CIF PROCEDURE: Discount 14 Gross/10 Net (USD10 per barrel Net to buyer & USD4 per barrel commission to agents & brokers)

1. Seller and Buyer review, sign, date & seal the sale & purchase agreement (SPA) and lodge in their respective banks.
2. Within 2 days of signing SPA, Buyer bank writes letter of readiness ,williness and ability to place full LC upon receiving Seller’s non operative 2% pb.
3. Upon receipt, Seller’s fiduciary bank shall issue a non-operative 2% performance bond in favor of the Buyer and in return,the Buyer’s bank shall issue the stand-by letter of credit (SBLC) in favor of the Seller’s fiduciary bank American Capital Trading and Holdings Inc.
4. Upon receipt of #3 above, Seller’s fiduciary bank (American Capital Trading and Holdings Inc.) Shall issue a 2% performance bond in favor of the Buyer.
5. Upon confirmation of above,the Seller shall re-assign all original cargo documents in favor of Buyer as “consignee” and new owner.and all original documents in Buyer’s name shall be sent to Buyer and Buyer’s bank via Seller’s bank for confirmation.
6. Within 72hours of confirming the buyer’s LC by the Seller’s bank, Seller nominates super cargo vessel(s),then programs and loads vessel(s)to execute delivery to Buyer’s port of discharge.All documents must be tendered to the Buyer before the vessel sails.
7. Within 48hours of loading, Seller’s loaded vessel sends NOR/ ETA and commences sailing to Buyer’s POD.
8. Upon arrival at AWSP, vessel’s master issues ATB and invites Buyer’s inspection party to board loaded vessel to conduct Q&Q inspection and provide a report which will be binding on both buyer and seller. Copies of such report will be transmitted to Buyer and Seller.
9. Within 48 hours of completion of the Q&Q with discharge and accepting cargo by Buyer, Seller presents relevant shipping documents at the counter of Buyer’s bank and payment by direct MT103 will be paid immediately based on out turned barrels made by swift/ktt by wire transfer directly to the Seller’s bank account and simultaneously to the intermediaries, agent, consultants, mandates and facilitators nominated bank accounts to clear within 72hours.