Joint Venture - Gazprom Allocation Holder – D2 & JP54
OVERVIEW
• JV Entity comprised of Gazprom Allocation Holder / Investor takes title to the fuel
• Investor provides funding capacity to facilitate POF via Bank to Bank soft probe, and MT103 and RDLC for one (1) month value of fuel per contract
• Allocation Holder’s exclusive agent manages dealings with Gazprom via daily discussions with Gazprom personnel and logistics of fuel delivery from Gazprom
• Exit buyer secured by Allocation Holder or Investor
• JV purchase price ranges from 30% for D2 and up to 40% for JP 54 discount from NWE Platts
• Investor’s share up to 50% of profits
PROCEDURES
1. Investor and Allocation Holder execute JV agreement.
2. ICPO submitted to Gazprom by Investor together with cover letter and Bank Reference letter per Gazprom’s templates.
3. Proof of funds by Gazprom’s Banker will be verified by a phone call placed by the Gazprom’s banker directly to the Investor’s Banker. The Russian banker will confirm amount of Investor funds that are available for the transaction via MT199. If the Russian banker approves of probe discussion and MT199, the Investor is approved and the contract is drawn to include Allocation Number. MT199 will include RWA.
4. Initial Pop issued after acceptance of soft probe Proof of Funds inclusive of:
• Copy of license to export, issued by the ministry of energy.
• Copy of approval to export, issued by the ministry of justice.
• Copy of statement of availability of the product
• Copy of the refinery commitment to produce the product
• Copy of Transneft contract to transport the Product to the Port
• Copy of the Port Storage agreement
• Storage tank receipt for Liftable product
• Quality Certificate issued by SGS
• Provisional Lay-Can schedule confirmation issued by the loading terminal authorities for not less than the first lift
• Copy of the charter party agreement(s) to transport the product to discharge port
6. Balance of POP issued after activation of Investor’s Financial Instrument inclusive of:
• Ownership Title and Storage tank receipt
• Quantity and Quality Certificates issued by SGS
• Certificate of Origin and Customs Declaration Copy of Export License and Seller’s commercial invoice
OVERVIEW
• JV Entity comprised of Gazprom Allocation Holder / Investor takes title to the fuel
• Investor provides funding capacity to facilitate POF via Bank to Bank soft probe, and MT103 and RDLC for one (1) month value of fuel per contract
• Allocation Holder’s exclusive agent manages dealings with Gazprom via daily discussions with Gazprom personnel and logistics of fuel delivery from Gazprom
• Exit buyer secured by Allocation Holder or Investor
• JV purchase price ranges from 30% for D2 and up to 40% for JP 54 discount from NWE Platts
• Investor’s share up to 50% of profits
PROCEDURES
1. Investor and Allocation Holder execute JV agreement.
2. ICPO submitted to Gazprom by Investor together with cover letter and Bank Reference letter per Gazprom’s templates.
3. Proof of funds by Gazprom’s Banker will be verified by a phone call placed by the Gazprom’s banker directly to the Investor’s Banker. The Russian banker will confirm amount of Investor funds that are available for the transaction via MT199. If the Russian banker approves of probe discussion and MT199, the Investor is approved and the contract is drawn to include Allocation Number. MT199 will include RWA.
4. Initial Pop issued after acceptance of soft probe Proof of Funds inclusive of:
• Copy of license to export, issued by the ministry of energy.
• Copy of approval to export, issued by the ministry of justice.
• Copy of statement of availability of the product
• Copy of the refinery commitment to produce the product
• Copy of Transneft contract to transport the Product to the Port
• Copy of the Port Storage agreement
• Storage tank receipt for Liftable product
• Quality Certificate issued by SGS
• Provisional Lay-Can schedule confirmation issued by the loading terminal authorities for not less than the first lift
• Copy of the charter party agreement(s) to transport the product to discharge port
6. Balance of POP issued after activation of Investor’s Financial Instrument inclusive of:
• Ownership Title and Storage tank receipt
• Quantity and Quality Certificates issued by SGS
• Certificate of Origin and Customs Declaration Copy of Export License and Seller’s commercial invoice
