TTT

Tanker-to-Tanker Transfer

Tanker-to-Tanker Transfer (TTT) transaction is usually conducted in the International waters. The buyers and sellers' vessels exchange communication document and commence communication.

The seller's vessel would send a marine document called (NOR) to the buyer's vessel.

NOR stands for Notice of Readiness.

This means that the seller's vessel contacts the buyer's vessel as a confirmation that he is ready to sail and meet him at an agreed discharge point.

The Buyer's vessel will respond with an "ETA" which stands for "Expected Time of Arrival".

This is the time he expect to arrive at the agreed meeting point for a TTT transaction.

TTT is a very risky type of transaction. The ocean could be very cruel.

Among the three forms of crude oil delivery to the buyer, CIF is the most recommended.

The seller gets paid after the product is trans-shipped into the buyer's vessel, Q & Q Conducted, and all relevant documents are presented to the buyer's bank as specified in the contract.

However, most sellers will require the buyer to open an irrevocable letter of credit in favor of the seller before trans- shipment takes place.

This assures the seller that the buyer will not steal the product and run away.

This type of contract is usually executed and completed at a mutually agreed point by both vessel captains in international waters.