Instruction
        Project overview
        The project is a wind farm project
        Main currency used in representing the project value is THB.
        Project metric and timing
        The construction period will start after financial closing in December 2018 and last for 18 months.
        The operation period will start right after the construction is complete. The total project life is 25 years.
        Turbine and wind data
        The project is combined with 50 wind turbines, with capacity at 2 MW/turbine. Therefore, the project capacity is set at 100 MW.
        Capital expenditure ("CAPEX")
        Key capital expenditure items are:
        WTG:                        Wind turbine
        Foundations:                        Foundation of wind turbine
        115/33 kv substation:                        Substation is a part of an electrical generation, transmission, and distribution system,used in transforming voltage from high to low, or the reverse, or perform any of several other important functions.
        Transmission 115 kV:                        Transmission is the bulk movement of electrical energy from a generating site.
        Hard Stand:                        Hardstand areas are constructed to provide sufficient space for the cranes to operate during erection of the wind turbines.
        Site Road and Assembly Area for WTG & Drainage System:                        Other civil works required in power plant.
        33 kV Collection System:                        It resembles a distribution substation although power flow is in the opposite direction, from many wind turbines up into the transmission grid
        Advisory Fee:                        Advisory fee is spent to advisors of the project such as: technical advisor, legal advisor, etc.
        Construction Management:                        Cost spent on overall planning, coordination, and control of a project from beginning to completion.
        Community Fund:                        Spending on CSR and community related expenses.
        Contingency:                        Spending on future events or circumstances that are possible but cannot be predicted with certainty, which forecasted at 5% of engineering, procurement and construction.
        The payment of each item cost is supposed to be paid all at the end of the construction.
        Financing
        The debt will be repaid with in 15 years after starting of operation with 18 months of grace period.
        Tax
        From BOI privillage, the project will be excempted from coporate income tax for 8 years, and will be collected at 10% from year 9 to year 13. After that, the tax will be fully collected at 20%.
        Operating cost (OPEX)
        There are 8 key OPEX, which are:
        Service & availability:                        Collected by outsourced wind turbine maintainer.
        Land:                        Land lease rent
        Insurance:                        Insurance on power plant
        Operations Management and Monitoring and SG&A:                        Some other management costs
        Professional Fee:                        Paid on outsourced professional.
        CSR:                        CSR and community related costs
        Property tax:                        Tax paid on property.
        Contingency:                        Spending on future events or circumstances that are possible but cannot be predicted with certainty.
        Working capital
        The only power purchaser for the project is EGAT with expected receivable at 45 days. For the project credit term to suppier, it is also expected at 45 days.
        Revenue
        The only revenue will be generated from selling electricity to EGAT.
Assumptions
                    18
        General Assumption
        Project Name:                Wind Energy
        Financial close                31-Dec-18
        Construction period                15 mths
        Commercial Operation Date (COD)                31-Mar-20
        Project life after COD                25 yrs
        Model currency                THB
        Days in a Year                365
        Months in a Year                12
        Operating Hours in a Days                24
        Today Date                31-Dec-18
        THB '000 Adjustment                1,000
        Liquidation Value        THB '000        550,000
        Assumption regarding Valuation                    Average beta    0.94        Debt     0.67
        Peer A Beta                0.80    Unlevered beta    0.41        Equity    0.33
        Peer B Beta                0.90    Re levered beta    1.12
        Peer C Beta                1.13
        Average Peer D/E ratio                1.50
        Perpetual Growth                2.50%    cost of equity     14.7%
        25 years Govermment Bond Rate                3.00%    cost of debt    5.5%
        Market return                13.45%    WACC    8.6%
        Turbine data
        No. of wind turbines                35
        Capacity per turbine                2.0    MW
        Project capacity                70.0    MW
        Net output per year (year 1 - 10)                70%
        Net output per year (year 11 - 25)                85%
        Capital expenditure (THB'000)
        Construction and development costs                THB '000 per MW    Construction Finish on    Depreciation
        Wind Turbine Generator (WTG)                52,500    31-Dec-19    4%    % of Invested Value (Straigth line Method)
        Foundations                2,000    31-Dec-19    4%    % of Invested Value (Straigth line Method)
        substation                1,000    31-Dec-19    4%    % of Invested Value (Straigth line Method)
        Transmission Line                2,800    31-Mar-20    12%    % of Invested Value (Straigth line Method)
        Hard Stand                800    31-Mar-20    12%    % of Invested Value (Straigth line Method)
        Site Road and Assembly Area for WTG & Drainage System                1,800    31-Mar-20    12%    % of Invested Value (Straigth line Method)
        Electricity Collection System                1,600    31-Mar-20    12%    % of Invested Value (Straigth line Method)
        Advisory Fee                400    31-Dec-19    20%    % of Invested Value (Straigth line Method)
        Construction Management                500    31-Mar-20    20%    % of Invested Value (Straigth line Method)
        Community Fund                 300    31-Mar-20    20%    % of Invested Value (Straigth line Method)
        Contingency (%of WTG amounts)            5%    2,625    31-Mar-20    4%    % of Invested Value (Straigth line Method)
        No Interest Charged during Construction                        4%    % of Invested Value (Straigth line Method)
        Financing
        Target D/E Ratio for Initial Investment                2.00
        Grace Period after COD                18 mths
        First debt repayment                Year 2022
        Debt Repayment Tenor after Grace Period                15 yrs
        Interest Rate on Loan (% of opening Blc.)            Year 0-7    4.50%
        Interest Rate on Loan (% of opening Blc.)            Year 8-15    6.60%
        Tax
        Corporate tax        Until end of...