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Oil Contract – CXEI

PACKAGE CODE : CXEI (USA Allocation-Holder/Reseller)

PRODUCT RANGES

  • DIESEL GASOIL L0.2-62 (D2)
  • AUTOMOTIVE GASOIL (AGO)
  • AVIATION KEROSENE COLONIAL GRADE JET FUEL (JP54)
  • AVIATION KEROSENE COLONIAL GRADE JET FUEL (JPA1)
  • MAZUT GOST 10585-75 (M100-75)
  • MAZUT GOST 10585-99 (M100-99)
  • BONNY LIGHT CRUDE OIL (BLCO)

PRICES

  • DIESEL GASOIL D2 L0.2-62
    • US$410/400 per MT, CIF
    • or US$10 per MT off Rotterdam platt
  • AUTOMOTIVE GASOIL (AGO)
    • US$430/420 per MT, CIF
  • MAZUT M100, GOST 10585-75 / GOST 10585-99
    • US$320/310 per MT, CIF
  • JET FUEL (JP54) – Kerosene Colonial
    • US$42/40 per BBL, CIF
  • BONNY LIGHT CRUDE OIL (BLCO)
    • Discount per barrel : US$5/3 (FOB Tema Waters, Accra) Buyers need to pick up with their own vessels, CIF AWSP also can be arranged.

* Prices subject to change at short notice from oil refineries

PAYMENT TERMS

  1. Irrevocable, Divisible, Assignable, Transferable or non-transferable, RDLC / DLC / BG / SBLC / MT103-23 via SWIFT from top 50 world bank.

PROCEDURES FOR RUSSIAN PRODUCT (CIF)

  1. Buyer confirms soft offer from Seller and issues ICPO to Seller (Seller does not do Soft probes). NCNDA being signed by all parties.
  2. Seller issues Full Corporate Offer (FCO) and IMFPA to Buyer.
  3. Buyer signs and returns the Full Corporate Offer and IMFPA to Seller within 3 (three) days.
  4. Seller issue draft contract to Buyer
  5. Seller to sign and seal back contract in PDF to Buyer with contract and reference number.
  6. Seller/Buyer sign/stamp original and send each other through courier: 4 copies total, 2 for buyer and for seller.
  7. Buyer send RWA (Ready, Willing and Able) letter to Seller’s bank by SWIFT with full banking details including bank officer’s names and other particulars confirming that Buyer is irrevocably committed to issuing an Irrevocable, Revolving Documentary Letter of Credit (RDLC), MT103-23, Bank Guarantee (BG) etc in favor of the Seller for the purchase of (say 5,000,000 MT of D2x12) from Seller upon the release of Soft POP (Proof of Product) by Seller to the Buyer. (If Buyer is unable to provide the RWA letter, Buyer skips Steps 6 and 7 and proceeds to Step 8 of the procedure).
  8. Seller issues soft POP Documents to Buyer as per Step 6.
  9. Buyer’s bank issues RDLC, MT103-23, BG etc, to Seller’s bank in favor of Seller.
  10. Seller’s bank responds with 2 percent performance bond in favor of the Buyer to Buyer’s bank to activate Buyer’s payment instrument.
  11. Seller issues full POP Document to Buyer.
  12. Delivery commences as scheduled and as agreed between Buyer and Seller
  13. The Product is delivered as per Contract CIF to Buyer’s designated port.

* PLEASE NOTE THAT WE DO NOT DO ANY FOB DEALS. ALL OUR TRANSACTIONS ARE CIF.

PROCEDURES FOR RUSSIAN PRODUCT SHOULD BUYERS NOT WILLING TO SWIFT RWA TEXT (CIF)

  1. Buyer provides ICPO to seller (with all banking details)
  2. Seller Issues FCO to be confirmed and signed by the Buyer.
  3. Seller provides Draft Contract to Buyer to revise, confirm and execute. Buyer and Seller exchange the signed contract via electronic mail, which shall be deemed legally binding and enforceable…..etc
  4. Buyer’s bank issues by MT 705, Pre-Advice LOC or MT103-23 to Seller’s bank.
  5. Upon confirmation of Buyer’s SWIFT, Seller issues Partial Proof of Funds to Buyer.
  6. Buyer’s bank shall issue a Non-Operative, Non-Transferable Revolving Documentary Letter of Credit (RDLC) or MT103-23 in favor of Seller.
  7. Seller’s bank issues a 2% performance bond to activate Buyer’s RDLC or MT103-23
  8. Seller’s bank delivers full POP documents to the Buyer
  9. Shipment commences according to the agreed contract schedule (first shipment commences within 30-45 days.
  10. The product is delivered as per Contract CIF to Buyer’s designated port.

PROCEDURES FOR BLCO PRODUCT (FOB)

All BLCO purchase will be at Tema Waters Ghana FOB with the procedure below, Buyers need to pick up with their own vessels

  1. Buyer and Seller executes Sales and Purchase Agreement.
  2. Seller’s vessel moves to Tema Waters for Q&Q Inspection
  3. Upon Confirmation of Q&Q inspection, Buyer issue payment instrument in the name of the Seller for the total cost of cargo payable 100 % at sight.
  4. Within 24-48 hours of Q&Q inspection, Buyer’s vessel must arrive at a designated Transshipment point in Tema Waters.
  5. Seller authorizes the discharge of cargo into Buyer’s receiving vessel
  6. Upon completion of discharge, Seller/intermediaries/agents/facilitators are paid within 24-48 hours of complete discharge of cargo into buyer’s receiving vessel by telegraphic transfer.
  7. Both Buyer’s and Seller’s vessels depart to their respective locations.

PROCEDURES FOR BLCO PRODUCT (CIF)

Bonny Light Crude Oil with CIF terms with the procedure below:

  1. Buyer confirms soft offer from Seller and issues ICPO to Seller (Seller does not do Soft probes). NCNDA being signed by all parties.
  2. Seller issues Full Corporate Offer (FCO) and IMFPA to Buyer.
  3. Buyer signs and returns the Full Corporate Offer and IMFPA to Seller within 3 (three) days.
  4. Seller issue draft contract to Buyer
  5. Seller to sign and seal back contract in PDF to Buyer with contract and reference number. Seller/Buyer sign/stamp original and send each other through courier: 4 copies total, 2 for buyer and for seller.
  6. Buyer’s bank issues RDLC, MT103-23, BG etc, to Seller’s bank in favor of Seller.
  7. Seller’s bank responds with 2 percent performance bond in favor of the Buyer to Buyer’s bank to activate Buyer’s payment instrument.
  8. Delivery commences as scheduled and as agreed between Buyer and Seller and Seller provides POP upon the loading of vessel ready to depart for AWSP
  9. The Product is delivered as per Contract CIF to Buyer’s designated port.
  10. Payment is made to Seller within 24-48 hours of discharge of cargo based on out-turned barrels.

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