Zelya Energy has developed a simulation model for the production of a biomass power plant which can provide a first estimate of the producible power during feasibility phase.
It is designed with a project and asset valuation perspective to solidify assumptions about the electricity producible, which directly impact operating revenues, as well as assumptions about the quantities of fuel, which directly influence operating costs.
Our model also allows for unit conversions, determining the basic formula of the component from laboratory analyses.
Our model is also adjustable, in cases where the equipment (actual thermodynamic cycle) and the production method (availability rate, variation in the quantity of fuel over time) are known.
The evaluation model of the WACC by Zelya consists of a precise assessment of various parameters of the Weighted Average Cost of Capital applicable to companies in the gas and electricity sector.
The Weighted Average Cost of Capital is a fundamental element of corporate finance. Financial analysts and investors systematically employ it when they seek to value and select their investments, whether it be shares or industrial projects. It thus serves as a discount rate applied to future cash flows to derive a net present value, or as a threshold value to estimate the profitability of an investment. In regulated network industries, the WACC is also subject to determination by regulators which directly affects the operators' revenues.
Zelya has developed a powerful tool for analysis and calculation of the WACC specific to the gas and electricity sectors. This tool relies on an internal database, based on observation of transactions carried out in these sectors and on quantitative analysis of market data related to a comprehensive and relevant sample of listed companies.
To differentiate analysis by activity, an operator's benchmark (beta, g) is also necessary.
Zelya Energy has established four indexes: