Based on your detailed and comprehensive financial evaluation of the proposed water treatment facility, ABC Pty Ltd has managed to persuade a few sponsors for this venture. The sponsors are deliberating on the use of project financing for the proposed venture. You are engaged as a consultant to provide advice on this matter.
Before the SPV proceeds based on the detailed financial evaluation conducted in assignment 2, you are also asked to identify and assess the likely key risks (project risks and financial risks) involved in the proposed project and how these key risks identified, can best be mitigated.
Prepare a report to advise the interim board of ABC Pty Ltd on their concern above.