JET A-1 For sale: Direct SGS to Buyer FOB – HOUSTON / ROTTERDAM / JURONG / FUJAIRAH / ASWP
- Jose Pagan
- Jul 15, 2020
- 4 min read
Jet A-1 fuel remains a critical commodity for aviation and industrial sectors worldwide. With fluctuating prices and complex supply chains, buyers seek reliable sources offering transparent transactions and secure delivery. This post outlines a clear, step-by-step process for purchasing Jet A-1 fuel directly from sellers with SGS certification, focusing on FOB locations such as Houston, Rotterdam, Jurong, Fujairah, and any safe world ports (ASWP). Understanding this process can help buyers secure quality fuel at competitive prices with confidence.
JET A-1 For sale:Understanding the Offer and Pricing
The current price for Jet A-1 fuel is set between $130 and $126 per barrel (bbl). This pricing reflects market conditions and the quality assurance provided by SGS certification. The seller offers a trial lift of 1,000,000 barrels, with a minimum purchase of 1,000,000 barrels and a maximum of 5,000,000 barrels. This volume flexibility allows buyers to test the product before committing to larger contracts.
The commission is structured on the buy-side at $2 per barrel, which is competitive and transparent. Originating from Azerbaijan, the fuel is available for shipment from major global ports including Rotterdam, Fujairah, Houston, and Jurong, as well as any safe world ports (ASWP). This wide range of FOB locations offers buyers logistical convenience and options tailored to their supply chain needs.
Payment and Contract Terms
Payment is made via MT103 or Telegraphic Transfer (TT), ensuring secure and traceable transactions. The contract terms begin with a spot or trial lift, followed by a 12-month contract upon successful completion of the trial. This phased approach minimizes risk for buyers and builds trust between parties.
The mode of transaction is tank-to-tank transfer (TTT), also known as dip and pay FOB. This means the buyer inspects the product in the seller’s tank, performs a dip test, and pays before the fuel is injected into the buyer’s nominated tanks. This method guarantees product quality and quantity before transfer.
Step-by-Step Purchase Procedure
The transaction follows a clear and structured process to ensure transparency and security for both buyer and seller:
Buyer Issues ICPO
The buyer submits an Irrevocable Corporate Purchase Order (ICPO) including the seller’s working procedure, banking details, buyer’s nominated Tank Storage Agreement (TSA), and company registration certificate. This formalizes the buyer’s intent and provides necessary documentation.
Seller Issues Commercial Invoice
The seller sends a commercial invoice for the product stored in tanks at the port. The buyer signs and returns this invoice along with an acceptance letter, confirming agreement to the terms.
Appointment and SGS Report Presentation
The seller appoints a representative to present a fresh SGS report, dated less than 24 hours, to the buyer and logistics team. This report verifies product quality and quantity at the port. The buyer issues a Tank Storage Receipt (TSR) in the seller’s name to enable immediate injection upon successful SGS verification. The seller also inspects the buyer’s tank for injection readiness.
Verification and Documentation
After the buyer and tank farm company confirm the SGS report, the seller issues several key documents:
Injection Permission Agreement signed by buyer and tank farm
Authorization to sell and collect
Commitment to supply
Statement of product availability
Fresh SGS report under the buyer’s company name (less than 24 hours old)
Quality and Quantity (Q&Q) Report and Injection Report
Authorization to physically verify the product in the seller’s tank (ATV)
Tank Storage Receipt (TSR)
Final SGS and Verification Documents
Upon receiving the signed Injection Permission Agreement, the seller provides:
Dip Test and Payment
The buyer conducts a dip test on the product in the seller’s tank to confirm quantity and quality. Once satisfied, the buyer makes full payment via MT103-TT for the total product value. This payment triggers the injection process into the buyer’s nominated tanks.
Commission and Finalization
The seller pays all intermediaries involved and completes the transaction, ensuring all parties receive their commissions promptly.
Benefits of This Purchase Model
This direct SGS-to-buyer FOB transaction offers several advantages:
Transparency: SGS certification and fresh reports ensure product quality and quantity are verified independently.
Security: Payment is made only after dip test confirmation, reducing risk of fraud or substandard product.
Flexibility: Trial lift allows buyers to test the product before committing to long-term contracts.
Global Reach: Multiple FOB locations provide logistical options to suit buyer needs.
Clear Documentation: Stepwise issuance of agreements and reports builds trust and legal clarity.
Buyers can confidently plan their fuel procurement knowing the process is structured and backed by internationally recognized standards.
Practical Tips for Buyers
Verify Seller Credentials: Always confirm the seller’s legitimacy and request company registration certificates.
Review SGS Reports Carefully: Check the freshness and details of SGS reports to avoid discrepancies.
Prepare Your Tank Storage: Ensure your nominated tanks meet the required standards for injection and storage.
Understand Payment Terms: Use MT103/TT for secure and traceable payments.
Plan Logistics Early: Coordinate with your logistics team to handle tank inspections and product injection smoothly.
Following these tips will help buyers avoid common pitfalls and secure a smooth transaction.
This detailed guide to purchasing Jet A-1 fuel directly from sellers with SGS certification at FOB locations such as Houston, Rotterdam, Jurong, Fujairah, and ASWP equips buyers with the knowledge to navigate the process confidently. With transparent pricing, clear procedures, and secure payment terms, buyers can access high-quality fuel efficiently and reliably. Interested buyers should prepare their documentation and engage with sellers following the outlined steps to ensure a successful transaction. JET A-1 For sale
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