Pre-Feasibility Studies Clause Samples
The Pre-Feasibility Studies clause defines the requirements and procedures for conducting initial assessments to determine the viability of a proposed project. Typically, this clause outlines the scope of studies to be performed, such as technical, financial, and environmental analyses, and may specify the responsibilities of each party in providing data or access to sites. Its core function is to ensure that all parties have a clear understanding of the project's potential risks and benefits before committing significant resources, thereby reducing uncertainty and supporting informed decision-making.
Pre-Feasibility Studies. The Pre-Feasibility Study must:
(a) be conducted based on customary economic assumptions agreed by the Owners’ Council (other than in respect of the assumptions listed in paragraphs (a)(i), (ii) and (iii)) or, in the absence of such agreement (or in the case of paragraphs (a)(i), (ii) and (iii)), selected by the Manager, including in relation to:
(i) iron ore prices;
(ii) current and projected demand and supply conditions in the global market;
(iii) foreign exchange;
(iv) cost of capital; and
(v) inflation; and
(b) include the overall scope, direction and timing of the Contemplated Project, including:
(i) detailed technical information, plans, specifications, maps and any other information which may reasonably be considered relevant to the Contemplated Project (including those items referred to in item 2(b) of this schedule and which are relevant to a Pre-Feasibility Study);
(ii) a preliminary engineering study capital cost estimate (+/- 20-25%) of the cost to bring the Contemplated Project to Operational Completion and reasonable details of the major categories of expenditure, including:
(A) direct;
(B) indirect;
(C) owner’s; and
(D) contingent costs;
(iii) details of the associated execution strategy required to implement the Contemplated Project, including Authorisations, third party approvals, commercial, contract and risk management strategies; and
(iv) consideration of alternatives that deliver Pilbara System Capacity (eg, mine, infrastructure and ancillary assets) sufficient to meet the requirements of the Project; and
(v) a detailed financial evaluation of the results of the Pre-Feasibility Study and the Manager’s assessment of the Contemplated Project, including ranking of the options considered by the Pre-Feasibility Study.
Pre-Feasibility Studies. In relation to such Target Projects as the Board resolves shall be appraised by the Company, the Company, through its Management Team and in consultation with the Shareholders, will prepare and submit to the Board within three (3) calendar months a pre-feasibility evaluation study covering technical scoping; site investigation and requirements; gas composition; cost estimates (including gas price, operating expenditure and capital expenditure); marketing implications; infrastructure/vessel requirements; vessel capacity; the fiscal and political environments; risk register; preliminary project economics; and a recommendation as to whether the Board should proceed to give authority to negotiate and proceed with a feasibility study. No expense shall be incurred by the Company for the purpose of the pre-feasibility study which would require a variation of the Initial Budget or (as applicable) the Annual Budget or Revised Annual Budget).
Pre-Feasibility Studies. Unless both Owners have agreed not to proceed to investigate the feasibility of the Contemplated Project * * * the Manager will expeditiously commence, and complete * * *, a pre-feasibility study for the purposes of evaluating the Contemplated Project and associated capital estimates (Pre-
Pre-Feasibility Studies. 11.1 The Concessionnaire shall complete the Pre-feasibility Studies no later than [•] for the Berane Airport and [•] for the Ulcinj Airport.
11.2 Upon receipt of the Pre-feasibility Studies, the Contracting Authority will have the right to develop the Berane Airport and Ulcinj Airport through a competitive tender process or otherwise according to Applicable Law.
11.3 Subject to Applicable Law, the Concessionnaire shall have the right to participate in any competitive tender to develop the Berane Airport and Ulcinj Airport.