Description
BLCO CIF PROCEDUR:
1. Buyer
and Seller sign and seal Sales and Purchase Agreement (SPA)
and deposit in respective banks.
2. Buyer's
bank sends Proof of Funds (POF) to Seller's bank via SWIFT MT **9
to Seller’s nominated bank in accordance to the approved verbiage
as per Annex “A”, and forwards the swift confirmation to
Seller.
3. Upon
receipt of Buyer’s POF, within 7 banking days, Seller forwards
Proof of Product (cargo document s, Certificate of Ownership and
CPA) to Buyer and instructs his vessel captain to move the vessel
loaded with 2 million barrels of BLCO/ALCO into Cotonou waters
for inspection.
4. Seller
instructs his vessel captain to issue a marine Authority to Board
(ATB) Buyer's inspectors and supercargo
5. Buyer's
independent inspectors board and conduct inspection (SGS or
equivalent).
6. Upon a
satisfactory SGS (or equivalent) report, Buyer's bank places an
Irrevocable, confirmed, transferable Documentary Letter of Credit
(DLC), Standby Letter of Credit (SBLC) or MT**3/*3 in accordance to
the verbiage as per Annex “B”.
7. Upon
confirmation of payment instrument, Seller instructs his vessel
captain to issue a marine Notice of Readiness (NOR) and Estimated
Time of Arrival (ETA) to Buyer’s discharge port Harbor
Master.
8. Vessel
captain set sail for Buyer’s discharge port.
9. Seller’s attorney collates and
courier to Buyer’s Bank all original cargo documents including the
transfer of Certificate of Ownership in Buyer’s name and a letter
requesting for Buyer’s bank to acknowledge receipt of all necessary
documents for draw down of payment instrument to Seller’s bank via
SWIFT MT **9.
*0. Buyer’s bank send to Seller’s
bank via SWIFT MT **9 a confirmation that all the conditions
of the Letter of Credit has been satisfied and that payment will be
effected within *4 to *8 hours after discharge.
*1.
Upon arrival at Buyer’s port
of discharge, Buyer’s bank releases payment via SWIFT MT **3 or KTT
Wire Transfer within *4 to *8 hours upon discharge.
