Model No.:
Product Origin:
Brand Name:
Price Terms:
Payment Terms:
Certification:
Description:With full corporate responsibility on behalf of the supplier
we confirm and certify that we have the intention and capacity to supply the commodity
according to the terms and conditions specified as below:
1. COMMODITY: Russian Gas Oil L 0.2-62, GOST 305-82. lowest sulphur content.
2. ORIGIN: Russia
3. QUANTITY: 6,000,000 Metric Ton per year, with a variation plus - minus (5%) five percent.
4. TIME PERIOD: The duration of this contract is for the period of 12 months. The vessel of first shipment shall arrive to the destination port within 45 days from the acceptance of the Buyer financial instrument.
5. SPECIFICATION: Detail specification as per ANNEX .
6. DELIVERY SCHEDULE AND TERMS:
Delivery quantity of the first month: 500,000 M/T monthly (100,000 and - or 250,000r per vessel) Other terms as per INCOTERM 2000 Latest Edition.
7. PRICE:
Contract price: Fixed at US$405/$395 per MT CIF ASWP.
8. PERFORMANCE BOND
The seller shall issue Performance Bond Bank Guarantee for 2% of delivery amount, Seller Bank should be a top 50 World Bank
The buyer shall issue Counter Performance Bond Bank Guarantee for 2% of delivery amount (Detail issuing schedule and amount as per ANNEX ). Buyer Bank should be a top 50 World Bank
9. PAYMENT
a. The Buyer shall open irrevocable, operative, transferable, paid by at sight and in favor of the Seller, Revolving Documentary Letter of Credit (RDLC), covering one month quantity for each month.
b. The Buyer shall open DLC within 15 banking days after receipt of POP and PB.
c. If the Seller is unable to make delivery within sixty (60) days in
accordance with this contract, the Performance Bond will be paid by the Seller bank into the buyer account as compensation.
d. If the Buyer is unable to issue DLC within sixty (60) days in accordance with this contract, the Performance Bond will be paid by the Buyer bank into the Seller account as compensation
10. GENERAL PROCEDURE: Procedure shall be in accordance with the chronological procedure and rules promulgated by the International Chamber of Commerce (ICC), Paris, France for the sale and purchase of crude oil and petroleum products.
a. The seller sends Soft Corporate Offer to the Buyer. And then, the Buyer send a Irrevocable Corporate Purchase Order(ICPO) and Bank Confirm Letter(BCL) to the Seller.
b. Seller or Seller Mandate send Contract by e-mail with appropriate authorized Signature and Seal. Seller full banking information to be included in Contract.
c. Buyer executes Contract with authorized Signature and Seal, highlighting any desired changes, and e-mails back to Seller. Buyer full banking information to be included with return Contract.
d. Not later than seven (7) calendar days from the date of sign contract, Seller Bank forwards Proof of Product (POP) and Non-operative Performance Bond for amount of 2.0% of one month shipment value to Buyer Bank valid for 13 months.
e. Within 10-15 international banking days after receipt and verification of POP and the Non-operative Performance Bond in Buyer Bank, Buyer Bank will immediately send operative RDLC covering one month shipment value of first month shipment. And at the same time, the buyer Bank issue operative counter performance bond for amount of 2.0% of one month shipment value to the Seller bank valid for 12 months. Receipt of the Buyer RDLC and the counter performance bond in the Seller Bank.