Revolutionizing Fuel Supply: How NBG Connects Buyers with Refineries to Overcome Vopak Challenges

Fuel buyers and brokers have long faced a significant challenge: limited access to Vopak storage terminals due to tight allocations. This scarcity has allowed Vopak sellers to set high prices, leaving buyers with few alternatives. Now, a new solution is changing the game. NBG offers direct access to trusted refineries that can fill empty Vopak tanks quickly and without upfront costs. This post explains how NBG’s process works, why it matters, and how it benefits buyers and brokers alike.

Refinery storage tank connected to pipelines, showing fuel supply infrastructure

The Problem with Vopak Storage Access

Vopak terminals are critical hubs for storing and distributing fuel products like JET A1, EN590 10 PPM diesel, and D6 fuel. However, due to high demand and limited allocation, many buyers find it nearly impossible to secure space in these terminals. This shortage creates a seller’s market where Vopak sellers can charge premium prices, often inflating costs beyond reasonable levels.

For example, current pricing shows JET A1 at $80 per barrel, EN590 10 PPM diesel at $570 per metric ton, and D6 fuel at $0.01 per gallon. While these prices might seem competitive, the commissions paid on these deals can add up, especially when buyers have no alternative storage options.

How NBG Provides a Direct Refinery Solution

NBG has introduced a direct refinery-to-Vopak process that bypasses the traditional bottleneck of terminal allocation. This means buyers no longer have to rely solely on Vopak sellers who control terminal space. Instead, NBG connects buyers directly with a trusted refinery capable of filling their empty Vopak tanks.

This approach offers several advantages:

• No upfront costs: Buyers do not need to pay anything before the deal is confirmed.

• No mandatory sharing of Vopak information: Sensitive terminal details remain confidential between buyer and seller.

• Fast turnaround: The entire process from buyer introduction to deal closure takes about two hours.

• Broker involvement: Brokers remain fully engaged and are cc’d on all communications to ensure transparency and commission tracking.

  
  

Step-by-Step Process for Buyers and Brokers

NBG’s process is designed to be simple and efficient. Here’s how it works:

1. Buyer submits LOI/KYC

   Buyers provide a Letter of Intent (LOI) and Know Your Customer (KYC) documents. The LOI buyer must be the end buyer on the KYC to ensure legitimacy.

   
   

2. Broker includes contact information

   Brokers sending buyers to NBG include their email addresses to stay in the loop.

   
   

1. NBG vets the buyer

   NBG reviews the LOI and KYC to confirm the buyer’s credibility.

   
   

2. Buyer introduction to seller

   Once vetted, NBG introduces the buyer to the refinery seller.

   
   

1. Seller and buyer discuss tank details and ICPO

   The seller contacts the buyer directly to discuss tank information and instructions for the Irrevocable Corporate Purchase Order (ICPO).

   
   

2. Deal closure

   After the buyer signs the ICPO, the process moves forward with the Commercial Invoice (CI) issued within 48 hours.

   
   

This streamlined approach eliminates unnecessary steps like requiring a Terminal Storage Agreement (TSA) upfront, which is often a barrier in traditional deals.

Fuel tanker trucks loading at refinery terminal, illustrating fuel distribution logistics

Why This Matters for the Fuel Market

The refinery-to-Vopak direct access model changes the dynamics of fuel supply in several ways:

• Reduces dependency on Vopak allocations

Buyers can avoid inflated prices caused by limited terminal space.

• Increases market competition

More sellers can enter the market, improving pricing transparency.

• Protects buyer confidentiality

Sensitive terminal information stays between buyer and seller, reducing risks.

• Supports brokers’ roles

Brokers remain active participants and receive proper commissions.

For example, a buyer needing EN590 10 PPM diesel at $570 per metric ton can now bypass overpriced Vopak sellers and secure product directly from a refinery. This not only saves money but also speeds up delivery.

Practical Tips for Buyers and Brokers

To make the most of NBG’s refinery-to-Vopak process, consider these tips:

• Prepare accurate LOI and KYC documents

Ensure the buyer’s information is complete and matches the end user.

• Maintain clear communication

Brokers should keep their contact details updated and stay involved throughout the deal.

• Understand tank requirements

Buyers should know their Vopak tank capacities and specifications before discussions.

• Be ready to sign ICPO promptly

Quick action helps close deals within the two-hour window.

• Clarify terms with the seller

Discuss TSA, SGS inspection, and Proof of Product (POP) directly with the refinery seller.

Close-up view of fuel storage tanks with clear labeling at refinery site, emphasizing product management

Final Thoughts on Fuel Supply Access

NBG’s refinery-to-Vopak direct connection offers a practical solution to a long-standing problem in the fuel market. By removing the dependency on limited Vopak terminal allocations, buyers gain access to competitive pricing and faster delivery without compromising confidentiality or broker involvement.

If you are a buyer or broker facing challenges with Vopak storage access, consider following NBG’s process. Submit your LOI and KYC, stay engaged, and move quickly to secure your fuel products. This approach not only saves money but also opens new opportunities in a market that has been constrained for too long.