Pace Global

CFB Boiler Project Evaluation

Clien Need
Client Need:
A Gulf Coast industrial facility required independent evaluation of a proposed pet-coke fired circulating fluidized bed (CFB) boiler project.


Our Role
Our Role:
Pace Global was retained by the large industrial client to provide an independent review and feasibility-level financial analysis of the CFB boiler project being proposed for installation at one of their mills. Pace Global provided a comprehensive evaluation of the critical technical, economic, and market assumptions that support the concept, including performance, capital costs, availability, O&M costs, and fuel and alternative power prices. Additionally, Pace Global reviewed other viable technology and fuel options that were appropriate for the mill and provided senior management with an independent recommendation as to how the mill should proceed with the energy asset investment opportunities being considered. Based on these assumptions, Pace Global developed a feasibility-level cost-based pro forma model to support economic comparison of the most viable CFB project options versus the long-range mill status quo condition. The cost-based pro forma model utilized Pace Global’s risk-integrated approach to assessing energy price volatility and project sensitivities in order to facilitate review of the risk and financial benefits of project configuration alternatives.


Results
Results:
Pace Global’s analysis supported the internal capital approval process and the decision was made to build the project. The boiler project is currently in operation.
Pace Global