Product Description

TTO delivery crude oil

 DESTINATION:

TANKER-TO-TANKER/TANKERT-TAKE-OVER OFFSHORE NIGERIAN TERRITORIAL WATERS

 PRICE:

THE PRICE FOR EACH BARREL OF NIGERIA LIGHT CRUDE OIL DELIVERED OUT-TURNED BARRELS SHALL BE DATED BRENT” ON THE DATE OF BILL OF LADING AS PUBLISHED BY MCGRAW HILL MARKET, WIRELESS DISCOUNT OF $*0.*0 LESS $4.*0 PER BBL, $2.*0 PER  BBL TO BOTH SIDES.

COMMISSIONS:  BUYER TO PAY BROKERS ACCORDING TO FEE PROTECTION AGREEMENT.

DELIVERY:

TANKER-TO-TANKER/TANKER-TAKE-OVER/CIF(TTT/TTO) OFF NIGERIAINTERNATIONAL WATER OFFSHORE LOADING TERMINAL MINIMUM DELIVERY SHALL BE 1M BARREL PER SLOT.

 PAYMENT:

IN U.S DOLLARS- SWIFT MT**3, IRREVOCABLE, ASSIGNABLE, ONCE TRANSFERABLE STANDBY LETTER OF CREDIT (SBLC), BANK GUARANTEES (BG). SWIFT TRANSFER MAKES FINAL PAYMENT IMMEDIATELY.

 CLAUSE 4: TIME PERIOD.

 4.1 This contract is SPOT shipment of **0,**0 +/**0%, unless extended by an agreement by both parties

 CLAUSE 5: QUALITY

The Seller guarantees that the quality of the product sold will conform to the guaranteed specifications of NNPC Bonny Light Crude Oil, as stated in page 3 of this agreement.

 CLAUSE 6: PRICE

The price of each barrel of Bonny Light Crude Oil loaded into vessel shall be “Dated Brent” on the date of Bill of lading, as published by McGraw Hill Market-wire, calculated on a *-day average of the day before, the day of, and the day after bill of lading date, less a Gross discount USD$9.*0 PER LITRE, USDs5.*0 PER BARREL NET TO THE BUYER, USD$4.*0 PER BARREL AS COMMISSION TO AGENTS AND FACILITATORS.

CLAUSE 7: PAYMENT:

 7.1.   In UNITED STATES DOLLARS (USD$) per barrel by confirmed, irrevocable, divisible and transferable standby letter of credit by MT**0 from a prime  Bank in favour of the Seller, made mature for payment within *4 (Twenty four) hours, after effective Q&Q and take – over of the product by the buyer. Cash payment shall be made by the Buyer by Swift Wire Transfer KTT directly to all nominated bank accounts in the sums stipulated. All cash payments are simultaneous.

7.2    Payment shall be the full amount in UNITED STATE DOLLARS (USD$), corresponding to the total value of each shipment’s quantity.

7.3. Quantity, as assessed at the point of Q&Q, and price as determined as per the Agreement, will be used to complete the Seller’s invoice.

7.4   The value of the confirmed, irrevocable, divisible and transferable standby letter of credit by MT**0 shall be determined by the price and quantity of the shipment.

7.5    The Seller and Buyer each shall be responsible for their bank charges.

8. TRANSACTION PROCEDURES:

a)         Seller and Buyer Sign/Seal SPA and deposit in their banks.

b)         Seller releases his mandate/authority letter from NNPC to the buyer

c)         Buyer’s bank sends a pre advice to the seller’s bank requesting for confirmation on the ability and readiness of the seller to issue 2%PGB in favour of the buyer against the USD$1,**0,**0.*0 SBLC logistic fee  to be issued by the buyer

d)         Buyer, upon receipt of the confirmation from the seller’s bank, raises USD$1,**0,**0.*0 SBLC logistic fee in favour of the seller and sends it by swift to the seller’s bank 

e)         Seller confirms the SBLC raises 2%PBG against the buyer’s USD$1,**0,**0.*0 logistic fee in favour of the buyer

f)          Buyer gives to seller his ATB and port of discharge details to the seller

g)         Seller’s captain issues ATB to the buyer’s inspector and copy buyer 

h)         Seller boards buyer’s supercargo and inspector for product confirmation and Q&Q in Nigeria waters

i)          Seller documents the product in buyer’s name and releases soft copies to the buyer

j)          Seller places 3 days charter on the vessel in buyer’s name and releases the vessel papers to the buyer

k)         Seller draws down the USD$1,**0,**0.*0 logistic fee

l)          Buyer raises  confirmed, irrevocable, divisible and transferable standby letter of credit by MT**0 in favour of the seller covering the entire product and simultaneously places full charter on the vessel

m)       Upon successful confirmation of the instrument, seller’s captain sails the product to Cotonou waters for final take-over and payment

n)         Buyer pays for the product and all the commissions according to Q&Q report in exchange for original cargo document in buyer’s name, bank - bank

o)         Vessel sails to the buyer’s port of discharge russian crude oil traders :1,russian crude oil exporters :1,russian crude oil suppliers :1,russian crude oil wholesaler :1,russian crude oil dealers :1,russian crude oil producers :1,buy crude oil :1,crude oil prices :1