Bitumen with LC payment now available

Hey Guys!
I'm more involved with our Group on Google (JOIN HERE) to keep our clients updated and informed about latest offers. This is latest limited offer from my company I published on the Group:

Iran Bitumen 60/70 and 85/100 (new steel drums)
maximum 1000 MT FOB Bandar Abbas 517 USD per MT
Payment 100% LC

Iran Bitumen 60/70 and 85/100 (new steel drums)
1000 MT FOB Bandar Abbas 504 USD per MT
Payment 100% Cash in Advance

RPO Iranol in new steel drums, from Iran
1000 MT CFR Shanghai 685 USD per MT
payment 50% cash in advance, balance against B/L

Slack Wax, Light / Abadan - Iran
1000 MT CFR Shanghai 750 USD per MT
second hand steel drums
payment 50% cash in advance, balance against B/L

please contact me: honarparvar at gmail dot com
or call me +98 912 118 3188 - +98 912 149 6126

Emad Honarparvar

for specs: www.buy-bitumen.com

understanding payment logic dealing Iran oil products (L/C vs TT)

In D2 (Gas Oil) deals, many feel lot and confused in payment terms.

Don't be guys! this is oil business, you have to be smart and finding your way through difficulties, possibilities and opportunities. understanding the TTO procedure is easy if you try to understand the logic behind. 

Payment methods are a bottle neck for many deals

Why some traders are not accepting LC payments?

there are different possibly right answers for that: 

1. embargoes and sanctions on Iran banking system
2. funding problems for commodities which need the trader to pay in advance to refineries and petrochem complex (suppliers) 
3. extra cost LC puts on supplier and makes the price uncompetitive 

I will write more about TT payments which we use on Bitumen trade. in this post, just going through the TTO procedure (I do not use this payment method in my own company!):

PROCEDURE TTO (only used for D2, LPG and other fuels)

1. Buyer and seller sign and seal contract including banking coordinates and exchange the signed copy by electronic mail. The electronic signed copy by both parties is considered legally binding and enforceable, the executed spa is lodged in their respective banks.

2. Buyer returns the signed spa to the seller, with his ATB and supercargo details to enable seller issue marine ATB

3. Seller shall nominate, load a vessel and forward to buyer verifiable cargo documents including: bill of lading, certificate of quality, certificate of origin, cargo manifest, tanker report, master receipt of cargo.

4. Upon confirmation of documents, buyers bank issues MT760 (blocked fund) of 100% value of total cost of cargo to sellers bank in favor of seller

5. Seller upon confirmation of the confirm-able MT760 (blocked fund), reassigns loaded cargo documents to buyer. the seller get naval/nnpc outward  clearance and board buyer’s inspector and supercargo for the purpose of conducting Q&Q and physical confirmation by issuing matb through vessel captain.

6. the buyer receive the Q&Q report and all relevant cargo documents sent through sellers bank to buyers bank and buyers bank effect full payments within 72hrs by swift KTT transfer to seller nominated bank account and all mandates and facilitator’s accounts as per the spa.

7. The seller confirms payments and clear vessel to sail voyage to buyer’s destination port.

Deal closed with possible roll-over

new prices and new availability

Prices of bitumen are down to earth these days and I don't think it would come lower. we have a new ability to sell bulk bitumen since our company has signed a contract with a bulk career transportation company. the new prices are:

Bulk Bitumen FOB Bandar Abbas: 363 USD per MTon
Bitumen in poly bags FOB Bandar Abbas: 374 USD per MTon
New steel drums FOB Bandar Abbas: 406 USD per MTon

new payment term: LC at sight from Iranian banks (Bank of Saderat has branches in UAE, India, London and many other countries)

Iranian Bitumen may be more expensive that Saudi or Russian Bitumen, but it's believed the quality has the worth to pay more. this is the reason UAE government buys most of its bitumen needs from Iran, Jey refinery.