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Three stripes
It can only mean more than 1 offer
Thanks mjh. So I misread then. EPC offers are not funding offers. However I am certain that we must have different funding options as they have to make "a final decision" as to which route to take.
What is the acreage the Billingham site? Anyone know?
Engineering, Procurement & Construction (EPC) In other words they would be in receipt of quotes for the work from Companies.
Couple of queries come to mind:
1. Why wait for the European w2e operator - why not go for an offer to PI/IIs? They can then turn over the completed project to the European w2e operator
2. Is the European w2e considering a number of projects which are *not* related to EQT? In that case, we would be simply waiting for them to decide if we survive? If they say 'no' then we are done?!
*end read rns
Yuffie, this part of the end makes it clear they have several sources looking to fund this and it's just a matter of getting best deal.
"Following full commercial EPC offers being reviewed and negotiated to contract, a final decision will be made with regards to the funding structure for the Project, "
Only question EPC what does this stand for?
Taken from RNS 18/12 It’s in the bag !!!
The proposed terms of the LPA provide that completion thereunder will be subject to the satisfaction of certain conditions precedent relating to the development and financing of the Project, including that the Buyer has reached financial close in respect of such financing, the Buyer having agreed the form of the key construction, operational, offtake and feedstock contracts, and the Project being fully permitted by the relevant planning and environmental authorities.
Being a property type myself they must have proven the source of the balance of the funds for the purchase pre-exchange to actually facilitate signing the LPA otherwise lawyers would be committing Eqtec to a transaction which they potentially couldn't complete so funding must agreed & be in place.
It's a lot of money for land in that part of the world. Obviously the buyer wants to be sure everything is in place. Maybe Eqtec will step in further down the line and raise funds to acquire it themselves if necessary.
With the land agreement confirmed Billingham looks to be all systems go. I had hoped the European partner would confirm their equity but we haved moved forwards considerably and looks the European partner is looking at the bigger picture :
“The Project at Billingham, UK, is part of a number of projects being reviewed by a European owner-operator of waste-to-energy infrastructure. It is currently expected that, following completion of a final credit review and requisite documentation, the European owner-operator will provide the financing required for the construction phases and then commercially operate the plants.”
No, not quite the whole deal but I felt there was a lot of expectation around this deadline and it may be that getting the LPA signed helps to unlock the financing.
Think DP has a lot of plates spinning right now and is doing a grand job. Hopefully the new COO can step in and help drive the existing projects forward and DP can concentrate on building the other partnerships and new projects.
Not quite the RNS I was expecting, but positive none the less.
I like this paragraph;
" The LPA is conditional on the satisfaction or waiver by the Buyer of certain conditions precedent on or before the Longstop Date, relating to the development and financing of the Project, including that the Buyer has reached financial close in respect of such financing, the Buyer having agreed the form of the key construction, operational, offtake and feedstock contracts, and the Project being fully permitted by the relevant planning and environmental authorities."
Which seems to state that the project owner will pay Eqtec and therefore reach financial closure before the balance has to be paid to Scott Bros.
Knew DP wouldn't let us down. Another piece of the puzzle in place....