Annual report pursuant to Section 13 and 15(d)

Nature of Operations

v2.4.0.6
Nature of Operations
 12 Months Ended
Dec. 31, 2011
NATURE OF OPERATIONS [Abstract]  
Nature of Operations [Text Block]
NATURE OF OPERATIONS
 
Cheniere Energy Partners, L.P. ("Cheniere Partners") is a publicly-held limited partnership. As of December 31, 2011, Cheniere Energy, Inc. ("Cheniere") owned 88.8% of the limited partnership through its wholly owned subsidiaries, Cheniere LNG Holdings, LLC ("Holdings"), Cheniere Common Units Holding, LLC ("Cheniere Common Units Holding"), Cheniere Subsidiary Holdings, LLC ("Subsidiary Holdings") and Cheniere Energy Partners GP, LLC ("Cheniere GP"). Cheniere Partners is a Delaware limited partnership formed on November 21, 2006 to own and operate the Sabine Pass liquefied natural gas ("LNG") terminal located in western Cameron Parish, Louisiana on the Sabine Pass Channel (the "Sabine Pass LNG terminal"). The Sabine Pass LNG terminal has regasification capacity of approximately 4.0 billion cubic feet per day ("Bcf/d") and five LNG storage tanks with an aggregate LNG storage capacity of approximately 16.9 Bcf. In addition, we are developing LNG liquefaction capabilities at the Sabine pass LNG terminal. Cheniere Partners and Holdings, as a selling unitholder, completed an initial public offering (the "Cheniere Partners Offering") of Cheniere Partners’ common units on March 26, 2007.
 
The following entities are included in the accompanying Consolidated Financial Statements: 
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Cheniere Partners; 
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Cheniere Energy Investments, LLC ("Cheniere Investments") is a Delaware limited liability company owned by Cheniere Partners and was formed on November 21, 2006 to hold 100% of the ownership interests in Sabine Pass GP and Sabine Pass LP; 
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Sabine Pass LNG-GP, LLC ("Sabine Pass GP") is a Delaware limited liability company that was initially owned by Holdings and was formed in 2004 to be the general partner of Sabine Pass LNG, L.P.; 
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Sabine Pass LNG-LP, LLC ("Sabine Pass LP") is a Delaware limited liability company that was initially owned by Holdings and was formed in 2004 to be the limited partner of Sabine Pass LNG; and 
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Sabine Pass LNG, L.P. ("Sabine Pass LNG") is a Delaware limited partnership formed with one general partner, Sabine Pass GP, and one limited partner, Sabine Pass LP, which owns the entire interest in the Sabine Pass LNG terminal. The purpose of this limited partnership is to own and operate the Sabine Pass LNG terminal.
 
At the closing of the Cheniere Partners Offering on March 26, 2007, the equity interests in Sabine Pass GP and Sabine Pass LP were contributed to Cheniere Investments, thereby resulting in Sabine Pass GP, Sabine Pass LP and Sabine Pass LNG becoming indirect, wholly owned subsidiaries of Cheniere Partners. From and after the closing of the Cheniere Partners Offering, Cheniere Investments and these subsidiaries are consolidated with Cheniere Partners in the accompanying consolidated financial statements. As used in these Notes to Consolidated Financial Statements, the terms "Cheniere Partners", "we", "us" and "our" refer to Cheniere Partners and its consolidated subsidiaries effective with the closing of the Cheniere Partners Offering and the foregoing entities on a combined basis (the "Combined Predecessor Entities") prior to the closing of the Cheniere Partners Offering, unless otherwise stated or indicated by context.
  
We are not subject to either federal or state income tax, as the partners are taxed individually on their proportionate share of our earnings.