01
Counterparty qualification
Counterparty verification, international sanctions screening, and beneficial-ownership checks on every party — buyer and producer alike — before any commercial discussion.
Trade structure
Verify the parties. Verify the product. Then structure the trade.
GMC begins with counterparty identity, authority, mandate, product, origin, logistics, sanctions, and payment evidence. Contractual role and settlement structure are determined transaction by transaction with the relevant professional and financial counterparties.
A possible structure, subject to bank and counterparty approval.
A back-to-back letter of credit is a recognized commodity trade structure used by principal traders who source cargo from upstream producers and resell it to downstream industrial counterparties. It is one possible structure, not a standing GMC facility or a commitment by any bank.
The mechanics, in plain language:
- A downstream counterparty proposes a documentary payment instrument issued by an acceptable bank against an agreed sale contract.
- The proposed instrument, transaction documents, parties, and economics are reviewed by a financial institution. If approved, that institution may offer an appropriate documentary structure, which can include a transferable or back-to-back letter of credit.
- The producer ships the cargo, presents shipping documents, and triggers the second L/C → producer is paid in full at sight.
- Those same shipping documents — re-issued in GMC's name — flow through the banking chain and trigger the first L/C → the downstream counterparty's bank pays GMC in full at sight.
- Payment, title, and document flows follow the final contracts and the financial institution's approved structure. Nothing on this page constitutes financing availability or a commitment to execute.
Documentary trade structures are used worldwide, but their availability depends on credit approval, KYC, sanctions screening, documents, jurisdictions, and transaction economics. GMC does not represent that a particular bank or structure is available before written approval.
From counterparty qualification to execution readiness.
The sequence below is a target control framework. A transaction advances only when each evidence gate is satisfied; timing and final structure depend on the specific parties and documents.
02
Source authority
The proposed supplier must show corporate identity, authority, allocation or title, origin, and the ability to meet the required specification.
03
Commercial reconciliation
Quantity, specification, delivery window, destination, Incoterm, inspection, documents, and payment requirements are reconciled between the proposed parties.
04
Risk and compliance review
Sanctions, jurisdiction, beneficial ownership, origin, logistics, title, document, and fraud risks are reviewed before contract drafting.
05
Structure approval
The parties, advisers, and financial institutions determine whether the proposed contracts and payment instrument are acceptable. No bank relationship or facility is presumed.
06
Independent inspection
The contracts identify the inspection company, scope, acceptance criteria, and documentary consequences of a discrepancy.
07
Controlled execution
Shipment, title, documents, and payment proceed only under the final approved contracts and payment instrument. The actual transaction record governs.
Three things we never compromise on.
Title chain integrity
Every shipment has a clean documented chain of title through GMC. The producer's mill certificate, the third-party inspection report, the bill of lading, and the commercial invoice all match at the document level — that's what allows both letters of credit to settle without dispute.
Counterparty due diligence
Both sides of every trade are screened against international sanctions lists and beneficial-ownership records. We don't trade with counterparties we cannot verify and any financial institution involved will apply its own independent standard.
Quality verification at origin
Pre-shipment inspection by an independent third party is a documentary requirement can be made a documentary requirement in the final contracts and payment instrument. The inspection company, scope, and acceptance criteria must be agreed in writing.
What this process does not imply.
- No automatic acceptance. Receiving an inquiry, LOI, mandate, offer, or specification does not mean GMC has accepted the party or transaction.
- No standing financing claim. No bank, credit facility, payment instrument, or trade-finance structure is represented as available until the relevant institution approves it in writing.
- No guaranteed confidentiality structure. Confidential information is handled under the final agreements, applicable law, compliance requirements, and the legitimate information needs of the parties and institutions involved.
- No guaranteed execution. A transaction remains a lead until identity, authority, source, specifications, logistics, contracts, and payment terms are verified and approved.