Development of an investment project for the construction of a cement plant abroad

Development of an investment project for the construction of a cement plant abroad

SERVICE OVERVIEW

The company ”Janaen Waset For General Contracting Co“, Ltd applied to ”Investment and finance company ALLTERRA”, Ltd with a project for the construction of a cement plant. They submitted a preliminary feasibility study and had a license for the extraction of raw materials.

The documents of the foreign company were translated into Russian and carefully reviewed. During the review, the scope of the feasibility study was evaluated, as well as the quality of the calculations performed, the suitability of economic parameters for investment processes was checked. It was found that the project is not fully ready for implementation and financing. Also, in the process of studying the documents, significant shortcomings were discovered that hindered the movement of the project to its implementation.

For consideration, the owner of the company, Mr. Mostafa Al-Shammari, was presented the conclusions of the study, justification and evidence, proposed the concept of substantial refinement of the commercial project, including modeling of business activities, development of calculation models and high-quality preparation of project documentation. Financing of a project based on a preliminary feasibility study is never carried out.

The first meeting was held in Moscow in July 2019. As a result of this meeting and negotiations, a second meeting was held in September 2019 and, as a result, an Agreement was concluded for the comprehensive development of the project, for the preparation of investment documentation, the formation of the necessary investment parameters, including the amount of necessary financing, the size of the internal discount rate, as well as for further measures to attract financing on acceptable terms for the Customer.

The agreement on carrying out work in relation to a large commercial facility located on the territory of a foreign state was the first for a Russian consulting company. This event demonstrated that the Russian contractor has a great potential, knowledge and competence in planning and development of investment projects, exceeding the knowledge and competence of the performers located in the Customer’s domestic market.