Traditional valuation methods for discounted cash flow analysis - such as Net Present Value - normally fail to notice the possible value of delaying a decision for uncertainties to be resolved in future. The most popular of these tools is NPV. It takes the sum of expected cash flow over the life time of the investment project and discounts it by appropriate cost of capital. In contrast, real option approach considers the value of flexibility at the same time as some decisions can be delayed and launched through high investment commitment process, using realistic assumptions and parameters.