Cheniere Energy, Inc. · NYSE:LNG
Cheniere Energy — Barclays CEO Energy-Power Conference 2017
25 slides from Cheniere Energy's conference presentation, September 2017
Slide 1: Cheniere Energy, Inc. Barclays CEO Energy-Power Conference
CHENIERE ENERGY, INC. BARCLAYS CEO ENERGY-POWER CONFERENCE | September 2017 1 NYSE American: LNG
Slide 2: Safe Harbor Statements
Safe Harbor Statements Forward-Looking Statements This presentation contains certain statements that are, or may be deemed to be, “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amend
Slide 3: Cheniere Investment Thesis
Cheniere Investment Thesis Full-service LNG offering, including gas procurement, transportation, liquefaction, and shipping enables flexible solutions tailored to customer needs Positioned as premier LNG provider, with a proven track record and low-cost advantage through capacity expansion at ex
Slide 4: Cheniere LNG Cargo Destinations
Cheniere LNG Cargo Destinations LNG from Sabine Pass Has Now Been Delivered to 25 Countries Across the Globe More than 175 Cargoes (~620 TBtu) Exported London, U.K. Poland, Lithuania, Netherlands, United Kingdom Japan, Washington, DC South Korea Beijing, China Portugal, Italy, Malta, Spain Tokyo, Ja
Slide 5: Sabine Pass Liquefaction Construction Progress
Sabine Pass Liquefaction Construction Progress Trains 1, 2, and 3 in Operation, Train 4 Expected 2H 2017, Train 5 Expected 2019 2012 2013 2014 2015 2016 2017 2018 2019 2020 Train 1 Train 2 Sabine Pass Train 3 Train 4 Oct 2017 Train 5 Aug 2019 Guaranteed Schedule DFCD Window Current Completion Schedu
Slide 6: Corpus Christi Liquefaction Construction Progress
Corpus Christi Liquefaction Construction Progress Trains 1 & 2 Expected Completion 2019 2012 2013 2014 2015 2016 2017 2018 2019 2020 Corpus Christi Train 1 1H 2019 Train 2 2H 2019 Guaranteed Schedule DFCD Window Opens(1) Current Completion Schedule Progress Stage 1 (Trains 1 & 2) 69.6% overall pro
Slide 7: Run Rate Guidance: 7 Train Case
Run Rate Guidance: 7 Train Case 7 Trains SPL T1-5, ($bn, except per share amounts or unless otherwise noted) CCH T1-2 CEI Consolidated Adjusted EBITDA $3.8 - $4.1 Less: CQP/CQH Minority Interest ($0.9) - ($0.9) Less: CQP/SPL Interest Expense ($0.9) Less: CEI Interest Expense/Other ($0.0) Less: CCH I
Slide 8: Balance Sheet Management
Balance Sheet Management CQP / SPL Debt Maturity Profile Progression: YE 2015 to Today $6.0 SPLNG - Senior Notes $6.0 CQP - Credit Facilities $5.0 YE 2015 CTPL - Term Loan Today SPL - Senior Notes $5.0 SPL - Credit Facilities $5.0 SPL - Senior Notes $4.0 $4.0 Projected CQP Run-Rate Cons. Adjusted EB
Slide 9: CEI Deconsolidated Five Year Sources and Uses
CEI Deconsolidated Five Year Sources and Uses Projected Available Cash Generation: 2017 – 2021 $8.0 $bn Sources: ~$6.5 billion Uses: ~$6.5 billion Available Cash $6.0 $0.8 CQP GP / IDR Distributions Grow (CCH T3, etc.) Buy back Stock Pay Dividend $0.9 CEI Beginning Cash on Hand $0.8 CMI Cash F
Slide 10: LNG Market Tightening Into Winter Months
LNG Market Tightening Into Winter Months Attractive Margins Available In the Market Today JKM vs NBP Margin Comparison - Winter 2017 2.50 JKM Margin NBP Margin 2.00 $/MMBtu 1.50 1.00 0.50 0.00 Oct-17 Nov-17 Dec-17 Jan-18 Feb-18 Margins available in winter months approximately ~$2.00/MMBtu in both
Slide 11: Cheniere's Existing LNG Platform Creates Advantages for Growth
Cheniere’s Existing LNG Platform Creates Advantages for Growth Construction Operations Significant infrastructure investment at Ability to scale quickly and effectively Corpus Christi and Sabine Pass sites Scale helps reduce operating expense • Site preparation Operating expense associated w
Slide 12: Corpus Christi Expansion
Corpus Christi Expansion Corpus Christi Property Allows for Major Expansion of Cheniere’s Existing Footprint Stage 2 Train 3 fully permitted, partially commercialized Brownfield economics with significant infrastructure already installed Stage 3 Trains 4 and 5 permitting process initiated Pote
Slide 13: Cheniere Energy, Inc. Barclays CEO Energy-Power Conference
CHENIERE ENERGY, INC. BARCLAYS CEO ENERGY-POWER CONFERENCE | September 2017 13NYSE American: LNG
Slide 14: Appendix
APPENDIX 14 CHENIERE al
Slide 15: Sabine Pass Liquefaction Project Execution – 2Q 2017
Sabine Pass Liquefaction Project Execution – 2Q 2017 Train 4 Commissioning Trains 1, 2 & 3 Operational Train 5 Under Construction Train 6 Fully Permitted 15
Slide 16: Corpus Christi Liquefaction Project Execution – 2Q 2017
Corpus Christi Liquefaction Project Execution – 2Q 2017 Stage 1: Trains 1& 2, Tanks A & C, Marine Berths Under Construction Stage 2 Train 3, Tank B Fully Permitted 16
Slide 17: LNG Fundamentals are Supportive of Long-Term Growth
LNG Fundamentals are Supportive of Long-Term Growth LNG Demand vs. Supply (mtpa) Global LNG market 500 Market tightening 450 needs competitive new New Supply 400 supplies to fill the 350 (127 mtpa) Under Construction approaching supply 300 gap 250 Newly Operational 200 150 100 Existing Capacity 50 0
Slide 18: Demand Forecast to Grow More than 200 mtpa by 2030
Demand Forecast to Grow More than 200 mtpa by 2030 Driven by Supplemental & Growth Markets Demand mtpa LNG Market Segmentation Type Characteristics Locations Growth 500 (mtpa) Indonesia 450 Malaysia Countries with maturing Egypt indigenous resource Supplemental Pakistan +85 bases require new 400 Tha
Slide 19: Cheniere Liquefaction Projects at a Glance
Cheniere Liquefaction Projects at a Glance Sabine Pass Liquefaction Project Corpus Christi Liquefaction Project Liquefaction Technology EPC Contractor Financial Partner Investment Grade SPA Counterparties Maintenance Contract Servicer Total Nominal Mtpa Under Construction or Operating 22.5 9.0 Train
Slide 20: Run Rate Guidance: Impact of Additional Train at CCH
Run Rate Guidance: Impact of Additional Train at CCH Additional Run-Rate Distributable Cash Flow 7 Trains 8 Trains (1) SPL T1-5, CCH T3 SPL T-5, ($bn, except per share amounts or unless otherwise noted) CCH T1-2 CCH T1-3 CEI Consolidated Adjusted EBITDA $3.8 - $4.1 $0.4 - $0.6 $4.2 - $4.7 Less: CQP/
Slide 21: Summary Projected Amortization Requirements at Project Levels
Summary Projected Amortization Requirements at Project Levels 7 Trains without utilizing 7 Trains utilizing ($bn) Corporate Debt Capacity Corporate Debt Capacity SPL Debt Amortization Start at SPL (1.5x DSCR) Early 2020s Mid-Late 2020s Migrated Debt to CQP (5.0x debt / EBITDA) – ~$3.0 - $4.0 Debt at
Slide 22: Forecasting Points
Forecasting Points CEI Cash Tax Payments Begin Late 2020s CQH Tax Sharing Payments Begin Early 2020s 2020 - 2040 Tax Rate Percentage of Pre-Tax Cash Flow CEI High Teens CQH Mid 20%s As of December 31, 2016, CEI’s and CQH’s federal NOL carryforwards are equal to $3.8 billion and $1.7 billion, respe
Slide 23: Insurance Summary
Insurance Summary Property and Business Interruption – SPLNG, SPL and CTPL • Assets Under Construction • Trains 4 and 5 are insured by Bechtel until transfer of care, custody and control to Sabine • Assets in Operation • SPLNG, CTPL and SPL Trains 1-3 are insured under a Cheniere program • $3.5B l
Slide 24: Reconciliation to Non-GAAP Measures
Reconciliation to Non-GAAP Measures Regulation G Reconciliations Consolidated Adjusted EBITDA In addition to disclosing financial results in accordance with U.S. GAAP, the accompanying presentation contains non- The following table reconciles our Consolidated Adjusted EBITDA to U.S. GAAP results for
Slide 25: Investor Relations Contacts
CHENIERE ENERGY, INC. INVESTOR RELATIONS CONTACTS Randy Bhatia Vice President, Investor Relations – (713) 375-5479, randy.bhatia@cheniere.com Megan Light Manager, Investor Relations – (713) 375-5492, megan.light@cheniere.com 25
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