How can I deliver the project demand without a CO?

Hi,

If you are using Misc Demand than the project expects you to also issue the material on the Misc demand lines.

There are two main alternates for this if you want to create a shipment for these materials to a customer in my opinion:

• Use Customer orders connected to your project activity, you will have demand on the project so PO lines or SO’s can be connected to the project as well. And you can use the CO shipment to deliver the CO Lines, using project stock or normal inventory
  It is not mandatory to get the invoice from the delivered CO, the prices could be 0.00 an the invoicing can be done from the project or sales Contract
• Use Project Deliverables. Here you can raise demand for MRP/PMRP/PO/SO and it can have a multilevel structure in your project. When the stock is available in stock, one or more Shipments can be created to deliver the material to any address.
  the invoicing will always need to be done from the project or a Sales Contract 

On 10 you could also still use Project Delivery but that is discontinued in the Cloud release, so not a smart move, and it also ships via a Customer order which you do not want I think

Hope this helps

BR Erik