mecㆍviewer v1.4 :: 3. RFP Packaging Optimization within Nacelle.docx

Korea Aerospace Research Institute (hereinafter “KARI”), a government-funded research institute is
responsible for the development of aircraft electric engine.

1.2

Objective of RFP

KARI is issuing this Request for Proposal (hereinafter “RFP”) to Bidders who are willing to
collaborate with KARI in successfully performing the thermal package optimization and cable/pipe
routing design for engine nacelle. This RFP document explains the procedures to be undertaken by
Bidders seeking to respond to the RFP for related services. This RFP also details the requirements,
terms, and conditions for the proposal and contract.

1.3

Contract Concepts

In the phase of the issuance of RFP, this RFP is written and issued by KARI. the contract will be made
with one contractor who satisfies the scope of RFP with the experience and ability of research and
submit the lowest bid price.

In the evaluation and contract phases, Bidder’s Proposal will be evaluated by the evaluation
committee according to the related rules.

1.4

Schedule of Contract

2023. 4 [TBC] : Completion of contract between KARI and bidder [TBC]

2023. 4 [TBC] : Kick-off meeting [TBC]

2023. 7 [TBC] : Interim presentation [TBC]

2023. 10 [TBC] : Submission of final report [TBC]

2023. 11 [TBC] : Final presentation [TBC]

1.5

Terminology

Unless otherwise specified elsewhere, the following terms as used herein shall have the meaning as
assigned to them:

1.5.1

Bid means solicitation of KARI for the submittal of the Proposal in response to the RFP.

1.5.2

Bidder(s) means person(s) or corporation(s) who submits the Proposal in response to the
RFP.

1.5.3

Contract means a contract to be executed between KARI and Contractor for Thermal

Thermal Package Optimization and Cable/Pipe Routing Design for Engine Nacelle

Request for Proposal, Part I

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Package Optimization and Cable/Pipe Routing Design for Engine Nacelle pursuant to the
RFP.

1.5.4

Contractor means the party who has entered into the Contract.

1.5.5

KARI means Korea Aerospace Research Institute as designated by the government of the
Republic of Korea (“Korea”) for the issuance of the RFP.

1.5.6

Proposal means any set of documents effectively submitted by a Bidder in response to this
RFP.

1.5.7

RFP or Request for Proposal means all documents, including those attached or
incorporated by reference, used for soliciting Proposal as set forth in Section 2.2 (Structure
of the RFP) of Part II of the RFP.

1.5.8

Successful Bidder means the Bidder with the lowest Bid Price in the price evaluation, after
having passed technical evaluation, who is expected to formalize a Contract in Annex B
hereof.

1.5.9

TBD means “To Be Determined” by KARI before the award of the Contract.

1.5.10 TBC means “To Be Confirmed” mutually by KARI and Bidder as to any requirements

suggested.

Thermal Package Optimization and Cable/Pipe Routing Design for Engine Nacelle

Request for Proposal, Part I

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Part II. General Instruction to Bidder

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2.1

Purpose

This section describes the requirements for preparing and submitting the Bidder’s Proposals in
response to this RFP.

2.2

Structure of the RFP

This RFP consists of the following Parts:

Part I

Introduction

Part II

General Instruction to Bidders

Part III

Technical Requirements for Contract

Part IV

Statement of Work

Annex A.

Suggested Proposal

Annex B.

Terms and Conditions

Part I provides introduction to this RFP document.

Part II illustrates general instructions for the preparation and submission of the Proposal, and
principles of evaluation of the Proposal.

Part III outlines the key performance for thermal package optimization and cable/pipe routing
design for engine nacelle.

Part IV states the Statement of Work, which shall be provided by the Contractor to KARI during the
entire course of Contract. This Statement of Work will be the baseline for the Contract.

Annex A outlines the Bidder how to develop the Proposal.

Annex B presents the baseline of the general terms and conditions, which is the basic guideline for
the Bidder to prepare the Proposals and for KARI, and the Contractor to form the Contract.

2.3

Qualification of Bidder

2.3.1

Bidder shall have demonstrated track records in thermal package optimization and cable/
pipe routing design for engine nacelle.

2.3.2

The qualifying statement for the above requirements and support materials shall be
provided in the Proposal.

Thermal Package Optimization and Cable/Pipe Routing Design for Engine Nacelle

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2.4

Submittal of Proposal

2.4.1

Proposal Documents

Bidder shall submit their Proposals in the following four (4) Volumes as presented in Annex A,
Suggested Proposal, with any other required certificate and evidences under the RFP.

Volume 1.

Capability and Experience

Volume 2.

Technical Proposal

Volume 3.

Statement of Work Proposal

Volume 4.

Price Proposal (to be sealed in a separate envelope)

The detailed instructions for each Volume can be founded in the Suggested Proposal given in Annex
A of this RFP. It is recommended that Bidders submit the Proposals in the same sequence as enlisted
in the Suggested Proposal.

A4 size paper shall be used. If the larger paper should be used for the explanation, foldout can be
used.

2.4.2

Number of Copies

Bidders shall submit one (1) original hardcopy marked as “ORIGINAL COPY” on the cover and six (6)
duplicate hardcopies, without Volume 4 Price Proposal. For Volume 4 Price Proposal, only one (1)
hardcopy shall be submitted in a separate envelope. In addition, the electronic files of the Proposal
in Microsoft Office Word for Windows and Portable Document Format (PDF) shall be submitted
(except for Volume 4 Price Proposal). In order to substantiate a Proposal, all relevant data shall be
submitted as attachments.

In case of any discrepancy between the original copy and electronic file or the other hardcopies, the
original copy, which is marked as “ORIGINAL COPY” on the cover, shall prevail.

2.4.3

Bid Closing Date

The closing date and time for the Proposal is specified in the notice of this Bid (“Bid Closing Date”).
If any part of the Proposal or the bid bond as required under this RFP is received by KARI after the
stipulated closing time, the entire Proposal will be rejected.

2.4.4

Method of Submittal

The Proposal shall be hand-carried or delivered using a registered mail service to the following KARI

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Request for Proposal, Part II

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personnel or his designee:

Mr. Won-Suk LEE

Overseas Contracts Office

Korea Aerospace Research Institute
169-84 Gwahak-ro, Yuseong-gu

Daejeon, 34133, Korea

Tel) +82-42-860-2406

e-mail) wsl@kari.re.kr

The communication between KARI and Bidder for contractual matters (Terms and Conditions) shall
be controlled through the following designee:

Ms. Ji-Young LIM

Overseas Contract Office

Korea Aerospace Research Institute

169-84 Gwahak-ro, Yuseong-gu

Daejeon, 34133, Korea

Tel) +82-42-860-2615

e-mail) jylim1@kari.re.kr

2.4.5

Point of Contact

Besides the Proposal submission, the point of contact for all communications for technical matters
shall be

Dr. Jae-Sung HUH

Aeropropulsion Research Division

Korea Aerospace Research Institute

169-84 Gwahak-ro, Yuseong-gu

Daejeon, 34133, Korea

Tel) +82-42-860-2831

e-mail) jshuh@kari.re.kr

with C.C to

Dr. Sangook Jun

Aeropropulsion Research Division

Thermal Package Optimization and Cable/Pipe Routing Design for Engine Nacelle

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Korea Aerospace Research Institute

169-84 Gwahak-ro, Yuseong-gu

Daejeon, 34133, Korea

Tel) +82-42-860-2237

e-mail) sangookjun@kari.re.kr

Bidder shall specify its single point of contact in the Volume I of its Proposal, “Capability and
Experience”, for KARI to communicate in connection with the RFP, Proposal and the subsequent
evaluation. Bidder’s information on the point of contact shall include the name, title/position,
telephone no., and e-mail address.

2.4.6

Bid Bond

Bidder shall establish a bid bond in accordance with the bid notice for this RFP.

2.5

Bidding Schedule

2.5.1

The following schedule is a tentative milestone for the eventual Contract and may be
changed at KARI’s sole discretion:

[1]

Bid Notice and RFP Release: T0

[2]

Bid Closing Date: T1 = T0 + 10 calendar days

[3]

Evaluation of Proposal: T2 = T1 + 10 calendar days

[4]

Expected Contract Date: T3 = T2 + 10 calendar days

2.6

Questions and Modifications

2.6.1

Any questions as to the intent and clarity of the RFP may be directed to KARI’s point of
contact as specified in Section 2.4.6 of the Part II of this RFP by e-mail or letter, and shall
be received no later than five (5) days before the Bid Closing Date.

2.6.2

KARI may ask a Bidder in writing for clarifications, amendments, revisions, or
supplementation of the Proposal and any other documents submitted by Bidder at any
time before the execution of the Contract. KARI may also ask Bidder to submit and supply
additional information or documents necessary for evaluation of the Proposal.

2.6.3

After the Bid Closing Date, Bidder shall not amend, modify, or supplement the Proposal, or
submit any other documents to KARI, except with KARI's written request.

2.7

Acceptance/Rejection of Bids

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KARI reserves the right to accept or reject any Bidding, and to amend the Bidding process and reject
all Biddings at any time prior to the award of the Contract without thereby incurring any liability to
the affected Bidder, and KARI is not under any obligation to inform the affected Bidder of the
ground for its action.

2.8

Evaluation of Proposal

The evaluation of the Proposals will be made by the evaluation committee, which will be acting
through KARI.

The following evaluation process is for information only, and the evaluation committee reserves the
right to modify the evaluation process and criteria without any prior notification to Bidders.

2.8.1

Evaluation Process

2.8.1.1

During the Bid evaluation, KARI may send to Bidders a set of questions for clarification
and request any supplement to the Proposals and the evaluation will be made based on
the Proposal and the answers and the supplement received from Bidders. The Proposal
which is improvable, unrealistic, unreliable or based on vague presumptions shall not get
good scores.

2.8.1.2

The   evaluation   shall   be   in   two   (2)   stages:   the   technical   evaluation   and   the   price
evaluation.  First, technical proposals shall be evaluated by the evaluation committee in
order to select the Bidders technically qualified to perform the work under this RFP. The
total score for technical proposal is one hundred (100) points and the Bidders with eighty
(80) points or higher shall be considered in the next stage of price evaluation. In the
second stage, the Bidder with the lowest bid price which shall be  less than or equal to
KARI’s estimated budget will be selected as the Successful Bidder.

2.8.1.3

Subject to an evaluation of the Proposal, the evaluation committee will judge whether
Bidder provides Proposal enough to meet the requirements in this RFP.

2.8.1.4

The result of evaluation is at the proposal evaluation committee’s discretion based on
evaluation process and Bidders shall not raise any objection regarding the proposal
evaluation committee’s decision thereupon.

2.9

Contract

2.9.1

The Terms and Conditions as presented in Annex B of this RFP is the baseline
requirement for the Contract with the Successful Bidder, and will be the basis of the
Contract.

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2.10

Language and Measurement Unit

2.10.1

The Proposal and any documents submitted to KARI under the RFP and communication
and the Contract language shall be in English.

2.10.2

"Système Internationale" (SI, hereafter) units shall be used for measurements and
quantities in the Proposal and all the accompanying documents. However, British unit of
power and weight could be used as a complementary unit. In this case, SI unit comes first
and British unit shall be put in parentheses.

2.11

Pricing Requirements

2.11.1

Any price or rate for Contract shall be firm and fixed, not subject to change for a price
escalation for the entire period of the Contract. Therefore, the proposed price shall
reflect possible fluctuations in labor costs, material prices and others. The Contractor
shall not demand to reflect the fluctuation on the Contract.

2.11.2

Any kinds of taxes and duties arising in connection with Bidder’s work under this RFP and
under the eventual Contract shall be Bidder’s responsibility, except for the customs
duties and VAT levied in Korea and the price shall be inclusive of any cost or charge incurred
due to delivery of any hardware, software, equipment, spare parts,

and documentation to KARI

or its designated point of delivery.

2.11.3

The currency quoted in the Price Proposal shall be expressed in the same currency used
in KARI’s bid notice for this RFP. However, other currency may be allowed. If Bidder’s
proposed price is in a currency other than the currency of the estimated budget specified
in KARI’s bid notice of this RFP, then for the conversion of the Bidder’s proposed price,
the 1st basic exchange rate announced by of KEB Hana Bank on the price evaluation date
shall be used.

2.11.4

Likewise, the currency of the Contract may be Contractor’s national currency within the
value of Bidder’s bid price, in which case, the 1

st basic exchange rate announced by KEB

Hana Bank on price evaluation date shall be applied for the exchange rate for currency
change.

2.11.5

Bidder shall include all cost items to cover the all activities in the Proposal and itemize
requested items.

2.11.6

Korean corporation tax (herein referred to as ‘Applicable Tax’) in Korea will be withheld
under the Contract. Therefore, KARI shall withhold the Applicable Tax and pay to the
relevant Korean taxing authority on behalf of Contractor in accordance with applicable
Korean law and international tax treaty between Korea and Bidder’s country. After paying
the Applicable Tax to the relevant Korean taxing authority, KARI will convey the certificate
of the withholding Tax to Contractor within ninety (90) days of such payment.

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2.12

Confidentiality

2.12.1

There shall be no news releases, public announcements, denials or confirmation in
connection with this RFP or contract award without prior written approval of KARI. Also,
Bidder shall not disclose any part of this RFP to third parties without prior written
approval of KARI.

2.12.2

All documentation submitted in response to this RFP shall be marked "COMMERCIALS-IN-
CONFIDENCE" on the first page of each document. All elements of the RFP shall be kept
confidential, and shall not be intentionally disclosed by Bidder to third parties.

2.13

Proprietary Rights

KARI shall have the irrevocable, royalty-free, and exclusive right to use any data and the results of
thermal package optimization and cable/pipe routing design for engine nacelle.

2.14

Withdrawal of Proposal

Bidder may withdraw its Proposal at any time before the Bid Closing Date. Withdrawal shall be
made in writing, and shall be received by KARI before the Bid Closing Date.

2.15

Property of Proposal

All documents submitted in response to the RFP shall become the property of KARI and will be
retained by KARI.

2.16

Expenses

Expenses incurred by Bidder in connection with the preparation, submittal, and any subsequent
clarification or any other activities for this Bidding are for their own account and will not be
reimbursed by KARI.

2.17

Governing Law

This RFP and the Contract shall be construed in accordance with and governed by the laws of the
Republic of Korea.

2.18

Certificate and Government Approval

Bidders shall receive the government approval and certificates (e.g. export licenses) in relevant

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countries, necessary for Bidder's work for this Proposal. Bidder's ability and plan to get such
approval and certificates shall be submitted to KARI, together with any appropriate assurance letters
from the relevant governments, in the proposal.

2.19

Arbitration

Any disputes arising out of or in connection with this RFP and Contract shall be finally settled by
arbitration in Seoul, Korea, under the in accordance with the International Rules of the Korean
Commercial Arbitration Board.

Thermal Package Optimization and Cable/Pipe Routing Design for Engine Nacelle

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Part III. Technical Requirements for Contract

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3.1

Project Information

A   Hybrid   Electric   Propulsion   (HEP)   system   development   project   launched   in   2021   is   a   basic
technology R&D project which is led by Korea Aerospace Research Institute and funded by the ROK
government. This project was initiated by the needs of adopting a gas turbine engine based-hybrid
electric propulsion system for a long endurance and high payload eVTOL (e-Vertical Take-Off and
Landing). All electric VTOL is known as to have limitations of payload and range due to restricted
energy density of Li-Ion battery. The goal of this project covers to establish an optimal design of the
hybrid   electric   propulsion   system   and   to   do   the   HEP   system   performance   test   at   a   newly
constructed ground test facility. The HEP system has many components such as a turboshaft engine,
a generator, a rectifier, several battery packs, motors, inverters, heat exchangers, and etc. It requires
the   layout   design   for   effective   and   compact   package   and   simultaneously   electrical/mechanical
routing design such as wire harness or pipeline for cooling. Therefore, this technical project will
cover the packaging optimization and the cable/pipe routing design of an engine nacelle.

3.2

Introduction

3.2.1 Conceptual design of a hybrid propulsion system

A schematic design of a series hybrid propulsion system is shown in Fig. 1, and in general, the
system features a couple of cruise propellers (or prop-rotors) and several lift prop-rotors. Each
cruise propeller or lift prop-rotor connects to an electric motor and an inverter which are installed in
an electric engine nacelle with accessary components for thermal management system and tilting
mechanism as shown in Fig. 2.

Figure 1. Schematic of HEP system

3.2.2 Electric Engine Nacelle

Various components such as a motor, inverter, heat exchanger, pump, fluid tank and fan are
installed inside the engine nacelle. It is important to package them compactly in a limited space,
considering their shapes and sizes. Additionally, during design, performance degradation due to
heat generation of each component and electrical/mechanical connection between components

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must be considered.

Figure 2. Example of electric engine nacelles

Figure 3. Example of connecting between components

3.3

Scope of Work

Contractor shall perform the following works under the Contract with KARI and please refer to the
PART IV “Statement of Work” for more detailed performance.



Package for electric engine nacelle;



Conduction of the packaging design for compactness



Consideration for the thermal effect of components and the electrical/mechanical
connection



Simultaneous conduction of the packaging and routing design

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Part IV. Statement of Work

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4.1

Overview

This section defines the work to be performed by the Contractor, including the provision of reports
and data for thermal package optimization and cable/pipe routing design for engine nacelle. The
contents, which will be included in a contract document, will be determined based on this RFP and
the Contractor's Proposal.

4.2

General Description

The goal of this project is to define the enhanced mathematical model and formulation for thermal
packaging optimization and cable/pipe routing design based on the KARI’s request, and to solve the
optimization problem with advanced in-house code that the Contractor has. Finally, the optimized
geometry and the next work scope shall be proposed.

4.3

Thermal Package Optimization & Cable/Pipe Routing Design

4.3.1

KARI will provide the detailed geometry of the electric engine nacelle and all components
in it, which could include a motor, inverters, a heat exchanger, at least two water pumps, a
water tank, a cooling fan, and etc., and will also give basic information from which the
Contractor can obtain thermal effects of them.

4.3.2

The Contractor should consider the routing problem of the wire harness and pipeline for
cooling.

- The electrical & mechanical inlet/outlet positions of each component are determined in

discussion with KARI.

- The routing design can use the open source such as Dijkstra or A* algorithm, and

concurrently or sequentially perform with the packaging design.

- High voltage wire harnesses and cooling lines have a circular cross-section and the

minimum bending radius. These values will be provided by KARI.

- The envelope of nacelle designed in KARI should be used for more realistic results.

- Not only 1:1 connection between components, but also 1:n connection shall be

considered.

- The position and size of the brackets to fix the components and routing must also be

considered.

4.3.3

The Contractor should consider the thermal effect as follows during packaging design.

- The nacelle has the intake and exit, which the external air flows into and out of it.

- A cooling fan is installed inside the nacelle to supply the external air to the heat

exchanger (forced convection).

- The motor and inverter have the water cooling device, and the coolant flows in the order

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of the inverter and the motor. The hot coolant from the motor is cooled again through
the heat exchanger, and then supplied to the inverter.

- The thermal model, which should consider forced convection effect, for packaging

optimization should be developed and verified.

4.3.4

The Contractor shall generate a detailed model, which can also describe the interface with
other components, of all components in the electric engine nacelle.

4.3.5

The Contractor shall define the enhanced mathematical model/formulation for thermal
packaging optimization which can describe the compact layout of all components and
thermal effects in the nacelle envelope and shall discuss it with KARI.

4.3.6

If necessary, the Contractor shall customize the in-house code that the Contractor has been
developing, and then solve the packaging optimization formulation with its own code.

4.3.7

The Contractor shall provide the interim optimized result, and shall suggest the full thermal
packaging optimization problem as next research scope.

4.4

Schedule of Works

Time*

Event

Within one week after
contract

KARI provide document for design of an electric
engine nacelle and geometry of battery cell

April 2023

Kick off meeting

One week after optimization
formulation

Interim presentation

One week before final
meeting

Submission of final report

End of Nov., 2023

Final presentation

st December 2023

End of Contract

*) Earlier is better

4.4.1

Kick off meeting shall be performed at the Contractor site but it can be changed due to
COVID-19. (exact date will be determined later)

4.4.2

Final meeting shall be held at the KARI. (exact date and location will be fixed later)

4.5

Kick-off and final meeting

4.5.1

The Contractor shall prepare for kick off and final meeting as stated in 4.5.

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4.5.2

To leave an evidence for kick-off and final meetings, lecture materials presented during
kick-off meeting and final meeting shall be provided to KARI in electronic file format.

4.5.3

If sensitive information is included, it should be removed and provided to KARI.

4.6

Meeting room for kick-off and final meetings

4.6.1

A meeting room shall be prepared by Contractor for kick-off meeting at Contractor location.

4.6.2

The meeting room shall be equipped with free WIFI.

4.7

Deliverable Items

The following items written in English should be submitted to KARI.

(a) The optimization report and the plan; and

(b) Final report; and

For late delivery of the final report, the liquidated damages for delay shall apply.

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Annex A. Suggested Proposal

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1. Volume 1 : CAPABILITY AND EXPERIENCE

This volume shall describe Contractor's introduction and technical capability. The facilities and tools
of the Bidder related to the development experience for thermal package optimization and
cable/pipe routing design for engine nacelle should be included. Bidder shall describe current or
past work similar to this RFP, which is being implemented or has been done by Bidder.

2. Volume 2 : TECHNICAL PROPOSAL

Bidder shall describe technical information, methodology, analysis, performance, and etc. to comply
with RFP requirements. Bidder shall describe this technical proposal with as many illustrations as
possible to make it clear.

3. Volume 3 : STATEMENT OF WORK PROPOSAL

Bidder shall submit Statement of Work proposal in this volume. In this volume, Bidder shall describe
work scope of the Bidder in detail including the respective plan.

4. Volume 4 : PRICE PROPOSAL

Bidder shall submit Price Proposal in this volume. In this volume, Bidder shall provide the price
breakdown of the price proposed by the Bidder in detail. And Bidder shall seal and submit this Price
Proposal in separate.

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Annex B. Terms and Conditions

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[TBD], 2023

[Name]
[Title]

[Contractor name]
[Address]

Tel: [TBD]
e-mail: [TBD]

Subject: Purchase Order (“PO”) No. KARI-23-

[ TBD

] for Thermal Package Optimization and

Cable/Pipe Routing Design for Engine Nacelle

Dear [TBD],

Korea Aerospace Research Institute (hereinafter “KARI”) hereby places an order with  [Contractor]
(hereinafter “Contractor”) for  following service in accordance with Attachment B “Statement of
Work”   based   on   the   terms   and   conditions   below.   Please   provide   your   acknowledgement   by
signature after receipt of the PO with KARI’s signature, and send us by e-mail the fully signed PO
and proceed the work at your earliest convenience.

A. Order Information: As per the Contractor’s proposal submitted to KARI dated TBD, 2023

- Total Price: KRW [ TBD

] (firm and fixed; Korean Value-Added Tax (VAT) not included)

- Item: Thermal Package Optimization and Cable/Pipe Routing Design for Engine Nacelle

(hereinafter referred to as “the Task”) in accordance with Attachment B “Statement of Work”.

Description

Price (KRW)

Task

Thermal Package Optimization and Cable/Pipe Routing Design for
Engine Nacelle in accordance with Attachments A and B

[ TBD

]

Total Price (firm and fixed)

[ TBD

]

B. Terms of Payment

No.

Milestone

Payment Due date

Price (KRW)

Percentage

(%)

P-Bond (Section F) + Kick-off
meeting

Milestone
completion + 30
days

[ TBD

]

Receipt of Final Report

Receipt of Design
Report + 30 days

[ TBD

]

Total Price (firm and fixed)

[TBD]

100

* EDC means the Effective Date of Contract on which both Parties have duly signed this PO.
- The payment shall be made by wire transfer to the bank account below as designated by

Contractor, within thirty (30) days after receipt of payment invoice.

- All banking charges incurred in Korea shall be borne by KARI, and those charges incurred

outside of Korea shall be borne by Contractor.

Thermal Package Optimization and Cable/Pipe Routing Design for Engine Nacelle

Request for Proposal, Annex B

Use or disclosure of the data contained on this sheet is subject to the restriction on the title page

Page 32

- Bank account information for payment to Contractor

Beneficiary‘s bank including branch name and address
SWIFT/BIC/Routing No./Transit No./ABA No., etc.
Beneficiary‘s Name
Account Number/IBAN

C. Taxes

- Korean VAT is not included in Contract Price and shall be the responsibility of KARI.
- Unless it is proved that Contract Price under this PO is not taxable in Korea as Korean

corporation tax (herein referred to as ‘Applicable Tax’), such tax will be withheld by KARI and
KARI shall pay to the relevant Korean taxing authority on behalf of Contractor as required in
accordance with the applicable Korean law and international tax treaty between the
governments of Korea and [ TBD

] . In such case, KARI shall forward the certificate for payment

of the withheld tax to Contractor within ninety (90) days of such payment.

- KARI shall be responsible for customs duties and VAT on the Deliverable Items levied by

Korean tax authority.

D. Deliverable Items (Document) and Intellectual Property Rights

- The list of Deliverable Items and due dates for each Deliverable Item are as set forth in

Attachment B “Statement of Work”.

- The Deliverable Items shall be the property of KARI.
- KARI shall have licence to use any data included in the Deliverable Items necessary for the

purpose of this PO.

E. Delivery term

- The Deliverable Item shall be provided to the following KARI persons by e-mail;

Dr. Jae-Sung HUH (

jshuh@kari.re.kr

and Dr.

Sangook Jun

(

sangookjun@kari.re.kr)

- It is agreed by the Parties that Contractor’s failure to obtain the export licence required for

the Task from the any relevant government within one (1) month after EDC constitutes a
failure of performance under Section F “Performance bond” below.

F. Performance bond

- Contractor shall establish a performance bond in favor of KARI in the value of ten percent (10

%) of the Total Price, in the form of an irrevocable and unconditional standby letter of credit
or bank guarantee available by KARI’s draft at sight, or shall deposit the amount equivalent to
ten percent (10 %) of the Total Price to the following account as security for performance.

Beneficiary‘s bank
including address

Woori Bank, Daejeon Banking Center, located at 1495, Doonsan-
dong, Yusung-gu, Dajeon, Republic of Korea

SWIFT Code

HVBKKR SEXXX

Thermal Package Optimization and Cable/Pipe Routing Design for Engine Nacelle

Request for Proposal, Annex B

Use or disclosure of the data contained on this sheet is subject to the restriction on the title page

Page 33

Beneficiary‘s Name

Korea Aerospace Research Institute

Account Number

1081-600-247322

- If Contractor fails in performance of this Contract, including failure to obtain any export

licence required for the purpose of this Contract, the performance bond will be confiscated by
KARI as liquidated damages. In case of a letter of credit, the bond shall be available by KARI’s
draft at sight without any further requirements other than KARI’s presentation of the
statement that: there was a default of the Contractor in the performance of the Contract.

- Otherwise, the performance bond will be released promptly at the remittance of final

payment by KARI without interest.

G. Liquidated damages

- Liquidated damages to be applied for late delivery of the Deliverable Items in accordance with

Attachment B “Statement of Work” at the rate of zero point one two five percent (0.125%) of
Total Price per day, up to thirty percent (30%) of Total Price in maximum.

H. Confidentiality

- Contractor shall not, in any manner, advertise, publish or release any information related to

this Purchase Order or the work performed or to be performed hereunder without prior
approval of KARI.

I. Point of Contact in KARI

Contractual Matters

Technical Matters

Name : Ms. Ji-Young Lim

Name : Dr. Sangook JUN

Tel : +82-42-860-2615

Tel : +82-42-860-2237

e-mail : jylim1@kari.re.kr

e-mail : sangookjun@kari.re.kr

Thank you in advance for your cooperation.

Korea Aerospace Research Institute

P.O acknowledged by: [TBC]

NAME: TBD
Title: TBD / Overseas Contracts Office
Date: TBD

Name: TBD
Title: TBD / Division
Date: TBD

Sincerely yours,
cc : Mr. Won-Suk LEE

Attachment A. “Technical Requirement”
Attachment B. “Statement of Work”

Thermal Package Optimization and Cable/Pipe Routing Design for Engine Nacelle

Request for Proposal, Annex B

Use or disclosure of the data contained on this sheet is subject to the restriction on the title page

The End of Documents

Thermal Package Optimization and Cable/Pipe Routing Design for Engine Nacelle

Request for Proposal, Annex B

Use or disclosure of the data contained on this sheet is subject to the restriction on the title page