Refinery Oil and Petroleum Products Procedure For FOB TRANSACTION

 FOB TRANSACTION PROCEDURES

1.Buyer issues ICPO, Company Registration Certificate, and TSA. NCNDA/IMFPA is signed by

all intermediaries and notarized by seller lawyer & Seller bank endorsed.

2.Seller issues a commercial invoice of the product in tanks at the port, Buyer signs and returns

commercial invoice along with an acceptance letter.

3.Seller issues to Buyer the below Partial POP Documents:

a)Unconditional Commitment to Supply.

b)Statement of Product Availability.

4.Upon confirmation of the above documents, the Buyer requests for two (2) invoices from his

tank farm. Seller pays the Buyer’s tank farm company for 2 days, after Buyer's tank farm

company confirms a payment from Seller company, Buyer pays their tank farm company for the

remaining.3 days and sends to Seller its Tank Storage Receipt (TSR) confirming their storage

tanks readiness for injection and Seller issues to the Buyer the below Full POP Documents:

a)Injection Schedule.

b)Act of Transfer / Change of Ownership Documents.

c)Injection / Q&Q Report.

d)Freshly Updated SGS Report.

e)Authority to Sell and Collect (ATSC)

f)Tank Storage Receipt (TSR) with tank number, GPS coordinates, and tank location.

g)Authorization to Verify (ATV) physical verification.

h)Unconditional Dip Test Authorization (DTA).

5.Upon successful dip test by Buyer, Seller injects product into Buyer’s tanks and Buyer

makes a payment for the total value of product injected into the tanks by MT103/TT.

6.Seller pays all intermediaries involved in the transaction. Upon satisfaction by Buyer, both

Buyer and Seller sign contract for monthly delivery with rolls and extension.

If the buyer prefers to use a Vessel with CPA and Q88, then the buyer

should read carefully the below procedure of Tank to Vessel;

Comments

Post a Comment

Popular posts from this blog

Refinery Oil and Petroleum Products Procedure For FOB Tank to Vessel

Procedure For FOB Tank to Vessel 1.Buyer accepts End seller’s SCO and issues ICPO. 2.End Seller issues commercial invoice (CI). Buyer Signs it and returns to Seller together with CPA. 3.Seller provides below listed PPOP along with unconditional Dip Test Authorization: a.Product passport (Product Analysis report) b.Irrevocable commitment to supply. c.Tank Storage Receipt (TSR). d.Tank to Vessel Injection Agreement (TTVIA) to be signed by seller Tank Farm Company 4.Buyer conducts Dip Test in Seller’s tanks, at his own expense. 5.NCNDA / IMFPA is Signed by buyer, Seller & Intermediaries. 6.Buyer provides Q88) for the seller to proceed for Tank to Vessel injection and provide the buyer with the injection report of the Product in the Buyers Vessel. 7.Buyer makes the payment for a total cost of product injected into Vessel via MT103. Seller transfer title ownership to Buyer with all export documents required for the transaction. 8.Upon conclusion of first lift transaction seller pays all...
Read more

Refinery Oil and Petroleum Products Procedure For DIP & PAY FOB - Seller and Buyer Jointly Pay To buyer tank Farm

 Procedure For DIP & PAY FOB - Seller and Buyer Jointly  Pay To buyer tank Farm 1.Buyer issues ICPO, with TSA and company registration certificate. 2.Seller issues Commercial Invoice (CI) to buyer, buyer signs and returns back to the seller with NCNDA/IMFPAsigned by all buyer groups with commission structures. Seller provide the below documents to the buyer:- a.Certificate of Incorporation b.Certificate of Origin of the Product c.Statement of Product Availability d.Product Quality Passport (Dip Test Result) e.Commitment/Assurance letter to Supply f.Tank Storage Receipt (TSR) GPS coordinates, location Tank Number, Bar Code. g.Notification Of Readiness (NOR) h.Authorization to sell and collect (ATSC) 3.Seller logistics team verifies the buyer’s provided tank farm and pay 3 days on buyer’s tank farm and after confirmation of the funds by buyer’s tank farm, Buyer pays the remaining 2 days to his Tank Farm Company to obtain 5 Days TSR, to show both parties proof of Readiness. G...
Read more

Refinery Oil and Petroleum Products Procedure For SPOT - DIP & PAY FOB - SELLER TANK EXTENSION

Procedure For SPOT - DIP & PAY FOB - SELLER TANK EXTENSION 1.Buyer issues ICPO to the Seller upon acceptance of Seller mandate’s SCO Along with buyer TSA 2.Seller issues commercial invoice CI, for the available quantity in the storage tank to Buyer, Buyer Signs and returns CI to Seller and buyer parties sign the NCNDA/IMFPA and send it to the seller. 3.Seller sends the following documents to the Buyer:- b)Sellers Tank Receipt GPS coordinates, location Tank Number, Bar Code a)Injection Report b)Sellers Tank Receipt GPS coordinates, location Tank Number, Bar Code e)Authorization to Sell and Collect ATS d)Product Passport e)Notification of Readiness (NOR) 4.Buyer extends Seller’s tank for 2 days, to facilitate the DTA, for a Dip Test and Buyer pays and conducts DT in Seller's tank after 2 days validated. 5.After a successful Dip Test DT, Buyer provides Tank details and submits NOR to prepare for an injection of the product into Buyer's leased tanks. 6.Seller shall immediately ...
Read more