Product Description

CIF PROCEDURES
DISCOUNT *0/6
QUANTITY 4,**0,**0 bbls/ Month or more depending on buyers ability
 
PROCEDURE 1
 
1. Seller sends the signed draft contract, open for amendments, to Buyer.
2. Buyer signs, seals and returns the draft contract to Seller. 
3. Both parties lodge the same signed SPA with their respective banks. The electronically signed and sealed contract is legally binding and enforceable between the two parties. Both banks would send an attestation of the receipt of the countersigned SPA to each other.
4. Seller forwards Authority to Sell/Proof of Allocation released by the NNPC Bonny Terminal, as well as a Letter of Commitment to supply the Buyer over a years contract to Buyer via email.
5. Within 3 (Three) international banking days after positive verification of the documents mentioned at point 4 above, Buyers Bank issues a non- operative, non-transferable and non-divisible Stand-By  Letter of Credit (SBLC, DLC, BG) to Seller's Bank worth one months BLCO deliveries.
6. Within 1 (One) international banking day from receipt and authentication of SBLC, DLC, BG, Sellers bank activates it by wiring  performance bond worth 2% of the instrument.
7. Seller provides the nominated Vessels details to Buyer who,  within 3 (three) banking days from  vessel's acceptance,  loads the first tanker vessel and issues ships documents  to  Buyer's name also forwarding the electronic copies of the ASPATANKVOY Charter Party Agreement. 
8. Once ships documents have been successfully verified,  the loaded tanker vessel starts sailing to Buyer's Destination and its captain arranges for the issue of ETA/NOR a few days before reaching the POD (Port Of Destination).
9. Upon vessels arrival at the POD, SGS inspectors shall board the vessel and conduct the Q & Q inspection of the Cargo at Buyers expense, before unloading and releases Q&Q certificates to Seller and Buyer.
*0. Within *2 hours from Q&Q results and receipt of all ships documents after unloading at POD, Buyer's bank shall wire Swift MT **3 to pay for the Cargo against change of title of property.   Buyers bank pays each and every Cargo to Seller's nominated bank account, as well as commissions to all Agents, Facilitators and Consultants, as per signed IMFPA, via MT**3 Bank SWIFT wire transfer.
 

PROCEDURE 2
 
a. Seller shall issue Sales & Purchase Agreement with Seller's Full Banking Co-ordinates and with Product reference numbers already stated in this contract in ANNEX G. On confirmation and conclusion of the Bank instruments, the Bulk POP and Title shall be transferred in favour of the Buyer and will be confirmed through the NNPC, London and Shell Screen London. This is secondary contract allocation under the custody of NNPC BONNY OCEAN TERMINAL OFFICE.
 
b. Buyer and Seller sign and seal this Contract including Banking coordinates and exchange the signed copy by electronic mail. The electronic signed copy by both Parties is considered legally binding and enforceable.
c. Buyers Bank shall within two (2) Banking days of *4.b above swifts RWA by MT **9 to the Seller nominated Bank and transmit the copy of the swift for Sellers confirmation. On confirmation of the above, the nominated Bank shall swift the two percent operative Performance Bond Guarantee to the Buyer's Bank. The Buyer confirms the Performance Bond; swifts the SBLC/BG to cover the value of one month shipments of four million barrels to the Sellers nominated Bank & transmits the copy of the SBLC/BG to the sellers confirmation.
d. Upon Sellers Bank receiving the Banking instrument, all loading clearance documents and title transfer shall be issued in the Buyers name and cargo to be loaded on the dated laycan. NNPC Bonny Ocean Terminal office will also issue directly to the Buyer and copy the mandated Seller, a letter of Product Allocation Approval and Reassignment. NNPC will also certify PETROGEOPHYSICAL as her Official agent and mandate Seller in the transaction.
e. Within Four to Five (**5) Banking days of *4.c, Seller shall reassign Allocation to Buyers name and program for verification on Shell Network Loading Screen, NNPC London and Bonny Loading Terminal and Seller shall provide the Bonny Oil Terminal Loading Program Notification Form verifiable on the Shell Screen London with barrels in the name of the Buyer (VERIFIABLE POP). (except the Aspatankvoy CPA).
 
f. Within and after one (1) Banking day of *4.d, the NNPC Bonny Ocean Terminal office shall issue to the nominated Bank the needed documents on the transaction certification to enable the nominated Bank Swift the Proof of Product (POP) to the Buyers nominated Bank.
 
g. Within *8 hrs of *4.e above, Seller shall provide The Aspatankvoy Charter Party Agreement (CPA) for the designated vessel marked "Freight Prepaid" to Buyers destination. The Seller will give the Buyer verifiable Vessel name, call letters, and Captains name of the Vessel that is to load for CIF delivery and signed copies of the Charter Party Agreement with the Shipping Agency Failure of Seller to do so shall be a default event and Buyer shall collect the PB.
  
h.   Within ten (*0) days of *4.g above Vessel shall proceed to the Bonny Loading Terminal and load cargo. Inspectors shall conduct quality and quantity assessment; and all relevant shipment documents shall be endorsed/receipted by the Vessel captain, with a copy forwarded to Buyer.
i. After the vessel has discharged its cargo at Buyers destination port and Buyer has received the Post Discharge Q & Q Report from SGS and after all documents are presented by the Seller after the time of cargo delivery as required by the SBLC, Buyer shall make payment by Telegraphic Transfer to Sellers nominated Bank Account for oil and to Seller and beneficiaries named in Master Fee Protection Agreement in the contract for fees.  
j. Payments are made by Swift wire transfer directly to the Sellers Bank accounts and commission agents as stipulated in the MFPA in this contract within three (3) international Banking days after product delivery to Buyers nominated port of discharge against presentation of stated shipping documents (non-negotiable copies) at Buyers Bank.
k. The signature of this contract by the Buyer and by Seller means both accept all the content as for Quantity, Discount and Procedures.

PROCEDURE 3
 
. Seller issues draft contract with Proof of Product (POP) details on the contract, signed and sealed to the Buyer.
. Buyer sign, seal and return to Seller within three (3) days, SPA lodged to Buyer's Bank. Seller lodges the same with his Bank. The electronically signed and sealed contract is legally binding and enforceable.
. Buyer verifies Proof of Product and thereafter buyers bank within *2hrs upon contract signing Transmit Proof of Funds via SWIFT MT**9 (strictly administrative and not blocked funds, just Proof of Funds) to sellers designated bank.
. Upon the receipt and verification/confirmation of buyers Proof of funds via MT**9, Sellers bank gives non operative 2% performance bond which will be activated by buyers Standby Letter of Credit (SBLC) or MT**0
. Upon receipt and verification of buyers SBLC or MT**0, seller immediately nominates a vessel and sign Chatter Party Agreement in favour of Buyer. The Seller provides the electronic copies of the ASPATANKVOY Chatter Party agreement, available shipping documents AND notifies the Buyer for acceptance.
. Upon confirmation of shipping documents approval by the Buyer as issued in correct way for the Buyer, seller shall instruct the vessel master to send E.T.A to Harbor Master of the POD and Harbor Master shall acknowledges the receipt of E.T.A and confirms readiness to receive vessel on behalf of the buyer to seller (He shall do so in writing and forward to Seller and sellers vessel captain). Then Seller vessel instructs the vessel captain to start sailing to POD/tank farm storage facility.
. Upon arrival at port of discharge and within *4hrs, buyers inspectors shall carry out Q&Q certification on sellers vessel before discharge of cargo into buyers storage facility and issue the report to both seller and buyer.
. After satisfactory Quality & Quantity report is released to seller and buyer, master shall begin discharge into buyers ready and waiting mother vessel or receiving tank farm. Buyer shall ensure that all support equipment and machinery necessary for the discharge operation is available, ready and functional within the same *4hrs of vessel arrival.
. The buyer shall ensure safe berthing of the vessel, inward and outward clearance, etc. Seller allows a tolerance delay period of *4hrs after arrival: further delay attracts payment of $*0,**0.*0 per day as cover for demurrage and shall subsist for 7 days; thereafter, the buyers bank shall make payment to the seller and all intermediaries based on the Q&Q report at the port of discharge, including the demurrage amount for 7 days (If Any).