For the three and six months ended June 30, Cheniere Energy Partners reported a net loss of $24.9 million and $44.2 million, compared to net loss of $6.9 million and $9.1 million for the same periods in 2011.
Results included development expenses for the Sabine Pass Liquefaction Project of $15.5 million and $33.4 million for the respective three and six months ended June 30.
Cheniere Partners reported income from operations of $18.3 million and $43.2 million for the three and six months ended June 30, 2012, compared to income from operations of $36.9 million and $78.1 million for the comparable periods in 2011.
The decrease in income from operations of $18.7 million for the quarter ended June 30, 2012 compared to the comparable period in 2011 was primarily due to a decrease in revenues (including affiliate) of $12.2 million, an increase in development expenses (including affiliate) of $3.4 million and an increase in operating and maintenance expenses (including affiliate) of $2.7 million.
The decrease in income from operations of $34.9 million for the six months ended June 30 compared to the comparable period in 2011 was primarily due to a decrease in revenues (including affiliate) of $17.4 million, an increase in development expenses (including affiliate) of $13.8 million and an increase in operating and maintenance expenses (including affiliate) of $3.5 million.
Revenues were impacted by decreased LNG cargo export loading fee revenue, decreased revenues earned under the variable capacity rights agreement (VCRA) with Cheniere Marketing, and a provision for loss on a firm purchase commitment for LNG inventory needed to restore the heating value of vaporized LNG to meet natural gas pipeline specifications.
Development expenses (including affiliate) are related to the Liquefaction Project. Operating and maintenance expenses (including affiliate) increased primarily due to maintenance dredging in the second quarter of 2012.
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LNG World News Staff, August 5, 2012