Finance structuring and sourcing

The aim is financial close: the day equity, debt, and any grant are committed, and construction can be paid for. A reader with a site and a feedstock wants to know two things. How capital has been put together before, and what has to happen for their own project to close.

Capital has been sourced as owner equity, as debt lent against a contracted offtake, and, for a Malaysian project that is ready to build, as a green sukuk issued on BioJejak's own account. The sukuk is construction or refinance capital. It waits on a contracted buyer, and a licensed principal adviser leads the issue.

Close is a sequence, and the sequence is the work.

The feasibility model is rebuilt so a financier can follow every tonne and every dollar back to an assumption. Feedstock is the volume the site can show. For a residue, that is a feedstock assessment. For an energy crop, that is the trial yield, not the maximum in the literature. The offtake states the price, the term, and the floor. Debt is then sized on that floor. Equity fills the gap. A grant is added only when the project qualifies and the scheme is still open.

The paper has to match the model. The feedstock agreement, the offtake, and the construction contract are what a lender reads beside the spreadsheet. Those agreements are project and contract management. When the gas is leaner, the yield is lower, or first export moves, the amount that can be financed is recalculated before anyone is asked to sign.

Financial close is those signatures, and a drawdown that pays the build. The work is carried through to that point. A project that never has a floor, a feedstock, or an equity cheque does not get there by rearranging the spreadsheet.