Origin	Nigeria
high grade copper	5- 100

COMMODITY:    MATERIAL HIGH GRADE COPPER ORE 15-98%, sold on dry metric ton basis.

1.            QUALITY AND SPECIFICATION 

   Copper  Ore with the following specification (based on CCIC/SGS report)

   Cu: 15%Min

   As  <1%

      H₂O :         Dry

Size :        5-100mm

MC (moisture content):   3-4% or less.

The outturn weights and quality at discharge port analyzed by CIQ shall be taken for       final settlement.

The material shall be otherwise free from constituents deleterious to the smelting and refining process and free from contamination.  The typical assays shall be close to the actual quality.

TOTAL QUANTITY              Approximately 60,000 metric tons or above during one calendar   year.

2.            SHIPMENT               Trial of 500 metric tons per month. In jute bag of 50 kg, palletizes, in containers of 20’. Wheafter 5,000MT and above per month.

The HIGH GRADE COPPER ORE parties agree to have following shipping schedule:

                                                Each months above-mentioned shall be called and considered as "contractual month of shipment".

3     LOADING                     ONNE Sea port, Port-Harcourt, Rivers State, Nigeria

4 UNLOADING             

5 SHIPMENT 

 shall be effected shipment at loading port within 10 days after contract signs and receipt L/C sample of the buyer, full laoding shall commence once buyer’s LC is confirmed.

the seller have to advance notify buyer the date of the goods arrival in loading port, so that the buyer appointed ship and surveyor of inspaction.

Partial shipment are allowed. Transhipment are allowed.

6     PRICES:     

C&F USD/DMT, ONNE Sea port ,Port-Harcourt, Rivers State,or or Tin Can Island Port, Lagos, Nigeria .

The price will be calculated for every Quotational Period (QP) according to the following formula, all based on dry metric ton:

Cu between 50-100% LME (QP) x Grade.

Copper: Average of the daily Official Settlement Quotation for Lead Grade of the LME (London Metal Exchange), during on the B/L date the Official LME 10 days  average cash price.

the corresponding quotational period. If the percentage of Cu is below 15%, the buyer can reject the cargo or negotiate for new price.

       6.1  If  FOB USD$/DMT, ONNE Sea port, Port-Harcourt,  Nigeria

Pb% content                               x                        FACTOR %

For example: Cu content is 20% the formula would be derived from above:

Then, the Copper ore of Cu content 20% C&F price = LME Cu x 20% x F 50%.

For example, on Oct 26 of 2009, LME “ cash seller & settlement” price was USD1815, then the FOB price of the Copper ore of 20% Cu should be = 6,675.50 X 20% X 50%  = USD 667.55.00/MT. The real price should based on 10 days average LME price from date of LC opeing.

6.2   If C&F USD/DMT PORT PF DELIVERY

Cu% content       x                FACTOR %   +            Freight/MT______

For example: Cu content is 20% the formula would be derived from above:

Then, the Copper ore of Cu content 20% C&F price = LME Cu x 20% x  F 50% + actual  expenses of  freight to China Main Port.

Here, the freight is USD*****/MT. Because the weight limit for a 20’ container is 22.8MT, but we use 20MT per container to calculate the freight/MT = USD*****/23MT = USD******/MT.

If the cargo is lower than 13% Cu, the buyer can either reject the cargo, or

request that the Seller shall immediately provide another cargo with the same

specification which is stipulated in the contract and all fees includes expenditure,

losses, Interest, etc which are accurred by the business shall be for Seller’s

account or negotiate for a new price with the seller.