Cheniere Partners Holdings Reports Third Quarter 2017 Results, Revises Full Year 2017 Guidance and Provides Full Year 2018 Dividend Guidance
HOUSTON, Nov. 14, 2017 /PRNewswire/ -- Cheniere Energy Partners LP Holdings, LLC ("Cheniere Partners Holdings") (NYSE American: CQH) reported net income of $4.5 million, or $0.02 per common share, for the three months ended September 30, 2017, compared to net income of $4.3 million, or $0.02 per common share, for the comparable 2016 period. For the nine months ended September 30, 2017, Cheniere Partners Holdings reported net income of $13.5 million, or $0.06 per common share, compared to net income of $13.3 million, or $0.06 per common share, during the corresponding period in 2016. Results include the distribution received from our limited partner interests in Cheniere Energy Partners, L.P. ("Cheniere Partners"), a publicly traded limited partnership (NYSE American: CQP).
Our only business consists of owning Cheniere Partners common units and subordinated units representing an aggregate approximately 48.6% limited partner interest in Cheniere Partners as of September 30, 2017.
Revised 2017 Full Year Dividend Guidance
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2017
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Dividend per Share $0.94 - $1.02
2018 Full Year Dividend Guidance
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2018
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Dividend per Share $2.05 - $2.25
SPL Project Update
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SPL Project
Liquefaction Train Trains 1-3 Train 4 Train 5 Train 6
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Project Status Operational Operational Under Construction Permitted
Expected Substantial Completion Complete Complete 2H 2019 -
Expected DFCD(1) Window Start Complete 1H 2018 2H 2019 -
(1) Date of First Commercial
Delivery ("DFCD")
Construction operations at the SPL Project (defined below) have returned to productivity levels achieved prior to Hurricane Harvey.
Through Cheniere Partners, we are developing up to six Trains at the Sabine Pass LNG terminal adjacent to the existing regasification facilities (the "SPL Project"). Each Train is expected to have a nominal production capacity, which is prior to adjusting for planned maintenance, production reliability, and potential overdesign, of approximately 4.5 million tonnes per annum ("mtpa") of LNG. Trains 1 through 4 are operational, Train 5 is under construction, and Train 6 is being commercialized and has all necessary regulatory approvals in place.
Dividends
When Cheniere Partners makes cash distributions to us with respect to our Cheniere Partners units, we will pay dividends to our shareholders consisting of the cash that we receive from Cheniere Partners, less income taxes and reserves established by our Board of Directors. We will pay a quarterly cash dividend of $0.45 per common share on November 30, 2017 to shareholders of record as of close of business November 20, 2017.
Investor Conference Call and Webcast
Cheniere Energy, Inc. will host a conference call to discuss its financial and operating results for the third quarter on Tuesday, November 14, 2017, at 11 a.m. Eastern time / 10 a.m. Central time. A listen-only webcast of the call and an accompanying slide presentation may be accessed through our website at www.cheniere.com. Following the call, an archived recording will be made available on our website. The call and accompanying slide presentation may include financial and operating results or other information regarding Cheniere Partners Holdings.
About Cheniere Partners Holdings
Cheniere Partners Holdings owns an approximately 48.6% limited partner interest in Cheniere Partners as of September 30, 2017. Cheniere Partners Holdings' only business consists of owning Cheniere Partners units and, accordingly, its results of operations and financial condition are dependent on the performance of Cheniere Partners. Cheniere Partners owns and operates LNG regasification facilities and, adjacent to these facilities, plans to construct over time up to six Trains with an expected aggregate nominal production capacity, which is prior to adjusting for planned maintenance, production reliability, and potential overdesign, of approximately 27 mtpa. Trains 1 through 4 are operational, Train 5 is under construction, and Train 6 is being commercialized and has all necessary regulatory approvals in place.
For additional information, please refer to the Cheniere Partners Holdings website at www.cheniere.com and Quarterly Report on Form 10-Q for the quarter ended September 30, 2017, filed with the Securities and Exchange Commission.
Forward-Looking Statements
This press release contains certain statements that may include "forward-looking statements." All statements, other than statements of historical or present facts or conditions, included herein are "forward-looking statements." Included among "forward-looking statements" are, among other things, (i) statements regarding Cheniere Partners' and Cheniere Partners Holdings' business strategy, plans and objectives, including the development, construction and operation of liquefaction facilities, (ii) statements regarding expectations regarding regulatory authorizations and approvals, (iii) statements expressing beliefs and expectations regarding the development of Cheniere Partners' LNG terminal and liquefaction business, (iv) statements regarding the business operations and prospects of third parties, (v) statements regarding potential financing arrangements, and (vi) statements regarding future discussions and entry into contracts. Although Cheniere Partners Holdings believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. Cheniere Partners Holdings' actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in Cheniere Partners Holdings' periodic reports that are filed with and available from the Securities and Exchange Commission. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Other than as required under the securities laws, Cheniere Partners Holdings does not assume a duty to update these forward-looking statements.
(Financial Tables Follow)
CHENIERE ENERGY PARTNERS LP HOLDINGS, LLC
CONSOLIDATED STATEMENTS OF INCOME
(in thousands, except per share data) (1)
(unaudited)
Three Months Ended Nine Months Ended
September 30, September 30,
2017 2016 2017 2016
---- ---- ---- ----
Equity income from investment
in Cheniere Partners $5,084 $5,084 $15,253 $15,253
Expenses
General and administrative
expense 295 484 986 1,205
General and administrative
expense-affiliate 264 258 791 772
--- --- --- ---
Total expenses 559 742 1,777 1,977
Other income 2 - 2 -
Net income $4,527 $4,342 $13,478 $13,276
====== ====== ======= =======
Net income per common share-
basic and diluted $0.02 $0.02 $0.06 $0.06
===== ===== ===== =====
Weighted average number of
common shares outstanding-
basic and diluted 231,700 231,700 231,700 231,700
Cash dividends declared per
common share $0.020 $0.020 $0.060 $0.060
====== ====== ====== ======
______________________
(1) Please refer to the Cheniere Energy Partners LP
Holdings, LLC Quarterly Report on Form 10-Q for
the quarter ended September 30, 2017, filed with
the Securities and Exchange Commission.
CHENIERE ENERGY PARTNERS LP HOLDINGS, LLC
CONSOLIDATED BALANCE SHEETS
(in thousands, except share amounts) (1)
September 30, December 31,
2017 2016
---- ----
ASSETS (unaudited)
Current assets
Cash and cash equivalents $671 $219
Receivables - 153
Other current assets 117 51
--- ---
Total current assets 788 423
Total assets $788 $423
==== ====
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Accounts payable and accrued liabilities $76 $78
Accrued liabilities-affiliate 791 -
--- ---
Total current liabilities 867 78
Shareholders' equity
Common shares: unlimited shares authorized, 231.7 million
shares issued and outstanding at September 30, 2017 and
December 31, 2016 664,931 664,931
Director voting share: 1 share authorized, issued and
outstanding at September 30, 2017 and December 31, 2016 - -
Additional paid-in-capital (271,757) (271,757)
Accumulated deficit (393,253) (392,829)
-------- --------
Total shareholders' equity (deficit) (79) 345
--- ---
Total liabilities and shareholders' equity (deficit) $788 $423
==== ====
______________________
(1) Please refer to the Cheniere Energy Partners LP
Holdings, LLC Quarterly Report on Form 10-Q for
the quarter ended September 30, 2017, filed with
the Securities and Exchange Commission.
CONTACTS
Investors:
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Randy Bhatia 713-375-5479
Megan Light 713-375-5492
Media:
------
Eben Burnham-Snyder 713-375-5764
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SOURCE Cheniere Energy Partners LP Holdings, LLC
