Annual report pursuant to Section 13 and 15(d)

Schedule I—Condensed Financial Information of Registrant

v3.3.1.900
Schedule I—Condensed Financial Information of Registrant
 12 Months Ended
Dec. 31, 2015
Parent Company [Member]  
Condensed Financial Statements, Captions [Line Items]  
Condensed Financial Information of Registrant
SCHEDULE I—CONDENSED FINANCIAL INFORMATION OF REGISTRANT—

CHENIERE ENERGY PARTNERS, L.P.

CONDENSED BALANCE SHEETS
(in thousands) 
 
 
December 31,
 
 
2015
 
2014
ASSETS
 
 

 
 

Current assets
 
 

 
 

Cash and cash equivalents
 
$
109,950

 
$
222,130

Accounts receivable—affiliates
 
—

 
9,568

Prepaid expenses and other
 
187

 
104

Total current assets
 
110,137

 
231,802

 
 
 
 
 
Investment in affiliates
 
617,749

 
902,612

Other non-current assets
 
953

 
123

Total assets
 
$
728,839

 
$
1,134,537

 
 
 
 
 
 
 
 
 
 
LIABILITIES AND PARTNERS’ EQUITY
 
 
 
 
Current liabilities
 
 
 
 
Accrued liabilities—affiliates
 
$
14,750

 
$
3,033

Other current liabilities
 
1,158

 
775

Total current liabilities
 
15,908

 
3,808

 
 
 
 
 
Partners’ equity
 
712,931

 
1,130,729

Total liabilities and partners’ equity
 
$
728,839

 
$
1,134,537


























The accompanying notes are an integral part of these condensed financial statements.
CHENIERE ENERGY PARTNERS, L.P.

CONDENSED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
(in thousands) 
 
 
Year Ended December 31,
 
 
2015
 
2014
 
2013
Operating costs and expenses
 
$
5,737

 
$
3,383

 
$
3,041

Operating costs and expenses—affiliates
 
11,546

 
11,556

 
11,376

Loss from operations
 
(17,283
)
 
(14,939
)
 
(14,417
)
 
 
 
 
 
 
 
Interest income
 
173

 
162

 
242

Equity loss of affiliates
 
(301,781
)
 
(395,259
)
 
(243,942
)
Net loss
 
$
(318,891
)
 
$
(410,036
)
 
$
(258,117
)
 
 
 
 
 
 
 
Other comprehensive income attributable to affiliates
 
—

 
—

 
27,240

Comprehensive loss
 
$
(318,891
)
 
$
(410,036
)
 
$
(230,877
)







































The accompanying notes are an integral part of these condensed financial statements.
CHENIERE ENERGY PARTNERS, L.P.

CONDENSED STATEMENTS OF CASH FLOWS
(in thousands) 
 
 
Year Ended December 31,
 
 
2015
 
2014
 
2013
Cash flows from operating activities
 
$
3,646

 
$
(24,416
)
 
$
(13,056
)
 
 
 
 
 
 
 
Cash flows from investing activities
 
 
 
 
 
 
Investments in subsidiaries
 
(35,208
)
 
(77,846
)
 
(405,452
)
Distributions received from affiliates, net
 
18,400

 
108,625

 
369,726

Purchase of Creole Trail Pipeline Business, net
 
—

 
—

 
(313,892
)
Net cash provided by (used in) investing activities
 
(16,808
)
 
30,779

 
(349,618
)
 
 
 
 
 
 
 
Cash flows from financing activities:
 
 
 
 
 
 

Distributions to owners
 
(99,018
)
 
(99,015
)
 
(91,386
)
Proceeds from sale of partnership common and general partner units
 
—

 
—

 
375,897

Net cash provided by (used in) financing activities
 
(99,018
)
 
(99,015
)
 
284,511

 
 
 
 
 
 
 
Net decrease in cash and cash equivalents
 
(112,180
)
 
(92,652
)
 
(78,163
)
Cash and cash equivalents—beginning of period
 
222,130

 
314,782

 
392,945

Cash and cash equivalents—end of period
 
$
109,950

 
$
222,130

 
$
314,782


































The accompanying notes are an integral part of these condensed financial statements.
CHENIERE ENERGY PARTNERS, L.P.

NOTES TO CONDENSED FINANCIAL STATEMENTS

NOTE 1—SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
 
The condensed financial statements represent the financial information required by Securities and Exchange Commission Regulation S-X 5-04 for Cheniere Partners.
 
A substantial amount of Cheniere Partners’ operating, investing and financing activities are conducted by its affiliates. In the condensed financial statements, Cheniere Partners’ investments in affiliates are presented under the equity method of accounting. Under this method, the assets and liabilities of affiliates are not consolidated. The investments in net assets of the affiliates are recorded in the balance sheets. The gain (loss) from operations of the affiliates is reported on a net basis as equity in net gains (losses) of affiliates.

In May 2013, we acquired Cheniere’s ownership interest in the Creole Trail Pipeline Business, thereby providing us with ownership of a 94-mile pipeline interconnecting the Sabine Pass LNG terminal with a number of large interstate pipelines. The effect on reported equity on including the prior results of the Creole Trail Pipeline Business is reported as Investment in affiliates in our Condensed Balance Sheet and Equity loss of affiliates in our Condensed Statement of Operations. The purchase has been accounted for as a transfer of net assets between entities under common control. We recognize transfers of net assets between entities under common control at Cheniere’s historical basis in the net assets sold. In addition, transfers of net assets between entities under common control are accounted for as if the transfer occurred at the beginning of the period, and prior years are retroactively adjusted to furnish comparative information.
 
The condensed financial statements should be read in conjunction with Cheniere Partners’ Consolidated Financial Statements.

NOTE 2—GUARANTEES

Guarantees on Behalf of CTPL

In May 2013, CTPL entered into a $400.0 million term loan facility (the “CTPL Term Loan”), which is being used to fund modifications to the Creole Trail Pipeline and for general business purposes. CTPL incurred $10.0 million of direct lender fees that were recorded as a debt discount. The CTPL Term Loan matures in 2017 when the full amount of the outstanding principal obligations must be repaid. CTPL’s loans may be repaid, in whole or in part, at any time without premium or penalty. As of December 31, 2015, CTPL had borrowed the full amount of $400.0 million available under the CTPL Term Loan. Cheniere Partners has guaranteed on behalf of CTPL all principal, interest, costs, fees and expenses owed under the CTPL Term Loan.

 NOTE 3—SUPPLEMENTAL CASH FLOW INFORMATION

The following table provides supplemental disclosure of cash flow information (in thousands): 
 
 
Year Ended December 31,
 
 
2015
 
2014
 
2013
Non-cash capital contributions (1)
 
$
(301,781
)
 
$
(395,259
)
 
$
(225,792
)
Non-cash capital contributions related to the Creole Trail Pipeline Business (1)
 
—

 
—

 
(18,150
)
 
(1)
Amounts represent equity gains (losses) of affiliates not funded by Cheniere Partners.