A Fuel Supply Contract is essential for businesses requiring regular fuel supply in Malaysia, whether for industrial operations, transportation, or power generation. This document type is specifically designed to comply with Malaysian petroleum regulations and commercial law, including the Petroleum Development Act 1974 and related legislation. It establishes the commercial and operational framework for fuel supply arrangements, covering crucial aspects such as product specifications, delivery terms, pricing mechanisms, quality standards, and compliance requirements. The contract is particularly important given Malaysia's strict regulatory environment for petroleum products and the need for clear risk allocation between parties.
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1. Parties: Identification of the supplier and purchaser, including registration details and addresses
2. Background: Context of the agreement, including supplier's authority to sell fuel products and purchaser's business purpose
3. Definitions: Detailed definitions of technical terms, products, and key contract concepts
4. Supply Obligations: Core obligations regarding fuel supply, including quantities, specifications, and delivery terms
5. Price and Payment: Pricing mechanism, payment terms, invoicing, and price adjustment provisions
6. Delivery and Title: Delivery arrangements, transfer of title and risk, measurement and testing procedures
7. Quality and Specifications: Detailed fuel specifications, quality standards, and testing procedures
8. Term and Termination: Contract duration, renewal options, and termination rights
9. Health, Safety and Environment: Compliance requirements with HSE regulations and standards
10. Force Majeure: Events constituting force majeure and consequent rights and obligations
11. Liability and Indemnity: Allocation of risks, limitation of liability, and indemnification provisions
12. Governing Law and Dispute Resolution: Choice of Malaysian law and dispute resolution mechanisms
1. Take or Pay Provisions: Minimum purchase obligations and consequences of failure to take minimum quantities - used for long-term supply contracts
2. Storage Facilities: Terms relating to storage facilities if supplier provides storage - applicable when storage is part of the service
3. Transportation: Detailed transportation arrangements if supplier provides delivery services
4. Exclusivity: Exclusive supply arrangements if agreed between parties
5. Credit Support: Requirements for bank guarantees or other security - used for high-value contracts or with new customers
6. Emergency Response: Procedures for handling emergencies - particularly important for high-risk delivery locations
7. Insurance: Specific insurance requirements beyond standard coverage
1. Product Specifications: Detailed technical specifications for each fuel product
2. Pricing Schedule: Detailed pricing formulas, base prices, and adjustment mechanisms
3. Delivery Points: List of approved delivery locations and specific requirements for each
4. Testing Procedures: Detailed procedures for quality testing and measurement
5. Operating Procedures: Standard operating procedures for delivery and handling
6. HSE Requirements: Detailed health, safety, and environmental requirements and procedures
7. Key Performance Indicators: Performance metrics and reporting requirements
8. Contact Details: List of key personnel and emergency contacts
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