Summary
Cheniere Energy, Inc. (LNG), through its indirect wholly-owned subsidiary Cheniere Corpus Christi Holdings, LLC (CCH), has issued $727 million in aggregate principal amount of 4.80% Senior Secured Notes due December 31, 2039. This issuance is part of CCH's strategy to secure long-term financing for its Corpus Christi liquefaction project. The Notes are secured by substantially all assets of CCH and its guarantors, providing a strong collateral backing for investors. These notes feature a deferred amortization schedule, with principal payments not beginning until June 30, 2027, and a weighted average life of 15 years, indicating a long-term financing structure. The covenants outlined in the Indenture are standard for this type of secured debt, including restrictions on additional indebtedness, investments, and asset sales, while also containing limitations and exceptions to provide CCH with operational flexibility. The non-registered nature of the Notes implies a private placement to specific purchasers.
Key Highlights
- 1Issuance of $727 million in 4.80% Senior Secured Notes by Cheniere Corpus Christi Holdings, LLC (CCH).
- 2Notes mature on December 31, 2039, with a weighted average life of 15 years.
- 3Deferred amortization schedule, with principal payments commencing June 30, 2027.
- 4Notes are senior secured obligations, backed by a first-priority security interest in substantially all CCH and guarantor assets.
- 5Guarantees are provided by CCH's subsidiaries: Corpus Christi Liquefaction, LLC, Cheniere Corpus Christi Pipeline, L.P., and Cheniere Corpus Christi Pipeline GP, LLC.
- 6Redemption options available, with a 'make-whole' price prior to June 30, 2029, and par redemption thereafter.
- 7Indenture includes standard covenants restricting indebtedness, investments, dividends, and asset sales, subject to limitations and exceptions.