The underlying Philosophy of Blackhawk Partners trading approach is to utilize our financial strength and partnership structure to realize the commercial potential of assets in markets where we have a comprehensive understanding of what influences value.

Our Trading Criteria

• We only deal with groups who have a track record of having closed on oil, financial instruments and AU related trades before. A background of your track record will be asked from you to conduct business going forward.
• We require the sharing of due diligence undertaken on behalf of your client prior to engaging in any transaction; saves everybody both time and aggravation.
• Our business is a people’s business not a procedures business. Transparency is key in conducting business with you.
• We will literally not undertake any trade directly associated with any entity out of Iran, Venezuela, North Korea, Cuba, Nigeria and Syria.

Our Basic Rules of Engagement

For Oil related transactions

When representing buyers:

• We want immediate proof of product before going to the banks and after signature of contracts and our method of payment is a documentary letter of credit. In some cases we would consider a transferable, but will never give a divisible.
• We do not do bank guarantees or standby letters of credit. If proof of product cannot be given, the seller may have the option of putting up a non operative performance bond first.
• We do reciprocate with Proof of Funds (POF), but only between principals and will only deal with sellers who are ready to provide documentation.
• As far as Saudi Light Crude Oil is concerned, we only deal with secondary contracts
• As far as Russian product goes, we always prefer CIF. If we are to do FOB it would have to be a very small transaction no more than 200,000 metric tons per month

When representing sellers:

• Financial information must be consistent with issuer of the Letter of Intent (LOI).
• Only Buyers and/or their Authorized-with-Signature, Power-of-Attorney Representatives are authorized to issue Letter of Intent (LOI) + Bank Comfort Letter (BCL) and sign all necessary documents including Contract + opening of L/C in Seller’s Favor.
• We do not and will not accept Letters of Intent (LOIs) issued by agents or brokers “on behalf of buyer and any unauthorized modification of any document issued by the seller shall render the document null and void.
• After receipt of buyer’s Letter of Intent (LOI) in proper order with all the necessary details of the terms and conditions stated above, we will quote a soft price. If the price(s) are acceptable, we will issue a signed & sealed Full Corporate Offer (FCO) on seller’s letterhead. FCO will be valid for 72 hours only. Buyer will be expected to sign and return FCO to seller within the specified period in order to lock in the price. We cannot guarantee that the price will be the same after 72 hours.

 For Financial Instruments related transactions

• We deal with both Spot and Contract trades.
• We deal with both Fresh Cut, Slightly Seasoned and Seasoned Medium Term Notes (MTNs) and Bank Guarantees (BGs).
• Because of our extensive dealings with global financial instruments providers who have both FED and Euro approval to sell such instruments for Humanitarian and similar purposes, there must be proof of funds upfront. And the funds must be in the control of the Investor. Not someone else.
• Because of our equal involvement with global banks and other financial institutions, and especially when dealing with such contracts, buyers of such instruments have to provide the paperwork FIRST. Until buyers understand this basic rule and provide the Proof of Funds (POF) and the submission documents first, transaction is a non-starter. Banks literally cannot by law solicit and will not.

 For AU related transactions

• Forget the performance bonds, escrow and parallel accounts, the meaningless SGS certificate, bank comfort letters, table top meetings, and the various attestations and protestations that the product is valid, that title is clear, that people are responsible and full faith, etc……GLD Gold is bought and sold by bullion banks through a bank bullion officer under what is called "Swiss Procedures” which are very simple and direct; and that is the only way we conduct business.
• We represent and work closely with some of the largest GLD (bullion) and non-GLD (dory, gold dust, ingots, nuggets, etc.) buyers in the world.
• All of our buyers work under private placement transactions and require to see Full Corporate Offer (FCO) with clear procedures showing proof of product (POP) FIRST.
• The gold must be in GLD system, the documentation must conform to LBMA standards and the procedure is not reported on the banking systems computer screens.