Metal Ores & Concentrates Newsgroup

Location: CHILE, CHILE GUAYACAN, PORT

High Grade Iron Ore.
Origin: Chile Specs: 63.5% Fe (62% reject) Quantity: 150,000 MT/mo Contract Duration: 12 months, with renewals up to 60 months Price: based on Platts price, calculated as the 63.5% Fe CFR rate minus (-US$7.00 discount off Platts), minus the FOB Netback Route Fee on either TSI or IODEX for FOB INCOTERMS: FOB Totoralillo or Guayacan, Port, Chile Inspection: SGS or Equivalent arranged and paid for by Seller Payment Terms: Documentary Letter of Credit (DLC) issued by top 50 prime bank for 98% of product value payable upon BL (Bill of Lading) at loading port. 2% remainder at discharge port after inspection by SGS (or equivalent). Performance Bond: Seller shall post a 2% bond against Buyers acceptable payment instrument Procedures: 1)Buyer send LOI on Buyer letterhead. 2)Seller sends Full Corporate Offer (FCO) to Buyer for review and acceptance. 3)Buyer accepts FCO by counter-signing, and remits along with ICPO, including commitment to issue appropriate letter of credit for purchase of product. 4)Seller submits draft of Sales and Purchase Agreement (SPA) to Buyer for review and signature. Electronic signature and contract exchange shall be deemed as valid and original. 5)Within three (3) to five (5) banking days after SPA is signed, Buyer will cause its bank to Issue Payment Instrument (DLC) for first shipment. 6)Seller accepts Buyers Payment Instrument and causes Seller bank to issue a 2% performance bond for the value of Buyers DLC. 7)Shipment commences under terms and conditions of the SPA.