A useful gold quotation starts with a precise enquiry. For an international buyer considering physical gold connected to the Democratic Republic of Congo, Uganda or the wider East African region, a headline price alone cannot explain what material is offered, how it will be tested, or which party handles delivery and import. Put those questions in writing before comparing offers.
Describe the product and proposed quantity
State the form of gold you seek, the proposed quantity, any minimum fineness or other technical specification, and whether you require a particular receiving refinery’s acceptance. Ask the seller to distinguish a proposed specification from a verified result for an identified lot. A quotation should not be treated as evidence that stock exists or that any particular assay applies.
Give a realistic purchase timetable and say whether you expect one transaction or a continuing supply discussion. Quantity and timing help the seller explain what can be considered, but neither should be assumed available until independently substantiated.
Identify the buyer and destination
Provide the legal name of the buying entity, the destination country, and the intended receiving point. The parties should establish who is authorized to act for each entity. Destination requirements can affect documentation, customs treatment and the receiving refinery’s procedures. Obtain advice from qualified advisers in the relevant jurisdictions before relying on a proposed route.
For sourcing connected to higher-risk mineral supply chains, ask how origin, ownership and each transfer of custody will be documented. The OECD mineral due diligence guidance is a useful framework for risk-based checks. Our supplier due diligence checklist gives buyers questions to raise.
Agree on inspection and assay before pricing is final
Say whether you intend to visit, appoint an independent inspector, or test at an agreed facility. Request the proposed sampling method, lot identifiers, laboratory details and a process for resolving differing results. An assay of a sample is meaningful only when the sample can be connected to the material being purchased. Read our guide to gold assay reports before accepting a stated purity.
Ask what the quoted price includes
Request the quotation currency, unit of measurement, validity period and pricing reference. The LBMA daily auction prices are market benchmarks; a transaction quote still needs to state its own premium or discount, assay basis, charges and timing. Ask for separate treatment of inspection, refining, packing, insurance, freight, export formalities, import costs, duties and taxes where applicable. Do not assume any fee or tax is fixed across routes.
Define delivery and payment conditions
Name the exact handover point and ask when risk and title transfer. If the parties use an ICC Incoterms® rule, identify the rule, named place and version in the proposed contract. Incoterms clarify delivery tasks, costs and risks; the contract must separately address matters such as title, assay acceptance and payment conditions.
Ask what documentary and inspection conditions must be met before any payment, what happens if a permit or assay issue arises, and who arranges secure transport. Have your own legal, customs, financial and technical advisers review the arrangement. A quote is an invitation to evaluate terms, not a guarantee of export or delivery.
A sample enquiry
We are evaluating a purchase of [product form] in the approximate quantity of [quantity], for delivery to [country and receiving point] during [timeframe]. Please state the proposed specification, available evidence for origin and ownership, inspection and assay procedure, pricing basis and validity, named delivery point, allocation of costs, and conditions for payment. Please also identify the legal selling entity and the documents available for independent review.
Leave any unknown field open instead of guessing. A careful enquiry makes it easier to compare proposals and identify unresolved questions before committing funds.
Further reading
- OECD Due Diligence Guidance for Responsible Supply Chains of Minerals (third edition, 2016).
- ICC, Incoterms® rules (Incoterms® 2020).
- LBMA, About Daily Auction Prices.