Coal Supply Planning

 

Marston consultants continue to be key advisors to utilities and independent power producers around the world on technical and commercial matters pertaining to long-term fuel supply. 

On the technical side, Marston advises on:

  • Coal Quality Design Specifications
  • Coal Reserves and Producers
  • Land and Ocean Transportation
  • Loading and Unloading
  • Coal Handling and Stockpiles 

 

On the commercial side, Marston’s consultants advise on:

  • Technical
  • Pricing
  • Other Business-Related Terms of Long-Term Coal Supply and Transportation Contracts

 

Marston’s coal supply planning services begin with a sound knowledge of coal mines and infrastructure worldwide.  Marston maintains an extensive database of coal mines and projects in every major producing coal basin including locations, production capacities, coal quality, inland transportation links, ports, markets and pricing.  Marston’s professional staff of geologists, mining engineers and minerals economists has the experience and tools to perform due diligence of specific coal sources and supply plans from preliminary geological analysis through detailed, bankable mining and transportation feasibility studies.

Marston’s coal consultants have broad knowledge of the international coal business and have been active participants in coal mine and executive management, coal logistics, coal sales and marketing, and utility company fuel management.  This wealth of experience and perspective provides clients with fuel supply strategies that are optimized for security of supply and economics.  Marston is renowned for bankable coal supply plans that have been used in support of limited-recourse financing of some of the world’s largest independent power projects and power plant acquisitions.

Project Spotlight

 

Edison Mission Energy
Coal Supply Review for Lenders
 Location

United Kingdom

Plant Specifications

Two 2,000 MW coal-fired generating stations

 

Marston was the coal advisor for Edison Mission Energy in the acquisition of Fiddler’s Ferry and Ferrybridge power stations in the United Kingdom.  Both are 2,000 MW power stations. 

Edison Mission commissioned Marston to develop an international coal supply plan that included evaluating indigenous and imported coal supply options, including cost, quality, shipping, ports, and rail and road transportation.  Marston advised Edison Mission in negotiations of indigenous Coal Supply Agreements and Port Contract. 

In order to acquire the ₤830-million term loan, Marston prepared a detailed review report of the Coal Supply Strategy for the Lenders and performed a due diligence review for the Lead Arrangers of Financing.  Marston presented the Fuel Supply Strategy Review to the Lead Arrangers and subsequently to the Lenders during loan syndication.  The Lead Arrangers included Bank of Montreal, Chase Manhattan, Societe Generale, Credit Lyonnais, Westdeutsche LB, Barclays Capital, Credit Suisse First Boston and Dresdner Bank AG.

The acquisition has been completed and financed.