NOTE 1: WE ONLY ACCEPT ICPO FROM END BUYERS. NO PROXY BUYERS
NOTE 2: All ICPOs must be addressed to the refinery/end seller through our company, as their official representative. All transactions are managed directly by the refinery/end seller.
FOB PROCEDURE FOR TANK TO VESSEL [TTV] AND TANK TO TANK [TTT] WITH TTM
1. Buyer issues an ICPO addressed to the Seller that incorporates the Seller's procedure. The ICPO must include the buyer's company details, banking details, and passport copy.
2. Seller sends a Commercial Invoice (CI) contract agreement to the buyer
indicating the available quantity of the product in the leased tank and a letter of Performance. The buyer signs and returns the commercial invoice and the Letter of Performance.
3. The seller allocates the product to the buyer and provides the buyer with the proof of the product listed below:
a) Product Certificate of Quality.
b) Commitment Letter to Supply
c) ATSC – Authorization to Sell & Collect.
d) Letter of Allocation Approval.
4. The buyer issues a BCL via MT-199 or MT-799 bank to bank within 3 days after the seller allocates the product to the buyer and issues the PPOP, for the seller to confirm the buyer's financial ability to make the purchase:
4. (a) In the event that the buyer's MT-199 or MT-799 is not issued or received within the specified time period, they will affect payment in the amount of
USD135,000 via MT103, as a Procurement Guarantee (PG) in order to receive Authorization Letter and Access to seller’s tank for product Physical inspection,
TTM, Sample collection and Dip test. This Procurement Guarantee payment also serves to confirm the buyer's financial capacity to complete the purchase. The
amount for the (PG) will be deducted from the product total value.
5. The following proof of product document will be provided to the buyer. All intermediaries must sign and endorse the NCNDA/IMFPA.
A) Fresh SGS report or equivalent not less than 48-72 hours
B) Product Injection report
C) Authorization to sell and collect certificate
D) Port clearance authorization
E) Product certificate of origin
F) Tank Storage Receipt (TSR)
G) Unconditional Dip Test Authorization (UDTA) to enable buyers Chemist/SGS team to conduct dip test for product quality and quantity in the sellers leased tanks.
H) Proforma invoice for product total value.
6. The buyer provides the necessary information of their chemist company/inspection team to conduct a physical inspection, TTM, sample collection, and dip test. (OPTIONAL).
6. (a) The seller issues an Authorization with Tank Location Coordinates and
Terminal access in VTTI, granting the buyer's chemist company/inspection team
access to conduct product physical verification and a Dip test in the seller's leased storage tank at the port.
7. Product injection into the buyer's storage facility will commence.
8. Upon completion of the product injection, buyer makes the full payment of the total product value, via MT103-T/T, to the seller within 1-2 banking days and upon confirmation of the product payment, the seller company transfers the Title of Ownership and all exporting documents of the Product to the buyer's company or their bank for record-keeping and customs purposes.
9. Seller pays commission structure via MT103-T/T, within 1-2 banking days in
accordance with the signed [NCNDA/IMFPA] to agents, intermediaries involved.
10. Subsequently, monthly delivery continues according to the terms of the
commercial invoice and the transaction is extended by issuance of a 12-month contract with possible R&E by the seller.
TTO - STS -ASWP
1. Buyer issues official ICPO that incorporates the Seller's procedure. The ICPO must include the buyer's company details, banking details, and passport copy.
2. Seller issues Sale and Purchase Agreement (SPA) Contract and a letter of Performance for buyer's review and signing.
3. Within five (5) days of the SPA's signing and upon completion of loading, the seller provides part of the shipping document to the buyer, (Bill of Lading, Master's receipt for Samples and Documents, Certificate of Origin, Commercial Invoice, Tanker Time Sheet, Certificate of weight and quality analysis, Cargo Manifest) including IMO/MMS/Vessel(s) name
4. Within two (2) business days of receiving the aforementioned shipping documents, the buyer shall remit two percent (2%) of the total product cost via TT-MT103 as payment for the Title Transfer at sea (TTS) or Ship-To-Ship (STS)
Transfer. The amount paid will be deducted from the total cost of the product as outline in the commercial invoice. The seller grants the buyer the authority to take over the vessel. The vessel is routed to the buyer’s nominated destination port for final delivery.
5. The seller sends the full set POP documents as outlined below, in the name of the buyer's company for final verification and record purposes, including ATB to enable Buyer board the vessel. All Intermediaries must sign the NCNDA/IMFPA.
A) SGS Report
B) Charter party agreements to transport the product to discharge port
C) Authority to Board Dip test Authorization (DTA) & ATB Ullage Report
D) Ullage Report
E) Tanker Vessel Q88
F) NOR /ETA
G) Export License
H) Custom clearance at the loading port
I) Insurance policy to cover 110% value of the goods
6. The buyer provides their freight forwarding agent contact details for the vessel master to open communication, issue the Notice of Readiness (NOR) and Power of Attorney to the buyer’s freight forwarding agent entrusting them to perform all
needed shipping agency and freight forwarding services in the discharge port.
7. The seller instructs vessel master to countersign the shipping agent Power of Attorney and proceed to send the complete set of maritime and shipping documents to enable the buyer freight forwarding agent file for maritime report and make all preparation to receive the vessel tanker at the destination port
terminal.
8. On arrival of the vessel tanker at the destination port/terminal, the buyer conducts CIQ/SGS test, upon completion of SGS or CIQ Inspection, the buyer pays for full cargo value via MT103/TT Wire within 72Hours.
9. Once Seller’s Bank has confirmed the receiving of the Buyer’s payment in full amount, then within Permissible Laytime, Seller pumping-out the whole purchased fuel into Buyer’s nominated storage facility, Seller Pays commission to all intermediaries involved as per singed NCNDA /IMFPA within 48 hours. Buyer and seller signs yearly contract.
NOTE: It is necessary to submit the Irrevocable Corporate Purchase Order (ICPO) to us for verification before the submission to refinery/seller company.
CIF - (STS) Port/IPL/OPL-ASWP
1. Buyer issues official ICPO addressed to the seller that incorporates the seller procedure, the ICPO must include the buyer company details, banking details, and passport copy.
2. Seller issues Sale and Purchase Agreement (SPA) Contract and a letter of Performance for buyer's review and signing.
3. The seller allocates the product to the buyer and provides the buyer with the Proof of the Product (POP) listed below:
A. Irrevocable Commitment to Supply
B. ATSC – Authorization to Sell & Collect
C. Product Certificate of Quality
D. Letter of Allocation Approval
E. Certificate of Origin
4. The buyer issues a Standby Letter of Credit (SBLC/MT760), or (IRDLC/MT700) for an amount equal to value of the one-month shipment, to the Seller’s nominated bank within 7 days after receiving the PPOP.
5. The seller shall arrange freight for the transportation of the product to the discharge port designated by the buyer.
5. (a) In the event that the buyer’s SBLC or DLC is not issued or received within the specified time period, the seller and buyer shall each pay 50% of the CPA cost via T/T directly to the shipping company. The 50% CPA cost paid by the buyer will be deducted from the total product cost when the buyer makes the final payment. All intermediaries must sign the NCNDA/IMFPA.
6. The seller shall issue a Performance Guarantee equal to 5% of the one-month shipment value. In the event that the seller fails to supply the product to the buyer, the 5% Performance Guarantee shall be paid to the buyer.
7. Time frame for the loading of product will be 5-7 days after receipt of the
(SBLC/MT760), (IRDLC/MT700) by the seller’s bank or TT-MT103 by the shipper’s Bank, upon completion of loading, the shipping documents will be sent to buyer, including IMO/MMS/Vessel(s) name.
8. The seller shall dispatch the complete set of POP documents, as detailed below, to the buyer via courier. Buyer is the consignee and seller notifies buyer of
clearance for vessel to set sail to buyer’s nominated port. The seller company
transfers the products Title of Ownership to the buyer on receipt of full payment at off-loading ports.
9. Full Payment with (TT) will be within 7days at discharge port, after SGS/SAYBOLT inspection.
10. Seller Pays commission to all intermediaries involved as per singed NCNDA
/IMFPA.
SHIPPING DOCUMENTS LIST WILL CONSIST OF THE FOLLOWING:
A. Clean Ocean Bill of Lading, One (1) original and three (3) copies.
B. Sellers commercial Invoice, One (1) original and three (3) copies.
C. Certificate of Origin, One (1) original and three (3) copies.
D. Master's receipt for samples and Documents
E. Ullage report issued at loading terminal, One (1) original copy
F. Cargo Manifest
G. Tanker Time Sheet, One (1) Original and two (2) copies
H. Certificate of weight, quality and analysis - by SGS at time of loading.
I. Custom clearance at the loading port, one (1) original and two (2) copies.
J. Export License, issued by the department of the Ministry of Energy.
K. Charter party agreement to transport the product to Discharge port
L. Vessel Questionnaire 88
M. Dip test Authorization (DTA) & ATB
N. NOR /ETA
O. Insurance policy to cover 110% value of the goods
