Justification-Approval_Sole_Source_Qatar_PL_Redacted.pdf

DEFENSE LOGISTICS AGENCY

ENERGY

8725 JOHN J. KINGMAN ROAD

FORT BELVOIR, VIRGINIA 22060-6222

J&A Tracking Number: 23-0030

Justification for Other than Full and Open Competition Western Pacific Solicitation SPE602-23-R-0706

1. Summary/Introduction:

Defense Logistics Agency (DLA) Energy is the integrated material manager for energy commodities and the contracting activity for petroleum products and services for the Department of Defense (DoD). This Justification and Approval (J&A) covers a portion of the Turbine Fuel, Aviation Grade Jet A1 (JA1) requirement solicited under the Western Pacific (WESTPAC) request for proposals (RFP) SPE602-23-R-0706. This portion of JA1 will be delivered via pipeline on an “other than full and open competition” basis from QATEX LIMITED (“Qatex”) to Defense Fuel Sup Point (DFSP) Qatar Mesaieed (“the DFSP”), located in Mesaieed Industrial City, Qatar. Competition for delivery via pipeline is restricted because QatarEnergy (“QE”) owns the only pipeline available for delivery of JA1 via pipeline to the DFSP. Qatex is owned by QE and thus has access to the pipeline as a part of normal business operations.

Forty-three percent (43%) of the JA1 requirement at the DFSP is being solicited on an “other than full and open competition” basis via pipeline. Specifically, this J&A covers approximately 32,550,000 U.S. gallons (USG) of JA1 out of the total DFSP annual requirement of 75,660,000 USG JA1. The estimated value is , based on

. The remainder of the DFSP’s requirement (57%) is subject to full and open competition because delivery via tanker is permissible for this remaining portion, and therefore, there is competition against QE’s proprietary pipeline.

2. Nature and/or description of the action being approved (FAR 6.303-2(b)(2)):

The action being approved is a J&A authorizing other than full and open competition for the award of a contract for JA1 for FOB Destination delivery to the DFSP using a pipeline owned by QE, . The contract will be a one-year, fixed price with economic price adjustment (EPA), Indefinite Delivery Indefinite Quantity (IDIQ) contract with a 30-day carryover delivery period for fuel ordered during the contractual period of January 1, 2024 through December 31, 2024. Defense Working Capital Funds will be used for this effort.

3. Description of supplies or services required to meet the agency’s need (including estimated value) (FAR 6.303-2(b)(3)):

Requirements are subject to change based on mission needs to support operations throughout the region. The estimated quantity the Government shall award under this J&A is set forth in the table below:

Justification for Other Than Full and Open Competition (Cont’d)

(SPE0602-23-R-0706 – QATEX)

I hereby certify that the data which forms the basis for this justification is accurate and complete and that the purchase request covers only the minimum requirements to satisfy the needs of the Government.

Chief, I have reviewed and concur with this Justification

Director, Bulk Petroleum Products

I have reviewed this justification.

Senior Counsel

Chief Counsel

I have reviewed and hereby recommend that this Justification be approved:

Justification for Other Than Full and Open Competition (Cont’d)

(SPE0602-23-R-0706 – QATEX)

Director, Procurement Process Support

Director, Supplier Operations

I have reviewed :

Senior Associate General Counsel

I have reviewed and hereby recommend that this Justification be approved:

Approved:

Head of the Contracting Activity