DIESEL FUEL

DLA awarded Pinnaclle Petroleum, Inc. (CAGE 07ZM0), an economically disadvantaged women-owned small business, a fixed-price requirements contract with economic price adjustment for the delivery of diesel fuel DS2 and other petroleum products to U.S. Department of Defense installations along the East and Gulf Coasts. The contract, issued under SPE605-26-D-8507 and solicited via SPE60526FHRG0, has a total estimated value of $59,083,584.13, with an initial delivery order for $31,957.82 for 7,500 units of diesel fuel at $4.2610 per unit, subject to a ±10% quantity variance. The performance period spans from January 3, 2026, through October 31, 2028, with deliveries required at multiple military locations including Fort Benning, Tyndall AFB, Elizabeth City, Anniston, and Dania Beach under FOB destination terms, meaning the contractor assumes all risk and cost until acceptance at the delivery point. Fuel must be ethanol-free and comply with ENERGY-QAP specification series and NSN 9140-015240139, with acceptance performed exclusively by the Government at the destination. Payment is processed through DFAS Columbus using IRAPT and WAWF systems, with invoices due by July 15, 2026, and interest applied for overdue payments. The contract includes stringent cybersecurity mandates requiring compliance with NIST SP 800-171 Rev. 2, mandatory cyber incident reporting within 72 hours via DIBNet, preservation of forensic data for 90 days, and adherence to DFARS 252.204-7012 and 252.204-7009 for safeguarding covered defense information. Pricing is tied to OPIS fuel indices, necessitating monthly certification updates, and emergency adjustments are permitted during hurricane season. The contractor is bound by representations of small business and EDWOSB status, and all clauses are incorporated by reference per FAR 52.204-19. No independent evaluation criteria were documented, suggesting award was based primarily on price competitiveness within a technically acceptable framework. The contract is subject to DPAS priority ratings, FedRAMP Moderate requirements for cloud systems