LIGHT CRUDE OIL CIF TRANSACTION PROCEDURES Price: $9 gross. $7 net to buyer, $2 for commission.

• published: 10 Nov 2015
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LIGHT CRUDE OIL CIF TRANSACTION PROCEDURES Price: $9 gross. $7 net to buyer, $2 for commission. 1. Seller and Buyer sign and return the SPA and Deposit copies with their respective Banks. Electronic Signed copies are considered legally binding and enforceable 2. Seller procures BLCO allocation letter from NNPC Bonny terminal and forwards same to Buyer 3. Buyer’s bank shall issue Ready Willing and Able (RWA) PRE- ADVICE by SWIFT MT 799 as proof of funds to Seller’s nominated fiduciary account and shall also request for a 2% Performance Bond from Seller’s bank. A copy of the MT 799 pre-advice shall be sent to the Seller 4. upon receipt of the MT 799 pre-advise from Buyer’s bank, Seller shall issue via the nominated fiduciary account, a 2% cash backed performance bond 5. Buyer shall, within 72 hrs of receipt of the 2% cash backed performance bond from the Seller, issue via his bank an Operative SWIFT MT 760 Standby Letter of Credit ( SBLC) /BG in the approved verbiage in favor of Seller’s nominated fiduciary and forward advisory copy to Seller. The receipt of the swift shall also be sent to the Seller after issuance to the nominated account 6. Buyer shall send to Seller his Port of Discharge (POD) Details, with Harbor Master’s contact information, Authority to Board (ATB) format, NOR Format, ETA Format including Inspection company details for Q and Q at takeover port 7. Upon receipt of Buyer’s swift MT 760, and the aforementioned POD details in (5) above, Seller shall issue Notice of Readiness (NOR) to Buyer’s Port, Vessel Information and commence loading of vessel and also provide Buyer with Loaded Cargo documents as aforementioned (POP) in Buyer’s name as consignee. Buyer shall acknowledge NOR 8. Seller shall upon confirmation of the SWIFT MT 760, obtain necessary clearances, issue Estimated Time of Arrival (ETA), clear and move vessel to Buyer’s discharge port 9. Buyer shall clear vessel into its discharge port and vessel captain shall issue MATB to Buyer’s Inspector to come onboard the vessel for Q and Q 10. Buyer’s Inspector must be an internationally licensed Inspection Company that is acceptable to NNPC 11. Buyer’s Inspector shall take sample for Q and Q purposes and shall provide its Inspection results to both Buyer and Seller 12. Buyer shall within 72 hrs or 3 international banking days of successful Q and Q, duly signed by CIQ/SGS Inspectors, make payment via SWIFT Wire MT 103/ Telegraphic Wire Transfer (TT) for Total Cargo Value including commissions upon receipt of the under listed documents .