A high-level view of how a legitimate physical fuel opportunity can move from an initial enquiry toward execution.
1. Requirement
The prospective buyer defines the product, specification, quantity, destination, timing and preferred commercial structure.
2. Initial qualification
The trading company assesses whether the requirement is sufficiently complete and commercially realistic. Basic counterparty information may also be reviewed at this stage.
3. Sourcing and matching
Potential supply opportunities are evaluated against the buyer's requirement. This may involve product availability, origin, logistics, pricing, timing and counterparty suitability.
4. Commercial alignment
The parties work toward alignment on specification, quantity, Incoterm, price basis, delivery period, payment structure and other core terms.
5. Due diligence and contracting
Relevant corporate, sanctions, compliance and transaction checks may be completed before binding contractual commitments are made. The exact process depends on the parties and jurisdiction.
6. Execution and logistics
Once contractual conditions are satisfied, the transaction moves into the operational phase. Shipping, inspection, documentation and delivery requirements are coordinated according to the agreed structure.
7. Completion
Final documentation, delivery and contractual obligations are completed in accordance with the transaction terms.
Important
This is a simplified overview, not a universal transaction procedure. Real transactions vary substantially by product, jurisdiction, counterparty, logistics and contractual structure.