The Department of Energy is seeking comments on a draft request for proposals to manage and operate its emergency crude oil storage infrastructure for another 10 years.
The contract has a five-year base ordering period with an option to extend work for another five years and will replace the existing Strategic Petroleum Reserve management contract held by a Fluor (NYSE: FLR) subsidiary, according to a SAM.gov notice published Monday.
Fluor Federal Petroleum Operations secured a $1.46 billion contract in September 2013 to assume responsibility for SRS and won a potential $2 billion contract extension in 2018 to continue construction and engineering work through March 31, 2024.
Work under the new contract will include the operation of the petroleum storage facilities at the reserve.
Responses to the draft solicitation are due June 26.