Cheniere Partners engages joint lead arrangers to arrange refinancing of project debt

Cheniere Energy Partners LP (NYSE MKT: CQP) has engaged 13 financial institutions to act as joint lead arrangers, mandated lead arrangers, and other participants to assist in the structuring and arranging of senior secured credit facilities in an aggregate principal amount of up to approximately $2.8 billion.

Proceeds from these new credit facilities are intended to be used by Cheniere Partners to prepay the $400 million senior secured term loan at Cheniere Creole Trail Pipeline LP (CCTP), redeem or repay the approximately $1.7 billion senior secured notes due 2016 and the $420 million senior secured notes due 2020 that were issued by Sabine Pass LNG LP (SPLNG), pay associated transaction fees, expenses, and make-whole amounts, if applicable, and for general business purposes of Cheniere Partners and its subsidiaries. SPLNG and CCTP are both wholly owned subsidiaries of Cheniere Partners.

The 13 arrangers and other participants are The Bank of Tokyo-Mitsubishi UFJ Ltd., ABN AMRO Capital USA LLC, Société Générale, Industrial and Commercial Bank of China Ltd., New York Branch, Intesa Sanpaolo SPA New York Branch, JPMorgan Chase Bank NA, Mizuho Bank Ltd., Sumitomo Mitsui Banking Corp., Morgan Stanley Senior Funding Inc., Bank of America NA, Credit Suisse, HSBC Bank USA NA, and Commonwealth Bank of Australia.

Through SPLNG, Cheniere Partners owns 100% of the Sabine Pass LNG terminal located on the Sabine-Neches Waterway less than four miles from the Gulf Coast. The Sabine Pass LNG terminal includes existing infrastructure of five LNG storage tanks with capacity of approximately 16.9 billion cubic feet equivalent (bcfe), two docks that can accommodate vessels with nominal capacity of up to 266,000 cubic meters, and vaporizers with regasification capacity of approximately 4.0 bcf/d. Cheniere Partners also owns a 94-mile pipeline (the Creole Trail Pipeline) that interconnects the Sabine Pass LNG terminal with a number of large interstate pipelines. The Creole Trail Pipeline is owned by CCTP.

Cheniere Partners, through its subsidiary, Sabine Pass Liquefaction LLC (SPL), is developing and constructing natural gas liquefaction facilities at the Sabine Pass LNG terminal adjacent to the existing regasification facilities. Cheniere Partners, through SPL, plans to construct over time up to six liquefaction trains, which are in various stages of development.

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