Notice of Intent to Sole Source - Bunkers - Reserve Storage - Jeddah & Yanbu
Closed Special Notice Posted
- Solicitation number
- SPE60825R0201
- Agency
-
Defense Logistics Agency
Department of Defense
- Responses due
- Set-aside
- No set-aside
Opportunity facts
- NAICS code
- 324110 Petroleum Refineries
- Place of performance
- Saudi Arabia
Notice details come from SAM.gov. Updated .
About this opportunity
The Defense Logistics Agency (DLA) Energy has published a Notice of Intent to Award a Sole Source Contract to Minerva Saudi Arabia Limited for fuel supply and bunkering services in Saudi Arabia. This special notice, issued under Federal Acquisition Regulation (FAR) Subpart 5.101, announces DLA Energy's intention to award a three-year fixed-price contract with economic price adjustment (FPEPA) for the supply of Jet Propulsion Fuel Type 5 (JP5) and Naval Distillate Fuel (F76). The contract will also include reserve storage capacity within 200 kilometers of Jeddah and Yanbu, plus bunkering services via contractor-owned tankers for ship deliveries at these ports. DLA Energy is proceeding under FAR 6.302-1, citing that only one responsible source can satisfy the agency's requirements. Minerva Saudi Arabia Limited has been identified as the sole capable contractor due to its unique regulatory authorizations in the Kingdom of Saudi Arabia.
The primary objective of this contract is to ensure uninterrupted fuel supply for U.S. government maritime operations in the Red Sea region. Interested parties who believe they can demonstrate equivalent capabilities may submit responses by 4:30 PM Eastern Time on September 5, 2025, via email to specified DLA contacts. To be considered, contractors must demonstrate their ability to supply JP5 and F76 fuels, deliver via ship-to-ship bunkering in Jeddah and Yanbu, provide reserve storage capacity, and possess a valid Petroleum Trading License issued by Saudi Arabia's Ministry of Energy. Minerva's sole source designation stems from being the only foreign-owned entity granted a Petroleum Trading License for oil product trading in Saudi Arabia and the sole operator approved to manage a bonded customs warehouse for seamless petroleum product importation and re-exportation. The company also holds the necessary import and export licenses required to operate under Saudi Arabia's bonded customs warehouse regime for handling foreign-sourced fuels.
Notice text
Intended Source: Minerva Saudi Arabi Limited
RFP: SPE60825R0201
Description of Requirement:
NOTICE OF INTENT TO AWARD A SOLE SOURCE CONTRACT – NOT A REQUEST FOR COMPETITIVE QUOTES
This notice is issued in accordance with Federal Acquisition Regulation (FAR) Subpart 5.101, which requires public dissemination of information for proposed contract actions. The Defense Logistics Agency (DLA) Energy intends to award a sole source contract in accordance with FAR 6.302-1, "Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements," as implemented by 10 U.S.C. § 3204(a)(1) [formerly 10 U.S.C. § 2304(c)(1)].
Contract Action:
DLA Energy intends to issue a three-year, fixed-price with economic price adjustment (FPEPA) contract to Minerva Saudi Arabia Limited for the supply of:
- Jet Propulsion Fuel Type 5 (JP5)
- Naval Distillate Fuel (F76)
- Reserve storage capacity within 200 kilometers of Jeddah and Yanbu
- Bunkering services via contractor-owned tankers, F.O.B. destination, for ship deliveries at Jeddah and Yanbu
Justification for Sole Source:
Minerva Saudi Arabia Limited is the only known source capable of meeting all technical and regulatory requirements for this procurement. Specifically:
- Minerva holds a valid Petroleum Trading License issued by the Ministry of Energy of Saudi Arabia, authorizing the trade and supply of diesel and fuel oil products, including JP5.
- Minerva also holds both import and export licenses necessary to operate under Saudi Arabia's bonded customs warehouse regime, which allows for the handling of foreign-sourced fuels.
- According to confirmation from the Ministry of Energy, Minerva is:
-
- The only foreign-owned entity granted a Petroleum Trading License for oil product trading in the Kingdom.
- The sole entity—foreign or domestic—authorized to engage in this type of business under current Saudi regulations.
- The only operator approved to manage a bonded customs warehouse for seamless importation and re-exportation of petroleum products.
These capabilities are essential to meet DLA Energy’s requirements in Jeddah and Yanbu. No other known source currently holds the necessary authorizations or infrastructure to deliver these services in compliance with Saudi regulatory frameworks.
Competitive Environment:
There are no current or planned efforts to remove the legal and logistical barriers that restrict competition in this regional market. As such, the government has determined that a competitive acquisition is not feasible under current conditions.
Responses from Interested Parties:
This is not a request for proposals or quotes. However, any responsible source that believes it can fulfill this requirement and possesses a valid Petroleum Trading License from the Ministry of Energy of Saudi Arabia may submit a response for consideration.
Responses must demonstrate the capability to:
- Supply JP5 and F76 fuels
- Deliver via ship-to-ship bunkering in Jeddah and Yanbu
- Provide reserve storage within 200 kilometers of those locations
- Petroleum Trading License from the Ministry of Energy of Saudi Arabia
Responses must be received no later than 4:30 PM Eastern Time on September 5, 2025. Email submissions should be sent to the following contacts:
- dennis.gomez@dla.mil
- francis.murphy@dla.mil
- kimberly.d.morgan@dla.mil
- alberto.williams@dla.mil
The Government will not reimburse any costs incurred in response to this notice and will not honor requests for capability briefings. A determination not to compete this proposed contract based on responses to this notice is solely at the discretion of the Government.
NAICS Code: 324110 – Petroleum Refineries
Objective:
The objective of this contract is to ensure uninterrupted support for mission-critical fuel supply requirements (JP5 and F76) for U.S. government maritime operations in the Red Sea region, specifically at Jeddah and Yanbu.
Files
| File | Type | Posted |
|---|---|---|
| Intent to Source Minerva - Final.pdf |
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