REFRENCE; CCLS/SCO 13/12/JP54/D2/MAZUT
Puerto la Cruz –Venezuela – Madrid — Spain
(A Govt. of Spanish Enterprise)
cc. Jorge de la Torre/ Massimo Cipriani/Domenico Cipriani.
DLT INVESTMENT LTD / CIPRIANI GROUP
Reference: 2401 /JP54. 500.000 Barrel and / D2. 500.000 MT
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Dear, Miss Maria Nica,
Dear Customers
We DLT INV GROUP LTD /Construcciones Cipriani s.a, on behalf of buyer in Italy and seller in Russia, with full corporate and legal responsibility, under penalty of perjury confirm that we are ready, willing and able to enter into contract with principal seller and our company nominated by you as a buyer or Mandates representatives for the commodity referenced here under, on the terms and conditions set forth below.
We are ready, willing and able arrange the Sales and Purchase Quote of (JET AVIATION FUEL COLONIAL 54 FOR AMERICAN/EUROPEAN AIRCRAFT and GAS OIL DIESEL (D2), GOST-305-82.
These products are available and liftble now, and we are acting as a producttrader/working with the Seller mandate and the refinery in Russia, futhermore both are companies closed to us, which are directly making sales arrangements in Europe and in the United States, therefore we are negotiating the paperwork to conclude immediately products mentioned now AVAILABLE FOR SALE AND PURCHASE AGREEMENT with extreme competitively priced and exclusively for your business and meet your/company needs because have 30% of discount compared to the price Platt Rotterdam and Houston..
Therefore, we are ready to arrange with you the SPA (Sale Purchase Agreement)/ which should be included the POP Proof of Product/ as per specifications terms and the quantities, also as per herein below fixed prices specified in the terms and conditions given by the Russian refiney.
By this, we would kindly request you send us a Confirming Letter, if you deem convenient and necessary in order to release SPA/Draft Contract, data sheet specification, POP, as well as the NCNDA/Impfa issued from the refinery of which included the terms attach for open sale and purchase agreement with the Russian refinery through our company, and seller mandate, under herein below terms and conditions:
a) Buyer Mandate and/or representative in this transaction; CONSTRUCCIONES CIPRIANI S.A., represented by Capt. Luis E. Salazar, Mr. Massimo Cipriani and Mr.Domenico Cipriani, Chartering Manager and President and Vice President Company your buyer mandate representative.
b) Seller Mandate was nominated by the Russian Refinery to make all steps of the sells above products. c) Product: Jet Fuel Jp54 (Aviation Kerosene Colonial Grade 54) and GAS OIL DIESEL (D2), GOST-305-82 and Mazut 100 — 105 85 75.
d) Origin: Russian Federation.
e) Quality: Standard Export Quality
f) Quantity: 6.000.000 Barrels (500.000 barrels x 12 months) with the R & E roll extension for JP54
f.1) Quantity: 6.000.000 MT Metric ton (500.000 mt x 12 months) with the R& E rolls extension for D2
f.2) Quantity: 6.000.000 MT Metric ton (500.000 mt x 12 months) with the R & E rolls extension for Product: MAZUT M-100 GOST 10585-75.
f.3) Destination: CIF – ROTTERDAM CIF-ASWP
f.4) Price: Gross-0 / Net-0 per Metric ton. For Mazut
Reference: 2401 /JP54. 500.000 Barrel and / D2. 500.000 MT
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f.5) Commission: USD.00 Seller side, USD.00 Buyer side per metric ton. (The Commissions of the mandates will be paid by the Seller. For Mazut.
a) Contract Period: 12 Consecutive Months with roll over extensions
b) Destination: CIF – ROTTERDAM CIF-ASWP
c) Price: Gross- / Net- per Barrel. of JP54
d) Price: Gross-0/Net-0 per Metric Ton of D2
e) Commission: USD.00 Seller side, USD.00 Buyer side per Barrel. (The Commissions of the mandates will be paid by the Seller). For JP54 and USD Seller side, USD$ 5 buyer side per metric ton in D2.
f) Delivery: As agreed upon by Seller, refinery and the Buyer.
g) Payment Terms: Documentary Letter of Credit (DLC) 2% performance bond issued by the seller bank to the buyer bank on the full contract value
ANNEXURE-4
BASIC PROCEDURES FOR OIL AND GAZ PRODUCTS
ОСНОВНЫЕ ПРОЦЕДУРЫ ДЛЯ НЕФТЬ И ГАЗ ПРОДУКТОВ
1. Seller issues FCO upon buyer’s ICPO.
2. Buyer signs and returns FCO with a letter of acceptance.
3. Seller issues Draft Contract to the Buyer with initials, signs & seals (electronic signatures shall be deemed valid and enforceable). Buyer signs and returns contract to seller for final approval.
4. Buyer pays to obtain Transaction Passport Transfer Certificate (TPTC)/ Export Clearance Affidavit (ECA) which defines the buyer’s intention and competence, and it is duly documented to that effect. This process permits the seller to lodge contract with its bank and also initiate a bank to bank communication.
4.1 If the buyer not wants to pay the export fee, we can assume this cost furthermore the price of mazut and Diesel D2would increase to 40 USD$ per metric ton USD $, i.e. $ 630USD CIF, and 370 USD per MT, Mazut and JP54 to $ 85 USD per barrel.
4.2 The buyer must be sent POF, Proof of Funds, to the buyer mandate and/or Construcciones Cipriani, s.a., who will paid the export fee, with the Ministry of Oil and Gas in Russia, Moscow, and assume the responsibilities to arrange the TTM in Moscow, draft contract legalization to release the POP to start the shipments in due time.
4.3 The POF, issued as RWA, BCL, MT 799/ or any kind of POF available that the buyer have the funds, open a line of credit, opening of financing, letter of intent to the entity that will finance the transaction, in order to confirm that the buyer has credit line to buy the product and do not leave tanker and logistics waiting for the load in Russia. The POF should be addressed to the seller bank, this transaction start with the firm commitment via (Construcciones Cipriani s.a.) Attn. Capt. Luis E. Salazar and Massimo Cipriani, and confirming letter to be agreed with this FCO, given to the end buyer to release the draft contract.
5. Seller pays for the Legalization/ Registration of the “CONTRACT” directly to the Ministry of Energy.
6. Seller issues the following documents to buyer; (a. Registered and Notarized contract, b. Export Clearance
Affidavit, Transaction Passport Transfer Certificate, c. Certificate of origin issued by the chamber of commerce, d. Export license, e. Registration certificate, f. Certificate of ownership).
7. Seller and buyer Finalize shipping schedule with the appointed shipping company to transport the product to the destination port.
8. Buyer bank Swift Pre-advice of Financial instrument to the Seller’s Bank, and Upon Confirmation of the Preadvice of Financial Instrument by the Seller’s Bank, Seller’s Bank will respond by issuing Full Proof of
Reference: 2401 /JP54. 500.000 Barrel and / D2. 500.000 MT
— 4 — FIRM CL/ICPO
Product (POP) and 2% performance Bond guarantee to Buyer’s Bank, should the Seller fail to supply the
cargo of the product, this 2% (PB) will be paid to Buyer and intermediaries as compensation.
9. The Full Proof of Product (POP) shall consist of the following (in blue ink)
. Copy of license to export, issued by the ministry of energy.
. Copy of approval to export, issued by the ministry of justice.
. Copy of statement of availability of the product.
• Copy of the refinery commitment to produce the product.
• Copy of Transneft contract to transport the Product to the Port.
• Copy of the Port Storage agreement.
• Copy of the charter party agreement(s) to transport the product to the discharge port.
• Copy of the tank receipt issued by the storage facilitator.
• Copy of Bill of Lading.
• Copy of DIP test authorization/Assignment of ownership document.
10. Buyer’s bank will issue operative payment instrument to seller’s bank. Within five (5) Banking days
after receipt and confirmation of the pop at the buyer’s bank.
11. The SGS inspection will be borne by the seller at the loading seaport and buyer at the unloading
seaport.
12. Shipping of the product will commence as agreed by buyer and seller within seven (7) to fifteen
(15) days from date of seller receipt of the acceptable Operative Payment Instrument.
This offer is signed and seal by the Seller Signed & Endorsed | Продавец Подписанный и Подтвержденный
Director of Export, Petroleum Product of the refinery.
The Passport to Obtain Transaction Transfer Certificate (TPTC) / Export Clearance Affidavit (ECA),
once the draft contract is signed and sealed by the seller and buyer, and agree on the terms thereof and
modifications made, signed and sealed corrected , the draft Contract that will be send to the buyer via an email
and courier service after the TPTC)/ECA has been register from the Russia government as the refinery will
insert its banking details before converting the SPA to PDF document and submit to the Ministry for obtaining
the TPTC/ECA and registration of the contract.