September 2004

Risk Management

What to look for in a project feasibility study - Part 2

Here's how to judge the strengths and weaknesses of its technical and economic content

Cooper, H. W., Dynalytics Corp.; Ebin, L. A., Hudson Strategic Partners, Inc.

Project revenues are obtained within the provisions of long-term offtake contracts, or on a merchant basis, or some combination of both. These approaches require different techniques to assess. When assessing a feasibility study, examine how revenues were estimated. Projects with long-term offtake contracts. These require a careful evaluation of the contracts' terms to determine the certainty and consistency of the expected revenue stream. The feasibility study should have reviewed the contract structure for red flag items such as the following, which may limit future revenue payments:       Contract re-openers. Situations may arise that make it i

Log in to view this article.

Not Yet A Subscriber? Here are Your Options.

1) Start a FREE TRIAL SUBSCRIPTION and gain access to all articles in the current issue of Hydrocarbon Processing magazine.

2) SUBSCRIBE to Hydrocarbon Processing magazine in print or digital format and gain ACCESS to the current issue as well as to 3 articles from the HP archives per month. $409 for an annual subscription*.

3) Start a FULL ACCESS PLAN SUBSCRIPTION and regain ACCESS to this article, the current issue, all past issues in the HP Archive, the HP Process Handbooks, HP Market Data, and more. $1,995 for an annual subscription.  For information about group rates or multi-year terms, contact email Peter Ramsay or call +44 20 3409 2240*.

*Access will be granted the next business day.

Related Articles

From the Archive



{{ error }}
{{ comment.comment.Name }} • {{ comment.timeAgo }}
{{ comment.comment.Text }}