Cheniere Energy, Inc. · NYSE:LNG
Cheniere Energy — Q4 2020 Earnings Presentation
26 slides from Cheniere Energy's earnings presentation, Feb 24, 2021
Slide 1: Cheniere Earnings Presentation
Cheniere Earnings Presentation Fourth Quarter and Full Year 2020 February 24, 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: 2020 Results Prove Resilience of Cheniere's Business Model
2020 Results Prove Resilience of Cheniere’s Business Model Delivering on 2020 guidance despite unprecedented challenges Consolidated Adjusted EBITDA +34.5% $4,100 4500 4000 Global pandemic Record low LNG prices Cargo cancellations Two major hurricanes 3500 $3,800 3000 60 EBITDA Guidance Range DCF Gu
Slide 6: Key 2021 Priorities and Increased Financial Guidance
Key 2021 Priorities and Increased Financial Guidance Revised Financial Guidance Prior 2021 Revised 2021 ($ billions, except per unit data) Increasing full year 2021 Consolidated Adjusted EBITDA and Distributable Cash Flow guidance Consolidated Adjusted EBITDA $3.9 - $4.2 $4.1 - $4.4 ranges by $200 m
Slide 7: Progress on Environmental Solutions
Progress on Environmental Solutions Cargo Emissions Tags: Proactive effort to drive transparency of emissions data for all stakeholders Sabine Pass and Digital Emissions Upstream Procurement LNG Shipping Corpus Christi Tracking & Transportation • CO2 Management Solutions • Quantifying and reducing •
Slide 8: Commercial Update
Commercial Update Anatol Feygin, EVP and CCO
Slide 9: Asia Led Sharp LNG Market Recovery in 4Q 2020
Asia Led Sharp LNG Market Recovery in 4Q 2020 Asia LNG Imports Europe LNG Imports Global LNG Trade Post-COVID recovery in China and severe winter weather After record 1H 2020 imports, European LNG imports Market tightened in 4Q as increased demand combined in 4Q led to a 4% YoY increase in Asian dem
Slide 10: Supply-Demand Dynamics Support Tightening Mid-Term Market
Supply-Demand Dynamics Support Tightening Mid-Term Market LNG capacity additions tapering off as markets continue to expand and legacy supply depletes Annual LNG Capacity Additions Demand Growth vs. Output Growth from Current Projects Surplus market conditions were compounded by COVID-19, but supply
Slide 11: Market Expansions Support Long-Term LNG Demand Growth
Market Expansions Support Long-Term LNG Demand Growth LNG Importing Countries Increasing Steadily Factors Promoting LNG Demand in New Markets 17 new LNG markets are expected to be added by 2030 • Clean, flexible, affordable 60 • Supplements depleting domestic gas resources 50 • Catalyzes electrifica
Slide 12: Financial Update
Financial Update Zach Davis, SVP and CFO
Slide 13: Fourth Quarter and Full Year 2020 Financial Highlights
Fourth Quarter and Full Year 2020 Financial Highlights Summary Results Full year 2020 Consolidated Adjusted EBITDA above midpoint ($ millions, except per share and LNG data) 4Q 2020 3Q 2020 FY 2020 FY 2019 of original, unchanged guidance range and Distributable Cash Flow above upper end of guidance
Slide 14: Raising Full Year 2021 Guidance
Raising Full Year 2021 Guidance Revised Full Year 2021 Guidance ($ billions, except per unit data) LNG Consolidated Adjusted EBITDA $4.1 - $4.4 LNG Distributable Cash Flow $1.4 - $1.7 CQP Distribution per Unit $2.60 - $2.70 Improvement in global LNG market pricing is a significant tailwind enabling
Slide 15: 2020 Financial Achievements and Key 2021 Priorities
2020 Financial Achievements and Key 2021 Priorities Key 2020 Financial Achievements 2021 Capital Allocation Priorities I. Raised over $8.5 billion in capital across the Cheniere I. Continue executing on debt reduction plan complex, strengthening our balance sheet and executing • Committed to pay dow
Slide 16: Cheniere Earnings Presentation
Cheniere Earnings Presentation Fourth Quarter and Full Year 2020 February 24, 2021 NYSE American: LNG
Slide 17: Appendix
Append ix CHENIERE
Slide 18: Cheniere LNG Exports
Cheniere LNG Exports Approximately 1,425 Cargoes (>95 Million Tonnes) Exported from our Liquefaction Projects Cheniere LNG Exports by Destination MT 10 8 6 4 2 0 3Q 4Q 1Q 2Q 3Q 4Q 2019 2020 Europe Asia Latin America MENA Cheniere Destinations Sources: Cheniere Research, Kpler 18 Note: Cumulative car
Slide 19: 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 20: Sabine Pass Update
Sabine Pass Update Liquefaction Operations 5 Trains in operation Increased production via maintenance optimization and debottlenecking >1,175 cargoes produced and exported Growth Train 6 under construction • Expected completion 2H 2022 • Project completion 77.6% 3rd berth construction underway 20 No
Slide 21: Corpus Christi Update
Corpus Christi Update Liquefaction Operations 2 Trains in operation Increased production via maintenance optimization and debottlenecking >225 cargoes produced and exported Growth Train 3 commissioning • Expected completion 1Q 2021 • Project completion 99.6% ~10 mtpa Stage 3 expansion project fully
Slide 22: 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 23: 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 24: Cheniere Debt Summary
Cheniere Debt Summary Cash Balance: ~$1.6B1 Cheniere Energy, Inc. Cheniere Energy, Inc. ~$0.5B PIK Convertible Notes due 2021 (4.875%) ~$0.63B Convertible Notes due 2045 (4.250%) (NYSE American: LNG) Cheniere Corpus Christi Holdings, LLC $2.0B Senior Secured Notes due 2028 (4.625%) ~$2.6B Credit Fac
Slide 25: Reconciliation to Non-GAAP Measures
Reconciliation to Non-GAAP Measures Regulation G Reconciliations This presentation contains non-GAAP financial measures. Consolidated Adjusted EBITDA, Distributable Cash Flow, Distributable Cash Flow per Share, and Distributable Cash Flow per Unit are non-GAAP financial measures that we use to facil
Slide 26: Investor Relations Contacts
Investor Relations Contacts Randy Bhatia Vice President, Investor Relations – (713) 375-5479, randy.bhatia@cheniere.com Megan Light Director, Investor Relations – (713) 375-5492, megan.light@cheniere.com ®2020 Cheniere Energy, Inc. Copyrights - All Rights Reserved