The feasibility study is based on the results of the prefeasibility study and requires a detailed planning of the project. It is highly recommended to make contracts or pre-contracts or at least LOI’s with key-partners like raw material suppliers, power supplier, some customers. Technical documents such as mass- and energy balances, process flow sheets, plant layout, forecast of operating costs including power and heat consumption, spare parts, consumables, labor costs are required. Planning shall include infrastructure and buildings. It should also include a risk analysis. A feasibility study should result in an estimation of costs that should be within a 10% range of final costs.
A feasibility study must include a detailed marketing strategy and should be sufficient for a “bankable project”, i.e. a project that is sufficiently detailed in planning to represent a credible business case.