Cheniere Energy, Inc. · NYSE:LNG
Cheniere Energy — Q2 2021 Earnings Presentation
25 slides from Cheniere Energy's earnings presentation, Aug 5, 2021
Slide 1: Cheniere Earnings Presentation Second Quarter 2021
Cheniere Earnings Presentation Second Quarter 2021 August 5, 2021 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 that our Trains, when completed, will have certain characteristics, including amounts of liquefaction statements” within the meaning of Sect
Slide 3: Agenda
Agenda Introduction Randy Bhatia Vice President, Investor Relations Company Highlights Jack Fusco President and Chief Executive Officer Commercial Update Anatol Feygin Executive Vice President and Chief Commercial Officer Financial Review Zach Davis Senior Vice President and Chief Financial Officer
Slide 4: Operating and Financial Highlights
Operating and Financial Highlights Jack Fusco, President and CEO
Slide 5: Second Quarter Highlights and Increased Financial Guidance
Second Quarter Highlights and Increased Financial Guidance Consolidated Adjusted EBITDA Revised Financial Guidance 1500 Prior 2021 Revised 2021 1000 ($ billions) $1,393 Consolidated Adjusted EBITDA $4.3 - $4.6 $4.6 - $4.9 500 $1,023 0 Distributable Cash Flow $1.6 - $1.9 $1.8 - $2.1 2Q 20 2Q 21 Net I
Slide 6: Stage 3 and Growth Strategy
Stage 3 and Growth Strategy Corpus Christi Stage 3 • Fully permitted incremental ~10+ mtpa of liquefaction capacity • Designed to leverage shared infrastructure to deliver Stage 3 world class, cost competitive LNG growth • Final Investment Decision (FID) dependent upon securing sufficient required c
Slide 7: Built for the Challenge
Built for the Challenge Building a company that can help meet the world’s energy needs while integrating sustainability into our business February March April May June July August Cargo Emissions Tags Climate Scenario Analysis Shipping Emissions Study QMRV Collaboration 2020 CR Report Life Cycle Ass
Slide 8: Commercial Update
Commercial Update Anatol Feygin, EVP and CCO
Slide 9: Fundamentally Tight Market Aiding Global LNG Recovery
Fundamentally Tight Market Aiding Global LNG Recovery Global LNG Demand Atlantic Basin LNG Supply Flows US LNG Flows by Destination – 1H 2021 Record high second quarter LNG imports due to enduring Asia and Europe competing for Atlantic supplies through Strong pull from Asia, Europe and Latin America
Slide 10: Durable LNG Demand in Short and Long Term
Durable LNG Demand in Short and Long Term Europe LNG Imports Asia LNG Imports Latin America 2Q 2021 LNG Imports 2Q LNG imports are 9% lower YoY due to a strong demand Near record growth in 2Q driven by China’s industrial LNG imports increased by 2 MT, or +70% YoY. 38% of pull from Asia and flat YoY
Slide 11: Buyers and Sellers Increasingly Focused on Emissions
Buyers and Sellers Increasingly Focused on Emissions EU Carbon Price Share of Global Emissions Covered by ETS Carbon-Neutral LNG Cargo by Destination EU carbon prices soared to all-time highs due to reduced ETS initiatives implemented as of July 2021 cover 8.73 Gt Fast growing carbon-neutral LNG tra
Slide 12: Financial Update
Financial Update Zach Davis, SVP and CFO
Slide 13: Second Quarter Financial Highlights
Second Quarter Financial Highlights Summary Results Fully repaid remaining borrowings under Cheniere Term Loan Facility ($ millions, except per share and LNG data) 2Q 2021 1Q 2021 1H 2021 1H 2020 and fully repaid Cheniere’s 4.875% convertible notes due May 2021 in 1H 2021 with $500 million of availa
Slide 14: Raising Full Year 2021 Guidance
Raising Full Year 2021 Guidance Revised Full Year 2021 Guidance November 2020 February 2021 May 2021 Current ($ billions) LNG Consolidated Adjusted EBITDA $3.9 - $4.2 $4.1 - $4.4 $4.3 - $4.6 $4.6 - $4.9 LNG Distributable Cash Flow $1.2 - $1.5 $1.4 - $1.7 $1.6 - $1.9 $1.8 - $2.1 • $700 million increa
Slide 15: Cheniere Earnings Presentation
Cheniere Earnings Presentation Second Quarter 2021 August 5, 2021 NYSE American: LNG
Slide 16: Appendix
Append ix CHENIERE
Slide 17: Cheniere LNG Exports
Cheniere LNG Exports Approximately 1,675 Cargoes (~115 Million Tonnes) Exported from our Liquefaction Projects Cheniere LNG Exports by Destination MT 12 10 8 6 4 2 0 1Q 2Q 3Q 4Q 1Q 2Q 2020 2021 Europe Asia Latin America MENA Cheniere Destinations Sources: Cheniere Research, Kpler 17 Note: Cumulative
Slide 18: Industry Leading U.S. LNG Export Platform
Industry Leading U.S. LNG Export Platform Corpus Christi LNG Terminal Sabine Pass Liquefaction ~15 mtpa Total Production Capacity ~30 mtpa Total Production Capacity Trains 1-2 operating, contracts with long-term buyers Trains 1-5 operating, contracts with long-term buyers commenced commenced >1,500
Slide 19: Sabine Pass Update
Sabine Pass Update Liquefaction Operations 5 Trains in operation Increased production via maintenance optimization and debottlenecking ~1,350 cargoes produced and exported Growth Train 6 early commissioning activities commenced • Expected completion 1H 2022 • Project completion 89.6% 3rd berth const
Slide 20: Corpus Christi Update
Corpus Christi Update Liquefaction Operations 3 Trains in operation Increased production via maintenance optimization and debottlenecking ~325 cargoes produced and exported Growth ~10+ mtpa Stage 3 expansion project fully permitted 20 Note: Cumulative cargoes as of July 31, 2021.
Slide 21: Cheniere Corporate Structure
Cheniere Corporate Structure Cheniere Energy, Inc. (NYSE American: LNG) CQP GP Cheniere Corpus Cheniere Marketing (& IDRs) Christi Holdings Cheniere Energy Corpus Christi Cheniere Corpus Partners, L.P. Liquefaction Christi Pipeline (NYSE American: CQP) Cheniere Creole Sabine Pass Sabine Pass LNG Tra
Slide 22: Run Rate Guidance
Run Rate Guidance 9 Trains (Full Year) SPL T1-6 ($billions, except per share and per unit amounts or unless otherwise noted) CCL T1-3 CEI Consolidated Adjusted EBITDA $5.3 - $5.7 Less: Distributions to CQP Non-Controlling Interest ($0.9) – ($1.0) Less: CQP Interest Expense / SPL Interest Expense / O
Slide 23: Cheniere Debt Summary
Cheniere Debt Summary Cash Balance: ~$1.8B1 Cheniere Energy, Inc. Cheniere Energy, Inc. ~$0.63B Convertible Notes due 2045 (4.250%) (NYSE American: LNG) Cheniere Corpus Christi Holdings, LLC $2.0B Senior Notes due 2028 (4.625%) $1.25B Notes due 2024 (7.000%) $1.25B Senior Secured Revolving Credit Fa
Slide 24: Reconciliation to Non-GAAP Measures
Reconciliation to Non-GAAP Measures Consolidated Adjusted EBITDA The following table reconciles our Consolidated Adjusted EBITDA to U.S. GAAP results for three months ended March 31, 2021 and the three and six months ended June 30, 2021 and 2020 (in millions): Regulation G Reconciliations Three Mont
Slide 25: Investor Relations Contacts
Investor Relations Contacts Randy Bhatia Vice President, Investor Relations – (713) 375-5479, randy.bhatia@cheniere.com Zak Broderick Senior Analyst, Investor Relations – (713) 375-5308, zak.broderick@cheniere.com © 2021 Cheniere Energy, Inc. All Rights Reserved