You should know that there is a part in the world that is known to be one of the top oil suppliers with a lot of reserves on their light crude oil. It is known as the top exporter of crude oil in the whole world. There are about millions of oil barrels generated from that place every single day. The NNPC is that end supplier of that place when it comes to crude oil. The allottees, operators, or fiduciary agents are the terms that you might have heard about. These people are under the NNPC. These traders are responsible in looking for the buyers of the petroleum from the NNPC, but it is not the only way though.
You need to follow some procedures if you will be buying petroleum from an oil supplier. These procedures are made to provide benefits to the buyer. You should know that almost all the buyers will just be making the procedures at home, and these procedures should be followed by the sellers. You need to know that the seller will be responsible in providing the procedure, not the buyer. A buyer will always have a chance to take advantage on a much fairer bargain with the oil supplier since most of the sellers will always have room for some procedure negotiation. One thing that you should also know is that the vessels of the NNPC will not be loaded and be waiting for the buyers. The vessels will only be loaded as long as the buyer and the oil supplier will have a deal.
Also take note that even if the buyer will be signing and SPA, the vessels will still not be loaded. SPA will not be enough proof that the buyer will be able to pay for the petroleum. The NNPC will not be loading the vessel since anyone can sign an SPA. A POF or a Proof of funds is what the buyer would need in order for the vessel to be loaded under his or her name with the quantity of oil that he or she preferred. If you pay attention on most of the written procedures by some buyers, you will find out that they will need the verification of the documents of loaded vessel after signing the SPA. This is a wrong move for most of the buyers.
That is why if you will be buying a petroleum from the top oil suppliers, you will need to follow the procedure from an end seller. You will not have to worry about nothing at all if you will follow the procedure made by the end seller. There are so many buyers that will complain about signing so many SPAs without the performance of the seller. The first reason behind this is that the seller is not registered under NNPC, and the other is that there was no POF or proof of funds provided by the buyer.