BUYING FROM SNT
SNT has existing supply contracts with reputable Nigerian Companies who are Fiduciary Agent Companies and Allocation Holders of Crude Oil from NNPC and other National Oil Companies around the World.
Excess Crude and how it works.
Excess Crude Oil Proof of Products are only verifiable after the vessel is loaded.
Potential Buyers cannot purchase Excess Crude Oil through official channels.
Nigeria is an OPEC country. OPEC set quota for which their members are allowed to produce and sell. OPEC believes this is what is keeping oil prices high. So as an OPEC producer Nigeria and their supplier report the official numbers of production and sale to conform to the rules set by OPEC.
Nigeria produced about 2.53 million barrels per day, well below its oil production capacity of over 3 million barrels per day, in 2011. Actual production today is over 4 million barrels per day. The balance of Nigerian production is sold through the Private Offering market.
This is a very quiet marketplace where real sellers are selling crude oil to resellers and refineries around the world. NNPC gives Authority To Sell (ATS) Nigeria’s excess production. That pool of oil is known as the Bulk Equity account.
Qualifying the Buyer.
Procedure for Proof of Funds and Product
Purchase Order signed, sealed and confirmed by a top 25 world bank.
SNT provides the Buyer with a Bank Reference Letter which explains that they operate in the Oil and Gas Industry and have the capacity to open 2% Bank Performance Guarantee.
SNT receives a Non operative Revolving Documentary Letter of Credit.
SNT issues a Bank Performance Guarantee to activate the RDLC.