You should know that there is a part in the world that is known to be one of the top oil suppliers with a lot of reserves on their light crude oil. That place is a top crude oil exporter in the whole world. That place is known to generate millions of oil barrels in a 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 sets of traders are parts of NNPC. The NNPC will get their petroleum buyers from these set of traders, but you should know that it is not the only way.
You need to follow some procedures if you will be buying petroleum from an oil supplier. These procedures will benefit the buyer. These procedures will be made by almost all of the buyers in just the comfort of their homes. You must take note that the seller is responsible to provide the procedure, and not the buyer. 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.
The vessels will still not be loaded even if the buyer will sign an SPA. SPA will not be enough proof that the buyer will be able to pay for the petroleum. The NNPC will not be loading the vessel since anyone can sign an 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. If you pay attention on most of the written procedures by some buyers, you will find out that they will need the verification of the documents of loaded vessel 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. There are a lot of buyers that would complain that they have signed so many SPAs but the seller is not performing. There are two reasons behind this, the seller is not registered under the NNPC or the buyer did not show any proof of funds or POF.