How Field Services Perform its duties? Why Use A Third Party Inspection Company? Capabilities

Key Benefits

Cargo Transfers
Whenever liquid chemicals or oils are bought and sold, the ownership of the chemicals or oil transfers from a seller to a buyer. As this occurs, two issues are critical. Those two issues are what purity is being sold (quality) and how much volume is being sold (quantity). The financial transaction is based on these factors.

The problem lies in the determination of the two key areas. If the particular product were easily counted, such as bottles, determining the quantity and quality is not generally a problem. Bottles are usually packaged in boxes. The number of boxes shipped is listed on a Bill of Lading and on the corresponding Packing List. Thus, the quantity being shipped or received is easily determined. If a shortage exists at delivery, based on the invoicing, it should be relatively easy to identify where it occurred.

Likewise, the determination is largely a matter of examining the bottles. If they are not broken, the wrong color glass, etc. then the quality should not be a problem.

The Quantity and Quality of chemicals and oils are not as easily determined. Product specific laboratory analyses are used to confirm quality. These tests require specialized employees, training, technique, equipment and instrumentation. Because the analysis is performed on samples of the chemicals, the sampling must also be precise and consistent so as to ensure that the samples are representative of the entire lot being transferred.

Accurate quantity measurement requires specialized equipment, training, and technique, as well as the ability to recognize and account for the many variables that potentially reduce the accuracy. In addition, it is essential that the buyer and seller become aware of any pertinent events that occur during the load of discharge of product, such as delays, that have the potential to increase the costs associated with the transfer.

Inspection companies provide on-site representation of the buyer and seller in the determination of quantity, to obtain samples to be used for quality determinations, and to report a chronological log of events that occur during the transfer.

The on-site representative, or inspector, has the responsibility to ensure that both the facility and the vessel receive the instructions of the buyer and seller and that both have been received by both the facility and the vessel. Also, the instructions must match one another to insure cargo quality.

Other areas that could directly affect the success of the transfer, such as tank cleanliness and line condition are checked by the inspector. Gauging, sampling, and temping the product, and recording any event or condition that could affect the transfer are also the responsibility of the inspector. In addition, activities designed to protect product integrity, such as hatch seals, nitrogen padding, etc. are either witnessed or performed by the inspector.

It is important to use an Independent Inspection Company and Laboratory for this work for much the same reason that referees in a soccer match are paid by the National Soccer Association or the judges in the rodeo are paid by the National Rodeo Association. Independent inspection companies are generally paid by both the seller and the buyer in a product transfer. Because the inspection company is retained by both parties, it has an equal responsibility to each, and the information contained in the report is totally unbiased.

Independent laboratories are used for the same reason, to provide both parties with unbiased professional analytical results.

Please visit the Field Services and Analytical Services pages for additional information.