Course 17 of 20 · Crude Oil Desk Academy

Tenders, Term Supply and Origination

Stage E, Advanced commercial practice. Level 8 of 10.

Tender construction and evaluation, term negotiation, and originating non-standard supply.

118 chapters · 11 modules · every chapter one 8 to 10 minute explainer · builds on: Course 05, Course 15

Enrol or enquire See the 118 chapters
How a chapter is sized

One chapter is one idea taken to the point of use

Each chapter is a single self-contained explainer of 8 to 10 narrated minutes, covering one idea to the point where you can use it.

Chapters run in order. Each one assumes only what the chapters before it taught, and capability belonging to a later course is named and deferred rather than half-covered.

Curriculum

11 modules · 118 chapters

Open any module for its full chapter list, in teaching order.

M0 How Crude Actually Changes Hands Ch 1-10
  1. The Three Routes a Barrel Takes to Market
  2. What a Tender Actually Is
  3. Why a Seller Runs a Tender Rather Than Calling Three Buyers
  4. What Term Supply Buys Each Side
  5. What Origination Means in Crude
  6. The Cast: Who Tenders, Who Bids, Who Brokers
  7. The Commercial Calendar of Term and Tender Business
  8. Mandate: What You Are Authorised to Commit
  9. Where This Course Sits Against the Contract and the Plant
  10. The Questions a Good Originator Asks First
M1 Constructing the Sell-Side Tender Ch 11-21
  1. Deciding to Tender: The Route Choice
  2. Scoping the Offer: Volume, Grade and Laycan
  3. Building the Invitation List
  4. Anatomy of a Tender Document
  5. Writing the Pricing Basis Into the Tender
  6. The Submission Window and Bid Validity
  7. Firmness: Bid Bonds and Performance Security
  8. The Sealed Process and Why It Must Hold
  9. Reserved Rights, Reserve Prices and the Right to Reject
  10. The Tender Timetable, Start to Award
  11. Clarifications: Answering Bidders Without Favouring One
M2 Tender Terms That Shape the Bids You Get Ch 22-31
  1. Terms as a Selection Device
  2. Payment Terms as a Price Lever
  3. Credit and Security Requirements That Thin the Field
  4. The Laycan Window You Grant and What It Costs
  5. Quantity Tolerance in a Tender Offer
  6. Destination Restrictions and Resale Limits
  7. Choosing the Delivery Basis You Offer On
  8. Inspection, Quality and Measurement Terms in the Offer
  9. Two Tender Designs on the Same Cargo, Part One
  10. Two Tender Designs on the Same Cargo, Part Two
M3 Evaluating the Bids Ch 32-43
  1. What a Bid Tabulation Must Contain
  2. Normalising Bids to One Pricing Basis
  3. Headline Differential Against Effective Value
  4. Putting a Cash Value on Payment Terms
  5. Credit-Adjusted Bid Value
  6. Performance Risk and the Unproven Bidder
  7. Qualified Bids and Non-Price Conditions
  8. The Late Bid, the Improved Bid and the Second Round
  9. Splitting the Award Across Bidders
  10. No Award: Rejecting Everything and Retendering
  11. A Worked Evaluation, Part One: The Bids as They Arrive
  12. A Worked Evaluation, Part Two: The Award Recommendation
M4 The Bid You Submit Ch 44-54
  1. Reading a Tender as a Bidder
  2. Deciding Whether to Bid At All
  3. What You May Ask Before You Bid
  4. Building Your Bid From the Value You Can Realise
  5. The Margin You Need and the Margin You Bid
  6. The Winner's Curse in a Crude Tender
  7. Alternative and Conditional Bids
  8. Validity Risk: What You Carry Between Bid and Award
  9. What Your Bid Tells the Market About You
  10. Losing Well and Learning From the Result
  11. Bidding Into a Recurring Tender Programme
M5 Tender Variants and the Buy-Side Tender Ch 55-63
  1. The Purchase Tender: Buying by Invitation
  2. Writing a Purchase Tender That Attracts Runnable Barrels
  3. Evaluating Offers Into a Purchase Tender
  4. Swap and Exchange Tenders
  5. Multi-Cargo and Programme Tenders
  6. Electronic Auctions and Live Price Discovery
  7. Tendering a Distressed or Unwanted Cargo
  8. First-Cargo Tenders for a New Grade
  9. When a Tender Is the Wrong Tool
M6 Term Supply as a Multi-Issue Negotiation Ch 64-75
  1. The Term Deal as a Package, Not a Price
  2. Mapping the Issue Set Before You Talk
  3. Your Walkaway and the Alternative Behind It
  4. Reading the Other Side's Constraints
  5. Opening Positions and the Anchoring Question
  6. Trading Across Issues Instead of Splitting the Difference
  7. Concession Planning and Sequencing
  8. Negotiating Volume and Tenor Together
  9. Negotiating in a Team and Across Cultures
  10. Deadlock, Pressure and the Credible Walk
  11. The Term Sheet and What Goes to Drafting
  12. The Negotiation Record and the Handover
M7 Term Pricing, Allocation and Renewal Ch 76-86
  1. Official Selling Prices as the Spine of Term Business
  2. Negotiating the Pricing Formula
  3. Allocation, Nomination and the Monthly Cycle
  4. Cutbacks and Force Majeure on a Term Barrel
  5. Swing, Flexibility and the Term Buyer's Choices
  6. What a Term Contract Is Worth Against Spot Access
  7. Evergreen and Rolling Term Arrangements
  8. Notice Periods, Reopeners and Price Review
  9. The Renewal Negotiation and the Weight of History
  10. Losing a Term Position and Getting Back In
  11. A Worked Term Renewal, End to End
M8 Originating Non-Standard Supply Ch 87-98
  1. Where Origination Opportunities Come From
  2. Qualifying an Opportunity Before You Spend Time On It
  3. The Prepayment Structure as a Commercial Deal
  4. Pricing and Structuring the Repayment Barrels
  5. Supply Against Infrastructure or Investment
  6. Processing and Tolling Arrangements
  7. Crude for Products and Other Countertrade
  8. Marketing a Stranded or Disadvantaged Stream
  9. Offtake and Exclusivity Agreements
  10. Aggregation and Joint Marketing
  11. Structuring a Bespoke Supply Deal, Part One: The Problem
  12. Structuring a Bespoke Supply Deal, Part Two: The Structure
M9 Relationships, Conduct and Governance Ch 99-109
  1. Relationship Management With a National Producer
  2. Being a Supplier Worth Keeping
  3. Agents, Intermediaries and Introducers
  4. Conduct Boundaries Around a Live Tender
  5. Bid Rigging and Why It Catches People
  6. Facilitation, Hospitality and Improper Payment Risk
  7. Counterparty Screening as a Commercial Gate
  8. The Audit Trail a Tender Must Leave
  9. Internal Approval: Getting the Deal Through Your Own House
  10. Conflicts When You Buy, Sell and Advise
  11. Confidentiality and the Information You Hold on Both Sides
M10 Putting It Together Ch 110-118
  1. A Worked Tender, Part One: Designing the Offer
  2. A Worked Tender, Part Two: The Response and the Award
  3. The Same Cargo, Bid From the Other Side
  4. Choosing Between a Tender, a Term Deal and an Originated Structure
  5. Building a Supply Book Out of Term, Tender and Spot
  6. The Originator's First Hundred Days on a New Market
  7. Common Failures in Tender and Term Work
  8. What This Discipline Cannot Do
  9. Where These Skills Go Next

The brochure gives each of these 118 chapters a paragraph on what it covers and what you can do once you have worked through it.

This is course 17 of twenty

It stands alone, and it is also the entry point to the Crude Oil Desk Academy pathway.

Enrol or enquire See the whole pathway