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Completion Risk

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Completion risk
The risk that a project will not be brought into operation successfully or be able to pass its completion test.

Completion Risk
The risk that a project may not be completed and/or produce revenue, either because the financing was cut off before completion or because the project's construction was done poorly. See also: Completion Test.


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So completion risk is one; then satisfactory power off-take arrangements have to be in place, then transmission facilities have to be in place.
The Wild Oats share price barely went down and thus did not begin to reflect completion risk until two months later, when the arbs understood and sent it down 20% from its level prior to Mackey's candid statement.
When the leases are on Rolling Stock that has not been constructed, completion risk must be added to the risk equation.
 
 
 
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