Dear Sir / Madam,
I am writing to you in my capacity as facilitator mandated by end buyers for long-term purchases of copper cathodes (LME BS6017 quality).
We are currently seeking producers and/or title-holding sellers able to perform under the following structures and are inviting you to submit your Soft Corporate Offer (SCO) and, where available, initial Proof of Product (POP).
General product requirements
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- Commodity: Copper Cathode
- Quality: LME BS6017 (LME Grade A)
- Form: Standard export bundles, strapped and suitable for container or break bulk shipping
- Documentation: Standard export set (B/L, commercial invoice, packing list, certificate of origin, quality & quantity certificates, etc.).
- Commission (for all three structures):
> 3% total, split as follows:
- > 1% – seller’s side
- > 1% – facilitator’s side
- > 1% – buyer’s side
Very important – no deposits / no fees:
Our buyers never work with any upfront fee, deposit or “registration/fumigation/logistics” fee. They operate only with DLC / SBLC issued by a top bank, or Escrow Account with a reputable institution, as described below.
Option 1 – End Buyer 1
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- Product: Copper Cathode, LME BS6017
- Quantity:
- Trial: 1,000 MT
- Then: 5,000 MT per month (with possible extension)
- Price:
- LME minus 18% gross, 15% net to the end buyer
- Commission:
- Total 3%, split 1% seller / 1% facilitator / 1% buyer
- Incoterm:
- CIF C. Steinweg bonded warehouse (or equivalent)
- Preferred: Ndola, Zambia (bonded warehouse / inland terminal)
- Alternative: Dar es Salaam
- Payment & instruments:
- No deposit / no upfront fees
- Buyer to use DLC / SBLC or escrow account (details to be agreed in the SCO and final contract).
We invite you to confirm whether you can meet or improve these terms (price / procedures / incoterm), and to specify your minimum trial lot and monthly capacity.
This Deal is in short final Sales.
Option 2 – End Buyer 2 – FCA Durban (South Africa)
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- Product: Copper Cathode, LME BS6017
- Incoterm:
- FCA COSCO (or equivalent) bonded warehouse, Durban, South Africa
- Quantity:
- First shipment: 1000 MT
- Subsequent shipments: 5,000 MT per month
- Price:
- LME minus 18% gross, 15% net to the end buyer
- Commission:
- Total 3%, split 1% seller / 1% facilitator / 1% buyer
Payment procedures requested by the buyer:
1. First shipment (1000 MT)
- Commodity delivered FCA Durban bonded warehouse.
- CCIC (or equivalent) assaying and inspection performed at the warehouse.
- Upon satisfactory CCIC report, payment is made to the seller.
- No LC and no upfront payment for this first test shipment.
2. Subsequent shipments (5,000 MT/month)
- Buyer issues LC (or DLC) according to agreed procedures.
- Delivery to FCA Durban bonded warehouse.
- CCIC assaying and inspection.
- Payment released after satisfactory CCIC report and as per LC terms.
Seller is invited to confirm acceptance of this structure or to propose alternative secure procedures while keeping the same economic framework.
Option 3 – End Buyer 3 – Long-term, high volume
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- Product: Copper Cathode, LME BS6017
- Incoterm: To be determined (TBD) – to be proposed by the seller
- Quantity:
- First shipment: 1,000 MT
- Subsequent shipments: 10,000 MT per month
- Price:
- LME minus 18% gross, 15% net to the end buyer
- Commission:
- Total 3%, split 1% seller / 1% facilitator / 1% buyer
Payment terms:
- First shipment – 1,000 MT
- No upfront payment.
- Payment after delivery and independent inspection / assay (details to be aligned with your standard procedures).
- Subsequent shipments – 10,000 MT/month
- Buyer will operate only via DLC / SBLC or escrow account, to be detailed in the SCO and FCO/contract.
For this high-volume structure, we are looking for serious producers or title-holders able to demonstrate sustainable supply and export capacity.
If you agree in principle with the above deal frameworks and/or if you can make a better proposal (price, incoterms, volumes, procedures), we kindly ask you to send us as soon as possible:
1. Your Soft Corporate Offer (SCO) on your company letterhead, clearly stating:
- Full corporate name and address
- Role (producer, title-holder, refinery, or trader with allocation)
- Origin and location of the goods
- Quality specs (LME BS6017 / LME Grade A)
- Quantities available (trial & monthly) for each option you can support
- Incoterms and loading / discharge points
- Price formula (LME – X% gross / net)
- Detailed payment procedures and banking instruments
- Validity of the offer
2. A basic Proof of Product (POP), as far as you are comfortable at this stage, for example:
- Recent warehouse / bonded warehouse receipts
- Export license / production license (if applicable)
- Past performance evidence (e.g. redacted BLs or SGS/CCIC reports)
The goal at this stage of the commercial process is to identify genuine producers / title-holders we can include in the current deals and in future mandates.
Intermediaries & communication
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- I act as the main facilitator, directly linked to the end buyers.
- Please indicate clearly if you are a producer, title-holder, or intermediary, and provide your commission expectations on the seller’s side.
- Only clean and transparent chains will be considered (no long daisy chains).
We remain available to organize a call or video conference to discuss your procedures and align them with the buyers’ compliance departments and banks.
Kind regards,
