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Crude Oil Sales Agreement Template for Austria

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Key Requirements PROMPT example:

Crude Oil Sales Agreement

"I need a Crude Oil Sales Agreement for a 12-month term deal starting March 2025, covering monthly deliveries of 50,000 barrels of Brent crude on FOB terms at Port of Trieste, with payment via confirmed letter of credit."

Document background
The Crude Oil Sales Agreement is essential for documenting and governing the sale and purchase of crude oil between commercial parties in Austria. It is typically used when establishing either spot or term arrangements for crude oil trading, incorporating specific requirements under Austrian law and EU regulations. The document provides comprehensive coverage of commercial terms, operational procedures, and regulatory compliance requirements, including specific provisions related to quality specifications, measurement standards, delivery terms, and price mechanisms. As an Austrian law-governed agreement, it must comply with both domestic legislation (such as the Austrian Commercial Code and Mineral Raw Materials Act) and relevant EU directives, while also addressing international trading practices common in the oil industry. The agreement serves as a crucial risk management tool, clearly defining rights, obligations, and liabilities of all parties involved in the transaction.
Suggested Sections

1. Parties: Identification of buyer and seller with full legal names and addresses

2. Background: Context of the agreement and relationship between parties

3. Definitions: Detailed definitions of technical and commercial terms used throughout the agreement

4. Sale and Purchase Obligation: Core obligation of seller to sell and buyer to purchase agreed quantities of crude oil

5. Quality Specifications: Detailed specifications of the crude oil grade and quality parameters

6. Quantity and Measurement: Agreed volumes, measurement methods, and standards

7. Price and Payment Terms: Pricing formula, currency, payment timing, and invoicing requirements

8. Delivery Terms: Delivery point, transfer of title and risk, loading/discharge requirements

9. Nominations and Scheduling: Process for nominating vessels and scheduling loadings

10. Transportation and Shipping: Vessel requirements, vetting procedures, and shipping terms

11. Testing and Inspection: Sampling procedures, testing methods, and independent inspection

12. Force Majeure: Definition of force majeure events and consequences

13. Liability and Indemnification: Allocation of risks and responsibilities between parties

14. Term and Termination: Duration of agreement and termination rights

15. Governing Law and Dispute Resolution: Choice of Austrian law and dispute resolution mechanisms

16. Miscellaneous: Standard boilerplate provisions including notices, amendments, and assignments

Optional Sections

1. Letter of Credit: Required when payment security through LC is agreed

2. Terminal Requirements: Needed when specific loading/discharge terminal requirements apply

3. Environmental Protection: Additional environmental provisions beyond standard requirements

4. Sanctions Compliance: Detailed sanctions compliance provisions for high-risk jurisdictions

5. Price Review: Mechanism for price review in long-term contracts

6. Tank Storage: Required when storage at specific facilities is part of the agreement

7. Minimum/Maximum Volume Commitments: For term contracts with volume flexibility

8. Hedging Arrangements: When price hedging is part of the commercial arrangement

Suggested Schedules

1. Schedule 1 - Product Specifications: Detailed technical specifications of the crude oil grade

2. Schedule 2 - Pricing Methodology: Detailed pricing formula and price adjustment mechanisms

3. Schedule 3 - Measurement and Testing Procedures: Technical standards and procedures for measurement and testing

4. Schedule 4 - Loading/Discharge Port Requirements: Specific requirements for designated ports

5. Schedule 5 - Vessel Requirements: Technical and operational requirements for vessels

6. Schedule 6 - Form of Notice of Readiness: Standard form for vessel notices

7. Schedule 7 - Form of Bill of Lading: Standard form of bill of lading to be used

8. Schedule 8 - Form of Letter of Credit: Required LC format and terms

9. Appendix A - HSE Requirements: Health, safety, and environmental requirements

10. Appendix B - Compliance Requirements: Detailed compliance obligations including sanctions and anti-corruption

Authors

Alex Denne

Head of Growth (Open Source Law) @ 黑料视频 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
Clauses



































Relevant Industries

Oil & Gas

Energy Trading

Shipping & Maritime

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Petrochemicals

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Financial Services

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Relevant Teams

Legal

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Finance

Treasury

Shipping

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Environmental

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Trading Manager

Commercial Director

Legal Counsel

Compliance Officer

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Quality Control Manager

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