CIF PROCEDURE
Cost, Insurance, and Freight Protocol
Official procedure for the supply of refined petroleum products through Petrolodex, structured in a clear and formal sequence for contractual and operational reference.
CIF Transaction Process
Six Steps to Secure, Verified Delivery
Every CIF transaction on Petrolodex follows this formal sequence. Each step is legally binding, fully documented, and coordinated by Petrolodex to ensure complete accountability from offer to final payment.
1
SCO/FCO Issuance
The Seller issues a Soft Corporate Offer (SCO) or Full Corporate Offer (FCO) to the Buyer through the Petrolodex platform, including detailed CIF terms, procedures, product specifications, and pricing. The Buyer reviews, signs, and returns the document through verified legal counsel.
Required Elements
- Complete product specifications: fuel type, grade, quantity, and quality standards
- CIF pricing structure, payment terms, and price lock parameters
- Delivery timeline, discharge port, and estimated time of arrival
- Insurance coverage details and freight coordination terms
2
ICPO & Documentation Submission
The Buyer issues an official Irrevocable Corporate Purchase Order (ICPO) along with complete verification documents. All documentation is submitted through Petrolodex's secure verification system and reviewed by our compliance team before proceeding to contract execution.
Required Documents
- Company Registration License — no shell companies accepted
- Valid passport copies and authorized signatory documentation
- Attorney attestation letter confirming transaction authority
- Proof of Funds capability via Bank Comfort Letter (BCL)
3
Sales and Purchase Agreement (SPA)
The Seller issues the Sales and Purchase Agreement (SPA), open for amendments and negotiation. The Buyer reviews the terms with legal counsel, signs, and returns the executed SPA to the Seller via Petrolodex's document management system. This binding contract establishes all obligations for both parties.
The SPA Establishes
- Binding contract terms, conditions, and delivery obligations
- Product quality specifications and acceptable tolerances
- Payment schedule, escrow requirements, and release conditions
- Dispute resolution mechanism and force majeure provisions
4
POP & Payment Instrument Exchange
The Seller provides Proof of Product (POP) documents confirming product availability and readiness. Simultaneously, the Buyer submits the agreed financial instrument. Both documents are verified through Petrolodex's escrow and authentication protocol before shipment is authorized.
Exchange Documents
- Tank storage receipts or refinery commitment letters
- Product quality certificates from licensed inspection agency
- Irrevocable Letter of Credit or Standby LC from rated bank
- Bank-to-bank authentication and SWIFT verification
5
Cargo Loading & Independent Inspection
The product is loaded at the origin port under the supervision of an independent inspection agency mutually agreed upon by both parties. All loading figures, quality results, and cargo documents are transmitted to Petrolodex and made available in the transaction dashboard in real time.
Inspection & Shipping Documents
- Bill of Lading issued by the certified shipping company
- Certificate of Quality and Certificate of Quantity at load port
- SGS or equivalent independent inspection report
- Cargo insurance certificate covering CIF delivery terms
6
Discharge, Verification & Payment Release
Upon arrival at the discharge port, the product is inspected by an independent surveyor at the destination. Once the Buyer confirms receipt and quality compliance, the financial instrument is released and final payment is transferred to the Seller through Petrolodex's secure settlement system.
Completion Requirements
- Discharge port inspection and outturn report from agreed surveyor
- Buyer's confirmation of quantity and quality acceptance
- Release authorization submitted through Petrolodex platform
- Final payment disbursement and transaction closure certificate
COMPLETE SHIPMENT DOCUMENTATION
Required Documents for CIF Transactions
Every Petrolodex CIF transaction requires a complete documentation package. Incomplete submissions delay the transaction process and may result in platform access restrictions.
Corporate & Legal
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Certificate of Incorporation
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Authorization to Sell (ATS)
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Act of Transfer
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Company Tax Payer's Certificate
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Attorney Attestation Letter
Product Documentation
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Fresh SGS or Intertek Report
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Tank Storage Receipt (TSR)
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Quality Specification Sheet
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Product Allocation Certificate
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Cargo Declaration
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Refinery Allocation Certificate
Shipping & Logistics
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Bill of Lading
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Vessel Q&Q Certificate
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Charter Party Agreement (CPA)
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Notice of Readiness (NOR)
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Estimated Time of Arrival (ETA)
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Ullage Report
Compliance & Customs
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Certificate of Non-Wooden Packaging
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Customs Declaration Certificate
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Insurance Certificate
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Certificate of Origin
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Bank Comfort Letter (BCL)
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SBLC MT760 Confirmation