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LNG · Cheniere Energy, Inc.

44 filings

10-K

LNG 10-K Annual Reports

Cheniere Energy, Inc. - 44 annual reports

Filing record · 2016–202610-K1310-Q328-K232

2025
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2025
Cheniere Energy, Inc. reported strong performance for the fiscal year ending December 31, 2025, with total revenues increasing by $4.3 billion to $19.98 billion, driven by higher LNG revenues. This growth was primarily fueled by a significant increase in pricing, attributed to higher Henry Hub natural gas prices impacting their indexed contracts, and a substantial boost in delivered LNG volumes due to the substantial completion of the first four trains of the Corpus Christi Stage 3 Project. The company also saw a favorable impact from changes in the fair value of derivative instruments, contributing to a nearly $2.1 billion increase in net income attributable to Cheniere, which reached $5.33 billion. Financially, Cheniere continued to execute its capital allocation plan, repurchasing approximately $2.7 billion of common stock and paying dividends. The company also reported credit rating upgrades and made progress on debt reduction. Looking ahead, Cheniere is focused on disciplined, accretive growth, with significant expansion projects underway at both the Sabine Pass and Corpus Christi LNG terminals. The company filed applications for the CCL Expansion Project and is pursuing regulatory approvals for the SPL Expansion Project, demonstrating a commitment to expanding its liquefaction capacity to meet projected global LNG demand.
Feb 26, 2026
2024
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2024
Cheniere Energy, Inc.'s (LNG) 2024 10-K filing highlights a year of significant operational activity and strategic financial management. The company, a leading US LNG producer, continues to expand its liquefaction capacity with projects like Corpus Christi Stage 3 nearing completion and Sabine Pass Expansion progressing through regulatory approvals. Despite a decrease in total revenues driven by lower LNG prices and a shift from short-term marketing to long-term contracts, Cheniere maintained a strong financial position, evidenced by substantial available liquidity and proactive debt management. The company's long-term agreements provide stable, contracted cash flows, underpinning its capital allocation strategy which includes increased share repurchases and dividends. Investors should note the company's ongoing focus on operational excellence, safety, and its strategic approach to ESG matters as it navigates the evolving energy landscape. The financial performance in 2024 saw a notable decline in net income attributable to Cheniere, primarily due to a significant decrease in gains from derivative instruments compared to the prior year. However, the underlying operational performance, reflected in volumes loaded and recognized, remained robust, with a slight increase year-over-year. The company's expanded share repurchase authorization and increased quarterly dividend demonstrate a commitment to returning capital to shareholders, while continued investment in growth projects signals confidence in future demand for LNG.
Feb 20, 2025
2023
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2023
Cheniere Energy, Inc. (LNG) reported its full-year 2023 results, showcasing significant improvements driven by a recovery in LNG markets and strong operational performance. The company's long-term contracts, which cover approximately 95% of its anticipated production through the mid-2030s, provided stable and predictable cash flows. Despite a decrease in LNG revenues year-over-year primarily due to lower pricing, net income attributable to common stockholders saw a substantial increase, largely driven by favorable changes in the fair value of derivative instruments. Looking ahead, Cheniere is focused on financially disciplined growth, including the expansion of its Corpus Christi Stage 3 Project, which is over 50% complete, and advancing plans for further expansions at both its Sabine Pass and Corpus Christi facilities. The company also continues to execute its capital allocation strategy, which includes debt reduction, share repurchases, and dividend payments, demonstrating a commitment to enhancing shareholder value.
Feb 22, 2024
2022
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2022
Cheniere Energy, Inc. (LNG) reported strong performance in its 2022 10-K filing, driven by high global demand for LNG amidst geopolitical energy security concerns and robust pricing. The company's liquefaction projects at Sabine Pass, Louisiana, and Corpus Christi, Texas, operated at high utilization rates, contributing significantly to its revenue growth. Financially, Cheniere demonstrated improved profitability, with a notable increase in net income attributable to common stockholders. The company also advanced its capital allocation strategy, including substantial debt paydowns, share repurchases, and a dividend increase, signaling a focus on financial discipline and shareholder returns. Expansion projects are progressing, with the Corpus Christi Stage 3 Project on track, and the company is strategically positioned to capitalize on continued global LNG demand growth.
Feb 23, 2023
2021
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2021
Cheniere Energy, Inc. (LNG) reported its fiscal year-end results for 2021, demonstrating substantial revenue growth driven by increased LNG volumes and higher market prices. The company's strategic focus on operational excellence and disciplined capital allocation is evident through ongoing expansion projects and debt management. Despite a net loss attributed to significant non-cash derivative losses and other expenses, the operational performance and long-term contracts underpin a stable revenue foundation, positioning Cheniere for continued growth in the global LNG market. The company achieved substantial completion of Train 6 at its Sabine Pass LNG terminal and continued to expand its contracted capacity. Cheniere also took steps to strengthen its balance sheet by repaying a significant portion of its debt and initiated a quarterly dividend, signaling a commitment to returning capital to shareholders. The outlook remains positive, supported by global demand for cleaner energy sources and Cheniere's established position as a leading LNG producer.
Feb 24, 2022
2020
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2020
Cheniere Energy, Inc. (LNG) reported its 2020 fiscal year results, demonstrating resilience in a challenging global market. The company continued to expand its operational capacity with progress on Train 3 at the Corpus Christi LNG terminal nearing completion and Train 6 at the Sabine Pass LNG terminal under construction. Significant financing activities were undertaken to manage its capital structure and refinance existing debt, indicating a focus on financial flexibility. Despite a reported net loss attributable to common stockholders for the year, primarily due to accounting adjustments and debt-related costs, the company's core operations showed strength with a substantial portion of its liquefaction capacity contracted under long-term agreements, providing a stable revenue stream. Investors should note Cheniere's strategic focus on operational excellence, customer satisfaction, and disciplined expansion. The company's extensive contracted base, with approximately 18 years of average remaining life, provides a strong foundation for future cash flows. Management anticipates continued demand growth for LNG globally, positioning Cheniere favorably to capitalize on market opportunities. Key financial highlights include managing a significant debt load while also undertaking capital allocation priorities like share repurchases.
Feb 24, 2021
2019
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2019
Cheniere Energy, Inc. (LNG) reported strong performance for the fiscal year ending December 31, 2019, with significant growth in revenues and a return to net income. Revenues increased by over $1.7 billion to $9.73 billion, driven by the expansion of its LNG liquefaction facilities at Sabine Pass and Corpus Christi. The company's strategic focus on operational excellence and customer satisfaction has allowed for increased liquefaction capacity and consistent revenue streams. Financially, Cheniere demonstrated improved profitability, with net income attributable to common stockholders reaching $648 million, a substantial increase from $471 million in the prior year. This growth was supported by the commencement of commercial operations for additional liquefaction trains and the company's ability to secure long-term contracts that provide stable, fee-based revenues. The company also made progress in strengthening its capital structure through debt transactions and initiated a share repurchase program, reflecting its commitment to shareholder value. Looking ahead, Cheniere is well-positioned to capitalize on growing global LNG demand, with ongoing development of its Corpus Christi Stage 3 expansion project.
Feb 25, 2020
2018
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2018
Cheniere Energy, Inc.'s 2018 10-K filing reveals a company in a significant growth phase, primarily focused on the development and expansion of its Liquefied Natural Gas (LNG) export facilities in Sabine Pass, Louisiana, and Corpus Christi, Texas. The company reported substantial increases in revenues and income from operations compared to the previous year, driven by the commissioning and full operation of multiple liquefaction "Trains" at its Sabine Pass facility. Key operational milestones include the commencement of commissioning for Train 5 at Sabine Pass and Train 1 at Corpus Christi, contributing to a significant increase in LNG cargo exports to a global customer base. Financially, Cheniere experienced a notable shift from net losses to net income attributable to common stockholders in 2018. This improvement was bolstered by increased operational capacity, favorable derivative results, and strategic debt management, including amendments and restatements of credit facilities to increase borrowing capacity and extend maturity dates. However, the company continues to carry a substantial amount of debt, primarily related to its extensive capital expenditure program for project development. Looking ahead, Cheniere remains focused on completing its ongoing projects, securing additional long-term contracts, and evaluating further expansion opportunities, while managing its significant debt load and capital requirements.
Feb 26, 2019
2017-A
Cheniere Energy, Inc. Annual Report (Amendment), Year Ended Dec 31, 2017
Cheniere Energy, Inc. (LNG) filed an amendment to its 2017 Annual Report on Form 10-K on April 29, 2018. This filing primarily details the exhibits and financial statement schedules related to the company's operations and agreements. For investors, the key takeaway is the extensive list of contracts and agreements that underpin Cheniere's substantial infrastructure projects, particularly in liquefied natural gas (LNG) export facilities. These exhibits provide critical detail on the framework governing its significant revenue streams and operational capabilities. The array of documents includes various indentures for senior secured notes and convertible notes, indicating a complex capital structure and ongoing financing activities. Furthermore, numerous LNG terminal use agreements, sales and purchase agreements, and construction contracts with major players in the energy sector (like Total, Chevron, Bechtel) highlight the company's established market position and operational scale. Investors should review these agreements for insights into long-term revenue visibility, counterparty risk, and project execution details.
Apr 30, 2018
2017
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2017
Cheniere Energy, Inc. (LNG) reported its 2017 annual results, highlighting significant progress in its liquefaction and export facilities. The company's Sabine Pass LNG terminal in Louisiana is operational with Trains 1-4, and Train 5 is substantially under construction with an expected completion in the first half of 2019. Development is also advancing on the Corpus Christi LNG terminal in Texas, with Stage 1 (Trains 1 and 2) projected for substantial completion in 2019, and Train 3 being commercialized. Financially, Cheniere continues to operate at a net loss but has seen revenue growth driven by its operational LNG trains. The company secured significant long-term Sale and Purchase Agreements (SPAs) for its facilities, providing a substantial portion of contracted revenues through fixed fees, which are collectible even if cargo deliveries are suspended by customers. This contracting strategy aims to secure predictable cash flows to support its extensive capital expenditure program. Looking ahead, Cheniere is focused on completing its ongoing construction projects, securing financing for future trains (Train 6 at Sabine Pass and Train 3 at Corpus Christi), and optimizing its asset base. The company's strategy revolves around leveraging U.S. natural gas supply to meet international demand.
Feb 21, 2018
2016
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2016
Cheniere Energy, Inc. (LNG) filed its 2016 10-K on February 23, 2017, reporting on its financial condition and operations for the year ending December 31, 2016. The company is heavily involved in developing and operating Liquefied Natural Gas (LNG) terminals and related businesses. During 2016, Cheniere achieved significant operational milestones, notably commencing operations at Trains 1 and 2 of its Sabine Pass LNG Project in Louisiana. The company's financial performance in 2016 showed a substantial increase in revenue compared to prior years, primarily driven by the commencement of LNG exports from Sabine Pass. Despite the revenue growth, Cheniere continued to incur net losses, though these losses narrowed compared to 2015. This was largely due to significant capital expenditures and ongoing construction costs for its projects, including the Corpus Christi LNG Project in Texas. Cheniere's strategy focuses on expanding its integrated U.S. LNG infrastructure to serve global markets, with a significant portion of its liquefaction capacity already contracted under long-term agreements.
Feb 24, 2017
2015-A
Cheniere Energy, Inc. Annual Report (Amendment), Year Ended Dec 31, 2015
This excerpt is not a complete Form 10-K. It contains only Item 9B (Other Information) and the Item 15 exhibit index from what the filing describes as Amendment No. 1, so it includes no audited financial statements, revenue, earnings, cash flow, or balance sheet data. Any assessment of Cheniere's 2015 operating or financial performance would require the full filing, and none is offered here. The substantive disclosure is a Section 13(r) / ITRA compliance statement. Cheniere states that it and its affiliates had no transactions with Iran or Iran-related persons in fiscal 2015. The section also discloses indirect exposure through Blackstone Group, which holds more than 29% of Cheniere Partners and has three board representatives on its general partner. Blackstone reported that two portfolio companies, Hilton and Travelport, had small Iran-related activities in 2015. Cheniere says it has not independently verified these disclosures. The exhibit index shows the scale of Cheniere's project-level contracting and financing activity. It lists Bechtel EPC agreements for Sabine Pass Stages 1–3 and Corpus Christi Stages 1–2, long-term FOB LNG sale and purchase agreements with a range of international buyers, and multiple debt instruments, including senior secured notes, convertible notes, and project term loan and credit facilities. It also references an August 2015 nomination and standstill agreement with Icahn entities and amended bylaws from December 2015. Investors should review the complete 10-K for financial results and the full description of these items.
Feb 29, 2016
2015
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2015
Cheniere Energy, Inc. (LNG) has reported its annual results for the fiscal year ending December 31, 2015. The company is heavily invested in the development and construction of two major Liquefied Natural Gas (LNG) export facilities: the Sabine Pass LNG terminal in Louisiana and the Corpus Christi LNG terminal in Texas. Financially, Cheniere reported a significant net loss attributable to common stockholders of $975.1 million for the year, an increase from the previous year's loss of $547.9 million. This widened loss is attributed to increased interest expenses, general and administrative expenses, impairment charges, and derivative losses. The company's operations are capital-intensive, with substantial ongoing investments in construction. As of December 31, 2015, Cheniere had approximately $17.3 billion in total debt outstanding. Despite the net loss, the company is progressing with its construction milestones, with Trains 1 and 2 at Sabine Pass nearing completion and expected to produce LNG in early to mid-2016. Investors should closely monitor construction progress, financing activities for future trains, and the securing of long-term contracts.
Feb 19, 2016
2014
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2014
Cheniere Energy, Inc. filed its 2014 10-K on February 19, 2015, detailing significant progress in its liquefied natural gas (LNG) terminal development, primarily at Sabine Pass, Louisiana, and the nascent Corpus Christi project in Texas. The company was heavily invested in construction for its liquefaction "Trains" at Sabine Pass, with Trains 1-4 substantially underway and nearing completion, with Train 1 expected to commence operations in late 2015. Financing for these massive projects was a key focus, with substantial debt issuance and the sale of convertible notes to fund ongoing construction and future development. Despite significant operational costs and ongoing net losses, Cheniere had secured numerous long-term Sale and Purchase Agreements (SPAs) for its liquefaction capacity, providing a strong revenue foundation once operations commence. The report highlights Cheniere's strategic focus on leveraging abundant U.S. natural gas supplies for export to international markets. Key milestones included FERC authorizations for construction and expansion projects, as well as securing necessary DOE export licenses. The company's financial health was characterized by significant capital expenditures, substantial debt, and a reliance on future project revenues, but it had also secured significant financial backing through debt and equity. Investors were looking at the company's ability to execute its construction timeline and secure additional financing for its growth projects, particularly the Corpus Christi facility.
Feb 20, 2015
2013
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2013
Cheniere Energy, Inc. (LNG) in its 2013 10-K filing presented a company heavily invested in the development of its Sabine Pass Liquefaction Project and the Corpus Christi Liquefaction Project. The company has secured significant long-term contracts with major energy companies for its liquefaction capacity, providing a strong revenue foundation. Construction for the initial trains at Sabine Pass was progressing ahead of schedule, with commercial operations anticipated by late 2015. While the company has substantial debt obligations to finance its capital-intensive projects, its strategy relies on securing these long-term contracts and achieving project completion to generate stable, fee-based cash flows.
Feb 21, 2014
2012-A
Cheniere Energy, Inc. Annual Report (Amendment), Year Ended Dec 31, 2012
This excerpt from Cheniere Energy, Inc.'s annual report (Item 9B and Part IV) covers financing and contract developments at its LNG project subsidiaries rather than consolidated financial results, so it contains no revenue, earnings, or cash flow figures. Its primary disclosures are two senior secured note offerings. Sabine Pass LNG, L.P. closed $420 million of 6.5% Senior Secured Notes due 2020 on October 16, 2012. Sabine Pass Liquefaction, LLC, a subsidiary of Cheniere Energy Partners, closed $1.5 billion of 5.625% Senior Secured Notes due 2021 on February 1, 2013. Both were sold in private placements under Rule 144A and are secured obligations, with registration rights agreements requiring exchange offers. The 2021 notes give the project a significant new source of long-term debt financing for the Sabine Pass Liquefaction facility. The filing also discloses amendments to two LNG sale and purchase agreements. On February 18, 2013, Sabine Pass Liquefaction amended its SPAs with KOGAS and GAIL. The amendments align the first commercial delivery dates for Train 3 (KOGAS) and Train 4 (GAIL) with the EPC contract completion schedules. They also extend the deadline for satisfying conditions precedent, including regulatory approvals, financing, and final investment decisions, from June 30, 2013 to December 31, 2013. This shows that the company is advancing toward final investment decisions on the additional trains, though the timing has moved out. The filing notes that Cheniere did not engage in any Iran-related transactions in 2012 under Section 13(r) of the Exchange Act. It also discloses, without independent verification, activities of Blackstone portfolio companies that may be deemed affiliates because Blackstone owns roughly 30% of Cheniere Energy Partners. Note that Part IV refers to 'Amendment No. 1,' so this excerpt may come from an amended filing rather than the original March 1, 2013 10-K. Investors should confirm the filing version and review the full financial statements for operating and balance sheet performance.
Mar 1, 2013
2012
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2012
Cheniere Energy, Inc. (LNG) is a major player in the liquefied natural gas (LNG) sector, with its primary focus on the development, construction, and operation of LNG terminals and related infrastructure. In its 2012 10-K filing, the company highlighted significant progress in its Sabine Pass LNG terminal expansion, which includes the construction of multiple liquefaction trains designed to export U.S. natural gas. The company has secured long-term contracts with major international buyers for its export capacity, providing a substantial revenue base once operations commence. Financially, Cheniere continues to invest heavily in its development projects, leading to net losses and negative operating cash flow, as is typical for companies in this capital-intensive phase. However, the company has been actively managing its debt, raising capital through equity and debt offerings to fund its extensive construction program. The company emphasizes its strategy of securing fixed-fee contracts to ensure stable, long-term revenues and its commitment to regulatory compliance and operational safety as it progresses with its ambitious growth plans.
Feb 22, 2013
2011-A
Cheniere Energy, Inc. Annual Report (Amendment), Year Ended Dec 31, 2011
The provided text is not the body of the 10-K. It is the Part IV exhibit index of an amendment ("Amendment No. 1") to Cheniere Energy, Inc.'s annual report. It contains no financial statements, MD&A, revenue, earnings, cash flow, or balance sheet data, so it cannot support a full assessment of the company's financial performance or valuation. Investors should obtain the complete original 10-K and this amendment to evaluate results. The exhibit list does show the strategic direction of the business as of early 2012. Sabine Pass Liquefaction, LLC signed long-term FOB LNG sale and purchase agreements with BG Gulf Coast LNG, Gas Natural Aprovisionamientos, GAIL (India), and Korea Gas Corporation, and entered a lump-sum turnkey EPC contract with Bechtel for the Sabine Pass liquefaction facility. These contracts point to a shift from regasification-terminal and capacity-based revenue toward liquefaction and export. Sabine Pass Liquefaction is a subsidiary of Cheniere Energy Partners, L.P., so these agreements are relevant to both entities. The exhibits also reference a substantial debt structure, including a Credit Agreement from 2008 administered by The Bank of New York Mellon with multiple amendments through a Tenth Amendment dated January 5, 2012, along with senior secured notes due 2013 and 2016 issued through Sabine Pass LNG, L.P. Capacity-rights and terminal-use agreements with Total, Chevron, and JPMorgan LNG remain in effect. Investors should weigh these obligations and the dependence on a few large counterparties when assessing the company.
Mar 22, 2012
2011
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2011
Cheniere Energy, Inc.'s 2011 10-K report details its significant progress in developing its liquefied natural gas (LNG) infrastructure, primarily centered around the Sabine Pass LNG terminal in Louisiana. The company is transitioning from a solely receiving terminal to a liquefaction and export facility, with a substantial portion of its future liquefaction capacity already contracted under long-term agreements with major energy companies like BG, Gas Natural Fenosa, KOGAS, and GAIL. These contracts provide a strong revenue foundation, mitigating direct exposure to immediate market price fluctuations for the initial liquefaction trains. Financially, Cheniere reported a net loss for 2011, consistent with its development-stage operations heavily focused on capital expenditures. However, the company has secured significant financing and executed key construction agreements, notably with Bechtel for the first two liquefaction trains, which are slated to commence operations around 2015. The company's liquidity appears sufficient to meet its short-term obligations, supported by recent equity offerings, though future debt refinancing and continued capital investment remain critical factors for its long-term strategy. Despite the ongoing development and associated risks, the company's strategic shift towards LNG exports, driven by North American natural gas abundance, positions it to capitalize on growing global demand for cleaner energy sources. Investors should monitor regulatory approvals, construction progress, financing activities, and the successful execution of its long-term customer contracts.
Feb 24, 2012
2010
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2010
Cheniere Energy, Inc.'s 2010 10-K report highlights a critical year focused on operationalizing its Sabine Pass LNG terminal and initiating a pivotal liquefaction project. The company's strategy revolves around monetizing its existing regasification capacity and pipeline infrastructure, alongside a significant push towards developing LNG export capabilities. Financially, Cheniere remained in a net loss position for 2010, though this was an improvement over 2009, partly due to the sale of its Freeport LNG stake. However, substantial debt remains a key concern, with significant maturities approaching. The company is actively pursuing regulatory approvals for its liquefaction project at Sabine Pass, which, if successful, would transform the terminal into a bi-directional facility enabling LNG exports. This initiative is a strategic pivot aimed at capitalizing on anticipated global demand for North American natural gas. While customer agreements are in place for regasification, securing similar long-term arrangements for liquefaction services will be crucial for future financing and success. The company's financial health is closely tied to its ability to manage its debt and successfully execute these transformational projects.
Mar 3, 2011
2009
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2009
Cheniere Energy, Inc.'s 2009 10-K filing highlights a pivotal year, marked by the substantial completion and full operability of its Sabine Pass LNG receiving terminal. This facility is fully contracted under long-term Terminal Use Agreements (TUAs) with major energy companies Total and Chevron, providing significant, albeit fixed, revenue streams. The company also operates the Creole Trail Pipeline, connecting Sabine Pass to downstream markets. Despite the operational milestone of Sabine Pass, Cheniere Energy faces considerable financial challenges, primarily stemming from a substantial debt load. The company generated net losses in 2009, reflecting ongoing development costs and financing expenses. Liquidity remains a key concern, with a significant portion of debt maturing in August 2011, necessitating a proactive approach to financial restructuring through potential debt refinancing, equity issuance, or asset sales. The company's strategy also involves monetizing the remaining capacity at Sabine Pass through its marketing arm, Cheniere Marketing, though this segment faces its own market risks.
Feb 26, 2010
2008
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2008
Cheniere Energy, Inc. (LNG) filed its 2008 10-K on February 26, 2009, detailing its significant progress in developing its LNG receiving terminal and pipeline infrastructure. The company achieved commercial operability for its Sabine Pass LNG receiving terminal in September 2008, marking a major milestone. While construction on the remaining capacity at Sabine Pass and other projects like Corpus Christi LNG and Creole Trail LNG were ongoing, the company was heavily focused on securing financing and commercial arrangements for future development. The report highlights substantial debt, ongoing capital expenditures, and a net loss for the year, primarily due to development costs and restructuring charges, but also underscores the revenue streams expected from long-term Terminal Use Agreements (TUAs) with major customers like Total and Chevron for the Sabine Pass facility. Despite the financial losses and significant debt, Cheniere's strategic positioning with the operational Sabine Pass terminal and secured TUAs provided a foundation for future revenue generation. The company was actively managing its liquidity and capital resources, with a significant portion of cash restricted for construction and debt service. Investors would be keenly watching the company's ability to complete its projects on time and within budget, as well as its success in securing further commercial agreements and financing for its pipeline and other terminal projects.
Feb 27, 2009
2007
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2007
Cheniere Energy, Inc.'s (LNG) 2007 10-K filing reveals a company heavily invested in the development and construction of Liquefied Natural Gas (LNG) receiving terminals and natural gas pipelines. The flagship project, the Sabine Pass LNG receiving terminal, is nearing completion, with operations expected to commence in Q2 2008. The company has secured significant long-term terminal use agreements (TUAs) with major energy players like Total and Chevron for the Sabine Pass facility, which are expected to provide substantial future revenue streams starting in 2009. Despite these positive developments and secured contracts, Cheniere continues to operate at a net loss, primarily due to significant capital expenditures for ongoing construction and development activities, coupled with increasing operational and administrative expenses. The company's strategy involves further developing additional LNG terminals and pipeline infrastructure, alongside a growing marketing business. Securing adequate financing remains a critical factor for the successful completion of these ambitious projects and overall business strategy.
Feb 27, 2008
2006
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2006
Cheniere Energy, Inc. (LNG) in its 2006 10-K filing is a developer of liquefied natural gas (LNG) receiving terminals and related infrastructure. The company is actively engaged in the construction of its Sabine Pass LNG receiving terminal, with Phase 1 expected to be operational in Q2 2008 and Phase 2 Stage 1 in Q3 2009. Significant capital is being invested in this project, financed through debt issuance and credit facilities. The company also has plans for two additional LNG receiving terminals (Corpus Christi LNG and Creole Trail LNG) and associated natural gas pipelines, but final investment decisions are contingent on securing acceptable commercial arrangements. Cheniere is also developing an LNG and natural gas marketing business. While historical revenues have been minimal and primarily from oil and gas activities, the company's strategy is heavily focused on the long-term development and operation of its LNG infrastructure, which is expected to drive future revenue generation.
Feb 27, 2007
2005
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2005
Cheniere Energy, Inc. (LNG) is in the early stages of developing significant infrastructure projects primarily focused on liquefied natural gas (LNG) receiving terminals and natural gas pipelines along the U.S. Gulf Coast. The company is developing three main LNG receiving terminal projects: Sabine Pass LNG in Louisiana, Corpus Christi LNG in Texas, and Creole Trail LNG in Louisiana, along with a 30% interest in the Freeport LNG project. These projects are capital-intensive and involve substantial development and construction risks, including regulatory approvals, financing, and securing long-term customer agreements (Terminal Use Agreements or TUAs). Financially, Cheniere reported a net loss for the period ending December 31, 2005, consistent with its development stage. The company secured significant financing, including an $822 million credit facility for Phase 1 of the Sabine Pass LNG terminal and issued convertible senior unsecured notes and a term loan to fund ongoing development. While the company has secured TUAs for a portion of its Sabine Pass capacity with major players like Total and Chevron, it faces competition and the risk of overcapacity in the LNG market. The company is also engaged in oil and gas exploration, though this is a minor part of its business compared to the core LNG infrastructure development.
Mar 13, 2006
2004-A
Cheniere Energy, Inc. Annual Report (Amendment), Year Ended Dec 31, 2004
This filing is an amendment to Cheniere Energy, Inc.'s (LNG) 2004 Form 10-K, specifically addressing disclosures related to executive and director compensation. The amendment provides details on the compensation structures, including base salaries, annual cash bonuses, and stock awards, for the company's executive officers for the fiscal year ended December 31, 2004. It also outlines the restricted stock grants awarded to non-employee directors for the period of May 2004 to May 2005. Investors can use this information to understand the compensation practices and incentives for the company's leadership team during this period. While the amendment focuses on compensation, it also references numerous exhibits related to significant corporate actions and agreements, including underwriting, mergers, stock plans, and various LNG terminal use and credit agreements. These exhibits, though not detailed within the amendment itself, indicate substantial ongoing business development and financing activities within Cheniere Energy during 2004 and early 2005. Investors should consider reviewing these incorporated exhibits for a more comprehensive understanding of the company's strategic initiatives and financial arrangements.
Mar 16, 2005
2004
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2004
Cheniere Energy's FY2004 10-K shows a company in the early, pre-revenue stage of building U.S. Gulf Coast LNG receiving terminals. Net loss widened to $24.6 million ($1.26 per share) from $5.3 million in 2003, driven by LNG terminal development expenses of $17.2 million and G&A of $12.5 million. Revenue is tiny at $2.0 million, almost entirely from a small oil and gas royalty position, and the company has not yet generated positive operating cash flow. Management expects that to change only once the first terminal begins operating, around 2008. The balance sheet was transformed by a $300 million public equity offering in December 2004, which left cash of $308.4 million and working capital of $305.8 million at year end. Deferred revenue of $23 million reflects advance capacity reservation fees from Total and Chevron USA. The main investment case rests on contracted demand and financing. Sabine Pass LNG (2.6 Bcf/d) has terminal use agreements with Total (about 1.0 Bcf/d) and Chevron USA (about 700 MMcf/d), a fixed-price Bechtel EPC contract of $648.4 million, and an $822 million senior secured credit facility signed in February 2005. Freeport LNG, in which Cheniere holds a 30% limited partner interest, is under construction with ConocoPhillips and Dow as anchor tenants. Corpus Christi and Creole Trail have no TUAs yet. Management puts the four-project capital need above $3 billion before financing costs, which implies substantial further equity or debt issuance and dilution risk. Key risks are the absence of signed anchor contracts for two of the four projects, dependence on FERC approvals and timely financing, cost overruns and steel price exposure, and the requirement for a U.S. natural gas price of at least $3.00/Mcf to sustain the business case. An informal SEC inquiry into trading in Cheniere's securities around the 2004 Chevron and equity announcements is disclosed as ongoing.
Mar 10, 2005
2003-A2
Cheniere Energy, Inc. Annual Report (Amendment), Year Ended Dec 31, 2003
Cheniere Energy's Amendment No. 2 to its 2003 Form 10-K (filed July 20, 2004) is primarily an administrative filing: it replaces prior auditor reports relating to the 2001 financial statements of Cheniere and Gryphon Exploration, and adds auditor consents for incorporation into registration statements. It also re-presents the full 2003 financial statements and attaches Gryphon's 2002 audited financials. The company's economics in 2003 were dominated by its pivot toward LNG receiving terminals: revenue was only $657,467 (all overriding royalty interests in oil and gas discoveries), while LNG terminal development expense reached $6.7 million and total G&A was $9.2 million, producing a loss from operations of $9.0 million. The reported net loss of $5.3 million was narrowed by a $4.76 million gain on the sale of a 60% interest in the Freeport LNG site and a $423K gain on a 10% limited partner stake sold to Contango, offset by a $4.47 million equity loss from Freeport LNG and a $3.0 million minority interest benefit tied to the Corpus Christi LNG partnership. The balance sheet strengthened over the year. Total assets rose to $24.6 million and stockholders' equity to $19.1 million, but cash was only $1.26 million and working capital was just $155,526 at year-end. Cash burn from operations was $7.6 million in 2003, financed largely by a $4.4 million common stock sale and $2.8 million in minority-partner contributions. The company's liquidity position changed materially after year-end: in January 2004 it raised $13.9 million net from a private placement of 1.1 million shares at $13.50, received a further $2.5 million from Freeport LNG, and repaid its $1 million credit line. The pro forma working capital would have been roughly $17.8 million. The company carried no income tax provision given its NOL carryforwards of about $26.5 million, fully offset by a valuation allowance. For investors, the key issues are the early-stage nature of the business, the reliance on equity and partner funding to pursue LNG terminals, the cash-flow dependence on partner contributions and asset sales, and the going-concern history noted in the 2001 liquidity note. Oil and gas revenue is minimal, and the company has no hedges and is exposed to commodity price swings, though those exposures are small relative to its LNG strategy.
Jul 20, 2004
2003-A
Cheniere Energy, Inc. Annual Report (Amendment), Year Ended Dec 31, 2003
This Form 10-K/A (Amendment No. 1) for Cheniere Energy, Inc.'s fiscal year ended December 31, 2003 contains no financial statements, operating results, or updated business disclosures. It was filed on May 26, 2004 solely to amend the Exhibit Index in Item 15(a)(3) to incorporate by reference Exhibit 10.26, a warrant issued to Charif Souki on April 16, 2003 that had been omitted from the June 30, 2003 Form 10-Q. The explanatory note states that no other changes were made and that the amendment does not update disclosures for later developments. The original 10-K was filed March 25, 2004. For investors, the document's substantive value is limited to context from the cover page and exhibit list. As of February 29, 2004, 18,659,994 common shares were outstanding. Non-affiliate market value was approximately $66.2 million as of June 30, 2003. The company is listed on the American Stock Exchange and was not an accelerated filer. The exhibit list points to the company's 2003 LNG and energy development activity, including the Freeport LNG partnership with ConocoPhillips, the Corpus Christi LNG limited partnership with BPU LNG, and a July 2003 credit agreement with Sterling Bank. Investors seeking financial performance, risk factors, or business strategy should review the original Form 10-K filed March 25, 2004, which this amendment does not replace in substance.
May 26, 2004
2003
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2003
Cheniere Energy's 2003 10-K shows a company in transition from a small Gulf of Mexico oil and gas explorer to a developer of LNG receiving terminals. In 2003 it reported a net loss of $5.29 million ($0.36 per share) on revenue of just $657,467, almost all from non-cost-bearing overriding royalty interests. The loss was driven by $6.7 million of LNG terminal development expense and a $4.47 million non-cash equity loss from its 30% stake in Freeport LNG. These were partly offset by a $4.76 million gain on the sale of a 60% Freeport interest and a $423,454 gain on a 10% interest sale, plus a $3.0 million minority interest absorbing losses at the Corpus Christi partnership. The balance sheet at December 31, 2003 was thin: total assets of $24.6 million, working capital of only $155,526, and cash of $1.26 million. Operating cash burn was $7.6 million. Subsequent events materially improved liquidity: a January 2004 private placement raised $13.9 million net at $13.50 per share, the $2.5 million Freeport payment was received, and a $10 million ConocoPhillips capacity reservation fee was paid to Freeport LNG. Pro forma working capital would have been about $17.8 million. Management states that LNG terminal revenues are not expected before the second half of 2007, so the company has no operating revenue stream for several years. For investors, the filing is essentially a bet on U.S. LNG import economics and on permitting progress. Its key dependencies are FERC approval for Freeport, Corpus Christi and Sabine Pass, financing for terminals costing roughly $450 million to $600 million each, and sustained U.S. natural gas prices above $3.00 per Mcf. The company's own oil and gas exploration is a minor, speculative contributor, and the company faces significant going-concern-type funding needs despite the recent capital raise.
Mar 25, 2004
2002
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2002
Cheniere Energy's 2002 10-K shows a company in transition from a small Gulf of Mexico oil and gas explorer toward developing liquefied natural gas (LNG) import terminals. For 2002, the company reported a net loss of $5.63 million ($0.42 per share) on revenues of just $239,055, down sharply from $2.37 million in 2001, as it sold its only producing wells (West Cameron Block 49) in April 2002 and ceased direct drilling participation. General and administrative expenses were $3.48 million, with a growing share tied to LNG terminal development. The company had $590,039 in cash, a working capital deficit of $1.41 million, and total assets of $21.06 million, of which the largest components were unproved oil and gas properties ($16.75 million) and an equity-method stake in Gryphon Exploration Company, whose investment basis was reduced to zero. The central investor question is financing and execution. Cheniere's core oil and gas value is now concentrated in its roughly 9.3% effective interest in Gryphon, which it did not fund during 2002 as Warburg, Pincus provided $30 million in capital calls and Cheniere's stake fell from 20.2% to 9.3%. Management acknowledges it will need substantial additional capital, estimated at about $3 million per year per terminal, and that the company has limited proved reserves (1.36 Bcfe on a company-owned basis, plus a larger Gryphon share). The company is also heavily reliant on a small number of holders and has limited trading liquidity. The main near-term positive is the February 2003 Freeport LNG transaction, under which Michael S. Smith's entity acquired a 60% interest in the Freeport project, with Cheniere retaining 40% and receiving $5 million in installments plus cost recoveries of about $1.74 million. Cheniere then sold a further 10% interest for $2.33 million on March 1, 2003, reducing its retained stake to 30%. These transactions reduce Cheniere's cash burden for the Freeport terminal, though the company still needs regulatory approvals (FERC filing targeted for March 2003) and financing before construction. The Sherwin Alumina memorandum of understanding for a 33% stake in a Corpus Christi project, if finalized by April 15, 2003, would provide further development funding.
Mar 27, 2003
2001-A2
Cheniere Energy, Inc. Annual Report (Amendment), Year Ended Dec 31, 2001
This 10-K/A filing from Cheniere Energy, Inc. (LNG) for the period ending December 31, 2001, provides insights into the company's leadership and compensation structures. The document details the directors and executive officers, highlighting extensive experience in the energy and finance sectors. It also outlines the compensation awarded to key executives, predominantly through stock options, with limited base salaries and bonuses for some. Notably, the filing addresses Section 16(a) reporting compliance, stating that all requirements were met with a minor exception. Furthermore, the report sheds light on the security ownership of major stakeholders and management, revealing significant holdings by BSR Investments, Ltd. (controlled by the mother of Chairman Charif Souki) and by the directors and officers as a group. The filing also discloses certain related party transactions, including consulting fees paid to Charif Souki and placement fees to a company associated with his brother, all of which the company asserts were conducted on arm's length terms and approved by the Board.
May 14, 2002
2001-A
Cheniere Energy, Inc. Annual Report (Amendment), Year Ended Dec 31, 2001
Cheniere Energy, Inc. (LNG) is an early-stage energy company with a dual focus on oil and gas exploration and the development of a liquefied natural gas (LNG) receiving terminal business. The company has historically engaged in oil and gas exploration, primarily in the Gulf of Mexico, utilizing seismic data to identify prospects. However, its strategic direction is increasingly shifting towards the development of LNG receiving terminals, with a particular focus on sites along the Texas Gulf Coast. Financially, Cheniere has been operating at a loss, with significant expenditures in exploration activities and development of the LNG project. The company relies on equity financing and has a stated need for substantial additional capital to fund its ongoing operations, exploration program, and the development of its LNG terminal business. Investors should note the company's development-stage status, limited operating history, and the inherent risks associated with both the oil and gas exploration sector and the nascent LNG terminal market, including regulatory approvals and significant capital requirements.
Apr 24, 2002
2001
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2001
Cheniere Energy, Inc. (LNG) filed its 10-K for the fiscal year ended December 30, 2001, on March 31, 2002. The filing reveals a company in a significant transition, moving from a historical focus on oil and gas exploration to a strategic pivot towards developing a Liquefied Natural Gas (LNG) receiving terminal business. While the company continues to engage in oil and gas exploration, its primary attention and resources are being directed towards the LNG terminal development, with a particular focus on sites along the Texas Gulf Coast, including Freeport. The company's financial performance in 2001 reflected substantial losses, largely due to a significant ceiling test write-down and increased general and administrative expenses, including legal fees related to the LNG venture. Cheniere faces considerable financial challenges, indicated by a working capital deficit and the explicit acknowledgment of substantial doubt regarding its ability to continue as a going concern. The company's liquidity is heavily reliant on its ability to secure additional financing through various means, including potential divestitures, equity offerings, and business development loans.
Apr 1, 2002
2000-A
Cheniere Energy, Inc. Annual Report (Amendment), Year Ended Dec 31, 2000
Cheniere Energy, Inc.'s 2001 10-K filing indicates a company heavily focused on oil and gas exploration, particularly in the shallow waters of the Gulf of Mexico. The company has invested significantly in acquiring and reprocessing seismic data to identify drilling prospects. Despite commencing oil and gas production in late 1999, the company continued to incur net losses in 2000, driven by substantial exploration expenses, G&A costs, and depreciation, depletion, and amortization. The company's financial position is characterized by a need for ongoing financing, with significant capital requirements for future exploration, seismic data reprocessing, and potential capital calls for its affiliate, Gryphon Exploration Company. Cheniere has historically relied on private placements of equity to fund its operations and currently has limited cash and working capital. Investors should be aware of the inherent risks associated with the oil and gas exploration business, including price volatility, operational hazards, and the company's dependence on the success of its exploration program and its ability to secure future funding.
Nov 30, 2001
2000
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 2000
Cheniere Energy, Inc. (then trading as CHEX on the OTC Bulletin Board, moving to AMEX as "CXY" on March 5, 2001) reported a 2000 net loss of $780,980, or $0.07 per share, on revenues of $5.32 million, up from $1.61 million in 1999 as the company had a full year of production from its West Cameron Block 49 wells. The company is still a small, pre-revenue-scale exploration story: total assets were $34.7 million, almost all of it unproved properties and an equity-method investment in Gryphon Exploration Company, while total liabilities fell to $1.6 million after the company repaid all notes payable during 2000. Stockholders' equity rose to $33.1 million, and the company had only 12 full-time employees. Management's own risk disclosures state that the company has limited proved reserves, depends heavily on the success of exploration, and will need significant additional capital. The most important investor issue is the funding picture. Cheniere's Gryphon structure, which Warburg Pincus capitalized with $25 million in preferred stock on October 11, 2000, leaves Cheniere with a 36.8% effective interest, but Cheniere may need to fund up to $27.6 million of its pro-rata Gryphon capital calls, plus about $8 million for seismic reprocessing and a potential transfer fee of up to $2.5 million. Cash and working capital were modest at year-end ($1.9 million cash, $1.2 million working capital), so the company's ability to meet these obligations depends on new equity, asset sales, or partner funding. The auditor, PricewaterhouseCoopers, included a going-concern-style emphasis paragraph on the recoverability of unevaluated oil and gas properties, which investors should weigh heavily. The filing also highlights a shift in the business: the company is moving from a standalone producer toward an exploration company that relies on partners and seismic data, with reserves of about 6.4 Bcfe on a total proportional basis (including Gryphon) and a standardized measure of $29.8 million. The bottom line is a speculative, early-stage exploration investment whose value is concentrated in unproved Gulf of Mexico acreage, seismic data, and a passive stake in Gryphon, with substantial financing and execution risk.
Apr 2, 2001
1999-A
Cheniere Energy, Inc. Annual Report (Amendment), Year Ended Dec 31, 1999
This filing contains only Part III (Items 10 through 13) of Cheniere Energy's annual report for fiscal 1999, which the document itself refers to as a Form 10-K/A. It covers governance, executive pay, share ownership, and related-party dealings. It does not include financial statements, so it says nothing about revenue, earnings, or the company's LNG or energy business plans. The board is led by Chairman Charif Souki, with Michael L. Harvey as President and CEO since June 1999. William D. Forster is not standing for reelection, and the company had not yet named any additional nominees. Compensation was modest in cash terms but heavily weighted toward equity. Base salaries ranged from roughly $96,000 to $120,000 for the named executives, and directors received no cash fees. Large option and warrant grants dominated the package, including 1,000,000 warrants to Harvey and 1,000,000 options to Harvey and 600,000 to Krenzke. At December 31, 1999 the stock closed at $0.72, below every exercise price, so the year-end value of unexercised options was nil. Ownership is concentrated: Arabella SA (10.1%), BSR Investments (9.5%), Azure Energy Fund (7.0%), and Forster (6.6%) together hold a large share of the company, and directors and officers as a group hold 11.2%. The filing also discloses ongoing related-party ties involving Souki's family. BSR Investments, controlled by Souki's mother, converted $2 million of bridge notes into equity and later exchanged its remaining notes for units. An affiliate in which Souki's brother is a principal received $562,372 in placement fees in 1999. The board states these transactions were on terms at least as favorable to the company as arm's-length deals. Investors should weigh these ties and the low share price when assessing governance.
Apr 28, 2000
1999
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 1999
Cheniere Energy, Inc. (Houston-based, Nasdaq SmallCap: CHEX) filed its 10-K for fiscal 1999 in March 2000 as a pre-revenue exploration company that had only just begun production. Its only producing asset is the West Cameron Block 49 discovery in Louisiana state waters (Redfish and Stingray wells), which generated $1.6 million of 1999 oil and gas revenue from about 651 MMcfe of net production starting September 1999. Proved reserves are small: roughly 5.96 Bcfe, with a standardized measure of $7.6 million at year-end prices. The bulk of the balance sheet, about $20.6 million of the $34.5 million in total assets, is unproved properties tied to a licensed 8,700 square-mile 3-D seismic database from Fairfield Industries and a proprietary Cameron Parish survey. The company reported a 1999 net loss of $1.75 million, or $0.07 per share, on 25.8 million weighted average shares, and it has no current legal proceedings. The central investor concern is liquidity and going-concern risk. At year-end 1999 Cheniere had $3.4 million in current assets against $6.7 million in current liabilities, a working capital deficit of $3.3 million, and $4.96 million of short-term notes, most maturing in mid-2000. The auditors (PricewaterhouseCoopers) issued a going-concern qualification. Management plans to fund operations through equity raises, which it says have been successful historically; through subsequent-period equity sales of $1.76 million; through partial working-interest sales, including a March 2000 exploration agreement with Samson Offshore Company; and through vendor financing. The company also owes about $200,000 per month in seismic reprocessing payments through December 2001, so dilution and further financing are likely. For investors, the filing describes a high-risk, early-stage exploration story with minimal reserves, heavy dependence on dilutive financings, a controlling shareholder group of roughly 17%, and very thin trading history. The stock traded between $0.19 and $1.75 in early 2000, which underscores the volatility and risk of the equity.
Mar 29, 2000
1998
Cheniere Energy, Inc. Annual Report, Year Ended Dec 31, 1998
Cheniere Energy, Inc. (Nasdaq SmallCap: CHEX) is a development-stage company with no operating revenues and no proved oil and gas reserves. Its sole project is a 50% working interest in a proprietary 3-D seismic exploration program with Zydeco Exploration in Cameron Parish, Louisiana's Transition Zone. Drilling of the first test well began in February 1999, and the company has identified fifteen prospects for an initial drilling program. For fiscal 1998 the company reported a net loss of $1.64 million ($0.10 per share), largely driven by G&A expenses of $1.66 million, including $818,000 in arbitration costs related to the Zydeco dispute. Total assets were $20.8 million, mostly $20.0 million of unevaluated oil and gas properties, and stockholders' equity was $16.3 million. The investment case rests on financing risk. PricewaterhouseCoopers included a going-concern paragraph in its audit opinion. The company had $4.0 million of bridge notes, of which $2.0 million was exchanged for equity in early 1999 and $2.0 million remained outstanding with an extended maturity of April 15, 1999. Cash was only $144,000 at year-end 1998, and management plans to raise capital through common stock sales, partial sales of prospect interests, and vendor financing. The company's December 1998 arbitration award, which largely confirmed Cheniere's seismic data ownership and prospect rights, removes a significant overhang, but it does not resolve the near-term funding need. The filing is an early-stage exploration story, not a producing company. Value depends on whether the initial wells find commercial hydrocarbons and whether the company can keep financing its share of drilling without heavy dilution. Shares outstanding were 21.8 million as of March 26, 1999, and the stock traded at roughly $0.44 to $1.44 in the fourth quarter of 1998. Equity financing has been priced at or below $1.00 per share in recent transactions.
Mar 29, 1999
1997-A
Cheniere Energy, Inc. Annual Report (Amendment), Year Ended Aug 31, 1997
This document is an amended annual report (Form 10-K/A) of Cheniere Energy, Inc., a Delaware corporation headquartered in Houston, Texas, for the fiscal year ended August 31, 1997. The excerpt provided contains only the cover page, so it does not include the business description, financial statements, MD&A, or risk factors. Any assessment of operating performance, revenue, earnings, or balance sheet strength would require the full filing. The cover page shows that 14,357,866 shares of common stock ($0.003 par value) were outstanding as of October 1, 1997. The aggregate market value of voting stock held by non-affiliates was approximately $26.6 million on the same date. Because the filing is an amendment, it likely revises or supplements an original 10-K, and investors should check the original filing and the amendment's explanatory notes to see what changed. The filing also incorporates the 1997 Proxy Statement by reference for Part III information such as executive compensation and governance. For investors, the excerpt establishes the company's basic capital structure and small public float but says nothing about its strategy or results. The stated fiscal year end of August 31 is also worth noting, since it differs from a calendar year and affects comparisons with other companies.
Oct 15, 1997
1997
Cheniere Energy, Inc. Annual Report, Year Ended Aug 31, 1997
Cheniere Energy, Inc. (Houston-based, Nasdaq SmallCap: CHEX) filed this 10-K for the fiscal year ended August 31, 1997 as a pre-revenue development stage company. It has no oil and gas production, no proved reserves, and no operating revenues, and it does not expect meaningful revenue before calendar 1998. Its sole material asset is a $13.5 million investment in a proprietary 3-D seismic exploration program with Zydeco Exploration in Cameron Parish, Louisiana, which earns the company up to a 50% working interest. The company reported a net loss of $1.68 million ($0.14 per share) for the year, including a non-cash $624,400 charge for stock issued to investment bankers. Total assets were $13.8 million against liabilities of $0.9 million, and the company holds only $235 thousand in cash. The central investor risk is liquidity. An estimated $2.9 million Excess Seismic Cost payment is due to Zydeco on December 31, 1997, and management states it does not presently have sufficient capital to make it. Failure to pay would reduce the company's working interest, and under the agreement's discontinuance provisions could cut its prospect ownership to a fraction of its contribution. Management plans to fund operations through equity sales, further borrowings, and/or selling portions of its program interest, but none of these is assured. The company also disclosed a related-party $500,000 bridge loan from Sam B. Myers, Jr., which was repaid in September 1997. The filing is essentially a pre-drilling story. Seismic processing continues through 1998, with leasing expected in early 1998 and first drilling targeted for the second quarter of 1998. Investors are therefore underwriting a speculative exploration thesis on undrilled prospects, dependent on both continued financing and the partner's technical work. The company has two full-time administrative employees and sublets its headquarters from its partner, Zydeco.
Oct 14, 1997
1996-A2
Cheniere Energy, Inc. Annual Report (Amendment), Year Ended Aug 31, 1996
Cheniere Energy, Inc. is a development-stage oil and gas exploration company with no operating revenues and no proved reserves. Its fiscal year ended August 31, 1996, and it reported a net loss of $121,847 ($0.01 per share) from inception on February 21, 1996. Its main asset is a $4.0 million investment in a proprietary 3-D seismic program over a 255-square-mile area of the Louisiana Transition Zone, with a 50% participation right. The company does not expect meaningful operating revenues before 1998. Total assets were $5.15 million, total liabilities $0.72 million, and shareholders' equity $4.43 million at August 31, 1996. The central investor issue is funding. Under the amended Exploration Agreement, the company must make further seismic payments, and management states it lacks sufficient capital to cover them. Subsequent events disclosed in the filing show $8.0 million paid to the program between September 1996 and June 1997, with at least $1.5 million still due on June 21, 1997 (with a 30-day grace period). Failure to pay can cut the company's prospect interest sharply, to a figure tied to its contributions, and can lead to a discontinuance. The company has relied on private placements, Regulation D and S sales, warrants, and a $425,000 bridge loan. The company also terminated its planned purchase of a Poseidon working interest in the offshore California Bonito Unit, saying it wants to concentrate resources on the 3-D program. Note that the filing shows the ticker as CHEX on the OTC Bulletin Board, not LNG, and the company had applied for a Nasdaq SmallCap listing. Investors should weigh the speculative exploration thesis, the thin operating history, and the near-term financing requirement.
Jun 26, 1997
1996-A
Cheniere Energy, Inc. Annual Report (Amendment), Year Ended Aug 31, 1996
Cheniere Energy, Inc. filed this Form 10-K/A, an amended annual report for the fiscal year ended August 31, 1996. The registrant is a Delaware corporation with principal executive offices at 1200 Smith St., Suite 1710, Houston, Texas. Its registered class is common stock with a $0.03 par value, filed under Commission File No. 2-63115. The cover page states that the aggregate market value of voting stock held by non-affiliates was approximately $19,446,458 as of November 22, 1996, and that 10,624,794 shares of common stock were outstanding on that date. The registrant checked "Yes" for having filed all required reports during the preceding 12 months. The substantive content of this amendment is Item 14, which lists one exhibit: Exhibit 27, a Financial Data Schedule. The filing states no business description, financial results, or management discussion beyond this cover information and exhibit listing.
Dec 24, 1996
1996
Cheniere Energy, Inc. Annual Report, Year Ended Aug 31, 1996
Cheniere Energy, Inc. (ticker CHEX, OTC Bulletin Board) is a very early-stage, pre-revenue oil and gas exploration company that became public on July 3, 1996, when its operating subsidiary, Cheniere Energy Operating Co. (formerly FX Energy, Inc.), reverse-merged into Bexy Communications, Inc. For the fiscal year ended August 31, 1996, the company reported no revenue, a loss from continuing operations of $79,097, and a total net loss of $286,819 ($0.03 per share), including $207,722 of losses from discontinued television production and health information operations. It has not established production or booked proved reserves. Its total assets were $5.15 million, consisting mainly of a $4.0 million investment in a 3-D seismic joint venture, against total liabilities of $718,855 and shareholders' equity of $4.43 million. The core asset is a right to earn up to a 50% participation in a 3-D seismic joint venture with Zydeco Exploration covering roughly 255 square miles in the Louisiana Transition Zone. The venture's permits currently cover about 84% of the survey area, and the company has paid $6 million toward seismic costs. The company's own disclosures are candid that it lacks sufficient capital for its remaining commitments, which are at least $8 million and due in monthly installments from late November 1996 through March 1997. Failure to make the November 1996 payment on time would trigger a 'Discontinuance' that would sharply reduce the company's prospect interest. Management says it intends to fund these payments through equity sales, borrowings, or sales of part of its interest, but there is no assurance of success. For investors, this filing describes a speculative, development-stage equity story rather than an operating business. Value depends on successful financing, permit completion, seismic results that yield drillable prospects, and a possible Offshore California acquisition (Poseidon Interest) that remains under a non-binding letter of intent and would not be developed for at least five years. The company also has concentrated insider ownership (management and affiliates hold roughly 27% as a group, and BSR Investments holds 24.5%), a thin equity base, and a history of late payments to its joint venture partner.
Nov 27, 1996