Descriptio Quantity Cost/Unit Total Cost US$

Pre-Ferme 2 100000 200000 PPC 8985375

Fermentor 4 300000 1200000 fixed capita12579525
Holding T 1 80000 80000 Working Ca 1886929
Gas Stripp 1 50000 50000 Total Labou 5961600
Phase Sep 1 75000 75000
Decanter 1 25000 25000
Molecular 2 250000 500000
Distillati 1 250000 250000
Distillati 1 300000 300000
Pasteuriz 1 50000 50000
Pasteurize 1 10000 10000
Water Hea 1 5000 5000
Condense 2 5000 10000
Heat Exch 1 10000 10000
Separatio 15 1000 15000
Fermentat 4 5000 20000
Blower 1 2000 2000
Fan 1 1 1500 1500
Fan 2 1 2500 2500
Fan 3 1 1500 1500
Centrifug 1 45000 45000
Total Equipment Cost 2852500
 Fixed Costs
Cost Estimation Value US$
Maintenance 5% of Fixed Capital 628976.25
Operating Labor Manning estimates 5961600
Manning estimates 23% of operating labor 1371168
Supervision 20% of operating labor 1192320
Plant Overheads 50% of operating labor 2980800
Local taxes 2% of fixed capital 251590.5
Insurance 1% of fixed capital 125795.25
Royalties 1% of fixed capital 125795.25
Capital Charges 10% of fixed capital 1257952.5
Total Fixed Costs 13895997.75

Summary of the variable operating costs

Cost Description Value US$
Raw Materials 3.33 of Operating Labor 19852128
Utilities 15% of fixed capital 1886928.75
Packaging and shipping Usually negligible 0
Miscellaneous 10% of maintenance cost 62897.625
Total Variable Costs 21801954.375
PPC 8985375
fixed capita12579525
Working Ca 1886929
Total Labou 5961600

Total Capit 14466454

𝐷𝑖𝑟𝑒𝑐𝑡 𝑝𝑟𝑜�35697952
Annual Pro42837543
indirect Co 4712130
Total costs 47549672
Year Capacity Utilizatacetone (t/yr) Product selling programme
1 80 5157.81829513947 Product Cost ($/to
2 90 5802.54558203191 Acetone 3000
3 100 6447.27286892434 Butanol 4000
4 100 6447.27286892434 Ethanol 2500
5 100 6447.27286892434 Carbon dioxide/Hy 100
6 100 6447.27286892434 Fertilizer 1000
7 100 6447.27286892434
8 100 6447.27286892434
9 100 6447.27286892434
10 100 6447.27286892434
 Product selling programme
Production tonnes/year Total Revenue US$
6447.27286892434 19341818.606773
10309.3403052191 41237361.2208766
3002.49554095946 7506238.85239865
38839.35825 3883935.825
2654.775 2654775
74624129.5050483
Capital allowances and qualifying expenditure Year End sales revenue
Year of Qualifying Year of
Producti Expenditure Allowance US$ producti
on US$ on
1 21801954.375 10900977.1875 1
2 10900977.1875 2725244.296875 2
3 8175732.89063 2043933.222656 3
4 6131799.66797 1532949.916992 4
5 4598849.75098 1149712.437744 5
6 3449137.31323 862284.3283081 6
7 2586852.98492 646713.2462311 7
8 1940139.73869 485034.9346733 8
9 1455104.80402 363776.201005 9
10 1091328.60301 272832.1507537 10

Product selling programme Tax flow cash data

Product Cost ($/tonne) Production tonnesTotal Revenue US$ Year
Acetone 3000 6447.272868924 19341818.606773 0
Butanol 4000 10309.34030522 41237361.2208766 1
Ethanol 2500 3002.495540959 7506238.85239865 2
Carbon dio 100 38839.35825 3883935.825 3
Fertilizer 1000 2654.775 2654775 4
74624129.5050483 5
Total costs 47549672.2305 6
7
8
9
10

ROI
 Year End sales revenues
Production Cost Gross Profit
Sales Revenue US$
US$ US$
0 0 0
59699303.6040386 38039737.7844 21659565.82
67161716.5545434 42794705.00745 24367011.547
74624129.5050483 47549672.2305 27074457.275
74624129.5050483 47549672.2305 27074457.275
74624129.5050483 47549672.2305 27074457.275
74624129.5050483 47549672.2305 27074457.275
74624129.5050483 47549672.2305 27074457.275
74624129.5050483 47549672.2305 27074457.275
74624129.5050483 47549672.2305 27074457.275

Tax flow cash data

Taxable Profit US$ Tax at 25% a year la Net Profit US$
0 0 0
10900977.1875 2725244.296875 8175732.8906
18934321.5227636 4733580.3806909 14200741.142
22323078.3244372 5580769.58110929 16742308.743
25541507.3575561 6385376.83938902 19156130.518
25924744.8368041 6481186.20920103 19443558.628
26212172.9462401 6553043.23656004 19659129.71
26427744.0283172 6606936.00707929 19820808.021
26589422.3398749 6647355.58496874 19942066.755
26710681.0735433 6677670.26838582 20033010.805
26801625.1237945 6700406.28094863 20101218.843
 Cumulative cash flow data
Year Project Net Cas Projected Cumulative Cash Flow
0 0 0
1 8175732.8906 8175732.89063
2 14200741.142 22376474.0327
3 16742308.743 39118782.776
4 19156130.518 58274913.2942
5 19443558.628 77718471.9218
6 19659129.71 97377601.6315
7 19820808.021 117198409.653
8 19942066.755 137140476.408
9 20033010.805 157173487.213
10 20101218.843 177274706.056

Year Projected Cumulative Cash Flow

0 0
1 8175732.8906 Projected Cumulative Cash Flow
2 22376474.033 200000000
3 39118782.776 180000000
4 58274913.294 160000000
Projected Cash Flow

5 77718471.922 140000000
6 97377601.631 120000000
100000000
7 117198409.65
80000000
8 137140476.41
60000000
9 157173487.21 40000000
10 177274706.06 20000000
0
0 2 4 6 8 10 12
Year
ash Flow

8 10 12
 Discounted cash flow for the project
Year Project Net C Discounted Project Cash Flow US$ Discounted Project CumulYear Discounted Project Cumulative
0 0 0 0 0 0
1 8175732.891 7109332.94836957 -7109332.948 1 -7109333
2 14200741.14 10737800.4854992 3628467.537 2 3628468
3 16742308.74 11008339.7671261 14636807.3 3 14636807
4 19156130.52 10952579.7967658 25589387.1 4 25589387
5 19443558.63 9666885.0010526 35256272.1 5 35256272
6 19659129.71 8499184.28509946 43755456.39 6 43755456

D is c o u n t e d P ro je c t C u m u la ti v e C a s h F lo w
7 19820808 7451375.89638806 51206832.28 7 51206832
8 19942066.75 6519096.99633752 57725929.28 8 57725929
9 20033010.81 5694631.97190036 63420561.25 9 63420561
10 20101218.84 4968713.87236017 68389275.12 10 68389275

Cumulative cash flow data

Year Project Net C Projected Cumulative Cash Flow Discounted Project C
0 0 0 80000000

1 8175732.891 8175732.890625 70000000

60000000
2 14200741.14 22376474.0326977
50000000
3 16742308.74 39118782.7760256 40000000
4 19156130.52 58274913.2941926 30000000

5 19443558.63 77718471.9217957 20000000

6 19659129.71 97377601.6314758 10000000

0
7 19820808 117198409.652714 0 2 4
-10000000
8 19942066.75 137140476.40762 -20000000
9 20033010.81 157173487.212777 Ye
10 20101218.84 177274706.055623
 Discounted Project Cumulative Cash Flow US$

Discounted Project Cumulative Cash Flow US$

0 2 4 6 8 10 12

Year
 Table 5. 12 Sensitivity Analysis for changes in revenue and production costs
Year End Expected ProProfit after 20% Profit after 20 Profit after 20 Profit after 20% increment in Production Cost
1 21659566 9719705.09883 33599426.54 29267513.377 14051618.263 Sensitivity Analysis for changes in revenue and produ
2 24367012 10934668.2362 37799354.858 32925952.549 15808070.546
45000000
3 27074457 12149631.3735 41999283.176 36584391.721 17564522.828
40000000
4 27074457 12149631.3735 41999283.176 36584391.721 17564522.828
35000000
5 27074457 12149631.3735 41999283.176 36584391.721 17564522.828
30000000
6 27074457 12149631.3735 41999283.176 36584391.721 17564522.828
25000000

Profit
7 27074457 12149631.3735 41999283.176 36584391.721 17564522.828
20000000
8 27074457 12149631.3735 41999283.176 36584391.721 17564522.828
15000000
9 27074457 12149631.3735 41999283.176 36584391.721 17564522.828
10000000
5000000
0
0 1 2 3 4 5 6
Year of Year End sales revenues year
productionSales Reven Production Cost Gross Profit US$
1 0 0 0
Expected Profit Profit after 20% decrease in Revenue
2 59699304 38039737.7844 21659565.82 Profit after 20% decrease in Production Cost Profit after 20% increment in Production
3 67161717 42794705.0075 24367011.547
4 74624130 47549672.2305 27074457.275
5 74624130 47549672.2305 27074457.275
6 74624130 47549672.2305 27074457.275
7 74624130 47549672.2305 27074457.275
8 74624130 47549672.2305 27074457.275
9 74624130 47549672.2305 27074457.275
10 74624130 47549672.2305 27074457.275
nt in Production Cost
r changes in revenue and production costs

4 5 6 7 8 9 10
year

fit after 20% decrease in Revenue Profit after 20% increase in Revenue
fit after 20% increment in Production Cost
Total Equi 2852500
Fixed Capit 12579525
Working Ca 1886928.8
Total Capit 14466454
Total labo 5961600
Annual exp 42837543
Payback per 2.87
Return on 213.713
NPV Index 4.73