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. It is also considered as the top crude oil exporter in the world. Every single day, that place would generate about millions of barrels of oil. 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.
There are so many steps that you need to follow if you want to buy petroleum from a certain oil supplier. These procedures are made to provide benefits to 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 lot of oil suppliers will have a room to negotiate the procedure, and this is where the buyer can take advantage of a more fair bargain. One thing that you should also know is that the vessels of the NNPC will not be loaded and be waiting for the buyers. The vessels will only be loaded as long as the buyer and the oil supplier will have a deal.
Even though an SPA is signed by the buyer, the vessels will still not be loaded. The buyer cannot use the SPA as a proof that he or she will be able to pay for the petroleum. The vessel will not be loaded in your name since any person can sign the SPA. A POF or a Proof of funds is what the buyer would need in order for the vessel to be loaded under his or her name with the quantity of oil that he or she preferred. 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. Most of these buyers are wrong in this part.
That is why you will need to follow the procedure of the end seller if you will be buying petroleum from some of the top oil suppliers in the world. If you will be following the procedure of the end seller, you will not have to worry about a single thing. There are so many buyers that will complain about signing so many SPAs without the performance of the seller. The first reason behind this is that the seller is not registered under NNPC, and the other is that there was no POF or proof of funds provided by the buyer.