The basic definition
A petroleum seller mandate is an appointment under which a principal authorizes a representative to carry out specified commercial activities. Those activities might include introducing buyers, communicating approved offers or supporting negotiations. The written scope matters more than the title used in an email signature.
Representation is separate from ownership
A legitimate representative may never own the cargo. Conversely, a company that owns product may appoint several representatives. Neither fact proves that a particular offer is current. Buyers need to understand both the authority chain and the product’s commercial chain.
A practical example
Suppose a representative provides a diesel offer and a letter permitting buyer introductions. If the representative then proposes signing the sale contract on the principal’s behalf, that is a different activity. The buyer should seek express confirmation of signing authority rather than assume the introductory appointment covers it.
Questions to ask before relying on a mandate
Ask who the contracting seller will be, whether the appointment remains valid, what products it covers and how the principal can independently confirm it. Also ask who may issue an offer, amend terms and receive contractual notices. Keep the answers with the relevant document version.
How this applies to KazExpo Oil Trade
KazExpo’s mandate desk connects this representation model to a practical inquiry process. A buyer sets out the product, quantity, destination and timing; the supply principal provides its authorized terms; and KazExpo coordinates questions and commercial information within the appointment’s scope. Our company profile identifies our registered address in Shymkent, Kazakhstan and explains our role.
The next verification step
Confirm authority using independent contact with the principal. Then review the product, logistics and counterparty diligence separately. KazExpo’s mandate services follow this distinction between commercial coordination and the principal’s own supply obligations.
