FG Capital Advisors (“FGCA”) operates under a chaperone agreement with a FINRA-registered broker-dealer. Information herein is summary only; all mandates are subject to credit, KYC and documentary due diligence and do not constitute an offer or commitment to finance.
Bridge Financing & LC Solutions for Oil & Gas Transactions
Bunkering fees ticking, demurrage threatening, counterparties pushing “pay-and-lift”—cash gaps on a US $10 m+ cargo can gut margins overnight. FG Capital Advisors syndicates bridge debt and letter-of-credit lines that let producers, traders and mid-stream operators close cargo, field-development or storage deals before long-term capital lands.
Your Headache
- Payment-at-sight clauses drain working-capital lines days before the vessel clears customs.
- Purchase orders stack up faster than credit officers sign off new limits.
- Upstream partners demand hard standby LCs; charterers want documentary LCs; bank appetite is thin.
- Missing a laycan window means US $100 k+ demurrage—per day.
Our Fix
- Place senior or junior bridge debt sized to 70–85 % of FOB cargo or PV barrels.
- Issue standby LCs (SBLCs) and documentary LCs (DLCs) through investment-grade banks or insurers within 7–10 days.
- Leverage purchase-order financing to advance against confirmed offtake contracts.
- Lock pricing risk with hedge desks as a condition precedent—protecting both lender and borrower.
Capital Products We Arrange
| Instrument | Tenor | Typical All-In Cost* |
|---|---|---|
| Senior Bridge Loan | 6–24 mths | SOFR + 350-550 bps |
| Junior / Mezz Debt | 6–18 mths | SOFR + 800-1 100 bps |
| Standby Letter of Credit (SBLC) | 3–9 mths | 2.0–3.5 % flat (+ 25 bps per quarter) |
| Documentary Letter of Credit (DLC) | Sight / Usance ≤ 180 d | 1.2–2.2 % flat |
| Purchase-Order Financing | ≤ 180 d revolving | SOFR + 600-800 bps |
*Indicative; final pricing rests on credit profile, collateral and market liquidity.
Robust Network of Contracts We Underwrite
- Long-term offtake & lifting agreements (supported by payment guarantees).
- Charterparty contracts and storage & throughput agreements.
- Pipeline-capacity rights and blending contracts.
- Purchase orders from investment-grade refiners and utilities.
We map these cash-flow anchors into a transparent borrowing-base—so lenders price risk, not guess it.
Who We Serve
- Independent producers closing asset bolt-ons or work-over programs.
- Physical traders funding spot or term liftings > US $10 m.
- Mid-stream operators bridging storage or pipeline acquisitions.
- NOC marketing arms needing rapid LC issuance to lift equity crude.
Our Fee Structure
| Fee Type | Rate | When Payable |
|---|---|---|
| Mandate / Retainer | 0.50 % of target facility (min US $50 k) |
Upon mandate signature |
| Success Fee — Debt | 1.00 % senior | 1.25 % junior | First drawdown |
| Success Fee — LC | 1.50 % of face value | LC issuance |
| Monitoring | 0.25 % p.a. of outstanding | Quarterly while facility live |
Execution Roadmap
- Days 1-3 — NDA, data room, structuring memo.
- Days 4-10 — Teaser to lenders; soft quotes.
- Days 11-18 — Term-sheet negotiation.
- Days 19-35 — Docs, CPs, hedging, inspection, funding.
Open a Mandate
Outline cargo, asset or PO details—volume, counterparties, timeline—and send to contact@fgcapitaladvisors.com. We respond inside 48 hours with a document checklist and draft fee letter.
