As a Buyer!
You should understand the regulations of Nigeria concerning Crude Oil sales.
The President of Nigeria and NNPC has changed the rules and regulations of Crude Oil sales.
As of January 2011, International Buyers will not be able to purchase Bonny Light Crude Oil without placing their Proof of Funds up front BEFORE Sellers load their vessels.
NO SELLER WILL BE ABLE TO SELL TO ANY BUYER WITHOUT POF UP FRONT PERIOD!
If you are concerned with FRAUD! Then ask the Sellers to offer a 2%+ Performance.
Most refineries want to see SGS reports and other loading documents upfront!
LOADING DOCUMENTS WILL NOT BE DISBURSED TO THE BUYER WITHOUT THE BUYER PUTTING UP A MT799 TO SHOW ABILITY TO PAY or put up full cargo instrument.
Understand these vessels are loaded electronically by NNPC and Crude is owned by NNPC which is part of the Nigerian Government.
Sellers cannot load their vessels unless NNPC gives them authority to do so; and Sellers cannot load unless they receive a POF S.W.I.F.T. to their banks; in return the bank sends POF’S to NNPC to notify them they have receive the POF’s on the Seller behalf; in return NNPC gives the authority to the Seller to load the vessels.
SO IF YOU’RE WAITING FOR CARGO DOCUMENTS BEFORE YOU SHOW ABILITY TO PAY-
IT’S JUST NOT GOING TO HAPPEN PERIOD!
THIS REGULATION WAS PUT IN PLACE TO CONTROL FRAUD FROM NIGERIA AND PREVENT BUYERS FROM BOARDING VESSELS WITHOUT SHOWING THE ABILITY TO PAY FOR VESSEL.
All Payments to AHPE including pre-payment & logictic payment for all our product are non-refundable and all clients including buyers and brokers must allow up to 12 months to receive their products and payments respectively and this is not negotiable.