We believe that the experience with our own successful company makes us an excellent consultancy to create an effective plan prepared to serve your particular needs. An independent analysis of your project economics and a strong business plan will not only help you locate the funds you need, but will also clarify your own purpose and serve as a guide for future growth and productivity.
PEC Consulting creates the kind of economic models that banks want as support for financing. Our Feasibility reports provide professional financial projections and address the needs of investors and lenders.
We take into consideration the technical and financial phases of a project for the preparation of a Feasibility Study. An estimate is made of all equipment, systems and energy requirements, a financial analysis is then prepared, including operating and capital costs. A Feasibility Study also gives detailed site logistics and transport requirements.
Our services are interrelated. We see the benefit to our clients when we are awarded the preparation of a conceptual study or a pre-feasibility study prior to that of a Feasibility Study. This preliminary work will be most valuable to determine whether to proceed with project evaluation.
Furthermore, and along the same line of a Feasibility Study, we are qualified to assist our clients from financial organizations with pre-credit feasibility studies, which provide an independent and thorough analysis and verification of the data submitted to our clients by their customers. PEC Consulting has performed Conceptual Feasibility Studies, Feasibility Studies, Pre-Feasibility Studies, and Pre-Credit Feasibility Studies, including capital cost estimates in many countries around the world, including recent projects in the United States, Trinidad, Colombia, Peru, Paraguay, Africa, and Kuwait.
We have the expertise to produce the following studies:
Economic Evaluation of Projects
The most common way to assess the economics of a project is the discounted net present value (NPV) of cash flows. Before budgeting a new project, a company must assess the overall level of project risk relative to normal business operations. Higher-risk projects require a larger discount rate than the company’s historical weighted average cost of capital (WACC) and vice-versa for lower risk investments.
The Optimal Capital Structure for Financing an Industrial Project
Assumptions about the costs of equity and debt, overall and for individual projects, profoundly affect both the type and the value of the investment made by the sponsoring firm. Expectations about returns determine in which projects managers will invest and also its effects on the overall company’s financial performance.
Explore more of our articles and research on industrial minerals and other topics of interest.