.

6.6. VAT payments to local subcontractors. As specified in Appendix H.

7. Taxes;Duties and Delivery

7.1. Builder shall deliver the Tugs DAP Incoterms 2010 (Ashdod Port, Israel) subject to

the following:

7.1.1. The Builder shall bear and pay all taxes, duties, levies and charges assessed on

Builder, whether in Israel or overseas, except as specifically provided below.

7.1.2. The Builder shall bear all costs in connection with the Tugs until Final

Acceptance at Destination of relevant Tug (without derogating from its other

obligations herein including with respect to Warranty) The Tugs shall be

physically delivered by the Builder to the Buyer, fair wear and tear excepted,

with all machinery, equipment and appurtenances charged with the appropriate

hydraulic, lubricating, grease in accordance with this Agreement and the

Technical Specifications.

7.1.3. The Tugs shall be delivered from abroad to Israel in the name of APC.

7.1.4. APC shall bear and pay import duties as well as value added tax (VAT),

imposed by the State of Israel solely with respect to such Tugs shipped to Israel

in the name of APC.

7.1.5. APC shall carry out the release from customs of only those Tugs which are

shipped to Israel in the name of APC. APC shall carry out the release of such

Tugs either by itself or through or by customs agents of APC's choice.

7.1.6. Further in this regard, the Builder shall issue such declarations and/or

documents (as required by law or at the request of APC) to APC or to those

designated by APC as well attest to the fact that the Contract Price set forth in

this Agreement reflects the value of the Tugs including all services to be

delivered directly to the APC from outside of Israel plus the value of the

services carried out in Israel plus the value of services delivered to

Subcontractors in Israel for later delivery to the APC.

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7.1.7. The Builder explicitly states that it understands that the issuance by the Builder

of the above declarations/documents is necessary for the proper transfer of

payments to the Builder of the Contract Price.

7.1.8. The Builder shall pay for stevedoring, any ship's agent fees, wharfage fees and

all other expenses and costs.

7.1.9. The Builder shall, at its own risk and expense, transport the Tugs and all the

necessary equipment in connection with its performance of undertakings

hereunder, to the Ashdod port by the mode of transport that the Builder deems

most suitable under all circumstances.

7.1.10. The Builder shall bear all risks and loss of or damages to the Tugs in accordance

with Clause 19 below.

7.1.11. The Builder shall, at its own expense, procure and maintain insurance policies

according to Clause 22 below.

7.1.12. Shipping documents with regard to the relevant Tug shipped to Israel in

the name of APC:

The Builder shall supply the APC with following documents with regard to the

relevant Tug shipped to Israel in the Name of APC:

i) An invoice indicating "Value for Customs Purposes" and giving the total value of

that shipment, in three copies, duly signed by the Builder and also carrying the

notation: "PAID BY APC ACCORDING TO AGREEMENT No. [___________]".

ii) Certificate of Origin (as an example only, "EUR 1").

iii) Two (2) original and two (2) non-negotiable copies of clean on board bills of lading

mentioning number of the Agreement made out to APC's order, with Port of

Unloading. Also specifying that the entrance or docking or unloading at any Arab

port is prohibited and steamer may not enter Arab countries' territorial waters,

except for those of Egypt and Jordan, before discharging the relevant Tug in Israel.

iv) The Builder explicitly agrees that the total value of the shipments for the Tugs will

equal the Contract Price minus the payments which will be and/or have been

transferred by the Builder to its Israeli subcontractor(s) for the execution, if any, of

any portion of the undertakings hereunder.

7.1.13. All expenses (including, but not limited to, transportation expenses, costs of

containers and demurrage), fees, import duties, customs, bonds, customs agents

charges, taxes, etc. relating to tools, equipment, Builder's Equipment etc.

required in connection with the performance of the Builder’s undertakings

hereunder shall be borne by the Builder. The Builder shall, at its own expense,

handle all imported equipment required in connection with the performance of

its undertakings under this Agreement and shall handle any formalities for

customs clearance.

7.1.14. Duties, charges, taxes and transportation costs (whether in Israel or overseas),

and any and all expenses or import duties, payable on parts and/or any other

components supplied by Builder until the end of the Warranty Period (as these

relate to each specific Tug), for substitution due to faulty design, faulty material

or faulty components and/or faulty workmanship (including damages or losses

connected with their shipment) shall be borne by the Builder.

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7.1.15. Income taxes, if any, levied on the Builder and/or its employees in connection

with the performance of its undertakings hereunder, shall be payable and borne

by the Builder.

7.1.16. If any tax exemptions, reductions, allowances or privileges may be available to

the Builder in Israel, APC shall use its best endeavors to enable the Builder to

benefit from any such tax savings to the maximum allowable extent, provided

that APC shall not be prejudiced in any way whatsoever in consequence of such

assistance.

8. Execution of Work

8.1. Ashdod Project Manager. Within ten (10) calendar days of the Effective Date, APC shall

notify the Builder of the name of its project manager (the “Ashdod Project Manager” or

"APM"), who shall represent and act on behalf of APC during this Agreement. All

notices or communications under this Agreement to APC shall be submitted to the Ashdod

Project Manager.

8.2. Builder Project Manager.

8.2.1. Within ten (10) calendar days of the Effective Date, Builder shall notify the

APC in writing of the name of its project manager (the “Builder Project

Manager”) who shall represent and act on behalf of Builder during this

Agreement, subject to written approval from the APC. If the APC makes no

objection to the appointment within ten (10) calendar days, then the Builder

Project Manager shall be deemed approved. If the APC objects to the

appointment, then the Builder shall appoint a replacement within fourteen (14)

calendar days of such objection, and the foregoing provisions of this Clause

shall apply. All notices or communications under this Agreement to the Builder

shall be submitted to the Builder Project Manager.

8.2.2. The Builder Project Manager shall be responsible to the Builder, and his duties

shall be to supervise, to test and examine any works or workmanship employed

in connection with this Agreement.

8.2.3. The Builder shall not revoke the appointment of the Builder Project Manager

without the APC’s prior written consent, which shall not be unreasonably

withheld. If the APC consents thereto, the Builder shall appoint a replacement as

the Builder Project Manager, pursuant to the procedure set forth in Clause 8.2.1

above.

8.2.4. The APC may, by notice to the Builder, object to any representative or person

employed by the Builder in the execution of this Agreement who, in the

reasonable opinion of the APC, is inappropriate, incompetent, and negligent or

commits a breach of the APC's instructions, whereupon the Builder shall remove

such person from its duty, and shall promptly appoint a replacement.

9. Work Program;Documentation

9.1. Documentation. All documentation, reports, diagrams and other information required to be

submitted under the Technical Specifications shall be submitted to the APC in due and

timely fashion.

Without derogating from the generality of the aforementioned, the Builder shall submit to

the APC a chart showing the proposed organization to be established by the Builder for

carrying out its undertakings under this Agreement. The chart shall include the identities

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of the key personnel together with the CV of such key personnel to be employed, and the

Builder shall promptly inform the APC in writing, of any revision or alteration to the

organizational chart.

9.2. The Builder shall prepare and submit to the APC within thirty (30) days as of the Effective

Date a detailed program (the “Work Program” or "Timetable" or "Time Schedule") of

performance of this Agreement, showing the sequence in which it proposes to design,

fabricate, supply, deliver, test and warrant the Tugs so as to enable the Builder to execute

the Agreement in accordance with the terms herein and in accordance with the

requirements of the Technical Specification. The Timetable so submitted by the Builder

shall accord with the Time Schedule (Appendix O), and any other dates and periods

specified in the Agreement, including its Technical Specifications.

9.3. The Builder shall submit, as required in sections 0.13 to the Technical Specification

(Appendix A), for review by APC and its approval, three (3) copies of all design

drawings, calculations (structural, electrical, mechanical), electrical diagrams, catalogs and

technical data sheets of the hull, machinery, engines, outfit, equipment, appurtenances and

materials, and any additional information used to design, manufacture and operate the

Tugs. The final and approved Tugs' detailed design shall be signed by both Parties. The

approval of such relevant Tugs' detailed design by APC shall not, in any way, be deemed

as derogation from Builder's responsibilities and liabilities under this Agreement, and shall

not impose any liability whatsoever on APC.

9.4. The Builder shall monitor progress of all activities and supply progress reports to the APC

as called for in Section 0.18, Appendix A -Technical Specification. The progress reports

shall be in a form acceptable to the APC and shall provide details in accordance with the

Technical Specifications.

9.5. If at any time, the Builder’s actual progress falls behind the Work Program, or it becomes

apparent that it will fall behind, the Builder shall prepare and submit a revised Work

Program, taking into account the prevailing circumstances and shall notify the APC of the

steps being taken to expedite progress so as to attain Acceptance in accordance with the

Time Schedule.

10. Subcontractors

10.1. The Builder may select and employ Subcontractors and purchase systems and

components from vendors, according to the maker list within Section 0.15 of

Appendix A, Section A ("Maker List"), with respect of the specific items detailed

therein. Notwithstanding the above, the Builder may elect Subcontractors which are

not specified in such aforementioned Sections subject to prior written approval of

APC.

10.2. For items not specified in the Maker List, Builder may also employ such

Subcontractors as it may select, at its discretion, all subject to the provision that such

goods and services supplied shall be in full compliance with the requirements of this

Agreement and the Technical Specifications and within the full liability of the

Builder, and all subject to the prior written consent of the APC.

10.3. For the avoidance of doubt, any such Subcontractor approved by APC in accordance

to this Section above, shall be bound by the terms and conditions of this Agreement,

to the extent applicable.

10.4. The Builder shall continue to be the sole responsible and guarantee the performance of

its obligations hereunder and any breach of the terms and conditions of this

02


Agreement by any Subcontractor will be considered a breach of this Agreement by

Builder.

10.5. The Builder shall hold harmless, indemnify and defend APC and its respective

officers, employees, and shareholders from and against any direct or indirect losses,

damages, fines and expenses including court costs and attorney's fees arising out of or

relating to any claims made by any Approved Subcontractor (or Subcontractor) in

connection with this Agreement. Without derogation from the above, APC shall

inform the Builder of any claims made by an Approved Subcontractor (or

Subcontractor).

11. Design and Engineering

11.1. The Builder shall execute the detailed relevant design and the engineering work in

compliance with the provisions of the Agreement, or where not so specified, in

accordance with good engineering practice. The Builder shall be liable for any

discrepancies, errors, or omissions in the specifications, drawings and other technical

documents that it has prepared, whether these have been approved by the APC or not.

11.2. The copyright in all drawings, documents and other materials containing data and

information furnished to the APC by the Builder herein shall remain vested in the

Builder, or if they are furnished to the APC directly or through the Builder by any

third party, including Builders of materials, the copyright in such materials shall

remain vested in such third party, all copyrights subject to the APC’s right of free use

of said drawings etc. (including the ordering of fabrication of parts) for purposes of

operation and maintenance of the Tugs.

12. APC’s Rights of Inspection

12.1. All work undertaken by Builder may be inspected by the APC, or its duly authorized

representatives (whether “in-house” or third party representatives), at the Builder’s

premises (and/or the Subcontractor’s premises), whether in Israel or abroad, and at all

sites, at any stage of design, production, assembly, transport, and testing, and if found

defective or inferior in quality to, or differing in form or material from the

requirements of the Agreement, may be rejected.

12.2. Frequency and duration of such inspection shall be determined by APC, or its duly

authorized representatives.

12.3. Seven (7) Days Prior to any visit of the Ashdod Project Manager or any representative

on its behalf by advance notification, The Builder shall furnish the APM, at Builder's

expense, one air-conditioned office-room at his yard with a functioning telephone, a

fax machine and an Email connection during the course of the works for the use of the

APM in connection with the above-said inspection.

12.4. Materials or components of any item to be provided under this Agreement, which is

rejected under this Section shall not be considered as having been supplied or

delivered under this Agreement, and the Builder shall within the stipulated time for

delivery specified in the Agreement, deliver satisfactory materials and components

instead of the rejected ones, at the Builder’s own expense. In any event such

materials/components shall be delivered as soon as possible and without delaying the

Timetable.

12.5. If any of the materials or components, completed or in course of production or

assembly, is rejected on inspection or checking, carried out by or on behalf of the

03


APC, the same shall be marked in a manner satisfactory to the APC, so as to ensure its

subsequent identification as a rejected article.

12.6. If, in the event of any rejection as above said, the Builder shall consider itself

aggrieved, it shall be entitled to refer the case to dispute resolution pursuant to Clause

29 below (“Dispute Resolution”), provided that, under no circumstances shall any

reference to dispute resolution justify a delay in production or assembly by the

Builder.

13. Completion and Acceptance

13.1. Tests and Trials, of each Tug, in dock and at sea and otherwise, shall be all carried out

by the Builder at its yard or at Destination, in accordance with section 0.12 to the

Technical Specifications and in accordance with the Time Schedule specified for each

Test or Trial.

13.2. It is hereby clarify that the performance of each Test or Trial is conditioned with the

presence of the APM or representative on its behalf during the relevant Test or Trial.

For the avoidance of any doubt, neither Test nor Trial shall be conducted without the

presence of the APM or representative on its behalf during the relevant Test or Trial.

To the extant such Test or Trial has been conducted without the presence of the APM

or representative on its behalf, APC shall not be bound to the results of such Test or

Trial and the Builder shall be obligated to perform a newly relevant Test or Trial, in

accordance to this subsection.

13.3. The presence or attendance of the Buyer at any of the Tests and Trials shall not, in

itself, affect, diminish or impair the responsibility of the Builder for the carrying out

of the Tests and Trials or any of the obligations of the Builder under or pursuant to

this Agreement.

13.4. The Buyer shall receive from the Builder, at least fourteen (14) days prior to each Test

and/or Trial, a written notice specifying the time and place of the relevant trial and/or

test of each Tug, and the Buyer shall acknowledge receipt of such notice.

13.5. All risks and expenses in connection with the Tests and Trials shall be borne by the

Builder, which shall provide, at its cost, for the relevant Test or the Trial the

appropriate greases, hydraulic, lubricating, fuel and diesel oils necessary for the

performance of the Trials or Tests.

13.6. The Trials shall be carried out under the weather conditions specified in section 0.12

to the Technical Specifications. In the event that the weather conditions on the date

specified for the Trials is worse than that specified in the Technical Specifications, the

relevant Trial shall take place on the first available day thereafter in which the weather

conditions are suitable. It is agreed that, if during the Trials of the Tugs, the weather

suddenly deteriorate and the relevant Trials can no longer be continued, than upon

Buyer's approval, the Trials shall be discontinued and postponed until the weather

conditions are suitable, unless otherwise determined by the Buyer. Any delay of Trials

caused by such unsuitable weather condition, may postpone the Technical Acceptance

Date, as specified in section 13.8.1 below.

13.7. The Builder shall employ a first-class crew for the voyage of the Tugs to Destination.

The Tugs shall commence the voyage to Destination within five days following the

issuance of Technical Acceptance at Yard Protocol. The Builder shall notify the

Buyer, on a regular basis, on the progress of the voyage. Docking time for repairs

04


during the voyage shall be considered permissible delay.

13.8. Technical Acceptance at Yard (the "Technical Acceptance")

13.8.1. The Tugs shall be technically accepted at the Builder's Shipyard at_________

(fill in Builders shipyard city) no later than ___________ (fill in accurate

date) (hereinafter the "Technical Acceptance Date").

The Tugs shall be considered ready for Technical Acceptance when duly

equipped, certified, completed and tested as stated in this Agreement and in

the Technical Specifications, for which the Builder is responsible.

13.8.2. Noise Level & Vibrations

The Noise Level in the Tug’s accommodation, as determined at the Noise

Level Trials reports, as specified in the Technical Specification, will not

exceed the following values:

55 dB(A) in the cabin crew;

60 dB(A) in the Wheelhouse / Navigating bridge;

65 dB(A) in the Mess room.

Noise levels which exceed the aforementioned limits shall be deemed as a

material breach by the Builder, and the Buyer shall have the right to reject the

Tugs, according to section 14 (rejection), and to terminate this Agreement

according to section 28 (termination).

13.8.3. APC shall issue a Protocol of Technical Acceptance at Yard in the form

attached hereto as appendix L, upon successfully completion of the Sea Trial

Test, in accordance with section 0.12 to the Technical Specifications and this

Agreement, and subject to the issuance of all certificate, documents and

drawings specified in section 0.9 to the Technical Specifications. Delivery of

the relevant Tug shall be carried out only after receiving APC signature on

this Protocol, and according to section 7 to this Agreement.

13.8.4. It is agreed that the non-submission of formal certificates and documents

which are to be submitted to Buyer by the Builder at the Technical

Acceptance, as per section 0.9 to the Technical Specification, and which do

not influence in any way the following, shall not prevent Technical

Acceptance, provided that the Builder shall submit to Buyer provisional

certificate and commits to furnish the Buyer with the formal certificates

immediately after such formal certificates have been issued:

Obtaining of Tug’s Deletion Certificate of original foreign flag;

Obtaining of Tug's IMOT applicable registration in Israel;

Receipt of seaworthiness certificates for each Tug;

Tug's in-service operation;

13.9. Final Acceptance at Destination Procedure (the "Final Acceptance"):

13.9.1. The Tugs shall be delivered by the Builder to the Destination in safely afloat

and securely moored alongside Ashdod Port, Israel, fair wear and tear

excepted, with all machinery, equipment and appurtenances charged with the

appropriate hydraulic, lubricating, grease in accordance with this Agreement

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and the Technical Specifications, no later than ___________ (fill in accurate

date) (hereinafter the "Final Acceptance Date").

13.9.2. The Tugs shall be considered ready for Final Acceptance upon its arrival to

the port of Ashdod without having suffered damages during its voyage from

Builders shipyards. Without derogating the aforementioned, the Tugs shall be

delivered to the Buyer, ready for service, with tanks, bilges, accommodations

and all other spaces cleaned in a similar condition as technically delivered.

All painted surfaces shall be touched-up and cleaned. Equipment, outfit and

stores shall be properly stowed and marked, the compass adjusted and all

electric bulbs fitted, according to the Specifications.

13.9.3. Minor items which do not influence in any way the Tug’s in-service

operation shall not prevent Final Acceptance, provided the Builder agrees in

writing to correct such items within one month, and the Builder’s Warranty

period for such item(s) as per section 16 shall begin when such item(s) are

repaired to the full satisfactory of the Buyer.

13.9.4. If any time, prior to Technical Acceptance and/or Final Acceptance, the

vessel was strained, grounded, or in any manner damaged, or its underwater

portions seriously impaired and if it cannot be verified or repaired whilst

afloat, the Buyer may require the vessel to be dry-docked and necessary

repairs shall be made at the Builder’s expense. The Class surveyor shall

decide if such repairs are necessary.

13.9.5. At Final Acceptance, a measurement of the greases, hydraulic, lubricating,

fuel and diesel oils remaining on board in the Tugs’ storage tanks and drums

(hereinafter the "Remaining Fuel and Oil"), shall be jointly made by Buyer

and Builder (to form the Protocol of Stores of Consumable Nature). It is

agreed that the Remaining Fuel and Oil shall be measurable in tanks by joint

sounding or left in unbroached drums.

Buyer shall pay to the Builder for the Remaining Fuel and Oil quantities an

amount that shall be calculated as follow:

The price per litter of Remaining Fuel and Oil, shall be determined in

accordance to prices set in the purchasing invoice/s of the greases, hydraulic,

lubricating, fuel and diesel oils (hereinafter the "Price Per Litter")

For each Remaining Fuel and Oil, the Buyer shall pay to the Builder the sum

equals to: the quantity of each Remaining Fuel and Oil multiply with the

relevant Price Per Litter.

This amount shall be paid by means of a bank transfer to the Builder's

Account within 30 days following the furnishing by the Builder of duly

signed invoice of the Builder.

13.9.6. The following certificates and documents detailed below will be delivered to

the Buyer as a condition for receiving the Final Acceptance Protocol, in

conformity to all above Rules, Regulations, Classification Society and IMOT

requirements:

Declaration of the Builder that each Tug is delivered to the Buyer free

and clear of any liens, charges, claims, mortgages, or other

encumbrances upon the Buyer’s title thereto, and in particular, that the

06


Tugs are absolutely free of all burdens in the nature of imposts, taxes or

charges imposed by any governmental authorities other than the ones of

Israel, as well as of all liabilities of the Builder to its subcontractors,

employees and crew, and of all liabilities arising from the operation of

the Tugs in Sea Trials, or otherwise, prior to Final Acceptance.

Drawings, plans, technical manuals, certificates pertaining to each Tug

as stipulated in the Technical Specifications.

Commercial Invoice, Clean Bill of lading, any document indicating the

place of origin of the works, Original Certificate of Origin or Euro1 and

Non-Manipulation Certificate, Packing lists, and any and all other

documentation necessary to release the Tugs from customs.

Deletion Certificate.

Protocol of Stores of Consumable Nature as specified in the Agreement,

including the original purchase invoices thereof.

The Builder shall supply upon Final Acceptance of each Tug, Three (3)

hard copies sets of "as built" documentation and 3 (three) disk-on-key of

such documentation, to the Buyer. The Buyer may use said “as built”

documentation for the purposes of maintenance, repair or modification of

the said Tugs.

13.9.7. APC shall issue to the Builder a Final Acceptance at Destination Protocol in

the form attached hereto as Appendix M upon completion of the Final

Acceptance at Destination Tests in full compliance with the Technical

Specifications, and subject to all the provisions set forth to that matter in

section 0.12 to the Technical Specification (Appendix A) and subject to the

issuance of all certificate, documents and drawings specified above. The

Warranty Period with respect to such Tug shall begin as of the date of

issuance of the Final Acceptance at Destination Protocol.

13.10. In the event of delays in the Time Schedule, due to causes which are under this

Agreement or as agreed between the Parties, the Technical and /or Final Acceptance

Date shall be postponed in accordance to Buyer's discretion.

13.11. In the event that the Final Acceptance of a Tug has been performed on a date later

then as set in the Time Schedule, then the Final Acceptance shall be subject to the

provision of the applicable Bank Guarantee for Liquidated Damages, in accordance

with Section 18.1 below.

13.12. All works related to the Technical and/or Final Acceptance (including, without

limitation, any repair, assembly of parts, replacement materials, men, designs, tests,

transporting of materials and any other action) and any and all expenses, costs and risk

in connection therewith shall be born and vested in Builder with no additional charge,

and the Builder agrees that the Contract Price already includes due compensation for

Builder for the performance of the Technical and/or Final Acceptance and all

associated works and all related costs and expenses of any kind.

07


14. Rejection:

14.1. Upon rejection of a Tug, pursuant to Test or Trial in the Technical and/or Final

Acceptance procedure, as detailed in section 13 above, APC will send, within fifteen

(15) days, a Rejection Notice to Builder, and will inform Builder of the reasons for

such failure in reasonable detail. Builder will than have fifteen (15) days to repair such

failure/s at its own expense. Upon repair of said failure/s, Builder shall conduct a

newly applicable Test or Trial, similar to the first Test or Trial (the "Second Test or

Trial"). If the Tug fails at the Second Test or Trial, Builder will than have additional

fifteen (15) days to repair such failure/s, following which Builder shall conduct a final

Test or Trial ("Final Test or Trial"). If the Tug fails to successfully pass the Final

Test or Trial, then, APC will be entitled to terminate this Agreement forthwith upon a

material breach of this Agreement by Builder, as specified in section 28 below.

14.2. Without derogating from the above mentioned in subsection 14.1, to the extent that a

Tug fails to successfully pass the Final Test or Trial, then, upon written demand by

APC, to its sole discretion, Builder shall take all required steps so that the rejected

Tug will be taken back to the Builder’s premises (or otherwise removed from APC's

premises) and the Builder shall pay all costs of removal of the rejected Tug from

APC's premises and all other costs and risks of loss or damage with respect to the

rejected Tug and in connection with its return to Builder's premises and/or removal

from APC's premises. In addition, APC shall have the right, but not the obligation, to

require Builder to deliver a replacement Tug in lieu of the rejected one which will be

provided to the Destination at the sole cost and risk of Builder within such period of

time as shall be reasonably determined by APC in said request. To the extent APC

shall exercise this right, the new Tug delivered will be subject, in all respects, to the

same terms and conditions as set forth in this Agreement with respect to the original

Tug delivered.

14.3. It is agreed that the failure of a Tug to pass the Technical and/or Final Acceptance

procedure, as aforesaid, will cause material damages to APC which is relying on the

credible supply of fully compliant Tugs from Builder. Therefore, Builder

acknowledges and agrees that any Rejection of relevant Tug may cause APC to

consider Builder as a non-reliable vendor and seek immediate action to replace it and

purchase the Tug from another vendor(s).

14.4. Upon any Rejection of the Tug, and termination of this Agreement by APC as

specified in this section, and without prejudice, the Builder shall not be entitled to any

payment for any rejected Tug. If the circumstance provided for above shall occur,

then, APC may, in its discretion, require that all Down Payments for a Tug not yet

delivered (to the extent applicable) shall be immediately returned to APC. In addition

to the immediate return of the Down Payment for the rejected Tug, for the avoidance

of doubt, it is agreed that only after repayment of the Down Payment(s) as set forth

above, shall APC return the Payment Guarantee(s). In addition, the Parties agree that

if APC shall be entitled to be repaid the Down Payment by Builder and Builder shall

be delinquent in such repayment for over fourteen (14) days, APC shall be entitled to

submit the Payment Guarantee to the bank for payment.

15. Intellectual Property

The copyright in all drawings, documents and other materials containing data and

information furnished to the APC by the Supplier herein shall remain APC's

intellectual property, whether they are furnished to the APC directly or through the

08


Supplier by any third party, including suppliers of materials. It is hereby clarify that

all copyrights of said drawings etc. are subject to APC’s right of free use. (Including

the ordering of fabrication of parts) for purposes of operation and maintenance of the

Tugs.

16. Warranty; Warranty Period

16.1. Notwithstanding anything to the contrary herein contained, the Builder represents,

warrants and undertakes that any Tug will, upon Acceptance, be free from defects

and/or faults in its design, engineering, materials, systems, components, etc. and in its

workmanship and perform in complete compliance with the terms and conditions of

this Agreement and the Technical Specifications (the "Warranty") for a period of at

least twelve (12) months from the issuance of the Final Acceptance at Destination

Protocol by APC for each applicable Tug. It is expressly agreed by the Parties, that

defects relating to the Main Engines, propulsion system and the Tug’s steel

construction which are discovered during a period of twenty four (24) months after

the Final Acceptance of each Tug, shall be also included in the Warranty ("Warranty

Period").

16.2. The Builder shall bear full responsibility for all damages and losses to each Tug due to

defects and/or faults including, without limitation, design faults, faulty workmanship,

faulty materials or components or Tugs' parts whether done, made or manufactured by

the Builder or any Maker or Subcontractor.

16.3. If the Builder uses products of third parties carrying a warranty which covers a period

of more than the aforesaid period, the same respective period of time will apply to

those products only. At the lapse of the Warranty Period, the Builder will assign its

rights to each such warranty to APC, enabling APC to make use thereof in the

remaining period.

16.4. Upon APC learning of any fault or defect under Warranty, APC shall issue to the

Builder a related Warranty claim stating the nature of the failure, demand for repair

etc. APC shall, at its sole discretion and without imposing any liability on APC, may

perform such repairs that are necessary, according to one of the procedures below:

16.4.1. APC may carry out the repair work by its employees which will be trained by

Builder to perform such repairs, in accordance with Section 0.20 to the

Technical Specification; or

16.4.2. The repair work shall be executed by local contractor subject to Builder's

approval of such local contractor's quotation, with respect to the required

repair work. Builder's approval/disapproval for such repair by local

contractor shall be given to Buyer no later than 48 hours as of Buyer's

submission of the aforementioned quotation. To the extant Builder approved

that the repair work shall be executed by local contractor, such repair shall be

executed accordingly. Following the execution of the repair work, the local

contractor shall submit to the Builder a detailed invoice, and the Builder shall

bear all related costs.

16.5. To the extant the required repair, at Buyer's sole discretion, should be executed by the

Builder itself, or by Maker or Subcontractor, or, alternatively, Builder has disapproved

local contractor's quotation, then the Builder commits that the repair work shall be

executed by the Builder, within three (3) days following receipt of APC's claim notice.

Builder shall continuously, while employing full capacity, perform all necessary

actions and take all measures until the defect, failure of fault has been fully resolved.

09


In the event that the Builder fails to perform satisfactory, at APC's sole discretion,

APC may carry out the repair work and may claim all related costs and expenses from

the Builder.

16.6. No work undertaken by the APC in accordance with this Section shall be deemed to

relieve the Builder of any liability.

16.7. The Warranty services shall be provided to APC during Business Days, standard

working hours at APC (7am - 7pm; working hours on Friday shall be 7am to 3pm

Israel time).

16.8. Should any Tug and/or Tugs' parts be replaced or repaired by virtue of this Warranty,

the Warranty Period of that replaced Tug and/or parts (whatever the case may be)

shall start anew from the day the said part has been replaced or repaired and handed

over to APC, and the respective Warranty Guarantee shall be extended accordingly.

16.9. In the event that during the repairs, spare parts of APC are used, such spare parts shall

be promptly replaced by Builder, at no additional charge to APC and at the expense of

Builder.

16.10. Excluded from the Warranty are items for which repair or replacement are necessary

due to: (i) normal wear and tear - as defined below; (ii) vandalism by parties not

related to the Builder; (iii) gross negligence or willful misuse by APC; and (iv)

damages caused to the Tug by work done by APC or APC's subcontractors on the Tug

which contradict Builder's instructions.

16.11. For the purpose of this section "normal wear and tear" shall mean items which have

restricted life length by nature and are to be replaced periodically, pursuant to normal

operation of Tugs while maintaining the Tugs (for example but not limited to fuses,

bulbs).

16.12. For the avoidance of doubt, during the Warranty Period, all actions taken by the

Builder for the purpose of performing its Warranty related obligations hereunder

(including additional and replacement materials and parts, labor, designs, tests,

transporting of materials etc.) and any and all expenses and costs in connection

therewith shall be performed and borne by Builder with no additional charge and the

Builder agrees that the Contract Price for One Tug already includes due compensation

for the Warranty and all aspects thereof.

16.13. Without derogating from APC's other rights herein, if the Builder fails to commence

the Work or fail to perform the Work in a timely or continuous manner necessary to

remedy a defect or any damage to the Tugs caused by such defect within a reasonable

time, the APC may, following notice to the Builder, proceed to do such work at

Builder's expense and risk. No work undertaken by the APC in accordance hereunder

shall be deemed to relieve the Builder of any liability, for which it shall remain wholly

responsible, as if it had undertaken such Work directly.

16.14. To ensure its obligations for Warranty under this Agreement and this Clause 16, the

Builder shall deliver to APC upon the delivery of the respective Tug to APC, a Bank

Guarantee for Warranty Period as provided in Clause 17 below.

17. Warranty Guarantee

17.1. To ensure Builder's obligations with respect to the Warranty, Builder shall furnish one

Bank Guarantee for the Warranty Period as detailed below.

21


17.2. The Bank Guarantee for the Warranty Period relating to each Tug shall be issued only

from an Approved Bank, for a period of 24 months as of the Final Acceptance of the

relevant Tug, plus forty five (45) calendar days ("Warranty Guarantee Period").

The Bank Guarantee shall be in the amount equal to 10% of the Contract Price for

One Tug, for a period of twelve (12) months from the Final Acceptance of the relevant

Tug. Thereafter, the Bank Guarantee shall be reduced to the amount of 5% of the

Contract Price for One Tug and shall be in valid until the end of the Warranty

Guarantee Period.

17.3. Builder undertakes to extend the Bank Guarantee, from time to time, at the request of

APC so that the Bank Guarantee shall be in force at least 45 (forty five) days

following the extension of the Warranty Period.

17.4. In addition, Builder undertakes to extend the Bank Guarantee upon receipt of APC's

written notice stating that defects/faults have been, to APC’s best understanding,

revealed or disclosed within the Warranty Period, and are not expected to be repaired

by Builder by the end of the Warranty. In such event the Warranty Period shall be

extended for an additional period to be agreed upon between the Parties, and

respective period of the Bank Guarantee shall be extended accordingly. In the event

the Parties do not agree on such period of extension of the Warranty Period, then the

Warranty Period and the respective period of the Bank Guarantee shall be extended

for an additional period of six (6) months. For the avoidance of doubt, the Bank

Guarantee shall also serve as security for the performance of this Subsection.

17.5. In the event the Builder breaches any of its Warranty obligations under this

Agreement, including under the Technical Specifications, APC shall be entitled to

present each Bank Guarantee for Warranty Period to the issuer thereof and demand

payment of the amount covered thereby, all without prejudice to APC’s other rights

and remedies under this Agreement and any applicable law, including, its right to

demand enforcement of this Agreement.

18. Liquidated Damages

18.1. Late Acceptance.

18.1.1. In any event of Acceptance of a Tug after Final Acceptance date, as set forth

in the Time Schedule and above, Builder will pay APC one half of one

percent (0.5%) of the Contract Price for One Tug per each week or any part

thereof of delay of Final Acceptance of such Tug, beyond the Final

Acceptance dates applicable to such Tug, provided that, such liquidated

damages shall not exceed an amount equal to ten percent (10%) of the

Contract Price for One Tug. (“Liquidated Damages for Late

Acceptance”).

18.1.2. APC shall not be entitled to Liquidated Damages for Late Acceptance for

delays of less than thirty (30) calendar days, but for any delay of more than

thirty (30) calendar days after the Final Acceptance date, the Liquidated

Damages for Late Acceptance will accrue from the Final Acceptance date

until actual Final Acceptance of the relevant Tug. Collection of the

Liquidated Damages for Late Acceptance shall be at the discretion of the

APC.

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18.2. Speed

18.2.1. In the event that the speed of the Tugs, as determined in the Speed Trials

reports, as specified in the Technical Specification, is less than 13.00 knots

(as required) but exceeds 12.00 knots, the Builder shall pay the Buyer, Speed

Deficiency Liquidated Damages, in the amount of Euro 5,000 (Five

Thousand Euro) per each full 0.1 knot missing (one-tenth of a knot)

(hereinafter "Speed Deficiency Liquidated Damages"). Notwithstanding the

above, the Buyer may accept such Tug (which its speed is less than 13.00

knots but exceeds 12.00 knots) and the Speed Deficiency Liquidated

Damages shall apply.

18.2.2. If the speed of the Tugs, determined as aforesaid, is 12.00 knots or less, then

such deficiency shall be deemed a material breach by the Builder, and the

Buyer shall have the right to act in accordance with section 28 (Termination

for Builder’s Default).

18.3. Bollard Pull

18.3.1. In the event that the Bollard Pull of the Tugs, as determined at the Bollard

Pull Trials reports, as specified in the Technical Specification is less than

74,000 kilograms (as required) but exceeds 73,000 kilograms, the Builder

shall pay the Buyer, Bollard Pull Deficiency Liquidated Damages, in the

amount of Euro 10,000 (Ten Thousand Euro) per each full tenth of ton

missing (100 kilograms) (hereinafter "Bollard Pull Deficiency Liquidated

Damages"). Notwithstanding the above, the Buyer may accept such Tug

(which its Bollard Pull is less than 74,000 kilograms but exceeds 73,000

kilograms) and the Bollard Pull Deficiency Liquidated Damages shall apply.

18.3.2. If the Bollard Pull of the Tugs, determined as aforesaid, is less than 73,000

kilograms, then such deficiency shall be deemed a material breach by the

Builder, and the Buyer shall have the right to act in accordance with section

28 (Termination for Builder’s Default).

18.4. Deadweight

18.4.1. In the event that the Deadweight of the Tugs at a draft of 6.40 meters, as

determined at the Deadweight Trials reports, as specified in the Technical

Specification, is less than 140 tons (as required) but exceeds 128 tons, The

Builder shall pay the Buyer, Deadweight Deficiency Liquidated Damages, in

the amount of Euro 7,000 (Seven Thousand Euro) per each full ton missing

(hereinafter "Deadweight Deficiency Liquidated Damages").

Notwithstanding the above, the Buyer may accept such Tug (which its

Deadweight is less than 140 tons but exceeds 128 tons) and the Deadweight

Deficiency Liquidated Damages shall apply.

18.4.2. If the Deadweight of the Tugs, determined as aforesaid, is 128 tons or less,

then such deficiency shall be deemed a material breach by the Builder, and

the Buyer shall have the right to act in accordance with section 28

(Termination for Builder’s Default).

18.4.3. For the avoidance of doubt, the ballast water needed in order to get 6.40

meter draft within the agreed margin of 200 mm trim by the head shall not

count to the effects of this section.

22


18.5. The Liquidated Damages will serve as a non-exclusive recourse against Builder,

without prejudice to any other rights of the APC and both Parties agree that the

Liquidated Damages are reasonable and in proportion to the rights and obligations

underlying this Agreement. In the event that the Final Acceptance is delayed by more

than sixty (60) calendar days after the Final Acceptance dates, such delay will be

deemed a material breach of this Agreement by Builder (an “Acceptance Breach”).

Without derogating from APC's rights under this Agreement and any applicable law,

in the event of an Acceptance Breach, APC shall be entitled to each of the following

cumulative remedies, at its sole discretion: (i) collect Liquidated Damages; (ii)

terminate this Agreement due to Builder's Material Breach as per Clause 28 below;

(iii) allow Builder additional time for Final Acceptance (in such case Liquidated

Damages will continue to accrue as set forth above), all of the foregoing without

prejudice to APC’s other rights and remedies hereunder and under applicable law,

including without limitation, its right to demand enforcement of this Agreement, its

right to demand the Liquidated Damages under this Clause 18, and its right to demand

payment of the amount covered by the Performance Guarantee and/or Payment

Guarantees. Further, APC will be entitled to (but not obligated to) collect the

Liquidated Damages from Builder in any manner, including, without limitation,

through the exercise of the Bank Guarantees in case Builder has abstained from

submitting the Bank Guarantee for Liquidated Damages, including in the event of

termination due to Builder's Material Breach.

18.6. If the Final Acceptance of any Tug has been actually performed on a date later than

specified in the Time Schedule, the Builder shall submit to the APC a Bank Guarantee

for Liquidated Damages, in a value calculated according to this section 18, as a

condition precedent to Final Acceptance by APC of the same Tug.

18.7. Additional terms and conditions with regard to the Bank Guarantee for Liquidated

Damages are provided in Clause 6 above.

19. Indemnifications and Liability-

19.1. The Builder shall be solely liable for the care and custody of the Tugs or any part

thereof until Final Acceptance of each specific Tug.

19.2. The Builder shall be solely liable for, and shall indemnify and hold harmless APC, its

officers and employees (the “Indemnified Parties”) from and against all claims, risks

and liabilities and every damage or loss to property, including without limitation,

damage or loss to any property, equipment, tools and/or materials of the Builder or

any of its Subcontractors or anyone acting on their behalf, or injuries to or death of

persons, including officers and employees of APC and third parties, of whatever kind

caused by, or arising out of the acts or omissions performed by the Builder and/or

anyone acting on its behalf.

19.3. Without derogating from the generality of the above, the Builder shall indemnify and

hold harmless the Indemnified Parties from and against all losses, claims, damages, or

other costs of any nature or kind whatsoever arising directly or indirectly out of: a) the

breach of any warranty, representation, or agreement hereunder; b) use of the

Intellectual Property; c) the quality or condition of or defect in the Tug(s); d) any

claims from third parties alleging ownership or right, title or interest, of any kind, in

the Tug(s); e) damage, wrong, loss, death or injury of any kind or nature caused by

any conduct, act, omission or warranty of Builder and/or anyone acting on its behalf,

arising from or related to this Agreement. Such indemnity shall include, without

23


limitation, attorneys’ fees, court costs, investigations, litigations, and settlement of any

claims.

19.4. For the avoidance of any doubt, neither APC nor anyone on its behalf, shall be liable

for any loss or damage, for any reason whatsoever, to the Tugs or any part thereof

until Final Acceptance of each specific Tug and all such liability is hereby expressly

waived by the Builder, provided that the foregoing shall not apply for the benefit of

any one who caused damage with malicious intent.

19.5. In the event that any claim is made against the APC or any lien affixed against it, the

APC may withhold any payments then due or thereafter becoming due to the Builder,

until such claims are satisfied and/or the liens released. Without derogation from the

aforementioned, the Indemnified Parties shall inform the Builder as soon as possible

about any claims, liens, etc.

20. Right and Title.

Notwithstanding anything herein to the contrary, Builder warrants and undertakes that

full, complete and sufficient right and title of each Tug and all deliverables imbedded

therein, free and clear of any third party rights or claims whatsoever will pass to APC

upon issuance of Final Acceptance at Destination Protocol for each Tug by APC.

Without limiting the generality of the foregoing, Builder warrants and undertakes, that

APC will, upon receipt of title as aforesaid, have irrevocable right to use the Tug, spare

parts and deliverables, as applicable, without any limitation whatsoever, including,

without limitation, the right to allow such non limited use of the Tug to third parties, for

consideration or for no consideration, and that such use will not violate or infringe any

right of any third party.

21. Confidentiality

21.1. Each Party shall keep confidential and shall not, without the written consent of the

other Party, divulge to any third party any Confidential Information furnished directly

or indirectly by the other Party hereto in connection with this Agreement or the

business relationship hereunder, whether such Confidential Information has been

furnished prior to, during or following termination of the Agreement. Notwithstanding

the above, the Builder may furnish to its Subcontractor(s) such Confidential

Information it receives from APC to the extent required for the Subcontractor(s) to

perform their work hereunder, in which event the Builder shall obtain from such

Subcontractor(s) an undertaking of confidentiality similar to the one set forth herein.

Likewise, the APC may furnish to any third party, for the purpose of maintenance of

the Tug(s), for transferring or selling the Tugs or for any other commercial or legal

purpose which it deems relevant, at its sole discretion, such Confidential Information

it receives from Builder, to the extent required for such purpose, in which event the

APC shall obtain from such third party(ies) an undertaking of confidentiality similar

to the one set forth hereunder. For the purpose of this Agreement, the term

"Confidential Information" shall mean any document, data or other information

which is confidential in nature and/or that has been identified in writing by the

disclosing party as confidential.

21.2. Neither Party shall use documents, data and other information received from the other

Party for any purpose other than for fulfillment of its undertakings under this

Agreement.

21.3. The confidentiality obligations hereunder shall not apply to that information which:

21.3.1. Now or hereafter enters the public domain through no fault of a Party;

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21.3.2. Can be proven to have been possessed by a Party at the time of disclosure

and which was not previously obtained, directly or indirectly, from the other

Party hereto;

21.3.3. Otherwise lawfully becomes available to a Party from a third party that has

no obligation of confidentiality.

21.4. The confidentiality provisions hereunder shall survive termination, for whatever

reason, of this Agreement.

22. Insurance

22.1. Without derogating from Builder's liability under this Agreement or any applicable

law, the Builder undertakes to procure, through a reputable insurance company, and to

maintain, at its sole expense, during the term of the Agreement, and until Acceptance

of the Tugs, as well as for any additional period during which the Builder is held

liable (whether at law or under this Agreement) including, without limitation, with

respect to the supplied Tugs and/or spare parts and/or the provision of the additional

services pursuant to this Agreement the insurance policies all as set forth in Appendix

G which is an integral part of this Agreement (the “Insurance Certificate") for any

damage or loss suffered by any third party, including APC and/or anyone acting on its

behalf, for its own benefit and for the benefit of APC (hereinafter: "Builder's

Insurances"):

22.2. The Builder shall submit to APC, not later than fourteen (14) days from the date of

this Agreement, the Builder's Insurance certificate duly signed by its Insurer or such

Insurer’s authorized representative. The submission of such certificates and/or its

review or inspection by APC, shall not relieve the Builder of any of its undertakings

hereunder.

22.3. APC may examine the Insurance Certificate, which the Builder is committed to

furnish as set out above, and the Builder undertakes to make any change or

amendment that will be required in order to make it conform with the Builder’s

undertakings. The Builder declares that APC's right to examine the Insurance

Certificate and its right to demand amendments to the Insurance Certificate, as set out

above, does not impose on APC or any party on its behalf any obligation or

responsibility in relation to such Insurance Certificate, or as regards the nature, extent

and validity of the Builder’s insurance coverage or with respect to the absence thereof,

nor does it detract from any liability whatsoever imposed on the Builder herein. APC

is entitled to accept, at its sole discretion, alternate wording to the Insurance

Certificate.

22.4. In addition to the insurances noted in the Insurance Certificate, the Builder shall

procure and maintain the following insurances in respect of any motor vehicle

(including mobile cranes and any other mobile equipment) utilized in the performance

of the works and/or additional services pursuant to this Agreement:

Compulsory insurance covering liability which is required to be insured under

the requirements of the applicable law.

Comprehensive motor insurance as well as third party liability insurance

property damage which shall be extended to indemnify APC in respect of any

liability devolving upon APC as a result of the utilization of such vehicles.

25


Any other insurance maintained by the Builder shall include an express clause

regarding waiver of the right of subrogation towards APC, including its

directors, officers and employees and towards whoever acts on their behalf

and/or in their name.

22.5. The Builder undertakes to fulfill the conditions of the insurance policies affected by it,

fully and punctually pay the insurance premiums and arrange for and ensure that the

Builder’s insurance coverage is in effect according to the Builder’s undertakings.

22.6. The Builder represents and warrants that it shall not have any claims, demands and/or

actions against APC and/or anyone on its behalf, concerning damage with respect to

any property owned and/or used by The Builder, including without limitation any

equipment, tools, materials and/or test gear, and/or concerning damage with respect to

which it is entitled to receive indemnification under its insurance policies; and the

Builder hereby relieves APC and/or anyone on its behalf of any liability for such

damage. The foregoing shall not apply for the benefit of anyone who caused damage

with malicious intent.

22.7. The Builder hereby undertakes to cause that the insurance terms to be brought to the

attention of its managers, employees and Subcontractors, and the Builder shall ensure

that the changes necessary to effectuate the terms of this Agreement shall be executed

both with respect to its insurance policies and with respect to the insurance policies of

the Subcontractors currently engaged and which may be engaged in the future by the

Builder in connection with this Agreement.

22.8. If at any time APC is notified by Builder's insurer/s that any of Builder's Insurances

are about to be cancelled and/or narrowed, the Builder shall re-procure such insurance

prior to the date of such cancellation/narrowing.

22.9. For avoidance of doubt, it is agreed that the limits of indemnity noted under the

liability Insurances mentioned in the Insurance Certificate represent a minimum

requirement. The Builder undertakes to assess the relevant exposure to liability and

determine the limits of liability accordingly.

22.10. Throughout the performance of this Agreement, the Builder shall comply with any

applicable National Insurance Law and all regulations and orders there under so as to

ensure that all personnel employed or engaged by or on behalf of Builder in the

performance of the work and/or additional services shall be entitled to the full benefits

under such applicable law.

22.11. Furthermore, the Builder shall effect and maintain any additional and/or

supplementary insurance as it may deem necessary.

23. Force Majeure

23.1. "Force Majeure" shall mean any event beyond the reasonable control of the APC or

of the Builder, as the case may be, and which is unavoidable notwithstanding the

reasonable care of the Party affected, and shall include, the following:

23.1.1. War or warlike operations (whether a state of war be declared or not),

invasion, act of foreign enemy and civil war;

23.1.2. rebellion, revolution, insurrection, mutiny, usurpation of civil or military

government, conspiracy, riot, civil commotion;

26


23.1.3. impediments related to strikes and lock-outs provided that they do actually

disturb the enterprise of the Party seeking relief;

23.2. For the purposes of subsection 23.1 above, impediment does not include lack of

authorizations, of licenses, of entry or residence permits, or of approvals necessary for

the performance of the Agreement and to be issued by a public authority of any kind

whatsoever in the country of the Party seeking relief.

23.3. If either Party is prevented, hindered or delayed from or in performing any of its

obligations under the Agreement by an event of Force Majeure, then it shall notify the

other in writing of the occurrence of such event and the circumstances thereof within

fourteen (14) calendar days after the occurrence of such event. Notice shall also be

given when the event of Force Majeure ceases.

23.4. The Party who has given such notice shall be excused from the punctual performance

of its obligations under the Agreement for so long as the relevant event of Force

Majeure continues and to the extent that such Party's performance and supply of the

Tugs and/or parts and/or services is prevented, hindered or delayed. In such event the

date for Final Acceptance shall be extended in accordance with Clause 25 below.

23.5. Notwithstanding the aforementioned, a Force Majeure event shall not be treated under

this Agreement as such, unless both the following conditions are satisfied: (i) best

efforts were taken by the affected Party to reduce the impact of the Force Majeure

event on its performance under this Agreement; and (ii) such Force Majeure event had

direct influence on the execution of its performance under this Agreement.

23.6. No delay or nonperformance by either Party hereto caused by the occurrence of

any event of Force Majeure shall:

23.6.1. constitute a default or breach of the Agreement;

23.6.2. give rise to any claim for damages or additional cost or expense occasioned

thereby;

23.7. If the performance of the Agreement is substantially prevented, hindered or delayed

for a single period of more than ninety (90) calendar days or an aggregate period of

more than one hundred and eighty (180) calendar days on account of one or more

events of Force Majeure during the term of this Agreement, the Parties will attempt to

develop a mutually satisfactory solution, including with regard to no fault termination

of the Agreement.

24. Changes

24.1. Introducing a Change. APC reserves the right to propose, and subsequently require,

that the Builder make any change, modification, addition or deletion to, in or from the

Tugs, including changes that are not in the scope of the design and technical demands

under the Technical Specifications (the "Change"), in accordance with the procedure

set forth below:

24.1.1. Minor Changes (as defined below) which have no material effect in terms of

schedule and costs shall be relayed by the Ashdod Project Manager to the

Builder Project Manager in writing and concurrently related to the Builder’s

personnel, subject to the prior approval of the APC Deputy General Manager

of Operation. The Minor Changes shall take effect immediately and shall

upon delivery thereof to the Builder be deemed as an original part of the

Agreement and shall be binding upon the Parties hereto. "Minor Changes": A

27


change shall be considered a Minor Change if its execution does not amount

to more than one half of one percent (0.5%) of the Contract Price for One

Tug and does not require more than three (3) additional working days. In

such an event, the respective costs shall be negotiated in good faith by the

Parties following such execution.

24.1.2. Major Changes - Changes which are not Minor Changes (“Major Changes”)

shall be relayed by the Ashdod Project Manager to Builder Project Manager

in writing, subject to the prior approval of the APC Deputy General Manager

of Operation and APC Deputy General Manager of Finance. If a request for a

Major Changes does not require the Builder to order and/or purchase any

materials and/or services from third parties, then such Major Change shall

take effect immediately following an agreement by APC and the Builder on

the changes to the schedule and costs, and thereafter, shall be deemed as an

original part of the Agreement and shall be binding on the Parties hereto.

If a Major Change is required by APC, the Builder shall make its best efforts

to agree on the changes with APC including with respect to cost and schedule

as soon as possible.

However, in case (i) any request for a Major Change requires the Builder to

order and/or purchase any materials and/or services from third parties, or (ii)

an agreement on prices and schedule is not reached within seven (7) calendar

days, then such request shall be discussed and resolved in good faith, and in

accordance with the provisions of this Agreement (“Settlement of Disputes”)

– provided that, the issue shall not proceed to court and the decision of the

APC Deputy General Manager of Operation shall be final and binding.

Following the resolution such Major Change shall be deemed as an original

part of this Agreement and shall be binding upon the parties hereto.

24.1.3. The Builder may from time to time during its performance of the Agreement

propose to the APC any Change that the Builder considers necessary or

desirable to improve the quality, efficiency or safety of the Tugs. The APC

may, at its sole discretion, approve or reject any Change proposed by the

Builder.

24.1.4. Notwithstanding anything to the contrary herein, no Change may cause a

delay in Final Acceptance unless the APC Deputy General Manager of

Operation specifically authorizes, in advance and in writing, the delay in

Final Acceptance (which shall be approved only in extreme circumstances).

24.1.5. Notwithstanding the above, no change made necessary because of any default

of the Builder in the performance of its obligations under the Agreement shall

be deemed to be a Change, and such change shall not result in any adjustment

of the Contract Price or the time for Final Acceptance.

24.2. A Change, prepared in accordance with mutual agreement between the Parties and

arising out of the request of either Party shall include the following:

24.2.1. brief description of the Change.

24.2.2. estimated cost of the Change.

24.2.3. effect on performance.

24.2.4. effect on any other provisions of the Agreement.

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24.2.5. application to specific Tug(s).

24.3. The pricing of any Change shall, as far as practicable, be calculated in accordance

with the rates and prices included in the Agreement. If such rates and prices are not

applicable, the Parties thereto shall agree on specific rates for the valuation of the

Change.

25. Extension of Time for Final Acceptance

25.1. Final Acceptance of each relevant Tug shall be extended, if requested by the Builder,

in the event that the Builder is delayed or impeded in the performance of any of its

obligations under the Agreement by reason of any of the following:

25.1.1. any occurrence of Force Majeure, as set forth in Clause 23 above;

25.1.2. any Suspension Order given by the APC under Clause 26 below.

by such period as shall be fair and reasonable in all the circumstances and shall be

limited to the extent the Force Majeure or the Suspension has actually hindered the

affected Party from performing its obligations hereunder, fairly reflect the delay or

impediment sustained by the Builder in the critical path of the work, as determined in

the sole discretion of the APC Deputy General Manager of Operation.

25.2. The Builder shall submit to the Ashdod Project Manager a notice of a claim for an

extension of the time for Final Acceptance, together with particulars of the event or

circumstance justifying such extension as soon as reasonably practicable after the

commencement of such event or circumstance. As soon as reasonably practicable after

receipt of such notice and supporting particulars of the claim, the APC Deputy

General Manager of Operation shall decide, at his sole discretion, upon the period of

such extension.

25.3. The Builder shall at all times use its best efforts to minimize any delay in the

performance of its obligations under the Agreement.

26. Suspension

26.1. APC may notify Builder of suspension of Builder's performance of any or all of its

obligations under the Agreement. Such notice shall specify the obligations of which

performance is to be suspended and the effective date of the suspension. The Builder

shall thereupon suspend performance of such obligations (except those obligations

necessary for the care or preservation of the Tugs) until ordered in writing to resume

such performance by the APC. During the period of suspension, the Builder shall not

perform any act without the APC’s prior written approval.

26.2. If, by virtue of a suspension order, other than by reason of the Builder's default or

Builder's breach of the Agreement, the Builder's performance of any of its obligations

is suspended for an aggregate period of more than 120 calendar days, then at any time

thereafter and provided that at that time such performance is still suspended, the

Builder may give a notice to the APC requiring that the APC order the resumption of

such performance within a reasonable time or request a Change in accordance with

Clause 24 above, excluding the performance of the suspended obligations from the

Agreement.

26.3. If the APC fails to order the resumption as detailed in Clause ‎26.2 above, the Builder

may, by a further notice, elect to treat the suspension, where it affects a part only of

the Tug(s), as a deletion of such part in accordance with Clause 24.1 ('Introducing a

29


Change') or, where it affects the whole of the Tugs, as termination of the Agreement

under Clause 27 ('Termination for Convenience').

27. Termination For APC's Convenience

27.1. APC may at any time terminate the Agreement for any reason by giving the Builder a

notice of termination that refers to this Clause 27 and the following terms will apply:

27.1.1. If APC exercises its right of termination for convenience at any time prior to

the issuance of Completion of Tug's Keel Laying Certificate of each Tug

(Appendix I), then Builder's sole and exclusive remedy and APC's sole

liability for the termination under this clause will be the amount of the first

down payment made hereunder by APC to Builder in accordance with Clause

2.1 to Appendix H hereto and APC will surrender any Bank Guarantees

APC then holds in accordance with this Agreement. It is hereby explicitly

agreed that this amount of the first down payment represents a fair and just

compensation for any damages (if any) that may be incurred by Builder due

to termination of this Agreement for APC's convenience at this stage. The

Parties will return each other any Confidential Information that was furnished

(if and to the extent Confidential Information have been furnished) to them

by the other Party in pursuant to this Agreement, including any design

furnished (if furnished) hereunder.

27.1.2. If APC exercises its right of termination for convenience at any time after the

issuance of Certificate of the Builder, approved and signed by Ashdod

Project Manager, in the form attached hereto as Appendix I (Completion of

Keel Laying), APC will pay Builder as Builder's sole and exclusive remedy

Builder's actual and inevitable costs (including reasonable profit margin) as

shall be determine by the Expert (as defined herein below) and the Expert

decision will be final and binding on the Parties, without a right of appeal.

The Expert will have full authority over the matter in order to mitigate the

Parties costs with respect to the termination under this circumstances,

including but not limited to the following: (a) the right to inspect Builder's

work in process and audit all relevant documents; (b) the right to determine

what will be done with any and all parts of the Tugs that were or are being

manufactured and/or delivered in pursuant of the Agreement at the time the

termination notice was issued, (c) to order mitigation actions to be taken by

any of the Parties hereto, and (d) to determine the percentage that will

amount as reasonable Builder's profit margin under the circumstances,

PROVIDED HOWEVER that APC shall not be liable in any event under this

clause for more than the Contract Price.

"Expert" in this Clause shall mean a Naval Architecture and Marine

Engineer who specialized in shipbuilding of Tugs and appointed by the

Classification Society. APC will bear the Expert’s fee, provided Builder

cooperates fully and in a timely manner with the Expert.

27.2. In any event upon receipt of the notice of termination under Sub-Clause (‎27.1), the

Builder shall immediately:

27.2.1. cease all further work except as stated in sub-clause 27.2.2 below, and take

actions to mitigate its damages;

27.2.2. undertake to terminate all works in a safe condition and shall perform any

such work or services as shall be required to achieve such.

31


27.2.3. return all materials, equipment and documents provided (if and to the extent

provided) to Builder by APC (or on APC's behalf).

28. Termination for Builder’s Default

28.1. The APC, without prejudice to any other rights or remedies it may possess, may

forthwith terminate the Agreement under the following circumstances by giving a

written notice of termination and its reasons therefore to the Builder, referring to this

Clause:

28.1.1. If the Builder becomes bankrupt or insolvent, has a receiving order issued

against it, compounds with its creditors, or, if the Builder is a corporation, a

resolution is passed or order is made for its winding up (other than a

voluntary liquidation for the purposes of amalgamation or reconstruction), a

receiver is appointed over any part of its undertaking or assets, or if the

Builder takes or suffers any other analogous action in consequence of debt.

28.1.2. If the Builder commits a Material Breach. For the purpose of this Agreement,

the breach of the following Clauses by Builder shall be deemed a Material

Breach of Builder:

Clauses 3 (Subject matter of the Agreement), 5 (Builder's Warranties

and Representations), 6 (Payment; Bank Guarantees), 7 (Taxes; Duties

and Delivery), 10 (Subcontractors), 13 (Completion and Acceptance), 14

(Rejection), 15 (Intellectual Property), 16 (Warranty; Warranty Period),

17 (Warranty Guaranty), 18 (Liquidated Damages), 19 (Indemnification

and Liability), 20 (Right and Title), 21 (Confidentiality), 22 (Insurance),

31.6 (Independent Contractor) and 31.9 (Assignment).

28.2. If the Builder breaches any of its obligations and/or representation and/or

undertakings hereunder (other than those listed in sub Clause 28.1 above), then APC

may, without prejudice to any other rights it may possess, give a notice to the Builder

stating the nature of the default and requiring the Builder to remedy the same. If the

Builder fails to remedy the same within fifteen (15) calendar days of its receipt of

such notice (or a longer period of time as shall be decided by APC, at its sole

discretion), then the APC may terminate the Agreement forthwith by giving a notice

of termination to the Builder.

28.3. If APC exercises its right to terminate this Agreement due to Builder's Default by

issuing a termination notice to Builder under either sub clause 28.1 above the

following shall apply:

28.3.1. If such termination occurs before the APC issued Certificate stating that the

relevant Tug is ready for launching in accordance with the terms of the

Technical Specification, then upon receipt of the termination notice by

Builder and without prejudice to any other rights APC may possess, Builder

shall refund APC any amounts that have been paid to Builder or to anyone

else on Builder's behalf in accordance with this Agreement and shall pay

APC (in addition to the above mentioned refund), as agreed and reasonable

compensation for APC's anticipated damages due to Builder's default, an

amount that equals to 10% of the Contract Price as agreed termination

liquidated damages (the "Termination Liquidated Damages"). The Parties

acknowledge that the amount of the Termination Liquidated Damages is not

a penalty; that the actual damages are uncertain and difficult to ascertain, and

that the Termination Liquidated Damages amount represents the Parties' good

30


faith attempt to calculate an appropriate compensation based on anticipated

actual damages. It is further agreed, that in such an event of termination any

amount Builder owes to APC by operation of this sub-Clause is a debt due

from Builder to APC that APC may recover in any manner, at its sole

discretion including as provided in sub clause 28.4 below.

28.3.2. if such termination occurs after the APC issued Certificate stating that the

relevant Tug is ready for launching in accordance with the terms of the

Technical Specification, then upon receipt of the termination notice by

Builder and without prejudice to any other rights APC may possess, APC, at

APC's sole discretion, may or may engage third parties to complete the

relevant Tug and all related works, and the following shall occur:

Builder shall: (A) permit or procure permission for APC or third parties

acting on behalf of APC to enter the site(s) to remove or complete the

Tugs; and (B) provide all facilities and assistance reasonably requested

by APC (including but not limited to permit the use of any Builder's

Equipment brought to the Site by or on behalf of Builder).

All sums of money that may then be due or accruing due from APC to

Builder in accordance with the Agreement's terms of payment, shall

cease to be due or to accrue and APC shall not be liable to pay to Builder

any further monies on account of the Contract Price.

APC shall keep a log of any and all of the damages incurred due to

Builder's default, including any and all of its direct and indirect costs and

expenses in completing the Tugs and all related works (including without

limitation, the making good of any defects therein, credit costs, bank

charges, any training on the Tug and the price paid for a Warranty

Period). The Termination Liquidated Damages will be added to such

amount as the Parties reasonable estimation of APC’s expected

additional managerial costs due to Builder's default and the total will be

referred to herein as "APC's Additional Costs".

If the total amount of monies paid to Builder before the date of

termination plus APC's Additional Costs exceeds the Contract Price,

APC may deduct the difference from any payment due to Builder (if any)

and/or recover it by other means as a debt due from Builder, including as

provided in sub clause 28.4 below.

28.4. APC will be entitled to (but not obligated to) collect any of debt due from Builder in

any manner, including, without limitation (and without prejudice to any other way to

collect its damages), through the exercise of the Bank Guarantees. Builder undertakes

to extend the term of any of its Bank Guarantees that have been provided to APC prior

to the time that termination occurred, to enable APC to collect its damages and any

refund out of such Bank Guarantees, to the full extent covered by such Bank

Guarantees APC then holds. For clarity sake, it is expressly agreed that failing to

extend the terms of the Bank Guarantees as above mentioned, will entitle APC with

the right to collect (prior to its respective expiration date) any amount secured under

any Bank Guarantee that its term was not extended as aforesaid.

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29. Dispute Resolution/Governing Law

29.1. Reference to Project Managers. If any dispute shall arise between the Parties in

connection with the Agreement, the Parties (via the Ashdod Project Manager and the

Builder Project Manager) shall first seek to resolve any such disputes by mutual

consultation.

29.2. The Ashdod Project Manager and the Builder Project Manager shall have ten (10)

calendar days to resolve the dispute (referenced in sub-clause 29.1 above), to reach a

mutual decision. If no decision is reached within that timeframe above, the Ashdod

Project Manager and the Builder Project Manager shall refer the dispute in writing to

the APC Deputy General Manager of Operation who shall resolve the matter within

fourteen (14) calendar days of his receipt of such written notification.

If no notice of commencement of suit in the courts of Israel has been given by either

Party within twenty-one (21) calendar days of the written notification of the decision

of the APC Deputy General Manager of Operation, the decision shall become final

and binding upon the Parties. Any decision that has become final and binding shall be

implemented by the Parties forthwith.

29.3. This Agreement shall be governed by and interpreted in accordance with the laws of

Israel without regard to its conflict of law provisions. Any disputes under this

Agreement shall be subject to the sole and exclusive jurisdiction of the competent

courts in Tel-Aviv, Israel.

29.4. The Uniform Law on International Sales (1964) and the United Nations (Vienna)

Convention on Contracts for the International Sale of Goods of April 11, 1980 shall

not be applicable to this Agreement.

30. Options

Should APC decide to exercise its Options, or any part thereof, the terms of this

Agreement shall apply, to such exercised Options.

30.1. Tug Option

30.1.1. APC shall have the right, at its sole discretion, for a period of three (3) years

as of the date of APC's final acceptance of the first Tug to purchase from

Builder up to two (2) additional Tugs, on the same terms and conditions

(including prices), lead times for delivery, shipment, costs, risk, title,

warranties, etc. as the first purchase under the Agreement. Notwithstanding

the aforementioned, the price of the Tug Option (if exercised by the APC), as

of the second (2nd

) year of the Agreement, may be increased by up to two

(2%) percent, per each year, subject to negotiations conducted in good faith

with the APC.

30.1.2. Price and Payment Terms - The consideration for Tug Option shall be in

accordance with the prices and payment terms set forth in Appendix H.

30.2. Optional Features

30.2.1. APC shall have the right, at its sole discretion, to purchase from Builder any

of the Optional Features.

30.2.2. Price and Payment Terms – The consideration for the Optional Features shall

be in accordance with the prices and payment terms set forth in Appendix H.

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30.2.3. Builder hereby undertakes and commits that the prices for the Optional

Features indicated in Appendix H, will be valid and binding upon Builder for

a minimum of two (2) years from the Acceptance of the first Tug delivered to

APC. Thereafter, Builder shall be entitled to increase the features' prices in

up to two (2) percent per each year, all subject to negotiations conducted in

good faith with APC.

30.3. Optional Warranty

30.3.1. In addition to the provisions of the Warranty as specified in section 16 above,

and to Builder's undertaking thereto, it is hereby agreed that during the

second year of the Warranty Period, and for a period of twelve (12) months

after the Warranty Period, Buyer shall have the right, at its sole discretion, to

purchase from Builder Optional Warranty for each Tug, in which Builder

shall provide a complete Warranty, i.e. to the entire Tug, in the same terms

and conditions as per section 16 above (hereinabove the "Optional

Warranty").

30.3.2. Price and Payment Terms - The consideration for Optional Warranty shall be

in accordance with the prices and payment terms set forth in Appendix H.

31. Miscellaneous

31.1. Language. All Agreement Documents, and other correspondence, as well as all

technical documentation to be prepared and supplied under the Agreement shall be in

English.

31.2. Headings. The headings in this Agreement are included for ease of reference and shall

not affect its interpretation.

31.3. Entire Agreement. This Agreement constitutes the entire agreement between the APC

and the Builder with respect to the subject-matter herein and supersedes all

communications, negotiations and agreements (whether written or oral) made prior to

the date herein.

31.4. In the event of an inconsistency between this Agreement and any of its Appendices or

any other document under the Tender, that cannot be settled from the wordings of

such documents, then the order of preference of the documents shall be as follows:

Agreement, Technical Specifications, Agreement Documents (excluding the

Technical Specifications), Tender Documents (including, without limitation,

Invitation for Proposal but excluding the Technical Specifications), Builder's final

proposal.

31.5. Amendments. No amendment of this Agreement shall be effective unless it is in

writing, dated, expressly refers to this Agreement and is signed by a duly authorized

representative of each Party hereto.

31.6. Independent Contractor. The Builder is an independent contractor performing the

undertakings hereunder. Neither this Agreement, nor the business relationship

contemplated hereunder, shall create any agency, partnership, joint venture or other

joint relationship between the Parties hereto.

Subject to the provisions of this Agreement, the Builder shall be solely responsible for

the manner in which its undertakings are performed. All employees, representatives or

Subcontractors engaged by the Builder in connection with the performance of its

undertakings shall be under the Builder’s complete control and nothing in this

34


Agreement shall be construed to create any contractual relationship between such

employees, representatives or Subcontractors, with the APC.

31.7. Waiver. No delay by either Party in enforcing any of the terms and conditions of the

Agreement or the granting of time by either Party to the other shall prejudice, affect or

restrict the rights of that Party under the Agreement, nor shall any waiver by either

Party of any breach of this Agreement operate as waiver of any subsequent or

continuing breach of this Agreement. Notwithstanding the aforementioned, any

waiver of a Party’s rights hereunder must be in writing, dated, and signed by an

authorized representative of the Party granting such waiver, and must specify the right

and the extent to which it is being waived.

31.8. Severability. If any term or condition of this Agreement is prohibited, or rendered

invalid or unenforceable, such term or condition shall not affect the validity or

enforceability of any other term or condition hereunder.

31.9. Assignment. The Builder shall not, without the express prior written consent of the

APC, assign or transfer to any third party the Agreement or any part thereof, or any

right, benefit, obligation or interest therein or thereunder. APC may assign or transfer

this Agreement or any part thereof, or any right, benefit, obligation or interest therein

or thereunder to any third party.

31.10. For the avoidance of any doubt, unless specifically stated otherwise in this Agreement,

Builder shall not offset any amounts due to it from APC, with respect to this

Agreement or otherwise. APC shall have the right, at its sole discretion, to offset any

amount owed to it from Builder against any amount owed to Builder. Builder waives

and shall not make any claims against APC’s right of offset.

31.11. Notices. Notices under this Agreement shall be in writing, shall be sent by personal

delivery, airmail post, by e-mail or facsimile to the address of the relevant Party, set

out below:

Address of APC:

Mr. _______________ Vice President Logistics and Engineering

PO Box 9001, Ashdod Port, Ashdod 77191

Fax: + 972- 8-8517759

E-Mail: [email protected]

Tel: +972-8-8517758

Address of Builder

Mr. ___________________________

________________________________

Fax: ____________________________

E-Mail: ___________________________

Tel: _______________________________

All notices and requests required or authorized hereunder, will be made in

writing either by personal delivery, by registered mail (with confirmed

receipt), by e-mail or facsimile, addressed to the Party intended at its

35


address set forth in the caption above, unless a Party gives written notice

of a change of address. Any notice will be deemed accepted, if sent by e-

mail or fax on the Business Day following its transmission (provided

acceptance was confirmed personally or electronically), if sent by

registered mail, five (5) Business Days following sending of the notice

and if hand delivered, when delivered.

Notices shall be deemed to include any approvals, consents, instructions,

orders and certificates to be provided under this Agreement.

Ashdod Port Company Ltd.:

By: _____________________________ By:________________________

Name: ___________________________ Name:______________________

Title: ____________________________ Title: _______________________

Date:____________________________ Date:_______________________

By: _____________________________

Name: ___________________________

Title: ____________________________

Date:____________________________

Builder:

By: _____________________________ By:________________________

Name: ___________________________ Name:______________________

Title: ____________________________ Title: _______________________

Date:____________________________ Date:_______________________

36


APPENDIX A

Section A

Technical Specifications including Maker List

37


APPENDIX A

Section B

Data Sheet including Technical Mandatory Requirements (TMR)

38


APPENDIX B

PRICE of the Tug and the options

[Please do NOT attach any document hereto]

39


Appendix C

Indicated Form of Performance Guarantee

To: Ashdod Port Company Ltd.

Ashdod Port

Ashdod 77191

Israel, POB 9001

Performance Guarantee

Tug Number_______________ (the "Tug")

Whereas, by Contract No. ______________________ Dated _____________________ made

between Ashdod Port Company Ltd. (hereinafter referred to as "APC") and

_________________ (hereinafter referred to as the "Builder"), the parties entered into a

Contract as therein stated (the "Contract") for the supply of Design, Fabrication, Supply,

Testing and Warranting of 74 Ton Bollard Pull Tractor Tugs, Options, Additional

Services and Spare Parts;

Now, we __________________________(hereinafter referred to as the "Guarantor") hereby

irrevocably guarantee to APC due, punctual, true, faithful and satisfactory performance by the

Builder of the obligations on its part contained in said contract and undertake to be responsible

and indemnify APC for payment by it of all sums of money, losses, damages, costs, charges

and expenses that may become due or payable to APC, by or from the Builder by reason or in

consequence of the default of the Builder in performance, execution or perseverance of its said

obligations, but so nevertheless that the total amount to be determined or regarded or collected

by APC of or from us immediately upon demand of APC, shall not exceed the sum of

_______________________ € comprising ten percent (10%) of the Contract Price of the Tug.

This Guarantee shall not be revocable by notice or otherwise and our liability hereunder shall

not be impaired or discharged by any extensions of time or variation or alterations made, given,

conceded or agreed (with or without our knowledge or consent) under the said Contract.

We hereby agree that any part of the Contract may be amended, renewed, extended, modified,

compromised, released or discharged by mutual agreement between you and the Builder, and

this Guarantee may be exchanged or surrendered, all without in any way impairing or affecting

our liabilities hereunder without notice to us and without the necessity for any additional

endorsement, consent or guarantee by us, provided, however, that the sum guaranteed shall not

be increased or decreased.

This Guarantee shall remain in force until Acceptance of the Tug in writing by you, and until

substitution of this Guarantee by a Warranty Guarantee under the same Contract to be

delivered by the Builder to APC in an amount comprising ten percent (10%) of the Contract

Price for One Tug.

For collecting any amount under this Guarantee, APC shall not have to produce any judgment

or any other judicial document, nor shall it have to prove any breach, failure or non-compliance

on the part of the Builder or on the part of any person acting for it or on its behalf or in its

name or any other person, and written demand by the APC, by registered airmail post to the

addressee at the address set out herein or sent to us by authenticated swift by APC's bankers

who will quote APC's demand in the following form:

41


"Pursuant to the Guarantee issued by you on _____________________, you are

hereby instructed to pay immediately to Ashdod Port Company Ltd. the

sum of ________________________________to Account Number _____________

at __________________________ (Name of Bank) ______________________

_____________________________________

APC Authorized Signatory"

The above wording shall be sufficient for all purposes of this Guarantee, and specifically shall

be sufficient to collect any sum(s) under this Guarantee from the Guarantor immediately upon

the demand of APC.

Except for the demand hereinabove specified, no other documents or other action shall be

required, notwithstanding any applicable law or regulation.

The said Guarantor hereby waives any notice of any default on the part of the said Builder and

hereby waives any demand from APC to first request for payment from the Builder.

No action, event or condition which by any applicable law should operate to discharge us from

liability hereunder shall have any effect and we hereby waive any right we may have to apply

such law, so that in all respects our liability hereunder shall be irrevocable and, except as stated

herein, unconditional in all respects.

This Guarantee shall be governed by and interpreted in accordance with the laws of the State of

Israel. All matters in dispute shall be referred to the competent court located in Tel Aviv,

Israel, and the competent Israeli courts shall have sole and exclusive jurisdiction in all matters

arising therefrom.

_____________________ ________________________________

Date Guarantor

Address of Bank: ___________________________________________________

40


Appendix D

Indicated Form of Payment Guarantee


Ashdod Port

Ashdod 77191

Israel, POB 9001

Payment Guarantee

Tug Number_______________ (the "Tug")

Whereas, by Contract No. ______________dated _______________ made between Ashdod

Port Company Ltd. (hereinafter referred to as "APC") and _________________________

(hereinafter referred to as the "Builder") the parties entered into a Contract as therein stated (the

"Contract");

Now, we _________________________________ (hereinafter referred to as " Guarantor")

hereby irrevocably guarantee to APC to be responsible and indemnify APC for repayment by

_________________ to APC of the sum of _____________________________________€

Euros, which represents monies that are due to APC from the Builder, and/or that have been

paid, advanced, disbursed or forwarded, directly or indirectly to the Builder by APC, and or

pursuant to the above-noted Contract.










This Guarantee shall remain in force until Acceptance in writing by APC of the Tug in strict

accordance with the provisions of the above Contract, whereupon, APC shall return this

Guarantee to the Guarantor. The return of this Guarantee to the Guarantor or the Builder as

aforesaid constitutes the cancellation of this Guarantee.




name or any other person, and a written demand by the APC by registered airmail post to the

addressee at the address set out herein or authenticated by APC's bankers by tested

telex/authenticated swift or sent to us by tested telex/authenticated swift by APC's bankers who

will quote APC's demand or as otherwise advised by and between the parties hereto in the

following form:

42





at __________________________(Name of Bank) ______________________

_____________________________________




the demand of APC.












arising therefrom.

_______________ _________________

Date Guarantor

Address of Bank: _______________________________________

43


Appendix E

Bank Guarantee for Warranty Period


Ashdod Port

Ashdod 77191

Israel, POB 9001

Warranty Guarantee for the Warranty Period

Tug Number _________________ (the "Tug")

Whereas, by Contract No. ____________ Dated ______________________ made between

Ashdod Port Company Ltd. (hereinafter referred to as "APC") and ________________

(hereinafter referred to as the "Builder"), the parties entered into a Contract for Design,

Fabrication, Supply, Testing and Warranting of 74 Ton Bollard Pull Tractor Tugs,

Options, Additional Services and Spare Parts as therein stated (the "Contract");

Now, we ___________________________ (hereinafter referred to as "Guarantor") hereby

irrevocably guarantee to APC due, punctual, true, faithful and satisfactory performance by the

Builder of the obligations on its part contained in said Contract and undertake to be responsible

and indemnify APC for payment by it of all sums of money, losses, damages, costs, charges

and expenses that may become due or payable to APC, by or from the Builder by reason or in

consequence of the default of the Builder in performance, execution or perseverance of its said

obligations, including all and each of the Builder's warranty obligations under the said Contract

during the Warranty Period in respect of the Tug, but so nevertheless that the total amount to

be determined or regarded or collected by APC of or from us immediately upon the demand of

APC, shall not exceed: (a) the sum of [____________]€, comprising ten percent (10%) of the

Contract Price of the Tug for a period of twelve (12) months from the date of Final Acceptance

at Destination of the Tug; and (b) the sum of [_________]€, comprising five percent (5%) of

the Contract Price for the Tug for an additional period of thirteen and half (13.5) months.




We hereby agree that any part of the Contract may be amended, renewed extended, modified,






This Guarantee shall remain in force until ________________, [that is to say, until 45 days

after the expiration of the Warranty Period under the Contract, "Warranty Period" being

twenty four (24) months from Final Acceptance at destination of the Tug.

In addition in the event that defects/faults have been, to APC’s best understanding, revealed or

disclosed within the Warranty Period and are not expected to be repaired by Builder by the end

of the Warranty Period, then the respective part of this Guarantee shall be extended for an

additional period to be agreed upon between APC and Builder. In the event that APC and

44


Builder do not agree on such period of extension, the respective part of this Guarantee shall be

extended for an additional period of six (6) months.




name or any other person, and a written demand by APC by registered airmail post to the

addressee at the address set out herein, or sent to us by authenticated swift by APC's bankers

who will quote APC's demand or as otherwise advised by and between the parties hereto, in the

following form:




at __________________________(Name of Bank) ______________________

___________________________________________




the demand of APC.



This Guarantee shall be valid and come into force only against the return to the Builder of the

Performance Guarantee in respect of the Tug.










arising therefrom. _______________ _____________________________________

Date Guarantor

Address of Bank: ______________________________________________________________

45


Appendix F

Bank Guarantee for Liquidated Damages


Ashdod port

Ashdod 77191

Israel, POB 9001

Liquidated Damages Guarantee

Tug Number ________________ (the "Tug")

Whereas, by Contract No .__________________________dated ______________ made

between Ashdod Port Company Ltd. (hereinafter referred to as "APC") and ________,

(hereinafter referred to as "the Builder"), the parties entered into a Contract for Design,

Fabrication, Supply, Testing and Warranting of 74 Ton Bollard Pull Tractor Tugs,

Options, Additional Services and Spare Parts as therein stated (the "Contract");

Now, we _______________________________ (hereinafter referred to as the "Guarantor")

hereby irrevocably guarantee to APC due, punctual, true, faithful and satisfactory performance

by the Builder of the obligations on its part contained in said Contract and undertake to be

responsible and indemnify APC for payment by it of the sum of __________________ €, due

or payable to APC by or for the Builder by reason or as a consequence of the default of the

Builder in performance of its obligation to deliver the above said Tug on a certain date agreed

between the parties as specified in the Contract, or as extended (if an extension was granted)

under the Contract.



concede or agreed (with or without knowledge or consent) under the said Contract.







This Guarantee shall remain in force for a period of four (4) months from the date it has been

issued and shall be extended in accordance with your written request for an additional three (3)

month period.




name or any other person, and a written demand by APC by registered airmail post to the

addressee at the address set out herein, or sent to us by authenticated swift by APC's bankers

who will quote APC's demand or as otherwise advised by and between the parties hereto in the

following form:

46





at __________________________(Name of Bank) ______________________

_____________________________________




the demand of APC.












arising therefrom.

_________________ __________________________________

Date Guarantor

Address of Bank: ______________________________________________

47


APPENDIX G

INSURANCE CERTIFICATE

[Please note, Builder may submit instead of the following Insurance Certificate, two

insurance certificates: (i) Insurance certificate with respect to Public (third party)

liability insurance policy and Product Liability which shall be issued by the Builder's

insurer; and (ii) Insurance certificate with respect to Employer's Liability

Insurance/Workers Compensation which shall be issued by Builder's Local

Representative's insurer. In such event APC will provide the versions of the two

Insurance Certificates to Builder and may insert certain amendments, as it deems

necessary, to Section 22 above.]

Date: _______________

To: ASHDOD PORT COMPANY LTD. (hereinafter “APC”)

Insurance Certificate in connection with Design, Fabrication, Supply, Testing and

Warranting of 74 Ton Bollard Pull Tractor Tugs, Options and Spare Parts and

additional services pursuant to an Agreement executed between APC

and___________________________ (the "Builder ") on

_______________________________(the "Agreement")

We hereby confirm that as of ______ and until ____________, we have issued in favor of

the Builder, its sub-contractors and/or anyone acting on their behalf, including Builder`s

local agent the following insurance policies with respect to the Builder's activity pursuant

to the Agreement.

1. Employer’s Liability Insurance / Workers Compensation:

Covering the liability of the Builder to employees employed by the Builder in accordance

with the Torts Ordinance (New Version) and/or the Defective Products Act – 1980, in

respect of death and/or bodily injury and/or psychiatric injury to any employee as a

consequence of an accident or illness during and due to execution of the services with a

limit of liability of $ US 5,000,000 per employee, per occurrence and in the aggregate for

the period of insurance. The insurance is extended to indemnify the APC if it is determined

that due to the occurrence of the work accident and/or occupational disease, the APC is

liable in any manner as an employer of the Consultant’s employees.

2. Public (Third Party) Liability Insurance Policy:

Covering the Builder’s legal liability towards any third party in respect of any loss or

damage caused during the period of the Agreement and/or in connection therewith, with a

limit of liability of not less than $ US 5,000,000 per occurrence and in the aggregate for

the period of insurance.

48


The insurance is extended to cover APC for its liability for the actions and/or omissions of

the Builder and/or anyone acting on its behalf, subject to a cross-liability clause pursuant

whereto the policy shall be deemed to have been taken out separately for each of the

insured listed on the policy.

This Insurance is not subject to any limitation regarding liability deriving from lifting

devices, cranes or elevators, loading and unloading, strikes and lock-outs, riots and

commotion, contractors and subcontractors and their workers, damage to property on

which the insured or any person in its service are or were working on at the time of the

occurrence of the insurance event, vehicles (with the exception of liability under the Israeli

Road Accident Victims Compensation Law, 5735-1975, as applicable) up to the sum of

$250,000 above the insurance amount covered under the vehicle insurance within the scope

of third party property insurance.

Any person employed under the Agreement not being a direct employee of the Builder, will

be deemed to be a third party under this policy.

This Insurance will explicitly state that APC and its property and workers, shall be

regarded as third party.

3. Product Liability

Product liability insurance with a limit of liability of no less than US$ 5,000,000 per

occurrence and in the aggregate for the period of insurance covering the Builder’s legal

liability in respect of equipment, including supplementary/ancillary equipment and/or any

type of machinery, spare parts, etc., which shall be supplied and/or installed and/or

otherwise treated by the Builder or on its behalf (the “Equipment”) pursuant to the

Agreement.

The policy is extended to indemnify APC for its liability for personal injury or damage to

property which is caused due to the Equipment, subject to a cross-liability clause, pursuant

to which the policy is considered to have been procured separately for each of the insured

entities, as if it was issued solely in such name. The policy shall apply retroactively as of

the date at which the Builder supplied the Equipment, even if supplied prior to the

execution of the Agreement.

The policy includes an extended reporting period clause of at least 12 months, pursuant to

which, in the event that the insured party does not renew the said policy, the policy shall

cover damage which originated during the insurance period, with respect to which

notification was sent to us during the notification period.

The following provisions apply to the above policies:

a. The said policies have preference over any other insurance procured by APC, and

the insurer hereby waives any claim or demand, which it may have with respect to

the participation of their insurances.

b. We waive our right to subrogation against APC and anyone acting on its behalf,

including their employees and officers. The policies described above shall not be

reduced or cancelled, without 30 days prior written notification thereof, sent to the

APC via registered mail.

49


c. The policies shall be subject to worldwide territorial limits and jurisdiction.

d. We agree to submit to the exclusive jurisdiction of the courts in the State of Israel.

e. We are aware that the Builder alone is liable for payment of the insurance premiums

and deductibles.

This confirmation is subject to the terms, conditions and provisions of the original policies

insofar as not expressly altered by the aforegoing.

Yours faithfully,

______________________________

Insurance Co. Ltd

______________________________

Signatory's name and position

51


APPENDIX H

Price Schedule, Terms and Procedures of Payment

50


APPENDIX I

Completion of Tug's Keel Laying Certificate

Yard No. ________________

To: (yard name) _________________________________ ("Builder")

From: Ashdod Port Company Ltd. ("APC")

Re: Agreement No. 2582/YAM/15

We hereby confirm that the keel laying of the Tug Yard No._________________, build by (yard name)

_________________________ is completed, and that a certificate from the classification society

certifying that keel laying of the tug has been issued, except as herein specifically listed in the

corresponding punch list:

Punch List (Completion of Tug's Keel Laying):

No. Item To be closed

by (date)

Remarks

(Category)

1.

2.

3.

4.

5.

THIS CERTIFICATE IS ISSUED WITHOUT PREJUDICE TO THE RIGHTS

AND POWERS OF APC OR OBLIGATIONS OF BUILDER UNDER THE

AGREEMENT AND/OR APPLICABLE LAW.

For APC:

By: _________________ Title: _______________

Date: _______________

52


APPENDIX J

Certificate for the Completion of installation of the propellers in Tug

Yard No. ________________




We hereby confirm the Completion of installation of the propellers in Tug Yard No.

____________________, Build by (yard name)_______________ in full compliance with section 4.3

to the Technical Specifications, except as herein specifically listed in the corresponding punch

list:

Punch List (Completion of installation of the propellers):


by (date)

Remarks

(Category)

1.

2.

3.

4.

5.

THIS DOCUMENT IS ISSUED WITHOUT PREJUDICE TO THE RIGHTS

AND POWERS OF APC OR OBLIGATIONS OF BUILDER UNDER THE

AGREEMENT AND/OR APPLICABLE LAW.

For APC:

By: _________________Title: _______________

Date: _______________

53


Appendix K

Readiness of the Tug for Launching Certificate

Yard No. ______




We hereby certify that Tug with Yard No______________ is ready for Launching, in full

compliance with section 0.11 to the Technical Specifications, except as herein specifically

listed in the corresponding punch list:

Punch List (Tug's readiness for Launching):


by (date)

Remarks

(Category)

1.

2.

3.

4.

5.

THIS DOCUMENT IS ISSUED WITHOUT PREJUDICE TO THE RIGHTS AND

POWERS OF APC OR OBLIGATIONS OF BUILDER UNDER THE AGREEMENT

AND/OR APPLICABLE LAW.

For APC:

By: _________________Title: _______________

Date: _______________

54


Appendix L

Protocol of Technical Acceptance at Yard




This Protocol of Technical Acceptance at Yard is made in __________ on _________at

______ hours (local time).

We hereby certify that Tug with Yard No______________ completed all shop, dock and Sea

Trials required in full compliance with section 13.8 to the Agreement, and is ready for

departure to Israel, except as herein specifically listed in the corresponding punch list:

1. Punch List (Protocol of Technical Acceptance at Yard):


by (date)

Remarks

(Category)

1.

2.

3.

4.

5.

2. We also certify that, together with this Protocol of Technical Acceptance at Yard, we

received from the Builder all certificates, documents, Drawings, pertaining to the Tug,

in accordance to the Agreement and the Technical Specification.




For APC:

By: _________________Title: _______________

Date: _______________

55


Appendix M

Protocol of Final Acceptance at Destination




This Protocol of Final Acceptance at Destination is made in __________ on

_________at ______ hours (local time).

We hereby certify that Tug with Yard No______________ has been accepted and taken over

by the APC, following the carrying out of the Tests in full compliance with section 13.9 to the

Agreement, except as herein specifically listed in the corresponding punch list:

1. Punch List (Protocol of Final Acceptance at Destination):


by (date)

Remarks

(Category)

1.

2.

3.

4.

5.

2. We also certify that, together with this Protocol of Technical Acceptance at Yard, we

received from the Builder all certificates, documents, Drawings, pertaining to the Tug, in

accordance to the Agreement and the Technical Specification.




For APC:

By: _________________Title: _______________

Date: _______________

56


Appendix N

Certificate of Propriety

In addition to the duties and prohibitions applying thereto by power of the law, including

the penal law 5737-1977, the Builder hereby undertakes and declares as follows:

(1) The Builder has neither directly nor indirectly solicited and/or given and/or

received any benefit and/or funds and/or anything of value with the intention to

influence directly or indirectly the Ashdod Port Company's decision to execute

this Agreement, including any decision of the Ashdod Port Company ("APC")

and/or of any employee of APC and/or any person on the behalf thereof regarding

this Agreement, and shall refrain throughout the whole term of this Agreement,

from any such act including in co-operation with any officer of APC and/or

employee of APC that may result in any undue influence on APC's decisions

regarding the management of this Agreement.

(2) The Builder shall not solicit and/or cooperate, directly or indirectly with any

officer of APC and/or employee of APC and/or any person on behalf thereof

and/or any other in order to obtain any restricted/confidential information in

connection with this Agreement and/or any Purchase Orders and/or change order

placed there-under;

(3) The Builder has neither directly nor indirectly solicited and/or co-operated with

any officer of APC and/or employee of APC and/or any person on the behalf

thereof and/or with any other prior to executing this Agreement with APC in

order to establish artificial and/or non-competitive prices and/or payments in this

Agreement or in connection thereto, and shall refrain from doing so throughout

the whole term of this Agreement.

(4) The Builder has brought the above declarations and undertakings to the attention

of its employees, subcontractors, and anyone that is involved in any manner on

Builder's behalf in this Agreement and/or any of the Purchase Orders there-under.

(5) The Builder hereby declares and acknowledges that any event of a failure to

comply with the above declarations and/or undertaking constitutes a material

breach of this Agreement, and APC is entitled, in its sole and exclusive discretion

to terminate or cancel without prior notice the Agreement and/or cancel any

Purchase Order for such Builder's default, and the Builder hereby waive any

claim and/or demand and/or cause of action against APC of whatever nature and

kind Builder may have or may hereafter acquire (actual and consequential)

arising out of or in any way related to or connected with such termination.

___________________ By

____________________ Date

57


Appendix O

Time Schedule

1 2702702נספח תנאי תשלום גוררת עדכני לאחר הערות

Appendix H

Price Schedule, Terms and Procedures of Payment

[Not to be completed until the execution of the Agreement]

I. The Contract Price ("CP")

APC, for and in consideration of the Builder completely and faithfully executing its obligations

under the agreement No. 2582/YAM/15 between the parties, of The Design, Fabrication,

Supply, Testing and Warranting of 74 Ton Bollard Pull Tractor Tugs, Options, Additional

Services and Spare Parts (the "Agreement") in accordance with the Agreement terms,

including, without limitation, the Technical Specifications, so as to fully carry out the

Agreement, hereby covenants to pay to the Builder an amount of ___________ Euros

(hereinafter referred to as the "Contract Price" or "CP" as defined in the Agreement) in the

manner further described in the Agreement and in this Appendix.

Unless otherwise specifically stated herein or within the Agreement, all prices shall be fixed

and final and shall not be liable to any changes or fluctuations whatsoever, and the Builder will

accept the Contract Price as full compensation and consideration therefore. The prices herein

are in Euros.

In order to eliminate any doubt, it is herewith stated that the Contract Price includes all that

which is to be provided, supplied, carried-out, etc. in accordance with the Agreement

(including, without limitation, the Technical Specifications), including any and all

consideration with respect to Basic Training and Warranty.

Contract Price for One Tug (as defined in the Agreement) – __________ Euro

(The "CP for One Tug").

In the event that APC shall exercise any of the Optional Features at the Effective Date, then the

consideration of such Optional Feature, as specified below, shall be added to the CP and to the

Contract Price for one Tug.

II. Times of Payment and Guarantees

The Contract Price shall be paid at the times and in the manner set out herein and all

Guarantees to be furnished shall be as set out hereinafter and in the Appendices herein, except

if otherwise agreed in writing by APC in advance of any payment.

Buyer shall pay to the Builder for the greases, hydraulic, lubricating, fuel and diesel oils

remaining on board in the Tugs’ storage tanks and drums, in accordance to all provisions set in

section 13.9.5 to the Agreement.

Payments (all sums in Euros)

1 First Payment

1.1 Ten percent (10%) of the CP for One Tug, i.e., ________ Euros shall be

deposited directly to the Builder's Bank Account following the Effective Date.

The first payment shall be made by means of a bank transfer to the Builder's

Account No. ______________________ ("Builder's Bank Account") within

30 days following the furnishing by the Builder of the following documents:


1.2 Duly signed invoice of the Builder for the amount set out in Section 1.1 above;

and

1.3 One (1) Performance Guarantee, relating to the specific Tug, in the amount of

10% of the CP for One Tug, as set out in Appendix C attached to the

Agreement; and

1.4 One (1) Payment Guarantees, relating to the specific Tug, in the amount of ten

percent (10%) of the CP for One Tug, as set out in Appendix D attached to the

Agreement; and

1.5 Certification of the Insurer, as set out in Clause 22 to the Agreement and in the

form of Appendix G attached to the Agreement.

2 Second Payment

2.1 Fifteen percent (15%) of the CP for One Tug, i.e. _________ Euros shall be

paid to the Builder's Bank Account by means of a bank transfer within 30 days

following the completion of the Keel Laying, and after the Builder has furnished

the following documents in the forms set out herein:

2.2 Duly signed invoice of the Builder specifying the amount noted in Section 2.1

above; and

2.3 One (1) Payment Guarantee, relating to the specific Tug, in the amount of

fifteen percent (15%) of the CP for One Tug, as set out in Appendix D attached

to the Agreement; and

2.4 A certificate from the classification society certifying that keel laying of the

relevant Tug has been made; and

2.5 Certificate of the Builder, approved and signed by Ashdod Project Manager, in

the form attached hereto as Appendix I (Completion of Keel Laying), stating

that the Keel Laying of the relevant Tug has been completed, in accordance

with the terms stated therein.

3 Third Payment

3.1 Fifteen percent (15%) of the CP for One Tug, i.e. _________ Euros shall be


following the completion of the installation of the propellers on the relevant

Tug, and after the Builder has furnished the following documents in the forms

set out herein:


above; and


fifteen percent (15%) of the CP for One Tug, as set out in Appendix D attached



3.4 A certificate from the classification society certifying that the installation of the

propellers on the relevant Tug has been made; and


the form attached hereto as Appendix J (installation of the propellers), stating

that the installation of the propellers on the relevant Tug has been made in

accordance with the terms stated therein.

4 Fourth Payment

4.1 Twenty percent (20%) of the CP for One Tug, i.e. _________ Euros shall be


upon readiness of the relevant Tug for launching, and after the Builder has

furnished the following documents in the forms set out herein:


above; and


twenty percent (20%) of the CP for One Tug, as set out in Appendix D attached


4.4 A certificate from the classification society certifying that the specific Tug is

ready for launching; and


the form attached hereto as Appendix K (readiness of the Tugs for launching),

stating that the relevant Tug is ready for launching in accordance with the terms

stated therein.

5 Fifth Payment

5.1 Twenty five percent (25%) of the CP for One Tug, i.e. _________ Euros shall

be paid to the Builder's Bank Account by means of a bank transfer within 30

days upon Technical Acceptance at Yard of the relevant Tug, and after the

Builder has furnished the following documents in the forms set out herein:


above; and


twenty five percent (25%) of the CP for One Tug, as set out in Appendix D

attached to the Agreement; and

5.4 A signed original Protocol of the Technical Acceptance at Yard of each Tug, by

both Parties, in the form attached to the Agreement as Appendix L.


6 Sixth Payment

6.1 fifteen percent (15%) of the CP for One Tug, i.e. _________ Euros shall be paid

to the Builder's Bank Account by means of a bank transfer within 30 days upon

Final Acceptance at Destination of the relevant Tug, and after the Builder has

furnished the following documents in the forms set out herein:


above; and

6.3 A Warranty Guarantee, as set out in Section 17 of the Agreement; in the amount

of 10% of the CP for One Tug, in the form specified in Appendix E; and

6.4 A signed original Protocol of the Final Acceptance at Destination of the relevant

Tug, by both Parties, in the form attached to the Agreement as Appendix M;

and

Upon the payment of the amount set out in this Clause 6, APC shall issue such instructions as

will be necessary to cancel and/or return the Payment and Performance Guarantees relating to

each Tug.

VAT payments to local subcontractors

Value Added Tax (VAT) - if any - levied on Works and services rendered in Israel or abroad

by the Contractor's Israeli subcontractor(s) shall be borne by APC, subject to the following

procedure, but only in the event that each invoice from any such Subcontractor or any group of

invoices for payment from such subcontractor exceeds NIS 2,500 (two thousand five hundred

New Israeli Shekels) of VAT which is payable (PROVIDED HOWEVER, that each such

subcontractor may only once - whether with regard to the "last payment" or at any other time -

furnish an invoice calling for payment of less than NIS 2,500 if such invoice is approved by the

Contractor as set forth below). The procedure set forth below may be amended, at APC's

request, only after receiving Contractor's written consent, provided that such consent shall not

be unreasonably withheld. Contractor hereby represent and warrants that it shall not offset and

shall not apply to the tax authorities to offset those Israeli VAT payments levied on its

subcontractors and reimbursed by APC in accordance with the operation of the

sections detailed below

The following documents shall be presented by the Israeli subcontractors to APC:

(i) Israeli subcontractors' invoices shall be made out in the name of the Contractor only.

Each invoice shall state separately the amount actually received from the Contractor in

connection only with the Works under this Contract and the respective amount - if any - of

VAT.

(ii) A confirmation, signed by the Contractor, that the amount, less the VAT, has been paid

to the subcontractor by him in the following form:

"We hereby confirm that under the Agreement dated……………….the sum of

[_____________] was transferred on [__________] (date) to [__________________] (name of

Israeli subcontractor) on our instructions pursuant to the above-noted Agreement to the


subcontractor's Account No [_______________] at [___________________] (name of bank)

based on subcontractor's invoice No. [__________________] dated [___________]"

(iii) Certificates of the appropriate Israeli and foreign banks verifying the transfer of the sum

from the Contractor to the Israeli subcontractor and stating specifically the names of the

Contractor and the subcontractor who has received the amount and the date upon which the

transfer was made.

(iv) The corresponding invoice of the subcontractor to the Contractor.

(v) Upon receipt of said documents, APC shall reimburse the respective subcontractor with

the sum of VAT so levied according to the representative rate of exchange of the Bank of Israel

for the NIS to the Euro on the basis of the subcontractor's invoice date.

Buyer will apply to the VAT authorities in ISRAEL in order to receive permission to deduct

the VAT paid to any local subcontractor.

In case the Buyer does not receive the required authorization from the Israeli VAT

Authorities for the deduction of the VAT as aforementioned, such VAT shall be paid by

the Builder.

III. Prices and Payment Terms For Options

1. Optional Features

No. Subject Quantity Price

(Euros)

1 Aluminum foldable mast according to

technical specification para 2.4

2

2 Towing winch with double drams. Each

dram with 120 m synthetic/fibre rope

according to technical specification

para 2.1.2

1

3 FENDER - one (1) cylindrical

approximate 1400 mm diameter gender

surround the tug's stern according to

technical specification para 2.2

1

4 Active and adjustable anti-reflection

system embedded in the bridge

windows according to technical

specification para 3.2 & 3.5.2

1

5 Entertainment System according to

technical specification para 3.4.4

1

6 Internet Network according to technical

specification para 3.4.5

1

7 CuNiFe sea water piping system

according to technical specification

para 6.2

1


In the event that APC shall exercise any of the Optional Features after the Effective

Date, then the consideration of such Optional Feature, shall be paid to Builder

following thirty (30) calendar days of the written approval of the Ashdod Port Manager

stating that the relevant Optional Feature/s has been delivered to APC and tested to his

satisfaction and in accordance with the Technical Specifications.

2. Optional Tug

The payment terms and conditions as detailed above with respect to each specific and

distinct Tug shall apply for payment of the Optional Tugs, as specified in section 30.1

to the Agreement, including with respect to the furnishing of the relevant documents

and Guarantees.

3. Optional Warranty

Price for Optional Warranty during the second year of the Warranty Period, as

specified in section 30.3 to the Agreement _________ EURO.

The price for this option shall not include Builder's Warranty relating to the

Main Engines, propulsion system and the Tug’s steel construction, which are

already included in the Warranty and in the price for one Tug.

Price for Optional Warranty for the period of twelve (12) months after the

Warranty Period__________ EURO.

In the event that Buyer shall order any of the Optional Warranty, the Builder

shall be entitled for such consideration after six (6) months as of the

commencement of each option. The consideration shall be made within thirty

(30) days as of the submission of valid, properly detailed invoice to the Buyer.

P.O.B 9001, Ashdod 77191 Israel, Tel 08-8516403, fax. 08-8517408, Email: [email protected]

Evaluation - Voith propeller Tractor concept Tugs - 9715 - A 91791עדכני

Equipment & Maintenance Department

Appendix E

The Quality and Technical evaluation of Technical Proposal will be made according to the following detailed list and values. This evaluation weights 70% of the Technical Evaluation:

* Total evaluation score - Voith propeller Tractor concept Tugs

1 Operational checking 30%

+ 1.1 Bollard pull at 100% Maximum Continuous Rating (MCR) 10%

1.2 speed 10%

+ 1.2.1 Forward free running speed 40%

+ 1.2.2 Reverse speed 30%

+ 1.2.3 Sides speed 30%

1.3 Exterior Fire Fighting System - system capability (water mix with foam) 10%

+ 1. 3.1 Water 30%

+ 1. 3.2 Foam 30% + 1. 3.3 Throw length 40%

1.4 Towing winch 10%

+ 1.4.1 Speed 30%

1.5 Navigating bridge 10% - 1.5.1 Noise levels 40% + 1.5.2 View angles to all direction (rear, front and sides) 40% + 1.5.3 Size (floor area) 20%

1.6 Crew cabins 10% - 1.6.1 Noise levels 60% + 1.6.2 Cabins size (floor area) 40%

1.7 Mess room / Galley / accommodation 10% - 1.7.1 Noise levels 60% + 1.7.2 Size (floors area) 40% + 1.8 Compliance with APC's technical specification & general impression

(including Bridge, console arrangement & Accommodation arrangement)

30%

2 Technical checking 30%

2.1 Structure design 10%

+ 2.1.1 TUGs designer - Experience with VSP concept tugs of above 35 ton BP and successfully delivered in the last 10 years (i.e., 2006 - 2015)

15%

+ 2.1.2 Deadweight in 6.4 m draught 10%

+ 2.1.3 Hull design - Numbers of worldwide tugs with similar design last 10 years (2006 - 2015) 15%

- 2.1.5 Gross Tonnage 10%

2.1.6 vibration 30%

- 2.1.6.1 Crew cabins, mess room - vertical 15% - 2.1.6.2 Crew cabins, mess room - horizontal 15% - 2.1.6.3 Engine control room - vertical 15% - 2.1.6.4 Engine control room - horizontal 15% - 2.1.6.5 Machinery spaces - vertical 20% - 2.1.6.6 Machinery spaces - horizontal 20%



+

2.1.7 Compliance with APC's technical specification & general impression

20%

2.2 Equipment safe operation 5%

+ 2.2.1 Statically heeling 50%

+ 2.2.2 Dynamic condition 50%

2.3 Exterior Fire Fighting System - system capability (water mix with foam) 5% + 2.3.2 Location & position 70% + 2.3.2 Compliance with APC's technical specification & general impression 30%

2.4 Towing winch 5% + 2.4.1 Pull (KN) 70% + 2.4.2 Compliance with APC's technical specification & general impression 30%

2.5 Towing hook 5% + 2.5.1 Towing capacity 70% + 2.5.2 Compliance with APC's technical specification & general impression 30%

2.6 Anchor windlass 5% + 2.6.1 Pull (KN) 70% + 2.6.3 Compliance with APC's technical specification & general impression 30%

+ 2.7 Air condition 5%

2.7.1 Navigating bridge 20% + 2.7.1.1 Capacity (BTU) 70% + 2.7.1.2 Service in Israel 30%

2.7.2 Crew cabins 20% + 2.7.2.2 Capacity 70% + 2.7.2.3 Service in Israel 30%

2.7.3 Engine electrical & control room 20% + 2.7.3.2 Capacity 70% + 2.7.3.3 Service in Israel 30%

2.7.4 Mess room / Galley / accommodation 20% + 2.7.4.2 Capacity 70% + 2.7.4.3 Service in Israel 30% + 2.7.5 Compliance with APC's technical specification & general

impression 20%

2.8 Purifying equipment 5% + 2.8.2 Capacity 100%

2.9 Engine Room Ventilation 5% + 2.9.1 Capacity of each ER fan 35% + 2.9.2 Quantity of Fans 35% + 2.9.3 Compliance with APC's technical specification & general

impression 30%

2.10 Propellers: 5% + 2.10.1 Blade orbit diameter 20% + 2.10.2 Number of blades 20% + 2.10.3 Max. propeller input power 20% + 2.10.4 Propeller input speed 20% + 2.10.3 Compliance with APC's technical specification & general

impression 20%



2.11 Main engine 20% + 2.11.1 Maximum Continuous Rating power output 25% + 2.11.2 Rpm 15% - 2.11.3 Length 15% - 2.11.4 Height 15% - 2.11.5 Specific Fuel consumption 10% + 2.11.6 Compliance with APC's technical specification & general

impression (including Machinery arrangement, Easy access to performance of all maintenance and checkout)

20%

2.12 Generator set Electric power 10%

2.12.1 Engine 40% + 2.12.1.1 Power 45% + 2.12.1.2 In line type 20% - 2.12.1.3 Noise level 35%

2.12.2 Alternator 40% + 2.12.2.2 Electric power 100% + 2.12.3 Engine Compliance with APC's technical specification & general

impression (Easy access to performance of all maintenance and checkout)

20%

2.13 Compressed Air Equipment 10%

+ 2.13.1 Capacity - F.A.D 50%

+ 2.13.2 Air reservoir capacity 50%

2.14 Electric plant and automation 5%

2.14.1 Electric system designer and manufacturer - experience 40% + 2.14.1.1 Number of project last 10 years 40% + 2.14.1.2 Number of project last 10 years in tugs 60%

2.14.2 Power Management System 35% + 2.14.2.1 Experience with integration with the IMCS system

- Numbers of projects with the proposed configuration

100%

+ 2.14.3 Compliance with APC's technical specification & general impression.

25%

- 3 Delivery due time (short as possible). 10%

+ 4 Ship (Tug) Automation system (BNWAS, SVDR) – Service in Israel 5%

+ 5 Recommendation from three customers regarding the performance of prior engagements by the Proposer (including performance of the Service Facility).

5%

+ 6 Number of VOITH propeller Tractor concept Tugs, of at least 35 ton supplied by the Proposer during the last 10 (ten) years (i.e., 2006-2015).

20%

*(+): To the extent that the value for the relevant parameter as provided by Proposer is higher, it shall receive a higher grade for this parameter. (-): To the extent that the value for the relevant parameter as provided by Proposer is lower, it shall receive a higher grade for this parameter.


Proposed Evaluation - SHIPYARD Tractor Tugs 9 July 15 - A

Equipment & Maintenance Department

Appendix E-1

Shipyard evaluation will be made according to the following detailed list and values. This evaluation weights 30% of the Technical Evaluation:

1 Compliance with APC’s technical specification. 10%

2 After sale support – capability. 10%

3 Professional impression and construction experience of VSP concept Tug. 10%

4 Engineering capabilities with Naval Architect and Marine Engineering such as stability

noise, vibration analysis etc. 10%

5 Proven experience with reduction of noise and vibration. 10%

6 Deck equipment and outfitting work – Quality and level of finish. 10%

7 Production capability. 10%

8 Quality Control, Quality Assurance and ISO system. 10%

9 Experience and relations level with IACS members. 10%

10 "Order book" situation for the next 3 years in related to the yard max capacity. 10%

100%

compliance with the technical prerequisites Appendix Fגוררת

APPENDIX F

FORM OF COMPLIANCE WITH TECHNICAL PREREQUISITES

Tender for the Design, Fabrication, Supply, Testing, Warranting and of 74 Ton

Bollard Pull Tractor Tugs, Options, Additional Services and Spare Parts

(the "Tender")


In order to provide Proposer's compliance with the pre-requisite included in Section

3.2.1 to the IFP, we the undersigned, ______________________________

(Proposer's CEO or CFO or Proposer's comptrollers) hereby declare that:

Proposer is a shipyard that starting as of January 1, 2009, has built and

delivered at least two (2) Voith propeller Tractor concept Tugs, each Tug with

at least 50 ton Bollard Pull, which were supplied to a foreign country

costumer, all as detailed below:

Tug's propulsion

system concept

Tug's Bollard

Pull

Costumer name,

address,

telephone

number, e-mail

and contact

details

Quantity Exact date of

supply to

Costumer

Year of

production

1.

2.

compliance with the technical prerequisites Appendix Fגוררת

Tug's propulsion

system concept

Tug's Bollard

Pull

Costumer name,

address,

telephone

number, e-mail

and contact

details

Quantity Exact date of

supply to

Costumer

Year of

production

3.

4.

5.

Signature and stamp:_________________________________

Date:______________________

signatury rights - גוררת

APPENDIX G

CONFIRMATION OF PROPOSER'S SIGNATORY RIGHTS

To:


Ashdod Port

Ashdod 77191

Israel, POB 9001

Date: ____________, 2015

Dear Sir and/or Madame:

At the request of __________________________________ ("Proposer"), and in

accordance with the requirements set out in Tender No. 2582/YAM/15 (the

"Tender") set out by the Ashdod Port Company Ltd. ("APC"), we hereby confirm the

following signatory rights.

As the legal counsel/CPA for the Proposer, and in accordance with the corporate

documents of the Proposer and all applicable law,

______________________________________________________[full Name and

title], I.D. Passport number :____________________________________ is/are

empowered to sign any and all of the Tender document, including without limitation

the Agreement and the Technical and Financial Proposals, and any related

documentation, undertakings, and/or commitments on behalf of the Proposer, and to

bind the Proposer for all intents and purposes thereunder.

Dated this ___________ day of ______________, 2015.

Signed by:

__________________________

Counsel/CPA for the Proposer

Appendix H- Form of Bid Bond- מכרז גוררת ערבות הצעה

APPENDIX H

BID BOND

To:


Ashdod Port

Ashdod 77191

Israel, POB 9001

(Bid Bond No. ____________)

At the request of ________________ ("Proposer") and in accordance with the

requirements set out in Tender No. 2582/YAM/15 dated _______________ (the

"Tender") set out by Ashdod Port Company Ltd. of Ashdod Port, Ashdod 77191,

Israel ("APC"), we _____________________ [Name of Bank] (the "Guarantor")

hereby irrevocably and autonomously guarantee to APC to be responsible and

indemnify APC for payment by Proposer of all sums of money, losses, damages,

costs, charges and expenses that may become due or payable to APC, by or from the

Proposer by reason or in consequence of the default of the Proposer in performance,

execution or perseverance of its said obligations under the Tender, but so nevertheless

that the total amount to be determined or regarded or collected by APC of or from us

immediately upon the demand of APC shall not exceed the sum of 50,000 Euro.

For the purpose of collecting any amount under this Guarantee, APC shall not have to

produce any judgment or any other judicial document, nor shall it have to prove any

breach, failure or non-compliance on the part of the Proposer or on the part of any

person acting for the Proposer or on its behalf or in its name or any other person, and

a written demand from APC, posted by Air Mail to the Guarantor's address set forth

below authenticated by APC's bankers by authenticated swift or sent to us by

authenticated swift by APC's bankers who will quote APC's demand and confirm the

signatures authenticity, or as otherwise advised by and between the parties hereto,

shall be sufficient for all purposes of this Guarantee, and specifically shall be

sufficient to collect any sum(s) under this Guarantee from the Guarantor immediately

upon demand by APC. The form of demand shall be substantially similar to the

following form:

"Pursuant to the Guarantee issued by you on _____________, you are hereby

instructed to pay immediately to Ashdod Port Company Ltd., the sum of __________

to account number ________________ at _____________________ [Name of Bank].

________________________

APC authorized signatory"

Except for the demand specified above, no other documents or other action shall be


Appendix H- Form of Bid Bond- מכרז גוררת ערבות הצעה

Neither Guarantor nor APC shall, without express prior written consent of the other

party, assign to any third party this Guarantee or any part thereof, or any right,

benefit, obligation or interest therein or thereunder.

No action, event or condition, which by any applicable law should operate to

discharge the Guarantor from any liability hereunder and the Guarantor hereby waives

any right it may have to apply such law, so that in all respects its liability hereunder

shall be irrevocable and, except as stated herein, unconditional in all respects until the

time and date of expiration of the Guarantee set forth below.

This Guarantee shall remain in force until ___________ (date) ________[6 months

from the last date set for the submission of the Proposals]. Any demand received by

the Guarantor no later than 17:00 p.m. on said date shall be construed as valid under

this Guarantee.

This Guarantee shall be governed by and interpreted in accordance the laws of the

State of Israel. All matters in dispute shall be referred to the competent court located

in Tel Aviv, Israel, and the competent Israeli courts shall have sole and exclusive

jurisdiction in all matters arising therefrom.

Dated this ___________ day of ______________, 2015.

Signed by:

____________________________

An authorized signatory for and on

behalf of the Guarantor

Address of Bank: _____________________________

Appendix I

Tender no._ 2582/YAM/15_ for the Design, Fabrication, Supply, Testing, Warranting and of 74 Ton Bollard Pull Tractor Tugs, Options, Additional Services and Spare Parts for Ashdod

Port Company LTD.

This form, has to be filled out, duly signed and submitted by each Proponent together with the Proponent's Technical Proposal in response to the Tender referred to below. Failure to comply with this requirement may disqualify the Proponent's Proposal. The Proponent shall be referred to herein as the "Supplier".

Appendix I to the IFP to Tender no. 2582/YAM/15 , issued by Ashdod Port Company LTD.

(hereinafter referred to as the “Buyer”) dated for the supply of Design, Fabrication,

Supply, Testing, Warranting and of 74 Ton Bollard Pull Tractor Tugs, Options, Additional

Services and Spare Parts

Foreign Supplier’s Industrial Cooperation Undertaking

As per the Mandatory Tenders Regulations

(Mandatory Industrial Cooperation), 5767-2007 (hereinafter the “Regulations”)

We, (name of Supplier)

having offices at (full address)

Commit to the State of Israel that in the event of winning the above mentioned Tender (hereinafter referred to as the "Tender”), we shall put into practice Industrial Cooperation in Israel, in accordance with the outlined below: 1. We are aware of the fact that this Industrial Cooperation Undertaking is provided pursuant to

the Regulations and that the terms used herein shall have the same meanings as ascribed to them in the Regulations.

2. The extent of Industrial Cooperation that shall be carried out by us, shall equal at least 35% (for

suppliers of non-excluded products from GPA member states, the extent of industrial cooperation is 20%), of the value of the Contract or of the Transaction, that will be concluded with us, in the event of winning this tender in whole or in part. With respect to the foregoing, the value of the Contract or Transaction shall also include the following: (i) the exercise of any option related thereto; (ii) any follow-on procurement in excess of USD 500,000 that is made within a period of five years from the date of the original contract and (iii) any acquisition of spare parts, training activities, maintenance, technical assistance, guarantees etc. that will be procured from us, in connection with the main services and/or products acquired from us, within the framework of the Tender.

3. We are aware that our Industrial Cooperation Undertaking may be fulfilled by using any of the following means: local subcontracting, investments, Know-How transfer, R&D, acquisition of Israeli products, work or services, or by any other means if written approved in advance by the Industrial Cooperation Authority (“ICA”), but excluding those listed in clause 10 bellow.

4. (a) Within the framework of our Industrial Cooperation Undertaking we commit to carry out Local

Subcontracting in a value not less than 20 % of the Contract/Transaction value and additionally, carry out Industrial Cooperation in one or more of the other ways set forth in clause 3 above, in a value not less than 15 or 0 % (subject to the rule outlined in clause 2 above) of the contract/transaction value. (b) We are aware that once we’ve committed to carry out Local Subcontracting in the value outlined above, at the end of work done, we’ll have to provide the Buyer and the ICA with a signed by a CPA report, indicating the value and nature of Local Subcontracting actually materialized.

5. We are aware of that in accordance with the provisions of the Tender, we are required to

provide in conjunction with our price proposal and this duly signed undertaking form, a detailed fulfillment program with respect to our Industrial Cooperation Undertaking, in the event that we win the Tender, as further described below in clause 11. Failure to provide the fulfillment program as required will disqualify our bid.

6. We are aware that if we win the Tender, the ICA will be in charge on behalf of the Government

of Israel with the appraisal, classification and monitoring of the hereby attached fulfillment program.

7. Our Industrial Cooperation Undertaking shall be carried out within 3 (three) years as of the

effective date of the Contract/Transaction the subject of the Tender. The ICA may upon request, approve an extended period of time for the fulfillment of our Industrial Cooperation Undertaking, considering the nature of Industrial Cooperation to be implemented or the complexity of the contract/transaction. In any case, our undertaking for Industrial Cooperation remains in force until completed.

8. The records of ICA pertaining to the execution of our Industrial Cooperation Undertaking shall

be prima facie evidence in any matter relevant to the fulfillment of this requirement in the Tender.

9. We are aware that in order to value the extent of Industrial Cooperation activities carried out by

us pursuant to this Industrial Cooperation Undertaking the following rules shall apply: (a)New or incremental procurement by the Supplier of Israeli products or services, compared to the Supplier’s average extent of procurements carried out in the last 3 (three) years, or the award of orders for local subcontracting, both comprising a level of Israeli added value of at least 35 (thirty five)%, shall result in Industrial Cooperation credits in a value of 100 (one hundred)% of the business deal nominal price.

(b) In some instances, subject to the rules to be published and on a case by case basis, the ICA will be entitled to grant credits exceeding 100 (one hundred)% of the business deal price, by virtue of Industrial Cooperation activities of a unique nature, or activities implemented with preferred industry sectors and regions.

10. Furthermore we are aware that: (a) Any grant that was provided by the Government of Israel as part of a plan for an investment, acquisition or funding of a R&D project shall not be taken into account for the purpose of calculating our Industrial Cooperation Undertaking. (b) Expenditures such as: agent commissions, personnel expenses, office expenses and other expenses that were incurred for the purpose of promoting our sales in Israel, as well as Government Of Israel Furnished Equipment (hereinafter the "GOIFE"), shall not be recognized as Industrial Cooperation activities. (c) Purchase of shares of Israeli companies to which the Securities Law 5728-1968 applies, to the extent in which the purchaser is not deemed to be “a party with an interest” as defined in the said Law, will not be considered as Industrial Cooperation.

(d) Any activity of ours with the Israeli industry that was carried out prior to being awarded with the Buyer’s contract shall not be eligible for crediting purposes. (e) Any Industrial Cooperation activity to be carried out by us which is not part of our fulfillment program will be subject to ICA’s prior approval.

(f) Activities of the Supplier with Israeli industry due to which credits are to be requested, but at the same time are to incur offset/Industrial Cooperation obligations on the Israeli industry, will be subject to the ICA's earlier written approval on a case by case basis, otherwise, same activities shall not be eligible for crediting purposes.

g) The ICA shall be entitled, in the event that the Supplier failed to fulfill its obligations as defined in this Industrial Cooperation Undertaking, after having given the Supplier the opportunity to voice its claims to the ICA, to determine, with the consent of the Accountant General of the Ministry of Finance and in consultation with the Minister that it believes is connected with the matter, to determine that the Supplier did not comply with its Industrial Cooperation Undertaking , and that the Supplier shall not be entitled to engage in supply contracts with a Government Entity for a period that shall not exceed 5 (five) years.

11. Aimed at demonstrating our serious intentions regarding the fulfillment of our Industrial

Cooperation Undertaking, we commit to take the following steps: (a) To furnish along with the submission of our bid or price proposal (the latest between the two), a fulfillment program for our Industrial Cooperation Undertaking, if we win the above mentioned Tender. We will use Appendix J to specify the program including as many details as possible of subjects for Industrial Cooperation with the Israeli industry, implementation mile stones and time frame of completion, having regard to activities as outlined in clause 3 above. (b) Part of that program will be the appointment and written notification of a competent person to act as our Industrial Cooperation Coordinator (ICC), who will be responsible on our behalf for the fulfillment of this Industrial Cooperation Undertaking, for managing the activities in this regard and serve as our contact with the ICA, with the Israeli industry and other business entities. The appointee’s name and position in our organization and all other complementary information will be fully outlined in the program submitted. In case the ICC is replaced at any time in the future, we are committed to notify the ICA within 72 hours from the time the replacement took place. (c) To take all conventional measures, including the use of consultation services, conducting a professional survey in Israel, visiting business entities in Israel and vice versa, or any other means aimed at the examination of business feasibilities in Israel. (d) Once every year (on January 31) and until our undertaking is fully satisfied, we shall furnish the ICA with written - in a format to be set by the ICA - reports, having regard to the fulfillment of our Industrial Cooperation Undertaking for Industrial Cooperation, which will include the following data:

(1) Full identifying details of orders for Israeli products, work and services, local Subcontracts, investments or any other Industrial Cooperation activities carried out during the reporting period, subject to the rules set forth in clause 9 above. (2) Any additional information that might be required by the ICA, regarding activities we’ve carried out aimed at the fulfillment of our undertaking.

Non compliance with any of the requirements outlined in clause 11 will be deemed as a violation of our undertaking.

12. All communications on our behalf having regard to the fulfillment of this Industrial Cooperation

Undertaking will be sent to the ICA at the following address: Industrial Cooperation Authority Ministry of Economy 86 Menachem Begin Rd., P.O. Box 36049 Tel Aviv 67138, Israel. Tel: +(972) 3 7247514 Fax: +(972) 3 7347639

and additionally, for U.S. and Canadian companies:

Government of Israel Economic Mission - US Director ICA 800 Second Ave. 17th Floor, New York, NY 10017, U.S.A. Tel: (212) 499 5741, Fax: (212) 499 5745

Signature of an authorized officer on behalf of the Supplier: If the bid is submitted by an importer and/or a leasing services provider, this document should be signed by an authorized officer on behalf of the foreign manufacturer of the goods or services to be supplied pursuant to the a.m. tender.

Name: Title:

Phone No.: Fax No:

Signature: Date:

Email: Web Site:

1/9/2014

Appendix J- Form of Fulfillment Program

Tender no. 2582/YAM/15 for the Design, Fabrication, Supply, Testing, Warranting and of 74 Ton Bollard Pull Tractor Tugs, Options, Additional Services and Spare

Parts for Ashdod Port Company LTD.

to be submitted as part of the Financial Proposal, as instructed by the APC and according to Sections 3.4.2 and 4.2.4 to the IFP.

Industrial Cooperation Undertaking

Related to Tender No. 2582/YAM/15

Issued by Ashdod Port Company Ltd. Dated ……………………….

Pursuant to clause 11(a) of the a.m. document, we (full company name) …………………

……………..…….……..……………………………, hereby submit our Fulfillment Program,

that will serve as our initial draft, aimed at the satisfaction of our a.m. undertaking, as

follows:

1. In accordance with clause 3 of our undertaking in Appendix I, our fulfillment activities will be in the fields of one or more of the following Industrial Cooperation Categories:

Local Subcontracting

Investments

Know-How transfer

R&D Orders

Acquisition of Israeli Products, Work or Services

Other ….…………………………………..

2. Anticipated / Approximate dates of the following mile stones implementation:

a. Conducting an Israeli industry survey: …………………………………….

b. Projects and partners selection: …………………………..………………..

c. Starting date of IC activities implementation: ……………………………...

d. Full program accomplishment: ……………………………………………..

3. Following is our prospective Fulfillment Program.

Industrial Cooperation

Category

Transaction Description

Estimated Timeframe Names of Israeli

Entities Involved Transaction

Value Israeli entity’s

Contact Person info. Start Date

Due Date

Total Fulfillment Value

(Additional records, should be registered in the same matrix format).

4. Following is the info of our Industrial Cooperation Coordinator (ICC)

I.C.C. Name: ………………………………….Title:……………………………………..

Full address:……………………………………………………………………………..…

Tel. no…………………………………… Fax no.:……………………………………….

Cell.:…………………………………. EMail:………………………………………………

Signature of an authorized officer on behalf of the Supplier Name: ………………………………… Title: ……………………………………………… Signature: …………………………….. Date: …………………………………………… Note: For further clarifications or assistance in filling out this document, feel free to

contact the corresponding ICA representative, to be found at: www.ica.gov.il

Appendix K-

Tender no. 2582/YAM/15 for the Design, Fabrication, Supply, Testing, Warranting and of 74 Ton Bollard Pull Tractor Tugs,

Options, Additional Services and Spare Parts for Ashdod Port Company LTD.

Israeli Legislation

Guidelines for Industrial Cooperation in Israel

Israel’s Parliamentary Constitution and Law Committee has approved additional amendments to the Mandatory Industrial Cooperation regulation. The amendments bring into force changes recommended by the Industrial Cooperation Authority (ICA), which implements policy on behalf of the Ministry of Economy. The new rules impose a mandatory requirement for The State, Government Corporations and Public Agencies (hereinafter referred to as Government Buyers) to ask for Industrial Cooperation when their purchase of foreign goods or services exceeds the threshold amount equivalent to 5 Million USD. It also binds health sector institutions to the mandatory policy. Legislation in that regard is in process, aimed at including Municipal Authorities to comply with this requirement as well. This will affect, for instance, contracts for sewage treatment projects, water treatment, power systems, etc. The regulations distinguish between defence related purchases and civil purchases. The former, except when acquisitions are made under the FMF program, require a 50 percent Industrial Cooperation undertaking. Civil acquisitions require an undertaking of 20 percent from Foreign Suppliers in countries which are parties to the Government Procurement Agreement (GPA), and 35 percent from all the rest. Foreign Suppliers may contact the ICA regarding any subject related directly or indirectly to their Industrial Cooperation Undertaking or fulfilment activity. Assistance will be provided to potential and existing obligors in identifying and locating suitable Israeli manufacturers and partners for joint ventures, outsourcing, R&D, and other modes of cooperation and strategic partnerships with Israeli industry. All ICA support, assistance and services are provided on a complimentary basis. The ICA will:-

· Provide information about Israeli industry. · Conduct surveys related to Israeli industry. · Co-ordinate visits by representatives of Israeli industry to foreign

companies. · Co-ordinate visits by representatives of foreign companies to Israel in order

to survey local industry. · Organise conferences between foreign companies and Israeli industry.

Objectives: Long-term cooperation leading to the competitive production of Israeli products. The goal is to develop new markets for high quality goods and to create a framework for bilateral or multilateral industrial and trade cooperation between the foreign company or its subsidiaries, and Israeli industry. In addition to direct R&D grants for industry, emphasis is placed upon regional job creation.

· The encouragement of international co-operation in industrial R&D · The encouragement of technological entrepreneurship · The development of future technologies by means of increasing the

academic-industrial interaction and cooperation. The Meaning of ‘Industrial Cooperation’: Industrial cooperation can be carried out by means of local sub-contracting, investment, R&D, technology transfer, work placed in Israel, the purchase of Israeli-made goods, or otherwise as agreed upon with the ICA. Threshold: Mandatory Industrial Cooperation is required in all Government Buyers' acquisitions the value of which exceed 5 Million USD, as well as in any follow-on procurement the value of which exceeds 500,000 USD, within five years as of the date of the original contract. Subcontracting Requirement: Unless otherwise agreed with the ICA, a minimum of 20 percent local sub-contracting related to the project/product purchased from a foreign company is required for fulfilling the obligor’s Industrial Cooperation Undertaking. Quota: The regulation distinguishes between ‘defence and security’ purchases, and acquisitions for the civil sector.

1. Defence and security purchases require an undertaking of at least 50 percent of the foreign content value.

2. Civil procurements from countries that are signatories to the Government

Procurements Agreement (GPA) of the WTO will be subject to a requirement of 20 percent of the foreign content value.

3. Civil purchases from non-GPA countries are subject to Industrial Cooperation

amounting 35 percent of foreign content value. Multipliers: Multipliers will encourage buy-back programs involving industries in the Galilee, and the Negev, areas targeted for employment and regeneration. The incentive will be offered to defence and to civil contractors. Multipliers are to be granted on a case by case basis. Penalties: There are no penalty provisions for non-compliance. However, the ICA shall be entitled, after having given the Foreign Supplier the opportunity to voice its claims to the ICA, to determine, with the consent of the Accountant General of the Ministry of Finance and in consultation with the relevant Minister involved in this matter, that a Foreign Supplier that did not comply with its Industrial Cooperation Undertaking pursuant to these regulations, shall not be entitled to engage in supply contracts with any Government Buyer for a period that shall not exceed five years.

Government agencies issuing civil sector tenders that fail to comply with the requirement to ask for industrial cooperation in their tender documents will have their tenders suspended until compliance is reached. Fulfilment Period: To be negotiated case-by-case but in general an undertaking should be implemented within the validity period of the supply contract. The ICA may extend the fulfilment period if there are complexities involved. Pre-performance Offset - the Umbrella Industrial Co-operation Agreement (UICA) – and Credit Banking: An Umbrella Industrial Co-operation Agreement (UICA) is an agreement between the ICA and a Foreign Supplier to any Israeli Government Buyer, which covers Industrial Co-operation Undertakings related to its sales during a defined period of time. The purpose is to encourage significant pre-performance activity, and the accumulation of credits. Credits may be banked, usually for not less than five years, and may be used to cover obligations incurred by the Foreign Supplier within the validity period of the UICA. This type of agreement may be advantageous to both parties because:

§ Negotiations regarding Industrial Cooperation Undertakings occur only once. Since all the procurements by the Government of Israel are covered by the UICA, any subsequent negotiation concerning each purchase is unnecessary.

§ The supplier’s surplus industrial cooperation activities in Israel are maintained in its account and will serve to cover obligations resulting from its future sales in Israel.

§ The supplier’s corporate divisions, as well as its subsidiaries, may also (to an agreed extent) take part in the fulfilment of the obligations stemming from the UICA.

§ The agreement is brought to the attention of all potential Israeli Government Buyers.

Procedure: The bidding Foreign Supplier is required to include, as an integral part of its bid, a signed undertaking to implement an Industrial Cooperation Program with Israeli industry. An Industrial Cooperation Undertaking form is to be submitted to each bidder by the Government Buyer as part of the tender or RFP documents. The entity issuing the tender, in agreement with the ICA , may to a certain point alter the undertaking form. The undertaking must be signed and executed by the manufacturer of the goods offered and will become an integral part of the proposal. Government Buyers are obliged by the "Tenders Law Regulations" to obtain the ICA 's approval regarding the Foreign Supplier's Industrial Cooperation Undertaking prior to signing any supply contract exceeding the threshold of 5 Million USD. The ICA will grant its approval after reviewing the undertaking document and ensuring its full compliance with the Regulations. The responsibility for obtaining a formal Industrial Cooperation Undertaking signed by the Foreign Supplier lies with the relevant Government Buyer's purchasing department. Once the undertaking is signed, the responsibility for communicating with the Foreign Supplier and monitoring its fulfilment will be ICA 's. The ICA will receive the Foreign Supplier's periodical progress reports and keep the relevant departments updated concerning any developments related to the fulfilment of its undertaking.

INVITATION FOR PROPOSALS

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