STANDARD BUYING PROCEDURES

Standard closing procedures are as follows:

  1. Buyer issues LOI with Full Banking information and soft probe authorization.

  2. Seller issues a Pre-offer - Soft Corporate Offer (SCO) + P.P (Latest CoA/B/L's) for Buyer's review.

  3. Seller amends/confirms price and conditions of sale and responds with Full Corporate Offer (FCO) and Draft of Contract.

  4. Contract discussion and signing. All copies sent via email or fax is deemed as legally binding. The hardcopies are exchanged via courier.

  5. Buyers signs FCO, issues ICPO with BCL (if required), or a Purchase Readiness Letter (PRL) with soft probe authorization.

  6. Seller conducts soft probe to confirm Buyers Proof of fund (POF).

  7. The Buyer sends RWA or Proof of Funds (POF) via Bank to Bank (SWIFT MT799), and the Seller responds with Proof of Product (POP) in the same fashion.

  8. Seller issues Draft Contract with all the terms and conditions for Buyer’s review.

  9. Buyer and Seller sign contract and lodge/endorse with respective banks.

  10. Buyer’s bank then issues a Pre-Advice L/C to Seller’s bank for review and acceptance.

  11. Buyer will open agreed payment instrument, as indicated above, as pre-advice (non-operative). Buyer’s bank issues SWIFT Non-Operative RDL/C to Seller’s bank within 5 banking days after contract is signed.

  12. The Seller issues the Performance Bond (PB) of 2% of monthly shipment amount, which activates payment instrument and issues a Proof of Product (POP) to buyer’s bank. This is not always instituted by Seller.

  13. Shipments commence as per contract.

  14. Where intermediaries are involved, the NCND (Non-Circumvention and Non- Disclosure) and IMFPA (Irrevocable Master Fee Protection Agreement) will be required and signed by all parties involved.

IMPORTANT NOTE: The letterhead of the Company requesting the commodity must correspond to the Bank Account Holder on the banking information provided.

 

SELLERS & TRADERS

If you wish to have Hexabomb Studios represent you: 

  1. We need to know if you are a verifiable producer or trader. We will need your PP docs to verify you prior to any introductions as a supplier to our clients.

  2. We will conduct Due Diligence prior to any introductions.

  3. We'll require NCND/Letter of Mandate ship/Authorization to initiate further dealing.

 We will need to know the following:

  1. Seller's Status: Trader/Miner/Exporter, etc.

  2. Miners/Sellers company profile.

  3. If Seller is not the Miner/Exporter than we will need to understand the relationship with the miner (Letter of Mandate ship/Authorization)

  4. End Buyer will issue LOI to the exact entity of SCO to whom the L/C will be drafted in favour of.

  5. Before LOI can be issued by End Buyer we will require SCO from End Seller (under Seller's letter head) with Proof of Performance (PP) & Proof of Product (POP):

    1. Proof of Product (POP): Latest ‎Analysis (CoA) from accredited agency; SGS (on SGS letterhead) or Similar;

    2. Past/Latest B/L's under Seller's name;

    3. CCIC Export Certificate of Quality (CoQ), CoW - Quantity and Weight at Loading port;

    4. CIQ at the discharging port.

  6. Validity of minimum 7 days.

  7. For FOB offers, we’ll require proof of positive delivery track record.

  8. Confirmation for logistical details: Port access permits/allocations/storage.

  9. After LOI along with FCO we will need documented proof on Miner permits/Export permits/Port Allocations etc. along with a track record of exports before ICPO is issued & Permission for access to Mine/Factory/Refinery visits.