10 – 100 KMT OF AGO IN NIGERIA

TRANSACTION: TFD

INSTRUMENT: BANK ASSURANCE LETTER

PRICE: N765/5

TANK FARM DELIVERY PROCEDURE

1. Seller sends his signed SPA to buyer.
2. Buyer signs and returns with NOR Format, throughput agreement, tank farm payment
   receipt, and other tank farm documents.
3. Buyer issues a BANK ASSURANCE LETTER (BAL) of the total cargo from a Nigeria bank,
   according the seller’s verbiage in favour of seller’s nominated account. And copy sent to the
   seller for confirmation. If buyer’s bank is outside Nigeria, then the BAL must be sent via
   SWIFT MT799, and a curtesy copy sent to the seller for confirmation.
4. Seller confirms and Seller instructs his captain to issue NOR/ETA to the tank farm and tank
   farm manager acknowledges the NOR/ETA.
5. The vessel is moved to the buyer’s jetty, inspectors go on board and attestations given by
   buyer’s supercargo.
6. After Q/Q is done and buyer pays 50% of the entire cargo and discharge commences.
7. In 72hrs buyer pay the remain 50% of the total cargo and pay and simultaneously pay all
   intermediaries on the contract and seller hands over all cargo documents to buyer.
8. Vessel moves out of buyer’s jetty and transaction ends.