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Petroleum Product Supply Agreement

Petroleum Product Supply Agreement Template for Malaysia

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Key Requirements PROMPT example:

Petroleum Product Supply Agreement

"I need a Petroleum Product Supply Agreement for the bulk supply of diesel fuel to my manufacturing facility in Johor, Malaysia, with monthly minimum purchase commitments of 50,000 liters and the agreement to commence from March 1, 2025."

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Document background
The Petroleum Product Supply Agreement is a crucial document used in Malaysia's highly regulated petroleum industry to establish legally binding supply arrangements between licensed suppliers and purchasers. This agreement type is essential when parties seek to establish a formal supply relationship for petroleum products under Malaysian law, particularly where PETRONAS oversight is required. The document encompasses comprehensive terms for product specifications, delivery arrangements, pricing mechanisms, and compliance requirements, while incorporating necessary provisions under the Petroleum Development Act 1974 and related regulations. It is particularly relevant for bulk supply arrangements, industrial users, and commercial distribution networks, requiring careful attention to technical standards, safety requirements, and environmental regulations specific to Malaysia's petroleum sector.
Suggested Sections

1. Parties: Identification of the supplier and purchaser, including registration details and PETRONAS licensing information

2. Background: Context of the agreement, including any relevant historical relationship and regulatory framework

3. Definitions: Detailed definitions of terms used throughout the agreement, including technical petroleum product specifications

4. Supply Obligations: Core supply commitments, including product types, quantities, and delivery terms

5. Product Specifications: Detailed specifications of petroleum products as per Malaysian standards and PETRONAS requirements

6. Pricing and Payment: Pricing mechanism, payment terms, and any adjustment formulae

7. Delivery Terms: Delivery locations, methods, scheduling, and transfer of risk and title

8. Quality and Testing: Quality assurance procedures, testing methods, and acceptance criteria

9. Health, Safety and Environment: Compliance with HSE regulations and standards

10. Term and Termination: Duration of agreement and termination provisions

11. Force Majeure: Events constituting force majeure and consequential procedures

12. Compliance with Laws: Obligations to comply with Malaysian laws and PETRONAS regulations

13. Confidentiality: Protection of confidential information and trade secrets

14. Dispute Resolution: Process for resolving disputes under Malaysian law

15. General Provisions: Standard boilerplate clauses including notices, amendments, and governing law

Optional Sections

1. Minimum Purchase Commitment: Used when buyer commits to minimum purchase volumes over specified periods

2. Storage Facilities: Include when agreement covers storage arrangements or facilities

3. Transportation: Detailed transportation terms when supplier handles logistics

4. Credit Terms: When special credit arrangements or facilities are provided

5. Performance Bond: When security for performance is required

6. Marketing and Branding: For agreements involving branded products or retail operations

7. Training and Technical Support: When supplier provides technical assistance or training

8. Emergency Response: Detailed emergency procedures for high-risk products or locations

9. Import/Export Provisions: For international supply arrangements

10. Anti-corruption Compliance: Enhanced compliance provisions for government-linked contracts

Suggested Schedules

1. Product Specifications Schedule: Detailed technical specifications for each product

2. Pricing Schedule: Detailed pricing mechanisms, formulas, and adjustment procedures

3. Delivery Locations Schedule: List of approved delivery points and facility specifications

4. Testing Procedures: Detailed quality testing protocols and standards

5. Safety Procedures: Specific safety protocols and emergency procedures

6. Key Performance Indicators: Performance metrics and measurement criteria

7. Bank Guarantee Format: Template for required bank guarantees or performance bonds

8. Compliance Certificates: Required regulatory and quality compliance certificates

9. Insurance Requirements: Detailed insurance coverage requirements and limits

10. Operating Procedures: Standard operating procedures for delivery and handling

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈË°æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co
Relevant legal definitions



































Clauses






























Relevant Industries

Oil & Gas

Energy

Manufacturing

Transportation & Logistics

Industrial Production

Automotive

Aviation

Marine

Agriculture

Mining

Construction

Retail

Relevant Teams

Legal

Procurement

Supply Chain

Operations

Health Safety Environment

Quality Control

Logistics

Finance

Compliance

Risk Management

Commercial

Technical Services

Business Development

Regulatory Affairs

Relevant Roles

Supply Chain Manager

Procurement Director

Commercial Manager

Legal Counsel

Compliance Officer

Operations Manager

HSE Manager

Quality Control Manager

Logistics Manager

Risk Manager

Contract Administrator

Technical Director

Business Development Manager

Chief Financial Officer

Regulatory Affairs Manager

Industries










Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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