June 2002
Beginner
344 pages
11h 7m
English
Content preview from Principles of Project Finance
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It should be said that although many legal issues are discussed in this and the
following chapters, they are not intended as a commentary on all the legal rami-
fications of Project Contracts and the associated financing documentation, but
concentrate on the key issues likely to emerge in commercial negotiations be-
tween the Project Company and its project counterparts and lenders.
2
§6.1 OFFTAKE CONTRACT
An Offtake Contract is used for a project that produces a product (e.g., a power
purchase agreement is used for a project producing electricity). Such agreements
provide the Offtaker (purchaser) with a secure supply of the required product and
the Project Company with the ability to sell its products on a preagreed basis.
Going back to first principles, ...
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