Levene Energy intends to collaborate with NSIA to invest in the LPG value chain. Levene Energy engaged Carter Consulting to provide consulting services for the development of project-specific business plans for the development of a Central Bulk Distribution and Filling Facility (CBDF) and Mini Distribution Centres (MDC) in Abuja, Nigeria.
Provided services included the following:
- Analyse and evaluate the business climate in which the business will operate using PESTLE (Political, Economic, Social, Technological, Legal and Environmental), and conduct SWOT analysis,
- Analyse and evaluate the business climate (macroeconomic analysis), growth factors/drivers, outlook and projections of the sector in Nigeria
- Review key industry trends and evaluate the industry value chains to determine the impact of the following on new entrants: barriers to entry and exit; buyer and supplier power; regulatory requirements, and analysis of existing players
- Identify and suggest mitigation to socio-economic and geo-political issues which might constrain effective project implementation/rollout
- Identify Nigerian laws and regulations as they relate to requirement for local content within the LPG value chain.
- Determine key success criteria/ barriers/ risks for the CBDF and MDC in Abuja and across Nigeria. This will include assessing the availability of enabling infrastructure and skilled manpower/labour, proximity, visibility and access to market
- Assess the state and size of all competing CBDF and MDC providers in Abuja/Nigeria and develop a red flag analysis to state the limitations and inabilities of local competitors to meet industry requirements.
- Review project indicative financial performance within using approved assessment dimensions viz. relative size & scale, growth, profitability, liquidity, solvency/capital adequacy, returns & utilization and valuation.