Detailed Product Description

To : END BUYER  
 

1. COMMODITY : A Standard Cu Cathode, Cu Purity 99.99% , non LME

2. QUANTITY : 10,000 metric ton weight (mtw).x 8 months

3. SHIPMENT : CIF

4. COUNTRY OF ORIGIN : CHILE / CONGO / ZAMBIA Seller's option

5. PACKING : BULK / CONTAINERS

6. DELIVERY SCHEDULE : 35 DAYS UPON BG loaded from any Chilean Port.

7. PAYMENT TERMS :Payment is by Bank Guaranty (BG), the BG is automatically renewed by Seller upon delivery of product, payable 100% against original set shipping documents presented at Bank, for the first seven (7) shipments. Shipment eight (8) uses the BG for payment; if the BG is higher than the price for shipment eight then funds are return to the Buyer and if the BG is less than the price for shipment eight then funds are wired to cover the total price by Seller.

8. PERFORMANCE BOND (PB): 2% (two percent) after signing of contract and receipt

operative BG

9. PROOF OF PRODUCT : After signed contract-prior to financial instrument.

SGS report.

Warehouse receipt.

Site visit

10. PRICE : TBD based on LME price with 2% discount

11. DESTINATION PORT : CIF

12. INSPECTION : Certificate by Quality, Quantity and weight issued by SGS or

equivalent at the port of loading.

13. TIME OF CONTRACT : 08 MONTHS WITH ROLL OVERS

14. PRICE  :  LME - 2% discount per ton PREMIUM

15. Procedures:

a. Buyers bank shall make payment to Sellers bank upon presentation of following delivery documents by the Sellers Bank to the Buyers designated bank:

b. Original signed and stamped commercial invoice covering the description, unit price, loading quantity, total amount and copies each in triplicate (3/3) issued by the Seller.

c. Original signed and stamped packing list indicating total shipped on board quantity, and Copies each in triplicate (3/3) issued by the Seller.

d. Original and stamped Bill of Lading, clean on board, marked freight paid, showing the buyer as the consignee, and Copies each in triplicate (3/3).

e. Original Certificates of Origin by the chamber of commerce of Exported Country, and Copies each in triplicate (3/3) issued by the Seller.

f. Original of Insurance policy certificates which cover 110% of the cargo will be provided covering the Marine Transportation All Risks (I.C.C.A) and War Risks showing claim payable in the currency of invoice and in the country of the destination port, and Copies each in triplicate (3/3) issued by the Seller.

g. Original signed and stamped draft survey report and copies each in triplicate (3/3) issued by Société Générale de Surveillance (SGS/CICC) at loading port. (SGS is at Sellers costs; CICC is at Buyers costs).

h. Signed and stamped quality inspection certificate and copy each in triplicate (3/3) issued by Société Générale de Surveillance (SGS) and CICC inspection certificates at loading port, SGS is at Sellers costs, CICC is at Buyers costs.

Clause N° 1 Origin and Producer

The country of origin of the Copper Cathode Cu 99.99% min. will be Chile, South-America. The Copper [first 10k-M/ T], is deposited in refinery depot in Valparaiso Chile.

Clause N° 2 Product Quality and Specifications

Product: Copper Cathodes (Electrolytic Copper Grade)

Standard: Grade A Standard Cu Cathode-1, Cu purity 99.99% minimu

Technical Specifications: