Quarterly report pursuant to Section 13 or 15(d)

NOTE 4—Property, Plant and Equipment

v2.3.0.15
NOTE 4—Property, Plant and Equipment
 9 Months Ended
Sep. 30, 2011
Property, Plant and Equipment [Abstract]  
Property, Plant and Equipment Disclosure [Text Block]
Property, Plant and Equipment

Property, plant and equipment consists of LNG terminal costs and fixed assets, as follows (in thousands):
 
September 30,
 
December 31,
 
2011
 
2010
LNG terminal costs
 
 
 
LNG terminal
$
1,637,128

 
$
1,629,427

LNG terminal construction-in-process
486

 
2,160

LNG site and related costs, net
165

 
170

Accumulated depreciation
(113,786
)
 
(81,781
)
Total LNG terminal costs, net
1,523,993

 
1,549,976

 
 
 
 
Fixed assets
 
 
 
Computers and office equipment
227

 
227

Vehicles
416

 
384

Machinery and equipment
974

 
964

Other
630

 
550

Accumulated depreciation
(1,900
)
 
(1,636
)
Total fixed assets, net
347

 
489

Property, plant and equipment, net
$
1,524,340

 
$
1,550,465

 
We began depreciating equipment and facilities associated with the initial 2.6 Bcf/d of sendout capacity and 10.1 Bcf of storage capacity of the Sabine Pass LNG terminal when they were ready for use in the third quarter of 2008. We began depreciating equipment and facilities associated with the remaining 1.4 Bcf/d of sendout capacity and 6.8 Bcf of storage capacity of the Sabine Pass LNG terminal when they were ready for use in the third quarter of 2009. Depreciation expense related to the Sabine Pass LNG terminal totaled $32.0 million and $31.3 million for the nine months ended September 30, 2011 and 2010, respectively.