Documents
section-e8c4366
At the very beginning of the cooperation we require following documents from the Buyer, who should be able to present them:
- Company profile of the Buyer.
- The name of Signatory entitled to act in the name of the company (with number and copy of his passport)
- Company Registration Certificate, Directors' Names, Directors' residential address and contact details, Details of Other shareholders of the company, Company's Import License, contact details (fax, website, e-mail, phone, mobile, etc).
- The name of the bank intended to be used for the transaction, Bank SWIFT code, Account Number/IBAN, Bank Officer's Name and contact details
- Required specifications of the petroleum products, volumes, port of discharge.
- Verification of whether company has already transacted such trading business, and if not then whether the company has achieved a level of qualification required to transact such business.
- Written statement that Buyer accepts and agrees to Seller's Procedures. If Buyer hasn't closed any similar transactions earlier, it is necessary to state it in initial letter and provide us with a brief proposal of how they are planning to proceed. The Seller / Title Holder expects full transparency from potential Buyers. Transparency and credibility can be proven to some extent by the documents provided by the Buyer at the very beginning.
The way a Seller/Title holder expects full transparency from potential Buyers, the Buyers too want this gesture reciprocated by the Seller/Title Holder. Transparency and credibility can be proved by documents provided by both the Buyer as well as the Seller/ Title Holder at the very beginning. These documents can be easily verified and can prove that our Seller holds the title to all offered products, export licenses(where necessary) and other relevant documents. This means that throughout the process both Buyer and Seller are obtaining more credible information about each other.
Our expert team will remain associated with the entire process from exchange of necessary documents up to the closure of the deal (delivery at the destination port and payment to seller included). Following documents are provided by the Seller/Title Holder to the buyer at different stages of the deal as detailed in the SPA (Sale & Purchase Agreement):
- POP- Proof of Product (set of documents that serve as a Seller's proof that the product is real)
- Partial Proof Of Product (PPOP) Documents typically consist of:
a. SGS Inspection Report or equivalent (SGS)
b. Dip Test Analysis Report (DTAR)
c. Certificate of Origin (COO)
d. Tank Storage Receipt (TSR) - Full Proof Of Product (Full POP) are sent by Secured Mail to the Buyers Bank / Buyer and typically consist of:
a. Copy of License / permit to export, issued by the department of the ministry of energy (If applicable)
b. Copy of statement of availability of the product
c. Copy of the refinery commitment to produce the product
d. Copy of the pipeline corporation contract to transport the product to the loading port
e. Refinery certificate of product
f. Copy of the port storage agreement (TSR - If applicable)
g. Dip Test Authorization letter (DTA)Copy of SGS or equivalent report (SGS)
PROCEDURE 1 : BUYER SUBMITS ICPO AND NOTICE OF READINESS (NOR) FROM THEIR TANK FARM OR SHIP
The buyer will need to submit an ICPO with a Notice of Readiness (NOR) from their tank farm or ship, along with the relevant documents and forms that will be sent to the Buyer. Once terms represented therein are accepted by the Buyer, pricing discounts will be offered.
NOTE: No NOR, No deal. This is a very strict policy instituted by the refineries and must be adhered to.
The procedures are as follows:
1) Buyer tenders ICPO (with passport & CP) and POF & NOR to Seller
2) Seller responds with Confirmation Letter of fuel availability;
3) Seller issues a Joint Participation Agreement (JPA);
4) Upon receipt of signed JPA, Seller issues CI;
5) Upon receipt of singed CI, Seller issues DTA;
6) Upon Buyer’s receipt of successful SGS report, Seller arranges fuel transfer to Buyer’s tanks;
7) Upon Buyer confirming complete transfer of fuel, Buyer pays for fuel and Seller issues POP & other relative Title docs.
** PLEASE NOTE: These procedures will adjust slightly based on which seller eventually tenders an offer. Seller conducts its banking transactions via the Merrill Lynch Commodities Trade Desk in New York; your buyer’s banking has to be either in the US or have a corresponding bank in the US. Is your Buyer incorporated in the US or EU and where is their banking transacted?
PROCEDURE-2 : BUYER SHOWS PROOF OF STORAGE AGREEMENT (TSA) AT FOB PORT OR IN SHIPPING VESSEL (CPA)
1. Buyer issues Irrevocable Corporate Purchase Order (ICPO) with seller procedures along with Buyer Company Profile and Valid Passport Copy.
2. Seller issues Draft Contract along with Commercial Invoice. Buyer sign and return to seller along with verifiable storage tank coordinates. (Tank Farm Company), Tank Storage Agreement (TSA) not older than 10 days validity from issued date, Seller verifies and approves Buyer’s tank farm coordinates, (TSA).
3. Seller provides following PPOP documents via Email or Fax to Buyer.
A. Authorization/Authority to Sell (ATS)
B. Product Quality Passport (Dip Test result of Product)
C. Letter of Commitment to Supply
D. Statement of Product Availability
E. Reservoir Storage Receipt.
F. Allocation Transaction Passport Code Certificate
4. Within 3 days upon the receipt & verification of the above PPOP documents, Buyer shall provide storage tank that will be suitable and accepted by seller to inject the product. Prior to the leasing of the tank, seller must give approval to buyer before buyer proceeding with the leasing of his appointed tank.
5. Buyer provides verifiable Tank Storage Receipt (TSR), Authorization to Inject (ATI) Document of his rented Shore tank at the Loading port to the seller with injection permit.
6. All parties sign NCNDA/IMFPA.
7. Seller issues (DTA) Dip Test Authorization, Complete Fuel Injection Report from the Pipeline Transportation Company.
8. Upon satisfactory Dip Test Inspection carried out by the buyer / SGS, Seller immediately issues the Title Transfer of Product Ownership / Certificate of Ownership to buyer’s company alongside with all necessary Export Document.
8.1. Buyer releases full cost of the Liftable product via MT103 TT wire transfer to Seller’s nominated Account within 72 hours and Lifting commences.
8.2. Seller pays all intermediaries involved in the transaction as per IMFPA/NCNDA.
PROCEDURE-3 (SOME OF OUR SUPPLIERS PROVIDE THIS OPTION
FOB (ROTTERDAM & HOUSTON)
TERMS AND PROCEDURES / NON NEGOTIABLE
1. Buyer issues ICPO + C/P + Buyer's Passport Copy for Data File (OR) Company License.
2. Seller issues C/I along with POP documents listed below to the Buyer who returns signed and sealed Commercial Invoice (CI) to the seller.
TSR (Tank Storage Receipt)
Injection Report
Unconditional Dip-Test Authorization
Letter of Acknowledgement
Dip-Test Inspection Schedule
ATV
3. Buyer Dip-tests in Seller tank with SGS (or equivalent) officials and receives Fresh SGS Report not less than 24 Hours alongside ATSC (Authorization to Sell and Collect).
4. Within 72 Hours, Buyer provides TSR or Vessel storage for Injection of product into the Buyers hired TSR or Vessel and returns the NCND/IMFPA signed by all parties involved in the buyer's side to the seller.
5. Upon successful injection, Buyer pays total cost of product via MT103.
6. Seller confirms Buyer's payment receipt and both parties’ releases payment to all
intermediaries on each side Involved in the transactions.
7. Contract begins with Rolls and Extensions.
1. Buyer issues ICPO with company registration certificate and company profile
2. Seller issues SPA & CI, buyer countersign within 48hrs hours and Returns signed SPA & CI along with (CPA) charter party agreement from any Russian Shipping company.
3. Seller verifies the Buyers nominated shipping company and jointly signs the (CPA) charter party agreement and as well split the freight charges with the buyer. Seller Returns signed CPA along with POP documents:
A. Refinery Product Passport,
B. Certificate of Origin
C. Statement & commitment to supply,
D. export license and Registration Certificate
4. According to signed CPA by buyer and seller. Nominated shipping company on confirmation of the both parties freight charges will issue copy of Q88 and NOR “notice of readiness.
5. Subsequent to Q88 and NOR “notice of readiness”. Seller loads the product into the sellers’ vessel and issues all exportations documents to the buyer. Vessel sails to the buyers destination Port.
6. Upon arrival of the vessel at the buyers discharge port, buyer conducts Q&Q. Subsequent to successful Q&Q report at the buyer discharge port. Buyer makes payment for the total product Quantity via MT103
7. Seller pays commissions to mandates and intermediaries within 24hrs after confirmation of the buyers’ payment
1. Buyer sends ICPO to Seller on receipt of Seller's Soft Offer along with company profile.
2. Seller will revert with Draft Contract address to Buyer Company, buyer signs each page of full Draft contract return to Seller along with NCNDA/IMFPA signed by all buyer group with commission structures
3. Upon Seller receipt of signed contract from the buyer, within 72 hours Seller legalizes and registered the signed contract with the ministry of energy Russian Federation.
4. Seller sends to Buyer via Government Secured Courier Service the Registered /Legalized Hard copy Contract along with the Partial POP, the courier expenses shall be borne by the Buyer which is to be stated in the Draft Contract.
(A) Certificate of origin.
(B) Refinery registration certificate.
(C) Statement of product availability.
(D) Export license.
(E) Commitment to produce the product. (F) Attestation of allocation certificate. (G) Bill of loading /q88.
(H) Analytical report equivalent.
5. Buyer’s bank after satisfaction verification on Seller’s Full POP document and 2% PB and hard copies contract, will then issue the operative payment instrument DLC (issued by Third Party) by SWIFT MT700 for the monthly cargo values
6. The SGS inspection will be borne by the buyer at the loading seaport and Buyer CIQ at the Offloading seaport.
7. Shipment commences as per contract.
8. Buyer’s bank upon arrival of the cargo at the discharge port, payment will be made for the Product by the buyer via MT103 100% after CIQ Inspection at Discharge port.
9. Seller will release payments to the intermediaries involved within 48 hours of receiving the Payment for the product from the Buyer's ban Signed.
This is a very important message to anyone involved in the commodities industry on the new measures with respect to Buyers and Sellers conducting transactions.
From now on, if an ICPO, LOI, RWA, or BCL is issued and the document is not real, true and/or actually verifiably factual, the Seller will be able to inform the FBI, ICC, and INTERPOL. In addition, after a CI is sent to the Buyer, there should be a formal answer to Seller from Buyer in a timely manner in accordance with the agreement between parties.
If there is no response from the Buyer in a timely manner, the buying company will be reported to the FBI, ICC and INTERPOL. If this action is repeated by sellers, they too will also be reported for abuse of the NCND, LOI, ICPO, AND RWA OR BCL, and FOR THIS IS NOW A FEDERAL OFFENSE.
It is important to transmit this to all clients that work with providers that are members of the ICC, FBI, and other international organizations. From this point forward, the international codes will be strictly enforced to exclude all intruders that send or transmit false information. Those who submit a false NCND/IMFPA, LOI, ICPO, RWA or BCL, or FCO, as well as FALSE PROOF OF PRODUCT (POP), FALSE PROOF OF FUNDS (POF) WILL BE CHARGED WITH A CRIME.
This offense went into effect on November 15, 2008 after a meeting was held between the Federal Reserve, European Central Bank, Interpol, Federal Bureau of Investigation and Central Intelligence Agency. The reason for this measurement is to protect the commodities industry which is a fundamental part of the world’s economy. I have read and understood the severity of the warning above and do realize the serious impact that pertains to all oil and other commodities transactions. Penalty clause: Non performed side paid 2% of total contract value agreed
The first step is a formal LOI from the buyer and Company Profile (CP).
Supplier has conference call with buyer to discuss Price, Procedures & Logistics in detail.
Seller issues Soft Corporate Offer (SCO).
Buyer issues and releases to Seller Full ICPO with logistics information.
Seller will then issue a SPA / Contract
Buyer issues Proof of Funds
Seller accepts and returns signed ICPO with CI – Commercial Invoice. Buyer sign CI and send it back within 24 hours and returns it to Seller. Seller provides to Buyer the below Partial Proof of Product documents via email:
a. Corporate Invoice.
b. Authorization to verify (ATV)
c. Passport Product Analysis
d. Certified Product Specification Sheet
e. Certificate of Origin
f. Tank Storage Receipt
g. Title Ownership Certificate with all PPOP Export Documents
h. Refinery Confirmation, Availability and Commitment to Supply
Buyer issue after PPOP verification Information by SWIFT MT 199 to seller’s bank that: Buyer’s bank make payment by MT103 after Q&Q – Quality and Control certificate in loading port seller.
After SWIFT confirming Seller issue to Buyer
a. Dip Test Authorization
b. Authorization to Inject.
Buyer makes payment MT103 to Seller.
After payment verification Seller start injection to Buyer vessel and transfer title holder.
FOB TANK TO TANK (TTT) TRANSACTION PROCEDURE.
• KAZAKHSTAN 500 USD/ MT
• JURONG, FUJAIRAH, ROTHERHAM, HOUSTON
• MIN 25KMT to Max 500KMT
• Trial TTT contract 12 month TTV
👉 Buyers issues LOI to representatives Refinery along with CP (company profile), TSA, Bank statement Company* and BCL Prove that you already have capacity to take orders.
1. Buyer issues ICPO and Company Registration Certificate or any I.D. With TSA already Verification.
2. Seller issue Draft Commercial Invoice, Buyer signs and returns to Seller with his Tank Storage Agreement.
3. Seller pays the Buyer's tank for 2 days for the Injection Process; Buyer pays 3 days and only after his Tank Farm Company has received the payment from Seller and the Buyer Company. Seller issue NCNDA/IMFPA to the intermediary to sign.
4. Seller provides Buyer with Full POP Documents:
a. Fresh SGS Report less than 48 hours.
b. Product certificate of origin.
c. Dip Test Authorization-Unconditional.
d. Injection Report.
e. Tank Storage Receipt with GPS Coordinates.
f. Tank Farm Bar-code Information.
g. Letter of Commitment to Supply.
h. Registration Certificate & Export License Copy.
i. Authority to Sell & Collect (ATSC.)
j. Endorsed Injection Schedule by the buyer & buyer Tank Farm.
k. ATV – For Physical Verification.
l. Irrevocable Commitment to Supply for Spot and 12 months Contract.
m. Injection Schedule signed by Buyer & Buyer's tank farm.
5. Buyer conducts Dip-Test in Seller's tank, via SGS on Buyer's expense, Seller injects the fuel to Buyer's tank and Buyer makes payment based on Q&Q by MT103 wire transfer / TT According to the final Commercial Invoice.
6. Seller transfers the title of ownership as per Buyer's instruction. Buyer lifts the product.
7. Seller pays all intermediaries involved in the transaction and subsequently monthly contract Shipment continues as per terms and conditions of the sales and purchase agreement contract between Buyer and Seller.
FOB TANK TO VESSEL/DIP & PAY PROCEDURE.
KAZAKHSTAN.
~GROSS 500USD/NET 490USD ~
JURONG, FUJAIRAH, ROTHERHAM, HSTON
"MIN 25MT TO MAX 500KMT
Buyers issues LOI to representative Refinery along with CP (company profile) and Bank statement company.
Prove that you already have capacity.
Addressed to the refinery or representative.
1. Buyer issues official ICPO
2. Seller issues Commercial Invoice (CI), buyer signs and returns the signed invoice to the seller.
3. Seller issues to the buyer the partial proof of product documents:
a. ATSC-Authority to sell and collect
b. DTA- Dip Test Authorization
c. PRODUCT PASSPORT - Product analysis report from a renowned inspection company.
d. STATEMENT OF PRODUCT AVAILABILITY DULY SIGNED AND NOTARIZED BY THE APPROPRIATE AUTHORITIES.
e. COMMITMENT LETTER TO SUPPLY
f. ATV-Authority to verify the existence of product via email or phone call.
4. Buyer obtains port and terminal access permit through the tank farm in order to gain access to conduct dip test.
5. After a successful Dip Test in Seller's tanks, Buyer takes over seller's tank or Seller injects into buyer's vessel / Tank and buyer conducts its DIP TEST Inspection for Q & Q of the Petroleum Products aboard vessel / Tank.
6. Buyer after a successful Q&Q Dip test on the product, the buyer makes the payment for the total value of the product injected into the tanks through the means of MT103-TT.
7. Seller issued NCNDA to all intermediaries involved in the transaction to signed and email back to the seller to submit to the bank.
8. Upon seller receives the payment for the product from the buyer, the seller issues to the buyer the Title ownership of the product and all exporting documents of the Product.
9. The seller pays all intermediaries involved in the transaction.
KAZAKHSTAN ORIGIN EN59010PPM
Gross 510USD net 500USD MT
MIN ORDER 25KMT MAX. 500KMT
SBLC/DLC700 NONE TRANSFERABLE NOX fiduciary account.
Buyers issues LOI to representative Refinery along with CP company profile and new BCL or POF or BANK STATEMENT COMPANY Prove that you already have credit line facilities. After issue LOI Google meet OR TTM for confirmation before release Draft ICPO
1. Buyers issues to refinery/representative Irrevocable Corporate Purchase Order (ICPO) addressed to the refinery or representative along with company profile and buyer passport.
2. Seller issues the draft SPA for buyer's review and signing 3: Seller issues the below PPOP document.
a. Product Quality Passport Quality Certificate.
b. Certificate of Product Origin.
c. Product availability o Commitment letter to supply the product from Ministry of Energy.
d. [ATSC].
3. Buyer's bank per seller's verbiage shall issue SBLC/DLC within six (6) working days for first shipment's value to seller's financial bank to enable the seller to commence loading of a product with the shipping company. seller to finalize loading within six (6) working days. But if the buyer FAILS to issue SBLC/DLC within six (6) working days, as an alternative provision buyer pays 3% of the total product value directly via MT103 as a transaction guarantee which will be deducted from the product's invoice value of the product at the destination port.
4. After confirmation by seller's bank, the seller at own expense, charters with shipping/logistic company and alert buyer on shipment ordered graphic/schedule accompanied with the submission of nominated Vessel details to the buyer.
5. Seller issue NCNDA/IMFPA to the intermediaries to sign.
6. Seller's bank responds with contractual operative 3% PB and full POP to buyer's bank within seventy-Two (72) hours since buyer's instrument confirmed by seller's bank
A. Copy of the Port Storage Agreement.
B. Copy of the CPA, to Transport the Product to Discharge Port.
C. Vessel Q88.
D. Original BL (full set).
E. Copy of SGS Report.
7. Upon successful product confirmation against the SGS/CIQ Report of Quality and Quantity at the destination port, the buyer makes payment by MT103.
8. Seller and buyer, within seventy-two (72) hours, the seller pays commissions to the seller side and the buyer pays buyer side intermediaries involved in the transaction.
1.Seller issues FCO & CP to buyer
2.Buyer issues ICPO & CP.
3.Seller issues Draft Contract with Commercial Invoice to Buyer. Buyer signs and returns both to Seller for final endorsement.
4.Seller charter and sign charter agreement, seller provides vessel information to buyer, so buyer can arrange for port of nominated vessel (i.e.: Rotterdam port), if product is in Shore tanks in Russia already, then seller should provide vessel information for loading, which has been cleared. (**Note:- The Buyer will make a final decision to provide Subject Vessels Q88/CPA/ATV) details and require the seller to provide the Shore Tank TAS/TSR/ATI/ATV, immediately after being issued the DTA by the Seller.
5.Seller issues ATBV for Vessel or Shore Tank Receipt and DTA, so SGS (Or equivalent) can conduct a Dip Test Inspection and take samples for Buyer.
6. Buyer pays within (48) hours of successful SGS (Or equivalent) report being issued for the fuel by MT103.
7. Seller issues product title of ownership and all export documentation and transfers Fuel into Buyers name (“And/Or Their Nominees/Assign’s”) and into Buyers approved Shore Tank Storage Facility and/or the Buyer directly into their Vessel and has the Vessel Re-Routed to the Buyers desired destination port i.e. Rotterdam.
8. After both parties sign & seal the original hard-copy contract, buyer will order their bank to issue the Seller a DLC / SBLC within two banking days in the amount of the value of __________ MT/Gallons for the first shipment delivery Quantity in favor of the Seller.
9. Seller sends next shipment to Russian Port, in accordance to the Laycan Schedule shown in the Contract.
10. After successful testing at Loading Port, Buyer pays Seller via MT103/23, and the SBLC MT760 stays in place for next weeks delivery with a minimum validity of 365 Days Plus 1 Day.
10.1 A full set clean, shipped on board, ocean bill of lading, blank endorsed, blank Order, marked “Freight Prepaid” including SBLC SWIFT MT760 No. in three originals and three copies.
10.1 A full set of clean POP.
Vessel details, IMO Q88
CPA- Charter Party agreement CPA
Fresh SGS from vessel at Loading port
DTAOB- Dip test authorization on Board vessel for Rotterdam port waters
- ATB- Authority to Board ATB
- B/L cargo manifest
- Certificate of authenticity.
- Certificate of quality
- Certificate of quantity
- Certificate of origin
Tanker Ullage receipt - Master’s receipt for sample
- Master receipt for documents
Unless otherwise stipulated in this Contract, the terms and conditions of this Contract shall be interpreted in accordance with the “International Rules for the Interpretation of Trade Terms” (INCOTERMS 2000) provided by International Chamber of Commerce, International Chamber Commerce China Committee Publication No.460.
- Copy of License to export
- Copy of Approval to Export
- Copy of Statement of Availability
- Vessel details, IMO Q88
- CPA- Charter Party agreement
- Fresh SGS from vessel at loading port, re-make SGS/CIQ Inspection at discharge port
- DTAOB- Dip test authorization on Board vessel for Rotterdam port waters
- ATB- Authority to Board
- B/L cargo manifest
- Certificate of authenticity
- Certificate of quality
- Certificate of quantity
- Certificate of origin
- Tanker Ullage receipt