SCO for ZAO FOB — ESPO, WTI, EN590, JetA1, D6, D2
Soft Corporate Offer (SCO)
FOB. Valid only until June 1, 2025
All products on this page are:
- Origin: Non-Sanctioned, Non-Russian
- Port – Incoterm: FOB – All Mentioned Ports
- Inspection: SGS or equivalent
- Payment: MT-103/TT within 24 hours after a successful Dip Test (for most products)
We inform you that we are ready, willing, and able to sell the following product/s:
APPROVED TANK FARMS
In an effort to streamline Tank to Tank transactions, the seller has approved the following tank farms. Please obtain a TSA from either one of these international logistics suppliers BEFORE submitting orders on a Tank to Tank basis. All others will be rejected.
- Delcon Maritime – Wayne Brooks, Operating Officer, TankStorage@DelconTerminal.com, www.DelconTerminal.com (mention Dragon Industries for better service)
- Storage Logistics – Max Ahart, Director, Storage@StorageLogisticsLLC.com, www.StorageLogisticsLLC.com
Product ULTRA LOW SULPHUR – DIESEL EN590 10 ppm
| Trial Lift Ready to Sell (included in the contract) | 50,000 Metric Tons |
|---|---|
| Quantity Annual Contract | 500,000 Metric Tons per month with R&E |
| FOB Price | US $440 / $450 MT $5 each side commissions included |
Product AVIATION JET FUEL A1
| Trial Lift Ready to Sell (included in the contract) | 450,000 barrels |
|---|---|
| Quantity Annual Contract | 5,000,000 barrels per month with R&E |
| FOB Price | US $66 / $68 per BBL Commissions included |
Product VIRGIN FUEL OIL D6
| Trial Lift Ready to Sell (included in the contract) | 25,000,000 Gallons |
|---|---|
| Quantity Annual Contract | Up to 400,000,000 Gallons per month with R&E |
| CIF Price | US $0.95 / $1.00 per Gallon Commissions included |
Product EASTERN SIBERIA PACIFIC OCEAN (ESPO)
| Trial Lift Ready to Sell (included in the contract) | 50,000 Barrels |
|---|---|
| Quantity Annual Contract | 3,000,000 Barrels per month with R&E |
| FOB Price | US $60 / $62 per Barrel Commissions included |
Product DIESEL D2 GASOIL GOST 305-2013
| Trial Lift Ready to Sell (included in the contract) | 20,000 Metric Tons |
|---|---|
| Quantity Annual Contract | 200,000 Metric Tons per month with R&E |
| CIF Price | US $430 / $440 MT Commissions included |
Product WEST TEXAS INTERMEDIATE (WTI)
| Trial Lift Ready to Sell (included in the contract) | 500,000 Barrels |
|---|---|
| Quantity Annual Contract | 3,000,000 Barrels per month with R&E |
| CIF Price | US $80 per Barrel Commissions included |
FOB FUELS PROCEDURE: TANK TO TANK (TTT)
- Buyer issues ICPO, Company Registration Certificate and TSA.
- Seller issues commercial invoice, Buyer signs and return commercial invoice along with an acceptance letter of commitment to execute transaction.
- Seller issues to Buyer the below Partial POP Documents:
- Statement of Product Availability.
- Unconditional Commitment to Supply.
- SGS Chemical Testing Application Form issued by Seller, to be signed by Buyer for processing of Fresh SGS.
- Inspection Approval Letter to be signed by buyer’s tank farm.
- Upon confirmation of the above documents by Buyer, Seller issues to the Buyer the below Full POP Documents:
- Injection Schedule.
- Act of Transfer / Change of Ownership Documents.
- Authority to Sell and Collect (ATSC)
- Freshly Updated SGS Report (72 Hours).
- Injection / Q&Q Report.
- Tank Storage Receipt (TSR) with tank number, GPS coordinates and tank location.
- Authorization to Verify (ATV) physical verification.
- Unconditional Dip Test Authorization (DTA).
- NCNDA/IMFPA is signed by all intermediaries / agents / mandates involved. Upon successful dip test by Buyer, Buyer presents its TSR and Seller injects product into Buyer’s tanks and Buyer makes payment for the total value of product injected into the tanks by MT103/TT.
- Seller pays all intermediaries / agents / mandates involved in the transaction. Upon satisfaction by Buyer, both Buyer and Seller sign contract for monthly delivery with rolls and extension.
- Within 24 hours of the completion of the injection, the Seller pays commissions to all intermediaries involved for the initial lift and on all subsequent lifts.
NOTE ON THE USE OF FIDUCIARY RECEIVERS
Sanction policies, along with their effects on International Banking practices, have dramatically affected the availability of funds when using foreign wire transfers. To facilitate timely transactions, our sellers will use regionally based fiduciary receivers rather than have funds sent directly to the refineries.
UNDERSTANDING FUEL PRODUCER PROCEDURES DOCUMENT
ICPO SUBMISSION POLICY AS OF 1/1/2025
Before processing a new order with our sellers, the buyer and buyer mandate (if applicable) must sign the Understanding Fuel Producer Procedures Document accompanying the Soft Corporate Offer (SCO). They must also provide Proof of Funds (POF) sufficient to cover storage or tank extension requirements for the chosen procedure.
Potential Buyers need to understand what these Sellers are looking for from a Buyer BEFORE engaging in any transaction. This will ensure a successful lift and minimize the possibility of failure.
- Pricing is “refinery direct” and is not connected to Platts, which is based upon “traders”‘ prices.
- These refineries have been in business for years (one since 1949) and have delivered fuels of all types for decades, successfully.
- Manufacturers have a massive investment in their fuels through refining, transporting, and storing them at the major ports around the world, so they expect Buyers to make a similar investment prior to transferring fuel to them.
- Thus, manufacturers do NOT PROVIDE PROOF OF PRODUCT (POP) FOR FREE. Buyers must demonstrate an INVESTMENT in the ability to RECEIVE fuel prior to receiving POP in a transaction, REGARDLESS OF PROCEDURE.
- These investments are generally paid to 3rd party logistics providers and NOT to the manufacturers themselves, unless the procedure calls for a Tank Extension. Manufacturers generally take no fees and only make money by SELLING FUEL.
- This policy favors Buyers with currently rented tanks, which is a de facto demonstration of an investment in the ability to receive fuel once POP is approved.
- Manufacturers’ Procedures CANNOT be changed in any way. DO NOT ATTEMPT to negotiate the Procedure once a transaction starts. This will ONLY lead to cancellation.
- If you EXPECT problems during a transaction, you will certainly find one. This will terminate an otherwise good transaction. Complete your due diligence in advance.
Procedures are like train tracks. If you stay on the rails, you get to your destination. If you go OFF them, you become a Train Wreck. Don’t be a Train Wreck!
Finally: An ICPO is an ORDER. It is NOT an opportunity to NEGOTIATE the Procedure. Do not substitute Logistics Companies in the middle of a transaction, this is a RED FLAG. It is assumed that you have completed your due diligence to ensure you are ready for the transaction. Ensure you understand what is required to receive your POP at the appropriate time, as indicated by the procedures.