Cheniere Energy Reports 4th Quarter and 2004 Results

Cheniere Energy, Inc. (AMEX: LNG) reported a net loss of $9.8 million, or $0.46 per share (basic and diluted), for the fourth quarter of 2004 compared with a net loss of $4.4 million, or $0.27 per share (basic and diluted), a year earlier. The major factors contributing to the fourth quarter net loss in 2004 were: general and administrative expenses of $5.4 million, LNG receiving terminal development expenses of $3.8 million and our equity share of the loss in Freeport Development LNG, L.P. ("Freeport LNG") of $1.4 million.

Financial results for the year ended December 31, 2004 reflect a net loss of $24.6 million, or $1.26 per share (basic and diluted), compared to a net loss of $5.3 million, or $0.36 per share (basic and diluted), in 2003. The major factors contributing to the net loss for 2004 were: LNG receiving terminal development expenses of $17.2 million (which were partially offset by a $2.9 million minority interest in the operations of Corpus Christi LNG, L.P.), and other general and administrative expenses of $12.5 million. These factors were partially offset by a $2.5 million reimbursement from our limited partnership investment in Freeport LNG.

Cheniere's working capital at December 31, 2004 was $305.8 million, primarily resulting from net proceeds of $285.9 million received from a public offering of 5 million shares of Cheniere common stock in December 2004 and the receipt of $22 million in advance reservation capacity fees related to our Sabine Pass LNG receiving terminal during the fourth quarter of 2004.

Cheniere Energy, Inc. is a Houston-based energy company engaged in developing LNG Receiving Terminals and Gulf of Mexico Exploration & Production. Cheniere is developing 100% owned Gulf Coast LNG Receiving Terminals near Sabine Pass in Cameron Parish, La.; near Corpus Christi, Texas; and near the Creole Trail in Cameron Parish, La. Cheniere is also a 30% limited partner in Freeport LNG Development, L.P., which is building an LNG Receiving Terminal in Freeport, Texas. Cheniere explores for oil and gas in the Gulf of Mexico using a regional database of 7,000 square miles of PSTM 3D seismic data. Cheniere owns 9% of Gryphon Exploration Company, along with Warburg, Pincus Equity Partners, L.P., which owns 91%.

(Financial table follows)

                        Cheniere Energy, Inc.
                    Selected Financial Information
                            (in thousands)

                                (Unaudited)
                            Three Months Ended        Year Ended
                                December 31,          December 31,
                          ----------------------- --------------------
                              2004        2003       2004       2003
                          ----------- ----------- ---------- ---------
Revenues                        $866        $291     $1,998      $658
                          ----------- ----------- ---------- ---------
Operating Costs and
 Expenses
  LNG Terminal Development
   Expenses                    3,752       3,344     17,166     6,705
  Production Costs                88           -        117         -
  Depreciation, Depletion
   and Amortization              692         178      1,324       429
  General and
   Administrative Expenses     5,369         814     12,476     2,542
                          ----------- ----------- ---------- ---------
     Total Operating Costs
      and Expenses             9,901       4,336     31,083     9,676
                          ----------- ----------- ---------- ---------
Loss from Operations          (9,035)     (4,045)   (29,085)   (9,018)

Equity in Net Loss of
 Limited Partnership          (1,431)     (1,816)    (1,346)   (4,471)
Gain on Sale of LNG Assets         -           -          -     4,760
Gain on Sale of Limited
 Partnership Interest              -           -          -       423
Reimbursement from Limited
 Partnership Investment            -           -      2,500         -
Interest and Other Income        453           1        501         3
Minority Interest                212       1,462      2,862     3,015
                          ----------- ----------- ---------- ---------
Net Loss                     $(9,801)    $(4,398)  $(24,568)  $(5,288)
                          =========== =========== ========== =========

Net Loss Per Share - Basic
 and Diluted                  $(0.46)     $(0.27)    $(1.26)   $(0.36)
                          =========== =========== ========== =========
Weighted Average Shares
 Outstanding - Basic and
 Diluted                      21,470      16,101     19,447    14,772
                          =========== =========== ========== =========


                          12/31/2004  12/31/2003
                          ----------- -----------
Cash and Cash Equivalents   $308,443      $1,258
Other Current Assets           2,838       3,229
Oil and Gas Properties,
 net, full cost method        19,056      19,135
Other Assets                   3,230         969
                          ----------- -----------
Total Assets                $333,567     $24,591
                          =========== ===========

Current Liabilities           $5,529      $4,332
Deferred Revenue              23,000       1,000
Other Liabilities and
 Minority Interest               437         120
Stockholders' Equity         304,601      19,139
                          ----------- -----------
Total Liabilities and
 Stockholders' Equity       $333,567     $24,591
                          =========== ===========
Events  SUBSCRIBE TO OUR NEWSLETTER

Our Privacy Pledge
SUBSCRIBE


Most Popular Articles


From the Career Center
Jobs that may interest you
Sales Manager - Safety Relief Valves
Expertise: Business Development|Sales
Location: Houston, TX
 
United States Odessa: Service Manager
Expertise: Engineering Manager
Location: Odessa, TX
 
United States Conroe: Product Champion
Expertise: Business Development|Marketing|Sales
Location: Conroe, TX
 
search for more jobs

Brent Crude Oil : $51.33/BBL 1.14%
Light Crude Oil : $48.37/BBL 1.34%
Natural Gas : $3.1/MMBtu 1.63%
Updated in last 24 hours