CIF PROCEDURES
DISCOUNT ON THE PRODUCT: EUROPE GROSS $7; NET $4; USA GROSS $6; NET
$3; TO BROKERS ($1.*0 to Each Side).
Nominations, Shipment & CIF BANKING Procedures
Buyer & Seller sign Contract (SPA) and
forward copy to their respective banks. Electronic signed copy of Contract is considered
binding and enforceable.
Within 2 days, Buyer's bank contact seller’s
bank via mt.**9 and requests for the 2% Performance Bond from the
Seller's designated Bank
Seller’s Bank will issue 2% Performance Bond for
a total sales value of 2million Barrels of Bonny Light Crude
Oil.
Within 2 days after the Receipt of Performance
Bond from Seller's Bank, Buyer’ Bank issues irrevocable, comfirmed,
transferrable, Letter of Credit (SBLCvia S.W.I.F.T. SBLC- MT**0) to
Seller’s Nominated Account.
Buyer submits his Tank Farm and details of their
Harbor Master to the Seller.
Seller’s bank confirms the swift instrument
(SBLC) via swift.
Seller nominates vessel and program it for
loading at the Terminal. All relevant documents of the vessel from
the point of loading are made in the Buyer’s name and soft copies
forwarded to the Buyer.
Seller authorizes Vessel Master to issue Marine
Notice of Readiness (NOR) and ETA to Buyer’s Port of Discharge
(POD) copying Harbor Master and the Buyer
Upon receiving Harbor Master’s acknowledgement
of the NOR and ETA, vessel sails off to Buyer’s Port of Discharge
and shall be sending an update of drifting every *2hrs to Buyer and
Seller until arrival at Buyer’s Port of
Discharge.
Buyer’s nominated Inspection Company board
vessel within ****8hrs of the vessel’s arrival at Buyer’s Port of
Discharge (POD) for Inspection and submits Quality and Quantity
Analysis Report to Buyer and Seller.
Vessel commences discharge into Buyer’s Tank
Farm within *4hrs after Q&Q Report is released. Within *8hrs
after discharge, Captain releases Discharge Certificate to Buyer
and Seller. If there be any reason or delay at the Port of
Discharge *4hrs after Q&Q, Buyer shall bear demurrage incurred
on the vessel.
Payment for the full cargo is effected by the
buyer’s bank via TT SWIFT WIRE TRANSFER or MT **3 to the seller’s
designated Account (ACCOUNT THAT RECEIVED THE LC) and to all
commission beneficiaries within *8 hours after Discharge based on
out turn / Q&Q Report
Vessel commences discharge into buyer’s Tank
Farm within *4hrs after Q&Q Report is released. Within *8hrs
after discharge, Captain releases Discharge Certificate to buyer
and seller. If there be any reason or delay at the Port of
Discharge *4hrs after Q&Q, buyer shall bear demurrage incurred
on the vessel.
TTO TRANSACTION PROCEDURES-PRICE: $7.*0
net,net. (buyer and seller pay their own agents
commission)2% PB
for the full cargo comes from Bank of
America. 1. Seller issues signed
contract. 2. Buyer signs contract and returns to
seller with full Banking details AND RETURN WITH ATB FORMAT AND
CHOPPER DETAILS (INCLUDING PASSPORT COPY OF THE SUPERCARGO &
INSPECTOR’S COMPANY NAME) 3. Buyer’s Bank contact Seller’s Bank via
mt.**9 requesting for 2% performance
bond. 4. Upon receipt of buyer’s bank letter via mt.
**9 by Seller’s Bank,Seller’s BANK PLACES FULL PRODUCT SWIFT 2% PB
to Buyer’s nominated account. 5. Upon receipt of Seller’s 2% PB by Buyer’s
Bank, Buyer’s BANK PLACES FULL PRODUCT SWIFT MT.**0 OR SBLC to
Seller’s nominated account. (At this point if buyer fails to place
his instrument, buyer pays in favor of Separate Colours Inc. the
equivalent of the 2% PB he demanded) 6. Upon confirmation of Instrument, Seller
nominates and loads a vessel and re-assigns all documents to Buyers
Bank and sends the soft copies to buyer’s bank therefore Seller
moves loaded cargo to international Waters for
Q&Q. 7. On arrival at the position of Inspection,
Captain of loaded vessel issues MATB to Buyer’s Inspector and Super
Cargo to board the vessel at Buyer’s cost to conduct
Q&Q. 8. On receipt of Q&Q report by Buyer and
Seller, the Seller shall introduce Buyer to Vessel owner to place
full charter on the Vessel. 9. Upon full charter of the Vessel by the
Buyer, Buyer makes full payments via swift transfer to Seller’s
nominated account and to all parties account simultaneously per out
turn barrel basis *0. And Seller gives buyer HARD COPIES of Cargo
document after confirmation of payment in his
account. *1. Buyer take over vessel and sails to his
port of discharge.
