CHAPTER 9 CAPITAL COST ESTIMATES & FINANCIAL ANALYSIS

Transcription

1 CHAPTER 9 CAPITAL COST ESTIMATES & FINANCIAL ANALYSIS

2 TATA Consulting Engineers Limited Capital Cost Estimation Sr. No. COST ESTIMATION FOR PLANTS / UTILITIES AND OTHERS UNIT / SYSTEM BASIS COST (INR Lakhs) (At Site) 1 PVC Plant Refer Note Gas Storage Terminal Refer Note PMB Plant Refer Note Gas Based Power Plant Refer Note Utilities and Auxiliary System 5 Quality control equipment Pipelines from Jetty to gas terminal Refer Note HRSG Boiler Refer Note Gas Fired Boiler Refer Note ETP plant (ZLD) Refer Note STP Refer Note Nitrogen Gas generation Unit Refer Note DM Water Plant Refer Note DM Water tank & Potable water tank including transfer pumps & Instruments Refer Note Cooling Water System Refer Note SWRO system Refer Note Sea water intake and Pipelines for Sea water intake & Rejects Refer Note compressed air system Refer Note Mech., Elect & Inst. Workshop Refer Note Air conditioning & Ventilation system Refer Note Fire Protection system Refer Note 4 625

3 TATA Consulting Engineers Limited Capital Cost Estimation Sr. No. COST ESTIMATION FOR PLANTS / UTILITIES AND OTHERS UNIT / SYSTEM BASIS COST (INR Lakhs) (At Site) Auxiliaries System FDS, CCTV, EPABX etc.) Raw water pipeline from kudki dam to plant Refer Note Refer Note Weigh Bridges Refer Note Yard Piping Refer Note I&C system Refer Note Electrical Refer Note Sub total of Utilities & Auxiliaries System Civil works & Erection & Commissioning 27 Civil works Refer Note Erection & Commissioning of PVC Plant Sub total of Civil works & erection & commissioning Refer Note Others 28 consultency & liasioning fees Project Administrative Expenses Office Furniture & Equipment Topographical survey, Geotech & Land levelling & statutory clearances 300 Sub total of others 2900 SUB TOTAL

4 TATA Consulting Engineers Limited Capital Cost Estimation Sr. No. COST ESTIMATION FOR PLANTS / UTILITIES AND OTHERS UNIT / SYSTEM BASIS COST (INR Lakhs) (At Site) 32 8% 8694 TOTAL

5 Basis Of Cost estimation Note 1 : Cost of Inside Battery Limit (ISBL) Plant & Machinery for PVC plant including, Electrical, Automation, ISBL piping, structure steel, process licensor fees, dismantling & Transportation cost up to site for PVC Plant is received in INR from Client. Conversion rate of 1USD = INR 70 is considered Note 2 : Cost indicated is including Design, Engineering, Supply, Erection, commissioning on EPC basis of Plant & machinery including piping, electrical, automation, civil structures within system battery limits. Cost is based on inhouse data of the similar capacity. Note 3 : Cost indicated is including Design, Engineering, Supply, Erection, commissioning on EPC basis of Plant & machinery including piping, electrical, automation, civil structures within system battery limits. Cost is based on inhouse data & discussion with Vendor of the similar capacity. Note 4 : Cost indicated is including Design, Engineering, Supply, Erection, commissioning on EPC basis of Plant & machinery including piping, electrical, automation excluding civil within system battery limits. Cost is based on inhouse data & discussion with Vendor of the similar capacity. Note 5 : Cost indicated is including Design, Engineering, Supply, Erection, commissioning on EPC basis of bullets including piping, electrical, automation, civil structures within battery limits. Cost is based on inhouse data & after discussion with Vendor of the similar capacity. Note 6: Cost indicated is based on offer received from Vendor including Design, Engineering, Supply, Erection, commissioning on EPC basis excluding civil works of natural gas based Captive power plant including piping, electrical, automation within battery limits. Note 7 :Cost indicated is including Design, Engineering, Supply, Erection, commissioning on EPC basis of Plant & machinery including electrical, automation excluding civil & piping within system battery limits. Cost is based on inhouse data of the similar capacity. Note 8 : Cost indicated is received from Client. Note 9 : Transportation cost is included in the respective packages. Note 10: 7% of the total cost of PVC plant is considered as Erection cost of PVC plant. Note 11: Bill of quantity is estimated based on plot plan and unit price is considered based on previously executed project/ in house data. Cost indicated including Design, Engineering, Supply, Erection, commissioning. Note 12: Cost of piping, electrical & Instrumentation is considered based on 8%, 7% & 4% of capital cost of PMB plant & utilities excluding cost of quality control equipment, pipelines from jetty to gas terminal and ETP & DM water plant respectively. Note 13: Dimension of the building is provided by Client. Reference of costing is from inhouse data of previous executed project. Note 14: Cross country piping cost is based on inhouse data of previous executed project.

6 Note 15: Market analysis report is provided by Client. Note 16: Financial analysis is done by Client based on capital cost provided by TCE. Note 17: Production cost is estimated by Client. Note 18: Cost indicated is on site basis.

7 Project : PVC Conversion Rate 1 USD = INR Sr Particulars US$ INR in Millions in Crs Plant & Machinery Civil construction and Errection Cost Others Utilities Contingencies Total Part B Storage Tanks PMB Plant Captive Power Plant , Project Funded By Sr 1 2 Term Loan Required Equity Funding Particulars %age Rs in Crs ,173.69

8 SES PVC Const 1 Const 2 3 led Capacity of Capacity Utilization 100% 100 tional Capacity Nos of Days/p.a tional Running Time Raw Materials Requirement /Mt 70 VCM MT icals Total Additives & Initiators Kgs es Electricity Mwh , IP Steam MT Demin Water M Nitrogen Nm Raw Water Ltr Fuel Gas GJ ging MT es Electricity Mwh , IP Steam MT Demin Water M Nitrogen Nm Raw Water Ltr Fuel Gas GJ ging MT Cost Land Area in Sq Mtrs 260, , , , ,00 Lease Rent Total Cost Page 1 of 2

9 es Nos of People Rs in Lacs Operational Staff Labour S/US/SS 24 3 Administrative Other Benefits 11 Yearly Exclation 5.00% enance Cost g and Adminis Credit Interest f Interest 12% Page 2 of 2

10 SES PMB Const 1 Const led Capacity of Capacity Utilization 70% 90% tional Capacity Nos of Days/p.a tional Running Time Raw Materials Requirement /Mt 70 Bitumen MT ers SBS 1 / SBS2 Kgs es Electricity Mwh , ging MT 7 1,963, ,527,273 1,963,636 es Electricity Mwh , IP Steam MT Demin Water M Nitrogen Nm Raw Water Ltr Fuel Gas GJ ging MT 7 1,963, Cost Land Area in Sq Mtrs 260, , , , ,000 Lease Rent Total Cost Page 1 of 2

11 es Nos of People Rs in Lacs Operational Staff Labour S/US/SS Administrative Other Benefits 2 Yearly Exclation 5.00% enance Cost g and Adminis Credit Interest f Interest 12% Page 2 of 2

12 Expenses - Gas Terminal Year Const 1 Const Installed Capacity (CBM) 25, %age of Capacity Utilization Operational Capacity(CBM) 25, Operational Capacity(MT) 12, Nos of Days/p.a Operational Running Time 365 Utilities for storage of 12,750 MT per day Cost/Kwh Value/ Month Value/ Year Electricity Kwh , ,806, for average purging 4 times per month Cost/ Nm3 Value /Month Nitrogen Nm , , Total 5,820, Total in Lacs Salaries Nos of People Rs in Lacs Operational Staff Labour S/US/SS Administrative Other Benefits Yearly Increment 5% Grand Total Maintenance Cost 0.60 Selling and Adminis 6.00 Cash Credit Interest Rate of Interest 12% 0

13 Revenue Model PVC Const 1 Const Sales Installed Capacity MTS Operational Capacity MTS Local %age of Sales 100 MTS Export %age of Sales 0 MTS Selling Price in US$ Local US$ Exchange Rate Price in INR INR Selling Price in US$ Export US$ Exchange Rate Price in INR INR Sales Turnover Local Rs in Crs Export Rs in Crs Total Turnover

14 Revenue Model- PMB Const 1 Const Sales Installed Capacity MTS 360, , , , Operational Capacity MTS , , , , Local %age of Sales 100 MTS , , , , Export %age of Sales 0 MTS Selling Price in US$ Local US$ Exchange Rate Price in INR INR ,150 25,961 28,557 29, Selling Price in US$ Export US$ Exchange Rate Price in INR INR Sales Turnover Local Rs in Crs Export Rs in Crs Total Turnover

15 Revenue Model - Gas Terminal Const 1 Const Sales Installed Capacity CBM 25, , , Operational Capacity MTs 12,750 12,750 12, Operational Capacity MTS 0 0 9,563 11,475 11,475 Storage Charges in INR PMT INR ,687,500 34,425,000 34,425,000 Sales Turnover Local Rs in Crs

16 Project Profitibility Statement - PVC Particulars Revenue Sales - PVC Other Income Total Income Expenditure Opening Stock of RM RM Stock FG Stock Add Raw Material Cost Less Closing Stock RM Stock FG Stock Power Cost Other Utilities Packaging Cost Cost of Goods Sold Salaries / Wages Cost Lease Rentals Maintenance Cost Selling and Admin Cost EBIDTA EBIDTA %age to Sales 20.83% 20.20% 20.48% 20.48% 20.47% Depreciation Interest Cost TL Interest Cost CC Gross Profit Gp %age to Sales 7.85% 6.36% 8.86% 11.07% 13.29% Tax Net profit % 4.45% 6.20% 7.75% 9.30%

17 Project Profitibility Statement - PVC Particulars Cash Profit Repayment of T/L (30.07) (137.62) (229.29) (306.89) (30.07) (137.62) (229.29) (306.89) (370.43)

18 Project Profitibility Statement - PMB Particulars Revenue Sales - PVC , Other Income Total Income , Expenditure Opening Stock of RM RM Stock FG Stock Add Raw Material Cost Less Closing Stock RM Stock FG Stock Power Cost Other Utilities - - Packaging Cost Cost of Goods Sold Salaries / Wages Cost Lease Rentals Maintenance Cost Selling and Admin Cost EBIDTA EBIDTA %age to Sales 16.17% 14.24% 16.85% 17.70% 16.38% Depreciation Interest Cost TL Interest Cost CC Gross Profit Gp %age to Sales 15.82% 13.97% 16.60% 17.46% 16.15% Tax Net profit % 9.78% 11.62% 12.22% 11.31%

19 Project Profitibility Statement - PMB Particulars Cash Profit Repayment of T/L (58.53) (174.95) (265.95) (347.95) (58.53) (174.95) (265.95) (347.95) (431.14)

20 Project Profitibility Statement - PMB Particulars Revenue Sales - PVC , Other Income Total Income , Expenditure Opening Stock of RM RM Stock FG Stock Add Raw Material Cost Less Closing Stock RM Stock FG Stock Power Cost Other Utilities - - Packaging Cost Cost of Goods Sold Salaries / Wages Cost Lease Rentals Maintenance Cost Selling and Admin Cost EBIDTA EBIDTA %age to Sales 16.17% 14.24% 16.85% 17.70% 16.38% Depreciation Interest Cost TL Interest Cost CC Gross Profit Gp %age to Sales 15.82% 13.97% 16.60% 17.46% 16.15% Tax Net profit % 9.78% 11.62% 12.22% 11.31%

21 Project Profitibility Statement - PMB Particulars Cash Profit Repayment of T/L (58.53) (174.95) (265.95) (347.95) (58.53) (174.95) (265.95) (347.95) (431.14)

22 Gas Terminal Project Profitibility Statement Particulars Revenue Sales - PVC Other Income Total Income Expenditure Opening Stock of RM RM Stock FG Stock Add Raw Material Cost Less Closing Stock RM Stock FG Stock Power Cost Other Utilities Packaging Cost Cost of Goods Sold Salaries / Wages Cost Lease Rentals Maintenance Cost Selling and Admin Cost EBIDTA EBIDTA %age to Sales 42.83% 50.90% 49.45% 48.00% 46.55% Depreciation Interest Cost TL Interest Cost CC Gross Profit Gp %age to Sales 42.83% 50.90% 49.45% 48.00% 46.55% Tax Net profit % 35.63% 34.62% 33.60% 32.58%

23 Gas Terminal Project Profitibility Statement Particulars Cash Profit Repayment of T/L (132.55) (332.71) (532.90) (733.13) (132.55) (332.71) (532.90) (733.13) (933.39)

24 Project Profitibility Statement Particulars Revenue Sales - PVC Sales - Pmb , Revenue Gas Terminal Other Income Total Income - - 1, , , , , Expenditure Opening Stock of RM RM Stock FG Stock Add Raw Material Cost - - 1, , , , , Less Closing Stock RM Stock FG Stock , , , , , Power Cost Other Utilities Packaging Cost Cost of Goods Sold - - 1, , , , , Salaries / Wages Cost Lease Rentals Maintenance Cost Selling and Admin Cost EBIDTA EBIDTA %age to Sales 18.92% 17.39% 18.70% 19.11% 18.35% Depreciation Interest Cost TL Interest Cost CC Gross Profit Gp %age to Sales 11.25% 10.11% 12.85% 14.42% 14.86% Tax Net profit

25 Project Profitibility Statement Particulars % 7.08% 8.99% 10.09% 10.41% Cash Profit , Repayment of T/L

26 Projected Balance Sheet Const 1 Const Current Assets Cash & Cash Equivalent RM Stock FG Stock Current Liabilities Net Current Assets Gross Block , , , , , , Provision for Depreciation Net Block , , , , , Total Assets , , , , , , Share Capital Paid Up Capital Reserves & Surplus Net Worth , Secured Debt (0.00) Total Liabilities , , , , , , Difference

27 Projected Cash Flow Particulars Const 1 Const Net Profit Add: Non-Cash expenses Depreciation Interest Cash Flow from Operating activities before change in working capital Changes in Working Capital Increase/decrease in current liabilities (31.15) 9.58 (19.90) (1.62) (0.63) Cash Flow from Operating Activities after change in working capital Cash Flow from Investing Activities Increase in Capital Assets (731.70) (504.99) Decrease in Capital Assets Net Cash flows from Investing Activities (731.70) (504.99) Cash Flow from Financing Activities Increase in Equity Increase in Debt Increase in Debt - on account of IDC Principal Paid (133.41) (201.38) (201.38) (201.38) (201.38) Net Cash Flow from Financing Activities (133.41) (201.38) (201.38) (201.38) (201.38) Net Changes in Cash inflow/outflows (11.77) Cash at the beginning of the year Cash at the end of the year Working of Cash Flow Difference - - (0.01) (0.01) (0.00) (0.01) (0.02)

28 Term Loan - Availment and Re-Payment Opening Receipt Payment Closing Rate of Int - 10 Yrs

29 Term Loan - Availment and Re-Payment Opening Receipt Payment Closing Rate of Int (0.00) (0.00)

30 Debt Service Coverage Ratio (DSCR) PARTICULARS Const 1 Const Flag for DSCR EBT Depreciation & Expenses Written Off Interest Total Repayment Interest Total Senior Servicing DSCR Debt Average DSCR 1.43 Fixed Asset Coverage Ratio (FACR) PARTICULARS Const 1 Const Net Fixed Assets 1, , , , Term Loan FACR Min FACR 1.47 Return on Equity PARTICULARS Const 1 Const EBIT Average Caital Employed Return on Capital Employed 67% 52% 46% 37% 30% Debt-Equity PARTICULARS Const 1 Const Debt (0.00) Equity , Debt/Equity Ratio (0.00)

31 PAY BACK PERIOD CASH FLOW STATEMENT Years Investment (732) (1,237) (1,237) (1,237) (1,237) (1,237) (1,237) EBIT Depreciation Cashflow Cumulative Cashflow (731.7) (1,236.7) (940.6) (635.3) (291.2) PAY BACK PERIOD 6 Years INTERNAL RATE OF RETURN- PROJECT CASH FLOW STATEMENT Years Investment Terminal value (731.70) (504.99) - Cashflow Cumulative Cashflow (731.70) (504.99) IRR 8% INTERNAL RATE OF RETURN- EQUITY Terminal Year CASH FLOW STATEMENT Years Investment (298) Project Cash Flow Repayments of Debt Terminal Value Cashflow (298) IRR 12%

32 ESTIMATED PERSONNEL-MANPOWER COST FOR PVC PLANT S.No.Particulars Nos. Amount per month A Factory Workforce Lacs /mth Rs./Lacs Project Manager/ AGM General Manager Plant (next promotion- VP) Civil Engineer (Manager Civil) Mechnical Engineers (Manager maintenance) B C Mechnical Engineers (Asst. Manager maintenance) Mechanical Engineers Electrical Engineer (Manager Electricals) Electrical Engineers Process /Chemical Engineer (Manager- Process) Process /Chemical Engineers Manager Instrumentation Instrumentation Engineers Plant Operators Manager Safety Manager Quality Assurance Manager Laboratory Laboratory Analysts Total Administrative Chief Excecutive Officer Chief Marketing manager Deputy Marketing manager Marketing Executives/ Product Executives Manager Logistic Manager Purchase Manager HR Accountant Executives including Stores Incharge Total Labour Skilled Workers Unskilled Workers Watch Men Total Total Add benefits Total Monthly salary bill Total (Annual) Rs. (Cr) % of T/O 8.30

33 CHAPTER 10 PROJECT SCHEDULE

34 Sr. No. Task Name VERITAS POLYCHEM PVT LTD PROJECT MILESTONES 1 Project Start 2 Pre construction statutory approvals 8 Receipt of Inputs, Procurement and detailed Engineering 3 PVC Plant Detailed Engineering 16 4 VCM, LPG & Propylene Gas Storage Bullets 16 5 Tanker Loading facility for LPG/ Propylene including pumps 8 6 PMB Plant / Storage tanks for Bitumen & PMB etc PMB drumming facility 8 7 Utilities like, N2 Plant, Compressor, Chiller etc 12 7 Marine loading arms and Jetty to Plant piping 9 8 Captive Power Plant 11 8 Heat Recovery Boiler and Process Boiler 6 9 ETP 9 9 Automation of Plant Miscellenious like Lab, Admin building, control room etc 10 Cross Country pipeline (Sea water Intake and Pipeline from 10 Kudki dam) Finalisation of Contractors 12 Construction activities 12 Land Development and compound wall 6 13 PVC Plant VCM, LPG & Propylene Gas Storage Bullets Tanker Loading facility for LPG/ Propylene including pumps PMB Plant / Storage tanks for Bitumen & PMB etc PMB drumming facility Utilities like, N2 Plant, Compressor, etc Marine loading arms and Jetty to Plant piping Captive Power Plant Heat Recovery Boiler and Process Boiler ETP 12 Cross Country pipeline (Sea water Intake and Pipeline from 23 Kudki dam) Miscellenious like Lab, Admin building, roads, drains etc Plant Automation Pre commissioning 3 27 Commissioning 3 28 Project Hand over to Client 1 Master Sch Duration in Months

35 ANNEXURES

36 PLOT PLAN

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38 PROCESS FLOW DIAGRAM

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