Sabine Pass Liquefaction Prices Senior Secured Notes, USA

Cheniere Energy Partners announced that its wholly owned subsidiary, Sabine Pass Liquefaction has priced its previously announced offering of Senior Secured Notes due 2021 (SPL 2021 Notes) and Senior Secured Notes due 2023 (SPL 2023 Notes).

The SPL 2021 Notes will constitute a further issuance of and will form a single series with the 5.625% Senior Secured Notes due 2021 (Outstanding 2021 Notes) that were issued by Sabine Liquefaction on February 1, 2013. The SPL 2021 Notes will bear interest at a rate of 5.625% per annum and will mature on February 1, 2021. The SPL 2023 Notes will bear interest at a rate of 5.625% per annum and will mature on April 15, 2023. The SPL 2021 Notes are priced at102.5% of parand the SPL 2023 Notes are priced at par. The closing of the offering is expected to occur on April 16, 2013.

Sabine Liquefaction intends to use the net proceeds from the offering to pay capital costs in connection with the construction of the first two LNG liquefaction trains at its facility in Cameron Parish, Louisiana and fees and expenses incurred associated with the offering. The net proceeds will be used in lieu of a portion of Sabine Liquefaction’s $3.6 billion Term Loan A Credit facility. The Notes are pari passu in right of payment with all existing and future Senior Debt of Sabine Liquefaction, including borrowings under the Term Loan A Credit Agreement and its Outstanding 2021 Notes.

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LNG World News Staff, April 11, 2013