Seller's Message: PJSC LUKOIL is a major Russian refinery which works to ensure reliable, affordable and clean energy for its clients worldwide, with full legal responsibility under penalty of perjury, hereby issue this Soft Corporate Offer (SCO) with given terms and conditions as stated herein to confirm the company’s readiness in execution of Sales and Purchase Agreements (SPA) with genuinely intended end buyers, with the ability to supply the following commodities in accordance with the terms and conditions as documented in this Soft Corporate Offer (SCO). Note that this procedure is not open for Amendment / Negotiation. Real and ready buyers are to abide to the procedure and release their Irrevocable Corporate Purchase Order for further proceedings.

500 kg per Week

Gross Discount 9%
Net Discount 6%
Commissions: 3%

  • 1.0% Seller's Mandate (Closed) 0.5% Seller's Intermediary (Closed) 0.5% Buyer's Intermediary
  • 1.0% Buyer's Mandate

Commodity: Au/Gold Refined Production Gold (non-Hallmarked)
Purity: 95% - 97% *
Presentation: 12.5 kg
Country of Origin: Mexico & Intl
Contract Length: 52 Weeks (1 Yr)
Contract Amount: 26,000 kg (26 MT) Delivery per Week: 500 kg
Bank Guarantee: Equivalent to 10% (2,600 kg)

1500 kg per Week

Gross Discount 11%
Net Discount 8%
Commissions: 3%

  • 1.0% Seller's Side (Closed) 0.5% Seller's Intermediary (Closed)
  • 0.5% Buyer's Intermediary
  • 1.0% Buyer's Mandate

Commodity: Au/Gold Refined Production Gold (non-Hallmarked)
Purity: 95% - 97% *
Presentation: 12.5 kg
Country of Origin: Mexico & Intl
Contract Length: 52 Weeks (1 Yr)
Contract Amount: 78,000 kg (78 MT) Delivery per Week: 1500 kg
Bank Guarantee: Equivalent to 10% (7,800 kg)

3000 kg per Week

Gross Discount 13%
Net Discount 10%
Commissions: 3%

  • 1.0% Seller's Side (Closed) 0.5% Seller's Intermediary (Closed)
  • 0.5% Buyer's Intermediary
  • 1.0% Buyer's Mandate

Commodity: Au/Gold Refined Production Gold (non-Hallmarked)
Purity: 95% - 97% *
Presentation: 12.5 kg
Country of Origin: Mexico & Intl
Contract Length: 52 Weeks (1 Yr)
Contract Amount: 156,000 kg (156 MT) Delivery per Week: 3000 kg
Bank Guarantee: Equivalent to 10% (15,600 kg)

Standard Operating Procedures Terms and Conditions

  1. NCNDA - (Non Circumvention Non Disclosure Agreement) All facilitators, seller's mandate and buyer's mandate
  2. SCO - (Soft Corporate Offer) - Seller's mandate issues SCO. Must be signed by buyer's mandate
  3. LOI - (Letter of Intent) - Buyer issues out LOI
  4. FCO - (Firm Corporate Offer) - Seller issues out FCO. Must be signed by buyer's mandate
  5. ICPO - (Irrevocable Corporate Purchase Order) - Buyer issues ICPO based on FCO
  6. IMFPA - All facilitators and mandates
  7. SPA - (Sales Purchase Agreement) - Seller will prepare SPA for buyer's review
  8. Both parties sign SPA
  9. BG - Buyer must issue a bank guarantee as described in SPA
  10. Delivery - Seller prepares goods for shipment as agreed on SPA

Price will be calculated based on the previous day's second (3:00pm) fixing price for gold (Au) as quoted on the London Bullion Market Association (LBMA) in USD or Euro per fine troy ounce on the day of the final assay by buyer's nominated assayer. In the event that the LBMA is not operating on that scheduled day, the purchase price calculation shall be based on the second LBMA fixing (3:00pm) price of the previous market opening day in London England.

Buyer and Seller sign a SPA and Buyer issues a cash backed bank guarantee such as a SBLC (Stand By Letter of Credit) in a period no longer than 5 business days from the date of SPA signing, for the net amount of 10% of the contracted tonnage. i.e. in seller's favor to the bank account seller indicates in the hard SPA verbiage in the J.P. Morgan Chase Bank. This bank guarantee will be active for the duration of the contract and be used to pay the weekly deliveries.

The main function of the cash backed bank guarantee is to commit the seller to produce for the buyer exclusive- ly the agreed amount of gold, object of this offer and to make the weekly deliveries of the product to the closest international airport to the refinery of the buyer's choice. It also has the function of guaranteeing the seller the payment of the gold delivered to the buyer.

Once the refinery issues certificate of quality and weight, buyer will proceed to instruct his bank to transfer via MT103 the funds that correspond to the received material. Buyer will only pay for the gold at 99.95% or better purity and 24 carats. The funds to cover the cost of the delivered weekly gold will come out of the cash backed bank guarantee. Buyer will replenish the withdrawn funds when the balance in the account does not cover the payment of the upcoming week. This process will repeat itself as required in the 52 week contract.

The results of the assay by the refinery will be conclusive for both parties.

Upon taking possession of the assayed gold, buyer will have the following documentation: Commercial Invoice

Certificate of Origin Certificate of Ownership Certificate of Quality Certificate of Weight

Seller will cover all expenses from the country of origin of the gold, including local taxes, legal documentation, customs export procedures, insurance, land and air freight to the country of final destination, analysis of quality and weight in the refinery of buyer's choice.

Glow 79 SCO Dore Production Oct 1 2021 page 1
Glow 79 SCO Dore Production Oct 1 2021 page 2