Lowes Petroleum Service Credit Conditions

These Credit Conditions apply in respect of any person or entity (Customer) that receives credit from Ocwen Energy Pty Ltd ACN 605 178 578 trading as Lowes Petroleum Service (Lowes).

1.    The Customer warrants that all the information provided by it to Lowes (whether in its application for credit or otherwise) is accurate, correct and complete as at the date provided. The Customer must notify Lowes of any change to such information as soon as reasonably practicable.

2.    Lowes may accept or reject an application or request for credit in its absolute discretion.  The Customer agrees that it is not entitled to any credit unless and until it receives notice in writing from Lowes that credit has been approved and the maximum amount of credit approved (Credit Limit).  Until the Customer receives such notice, any goods that are to be supplied and equipment to be hired to the Customer by Lowes will only be provided on a payment in advance basis.

3.    The Customer agrees that the Credit Limit is a maximum limit. The Customer is required to ensure at all times that the aggregate amount of all outstanding invoices issued by Lowes to the Customer is less than the Credit Limit.  If the aggregate amount of all outstanding invoices reaches (or, with the further supply of goods or the further hire of equipment, would reach) the Credit Limit, Lowes reserves the right to provide any goods that are to be supplied and any equipment to be hired to the Customer on a payment in advance basis only.

4.    The Customer may apply to increase or reduce the Credit Limit at any time in writing.  Lowes may agree or refuse to increase the Credit Limit in its absolute discretion, or may agree on the basis that certain conditions be met (for example and without limitation, the provision of a bank guarantee or, if not previously provided, the provision of a guarantee and indemnity by officer(s) or shareholder(s) of the Customer or by beneficiaries of the trust of which the Customer is trustee).  Lowes may reject an application to reduce the Credit Limit if the requested Credit Limit is less than the aggregate amount payable by the Customer under outstanding invoices issued by Lowes to the Customer.

5.    If the Customer’s application for credit is approved, then:

(a)     Credit, and the supply of goods and/or the hire of equipment, by Lowes to the Customer, may be suspended if payment is not made when due.

(b)     The credit granted to the Customer may be reduced, suspended until further notice, or terminated at any time by Lowes by written notice to the Customer if Lowes believes, acting reasonably, that the Customer is unable or unwilling to pay any amount to Lowes when due. Such notice may be provided after credit is reduced, suspended or terminated in circumstances where Lowes believes (on reasonable grounds) that it must take prompt action in this regard to protect its interests. If credit is terminated, all money payable by the Customer to Lowes becomes immediately due and payable.

(c)     Lowes may at any time impose as a condition precedent to the granting of any further credit or the maintenance of the existing credit limit, the requirement that the Customer gives or procures such security or additional security as is reasonably required by Lowes to protect its interests. Lowes is entitled to withhold the supply of goods and/or the hire of equipment until such security or additional security is provided.

(d)     If any invoice issued by Lowes to the Customer is overdue, Lowes may refuse to supply goods and/or hire equipment (in each case) on credit until all overdue invoices are paid in full.

(e)     Lowes may amend or replace these Credit Conditions, where it deems such amendment or replacement reasonably necessary to protect its interests, by providing prior written notice to the Customer, which notice may be endorsed on or accompany an invoice, statement, correspondence or other document provided to the Customer by Lowes.  The amended or replacement Credit Conditions apply with effect from the date stipulated in the notice (which must be no earlier than the date the notice is given to the Customer) and do not affect accrued rights and obligations.

6.    The Customer represents and warrants to Lowes that:

(a)     it is not aware of any information, notice or court proceedings that may result in the appointment of a trustee in bankruptcy, administrator, controller or managing controller, receiver or receiver manager or liquidator to it or any of its property;

(b)     it does not intend to enter into any scheme of arrangement with creditors either formally through a court or otherwise; and

(c)     none of its officers (if it is a company or other body corporate), partners (if it is a partnership) or it (if it is a sole trader) has been declared bankrupt or has entered into an arrangement with creditors or has been a director of a company which has been placed in liquidation.

7.    The Customer agrees to notify Lowes in writing as soon as practicable and in any event within three days of the occurrence of:

(a)     a change in the legal status, ownership or control of the Customer;

(b)     a change in its officers (if it is a company or other body corporate) or its partners (if it is a partnership) or the beneficiaries of a trust of which it is trustee;

(c)     the appointment of a liquidator, an administrator or a receiver and/or manager to the Customer or any of its property, or the bankruptcy of the Customer or the Customer’s entry into an arrangement with its creditors; or

(d)     any step being taken to sell an asset or assets of the Customer with a value of 20% or more of the gross assets of the Customer, or to sell, transfer, encumber or otherwise dispose of 20% or more of the shares (if it is a company or other body corporate) of the Customer.
On the occurrence of such an event, Lowes may reduce, suspend until further notice, or terminate the provision of credit to the Customer and/or may require the Customer to make a new application for credit.

8.    Lowes may at any time set off amounts payable by Lowes to the Customer from the amounts payable by the Customer to Lowes.

9.    These Credit Conditions are governed by the laws of Queensland.  The Customer submits to the non-exclusive jurisdiction of the courts of Queensland and courts of appeal from them.