Date:

To: NAZCO distributors, LLC

We, _____________________________.,
hereby confirm with full legal and corporate responsibility and under penalty of perjury that we are
ready, wiling and able to enter into a contract for the purchase of the following commodity as specified
below and that funding is available including any import/export permits needed to fulfill this purchase;
Scope of Transaction:
(Company Name) requests that Buyers contract provide for the delivery of _____Metric Tons
(MT) per month of (product description) beginning in (month) 2006 for a contract period of
(number) (#) months. The company intends to negotiate this contract with all dispatch upon
receipt of quotation.
XYZCO, through its USA Agent, NAZCO, hereby states and represents that it is our corporate intention
to enter into a contract with buyers for the products and services as specified below, subject to our sole
acceptance of the terms and conditions of buyers final contract. This representation is made with our full
corporate authority and responsibility.
SCOPE OF TRANSACTION: BDCS requests that Buyers contract to provide for the delivery of 35,000
METRIC TONNE of CRUDE, DEGUMMED SOYOIL (CDSO) (+/- 5%) as detailed below. First target shipment is
SEPTEMBER 2007. The company intends to negotiate this contract with all dispatch upon receipt of
quotation and COMMERCIAL SAMPLE.
Commodity and INTENDED USE: CDSO – INDUSTRIAL USE
Product Origin: ANY
Product Destination: Terms CIF Barcelona Port / Spain
Specifications: SEE SCHEDULE A
Quantity per Month: +/- 12500 MT each one
Contract Period: 12 MONTHS Min. – 36 MONTHS Max.
Total Contract Quantity: 150, 000 MT +/- 5% per year
Delivery Method: REQUEST CIF IF SUPPLIER CAN OBLIGE
Destination Port: +/- 2500 MT each one.
Cargo Size / Package preference: PREFER BULK SUCH AS SHIP TO TANK - SUPPLIER TO ADVISE BULK OPTIONS
AVAILABLE
Frequency of shipment: 4 – 6 WEEKS or MOST ECONOMICAL BULK SHIPMENT SCHEDULE
Delivery schedule: TO BE NEGOTIATED DEPENDENT ON BULK SHIPMENT OPTIONS
CRUDE DEGUMMED SOYBEAN OIL

Characteristic UNITS
METHOD
FREE FATTY ACID A1V1 0,25%MAX

Moisture and Volatile 0,20%MAX special

matters
Impurities 0,10%MAX

Lecithin(Expressed in 0,02%MAX
Phosphor)
Sediment(Gardner Break 0,10%MAX
test)

Unspecifiable matter 1,50 MAX

Color 50 yellow MAX/5red MAX

Oil Flash Point 250ºF MIN

Ca + Mg content 5ppm MAX

Linolenic Acid 12%MAX

Polyunsaturated Or = 4 double bonds

Methyl ethers 1% MAX

Unsaponificable 2% MAX

SulfurContent 10ppm MAX

SCHEDULE B – PROCEDURES
1. The Seller sends a FULL CORPORATE & FINAL to Buyer via NAZCO
2. Buyer´s approves and sends signed and stamped the Offer.
3. The Seller sends to Buyers a DRAFT OF CONTRACT
4. After Buyer´s approval the seller will send a final Contract
5. Seller returns signed and stamped the Contract to buyer.
6. Buyer and Seller deposit a copy of the executed Contract to their respective Banks.
7. Within 48 hours Seller's Bank sends Proof of Products (POP) via Swift Bank to Bank methods to the Buyer’s Bank, by an
independent company (outside Seller or Buyer)
8. Within 3 (three) banking days, Buyer Bank sends a Non-operative, FFSBLC or BG for the next shipment value to the seller’s
Bank
9. Within 3 (three) banking days, Seller’s Bank sends an operative Performance Bond of 5% (five percent) calculated upon total L/C
value, bond´s refund after first banks request.-
10. SGS Inspection of product, documents presented, L/C opens, Funds transfer after 45 day B/L
11. First shipment of 12500MT begins as per Contract & L/C conditions
12. The L/C will expiry 15 calendar days after the shipping date stated on the L/C.

SIGNED/ ____________
ABCO
FULL CONTACT INFO?
123 AVE A
XYZ CITY, COUNTRY
Current BCL on bank Letterhead with signature and seal)
Bank Comfort Letter
(BANK MUST BE ONE OF THE TOP 50 PRIME BANKS)
Dated:

To

SELLER
ADDRESS
PHONE
FAX

Dear Sirs,

This is to confirm that our mutual clients, namely, _____ maintain a banking account with us.
At their instructions we, ___(full name of the Bank) with full authority and mandate hereby confirm that
the said clients are willing and financially able to initiate the process of purchasing of __ metric tons of
___(Product Name) during the next ___ (/months/years). We understand the total value of imports
under the Sight Irrevocable Documentary Letter of Credit (DLC) on a delivered (CIF) basis is
estimated to be ____ USD.

We certify that our clients named above have sufficient funds and/or have credit line with our bank to
complete the proposed transaction within the time period shown above.

Our clients hereby give authority to the Sellers to procure the usual banker's references and
information.

Yours truly

………………………………………………………………
Signed

Full name of the signatory …………………………………………………………………

Designation of the signatory ………………………………………………………………

Clients' Name as written in account …………………………………………………

Account No …………………………

Bank Telephone No (if not printed above) …………………………………………

Bank's fax No ………………………………………………………………………………………

Bank Swift/Sort-Code …………………………………………………………………

Normal Procedures:
1. Buyer must request shipping date 60 days in advance
2. Buyer submits Letter of Intent (LOI), with financial status and Bank Comfort Letter (BCL)
3. Seller issues signed Full Corporate Order (FCO).
4. Buyer counter signs and returns signed FCO.
5. Seller issues ICC Contract / Proforma Invoice or equivalent with full company and banking
information
6. A two percent (2%) Performance Bond may be required
7. Buyer and Seller sign and exchange contracts.
8. Seller send Statement of Availability / Proof of Product, Buyer provides Proof of Funds through
Banks
9. Buyer’s Bank opens Non Operative Letter of Credit 10 banking days before first shipment
date, pending Seller’s providing Performance bond
10. Inspection and verification of product at loading port by Buyer or Agent, documents presented
to Buyer
11. DLC = Documentary Letter Of Credit: Confirmed: Irrevocable, Transferable, Divisible :
payable 100% each shipment against documents = opens for transference of funds
12. Shipment commences as per contract.

Buyers Information: (please complete)

1. Name of the Company
2. Company Main and Complete Address :
3. Contact Information and Telephone Numbers
Telephone Land line :
Fax:
Mobile:
Email:
Website (URL):
4. Registered Office and Factory (if different than 2. above) :
5. Owner / Head of the Company:
6. Contact Person (if different than 5.)
7. Person to sign contracts (if different than 5.)

Buyer’s Bank Information: (please complete)

1. Issuing company:
2. Bank name:
3. Bank address:
4. Bank phone:
5. Bank telex:
6. Account number:
7. SWIFT number:
8. Account name:
9. Bank officer:

Documents:
2. On Board Bill of Lading
3. Certificate of weight, and quantity issued by SGS or equivalent inspector prior to loading
4. Analysis certificate obtained from the testing of commodity by lab SGS or equivalent.
5. Certificate of Origin.
6. Commercial Invoices.
7. Packing List.
Is your country on No Trade list?
Has your company imported before?
Is they any other info. You would like us to know?
ON YOUR COMPANY LETTER HEAD
LOI - SAMPLE

Ref Number: 20-123456

Date: 12/03/2007
To: NAZCO distributors, LLC, Tel: +1 201 773 8643
Commodity: Rapeseed Oil, non-refined, in bulk
Dear Sir/Madam,
We, XYZ Company, hereby are ready willing and able under the act of perjury to purchase
the following commodity as specified below and that funding is available. We hereby confirm
our enquiry to purchase 100 000 MT as below LOI and Specification:
Commodity Specs: crude rapeseed/ canola oil (CRSO), quality test and 5 liter sample
attached
Packing: In Bulk
Quantity: Approximately 100 000 Mt, shipment during 2007
Quantity per
shipment: 12500-25000 MT starting from March/ April 2007
No. of shipments: 8 or as otherwise agreed
Frequency: Minimum 2(two) times every 3(three) month
Origin: Worldwide
Time of first Delivery: March/ April 2007
Contract Length: 2007/2008
Delivery Terms: CIF NWE Port
Target Price: … USD/ Mt
Payment Terms: L/C irrevocable, confirm, divisible, transferable auto revolving cover for
monthly value of 20 000 Mt
Performance Bond: 2%
KMKR
Inspection: Quality, quantity, weight & photo by SGS or equivalent at seller’s cost at port of
loading, detais per enclosed specifications
With Best Regards,
_______________
Signature: ABC/XYZ

ADDRESS:

CONTACT INFO

Name of Bank:
Address of bank:
Account Number:
Swift Address:

DISCLAIMER:

We understand that any or all offers and/ or contracts are subject to successful Seller
verification of Buyer’s funds availability and agree to give our permission for the Seller to
conduct a soft probe of our account and provide a Bank Capability Letter if and when
requested by them or their appointed representatives.

***Current Letter of Intent is, in and of itself, not a contract and generally cannot be enforced
as a legal document, rather it is a document which constitutes an understanding between the
parties and states the serious intent of the parties to carry out certain business activities.

Inspection: Quality, quantity, weight & photo by SGS or equivalent at seller’s cost at port of
loading, detais per enclosed specifications
 With Best Regards,
_______________
Signature: ABC/XYZ

ADDRESS:

CONTACT INFO

FCO - SELLER’S OFFER TO SUPPLY

RE: CORPORATE OFFER TO SUPPLY: CRUDE SOYA BEAN OIL (CSO)

We’re licensed supply and export CSO and its Products. With reference to your INTENT, WE
hereby confirm with corporate responsibility that we are ready, willing and able to supply the
following Commodity(s), subject to the terms and conditions herein set forth.

PRODUCT CRUDE SOYA BEAN OIL (CSO)

COUNTRY OF ORIGIN:

BUYER’S SPECS: REFERENCE ARTICLE NO. 1

• MINIMUM QUANTITY: MT/ Per Shipment

• PRICE BASIS – CIF
• PRICE (Indicative) USD / MT CIF
• PACKING In BULK?
• PORT OF LOADING Tianjin Port, China

PAYMENT TERM CASH BEFORE DELIVERY - Secured by 100% Irrevocable,

Confirmed, Unrestricted, and Transferable Letter of Credit (LC) At sight issued by First
Class Bank in favor of Seller. (---------------). TT Payment direct into Seller’s account
acceptable. Buyer shall provide Draft LC text for Seller’s Bank approval before it is issued.

INSPECTION QUALITY By Independent International Surveyors

(SGS)

PRICE VALIDITY Price shall remain valid for a period from this FCO Issuance Date until
the next TWO ( ? ) Days and/or Seller has received Buyer’s irrevocable Confirmed
Purchase Order (ICPO) which ever comes first.

DELIVERY; 35/45 Days upon Buyer’s LC accepted by Seller’s Bank

CONTRACT/ PERIOD: 12 Months & To be finalized in Sale & Purchase Contract

Agreement.

For Long Term Contract Price shall be negotiated between BUYER and SELLER.

Final Price to be decided/ Firmed upon BUYER issued Letter of Intent to SELLER.

AUTHORIZED SIGNATORY FOR SELLER AUTHORIZED SIGNATORY FOR BUYER

----------------------------------------------------------------------------------------------
BUYER’S LETTER OF ACCEPTANCE / CONFIRMATION

Ref: Date:

CORPORATE OFFER TO SUPPLY CRUDE SOYA BEAN OIL (CSO) FOR EXPORT CHINA

WE, the undersigned, with full corporate responsibility under penalties of perjury, hereby do
accept and agree with the terms and conditions as per the Corporate Offer Ref:
CRUDE SOYA BEAN OIL (CSO) FOR EXPORT CHINA

dated by and are ready, willing and able to purchase the above-mentioned
Products.

Thank you.

Yours Sincerely,

……………………….

Signed By Authorized Signature

Name of Signatory

Designation

Passport No:

Company Chop

In the presence of :

Name : ……………………………….

Passport No. : ……………………………….

AUTHORIZED SIGNATORY FOR SELLER AUTHORIZED SIGNATORY FOR BUYER

 (CORPORATE LETTERHEAD)

We the undersigned, (full company name), hereby state and represent that it is our corporate
intention to enter into a contract with buyers for the products and services as specified below,
subject to our sole acceptance of the terms and conditions of buyers final contract. This
representation is made with our full corporate authority and responsibility.

Scope of Transaction:

(Company Name) requests that Buyers contract provide for the delivery of _____Metric Tons (MT) per month
of (product description) beginning in (month) 2006 for a contract period of (number) (#) months. The company
intends to negotiate this contract with all dispatch upon receipt of quotation.

Commodity and INTENDED USE:

Product Origin if known / Destination:
Specifications (see Exhibit A below):
Quantity/Month X Number of months:
Contract Period: (begin date and frequency of shipment)
Total Contract Quantity:
Cargo Size and Delivery Mode each shipment:
Delivery Method: (Specify Preference by INCOTERM) : FOB/C&F/CIF/EXW etc.)
Destination Port:
Ship's Discharge Rate / Work Day desired: (for BULK liquids ONLY, ship to tank)
Receiving Tank and/or Refinery Locations:
Procedures (See Exhibit B below):

BUYER Information
Company Legal Name:
Full Address:
Company Signatory Name/Title:
Tel:
Fax:
Email Address:
Affiliate Companies: their information

BUYER Bank Information:

Name:
Bank Address:
Swift / Routing Code:
ABA No. / Account number
Account Name:
Bank Officer Name:
Bank Tel:
Bank Fax:

(NOTE: Buyer must allow Seller to do a "soft probe" and verify banking coordinates)
(Company Name) is standing by to respond to your request for any additional information you may
require prior to you issuing a contract. We look forward to working with you to successfully
complete this transaction at the earliest opportunity.

Signature: ____________________________ Witness: _____________________

Name: (print) Name: (print)

Title: (print) Title: (print)

Date: (print) Date: (print)

(Corporate Seal)

(CORPORATE LETTERHEAD)...new page

EXHIBIT A – PRODUCT SPECIFICATIONS

(CORPORATE LETTERHEAD)...new page

EXHIBIT B – PROCEDURES

NAZC0 - RECOMMENDED PROCEDURES: Buy

1. NAZCO (on behalf of Buyer) sends SOFT OFFER or LOI to Seller and
Solicits a SOFT FCO or Offer to Sell. Agents protect identity of clients.
2. Buyer responds with HARD ICPO or LOI + BCL with full Company and Banking disclosures.
3. Seller issues DRAFT Contract to Buyer, and Banks exchange Proof of Product for Proof of
Funds.
4. Parties exchange hard copies of signed Final Contract.
5. Buyer issues Non-operative L/C, awaiting Seller’s issuance of Performance Bond.
6. Inspection of product, documents presented, L/C opens, Funds transfer
7. Shipment begins as per Final Contract
 (CORPORATE LETTERHEAD)

SPECIFICATION
Date: ………………………….
REQUIREMENTS:

1. Description of Commodity and intended use......................................................

2. Quantity in Metric/ Kg Tons/ Pounds ..............................................................
3. Packing: BULK primarily, other packing optional....................................................
4. Origin / Destination /Storage /Nearest Ports: ......................................................
5. Delivery schedule and target date for first delivery: .................................................
6. Usage rate: Per month .............................................................................................
7. Detail specifications: ........................................................................................
Ñame QTY Packaging. Target Crude/ Personal Currency Remarks
(MT/MO) Bulk or Lt Price or Label?
FOB/CIF refined
Sunflower
oil

Soybean
oil

Corn
oil……

Rapeseed
oil

Palm oil….

Bio
diesel…

Is your country on No Trade list?

Has your company imported before?

Is they any other info. You would like us to know?