au purchase

RFQ Description

Heres our general AU purchase procedures. We purchase AU product on an assay and pay basis, CIF to the refinery in the USA, once assay is complete, the assay report will be forwarded to the Seller for sign off and payment is then made the following day by payment directive. No pre-payment of any type is done, payment is made after the assay is complete at the refinery. The Seller ships the product by secure transport through to the refinery (CIF), secure transport company will clear customs and transport product on to the refinery. Once assay has been done, assay report from refinery will be sent to the Seller for sign-off, and payment will be made the following day. The Seller issues an FCO with price/discount, quantity, etc. if we agree to procedures, price and so on, then we will go to contract. Heres how payment is done. We like cash to flow quickly to the Seller on the product after assay. Rather than doing the entire assay of the product and then making payment which is typical in the industry, we take a different approach. After each day of assay, up to 250 kgs per day, the following morning we make 90% payment to the Seller by wire transfer, with the balance of 10% payable 1-2 days later when the commercial assay is completed on the product from the day. We continue the process daily until all of the product is assayed. Thus there is a constant flow of funds to the Seller during the process rather than waiting for the assay to be completed and then payment being made. We believe this to be a better approach. Best Regards,George Ross