Document:

f10q0313ex10ii_keyuan.htm

Exhibit 10.2

 

C1-02: Inward Bills Contract (applicable for single business)

Inward Bills Contract

No.: 2013 beilun C1-02 No 008

Party A (Applicant): Ningbo Keyuan Plastic Co., Ltd

Business license No.:330200400023187

Legal representative/Principal: Chunfeng Tao

	
Address: Qingshi Industrial Park, Ningbo

	Postcode: 315803	 

Financial institution account and account No.: Bank of China Inc, Beilun Branch 361058330713

Tel: 0574-86232932 Fax: 0574-86232618

Party B: Bank of China Inc, Beilun Branch

Legal representative/ Principal: Shuguang Sun

	
Address: No.588, Huashan Road, Beilun Zone

	Postcode: 315000	 

Tel: 0574-86869916 Fax: 0574-86895311

WHEREBY, the undersigned parties agreed to sign this contract in comply with applicable laws.

Article 1. Preconditions

Inward Bills under this contract shall meet the following requirements:

 

	1.	
This contract has already been effective;

	 	 
	2.	
Party A obligates and signs the related documents, receipts, seal, related person’s name lists and samples of signatures for party B, and also fills in relevant certificates;

	 	 
	3.	
Party A opens the required account to fulfill this contract;

	 	 
	4.	
Party A arranges the required legal and administrative approval process to facilitate the business properly, and submits the duplicate copy of the approval documents and the copies of the original documents as requested by Party B;

	 	 
	5.	The guarantee on the provision of this contract has been effectively established;
	 	 
	6.	Other conditions requested by Party B.

 

Article 2. Related to Import Trade (Notes: complete with factual information.)

√Letter of Credit

Letter of Credit No.:LC1901312000442

Name of Bank Issuing Documents: ROYAL BANK OF SCOLAND 

 No. of Issued Document: APSG 19G 12E 136757-001

Receipt amount: USD 22,725,000.1

 

  

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Collection

Invoice No.: / Entrusted bank’s name: /

Issuing documents No.: / Receipt amount: /

Article 3. Currency of Inward Bills and amount

Currency of Inward Bills: USD

Amount: (Spell-Out)  Twenty Two Million Seven Hundred Twenty Five Thousand Point One 

(Numeric)USD 22,725,000.1

Article 4. The Term of Inward Bills

The term of Inward Bills is / 12 months/  days, beginning to calculate since the date of Party B made foreign payment.

If sale price of the imported products has been collected before the closing of the financing, Party B has the right to consider the final collection date as the closing date of the financing. Party A agrees to use the payment for sale of imported products it receives to repay Party A of the financing amount.

Article 5. Interest Rate and Interest Settlement (Notes: complete with factual information.)

1. Interest rate (annual interest rate)

(1) Inward Bills in RMB: fixed interest rate, and annual interest rate is / %;

(2) Inward Bills in foreign currency:

 

A. Fixed interest rate, and annual interest rate is / %;

 

B. Loan interest rate in the floating period within / months / years since the Inward Bills date published by the Bank of China, Inc.

 

C. Benchmark of LIBOR/HIBOR + 80 points for the latest 1 month published by Reuters till the 9:00- of the prior working day of the Inward Bills date. (Decided per monthly)

 

2. Calculation of interest

Interest is calculated according to the actual payment amount and days since the date of Party B made payment.

Calculation formula: Interest=Principal*Days*Daily interest rate.

Base for calculating daily interest rate is of 360 days, the reduction formula is: daily interest rate=annual interest rate/360.

3. Method of interest settlement

Interest settlement is according to the following _third_ way:

(1) Settlement with quarter, 20th of each last month per quarter as the interest settlement day, and the 21st as the payment day.

 

  

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(2) Settlement with month, 20th of each month as the interest settlement day, and the 21st as the interest payment day.

(3) Same as expiration date of principal.

(4) Receive the interest in advance and settle when expiration date.

On the condition that the final payment day of the financing principal is not the same date of interest payment day, then the final payment day is considered as interest payment day and Party A shall pay off the entire interest.

 

4. Default interest

(1) If Party A fails to return the payment of Inward Bills within the agreed time, as for the overdue payment, the default interest shall begin accruing according to the default interest rate starting from the date of late payment until both the principal and interest are paid off.

(2) If Party A fails to pay the interest and default interest in time, it can be penalized with compound interest per month/per quarter according to agreed default interest in this contract.

(3) Default interest rate

A. Default interest rate is a floating rate, the floating period is / month/ /year. In every floating period, the default interest shall be re-priced on the default date. The re-pricing date is the corresponding date in the month of the default date. If there is no corresponding date in the same month, then the last date of the month is the re-pricing date.

B. Default interest rate equals to the benchmark interest rate in the item C below plus 20%.

C. In the first floating period, the benchmark interest rate is the financing interest rate item 1 of this Article. After each full floating period, the benchmark interest rate shall be calculated as below:

Financing in RMB, it floats upward/ floats downward according to the same level loan benchmark interest rate issued by the People’s Bank of China in the re-pricing day.

Financing with foreign currency,

It is the loan interest rate within the same floating period of / years of the re-pricing day implemented by Bank of China, Inc.

√ It equals to the latest floating period obtained from Reuters of the prior day of re-pricing day before 9:00 (Beijing time) pluses 80 points.

 

  

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Article 6. Fees

Party A shall pay the related fees related to the business under this contract in time and the Party B decides the calculation basis, standard and method, etc.

Party A pays the above fees through the __second__ method:

 

1. In __/__ banking day since this contract became effective, pay with __/___.

2. Party B is authorized to deduct from the Party A’s account (Account No.:361058330713)

3. Other methods:____________________/_______________.

Article 7. Other Rights and Obligations of the Parties

Party B has the right to handle the full set of documents/goods under the inward bills business or other guarantee right/ property right pursuant to applicable laws and regulations. According to applicable laws and regulations or the verdict of the courts and arbitral authorities, the right to handle the full set of documents/goods under the Inward Bills business belongs to Party A, then Party A agrees to transfer this right to party B unconditionally to the maximum extent allowed by applicable law and regulations and accept performance and non- performance of Party B to handle the documents/goods. If according to applicable laws and regulations or the verdict of the courts and arbitral authorities, the right to handle the full set of documents/goods under the Inward Bills business belongs to Party B, then Party B retains this right till Party A completely pays off the financing.

When Party A requests to hold receipts/goods, and repays the financing with sales income, Party A is only acting as Party B’s consignee, including but not limited to safekeeping relevant receipts, handling storage, transportation and other related matters under those receipts, and maintain sales fund or deposit it to specific account of Party B. Party A shall disclose this role when selling the goods to a third party.

Party A shall be responsible for all the fees (including but not limited to insurance, storage, transport and wharf) during period when Party A retains the goods. Party A promises to insure the goods according to the market price of the goods, indicate Party B as the insured and provide the insurance documents to Party B. Party B has the right to claim directly when insured cargo endures loss.

Without the permission of Party B, party A is not allowed to delay payment or handle the goods through any non-currency method or at the price lower than the market price. Party A is not

allowed to mortgage or pledge, or make the goods to be bound by any other liens. Once requested by Party B, Party A shall submit the details of the goods’ accounts, any sales revenue or relevant sales contracts to party B; Party B has the right to enter into the warehouse to review the actual situations of the goods, or repossess these goods.

Article 8. Guarantee (Notes: complete with factual information.)

The guarantee methods of liability under this contract:

√ Ningbo Kewei Fuels Co., Ltd and Ningbo Keyuan Petrochemicals Co., Ltd, Ningbo Keyuan plastic co.ltd to provide pledge guarantee, ... , and sign corresponding guarantee contract.

BeiLun 2012 renbao004,BeiLun 2012 renbao 005, BeiLun 2012 rendi 005, BeiLun 2011 rendi 006, BeLun 2011 rendi 0121.

Ningbo Keyuan Plastics Co., Ltd provides margin pledge:

 

  

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In case the pledgor is a third party, Party B and the pledgor shall enter into additional margin pledge contract.

√ This contract is the main contract under the 2010 lun G2 -05-01-014  of < General Agreement of Margin Pledge>, and the agreement provides margin pledge and submit corresponding <Certification of Margin Pledge> or handle directly as following ways rather submit <Certification of Margin Pledge>:

 

1) Margin Amount: (Currency) RMB ; (Spell-Out) One hundred Forty Four Million RMB.

 

CNY 144,000,000

2) Party A pay for above margin with following method:

Within 1 / banking days since the effective date of this contract, Party A will deposit or load margin to the margin account opened in Party B with transfer check. (account no: 396162796142). 

  

Entrusted Party B to load the margin to the margin account opened in Party B from the RMB account in Party B.

 

Party A ‘s guarantee liability of margin under business has been removed, and Party A authorized Party B to load the margin to margin account opened in Party B directly from account.

Others:

3) In case above guarantee liability of margin has been removed by Party B, Party B shall return according to following methods:

Return to the Party A’s account.

Return according to the deposit route.

Return according to the written instruction of Party A.

Others: .

If Party B believes that Party A or guarantee occurred matters potentially affect the contractual capacity, or guarantee contract becomes invalid, terminated or cancelled, or financial conditions of Party A or guarantor gets worse or they enter into major litigation or arbitration, or any other factors that may affect their ability to perform their contractual obligations, or the value of guaranty gets worse or lost due to devaluation, destruction, losses, or being closed down, Party B has the right to demand and Party A has the obligation to provide new guarantee, replace the guarantor to bear the liability under this contract.

Article 9. Party A’s Statements and Commitment

 

Statements as follows:

 

1. Party A registers and survives by law, and possess the complete capacity of civil rights needed to fulfill this contract;

2. Party A signs and fulfills this contract based on true intention, has obtained the legal and effective authority according to the requirements of the Articles of Incorporation or other internal management documents, and is not allowed to violate any binding agreement, contract and other legal documents; Party A has gained or will gain all the relevant approvals, permits, files or registers.

 

  

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3. All the documents and certificates provided by party A to Party B is authentic, complete, accurate and effective under this contract;

4. The trading background described by party A to party B is authentic and legal, and does not have the illegal purpose such as money laundering. Party A providing any documents according to party B’s requirements does not mean that party B has the obligations and responsibilities of inspection towards the authenticity and legality of party A’s trade;

5. Party A will not hide any truths that may influence both parties’ financial situation and contractual capacity.

Commitments as follows:

1. Provide the statement of products sales regarding the import items in timely manner according to Party B’s requirement.

2. If Party A has already signed or will sign counter-guarantee agreement or other similar agreements about the guaranteed obligations with the guarantor of this contract, then the agreement will not damage any rights owned by party B under this contract;

3. If the products sales of the import items have serious difficulties, or situations that may influence both parties’ financial conditions and capacity to fulfill this contract, including but not limited to the change of any business pattern of dismantlement, merger, affiliation, joint venture with foreign merchants, cooperation, contractual operation, reorganization, reformation and listing program, reduction of registered capital, assignment of significant property or stock right, commitment of significant liabilities, or installation of new significant liabilities on the pledge, or involvement to grave litigation or arbitration cases, party A shall inform party B in time;

 

4. As for pending matters, Party A agrees to handle according to the international conventions and agreement with Party B.

Article10. Disclosure of Related Parties of Party A and Related Transactions

 

The    first    item below is applicable to both parties:

1. Party A does not belong to the group client of party B according to the Management Guidance of Credit Extension Business Risk of Commercial Bank Group (short for Guidance).

2. Party A belongs to the group client of party B according to Guidance. Party A shall report the situation of related transactions over 10% net assets in time, including the related relationship, trading projects, trading properties, trading amount, corresponding proportion and pricing policy and so on (including the trade with no capital but only proportion capital).

Article 11. Default Events

 

Party A will be considered in violation of this contract if one of the following events happens:

 

1. Party A fails to fulfill its obligations to pay and repay to the party B according to this contract;

 

  

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2. The statements made by party A is untrue or default the commitments under this contract;

3. The matters mentioned in No.3 of Item 2 in Article 9 happen; Party B considered those may affect the financial conditions and contractual capability of Party A or guarantor, and Party A has not provided new guarantee, replaced guarantor in accordance with the provisions of this contract.

4. Party A closes down or is subject to disincorporation, revocation or bankrupt.

5. Party A defaults other covenants in this contract;

6. Party A default the other contracts signed with Party B or other institutions of Bank of China, Inc.

7. Guarantor defaults the covenants of guarantee contract, or other contracts signed with Party B or other institutions of Bank of China, Inc.

 

When any of the above mentioned events occur, Party B has the right to take one or some following actions:

 

1. Request Party A and/or guarantor to amend the default behaviors within limited time;

 

2. Entirely or partly suspend or terminate Party A’s business applications under this contract or the other contracts, entirely or partly suspend or terminated to grant and handle the un-granted loans, holding trading financing;

3. Announce the unpaid loans/financing principals and interests and the other account payables to entirely or partly expire.

4. Terminate or revoke this contract, entirely or partly terminate or revoke the other contracts between Party A and Party B;

5. Request Party B to compensate the liquidated damages;

6. Deduct funds from Party A’s account to repay entirely or partly liability under this contract.

 

The undue funds in this account will be considered due in advance. If the account currency is different from the business currency of Party B, convert according to the applicable rate of Party B.

 

7. Execute real guarantee;

8. Request guarantor to bear guarantee liability;

9. Other measures considered necessary by Party B.

 

  

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Article 12. Reservation of the Rights

If one party fails to fulfill entire or part rights under this contract or request the other party to fulfill, undertake entire or part obligations, responsibilities, it shall not be considered to waive the obligations or responsibilities.

Any party’s tolerance or extension or delay execution of the rights under this contract towards another party shall not affect the rights under this contact and laws and regulations, also not considered to waive the rights.

Article 13. Amendment, Modification and Termination

This contract can be amended or modified in writing mutual agreement. Any amendments or modifications are inseparable parts of this contract.

Unless otherwise specified by laws or regulations or covenants, this contract is not allowed to terminate till the rights and obligations are completely executed.

Unless otherwise specified by laws or regulations or covenants, invalidation of any items under this contract will never affect the other items’ legal effectiveness.

Article 14. Applicable Laws and Settlement

This contract shall be governed by the laws of PRC.

After this contract becomes effective, all disputes concerning this contract should be settled through friendly negotiation. When negotiation fails, any party can settle with following second method;

 

1. Submit to ___________________Arbitration Committee to arbitrate.

 

2. Submit to the People’s court located in the domicile of Party B or other corresponding institutions of Bank of China, Inc.

 

3. Prosecute the People's Courts with jurisdiction.

During the settlement period, if this dispute does not affect the performance of this other items, the other items shall continue to performance,

Article 15. Attachment

The following attachments and other attachments ensured by both parties makes up the inseparable parts of this contract, and possess the equal legal validity.

 

1,__________/_______;

 

2,__________/_______;

Article 16. Other Covenants

 

1. Without Party B’s written consent, Party A is not allowed to transfer rights or obligations to the third parties.

2. If Party B entrusts any other institutes of Bank of China to execute the rights and obligations under this contract, Party A shall agree. Party B or its designees are entitled to exercise all the rights under this agreement and to file a lawsuit in the People's Courts or submit to the Arbitration Committee to arbitrate.

 

  

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3. In case of not affecting the other covenants of this contract, this contract has the legal binding to the heirs and transferees.

4. Apart from the other covenants, the address specified in this contract by both parties is regarded as the contract address, and also promise that when the contract address changes, then information will sent to the party in written form in time.

5. The titles and business names in this contract are just used for the purpose of convenience, and can’t be used for the purpose to explain the clause content, and obligations and rights of the party.

6. Per the changes of laws and regulations or regulatory process or the requirements of regulatory authority, Party B is unable to execute this agreement or execute according to covenants, Party B has the right to terminate or amend this agreement or single agreement according to the changes of laws and regulations or regulatory process or the requirements of regulatory authority and exemption from liability.

Article 18. Conditions for effectiveness

This contract becomes effective upon the signature and seal of the legal representatives of both parties, principals or the authorized persons.

This contract made in duplicate, each party has one copy, both having the same legal effects.

 

	
Party A: Ningbo Keyuan Plastic Co., Ltd Party   

	B: Bank of China, Inc Beilun Branch
	The authorized person: 	The authorized person: 
	January 23, 2013  	January 23, 2013

 

 

9f10q0313ex10iii_keyuan.htm

Exhibit 10.3

 

[FORM OF]

IRREVOCABLE DOCUMENTARY CREDIT APPLICATION

TO: BANK OF CHINA

	
CONTRACT NO.

	
1786644-12

	
IRREVOCABLE DOCUMENTARY CREDIT  NO.

	  
	
DATE OF EXPIRY

	
OCTOBER 15, 2013

	
EFFECTIVE LOCATION

	
SINGAPORE

	
APPLICANT

NINGBO KEYUAN PLASTICS CO., LTD.

QINGZHI BEILUN DISTRICT NINGBO

ZHEJIANG PROVINCE CHINA

	
BENEFICIARY

MERCURIA ENERGY TRADING PTE LTD

9 RAFFLES PLACE, 59TH FLOOR

REPUBLIC PLAZA

SINGAPORE 048619

	
ADVISIING BANK

UNITED OVERSEAS BANK, SINGAPORE

SWIFT:

UOVBSGSG

	
L/C AMOUNT                                              Quantity and Credit amount tolerance +/-   5  %  

USD 2,883,676.00

US DOLLARS TWO MILLION EIGHT HUNDRED AND EIGHTY THREE THOUSAND SIX HUNDRED AND SEVENTY SIX ONLY.

 (信用证种类) CREDIT AVAILABLE

 

	x	
WITH    xANY BANK IN SINGAPORE                  o  ADVISING BANK

BY NEGOTIATION(议付信用证)

	o	
WITH ISSUING BANK

BY SIGHT PAYMENT(即期付款信用证)

	o	
WITH ISSUING BANK

BY ACCEPTANCE(承兑信用证)    AT(期限):

	o	
WITH ISSUING BANK

BY DEFERRED PAYMENT(延期付款信用证)    AT(期限):  o

 

AGAINST THE DOCUMENTS DETAILED HEREIN AND

x  BENEFICIARY’S DRAFT FOR 100% OF INVOICE VALUE

AT (汇票付款期限):   SIGHT  ON BANK OF CHINA,  NINGBO     BRANCH,CHINA

 

  

Page 1 of 4

  

 

	
PARTIAL SHIPMENTS(分批发运)

	
TRANSHIPMENT(转运)

	x	
ALLOWED

	o	
NOT ALLOWED

	o	
ALLOWED

	x	
NOT ALLOWED

	
PLACE OF TAKING IN CHARGE/DISPATCH FROM.../PLACE OF RECEIPT(起运地/发货地/收货点)

	  
	
LOADING ON BOARD / DISPATCH / TAKING IN CHARGE       AT / FROM (装运港)

	
TALLINN, MUUGA HARBOUR

	
FOR TRANSPORTATION TO(到货港)

	
ONE SAFE PORT / BERTH, ZHOUSHAN, CHINA

	
PLACE OF FINAL DESTINATION/PLACE OF DELIVERY(最终目的地/运往.../交货地点)

	  
	
NOT LATER THAN(最晚装运期 年/月/日)

	
AUGUST 15, 2013

 

COVERING (货物描述):

 

	
COMMODITY: FUEL OIL

 

QUANTITY: 4,000.00 MT±5%

ACTUAL SETTLEMENT QUANTITY BASED ON COPY OF CERTIFICATE OF QUANTITY/WEIGHT ISSUED BY CHINA INSPECTION AND QUARANTINE AT ZHOUSHAN.

 

UNIT PRICE: THE UNIT PRICE SHALL BE US$720.919/MT (US DOLLARS SEVEN TWO ZERO  POINT NINE ONE NINE PER METRIC TON) FIXED AND FLAT.

TOTAL AMOUNT: USD2,883,676.00±5%

	
GOODS ORIGIN (产地)

	  
	
QUALITY CONDITION(品质)

	
If fill in if necessary

	
PRICE TERM(价格条款)Q

	o	
FOB  

	o	
CFR 

	o	
CIF  

	x	
Other term:  DES, ONE SAFE PORT/BERTH, ZHOUSHAN,CHINA (INCOTERMS 2000)

	
PACKING(包装):

	  

 

DOUMENTS REQUIRED: (Please choose from the following. If none is applicable, please fill in at OTHER DOCUMENTS)

 

	
DOUMENTS REQUIRED: (Please choose from the following. If none is applicable, please fill in at OTHER DOCUMENTS)

	x	
MANUALLY SIGNED COMMERCIAL INVOICE IN [1]ORIGINAL(S) AND [2]COPY(IES) INDICATING THIS L/C NO. AND CONTRACT NO. 1786644-12

	x	
PHOTOCOPIES of original BL of lading made out to the order of ING Belgium , Brussels, Geneva Branch marked freight prepaid.

	o	
AIR WAYBILLS SHOWING " FREIGHT PREPAID " AND CONSIGNED TO Receiver

	o	
RAILWAY BILLS SHOWING " FREIGHT PREPAID " AND CONSIGNED TO Receiver

	o	
FULL SET (INCLUDED [__] ORIGINAL(S) AND [__]COPY(IES))OF INSURANCE POLICY/CERTIFICATE FOR 110% OF THE INVOICE VALUE, SHOWING CLAIMS PAYABLE IN CHINA, IN CURRENCY OF THE L/C, BLANK ENDORSED, COVERING([ x] OCEAN MARINE TRANSPORTATION/[ o ]AIR TRANSPORTATION/[ o ]OVER LAND TRANSPORTATION) o ICC(A)/  x ALL RISKS(CIC)AND WAR RISKS.

	o	
WEIGHT MEMO/PACKING LIST IN [ ] ORIGINAL AND [ ] COPIES  ISSUED BY ______ INDICATING QUANTITY, GROSS AND NET WEIGHTS OF EACH PACKAGE AND PACKING CONDITIONS AS CALLED FOR BY THE L/C.

	x	
CERTIFICATE OF QUANTITY/WEIGHT IN [1] ORIGINAL AND [2] COPIES issued by CHINA INSPECTION AND QUARANTINE AT ZHOUSHAN.

 

  

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	x	
CERTIFICATE OF QUALITY IN [1] ORIGINAL AND [2] COPIES ISSUED BY INSPECTOR AT LOADPORT

	o	
BENEFICIARY’S CERTIFIED COPY OF FAX/TELEX DISPATCHED TO THE APPLICANT WITHIN [] DAYS AFTER SHIPMENT ADVISING [ o ] NAME OF VESSEL/[ o ] FLIGHT NO./[ o ] WAGON NO.

	
DATE, QUANTITY, WEIGHT AND VALUE OF SHIPMENT.

	o	
CERTIFICATE OF ORIGIN IN [] ORIGINAL AND [] COPIES.

	o	
OTHER DOCUMENTS, IF ANY:

	  	  
	
ADDITIONAL INSTRUCTION (Please choose from the following. If none is applicable, please fill in at OTHER TERMS):

	x	
THE CREDIT IS SUBJECT TO UCP600.

	x	
BENEFICIARY’S CERTIFICATE CONFIRMING THEIR ACCEPTANCE OR REJECTION OF THE AMENDMENTS ISSUED UNDER THIS L/C QUOTING THE RELEVANT AMENDMENT NUMBER IS REQUIRED FOR PRESENTATION UNDER THIS L/C. SUCH CERTIFICATE IS NOT REQUIRED IF NO AMENDMENT HAS BEEN ISSUED UNDER THIS L/C.

	x	
ALL BANKING CHARGES OUTSIDE THE OPENING BANK ARE FOR BENEFICIARY’S ACCOUNT.

	o	
DOCUMENTS MUST BE PRESENTED WITHIN _____ DAYS AFTER THE DATE OF SHIPMENT BUT WITHIN THE VALIDITY OF THIS CREDIT.

	o	
THIRD PARTY AS SHIPPER IS NOT ACCEPTABLE.

	o	
SHORT FORM/BLANK BACK B/L IS NOT ACCEPTABLE.

	x	
BOTH QUANTITY AND AMOUNT     MORE OR LESS ARE ALLOWED.

	x	
ALL DOCUMENTS TO BE FORWARDED IN ONE COVER, UNLESS OTHERWISE STATED ABOVE.

	x	
OTHER TERMS, IF ANY:

	x	
DOCUMENTS MUST BE PRESENTED LATER THAN    10   DAYS AFTER SHIPMENT DATE BUT WITHIN THE VALIDITY OF THIS CREDIT.

	x	
THIRD PARTY DOCUMENTS EXCEPT INVOICE, DRAFT AND LETTER OF INDEMNITY ARE ACCEPTABLE.

	x	
TYPING ERRORS AND SPELLING MISTAKES IS ACCEPTABLE EXCEPT FOR QUANTITY, UNIT PRICE AND INVOICE VALUE.

	x	
DOCUMENTS ISSUED EARLIER THAN L/C ISSUING DATE IS ACCEPTABLE.

	x	
UNDERDRAWING OF L/C VALUE IS ACCEPTABLE.

	x	
CHARTER PARTY B/L AND TANKER BILL OF LADING ARE ACCEPTABLE.

	x	
QUANTITY INDICATED IN CERTIFICATE OF QUALITY (IF ANY) DIFFERENT FROM CERTIFICATE OF QUANTITY/WEIGHT IS ACCEPTABLE

	x	
PHOTOCOPIES IN LIEU OF COPY DOCUMENTS ARE ACCEPTABLE.

	x	
COPY OF CERTIFICATE OF QUANTITY/WEIGHT ISSUED BY CHINA INSPECTION AND QUARANTINE AT ZHOUSHAN TO BE ACCEPTED AS PRESENTED.

	x	
QUANTITY SHOW ON B/L DIFFERENT FROM CERTIFICATE OF QUANTITY/WEIGHT IS ACCEPTABLE.

	x	
FOR TRANSPORTATION TO ZHOUSHAN FOR ORDERS IS ACCEPTABLE.

	x	
IN THE EVENT THAT THE ABOVE DOCUMENTS IN DOUMENTS REQUIRED ARE UNAVAILABLE AT THE TIME OF PRESENTATION, PAYMENT WILL BE MADE AT MATURITY AGAINST THE FOLLOWING DOCUMENTS:

 

  

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A.  

	
BENEFICIARY’S SIGNED COMMERCIAL INVOICE

	
B.  

	
COPY OF CERTIFICATE OF QUANTITY/WEIGHT ISSUED BY CHINA INSPECTION AND QUARANTINE AT ZHOUSHAN.

	
C.  

	
BENEFICIARY’S LETTER OF INDEMNITY ISSUED IN THE FOLLOWING FORMAT:

 

QUOTE

 

LETTER OF INDEMNITY

 

DATE:

TO: NINGBO KEYUAN PLASTICS CO., LTD.

RE:...MTS OF...

SHIPPED PER MT...

BILL OF LADING DATED...

L/C NO...ISSUED BY...DATED...

 

IN CONSIDERATION OF YOUR PAYING US THE SUM OF...USD BEING THE PURCHASE PRICE OF THE ABOVE MENTIONED GOODS WITHOUT HAVING IN HAND THE ORIGINAL SHIPPING DOCUMENTS, WE HEREBY GUARANTEE UNCONDITIONALLY AND IRREVOCABLY TO INDEMNIFY YOU AGAINST ANY AND ALL DAMAGES, LOSSES, LIABILITIES, COSTS, COUNSEL FEES AND ANY OTHER EXPENSES INCLUDING BUT NOT LIMITED TO ANY CLAIMS OR DEMANDS WHICH MAY BE MADE BY THE CARRIER, CONSIGNEE, CONSIGNOR OR ANY HOLDER OR TRANSFEREE OF THE ORIGINAL SHIPPING DOCUMENTS OR BY ANY THIRD PARTY CLAIMING AN INTEREST OR LIEN IN THE CARGO OR PROCEEDS WHICH MAY ARISE OUT OF OUR FAILURE TO PROVIDE THE ABOVE MENTIONED ORIGINAL DOCUMENTS.

WE MERCURIA ENERGY TRADING PTE LTD. HEREWITH UNDERTAKE IRREVOCABLY TO DELIVER ONLY TO...(APPLICANT) ORIGINAL SHIPPING DOCUMENTS COVERING THE CARGO OF ...METRIC TONS OF...(PRODUCT NAME)

WE MERCURIA ENERGY TRADING PTE LTD. HEREBY EXPRESSLY WARRANT,THAT WE HAVE THE FULL RIGHT AND UNENCUMBERED AUTHORITY TO TRANSFER SUCH TITLE AND TO EFFECT DELIVERY OF THE FUEL OIL TO...(APPLICANT)

OUR OBLIGATION TO INDEMNIFY YOU IS OF COURSE SUBJECT TO THE CONDITION THAT YOU SHALL GIVE US PROMPT NOTICE OF THE ASSERTION OF ANY CLAIM(S) AND FULL OPPORTUNITY TO CONDUCT THE DEFENCE THEREOF AND THAT YOU SHALL NOT SETTLE ANY SUCH CLAIM(S) WITHOUT OUR WRITTEN APPROVAL, UNLESS IN CASE OF ALLEGED NEGLIGENCE ON OUR SIDE WHICH COULD RESULT IN A DETRIMENT TO YOUR INTERESTS.

THIS LETTER OF INDEMNITY SHALL BE GOVERNED BY THE SAME LAWS AND JURISDICTION AS THAT CONTAINED IN THE SALES CONTRACT BETWEEN... (APPLICANT)AND MERCURIA ENERGY TRADING PTE LTD FOR THE AFOREMENTIONED CARGO.

THIS LETTER OF INDEMNITY SHALL EXPIRE UPON OUR TENDERING THE FULL SET OF SHIPPING DOCUMENTS TO...(APPLICANT)

YOURS FAITHFULLY, 

MERCURIA ENERGY TRADING PTE LTD.

UNQUOTE.

 

Contact :le qi ting

 

phone:0574-86232932

 

account:810735036108091001

 

 

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