Project Finance

This unique project finance training course has been designed for professionals needing a thorough grounding in limited-recourse financing applied to a range of capital-intensive industries, such as: power generation, alternative energy, mining, infrastructure, upstream, midstream and downstream oil and gas projects.

Course Highlights

Aside from the appropriate course content, I felt that the mix of people allowed for various perspectives to be discussed. It gave us the change to meet people from other organisations and build a network

L.K., AIB Capital Markets

A practical guide to the strategies, techniques and methodologies for successful project financing. In particular:

Power generation
Alternative energy
Upstream, midstream and downstream oil and gas and petrochemicals
Mining
Infrastructure and PPP/PFI projects

For details of the course trainer, please download the course brochure

Booking Information

Dates	Prices	Book This Course	Discount
13 - 15 Oct 2010	£ 2399		-
14 - 16 Feb 2011	£ 2399		-

Course Programme

L.K., AIB Capital Markets

I got a good overall view of all the aspects in Project Finance

M.S.,Council of Europe Bank

Generally excellent. Ongoing reference to a live case study and an unusual one at that. A speaker who is enthusiastic about the subject, has wide experience, a wide range of tales and enjoys talking about it all

J.M., Lloyds TSB Ltd

What is Project Finance?

Definition – “Project Finance” as opposed to financing of a project
Limited-recourse and non-recourse finance
Origins of project finance
Who uses project finance and why?
What is the downside?

Sponsors and Lenders/ The Lender’s Risk Analysis

Different risk/reward objectives of sponsors and lenders
Balancing equity and debt
Different types of debt – senior/ subordinated/mezzanine
Structural & pricing drivers
– Country/political risk
– Sponsors
– Supply/resources
– Technology and construction/completion
– Sales/offtake
– Operation & maintenance
– Abandonment/decommissioning
– Environmental/regulatory
– Quantitative risk analysis - project modelling
Key ratios – annual debt service, loan life and project life covers
Balancing equity and debt
– Design of project models
– Modelling best practice
– Developing an appropriate base case – setting economic and technical parameters
– Sensitivity analysis
– Choosing/calibrating sensitivities
– Getting to loan value

The Project Finance Process

The Players and their interests
Ownership structures
Key project contracts
Role of advisers:
– Financial advisers
– Technical advisers/consultants
– Legal counsel
The financial feasibility study/debt structuring
The information memorandum
Debt underwriting/syndication
Financial close
Post-close monitoring

Other Sources of Debt Finance / Risk Mitigation

The bond markets
Credit enhancement through guarantees
Islamic finance
Private political risk insurance market
Export credit agencies
Multilateral agencies/development banks
Sponsor co-financing

Project Financing Documentation

The term-sheet – purpose, legal status, binding/non-binding aspects
Term-sheet/documentation provisions:
– Purpose clause
– Interest/fees
– Repayment/prepayment
– Representations & warranties
– Covenants/undertakings
– Conditions precedent
– Security
– Control accounts/waterfalls
– Events of default
Term-sheet interactive exercise
Legal opinions
LMA standard terms

Sustainable Lending – the Equator Principles

Origins & purpose of the equator principles
Development and current adherents
Purpose & scope
– Best practice in sustainable lending
– Bank obligations
– Project classification under the equator principles
Practical application using examples

Energy Project Finance

Oil & gas financing
– Overview of the oil & gas chain – upstream to downstream
– Upstream finance – single-field finance and “Borrowing Bases”
– Midstream finance – refineries and pipelines
– Downstream finance – liquefied natural gas (LNG) and petrochemicals
Power project finance
– Financing new-build power projects
– Merchant vs. contracted plants
– Alternative energy projects
Wind power – onshore and offshore
Waste-to-energy
Hydro/wave power

Infrastructure Project Finance

Toll-road and bridge financing
Rail/light rail systems
Water/desalination projects

PFI/PPP Projects

Rationale for public to private projects
The PFI/PPP process
Regulatory/public sector oversight
Project types
– Hospitals
– Schools
– Housing
– Prisons