EASTERN SIBERIAN PACIFIC OCEAN OIL (ESPO)

LOADED VESSEL TAKE OVER (VTO) ON CHINA WATERS.

TRANSACTION PROCEDURES (NON-NEGOTIABLE)

1. Buyer accepts Seller's Transaction Procedure as stated herein without any change and issue ICPO with international passport copy along with CIS.

2. Seller issues Commercial Invoice, Buyer signs and return to seller .

3.Seller releases vessel details along with the following POP documents:

a) Cargo Manifest

c) Statement of Product AvailabilityÂ

d) Certificate of Origin

e) Commitment to SupplyÂ

f) Export LicenceÂ

h) Product PassportÂ

4. Buyer's bank issues bank instrument for the value of first shipment to seller's nominated fiduciary bank coordinate in a format acceptable to seller/seller's bank within 10 banking days of buyer receiving the above soft performance guarantee POP documents.

Kindly note: if buyer fails to issue the bank instrument within 10 banking days, in alternative buyer pays via MT103/TT XXXXX USD or equivalent in EURO/RMB as provisional guarantee performance within 72 hours and the amount will be deducted from the product first value when final payment is to be made

5. Upon confirmation of instrument by seller bank, Seller releases the Bill of Lading and all export documents as within 5 banking days of seller's fiduciary bank receiving buyer's bank instrument, seller's fiduciary bank issues 2%PB to buyer's bank account which is detailed and mutually agreed on.

6. After the ship arrives at the Buyer's Port of destination, the Seller and the shipping Agent Company shall send the documents required for Custom Maritime filing to the Buyer's Freight Agent Company, cooperate with the Buyer's Freight Agent to complete the maritime filing and obtain the Port Entry Work Permit.

7. After the discharge of the Cargo into the Buyer's leased Tank and upon the successful completion of Dip-test inspection, The Buyer shall pay the total amount of cargo via TT/ MT103 Transfer.Â

8. After confirmation of payment by Seller's Bank, the Seller releases and pays the commissions of the Intermediaries mentioned in the NCNDA/IMFPA. And the Seller transfers Title Of Ownership Certificate to the Buyer's name as the legitimate Owner of the Cargo.