Library / Applicable to: Project Promoters MDGIF Equity Partners MDGIF PROPOSAL TEMPLATE AND FORMAT

Applicable to: Project Promoters MDGIF Equity Partners MDGIF PROPOSAL TEMPLATE AND FORMAT

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Applicable to:
•
Project Promoters
•
MDGIF Equity Partners
MDGIF PROPOSAL TEMPLATE AND FORMAT
Code: MDGIF Guide – 2001 - 2024
Effective Date: 17th May 2024

This document is a property of the Midstream and Downstream Gas Infrastructure Fund. All rights reserved.
ii.
Letter of Support from Banks (indicative terms)
iii.
Availability and Strength of Equity Commitments.
iv.
Cost-Benefit Analysis – including infrastructure development, revenue streams,
detailed revenue projection, operational costs, and investment costs.
v.
Updated version of Financial Model/ Financial Metrics – financial ratio analysis and
capital budgeting of the project such as Pay Back Period (PBP), Internal Rate of
Return (IRR), Net Present Value (NPV), Return on Investment (ROI), Return on Equity
(ROE) etc to assess the investment.
vi.
Sensitivity Analysis – evaluate the sensitivity of key financial parameters to changes
in assumptions, such as gas prices, supply and demand assurance, cost of
capital/funds, FOREX rates, and projections etc.
3.4.3 Market Analysis:
The following should be included:
i.Comprehensive analysis of the market, including current and projected demand,
market structure etc.
ii.Competitive landscape and market positioning.
3.4.4 Equity Investment Terms:
The following should be included.
i.
Total estimated cost of the project (Naira and US Dollar Components)
ii.
Clear statement of the total amount of MDGIF equity funding.
iii.
Cost at each project phase/milestone
iv.
Timeline for funding milestones.
v.
Pattern of disbursement of funds per milestone.
vi.
Breakdown of the funding requirements.
vii.
Completion date of the Project – Planned timeline for the project and deadline.
viii.
Cash Flow Projections – detailed cash flow projections for the equity investment over
the project's life cycle including the income statement, cashflow, balance sheet,
etc.
ix.
Evidence of Counterpart funding including the funds from other creditors and the
cost.