The total project investment of $640 million.

The project will have an initial debt to ratio of approximately 1.9.

The proposed financing structure includes $200 million of equity, of which PES is offering 12.5% to the investment firm. This $25 million equity investment is projected by PES to have a 17% annual return beginning in year ten of the project.

On the debt side, the project will be financed with US$ 440 million of senior debt, consisting of $140 million of IFC A-loans (with terms of 12 years at LIBOR swap plus 450 basis points). $150 million of IFC syndicated B-loans (with terms of 10 years at LIBOR swap plus 450 basis points), and $150 million from Export Credit Agencies (ECAs) (with terms of 10 years at 5.79%).

The LNG turbines each produce 220 MW and the steam turbine 180 MW of electricity.

Construction costs are projected at US$ 550 per installed kWh.

Construction costs also include: US$ 80 million for the terminal facility, US$ 72 million for the storage facility, and US$ 35 million for the transmission line upgrade

LNG will be delivered at NYMEX natural gas spot prices (plus a spread charge to cover liquefaction and delivery costs). LNG is currently trading around US$ 2.40 per MMBtu, but has ranged between US$ 1.20 and 10.20 over the past four years.

Construction, operating expenses, as well as revenue will be paid in U.S. dollars.

The project will have a dividend payout ratio of 70% on any positive net income.

No Taxes

All of the electricity generated will initially be sold at a set price of US$ 0.05 per kWh, which is less than half the current retail market price (US$ 0.11 to 0.18 per kWh). This price, however, will fluctuate with the price of LNG. When the grid is complete in year ten, 30% of production will be sold at spot prices (at US$ 0.01429 per kWh per MMBtu of LNG) on the local market.

The project plant is expected to generate savings of up to US$ 75 million, and up to US$ 210 million jointly in the Northern Triangle. Furthermore, the project is expected to generate US$ 120 million in annual exports of electricity.

Question: Can you find NPV of this project, Cost of capital , IRR. How much is this project worth? Should the investment firm invest in this project?

Please help!!