|
 
| |
A generic classification of the
impact of each project risk on cash-flow predictability is as follows:
| |
Cash Flow
Calculation |
Main Risk Impact
Thereon |
| |
Quantity Produced |
Supply/Traffic, Force
Majeure |
| Times: |
Prices Received |
Market,
Infrastructure |
| Equals: |
Gross Proceeds |
|
| Less: |
Royalties, Fees Operating Costs
Interest Expense
Overhead |
Political Cost, Management, Environmental
Funding, Syndication
Sponsor/Participant |
| Equals: |
Net Operating
Cashflow |
|
| Less:
|
Capital
Expenditures Taxes
Loan Repayment |
Engineering Political, Legal
Debt/Equity Ratio, Funding, Foreign Exchange |
| Equals: |
Net Net Project
Cashflow |
|
|
