The Department of Industry, Science, Energy and Resources is running a procurement process in order to consistently hold up to 400,000 tonnes of oil stock tickets for quarters between 1 July 2020 and 30 June 2021. An oil stock ticket is a contractual right to purchase or release oil, where the seller agrees to reserve a predetermined amount of oil for the period of the contract, in return for an agreed fee.
During an International Energy Agency (IEA) declared global oil emergency (known as a collective action), a ticket would give Australia the option to either purchase the reserved oil outright or to release the oil to market by cancelling the ticket, helping to ease the disruption in the oil market.
This procurement is part of the government’s plan for returning to compliance with the IEA’s 90 day oil stockholding requirement (for further information see the IEA program treaty).
Documents available for download:
- oil stock ticketing - registration
- oil stock ticketing - request for tender
- oil stock ticketing - offshore contract
- oil stock ticketing - onshore contract
- oil stock ticketing - general terms and conditions
(for sale and purchase of oil stock under a purchase option exercised pursuant to an oil stock ticket contract)
The approach to market process has 2 stages:
- A registration process, where applicants submit information about their business and have the opportunity to review the department’s template 'Oil stock ticket contracts and general terms and conditions'. If an applicant is successfully registered, they must also create an account on AusTender to participate in future requests for tender.
- A request for tender (RFT), where successfully registered applicants may submit tender offers to hold stocks.
The department will notify applicants and tenderers of any future tender rounds on this website.
The registration process is open to:
- entities offering to hold stocks in Australia
- entities offering to hold stocks in a country that has a government-to-government arrangement between the Australian Government and the host government
At present, the following countries have a government-to-government arrangement with the Australian Government:
- United States
- United Kingdom
- The Netherlands
Arrangements are also being negotiated with a number of other countries.
Potential suppliers are encouraged to visit this page periodically to receive updates on the status of future government-to-government arrangements. Please note that a government-to-government arrangement must be in place for the stock location by the registration lodgement date for a tender to be considered.
Registration lodgement period
Registrations are currently open and the department welcomes applications for registration. Registration applications including accompanying documents must be lodged electronically at email@example.com
On receipt of applications, the department will process them in the order they are received and will seek any clarifications the department deems necessary from the applicant.
Applicants are encouraged to submit their applications early, to ensure there is enough time to clarify information and contractual details, if required.
Notification of registration outcome
If an applicant is successfully registered, they will be able to participate in future RFTs as long as they remain registered.
In order to participate in the RFT, successful applicants will need to create an account with AusTender, the Australian Government’s AusTender website.
Request for tender
The department is seeking tenders from registered entities to secure up to 400,000 tonnes of oil stock tickets for quarters between 1 July 2020 and 30 June 2021.
Lodgement of tenders and notification of results
Round 5 timeline
Registration lodgement date:
5pm Friday 17 April 2020
Registration notification date:
5pm Tuesday 28 April 2020
Tender open date:
10am Wednesday 29 April
Tender close date:
5pm Wednesday 6 May 2020
Notify tenderers of outcome:
5pm Friday 15 May 2020
All times are Australian Eastern Standard Time (AEST)