A - STANDARD WORKING PROCEDURES CIF - ASWP & PAYMENT TERMS

1 Buyer issues ICPO must be with buyer company letterhead.

2 Seller issues Draft Contract (open for any amendments) to Buyer. Buyer signs, seals and returns the Draft Contract to. Seller for final endorsement and Legalization of the SPA by the Ministry of Energy, Kazakhstan, Seller gives Partial proof of products.

a) Seller Irrevocable Commitment to Supply

b) Statement of availability of product

c) Certificate of origin - Ministry Certificate

d) commercial invoice for the first value shipment

e) Refinery Company Certificate

f) Endorsed and legalized SPA by the Ministry of Energy, Kazakhstan.

3 Buyer issues the Financial Guarantee as pre advice LC (DLC MT700) or (SBLC MT760) to cover the first shipment to seller’s fiduciary bank according as per the Seller Verbiage in five (5) bank days. Upon the buyer (DLC MT700) or (SBLC MT760) seller will issue 2% Performance Bond (PB) to buyer bank within 3 days.

4 Within 7 banking days, If buyer fails to issue payment instrument, Buyer will make cash deposit of $370,000 USD by TT wire transfer for security guarantee to enable seller charter vessel and commence shipment, and this payment will be deducted from the total cost of product after inspection at dischargeport, or legal action will be taken against buyer for default

5 Seller’s Bank issues the following Full POP Documents to the Buyer’s Bank alongside with 2% Performance Bond (PB2%).

i. Copy of license to export, issued by the department of the Ministry of Energy, Kazakhstan.

ii. Copy of Approval to Export, issued by the Ministry of Justice, Kazakhstan.

iii. Copy of statement of availability of the product.

iv. Copy of the refinery commitment to produce the product.

v. Copy of Transnet contract to transport the product to the loading port.

vi. Copy of the port storage agreement.

vii. Copy of the charter party agreement to transport the product to Discharge port.

viii. Copy of Vessel Questionnaire 88.

ix. Copy of Bill of Lading.

x. SGS Report at loading port.

xi. Dip test Authorization (DTA) & ATB

xii. NOR /ETA Certificate of Ownership Transfer Allocation Transaction Passport Code

Certificate (ATPCC)by Ministry of Energy, Kazakhstan.

6 Upon receipt of FULL POP Buyer provides seller with logistic (TSR or vessel Q88) facility coordinates andnecessary requirements to enable Buyer’s SGS/CIQ conduct Dip Test upon vessel arrival at discharge port.

7 Seller issues to Buyer Full DTA for immediate proceeding of inspection by Buyer's SGS/CIQ Agentinjection commence to the buyer’s logistics.

8 Seller's Bank issuing Full Proof of Product (FULL POP/CURRENT DATED SGS REPORT) Buyer's bank pays the 100% of Total value of the product in Buyer's logistics by wire transfer MT103 in accordance with theSeller's invoice and SGS/CIQ inspection report.

9 Upon confirmation of the payment, Seller issues to the Buyer the title of ownership and all Exportingdocuments

10 Seller Pays commission to all intermediaries involved as per singed NCNDA /IMFPA.

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B - TRANSACTION WORKING PROCEDURES CIF DELIVERY

1. Buyer issues ICPO and Company profile. ICPO must be on buyer’s company letter head, with passport copy of the buyer or representative and full banking information.

2.  Seller within 48 hours issues draft contract (open for any amendments) to the buyer. Buyer signs, seal and returns the contract to the seller for final endorsement. Seller gives partial Proof of Product. 

3. Seller notarizes the contract at his own expenses and submits partial proof of product via mail , PPOP as follows.

A. REFINERY COMMITMENT TO SUPPLY 

B. PRODUCT PASSPORT CERTIFICATE 

C. CERTIFICATE OF ORIGIN

D. COMPANY CERTIFICATE

E. PROFORMA INVOICE

F. STATEMENT OF AVAILABILITY OF PRODUCT 

4. Within 7 banking days, buyers bank sends transferable irrevocable operative SBLC via MT760 according to seller’s fiduciary bank verbiage to seller nominated fiduciary offshore bank account for first month shipment. Should buyer fail to issue payment instrument within 7 banking days, buyer has to make a cash deposit of USD 320’000.00 (three hundred and twenty thousand dollars) or equivalent in RMB by TT wire transfer for security guarantee to enable seller charter vessel, pay cost insurance, export duty taxes, custom clearance and commence shipment. This payment will be deducted from first shipment value. Cost of product after inspection at port of discharge or legal action will be taken against buyer for default of transaction.

5. Seller issues full POP documents to the buyers bank alongside with 2% PB performance bond 

A.) COPY OF LICENSE TO EXPORT, ISSUE BY THE DEPARTMENT OF THE MINISTRY OF ENERGY OF KAZAKHSTAN 

B.) COPY OF APPROVAL TO EXPORT, ISSUED BY THE MINISTRY OF JUSTICE OF KAZAKHSTAN  

C.) COPY OF STATEMENT OF PRODUCT AVAILABILITY 

D.) COPY OF REFINERY COMMITMENT TO PRODUCE THE PRODUCT. 

E.) COPY OF TRANSNET CONTRACT TO TRANSPORT THE PRODUCT TO THE LOADING PORT. 

F. COPY OF THE PORT STORAGE AGREEMENT 

G.) COPY OF THE CHARTER PARTY AGREEMENT TO TRANSPORT THE PRODUCT TO DISCHARGE PORT 

H.) COPY OF VESSEL QUESTIONNAIRE 88. 

I.) COPY OF BILL OF LADING 

J) SGS REPORT AT LOADING PORT

K.) DIP TEST AUTHORIZATION DTA) & ATB 

L.) NOR/ETA 

M.) CERTIFICATE OF OWNERSHIP TRANSFER

6. Signing of NCND/MFPA

7. Upon arrival of cargo at the discharge port and after SGS or Q&Q at discharge port, buyer’s bank release to seller’s bank payment by MT103/TT within 7 (seven) banking days. Seller release payment to the intermediates as per signed NCND/MFPA within 48 hours of receiving the payment for shipment value from buyer’s bank.