VESSEL TO TANK (VTT) CIF PROCEDURE

Incoterms: VTT CIF 2020
Delivery Location: In Seller’s chartered vessel tanks berthed at Discharge Port (Fujairah, Jurong, Rotterdam or Houston).
Mode of Delivery: Vessel Tanker to Storage Tank (VTT) – cargo remains in vessel tanks until Buyer completes dip-test and injects into Buyer-nominated shore tanks at the same discharge port.
Platts: Negotiable on PLATTS of NWE, Mediterranean, Arab Gulf (AG), Fujairah Platts, Singapore MOPS
Price basis: VTT discharge port = FOB TTV load port (Fujairah Platts / AG whichever higher, Jurong Singapore MOPS, Rotterdam NWE Platts) minus agreed discount + freight + insurance
Inspection: Quantity & Quality by SGS / Intertek / Saybolt-Corelab (or mutually agreed equivalent) at Seller’s vessel tanks. Fresh SGS in Exit-Buyer’s name mandatory.
Inspection: SGS / Intertek / Saybolt-Corelab or equivalent at discharge port
Payment terms: MT103 against verified POP papers and Dip test result
Offer: Subject to tank & vessel availability. Buyer must confirm availability and fix price with Seller before proceeding

Transactional Procedure

  1. Buyer Inquiry:
    Buyer sends email to seller stating intent to purchase, required volume, discharge port, preferred load port, and a suplimentary TSA in sellers name subject to injection in name of buyer in the tank at the destination port.
  1. Seller issues FCO including:
    • Signatory Passport/ID
    • Full Company Information Sheet (CIS)
    • Government-issued Export License. registration papers (T+0 | Seller)
  2. Buyer counters with ICPO including:
    • Buyer CIS + Signatory Passport/ID
    • TSA (Tank Storage Agreement) signed with physical tank farm at discharge port (T+2 WD | Buyer)
  3. Seller issues RECAP, Pro-Forma Invoice & SPA. Buyer countersigns SPA and returns within 24 hours. (T+3 WD | Both)
  4. Seller issues Commercial Invoice (CI). Buyer reviews, signs & returns CI within 24 hours. (T+4 WD | Both)
  5. Seller releases FULL POP (electronic, non-redacted) to Buyer’s secure email:
    1. Charter Party Agreement (CPA)
    2. Vessel Q88
    3. Bill of Lading (full set 3/3)
    4. Cargo Manifest
    5. Certificate of Origin (COO)
    6. Fresh SGS (in Exit-Buyer name)
    7. Injection Report
    8. Ullage Report
    9. NOR + Time Log Sheet
    10. Tank Dry/Cleanliness Certificate
    11. Master’s Receipt of Samples
    12. Product Release Note
    13. Export License
    14. Company Registration
    15. ATSC (authorizing Buyer to sell/collect)
    16. Commitment to Supply
    17. Signed CI (T+5 WD | Seller)
  6. Buyer verifies POP. Upon satisfaction, requests DTA / ATB / ATV. Seller provides live video link of vessel tanks. (T+6 WD | Both)
  7. Buyer conducts Dip-Test in vessel tanks at Buyer’s sole cost. Seller coordinates with terminal. Upon positive dip-test, Seller lodges with Buyer’s bank:
    • Final CI
    • Fresh SGS
    • COO
    • Affidavit of Title Transfer (post-payment) (T+8 WD | Buyer cost / Seller docs)
  8. Payment & Title Transfer:
    • Fujairah / Jurong / Rotterdam / Houston: MT103 within 72 hours of dip-test report.
    • All other ports: DLC opened in Step 2; payment released upon dip-test. Title transfers simultaneously via endorsed B/L and ATSC. (T+11 WD | Buyer)
  9. Parallel Injection: Buyer submits injection schedule to terminal. Cargo pumped VTT into Buyer-nominated tanks under joint supervision (SGS present). (T+11–T+13 WD | Buyer)
  10. Seller emails final scanned originals (B/L, COO, SGS) to Buyer within 48 hours of injection completion. (T+15 WD | Seller)

Critical Safeguards (No Loopholes)

  1. Fresh SGS in Exit-Buyer name – mandatory in POP; no exceptions.
  2. ATSC must explicitly name Buyer as lawful receiver with resale rights.
  3. DLC mandatory for ports outside Fujairah, Jurong, Rotterdam, Houston – operative before NOR.
  4. Dip-Test compulsory – no payment without sealed samples by Buyer’s inspector.
  5. Title transfer affidavit lodged with bank before payment release.
  6. TSA pre-verified by Seller’s shipping agent; fake TSA voids transaction.
  7. All documents electronic first; hard copies only post-payment.
  8. 72-hour payment clock starts only after dip-test report emailed.
  9. Injection supervised by same SGS inspector – prevents commingling.
  10. Non-performance penalties:
    • Buyer forfeits TSA deposit
    • Seller liable for proven demurrage by terminal

Buyer Credential Verification Policy

To ensure a secure and reliable transaction process, the financial capability of buyers intending to purchase fuels will be thoroughly verified.

  • Individual Buyers: Credentials of the buyer must be provided for financial assessment.

  • Joint Ventures (JV): If the buyer is importing fuels in partnership with another financially robust entity, both parties must submit their credentials for verification.

All provided information will be reviewed to confirm the buyer’s ability to fulfill the financial obligations of the purchase.

Indemnity Clause: In the oil procurement process, we strictly adhere to our established procedures, which are designed to be neutral, transparent, and structured to prevent scams and fraud in the oil trade. These processes ensure compliance, security, and fairness for all parties involved. Our procedures apply solely subject to the availability of the product.

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Disclaimer : We hereby declare that we do not accept or source any fuel or petroleum products from Russia, Iran, or any other sanctioned country.

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