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Standard tansaction procedures CIF terms

  1. Buyer issue LOI together with company's full KYC, company certificate and passport page.

  2. Seller issues SCO with the Sale & Purchase Agreement (SPA) draft to the Buyer. The Buyer reviews and signs the SPA and has it notarised by a lawyer or Notary Public within 48 hours of receipt from the Seller and returns to the Seller. The Seller signs the SPA, notarised by a lawyer or Notary Public and returns a copy to the Buyer. Both parties lodge the fully executed SPA with their respective banks. The electronically signed copy of the SPA is legally binding and lawfully enforceable.

  3. Buyer’s bank issues a Ready Willing and Able Letter (RWA) via swift MT799 transmission to Seller’s bank stating Buyers RWA, Ability to fund the transaction (XXX) and readiness to swift DLC MT 700 to the value of 3 months deliveries as per the contract SPA. within 3 banking days.of receipt of PPOP. Buyer provides carbon copy of SWIFT to Seller for immediate confirmation and authentication.

  4. Seller Issues Commercial Invoice, along with partial proof of product (PPOP) such as:

    1. Copy of License to Export, Issued By the Department of the Ministry Of Energy.

    2. Copy of Statement of Availability of the Product.

    3. Copy of the Refinery Commitment to Supply the Product.

    4. The Authorization to Verify Product Letter.

    5. Dip Test Product Passport Analysis Report.

    6. Tank Receipt for Immediate Lift Able Quantity (TSR)

  5. Upon Buyer’s confirmation of receipt of the documents, Buyer within three (3) banking days issues the DLC MT 700 for 3 month’s deliveries to Seller’s Bank. The buyer sends Seller full details of the Port of Discharge (POD) which must include full details of harbor master, shipping agency and Inspection Company etc.

  6. Upon the Seller's bank receipt of the buyer’s DLC/ SBLC, Seller loads product and send Full Set of POP documents as below: 

    1. Copy of the Charter Party Agreement(S) To Transport the Product to the Port of discharge.

    2. The Authorization to Board (ATB) the Vessel for inspection.

    3. Certificate of Origin.

    4. Bill of Lading

    5. Cargo Manifest.

    6. Charter Party Agreement (CPA)

    7. SGS reports of Quality and Quantity

    8. Vessel Q88

    9. Certificate of Insurance

    10. Commercial Invoice

    11. Dip test Authorization (DTA) & ATB

    12. NOR /ETA

    13. Certificate of Ownership Transfer

    14. Allocation Transaction Passport Code Certificate (ATPCC) by the Ministry of Energy.

    15. Title of Ownership Certificate

  7. Seller clears vessels from the Loading Terminal, buyer confirms shipping documents with ships master while Seller confirms delivery to buyers Port of destination according to SPA schedule. Vessel sails to Buyers Port-of-Discharge (POD). Upon arrival at Buyer’s POD, the vessel announces arrival to Port Authority and buyer’s shipping agency clears the vessel into the POD unloading terminal.

  8. At the arrival at Port of discharge the buyer conducts SGS Inspection(Q&Q). After successful SGS Inspection, the buyer instructs his bank to pay to Seller’s Bank via Swift MT103 / wire transfer within 24 hours of receiving the Final Commercial Invoice. The Seller will claim the MT700 DLC should the remittance not be received in their bank within 72 hours of receipt of the Seller's final invoice..

  9. The vessel departs the port.