Mazut Procurement: CIF China & CFR Qingdao
Mazut Procurement – CIF China & CFR Qingdao
Heavy fuel oil drives power plants, cement kilns and industrial boilers across coastal China. Mazut M-100 and HSFO 380 CST cargoes trade on tight allocation windows—refineries rarely hold unsold stock. Financely operates as your procurement operator: we secure the slot, fix the freight, supervise inspection and deliver the cargo under clear Incoterms (CIF, CFR or DAP) with an up-front retainer model.
Operator Retainer – Tiered Waterfall
| Contract Value | Up-Front Retainer* |
|---|---|
| USD 10 – 25 million | USD 200 000 |
| USD 25 – 50 million | USD 250 000 |
| USD 50 – 100 million | USD 300 000 |
| > USD 100 million | Custom quote |
*Payable by bank transfer or LC at sight once SGS / Intertek releases the inspection report.
Retainer Covers
- Sourcing & Allocation – lock refinery slot at Black Sea, Middle East or SEA origin.
- Freight & Laytime – charter Aframax/Suezmax, negotiate demurrage caps.
- Quality & Quantity Control – independent inspection (density, viscosity, sulphur, CCR, water).
- Customs & CIQ – advance filing and duty optimisation for China discharge.
- Document Pack – B/L, CQQ, ullage, insurance cert, commercial invoice.
Popular Incoterms – Quick Guide
| Incoterm | Title Passage | Seller Pays | Buyer Pays |
|---|---|---|---|
| CIF China (e.g., Qingdao) | Vessel rail at discharge | Product + ocean freight + marine insurance | Import duty, VAT, port fees, onward logistics |
| CFR China | Vessel rail at discharge | Product + ocean freight | Insurance, duty, VAT, port fees |
| DAP Terminal China | After tank transfer | Product + freight + discharge costs | Duty, VAT, in-country haulage |
Pricing Method
Final price = Argus FOB Black Sea HSFO 380(or relevant origin) ± differential for viscosity, timing and freight. Differentials move with bunker market and tanker availability—no unrealistic rebates.
Operator Workflow
- Pre-Screen – Buyer KYC, parcel size, target port and Incoterm.
- Engagement Letter – Scope & retainer tier confirmed.
- Slot & Freight – Refinery allocation secured, vessel fixed.
- Inspection – Independent lab issues Q&Q report.
- Retainer Settlement – Fee paid against inspection.
- Title & Cargo Payment – Buyer settles cargo value; documents released.
Buyer Readiness Checklist
- Corporate registration + import licence
- Proof of funds or draft LC for cargo value
- Acceptance of screen-based pricing
- Signed engagement letter + retainer budget
Need Mazut delivered CIF or CFR China? Submit your spec and laycan for a firm quote.
Request a QuotationFinancely Group provides procurement and operator services. All trades are subject to KYC, sanctions screening and PRC import regulations. We may decline counterparties that do not meet professional or legal standards.
Get Started With Us
Submit Your Deal & Receive a Proposal Within 1-3 Working Days
Submit your deal using our secure intake form, and receive a quote within 1-3 business days. Existing clients can connect with their relationship manager through our secure web portal.
All submissions are
promptly reviewed, and all communications are conducted through the intake form or the client portal for a seamless and secure process.
Thank you for considering working with us. A nominal fee of US$500 is required upon completion of each form. This fee covers the time and effort we invest in reviewing your submission and crafting a thorough proposal. We receive numerous inquiries and prioritize those that carry this fee, ensuring serious applicants receive prompt attention.
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