Cheniere Energy Partners, L.P. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Debt (Tables)

Debt (Tables)

12 Months Ended

Dec. 31, 2020

As of December 31, 2020 and 2019, our debt consisted of the following (in millions):


	December 31,

	2020		2019
Long-term debt:











SPL — 4.200% to 6.25% senior secured notes due between 2022 and 2037 and working capital facility (“2020 SPL Working Capital Facility”)	$	13,650	$	13,650






Cheniere Partners — 4.500% to 5.625% senior notes due between 2025 and 2029 and credit facilities (“2019 CQP Credit Facilities”)	4,100		4,100
Unamortized premium, discount and debt issuance costs, net	(170)		(171)
Total long-term debt, net	17,580		17,579

Current debt:

SPL — $1.2 billion Amended and Restated SPL Working Capital Facility (“2015 SPL Working Capital Facility”)	—		—




Total debt, net	$	17,580	$	17,579

Schedule of Maturities of Long-term Debt

Below is a schedule of future principal payments that we are obligated to make, based on current construction schedules, on our outstanding debt at December 31, 2020 (in millions):


Years Ending December 31,	Principal Payments
2021	$	—
2022	1,000
2023	1,500
2024	2,000
2025	3,523
Thereafter	9,727
Total	$	17,750

Schedule of Debt Issuances And Redemptions

The following table shows the issuances and redemptions of long-term debt during the year ended December 31, 2020 (in millions):


Issuances			Principal Amount Issued

SPL — 4.500% Senior Secured Notes due 2030 (the “2030 SPL Senior Notes”) (1)			$	2,000

Year Ended December 31, 2020 total			$	2,000

Redemptions			Amount Redeemed
SPL — 5.625% Senior Secured Notes due 2021 (the “2021 SPL Senior Notes”) (1)	$	(2,000)

Year Ended December 31, 2020 total			$	(2,000)

(1)Proceeds of the 2030 SPL Senior Notes, along with available cash, were used to redeem all of SPL’s outstanding 2021 SPL Senior Notes, resulting in the recognition of debt extinguishment costs of $43 million for the year ended December 31, 2020 relating to the payment of early redemption fees and write off of unamortized debt premium and issuance costs.

Schedule of Line of Credit Facilities

Below is a summary of our credit facilities outstanding as of December 31, 2020 (in millions):


	2020 SPL Working Capital Facility (1)		2019 CQP Credit Facilities
Original facility size	$	1,200	$	1,500
Less:
Outstanding balance	—		—
Commitments prepaid or terminated	—		750
Letters of credit issued	413		—
Available commitment	$	787	$	750

Priority ranking	Senior secured		Senior secured
Interest rate on available balance	LIBOR plus 1.125% - 1.750% or base rate plus 0.125% - 0.750%		LIBOR plus 1.25% - 2.125% or base rate plus 0.25% - 1.125%
Weighted average interest rate of outstanding balance	n/a		n/a
Maturity date	March 19, 2025		May 29, 2024

(1)The 2020 SPL Working Capital Facility contains customary conditions precedent for extensions of credit, as well as customary affirmative and negative covenants. SPL pays a commitment fee equal to an annual rate of 0.1% to 0.3% (depending on the then-current rating of SPL), which accrues on the daily amount of the total commitment less the sum of (1) the outstanding principal amount of loans, (2) letters of credit issued and (3) the outstanding principal amount of swing line loans.

Schedule of Interest Expense

Total interest expense, net of capitalized interest consisted of the following (in millions):


	Year Ended December 31,
		2020		2019		2018
Total interest cost		$	1,005	$	972	$	936
Capitalized interest		(96)		(87)		(203)
Total interest expense, net of capitalized interest		$	909	$	885	$	733

Schedule of Carrying Values and Estimated Fair Values of Debt Instruments

The following table shows the carrying amount and estimated fair value of our debt (in millions):


	December 31, 2020				December 31, 2019
	Carrying Amount		Estimated Fair Value		Carrying Amount		Estimated Fair Value
Senior notes — Level 2 (1)	$	16,950	$	19,113	$	16,950	$	18,320
Senior notes — Level 3 (2)	800		1,036		800		934
Credit facilities (3)	—		—		—		—

(1)The Level 2 estimated fair value was based on quotes obtained from broker-dealers or market makers of these senior notes and other similar instruments.

(2)The Level 3 estimated fair value was calculated based on inputs that are observable in the market or that could be derived from, or corroborated with, observable market data, including interest rates based on debt issued by parties with comparable credit ratings to us and inputs that are not observable in the market.

(3)The Level 3 estimated fair value approximates the principal amount because the interest rates are variable and reflective of market rates and the debt may be repaid, in full or in part, at any time without penalty