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The off-choose agreement governs mechanism of cost and quantity which make up revenue. The intention of this agreement is to provide the project organization with stable and sufficient revenue to pay its project financial debt obligation, address the working prices and provide sure needed return towards the sponsors.

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A critical problem in non-recourse financing is whether or not instances may perhaps come up through which the lenders have recourse to some or the entire shareholders’ belongings. A deliberate breach around the Section of the shareholders could give the lender recourse to belongings.

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