Cheniere Energy, Inc. is an international energy company headquartered in Houston, Texas, and is the leading producer of liquefied natural gas in the United States. We provide clean, secure, and affordable energy to the world, while responsibly delivering a reliable, competitive, and integrated source of LNG, in a safe and rewarding work environment. Cheniere’s operations, construction and development also support energy and economic development across the United States. By 2020, Cheniere is expected to be a top-5 global provider of LNG.
In February 2016, Cheniere became the first company to ship LNG from a commercial facility in the contiguous United States. Since startup, more than 300 cargoes of LNG originating from Cheniere have been delivered to more than two dozen countries and regions on five continents. In support of that global reach, Cheniere has additional offices in London, Singapore, Washington, Santiago, Beijing, and Tokyo.
LNG is natural gas in liquid form. It is produced through a refrigeration process that drops the temperature of natural gas down to -260 degrees Fahrenheit, at which point it converts to liquid, and its volume shrinks by 600 times, enabling global transport in LNG carriers. LNG is non-toxic and non-flammable. When burned, natural gas emits less carbon than coal and oil, with significantly less traditional air pollutants. Additionally, all mercury is removed during the LNG process.
Cheniere is operating, constructing, and developing two LNG facilities on the U.S. Gulf Coast. Cheniere’s Sabine Pass liquefaction project (SPL Project) is located in Cameron Parish in southwest Louisiana, and currently has four fully-operational liquefaction units, or “trains” as they are known in the LNG industry. A fifth train is under construction and is expected to become operational in 2019. A sixth train at the SPL Project has all necessary permits and is being commercialized. When all six trains are completed, the aggregate nominal production capacity of the SPL Project is expected to be approximately 27 million tonnes per annum (mtpa) of LNG.
Cheniere’s Corpus Christi liquefaction facility (CCL Project) is under construction in South Texas, with two trains expected to become fully operational in 2019. Cheniere expects to reach a final investment decision on a third train in 2018. When all three trains are completed, the aggregate nominal production capacity of the CCL Project is expected to be approximately 13.5 mtpa of LNG.
At both sites, Cheniere has acquired land that is expected to allow it to double its capacity to produce LNG.
Our business model
Cheniere is a full-service LNG provider. We purchase natural gas from the robust, transparent, and liquid U.S. natural gas market in multiple states and Canada, process the natural gas into LNG, and offer our customers the option to load the LNG onto their vessels at our terminals, or we will deliver the LNG to regasification facilities around the world.
Approximately 85-95 percent of Cheniere’s expected aggregate LNG production capacity, either completed or under construction, is contracted through long-term sales and purchase agreements with over a dozen investment-grade customers. The remaining volumes of LNG we can produce are available for our integrated marketing unit to sell into the market. That gives Cheniere the unique combination of long-term, contracted stable cash flows, with marketing opportunities driven by shorter-term natural gas supply and demand fundamentals in markets worldwide.
Natural gas is transported to Cheniere’s LNG facilities on 3rd party pipelines on which we own firm transportation capacity, as well as on pipelines Cheniere has constructed, owns, and operates.