Document:

exhibit_10-1.htm

Exhibit 10.1

 

SABINE PASS LNG, L.P. 

 

 

	  	
May 27, 2009

	  	
Response Required:  No  x
	
 

 

 

Bechtel Corporation

3000 Post Oak Boulevard

Houston, Texas 77056

Attention:  Mr. Mitchell Clayman

 

 

	
Correspondence   No.     SP2-BE-C-045

 

	
Subject:
	 	
Change Order SP2/BE-011 – Adjustment to Contractor’s Fixed Fee

 

 

Enclosed you will find the signed original for Change Order SP2/BE-011 regarding the Adjustment to Contractor’s Fixed Fee. 

  

Should you have any questions or concerns, please feel free to contact us.

 

	  	
Regards,

	 	 
	  	  
	  	/s/ Carlos Macias	  
	  	
Carlos Macias

	  	
Director, Project Management

 

 

	
cc:
	
Ed Lehotsky

	  	
David Mitchell

	  	
Graham McArthur

	  	
File

 

  

  

  

 

	  	
CHANGE ORDER FORM
	  

 

	
PROJECT NAME:  Sabine Pass LNG Phase 2 

Receiving, Storage and Re-Gasification 

Terminal Expansion (“Phase 2 Project”)
	  	
CHANGE ORDER NUMBER: SP2BE-011

 

DATE OF CHANGE ORDER: May 5, 2009

	  	  	  
	
COMPANY: Sabine Pass LNG, L.P.
	  	
ADJUSTMENT TO CONTRACTOR’S FIXED FEE NO#011

	  	  	  
	
CONTRACTOR: Bechtel Corporation
	  	
 

	  	  	  
	
DATE OF AGREEMENT: July 21, 2006
	  	  
	  	  	  

 

 

The Agreement between the Parties listed above is changed as follows:

 

	
I.
	
Increase in the Fixed Fee associated with the implementation of the following agreed Scope Changes:

 

	 	
1.
	 	
Misc Client Work Orders (Trend F-2010)

Work Order Request WR-00011 through WR-00024 from January 2008 through June 2008 covering various requests including Cheniere's Sign & Billboard, the Noble Road Repairs and the Water Supply to the Hydrant Pond.
	 	$	71,828	 
	 	  	 	  	 	 	 	 
	 	
2.
	 	
Firewater Monitor Modifications (Trend F-2025)

Modify firewater design to isolate firewater spray zone actuators to 18 existing valves for both Phase 1 &2. Also valves, including field service to install 6 pneumatic hand actuation of the firewater system for both phases. for each tank by adding add 6" firewater butterfly switches to allow manual
	 	$	696,505	 
	 	  	 	  	 	 	 	 
	 	
3.
	 	
FERC Requested LNG Spill Containment (Trend F-2061)

FERC required LNG spill containment including concrete curbing and earthen dikes around the AAV and SCV areas.
	 	$	62,534	 
	 	  	 	  	 	 	 	 
	 	
4.
	 	
Bypass for Cool Down of Tanks S-104 and S105 (Trend F-2076)

Bypasses added to the stop valves to allow a controlled initial cool down to the downstream lines for tanks S-104 and S-105.
	 	$	30,961	 
	 	  	 	  	 	 	 	 
	 	
5.
	 	
Additional Alarms to the UPS from the Metering Station (Trend F-3003)

Alarms from the metering station routed to the UPS system to allow automatic acknowledgement and mitigation.
	 	$	28,340	 
	 	  	 	  	 	 	 	 
	 	
6.
	 	
Additional Earthen Ramns at Tanks S-104 and S-105 (Trend F-3011)

New earthen ramps for Perlite truck access to the LNG tanks spill protection area.
	 	$	25,928	 
	 	  	 	  	 	 	 	 
	 	
7.
	 	
2"d N2 Skid Piling and Foundation (Trend F-3021)

Drive piles and pour the foundation for a 2nd N2 Skid. 1
	 	$	38, 980	 
	 	  	 	  	 	 	 	 
	 	
8.
	 	
Ike Recovery Assistance to SPLNG in the Phase I Area (Trend F-3018)

Post Hurricane Ike work in the Phase I area to assist SPLNG with their recovery effort. This work scope is in addition to the contractual scope of Phase II.
	 	$	121,272	 
	 	  	 	  	 	 	 	 
	 	
9.
	 	
Use of Rigid Conduit for all Light Stations (Trend F-3019)

Replace existing %2" aluminum conduit with 3/8" rigid conduit for all light stations per the client's request.
	 	$	662,542	 
	 	  	 	  	 	 	 	 
	 	
10.
	 	
Stage 2A Additional AAVs Engineering (Trend F-3014)

FEED design of: 4 additional trains of 18 AAVs; a 12" recondenser line from the Phase 1 recondenser to the 22R piperack; and sitework engineering for 7 additional AAV trains.
	 	$	1,999,000	 

 

Page 1 of 3

  

  

  

 

	
PROJECT NAME:  Sabine Pass LNG Phase 2 

Receiving, Storage and Re-Gasification 

Terminal Expansion (“Phase 2 Project”)
	  	
CHANGE ORDER NUMBER: MBE-011

 

DATE OF CHANGE ORDER: May 5, 2009

	  	  	  
	
COMPANY: Sabine Pass LNG, L.P.
	  	
ADJUSTMENT TO CONTRACTOR’S FIXED FEE NO#011

	  	  	  
	
CONTRACTOR: Bechtel Corporation
	  	
 

	  	  	  
	
DATE OF AGREEMENT: July 21, 2006
	  	  

 

	 	
11.
	 	
AAV Train S Crossover Line (Trend F-3034)

Procure materials and construct a crossover line between the SCVs and AAV Train S.
	 	$	591,330	 
	 	  	 	  	 	 	 	 
	 	
12.
	 	
Vendor Packaged Systems Test & Documentation (Trend F-3036)

Provide function loop tests for vendor packaged systems and prepare loop documentation packages & signoffs.
	 	$	80,000	 
	 	  	 	  	 	 	 	 
	 	  	 	
Total Amount of agreed Scope Changes:
	 	$	4,409,220	 
	 	  	 	
(Items 1-12 above)
	 	 	 	 
	 	  	 	  	 	 	 	 
	 	
13.
	 	
Change Order SP2BE-010 Carry-Over

This line item represents the remainder difference of $740,047 not previously included in the Fixed Fee adjustment calculation.
	 	$	740,047	 
	 	  	 	  	 	 	 	 
	 	  	 	
Amount Eligible for Fixed Fee Calculation:
	 	$	5,149,267	 
	 	  	 	
(Items 1-13 above)
	 	 	 	 
	 	  	 	  	 	 	 	 
	 	
14.
	 	
Change Order SP2BE-011 Fixed Fee

Fixed Fee increases are based on increments of $5,000,000. Consequently, the Fixed Fee increase associated with this Change Order is calculated based on $5,000,000 (4% x $5,000,000) for a total Fixed Fee Adjustment of $200,000. The remaining balance of $149,267 will be added to a future Change Order when the next US$5,000,000 threshold is
achieved.
	 	 	 	 
	 	  	 	  	 	 	 	 
	 	  	 	
Total Fixed Fee Adjustment Amount:
	 	$	200,000	 

Page  2 of 4

  

  

  

 

	
PROJECT NAME:  Sabine Pass LNG Phase 2 

Receiving, Storage and Re-Gasification 

Terminal Expansion (“Phase 2 Project”)
	  	
CHANGE ORDER NUMBER: SP2BE-011

 

DATE OF CHANGE ORDER: May 5, 2009

	  	  	  
	
COMPANY: Sabine Pass LNG, L.P.
	  	
ADJUSTMENT TO CONTRACTOR’S FIXED FEE NO#011

	  	  	  
	
CONTRACTOR: Bechtel Corporation
	  	
 

	  	  	  
	
DATE OF AGREEMENT: July 21, 2006
	  	  
	  	  	  

 

	
ATTACHMENTS:
	 	  
	
Attachment A -
	 	
Trend Estimate (F-2010)

	
Attachment B -
	 	
Trend Estimate (F-2025)

	
Attachment C -
	 	
Trend Estimate (F-2061)

	
Attachment D -
	 	
Trend Estimate (F-2076)

	
Attachment E -
	 	
Trend Estimate (F-3003)

	
Attachment F -
	 	
Trend Estimate (F-3011)

	
Attachment G -
	 	
Trend Estimate (F-3019)

	
Attachment H -
	 	
Trend Estimate (F-3021)

	
Attachment I -
	 	
Trend Estimate (F-3018)

	
Attachment J -
	 	
Trend Estimate (F-3014)

	
Attachment K -
	 	
Trend Estimate (F-3034)

	
Attachment K -
	 	
Trend Estimate (F-3036)

	
Attachment L -
	 	
Adjusted Fixed Fee Table

	  	 	  
	
REFERENCES:
	 	  
	
Project Instruction Form SP2-023

	
Project Instruction Form SP2-027

	
SPLNG Correspondence SP-BE-C-269 dated June 19, 2007

	 
	 
	 

 

 

	
Adjustment to Contractor's Fixed Fee
	 	 	 
	  	 	 	 
	
The original Fixed Fee was
	 	$	18,500,000	 
	  	 	 	 	 
	
Change in Fixed Fee by previously authorized Change Orders
	 	$	2,200,000	 
	  	 	 	 	 
	
The Fixed Fee prior to this Change Order was
	 	$	20,700,000	 
	  	 	 	 	 
	
The Fixed Fee will be increased by this Change Order in the amount of
	 	$	200,000	 
	  	 	 	 	 
	
The new Fixed Fee including this Change Order will be
	 	$	20,900,000	 

 

This Change Order shall constitute a full and final settlement and accord and satisfaction of all effects of the change as described in this Change Order #011 upon the Fixed Fee and shall
be deemed to compensate Bechtel fully for such change.

 

Upon execution of this Change Order by Company and Contractor, the above-referenced change shall become a valid and binding part of the original Agreement without exception or qualification, unless noted in this Change Order. Except as modified by this and any previously issued Change Orders, all other terms and conditions of the Agreement
shall remain in full force and effect. This Change Order is executed by each of the Parties’ duly authorized representatives.

 

Page  3 of 4

  

  

  

 

	
PROJECT NAME:  Sabine Pass LNG Phase 2 

Receiving, Storage and Re-Gasification 

Terminal Expansion (“Phase 2 Project”)
	  	
CHANGE ORDER NUMBER: SP2BE-011

 

DATE OF CHANGE ORDER: May 5, 2009

	  	  	  
	
COMPANY: Sabine Pass LNG, L.P.
	  	
ADJUSTMENT TO CONTRACTOR’S FIXED FEE NO#011

	  	  	  
	
CONTRACTOR: Bechtel Corporation
	  	
 

	  	  	  
	
DATE OF AGREEMENT: July 21, 2006
	  	  
	  	  	  

 

	

/s/ Charif Souki

	  	

/s/ Patrick J. McCormack

	
*Charif Souki
	  	
Contractor

	
Chairman
	  	

Patrick J. McCormack

	 	 	
Name

	

May / 20 / 2009

	  	

Project Director

	
Date of Signing
	  	

Title

	  	  	
5/14/09

	  	  	Date of Signing
	  	  	  
	

/s/ Ed Lehotsky

	  	  
	
*Ed Lehotsky
	  	  
	
Owner Representative
	  	  

 

 

	May 20, 2009 	 	 
	
Date of Signing   
	  	  
	  	  	  
	  	  	  
	
* Required Owner signature
	  	  

Page  4 of 4exhibit_10-2.htm

Exhibit 10.2

 

CHANGE ORDER FORM

(for use when the Parties execute the Change Order pursuant to Section 32 of the General Conditions)

	
PROJECT NAME:
	
Sabine Pass LNG Project (Phase 2)

	
CHANGE ORDER NUMBER:
	
009

	
DATE OF CHANGE ORDER:
	
March 26,2009

	
PURCHASER:
	
Sabine Pass LNG, L.P.

	
SOIL CONTRACTOR:
	
Remedial Construction Services, L.P.

	
CONTRACT NO.
	
25279-004-OC2-C000-00001

	
DATE OF AGREEMENT:
	
July 21, 2006

	
The Agreement between the Parties listed above is charged as follows: (attach additional documentation if necessary)

Description of Change: This CO No. 009 is issued to incorporate into the Soil Improvement Contract the following:

Add Pay item 3.30 for closing the Tank 104 and 105 Dike openings (Reference Contract Notification No. 024) and Pay Item 3.40 for constructing a temporary truck ramp at the northeast corner of Tank 104 Dike (Reference Contract Notification No. 025) as described in the revised Exhibit “C” Quantities, Pricing and Data, dated
March 26, 2009.

Attachments:

	 	
1)
	
Contract Exhibit “C”, Quantities, Pricing and Data, dated March 26, 2009 that supersedes and replaces Exhibit “C”, Quantities, Pricing and Data, dated November 26, 2007 in its entirety.

	 	
2)
	
Contract Exhibit “D”, Scope of Work, Revision 2, dated March 26, 2009 that supersedes and replaces Exhibit “D”, Scope of Work, dated September 11, 2007 in its entirety.

	 	
3)
	
Contract Exhibit “E-3” Drawings, dated March 26, 2009 which incorporates drawing 25279-001-CS-000-00009 Revision 3 titled Civil Site Development Finished Grade Plan.

	  

	
The original contract price was
	 	$	 	28,526,962.28	 
	  	 	 	 	 	 
	
Net Change by previously authorized Change Orders
	 	$	 	-1,744,631.63	 
	  	 	 	 	 	 
	
The Contract Price prior to this Change Order
	 	$	 	26,782,330.65	 
	  	 	 	 	 	 
	
The Contract Price will be increased by this Change Order amount of
	 	$	 	181,100.00	 
	  	 	 	 	 	 
	
The New Contract Price including this Change Order will be
	 	$	 	26,963,430.65	 

Upon execution of this Change Order by Sabine Pass LNG, L.P. and Remedial Construction Services, L.P. the above referenced change shall become a valid and binding part of the original agreement without exception or qualification unless noted in this Change Order.  Except as modified by this and any previously issued Change Orders,
all other terms and Condition of the Agreement shall remain in full force and effect.  This Change Order is executed by each of the Parties’ duly authorized representatives.

	
Purchaser:
	  	
Soil Contractor:

	
Sabine Pass LNG, L.P.
	  	
Remedial Construction Services, L.P.

	
By:
	
Sabine Pass LNG-GP, Inc.,

	
  
	
Its general partner

 

	
Authorized Signature:
	 	/s/ Ed Lehotsky   	  	
Authorized Signature:
	 	/s/ Steven R. Birdwell  
	  	 	  	  	  	 	  
	
Name:
	 	Ed Lehotsky 	  	
Name:
	 	Steven R. Birdwell
	  	 	  	  	  	 	  
	
Title:
	 	VP LNG Proj Mgt	  	
Title:
	 	President
	  	 	  	  	  	 	  
	
Date of Signing:
	 	April 3, 2009	  	
Date of Signing:
	 	4-7-2009

  

 

1

 

 

 

CHANGE ORDER FORM

(for use when the Parties execute the Change Order pursuant to Section 32 of the General Conditions)

	
PROJECT NAME:
	
Sabine Pass LNG Project (Phase 2)

	
CHANGE ORDER NUMBER:
	
010

	
DATE OF CHANGE ORDER:
	
March 27, 2009

	
PURCHASER:
	
Sabine Pass LNG, L.P.

	
SOIL CONTRACTOR:
	
Remedial Construction Services, L.P.

	
CONTRACT NO.
	
25279-004-OC2-C000-00001

	
DATE OF AGREEMENT:
	
July 21, 2006

	
The Agreement between the Parties listed above is charged as follows: (attach additional documentation if necessary)

Description of Change: This CO No. 010 is issued to incorporate into the Soil Improvement Contract all work necessary to complete the slope protection and finished grade for LNG Tanks S-104 and S-105 containment dikes and impoundment areas.

Attachments:

	 	
1)
	
Contract Exhibit “B”, Special Conditions, dated March 27, 2009 that supersedes and replaces Exhibit “B”, Special Conditions, dated January 3, 2007 in its entirety.

	 	
2)
	
Contract Exhibit “C”, Quantities, Pricing and Data, dated March 27, 2009 that supersedes and replaces Exhibit “C”, Quantities, Pricing and Data, dated March 26, 2009 in its entirety.

	 	
3)
	
Contract Exhibit “D-2”, Scope of Work, dated January 14, 2009 which incorporates the scope of work for the LNG Tanks Area Slope Protection and Finished Grade.

	 	
4)
	
Contract Exhibit “E-4” Drawings, dated January 14, 2009 which incorporates drawings for the LNG Tanks Area Slope Protection and Finished Grade.

	  

 

	
The original contract price was
	 	$	 	28,526,962.28	 
	  	 	 	 	 	 
	
Net Change by previously authorized Change Orders
	 	$	 	-1,563,531.63	 
	  	 	 	 	 	 
	
The Contract Price prior to this Change Order
	 	$	 	26,963,430.65	 
	  	 	 	 	 	 
	
The Contract Price will be increased by this Change Order amount of
	 	$	 	605,156.85	 
	  	 	 	 	 	 
	
The New Contract Price including this Change Order will be
	 	$	 	27,568,587.50	 

Upon execution of this Change Order by Sabine Pass LNG, L.P. and Remedial Construction Services, L.P. the above referenced change shall become a valid and binding part of the original agreement without exception or qualification unless noted in this Change Order.  Except as modified by this and any previously issued Change Orders,
all other terms and Condition of the Agreement shall remain in full force and effect.  This Change Order is executed by each of the Parties’ duly authorized representatives.

 

	
Purchaser:
	
Soil Contractor:

	
Sabine Pass LNG, L.P.
	
Remedial Construction Services, L.P.

	
By:
	
Sabine Pass LNG-GP, Inc.,

	
  
	
Its general partner

 

	
Authorized Signature:
	 	/s/ Ed Lehotsky  	  	
Authorized Signature:
	 	/s/ Steven R. Birdwell  
	  	 	  	  	  	 	  
	
Name:
	 	Ed Lehotsky	  	
Name:
	 	Steven R. Birdwell
	  	 	  	  	  	 	  
	
Title:
	 	VP LNG Proj Mgt	  	
Title:
	 	President
	  	 	  	  	  	 	  
	
Date of Signing:
	 	April 3, 2009	  	
Date of Signing:
	 	4-7-2009

 

 

2

 

 

 

CHANGE ORDER FORM

(for use when the Parties execute the Change Order pursuant to Section 32 of the General Conditions)

	
PROJECT NAME:
	
Sabine Pass LNG Project (Phase 2)

	
CHANGE ORDER NUMBER:
	
011

	
DATE OF CHANGE ORDER:
	
March 28, 2009

	
PURCHASER:
	
Sabine Pass LNG, L.P.

	
SOIL CONTRACTOR:
	
Remedial Construction Services, L.P.

	
CONTRACT NO.
	
25279-004-OC2-C000-00001

	
DATE OF AGREEMENT:
	
July 21, 2006

 

	
The Agreement between the Parties listed above is charged as follows: (attach additional documentation if necessary)

Description of Change: This CO No. 011 is issued to incorporate into the Soil Improvement Contract the Asphalt Paving and Asphalt Sealer work.

 

Attachments:

	 	
1)
	
Contract Exhibit “C”, Quantities, Pricing and Data, dated March 28, 2009 that supersedes and replaces Exhibit “C”, Quantities, Pricing and Data, dated March 27, 2009 in its entirety.

	 	
2)
	
Contract Exhibit “D-3”, Scope of Work, dated December 9, 2008 that incorporates the scope of work for the Asphalt Paving and Asphalt Sealer work.

	 	
3)
	
Contract Exhibit “E-5”, Drawings, dated November 8, 2008 that incorporates drawings for the Asphalt Paving and Asphalt Sealer work.

	  

 

	
The original contract price was
	 	$	 	28,526,962.28	 
	  	 	 	 	 	 
	
Net Change by previously authorized Change Orders
	 	$	 	-958,374.78	 
	  	 	 	 	 	 
	
The Contract Price prior to this Change Order
	 	$	 	27,568,587.50	 
	  	 	 	 	 	 
	
The Contract Price will be increased by this Change Order amount of
	 	$	 	590,834.04	 
	  	 	 	 	 	 
	
The New Contract Price including this Change Order will be
	 	$	 	28,159,421.54	 

Upon execution of this Change Order by Sabine Pass LNG, L.P. and Remedial Construction Services, L.P. the above referenced change shall become a valid and binding part of the original agreement without exception or qualification unless noted in this Change Order.  Except as modified by this and any previously issued Change Orders,
all other terms and Condition of the Agreement shall remain in full force and effect.  This Change Order is executed by each of the Parties’ duly authorized representatives.

	
Purchaser:
	  	
Soil Contractor:

	
Sabine Pass LNG, L.P.
	  	
Remedial Construction Services, L.P.

	
By:
	
Sabine Pass LNG-GP, Inc.,

	
  
	
Its general partner

	
Authorized Signature:
	 	/s/ Ed Lehotsky  	  	
Authorized Signature:
	 	/s/ Steven R. Birdwell  
	  	 	  	  	  	 	  
	
Name:
	 	Ed Lehotsky	  	
Name:
	 	Steven R. Birdwell
	  	 	  	  	  	 	  
	
Title:
	 	VP LNG Proj Mgt	  	
Title:
	 	President
	  	 	  	  	  	 	  
	
Date of Signing:
	 	April 3, 2009	  	
Date of Signing:
	 	4/7/2009

  

 

3

 

 

 

CHANGE ORDER FORM

(for use when the Parties execute the Change Order pursuant to Section 32 of the General Conditions)

	
PROJECT NAME:
	
Sabine Pass LNG Project (Phase 2)

	
CHANGE ORDER NUMBER:
	
012

	
DATE OF CHANGE ORDER:
	
June 18, 2009

	
PURCHASER:
	
Sabine Pass LNG, L.P.

	
SOIL CONTRACTOR:
	
Remedial Construction Services, L.P.

	
CONTRACT NO.
	
25279-004-OC2-C000-00001

	
DATE OF AGREEMENT:
	
July 21, 2006

	
The Agreement between the Parties listed above is charged as follows: (attach additional documentation if necessary)

Description of Change: This Change Order No. 012 is issued to incorporate into the Soil Improvement Contract the following:

 

	
  
	
●
	
Drilling holes on Dike 1 and the North Dike for Tank Dike Access Road Light Poles (CN-027).

	
  
	
●
	
Installation of Envirogrid material on Tank S-104 and S-105 Impound Sump slopes (CN-028).

	
  
	
●
	
Construction of the corners of each Tank S-104 and S-105 Sump Aprons as described in CN-029.

	
  
	
●
	
Construction of the Temporary Containment Berm in Tank S-105 Impoundment Area (CN-030)

 

Attachments:

	 	
1) 
	
Contract Exhibit “C”, Quantities, Pricing and Data, dated June 18, 2009 that supersedes and replaces Exhibit “C”, Quantities, Pricing and Data, dated March 28, 2009 in its entirety.

	  

	
The original contract price was
	 	$	 	28,526,962.28	 
	  	 	 	 	 	 
	
Net Change by previously authorized Change Orders
	 	$	 	-958,374.78	 
	  	 	 	 	 	 
	
The Contract Price prior to this Change Order
	 	$	 	28,159,421.54	 
	  	 	 	 	 	 
	
The Contract Price will be increased by this Change Order amount of
	 	$	 	39,173.00	 
	  	 	 	 	 	 
	
The New Contract Price including this Change Order will be
	 	$	 	28,198,594.54	 

Upon execution of this Change Order by Sabine Pass LNG, L.P. and Remedial Construction Services, L.P. the above referenced change shall become a valid and binding part of the original agreement without exception or qualification unless noted in this Change Order.  Except as modified by this and any previously issued Change Orders,
all other terms and Condition of the Agreement shall remain in full force and effect.  This Change Order is executed by each of the Parties’ duly authorized representatives.

	
Purchaser:
	  	
Soil Contractor:

	
Sabine Pass LNG, L.P.
	  	
Remedial Construction Services, L.P.

	
By:
	
Sabine Pass LNG-GP, Inc.,

	
  
	
Its general partner

 

	
Authorized Signature:
	 	/s/ Ed Lehotsky   	  	
Authorized Signature:
	 	/s/  Tommy Breaux
	  	 	  	  	  	 	  
	
Name:
	 	Ed Lehotsky 	  	
Name:
	 	Tommy Breaux
	  	 	  	  	  	 	  
	
Title:
	 	VP LNG Proj Mgt	  	
Title:
	 	Program Manager
	  	 	  	  	  	 	  
	
Date of Signing:
	 	23, Jine 2009	  	
Date of Signing:
	 	24 June 2009

 

4

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