SNR DEDICATED CONTRACTS (PTY)

Registration number 2018/219947/07 PART 4 OF PART 156

ROOIKRAAL HEIDELBERG GAUTENG
2400
PHONE: +27845030217 Date:21/6/2021

We, SNR DEDICATED CONTRACTS (PTY)hereby confirm with full corporate responsibility that we are ready, willing and able
to enter into a Sales and purchase contract for the following commodity as per the quantity, price, specification, terms and
conditions stated below. The funding, including any import permits, licenses are required from the buyer to fulfill this
purchase obligation.
COMMODITY : USED RAILS R50-65
SIZE PER METRIC TON : All Used Rail R50-R65. Cut Length
1.5mt. R50-R65 USED RAIL SCRAP HS CODE : 73021090,

Specifications R50 & R65 ISRI CODES 27-29

The chemical composition is the standard for R50 & R65 rails, original weight 50 pounds per yard or heavier, 6 meters
long and over.
Material to be suitable for re-rolling into bars and shapes. Free from bent and twisted Rails, frog, switch and guard
rails, rails with split heads and broken flanges. Continuous welded rail may be included provided no weld is over 9
inches from the end of a piece of rail. Free from fluff, non- ferrous inclusions excessive rust and other impurities. Free
from war and explosives, shells, cartridges, other arms and ammunitions used or otherwise and any closed containers.
Free from any radioactive materials, any harmful chemicals, substances and coatings any organic waste, any other
harmful substances. Dirt, dust, rust, fluff and other impurities not allowed over 5%.
ISRI-CODES:
Rail, steel No.1 Standard section T rails, original weight 50 pounds per yard or heavier, 10 feet long and over
Suitable for re-rolling into bars and shapes. Free from bent and twisted rails, frog, switch and guard rails or rails with
split heads and broken flanges. Continuous welded rail may be included provided no weld is over 9 inches from the
end of the piece of rail.
(28a) Rail, steel No.2 Cropped Rail Ends, standard section, original weight of 50 pounds per yard and over, 18 inches
long and under.
(28b) Rail, steel No.2 Cropped Rail Ends, standard section, original weight of 50 pounds per yard and over, 2 feet
long and under.
(28c) Rail, steel No.2 Cropped Rail Ends, standard section, original weight of 50 pounds per yard and over, 3 feet
long and under.
Rail, steel No.3 Standard section T, girder and/or guard rails, to be free from frog and switch rails not cut apart and
contain no manganese, casts, welds or attachments of any kind except angle bars. Free from concrete, dirt and foreign
material of any kind.

Nominal Specification for R50 51,67 kg/m GOST 7173-75 Nominal

Chemical Composition
Carbon (C) 0.54% to 0.82%
Manganese (Mn) 0.60% to 0.05%
Silicon (Si) 0.18% to 0.40% Sulphur (S) 0.04% to
Maximum
Phosphorous (P) 0.035% to
Maximum Arsenic (Ar) 0.01% to
Maximum

Nominal Specification for R65 – 64.72 kg/m GOST 8165-

75 Nominal Chemical Composition
Carbon (C) 0.54% to 0.82%
Manganese (Mn) 0.60% to 0.05%
Silicon (Si) 0.18% to 0.40%
Sulphur (S) 0.04% to Maximum
Phosphorous (P) 0.035% to
Maximum Arsenic (Ar) 0.01% to
Maximum

PAYMENT TERM:
PAYMENT TERM /OPTIONS:
#TRIAL SHIPMENT : 100% SWIFT TT FOR QUANTITY BELOW 5,000MTW MINIMUM
ORDER. # IRREVOCABLE, NON-TRANSFERABLE LETTER OF CREDIT (DLC/MT700) FROM TOP WORLD
BANK FOR 90% VALUE OF SHIPMENT., AND 10% DIRECT PAYMENT TO THE LOGISTIC COMPANY FOR
THE PROCESSING /TRANSPORTATION OF THE MATERIALS TO DESTINATION.

PRICE : $230 (covers cutting and inland logistics delivery charges to

Destination CIF Inclusive)
PERIOD OF SHIPMENTS : 12 (Twelve) Months with possible rolls and extensions.
INITIAL : 10,000t initially and 10,000t per month regularly on the basis of fulfillment of
the Buyer
MONTHLY QUANTITY : 100,000 MT Per month (+/-
5%) DESTINATION : CIF / ASWP
SHIPMENT METHOD : BULK / 20’’ CONTAINERS.
COUNTRY OF ORIGIN : South Africa or at Seller’s
Choice PORT OF DEPARTURE : Seller’s Choice
INITIAL DELIVERY TIME: 15days after receipt and acceptance of payment instrument for the
materials. INSPECTION AGENCY : SGS at the port of loading.
DOCS REQ’D FOR PAYMENT: Bill of Lading, Commercial Invoice and other documents to be specified
in the contract.
VALIDITY : The validity of this FCO to be 5 international banking days
from the issuing date of FCO.

PROCEEDURE:
1. Seller issues FCO.
2. Buyer accepts/rejects after initial due diligence.
3. Upon acceptance of FCO, Seller issues draft contract.
4. Contract is signed by Buyer, returned to Seller for his signature. (Electronically executed copies of
the contract are legal and acceptable.)
5. Facilitating documentation/export authorization for non-resident required and at buyer cost.
6. Buyer complies to the contract obligation and logistic company commence
processing and transportation to port of Durban via destination.
7. Inspection of materials is only possible at Durban storage facility were all materials will be
consolidated from our various collection point.
8. All cargo and ships must be tested for COVID-19 by the port of shipment at the cost of buyer
and seller.
NOTE: Personalized Photograph, Video & Stock inspection etc., are absolutely at buyers cost.
I Mr. Gama Simeon, hereby declare that all information referenced to our company CONS TED METALS
001 (PTY)LTD and its principals as well as our stated intent to sale the said commodity provided in this
communication is true and correct and we, as the company further request to engage in a formal
contract regarding this transaction.
Name: Gama Simeon
Title: Senior Vice President/General Manager

DOCUMENT MUST BE SIGNED AND SEALED BY THE BUYER.

BUYER BANK ISSUING THE INSTRUMENT:
Bank Name :
Account Name :
Account No. :
IBAN NO.:
SWIFT CODE:
Branch Address :
Bank Telephone No. :
Bank Facsimile No. :
Officer Name :
R50 RAIL TECHNICAL DRAWING
R65 RAIL TECHNICAL DRAWING