STANDARD BANKING/OPERATIONAL PROCEDURE (FOB)

1. Buyer sends an ACCEPTANCE LETTER of this offer to Seller and Seller sends an INDEMNITY AGREEMENT of $1 million for Buyer to sign, NOTARIZE in court and return to Seller as a caution against failure from any party.
   
   
2. Seller issues their draft contract (SPA) along with their RWA Letter format, SBLC verbiage to Buyer. Buyer sign and return the SPA with their Company profile.
   
   
3. Buyer releases their LNG  unloading terminal along with supporting documents to Seller for verification. (LNG only). Seller concludes their verification and request for Buyer’s Bank RWA Letter.
   
   
4. Seller confirms Buyer’s Bank RWA Letter formalizes their contract with the European Refinery or Nigerian LNG to reserve an uninterrupted product supply for Buyer and sends partial POP to Buyer.
   
   
5. Buyer sends the LNG or LPG Vessel documents (Charter Party Agreement, Charter Receipt and Q88) to Seller.
   
   
6. Buyer’s Bank issues their irrevocable, transferable, divisible and confirmed Standby Letter of Credit (SBLC) covering the entire cargo in favour of Seller according to the specified verbiage.
   
   
7. Seller confirms Buyer’s SBLC, Loads Vessel at the loading port and releases the full shipment documents (Bill of Laden etc.) in Buyer’s NAME to Buyer.  
       
8. The cargo allowed to move to Buyer’s unloading Terminal in and Buyer conduct’s Q&Q test and payment is made.
   
   
9. Seller will release payments to the intermediaries involved as per an IMFPA within 96 hours of receiving the payment for the product from the Buyer’s bank.

There is no TTO for this product. Click on the CIF tab. 

STANDARD BANKING/OPERATIONAL PROCEDURE (CIF)

1. Buyer sends an ACCEPTANCE LETTER of this offer to Seller and Seller sends an INDEMNITY AGREEMENT of $1 million for Buyer to sign, NOTARIZE in court and return to Seller as a caution against failure from any party.
   
   
2. Seller issues their draft contract (SPA) along with their RWA Letter format, SBLC verbiage to Buyer. Buyer sign and return the SPA with their Company profile and NOR/ETA format.
   
   
3. Buyer releases their LNG  unloading terminal along with supporting documents to Seller for verification. (LNG only). Seller concludes their verification and request for Buyer’s Bank RWA Letter.
   
   
4. Seller confirms Buyer’s Bank RWA Letter formalizes their contract with the European Refinery or Nigerian LNG to reserve an uninterrupted product supply for Buyer and sends partial POP to Buyer.
   
   
5. Buyer’s Bank issues their irrevocable, transferable, divisible and confirmed Standby Letter of Credit (SBLC) covering the entire cargo in favour of Seller according to the specified verbiage.
   
   
6. Seller confirms Buyer’s SBLC, Loads an LNG or LPG Vessel at the loading port and releases the full shipment documents (Bill of Laden etc.) in Buyer’s NAME to Buyer.
   
   
7. Seller instruct the Vessel Master to send NOR/ETA to Buyer’s Port and Buyer respond with a Port Endorsed Invitation Letter for easier clearance of cargo by Buyer on arrival.     
   
   
8. The cargo moves to Buyer’s unloading Terminal for discharge, Buyer conduct’s Q&Q test and payment is made.
   
   
9. Seller will release payments to the intermediaries involved as per an IMFPA within 96 hours of receiving the payment for the product from the Buyer’s bank.