40A:*** TYPE OF L/C IRREVOCABLE

20 BANK REFERENCE
NO
21 DOCUMENTARY
CREDIT NUMBER
31 C DATE OF ISSUE
52 A ISSUING BANK IDBI BANK, India
31D :
*** DATE & PLACE OF 2010/31/03 INDONESIA
EXPIRY:
50 :
*** NAME AND ADDRESS XXXXXXXXXXXXXXXXX
OF THE APPLICANT POONAM CHAMBERS
DR ANNIE BESANT ROAD
MUMBAI INDIA

59 :
*** NAME AND ADDRESS
OF THE
BENEFICIARY
32B: CURRENCY CODE & USD _________________
*** AMOUNT OF CREDIT
IN FIGURES AND IN
WORDS
39A: #
PERCENTAGE CREDIT +/-10%
AMOUNT
TOLERANCE
39B:
# MAXIMUM CREDIT
AMOUNT
41a : CREDIT AVAILABLE
(A/D) WITH MENTION BANK NAME OF THE SELLER
***
CREDIT AVAILABLE ACCEPTANCE DEF PAYMENT √ NEGOTIATION SIGHT PAYMENT
BY

42c:
DRAFTS AT √ AT SIGHT FOR 100 PCT OF INVOICE VALUE
42a:
DRAWEE MENTION BANK NAME OF THE SELLER
43P:
PARTIAL SHIPMENTS √ PROHIBITED PERMITTED
43T:
TRANSHIPMENTS √ PROHIBITED PERMITTED
44E: PORT OF LOADING
TABONEO, SOUTH KALIMANTAN, INDONESIA
44F : PORT OF DISCHARGE
ANY INDIAN PORT
44C:
LATEST DATE OF 2010/3/20
SHIPMENT
45A:
QUANTITY AND 50,000 MT (+/-10 PCT)
DESCRIPTION OF INDONESIAN NON COKING THERMAL COAL IN BULK AT USD $____/MT.
GOODS FOB CFR CIF
(BRIEF DETAILS) RATE OF US DOLLAR ____.00/- PER MT,

FOB (Please mark) Others(Specify

TABONEO ANCHORAGE, INDONESIA

GUARANTEED SPECIFICATION ACCORDING TO ASTM STANDARDS

GROSS CALORIFIC VALUE: 6300 MINIMUM REJECTION BELOW 6100

If the actual gross caloric value (ADB) of coal at load port according to the certificate of
analysis and sampling as issued by Inspectorate Griffith International at the load port is
above or below 6,300 Kcal/Kg. (ADB) upto 6,100 Kcal/kg min, then base price will be
adjusted as follows:

Adjusted FOB Price = USD ___.00 x Actual GCV (ADB)

………………………………….
6300 Kcal/Kg

However, Buyer reserves the right to accept, reject or re-negotiate the FOB price of the said
shipment if the load port shipment quality certificate states that the shipment cargo is below
GCV 6100 Kcal/Kg (ADB).

TOTAL MOISTURE (AS RECEIVED BASIS- ARB) : 16 PCT TYPICAL REJECTION ABOVE 18%

MOISTURE PENALTY
If the total moisture (ARB) exceeds 16.00% but is below 18%, the shipment cargo weight, as
mentioned in the certificate of analysis and sampling as issued by Inspectorate Griffith
International at the load port shall be adjusted as follows:

Weight for invoice purpose = (116– Actual Total Moisture) X B/L weight
100

If Total Moisture exceeds 18%, according to the load port quality certificate, the Buyer shall
reserve the right to accept, reject or re-negotiate the shipment cargo FOB price.
VOLATILE MATTER (AIR DRIED BASIS) : 40 PCT MINIMUM
45 PCT MAXIMUM

ASH CONTENT (AIR DRIED BASIS) : 13 PCT TYPICAL REJECTION ABOVE 15 PCT
ASH PENALTY IF ASH EXCEEDS 13 PCT ASH (AIR DRIED), THEN PRICE WILL BE
REDUCED BY USD 0.25 PER TONNE FOR EVERY 1 PCT OR LESS OF
ASH CONTENT IN EXCESS OF 13 PCT.
If ASH exceeds 15%, according to the certificate of analysis and sampling as issued by
Inspectorate Griffith International at the load port, the Buyer shall reserve the right to accept,
reject or re-negotiate the shipment cargo FOB price.

TOTAL SULPHUR (AIR DRIED BASIS) : 0.8 PCT TYPICAL REJECTION : ABOVE 1 PCT
SULPHUR PENALTY IF TOTAL SULPHUR EXCEEDS 0.80 PCT TOTAL SULPHUR (AIR
DRIED)
THEN PRICE WILL BE REDUCED BY USD 0.25 PER TONNE FOR
EVERY 0.1 PCT OF TOTAL SULPHUR CONTENT IN EXCESS OF 0.80 PCT
The Buyer reserve the right to accept, reject or re-negotiate the FOB price of the said
shipment Coal if Sulphur content is above 1%, according to the certificate of analysis and
sampling as issued by Inspectorate Griffith International at the load port

SIZE
50 MM x 0 85 PCT MINIMUM; 50-100 MM 15% MAXIMUM
FINES 0-10 MM 30% MAXIMUM
46A: DOCUMENTS i. SELLER signed and stamped commercial invoice in 1 (one) original + 4 (four)
REQUIRED
copies showing details of calculation based on which the price is calculated in
accordance with price adjustment clause as mentioned in 47 A additional
conditions and the deductions of the demurrage, dead freight and vessel damage if
any payable by the seller to the buyer if any according to the timesheet issued by
the Master of the Vessel and accepted by the seller and the buyer.
ii. 3/3 (three original three copies), full set of original clean on board Bill of Loading
clearly marked “Freight Payable as per Charter Party” WITH SHIPPER AS
_________; CONSIGNEE MADE OUT TO ORDER AND NOTIFY PARTY AS
TAURIAN IRON AND STEEL PVT. LTD., INDIA.
iii. Certificate of Sampling Analysis in 1 (one) original + 2 (two) non-negotiable copies
issued by Inspectorate Griffith International at the loading port.
iv. Certificate of Weight in 1 (one) original + 2 (two) non-negotiable copies issued by
Inspectorate Griffith International at the loading port.
v Draft Survey Report in 1 (one) original + 2 (two) non-negotiable copies issued by
Inspectorate Griffith International at the loading port.
vi. Certificate of Origin in 1 (one) original + 1 (one) non-negotiable copy issued by at
the loading port. (Pls mention the name of authority)
vii. An undertaking certificate from seller, countersigned by Buyer’s representative at the
loading port, clearly stating that one (1) set of all negotiable shipping documents
have been sent to the Buyer by International Air Courier within 5 (Five) Business
days from the date of sailing of the vessel. A copy of the Airway bill to be
enclosed.
viii. Timesheet issued by the master of the vessel in (1) Original and 4 copies.

47 A: ADDITIONAL PRICE ADJUSTMENT CLAUSE

CONDITIONS
a) Gross Caloric Value:
If the actual gross caloric value (ADB) of coal at load port is above or below
6,300 Kcal/Kg. (ADB) upto 6,100 Kcal/kg min, then base price will be
adjusted as follows:

Adjusted FOB Price = USD ___.00 x Actual GCV (ADB)

………………………………….
6300 Kcal/Kg

However, Buyer reserves the right to accept, reject or re-negotiate the FOB price of the said
shipment if the load port shipment quality certificate states that the shipment cargo is below
GCV 6100 Kcal/Kg (ADB).

b) Total Moisture:
If the total moisture (ARB) exceeds 16.00% but is below 18%, the shipment
cargo weight, as mentioned in the Certificate of Weight shall be adjusted as
follows:

Weight for invoice purpose = (116– Actual Total Moisture) X B/L weight
100

If Total Moisture exceeds 18%, according to the load port quality certificate, the Buyer shall
reserve the right to accept, reject or re-negotiate the shipment cargo FOB price.

c) Sulphur Content :
If the actual Sulphur Content (ADB) is above 0.8%, a penalty of USD 0.25
PMT for every 0.10% increase up to 1% will be deducted from FOB price,
fraction pro rata.

AMOUNT UNDERDRAWN DUE TO QUALITY ADJUSTMENT IS ACCEPTABLE. PRICE ADJUSTMENT CLAUSE AS

EVIDENCED IN CERTIFICATE OF SAMPLING AND ANALYSIS
 OTHER TERMS AND CONDITIONS

1. CHARTER PARTY BILLS OF LADING ARE ACCEPTABLE

2. LC TO BE CONFIRMED BY AT COST OF THE BENEFICIARY.

3. SPELLING MISTAKES AND TYPOGRAPHICAL ERRORS ON THE L/C TEST AND DOCUEMENTS ARE NOT
TO BE CONSIDERED AS DISCREPANCY EXCEPT FOR QUANTITY AND AMOUNT

4. THE VALUE OF THIS LETTER OF CREDIT MAY ESCALATE /DE-ESCALATE IN ACCORDANCE WITH THE
ABOVE PRICE ADJUSTEMENT CLAUSE AND / OR INVOICED AMOUNT WITHOUT ANY FURTHER
AMENDMENT ON OUR PART.

5. TOLERANCE OF +/-10 PCT IN QUANTITY AND VALUE AMOUNT ACCEPTABLE

6. THE WORD PERCENT OR PCT OR PERCENT SYMBOL IN ALL DOCUMENTS ACCEPTABLE FOR
NEGOTIATION.

7. THIS DOCUMENTARY LETTER OF CREDIT SHALL TAKE EFFECT IN ACCORDANCE WITH ITS TERMS
BUT SUCH TERMS SHALL NOT ALTER, ADD TO OR IN ANY WAY AFFECT THE CONTRACT BETWEEN
APPLICANT AND BENEFICIARY, TO WHICH THIS DOCUMENTARY LETTER OF CREDIT RELATES.

8. THE DESCRIPTION OF THE GOODS IN THE COMMERCIAL INVOICE MAY BE IN GENERAL TERMS BUT
NOT INCONSISTANT WITH THE DESCRIPTION OF THE GOODS IN THIS LETTER OD CREDIT (ART 18C
OF UCPDC 600 EXCLUDED).

9. THIRD PARTY DOCUMENTS ACCEPTABLE EXCEPT DRAFT AND INVOICE

10. PHOTOCOPY IN LIEU OF COPY DOCUMENTS ACCEPTABLE

10. ALL DRAFTS (IF REQUIRED) MUST BEAR OUR L/C NO., ISSUE DATE AND BANK NAME
11. +A DISCREPANCY FEE OF USD 100.00 (OR EQUIVALENT) PLUS THE RELATIVE
TELECOMMUNICATION CHARGES WILL BE DEDUCTED FROM THE PROCEEDS PER
EACH PRESENTATION OF DISCREPANT DOCUMENTS.
+ONE ADDITIONAL PHOTOCOPY OF INVOICE AND TRANSPORT DOCUMENT ARE
REQUIRED FOR L/C ISSUING BANK'S FILE AND WILL NOT BE RETURNED
EVEN DOCUMENTS ARE FINALLY REFUSED. IF THESE DOCS ARE NOT
PRESENTED, A PHOTOCOPY HANDLING FEE OF USD 20.00 PER SET WILL BE
DEDUCTED FROM THE PROCEEDS OF PAYMENT.
+DOCUMENTS DISPOSAL CONDITIONS - IF WE GIVE NOTICE OF REFUSAL OF
DOCUMENTS PRESENTED UNDER THIS CREDIT, WE SHALL RETAIN THE RIGHT
TO ACCEPT A WAIVER OF DISCREPANCIES FROM THE APPLICANT SUBJECT TO
SUCH WAIVER BEING ACCEPTABLE TO US, WE SHALL RELEASE DOCUMENTS
AGAINST THAT WAIVER WITHOUT REFERENCE TO THE PRESENTER PROVIDED
THAT THERE IS NO WRITTEN INSTRUCTION TO THE CONTRARY RECEIVED BY
US FROM THE PRESENTER BEFORE RELEASING THE DOCUMENTS. ANY SUCH
RELEASE PRIOR TO RECEIPT OF CONTRARY INSTRUCTIONS SHALL NOT
CONSTITUTE A FAILURE ON OUR PART TO HOLD THE DOCUMENTS AT THE
PRESENTER'S RISK AND DISPOSAL AND WE WILL HAVE NO LIABILITY TO
THE PRESENTER IN RESPECT OF SUCH RELEASE.
IF DOCUMENTS PRESENTED TO US ARE FOUND TO BE DISCREPANT, WE
RESERVE THE RIGHT TO FORWARD THESE DOCUMENTS TO THE ISSUING BANK
FOR APPROVAL AND PAYMENT WITHOUT REFERENCE TO PRESENTING BANK.
.
NO DOCUMENT EXCEPT INVOICE AND DRAFT TO SHOW UNIT PRICE OR
VALUE OF GOODS.
.
NOTWITHSTANDING THE PROVISIONS OF ARTICLE 23 OF INTERNATIONAL
STANDARD BANKING PRACTICE FOR THE EXAMINATION OF DOCUMENTS UNDER
DOCUMENTARY CREDITS, 2007 REVISION FOR UCP600, AXIS BANK LTD WILL
HANDLE ANY DOCUMENTS PRESENTED IN A LANGUAGE OTHER THAN ENGLISH
ON A COLLECTION BASIS ONLY.
.
A DISCREPANCY FEE OF USD 100.00 WILL BE DEDUCTED FROM THE
PROCEEDS PER EACH PRESENTATION OF DISCREPANT DOCUMENTS.

71 B: SPECIFY IF ANY ALL COMMISSIONS, EXPENSES AND CHARGES APPLICANT’S COUNTRY IN RESPECT OF THIS CREDIT ARE FOR
CHARGES ARE TO THE APPLICANT’S ACCOUNT ALL COST IN BENEFICIARY’S COUNTRY INCLUDING CONFIRMATION, IF
BENEFICIARY’S REQUESTED BY BENEFICIARY, ARE FOR BENEFICIARY’S ACCOUNT.
ACCOUNT

48: PERIOD OF DOCUMENTS PRESENTED WITHIN 15 DAYS OF THE SHIPMENT DATE

PRESENTATION OF
DOCUMENTS

49: *** CONFIRMATION MAY ADD

INSTRUCTIONS

57a “ADVISE THROUGH”

 BANK
INSTRUCTION TO +THE AMOUNT OF DRAWING MUST BE ENDORSED ON THE REVERSE OF THE
78 NEGOTIATING/ACCPT CREDIT.
/PAYG BANK +THE PRESENTING BANK IS TO FORWARD DOCUMENTS STRICTLY AS PER THE
TERMS OF THIS LC PLUS ONE SET OF NON-NEGOTIABLE DOCUMENTS IN ONE
LOT DIRECTLY TO _ BY COURIER. WE SHALL REIMBURSE THEM AS
PER THEIR INSTRUCTIONS.