Quarterly report pursuant to Section 13 or 15(d)

Property, Plant and Equipment (Notes)

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Property, Plant and Equipment (Notes)
 3 Months Ended
Mar. 31, 2013
Property, Plant and Equipment [Abstract]  
Property, Plant and Equipment
PROPERTY, PLANT AND EQUIPMENT
 
Property, plant and equipment consists of LNG terminal costs and fixed assets, as follows (in thousands):
 
 
March 31,
 
December 31,
 
 
2013
 
2012
LNG terminal costs
 
 
 
 
LNG terminal
 
$
1,641,717

 
$
1,641,722

LNG terminal construction-in-process
 
1,776,308

 
1,228,647

LNG site and related costs, net
 
154

 
156

Accumulated depreciation
 
(177,084
)
 
(166,538
)
Total LNG terminal costs, net
 
3,241,095

 
2,703,987

 
 
 
 
 
Fixed assets
 
 

 
 

Computer and office equipment
 
424

 
368

Vehicles
 
797

 
704

Machinery and equipment
 
1,471

 
1,473

Other
 
703

 
760

Accumulated depreciation
 
(2,500
)
 
(2,397
)
Total fixed assets, net
 
895

 
908

 
 
 
 
 
Property, plant and equipment, net
 
$
3,241,990

 
$
2,704,895

 
Depreciation expense related to the Sabine Pass LNG terminal totaled $10.5 million for each of the three months ended March 31, 2013 and 2012.

In June 2012, Train 1 and Train 2 of the Liquefaction Project satisfied the criteria for capitalization. Accordingly, costs associated with the construction of Train 1 and Train 2 of the Liquefaction Project have been recorded as construction-in-process since that date. For the three months ended March 31, 2013, we capitalized $35.3 million of interest expense related to the construction of Train 1 and Train 2 of the Liquefaction Project.