Some so-called bankable projects don’t get financed because most sponsors just rush to develop feasibility reports or use the term bankable feasibility report..instead of fist engaging in Early Stage Project Advisory Report.
Hence in order for the Project Sponsors to understand the requirements for the bankability of a project there is need for a Early Stage Project Advisory process, to highlight the new data and information that would be required obtained, additional analyses and evaluations that are to be are performed as required by the Lenders. The objective of the Early Stage Project Advisory Report is to confirm a number of Critical Issues that would aid financial close and also provide a plan on implementation of these issues.
This report provides the Project Sponsor with all of the pertinent information to ensure the project is bankable so that they can evaluate if the Project is going to operate in the manner that the Project Sponsors wishes they do.
How the projects would structured to be characterized by a high degree of revenues predictability under a (partial or full) Contracted Revenue Arrangement with a creditworthy counterparty.
How the projects would structured to deliver under a fixed construction price and schedule with a Building (or EPC) Contractor with appropriate penalties in the form of liquidated damages (LDs) for its failure to perform.
How the projects would structured to independently operate in an environmentally sustainable manner especially during the post-construction phase. How the projects would structured to independently operate in an environmentally sustainable manner especially during the post-construction phase.