AGO 113 LESS 2
50KMT

PROCEDURE
1. SELLER AND BUYER SIGN, SEAL AND LODGE THE SPA IN THEIR
RESPECTIVE BANKS.

2. BUYER SENDS A READINESS, WILLINGNESS AND ABILITY (RWA)
LETTER/BANK COMFORT LETTER (BCL)/BANK ASSURANCE LETTER(BAL)
STATING HIS CAPABILITY TO PAY VIA MT103 FOR THE ENTIRE CARGO AFTER QNQ.

3. SELLER CONFIRMS BANK LETTER AND ISSUES NOR/ETA OR ATB & CLEARANCE TO THE BUYER.

4. UPON ARRIVAL ON GHANA/NIGERIA WATERS ON AGREED NAUTICAL MILES,
VESSEL ANNOUNCES ITS ARRIVAL. CAPTAIN ISSUES MARINE ATB TO
BUYER'S INSPECTORS TO BOARD THE VESSEL FOR DIP TEST.

5. IMMEDIATELY INSPECTOR BOARDS AND CONFIRMS PRODUCT & COLLECT SAMPLE FOR Q&Q.

6. AFTER POSITIVE Q AND Q, THE BUYER RELEASES PAYMENTS VIA MT103 AGAINST Q&Q REPORT & CARGO DOCUMENTS, TO SELLER AND ALL BROKERS WITHIN 2 BANKING DAYS. LOADED VESSEL DISCHARGES/BUYER TAKES OVER VESSEL




FOB/TTT
Price is $12 Gross
$8 Net Discount to buyer
$4 Commission on 2:2 basis


13. FOB PROCEDURES:

Seller sends Contract and other transaction documents as Proof of Past Performance. Buyer conducts Due Diligence on Seller at NNPC and sign the Sales and Purchase contract Agreement including his full bank details. Both parties deposit copies with their respective banks. E-mail and Facsimile copies shall be accepted as originals.
Buyer Shall also Send to Seller FULL vessel details including CHARTER PARTY AGREEMENT,AUTHORITY TO LOAD IN SELLER'S NAME, Q88, CHARTER INVOICE or CERTIFICATE OF OWNERSHIP. Buyer's Bank issues an MT799 blocked funds proof of funds OR IRDLC via authenticated telex SWIFT from a prime world bank to seller's bank in favor of seller

Upon receipt and confirmation of buyer's MT799/IRDLC. Seller/producer/supplier will allocate and reassign the allocation in the name of buyer. These include Provisional Lifting Right, Proof of Product, Allocation and AUTHORITY TO SELL in Seller’s name. These documents will be transmitted directly from NNPC-COMD to the buyer/buyer’s nominated Bank. The Lifting Right documentation shall consist of the following:

Export Allocation/License:
REF: EXP:
Allocation REF: P1/INSP/:
Cargo Authority/Permit:
Stem No:
NNPC Equity REF :
Cargo authority No:
Quantity:
Export No:
License No:
The Quantity to be lifted, The Cargo Authority Number, Stem Number, and the buyer shall be the consignee.

Seller shall program the vessel, these includes the programming in buyer’s Lifting schedule/LAYCAN dates in conformity with ICC practice, where the buyer confirm its LAYCAN on International OIL DATABASE.

Seller/NNPC, loading terminal harbor master in conjunction with Nigeria Navy, Customs shall issue clearance to the buyer vessel master for loading and Notice of readiness (NOR) and copy the Buyer and its Banks.

Buyer’s Vessel master upon receipt of NNPC loading terminal harbor master NOR and Nigeria Navy, Customs Clearance, shall respond with Estimated Time of arrival “ETA” at the Loading Port.

Buyer appointed Inspectorate Company will both inspect and monitor the loading of the vessel and ascertain Quantity and Quality analysis test while loading is going on in the vessel

Upon a positive Q and Q, buyer’s bank issues MT103/TT for the total value of the cargo to the seller’s bank in favor of seller.

Payment is made within three (3) banking days by MT103 directly to seller’s account by SWIFT for the total value of the crude oil and agents nominated accounts as stipulated in the SPA against presentation at the counters of buyer’s bank all the originals of the shipping documents in the buyer’s name and seller’s commercial invoice.

Vessel sails to buyer’s port of destination




TTO FOR GHANA/COTONOU WATERS
Price is $12 Gross
$8 Net Discount to buyer
$4 Commission on 2:2 basis

PROCEDURES

1. Buyer send an LOI with his official letterhead to seller,and also with a corporate letter of undertaking stating his express readiness to to issue from his bank via SWIFT an RWA/BCL/BPA on seller's verbiage that his bank will place MT103 upon receipt of Q&Q report,after receiving seller's M-NOR/ETA.

2. Seller issues buyer sign SPA,buyer endorses SPA with FULL Banking cordinates and also attach his harbor master information and returns to seller. Signed SPA is legally binding on both buyer and seller and is enforceable by law.

3. Seller immediately instruct loaded vessel master to issue M-NOR/ETA according to buyer's provided NOR Format. Vessel master issues buyer M- NOR/ETA.

4. Buyer confirms M-NOR/ETA and immediately issue to seller's bank via SWIFT an RWA/BCL/BPA on seller's verbiage that his bank will place MT103 upon receipt of Q&Q report

5. Seller confirms buyer's instrument and instructs loaded vessel master to set sail to the agreed boarding/Q&Q point in Ghana international waters.

6. On getting to Ghana waters,loaded vessel master announces his arrival to Port control,buyer clears vessel,and vessel dro ps anchor at agreed nautical mile position.

7. Vessel master issues MATB to buyer's nominated super cargo and inspector to come on board. Super cargo and Inspector boards vessel and confirms product. Vessel master and Super cargo release product confirmation and attestation to buyer.

8. Buyer's inspector collects sample for Q&Q and alights,super cargo remain on board.

9. Q&Q report is both released to buyer and seller. Seller’s Send Final invoice for payment with respect to Q&Q Inspection report, immediately Buyer's Bank SWIFTs MT103 for total cargo within 72 hours as per SPA.

10. Seller hands over originals of full set of cargo documents to buyer/buyer's bank and also introduces buyer to vessel handlers,buyer re-charters vessel and it sails to buyer's final POD.



TTO FOR NIGERIA/GHANA WATERS
Price is $12 Gross
$8 Net Discount to buyer
$4 Commission on 2:2 basis

PROCEDURES

1. Buyer send an LOI with his official letterhead to seller,and also with a corporate letter of undertaking stating his express readiness to issue from his bank via SWIFT an RWA/BCL/BPA on seller's verbiage that his bank will place MT103 upon receipt of Q&Q report after seller have given buyer MATB ONLY.

2. Seller issues buyer sign SPA,buyer endorses SPA with FULL Banking cordinates and also sends his valid ATB Format. Signed SPA is legally binding on both buyer and seller and is enforceable by law. (Note that NNPC requires the Buyer’s supercargo to have apart from his int’l passport, a seaman passport, safety certificate and discharge certificate) and the Super cargo must also be an approved NNPC JV certified Super cargo. Only Calibrate and Overseas Marine Inspection companies are allowed to board NNPC vessels for Q&Q in Nigeria water.


3. Seller immediately instruct loaded vessel master to issue Marine ATB according to buyer's provided ATB Format. Vessel master issues buyer MATB.

4. Buyer confirms MATB and immediately buyer's bank issue to seller Bank BCL/RWA/BAL for the entire cargo stating their readiness to place MT103 upon receipt of Q&Q report.

5. Seller confirms buyer's instrument and immediately, through NNPC JV,Bonny Terminal and Navy issue Clearance to buyer's inspector/Super Cargo to come on board seller's loaded vessel for product confirmation and Q&Q in Nigerian waters.

6. Super cargo/Inspector boards vessel and confirms product. Vessel master and Super cargo release product confirmation and attestation to buyer.

***IF BUYER IS DOING FINAL Q&Q IN GHANA WATERS,ONCE PRODUCT CONFIRMATION MESSAGE/CAPT'S ATTESTATION IS SENT TO BUYER'S BANK,THEN LOADED VESSEL MASTER WILL SET SAIL TO AGREED NAUTICAL MILES OFF GHANA WATERS FOR FINAL Q&Q***

8. Buyer's inspector collects sample for Q&Q and alights,super cargo remain on board.

9. Q&Q report is both released to buyer and seller. Seller Send Final invoice for payment with respect to Q&Q Inspection report, immediately Buyer's Bank SWIFTs MT103 for total cargo and the commission within 72 hours as per SPA.

10. Seller hands over originals of full set of cargo documents to buyer/buyer's bank and also introduces buyer to vessel handlers,buyer re-charters vessel and it sails to buyer's final POD.


CIF

PRICE IS
$9 Gross
$6 Net Discount
$3 Commission on $1.50/$1.50 basis

PURCHASE PROCEDURE:
Nominations, Shipment & Transaction Procedures

1. Seller & Buyer sign and seal Sales/Purchase Contract Agreement
(SPA) containing both BUYER'S & SELLER'S NOMINATED BANKING DETAILS.
Also Signed SPA must come along with buyer's port of discharge port
details/harbor master info. Both parties lodge the fully executed SPA with their respective
banks.

2. Buyer's bank sends a pre-advice via SWIFT to seller's bank stating their readiness to issue SBLC of the entire cargo once seller's bank gives the 2% of the SBLC value as performance bond.

3. Seller's bank confirms pre-advice and immediately replies by SWIFT pre-advice Confirming their readiness to receive SWIFT SBLC on behalf of seller and to post 2% of the SBLC as PB via SWIFT to buyer's bank. Buyer's bank confirms the SWIFT pre-advice and immediately buyer's prime world bank issues to seller's bank on behalf of seller via authenticated telex SWIFT an operative and irrevocable SBLC for the entire cargo. Buyer sends a copy of the instrument to seller for follow up with his bank.

4. Seller/Seller's bank confirms buyer's instrument and immediately seller's bank post via SWIFT to buyer's bank 2% of the SBLC value as performance bond,and send the SWIFT telex copy to buyer for confirmation with his bank. Buyer's bank confirms receipt of seller's 2%PB.

5. Seller sends list of available vessels that are charter-able and
without any encumbrances to Buyer to choose from. Seller nominates and
pays for charter, within 5 banking days of receipt of LC. Details of
Chartered Vessel is sent to NNPC Marine Transport Department for
Programming of Loading Window & issuance of LAYCAN. Seller furnishes
both Vessel Home-office/Foreign Handler and The Buyers with details of
Official LAYCAN & Loading window secured from NNPC for their records,
confirmation & verification.
NB: CPA will carry both Seller's and Buyer's company names as joint
Charterer/Beneficiary and not Seller Only. While Seller ceases to be
CPA Beneficiary upon Take-Over at point of Q&Q Inspection.
NB: THE ABOVE WILL TAKE 10-15 DAYS: THIS PERIOD INVOLVES DAYS FOR
ACTUAL NOMINATION AND SELECTION OF BUYER'S VESSEL OF CHOICE, PAYMENT
FOR CHARTER, TRANSFERRING PAYMENT INSTRUMENT TO NNPC, SECURING LAYCAN
FROM NNPC, CHARTERED VESSEL SAILING TO NIGERIA & CLEARING VESSEL INTO
LOADING POINT.

6. Vessel Captain sends NOR and ETA to Terminal as vessel sails to
Nigeria. Upon arrival in Nigerian international waters, Seller clears
vessel to terminal for Loading. Vessel is loaded. Buyer furnishes
Seller with details of his independent inspectors at his Take-Over
port/point.

7. Seller secures Export Clearance Permit and full Cargo
documentation, Loaded Vessel Captain sends Marine NOR to Buyer/Buyer's
inspectors. Loaded vessel sails to Buyer's Take-Over port/point.

8. Upon arrival, Captain of the loaded vessel announces her presence
to the Port/ Naval authority of the Take-Over port/point, even as the
Buyer's Shipping Agent clears in the vessel to come close to between
15-25 Nautical miles off the coast of the country and issues Marine
ATB to Buyer's Inspectors to come onboard for Q&Q inspection
immediately. Q&Q is done at Buyer's expense and the report is released
to both parties within 48hours. Then Buyer's bank places MT103/23
against Final take-Over of vessel to his preferred disport.

9. Seller help fast-track proper and quick Take-Over and re-chartering
of vessel from Vessel home-office/authorized handler even as he
hands-over cargo documents to Buyer's for confirmation and payment
against document.
a. Clean - On - Board Ocean Bills of Lading.
b. Certificate of Quantity (SGS or equivalent).
c. Certificate of Analysis (optional).
d. Certificate of Origin.
e. Certificate of Quality.
f. Seller's Commercial Invoice.
g. Vessel Ullage Report (optional).
h. Receipt of Samples (optional).
i. Cargo Manifest.

10. Seller's bank Send Final invoice for payment with respect to Q&Q
Inspection report, immediately Buyer's Bank swifts total purchase
price of the product and the commission within 72 hours as per SPA.

11. Vessel sails to Buyer's preferred Destination port.

12. End of transaction. Another roll-over starts.