OT05234 - PRT: the nomination scheme - effective nominations - further provisions
A nomination will not be effective unless oil is sold under an arm바카라 사이트™s length contract on terms that incorporate the information contained within the nomination, but the contract need not specify the transaction base time.
Also, provided the oil is delivered through a contract as specified as above, the delivery month need not be the one specified in the nomination and contract.
Therefore, assuming the other conditions for effective nominations are met, if a business hours nomination specifies the following:
- Seller: Producer Ltd
- Buyer: Refiner Ltd
- Fields: Brent, Ninian and Magnus
- Price: $50\bbl
- Volume: 600,000bbls +\- 1%
- Delivery month: January 2007
- TBT: 10 am 2nd December 2006
and Producer Ltd sells 605,000 bbls of Brent blend to Refiner Ltd at $50\bbl under a January 2007 BFO, that nomination will be effective even if the oil in question is not actually delivered until February 2007.