The Germanian League
Announcement of an open and public competition for the expansion of petroleum trade routes in Germania
Upon discussion and international interest by no less than four parties the Council of the Germanian League has decided to proceed with publicly stating its intentions to hold a public competition over bidding for the augmentation of existing pipeline routes in Germania, and the potential creation of new routes of delivery in the event of mutual interest. The Council hereby addresses this invitation to all interested companies and corporations irrespective of their country of origin, to work side by side with the Germanic League, its member-state governments and current pipeline operators in an open market environment for mutual benefit and business prospects.Announcement of an open and public competition for the expansion of petroleum trade routes in Germania
As per the unanimous decision of the Germanic League, the Council has ironed out a specific framework for would-be business opportunities in order to better inform all interested parties. The requirements of the Germanic League countries are as follows:
Q: Who may submit offers? Where will the offers be addressed?
Any company from any country may submit offers for this pipeline requirements. The offers will have to be made in public and, at this stage, are non-binding and meant for evaluation by the host country, destination country (countries) and the Council of the Germanic League. Secret (private) offers will NOT be accepted and/or taken into account.
Q: What are the required routes for the pipelines proposed?
It is desired that the pipelines follow existing petroleum trade infrastructure, but non-adhering offers are going to be nevertheless evaluated. The offers will be evaluated, in addition to the other things to be taken into account, by observing geographical features, distances, the desires of host and delivery countries, environmental and/or security concerns, and other. Consultation with host and destination countries is expected for that reason. A map with certain existing petroleum pipeline routes is attached.
(See Annex I for the map.)
Q: What will the pipelines traffic and concern?
The pipelines are expected to import crude oil into the Germanian League, and export crude oil, refined oil, and/or various petroleum products from it to other countries if applicable. The Germanian League is interested in maintaining its existing petroleum industry, which features several refineries and foreign companies are welcome to invest into. In addition, the pipelines are expected to traffic their product depending on the business needs of destination countries, irrespective of the country of origin of the petroleum. (In other words, the pipeline will not be carrying a single country's oil traffic.)
Q: What about ownership and operation of the pipeline?
Ownership of the pipeline will be preferred to be in the hands of a local company in the League or host country - however this does not mean your company cannot set up a proper subsidiary in the area! Indeed, it is our hope that such local companies will be a consortium of the investing companies and local business interests if necessary. Everyday operation of the pipeline will be at the hands of a national operator already responsible for the sections in the country, but this will not inhibit your company's profits and dividends. Such operators will be taking part in the local investment to a certain degree. The pipeline will not have any special status, including but not being limited to extraterritoriality.
Q: How about construction?
It is desired that construction and operation will take place using as many local resources (including labour) as possible, to benefit the local economies.
Q: Is oil and/or petroleum products transiting through a League country to a League or foreign destination applicable to charges?
Yes and no. The League is a free trade area, and only a single import and export tariff applies - however, oil and petroleum products face zero customs charges. However, there will be a flat transit fee charged by national governments, which is to be decided on Germanian League level. The fee will be at a low, logical price so as to not inhibit trade. At the moment, this fee has not been finalised but it is expected to not exceed $2.00/bbl. In addition, the company/ies owning the pipeline will be fully applicable to corporate taxation, etc. in the host country (countries).
Q: Who is this agreement concerning?
This agreement strictly concerns the Germanian League, its member states, and the interested domestic and foreign companies irrespective of their country of origin or form of ownership. However, certain governments may be more favourable to private instead of public corporations being involved, on a case-by-case basis.
Q: How will the decisions be made?
Decisions will be made on Germanic Council level, among the governments of the Germanic League member countries.
Q: Until when may we submit our offers?
Your offers can be submitted for evaluation until February 12, 2012. The bids will then be evaluated by the Council.
Q: What if we disagree with some of your terms?
By all means, feel free to post us with offers circumventing your points of disagreement! Our terms are decided and designed to be mostly negotiable, and we will be happy to evaluate other proposals!
Annex I: Pipeline routes
Below are existing pipeline routes between Germanic League countries, and possible extensions to third parties.
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Please fill in a form with the following fields when posting us with your offers:
Company name:
Country of origin:
Date of offer:
Details of offer:
Additional comments:
Country of origin:
Date of offer:
Details of offer:
Additional comments: