KLL ignores loan in the BFS???

Hi Blue Fox

As you know a lot about them, could you take a look at the BFS, specifically page 146, where it says K-UTEC modelled it on 100% equity, and yet KLL are borrowing 60% of the capex? So interest expense wasn’t modelled or the risk associated with it, including borrowing $100m for Germany where KLL will be exposed to forex and interest rate risk??? NAIF $74m + KfW $100m = $180m in loans not included in the BFS???

Wwwwhhhaaaaattttt??? I gotta be wrong!!!

I pasted the relevant section below

• Discounted cash flow analysis (DCF) was used to calculate key project valuation indicators for the project, in particular, the Net Present Value (NPV) and Internal Rate of Return (“IRR”). NPV, IRR and payback periods are measures of the return that are generated based on the applied assumptions. An 8% discount rate (post–tax, nominal) was used for NPV calculations. A 2% inflation factor is used. The DCF were modelled on a quarterly basis in nominal terms, referenced to CAPEX and OPEX developed in Australian dollars (A$). The project was analysed on an unleveraged (100% equity) basis.