Jamalco Energy and Financial Advisory Services
K&M was hired by a private client to provide a detailed analysis on the viability of Noble Group Holdings Limited using publicly available information or information provided by the Client. K&M research will include market intelligence of the recent restructuring of Noble Group. An understanding of the recent changes in the organization and their shareholders strategy will also be provided.
K&M served as technical and financial consultant to the US Agency for International Development (USAID) and the Center for Privatization of the Government of the Dominican Republic. K&M evaluated the opportunities for and impediments to independent power producers in the Dominican Republic. Incorporating technical, financial, legal, regulatory issues, K&M evaluated private sector options for power generation. This effort resulted in the eventual development of the private power law enacted by the Dominican Republic in 1990.
K&M was engaged by USAID to investigate and identify private sector investment initiatives for natural gas-fired private power projects. K&M’s work included: assessing business synergies and risks of a potential gas pipeline and electricity generation plant project under a BOO/T scheme, recommending suitable level of return on equity (ROE) for the proposed project, and identifying potential sources of capital for debt and equity financing.
K&M was engaged by US Trade and Development Agency (USTDA) to conduct a desk review of the Generation Expansion Plan prepared by Electricidad de Caracas. The objective of this review was to identify power plants that could be developed or built by US companies.
K&M served as a technical and procurement advisor to the Foreign Buildings Operations Office (FBO) of the U.S. Department of State to identify and classify the Department’s worldwide needs for Uninterrupted Power Supply (UPS) equipment. K&M conducted a detailed study of current state of the art UPS systems and identified and established the relevant factors which were used to evaluate the UPS vendor equipment and the parameters required to properly operate all types of State Department equipment requiring UPS power. The results of the study were used to: (1) identify readily available commercial UPS systems which meet DOS requirements, (2) develop and advertise competitive, multi-year UPS requirements Request for Proposals (RFP) acceptable to all DOS Embassy UPS users, and (3) provide a technical basis for evaluation of RFP submissions and award of contract.
K&M conducted a definitional mission for the Government of Venezuela, under the auspices of the US Trade and Development Agency (USTDA), to determine the feasibility of a power plant rehabilitation project. K&M analyzed the feasibility of establishing a program for the rehabilitation of electric power units (boilers, turbines, generators, and associated auxiliary equipment) for both Electricidad de Caracas (ELECAR) and Energía Eléctrica de Venezuela (ENELVEN). K&M investigated the needs relative to upgrading and modernizing their existing power generating units. In addition, potential trade benefits to U.S. firms were ascertained.
K&M served as technical and financial consultants to the Government of the Dominican Republic (GoDR) on behalf of the US Agency for International Development (USAID) under subcontract to RCG/Hagler Bailly. K&M provided the GoDR with a format for reviewing and evaluating Independent Power Project (IPP) proposals submitted by private developers. Subsequently, K&M assisted in drafting the enabling legislation. Law No. 14-90, ratified on February 1, 1990, became the cornerstone for implementing the proposed sector reform program and established the framework for encouraging private participation and investment. The law also set forth procedures for creating a new agency, the Directorate for Development and Regulation of the Electric Power Industry, to plan, coordinate and regulate the power sector.
K&M served as technical and financial consultants to Promigas, S.A. for a private gas pipeline project. The project consisted of a 1,000 km gas pipeline in Colombia and is one of the largest private undertakings in the developing world. Promigas, S.A. planned to build, own, and operate the pipeline. K&M provided overall financial structuring as well as commercial specifications for the project. K&M was responsible for: formulating and optimizing the financial package, interfacing with the World Bank for hard and soft credit facilities, interfacing with export credit agencies, preparing risk matrices, negotiating financial contracts, and evaluating and revising cash flows.
As technical consultants to the US Trade and Development Agency (USTDA), K&M completed a definitional mission study of CORELCA, the electric utility responsible for the Atlantic coast grid in Colombia. K&M conducted an energy loss study of Atlantic coast states including Atlántico, Bolivar, Magdalena, Córdoba and César. This involved an in-depth analysis of CORELCA’s bidding procedures and evaluation of their commercial specifications; an identification of equipment requirements, possible follow-on U.S. exports. In addition, K&M completed a comprehensive review of major existing distribution companies (DISCOS) serving CORELCA and recommended management changes to reduce electrical distribution losses. These included power losses that were both technical- and fraud-related. K&M also completed an analysis of the inventory, distribution, mapping system and networks. K&M’s evaluation and recommendations resulted in a streamlined program approach which saved the Colombian government and CORELCA the equivalent of several million dollars from distribution losses.
K&M was contracted by the World Bank to evaluate the options and requirements needed to improve the institutional and regulatory framework of the power sector in the Dominican Republic. K&M provided recommendations regarding 1) installation of technical systems, document preparation, formation of project evaluation parameters, and development of an institutional design for a Financing Guarantee Fund, 2) development of new power sector regulatory agency’s organizational structure, project evaluation policy, project modeling techniques and policy for private sector participation, 3) bid solicitation and evaluation guidelines for private power projects, and 4) a model RFP for the country’s first private power project solicitation.