DIESEL FUEL
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AI Contract Overview
Pinnacle Petroleum, Inc. has been awarded a delivery order under the Defense Logistics Agency’s SPE60525D4503 contract for the supply of diesel fuel, with a total contract price of $161,381.25, awarded on July 17, 2026. The contract is for the delivery of diesel fuel under NSN 9140-015240139 to multiple military installations, with inspection and acceptance occurring at destination points including Camp Pendleton, Yuma, Nellis, and Barstow, under FOB Destination terms. The award reflects a commercial item contract, governed by FAR clauses 52.212-1, 52.212-3, 52.212-4, and 52.212-5, with payment processed via Electronic Funds Transfer in accordance with FAR 52.232-33 and submitted through the Wide Area Workflow system only. Pinnacle Petroleum, identified as a small business with HUBZone, SDVOSB, EDWOSB, and 8(a) certifications, operates under a NAICS code of 324110 and is contractually bound to deliver fuel meeting ASTM D975 and DoD Quality Assurance Provision ENERGY-QAP-C16.69-12 Rev B standards. The overarching contract SPE60525D4503 spans from May 1, 2025, to October 31, 2029, with a total estimated value of approximately $134.7 million, encompassing multiple line items for various fuel types and delivery methods across locations including California, Nevada, and Arizona. Delivery operations require adherence to strict logistical protocols including designated points of contact, mandatory military escorts for specific bases, tank truck nozzle and contamination controls, and timely delivery tickets. Payment is directed to the Defense Finance and Accounting Service in Columbus, Ohio, with detailed invoicing and fund tracking tied to CLIN and NSN identifiers. Contract administration is managed by the DLA Energy office, with Lawrence Watson as the contracting officer and Marichell Scott as the administrative liaison, while multiple technical representatives oversee performance at delivery sites. Economic price adjustments are permitted based on OPIS indices, allowing flexibility in pricing tied to market fluctuations within predefined ranges.
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