K&M was engaged by EIG Partners to provide technical and commercial due diligence services for EIG’s proposed investment in a 100 MW solar PV project north of Santiago, Chile. The project is designed to connect to a private transmission line to provide an optimal interconnection and low risk in Chile’s nodal pricing system. K&M reviewed all major project agreements (EPC, PPA, and others) and analyzed supply, demand, and spot prices the Chilean electricity market. K&M also evaluated the site’s solar resource assessments, the proposed PV panel technology, and the project’s expected power generation profile.
K&M was engaged by EIG Partners to provide technical and commercial due diligence services for EIG’s proposed investment in a 600 MW LNG to Power project in Chile. The project consists of a Floating Storage and Regasification Unit (FSRU), onshore gas receiving terminal, and a 600 MW combined cycle power plant using advanced Siemens “H” series gas turbines. The project would supply gas to the power plant and to industrial and other off-takers connected to the gas pipeline network. K&M advised EIG on all aspects of the project, including its technical design and feasibility, commercial structure, economic competitiveness, and its construction and operational risks. K&M’s due diligence includes a review of all major project agreements (EPC, PPAs, Gas Purchase Agreement, FSRU Lease, and others) and an analysis of the Chilean electricity market. K&M also supported EIG by providing inputs to the project financial model as needed.
K&M advised the equity investors on the Octopus LNG-to-Power project in Chile. The project involves delivering LNG to a floating storage and regassification unit (FSRU), transporting the gas to a 600 MW combined-cycle power plant and to industrial off-takers connected to the gas pipeline network. K&M’s advisory services include review of all major project agreements. One of the most challenging aspects of this project is the government’s requirement that all LNG terminals give open access to other gas users in Chile. In addition to being required by law, the owner of the project had an interest in developing a workable arrangement to sell excess gas when the power plant’s dispatch and demand were below the LNG SPA take-or-pay obligations.