Global Edison Fast-Track Strategy
Global Edison is often asked what does it take to
develop a power plant project. The specifics will vary with:
Fuel
Demand
Owners
Local Requirements
The Security Package forms the basis of the loan for the project. The most important thing to remember is that many if not all of the elements of a Security Package will need to be developed in parallel at the same time.
View through the life of a project
The best way to look at Global Edison and their project role is through a typical project such as an Independent Power Plant. In our view a typical Independent Power Plant project will have 5 lives with different focus, ownership, partners and roles for Global Edison Corporation.
Life of a Project
Pre-Development
GEC performs due diligence, contracts for fuel, land, tariffs, finance, etc
Project Development
Up to commercial and financial close
Engineering, Procurement and Construction (EPC)
Commissioning and initial Operation
Investor exit after successful Operations
Pre-Development Task
| Pre-development Task | Work Product | Responsible Party | Responsible Partner |
|---|---|---|---|
| Initial Project Review | Overview | GEC | |
| Project Definition | Restructuring Proposal | GEC | EPC & Project Mgmt. |
| Project Restructuring | Restructuring Proposal | GEC | EPC & Project Mgmt. |
| Prefeasibility | Prefeasibility | GEC | EPC & Project Mgmt. |
| Fuel Suply | GEC | ||
| Site | GEC | ||
| Legal Structure | GEC | ||
| Utilities and Access | GEC | ||
| Shareholders Agreement | GEC | ||
| Financial Structure | GEC | ||
| Political Risk Insurance | GEC | ||
| Risk Matrix | GEC | ||
| Preliminary FEED | GEC | EPC Contractor | |
| EPC Contract Drafts | GEC | Project Management | |
| Project Management | GEC | Project Management | |
| Power Purchase Agmt. | GEC | ||
| Permits | GEC | ||
| Project Scheduling | GEC | Project Management | |
| O&M Contract Drafts | GEC | ||
| Financial Models | GEC | ||
| Investors & Term sheets | GEC | ||
| Finance & Term sheets | GEC |
Project Development
| Project Development | Work Product | Responsible Party | Responsible Partner |
|---|---|---|---|
| Feasibility Study | Security Package (above) | GEC | |
| Financial Feasibility | GEC + Accountancy | Accountancy | |
| Technical Feasibility | EPC & Project Mgmt. | ||
| Commercial Close | Closing Documents | GEC + Government | |
| Closing Documents | GEC + Investor + Lender | Investors - Lenders |
Engineering, Procurement and Construction (EPC)
| EPC | |||
|---|---|---|---|
| EPC | FEED | Project Management | GEC |
| Project Scheduling | Project Management | GEC | |
| Procurement Contracts | Project Management | GEC | |
Operations
| Operations | |||
|---|---|---|---|
| O&M Contracts | Project Owners | O&M Contractor | |
| Subcontracts | Project Owners | O&M Contractor | |
| Budgets & Management | Project Owners | O&M Contractor | |
Project Sale after commissioning and 2 years of operation
Most projects are structured by GEC for Investors exit at Financial Close or after 2 years operations.
The most critical partners for Global Edison
The most critical partners for Global Edison are Project Management, Legal, Accounting, Fuel Supply and the EPC+F contractors. We select the best team for each project and those below were chosen for the Pakistan Power Plant and Terminal. Global Edison brought ExxonMobil back to Pakistan.
Partners
