There is one country in the world that is considered as one of the top suppliers of oil and it has so many reserves on their light crude oil. It is also considered as the top crude oil exporter in the world. There are about millions of oil barrels generated from that place every single day. NNPC is known to be the place’s end supplier of crude oil. You should know about the fiduciary agents, operators, or allottees. These traders consist the NNPC. These set of traders provide the petroleum buyers for the NNPC, but take note that it is not the only way.
You should know that if you are planning to buy petroleum from a oil supplier, you need to follow some procedures. The buyer will be benefiting from these procedures. You should know that almost all the buyers will just be making the procedures at home, and these procedures should be followed by the sellers. You should keep it mind that the buyer will not issue the procedure, it is the responsibility of the seller. A buyer will always have a chance to take advantage on a much fairer bargain with the oil supplier since most of the sellers will always have room for some procedure negotiation. One thing that you should also know is that the vessels of the NNPC will not be loaded and be waiting for the buyers. Every time the buyer and the oil supplier will have a deal, then that is the time that the vessels will be loaded.
Even though an SPA is signed by the buyer, the vessels will still not be loaded. SPA will not be enough proof that the buyer will be able to pay for the petroleum. The vessel will not be loaded in your name since any person can sign the SPA. The vessel will only be loaded with the amount of oil that is preferred by the buyer, under his or her name, if he or she has a POF or proof of funds. You should pay attention to most of procedures that some unreliable buyers wrote then you will see that they will need the documents for the loaded vessel to be verified after signing the SPA. This is the part where most of these buyers are wrong.
That is why if you will be buying a petroleum from the top oil suppliers, you will need to follow the procedure from an end seller. If you will be following the procedure of the end seller, you will not have to worry about a single thing. You should know that there are so many buyers that would be complaining about signing so many SPAs without the performance of the seller. Then you must know that there are two reasons behind this, one is that the buyer did not provide a POF or proof of funds, and the other would be that the seller was not registered with NPPC.