Product: Bonny Light Crude OilÂ
Origin: Nigeria through a JV with NNPC &
ShellÂ
Quantity: 2M Bbl lots monthly and multiples
thereofÂ
Term: *2 months w/R&EsÂ
Incoterms: CIF ASWP including China portsÂ
Payment: after SPA agreed and signed, Buyer submits SBLC
(preferred), BG or DLC via MT**0, Seller sends Buyer 2% PB, after
Q&Q in Buyer port, Buyer pays via MT**3Â
Price: Brent Platts less Gross $8 / Net $6 per
barrelÂ
Commissions: $1 per Bbl Sell side closed / $1 per Bbl Buy side
openÂ
Verification of product: If buyer so wishes,ATS & PPOP could be
provided directly to him upfront for his comfort
level.Â
NB: the procedures are not negotiable as they are set by the NNPC
not the seller.Â
CIF ProcedureÂ
a. BUYER and SELLER execute this Agreement and deposit with their
respective banks. THE ELECTRONIC SIGNED COPIES BY BOTH PARTIES ARE
CONSIDERED LEGALLY BINDING AND ENFORCEABLE AND ARE DEPOSITED WITH
THEIR RESPECTIVE BANKS.Â
b. SELLER sends SELLER\'s Authority To Sell (ATS) for Bulk
Allocation issued by NNPC to BUYER and BUYER BANK issues MT**9 POF
as the approved verbiage at Appendix B to SELLER
BANK.Â
c. SELLER BANK issues 2% PB and BUYER BANK issues SBLC/BG/DLC for
the whole cargo to SELLER Bank as the approved verbiage at Appendix
B to activate Seller Bank’s 2% PB. BUYER provides the discharge
port details for ETA/NOR specific formats to be used for
transaction.Â
d. SELLER arranges full vessel documents issued under Buyer name
and shall instruct the vessel Master to issue ETA/NOR to the BUYER.
Seller moves vessel to BUYER’s discharge port and issue Marine
ATB in favor of the BUYER. The BUYER’S inspector and supercargo
shall board the loaded vessel for Q&Q inspection by Buyer\'s
cost including verification and confirmation of the loading
documents. The results of the final inspection report shall be
released to both Parties.Â
e. Within three (3) international banking days of confirming that
the Buyer and Seller are in receipt of the Buyer Inspector\'s
Q&Q Report, the BUYER’s bank shall issue SWIFT MT **3 to the
SELLER’S bank upon receipt of the original cargo documents under
Buyer name for the total value of the commercial invoice based on
out-turn delivered and inspected, including
commissions/fees.Â
f. After successful transaction of the first shipment Buyer shall
issue IRDLC covering the value of monthly shipment for the rest of
the Contract as PAYMENT GUARANTEE to be activated by Seller’s 2%
Performance Bond and monthly delivery continues to do procedure
from d & e for the contracted CIF terms and
quality.Â
SPECIFICATION Conforms to Official NNPC
Specification:Â
a) Specific *@***********************8Â
b) API Gravity