Incoterms: FOB Rotterdam (Ex-tank for SPOT trial lift, DIP & PAY) Contract duration: 1 SPOT trial + 12 months with possible rolls and extensions .
Price: Fixed, Gross: $ 85 USD per Barrel, Net: $ 80 USD per Barrel
COMMISION: 5$ US PER BARREL
Payment : MT103 or TT on shipment by shipment basis
Payment guarantee; Irrevocable Revolving Documentary Letter of Credit with face value one month shipment, issued with validity for Thirteen next months following the Trial lift
Performance Bond: 2% of the face value Buyer`s IRDLC, issued to favor of the Buyer
Inspection: SGS or similar for Quantity and Quality.
II. — TRANSACTION PROCEDURE:
1. Buyer issues ICPO.
2. Seller issues FCO to Buyer.
3. Buyer signs and returns FCO to Seller.
4. Seller issues draft contract to Buyer.
5. Buyer return countersigned contract to Seller.
6. Seller and Buyer exchange approved copy contract electronically and lodge contracts with their respective banks.
7. Buyers bank issues POF by MT799 or Conditional Payment by MT103/23 to sellers bank.
8. Seller issues: Commercial Invoice, DTA and Q-Q report for the first lift.
9. Buyer DIP Test and issues MT103/TT for the immediately lift able lot and, Non-operative RDLC, as payment guarantee for the subsequent lifts.
10. Seller sends full POP and 2% Performance Bond to Buyer’s Bank, IRDLC becomes operative.
11. Shipment commences as per contract.