How ALGHAF MARINE FZCO structures petroleum logistics
Petroleum logistics are structured for the individual transaction rather than around one permanent loading port. Product, origin, cargo allocation, buyer destination, vessel requirements and shipment window determine the applicable FOB, CIF or STS execution model.
Depending on the cargo program, execution may involve UAE / Fujairah, Mediterranean · Egypt, ARA, Southeast Asia / OPL, Black Sea or other approved transaction-specific locations.
A loading or transfer location does not by itself determine product origin.
FOB petroleum transactions
Under an FOB transaction, the seller delivers the contractual cargo on board the buyer-nominated vessel at the named port of shipment. Risk transfers according to the Incoterms rule stated in the SPA, while the buyer normally arranges the main ocean carriage.
The loading port is transaction-specific and is confirmed in the commercial offer and SPA.
Buyer normally provides / arranges
- nominated vessel
- vessel particulars / Q88 where applicable
- main carriage
- destination arrangements
- operational coordination required under the SPA
Seller execution normally covers
- contractual cargo preparation
- loading coordination
- transaction-specific export/shipping documentation
- inspection according to the SPA
- delivery on board at the contractual loading point
CIF petroleum transactions
Under CIF, the seller contracts and pays the cost of carriage and the applicable cargo insurance to the named destination port, while risk transfers at the point defined by the applicable Incoterms rule and SPA.
CIF pricing is destination-specific and reflects product origin, loading point, cargo size, freight, insurance, voyage economics and shipment window. CIF to approved destinations, subject to route and compliance review.
Buyer normally provides
- nominated destination port
- required quantity
- required specification
- discharge requirements where relevant
- shipment window
Seller structures
- contractual cargo
- main carriage
- applicable insurance
- shipping documentation
- contractual inspection
- delivery documentation according to SPA
Ship-to-Ship (STS) petroleum operations
STS execution may be used where the contractual cargo is transferred between vessels at an approved location rather than through a conventional berth loading or discharge operation.
Availability depends on cargo allocation, vessel compatibility, operational approvals, weather, local requirements and the contractual transaction structure.
Information normally required for STS evaluation
- Product / specification
- Parcel size
- Proposed STS region
- Receiving vessel details
- Q88 where applicable
- Vessel type / dimensions / draft
- Required operational window
Potential regions may include UAE / Fujairah · ARA · Southeast Asia / OPL · other approved transaction-specific locations.
Loading and execution regions
ALGHAF MARINE FZCO is not limited to a single petroleum loading port. Available execution locations depend on the individual cargo program.
UAE / Gulf
FOB, CIF and STS structures may be evaluated through applicable UAE / Gulf execution locations depending on product and allocation.
Mediterranean · Egypt
Mediterranean and Egypt-based loading or transit structures may be available for applicable cargo programs.
ARA
ARA execution may be considered for applicable marine fuel and petroleum transactions, subject to allocation and operational structure.
Southeast Asia / OPL
STS and other execution structures may be available through applicable Southeast Asian / OPL locations.
Black Sea
Black Sea execution remains available for applicable cargo programs.
Origin, sanctions screening & route compliance
Product origin, physical loading point and transaction route are separate commercial and compliance attributes.
Non-sanctioned origin options are available for selected product programs. The final origin is confirmed for the individual transaction and stated in the applicable commercial and cargo documentation.
Each proposed transaction remains subject to applicable review of the buyer, seller-side counterparties, destination, origin, vessel, route and other transaction participants. See compliance.
Typical petroleum transaction documents
The exact documentary package depends on product, origin, Incoterm, destination and SPA.
Depending on the transaction, documents may include:
- Commercial Invoice
- Bill of Lading
- Certificate of Analysis / Quality
- Quantity / Quality Inspection Report
- Certificate of Origin, where applicable
- Export / customs documentation, where applicable
- Insurance Certificate, where applicable under CIF
- Other shipping or contractual documents defined in the SPA
Cargo-specific operational and inspection documents are provided according to the contractual milestones defined in the SPA. Confidential documents from unrelated historical transactions are not used as proof of a new cargo.
Transaction and inspection milestones
- Buyer requirement
- Buyer/company qualification
- Trading Portal registration
- KYC/KYB
- Commercial indication / offer
- SPA / PI
- Electronic signing
- Transaction-specific funding instructions
- First contractual funding stage
- Allocation / vessel / logistics coordination
- Independent inspection at contractual milestone
- Subsequent contractual stages
- Loading / shipment
- Delivery / acceptance / final settlement
Operational details such as final loading point, vessel nomination, laycan and inspection arrangements are released or confirmed according to the applicable contractual stage.
What we need for a workable commercial indication
A workable petroleum indication requires more than a product name. Pricing and logistics depend on the exact cargo requirement and proposed execution structure.
- Product and specification
- Quantity
- Trial or recurring volume
- Destination
- Delivery basis: FOB / CIF / STS
- Preferred shipment window
- Buyer company
- End buyer / trader / intermediary status
- Vessel details where relevant to FOB / STS
- Readiness to proceed under the ALGHAF MARINE FZCO transaction framework
Request a petroleum commercial indication
Submit the required product, quantity, destination, delivery basis and shipment window. Following buyer qualification, ALGHAF MARINE FZCO can evaluate the applicable origin, execution route and current commercial indication.
Petroleum logistics frequently asked questions
What is FOB in a petroleum transaction?
Under an FOB structure, the seller delivers the contractual cargo on board the buyer-nominated vessel at the named port of shipment. The exact allocation of risk, cost and operational responsibility is defined by the applicable Incoterms rule and SPA.
What is CIF in a petroleum transaction?
Under CIF, the seller contracts and pays the applicable freight and cargo insurance to the named destination port. The precise transfer of risk and responsibilities is governed by the applicable Incoterms rule and SPA.
What is an STS petroleum transfer?
Ship-to-Ship (STS) is an operational transfer of petroleum cargo between vessels at an approved location. STS availability depends on vessel compatibility, cargo allocation, operational approvals and the contractual transaction structure.
Which petroleum loading regions are available?
Available loading and execution locations are transaction-specific and may include UAE / Gulf, Mediterranean · Egypt, ARA, Southeast Asia / OPL, Black Sea and other approved locations depending on product, allocation, destination and shipment window.
Are non-sanctioned origin petroleum products available?
Yes. Non-sanctioned origin options are available for selected product and cargo programs, subject to destination, allocation and transaction-specific compliance review.
How do I choose between FOB, CIF and STS?
The appropriate execution basis depends on destination, vessel arrangements, cargo size, buyer logistics capability, available allocation and shipment window. Provide the required transaction parameters and ALGHAF MARINE FZCO can evaluate the workable structure.
Logistics structures shown on this page are general transaction frameworks. Final origin, loading point, delivery basis, vessel requirements, documentation and commercial terms are confirmed in the applicable commercial offer and SPA.