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Liquidity
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3 Months Ended |
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Mar. 31, 2012
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| Liquidity [Abstract] | |
| Liquidity |
Liquidity
As of March 31, 2012, we had unrestricted cash and cash equivalents of $439.8 million available to Cheniere. In addition, we had consolidated restricted cash and cash equivalents of $205.9 million (which included cash and cash equivalents and other working capital available to Cheniere Energy Partners, L.P. ("Cheniere Partners"), in which we own an 88.7% interest, and Sabine Pass LNG, L.P. ("Sabine Pass LNG")) designated for the following purposes: $137.3 million for interest payments related to the Senior Notes described below; $3.5 million for Sabine Pass LNG's working capital; $55.9 million for Cheniere Partners' working capital; and $9.2 million for other restricted purposes.
During the second quarter of 2011, we reclassified $298.0 million of debt from a long-term liability to a current liability because our 2007 Term Loan described below was due within 12 months as of May 31, 2011. During the third quarter of 2011, we reclassified $190.7 million, net of discount, of debt from a long-term liability to a current liability because our Convertible Senior Unsecured Notes were due within 12 months as of August 15, 2011. In December 2011, we closed an underwritten public offering of 41,745,000 shares of our common stock, which were sold to the public at a price per share of $8.35, resulting in net proceeds of approximately $330.9 million. In January 2012, we used a portion of the net proceeds to repay in full the outstanding principal balance of the $298.0 million 2007 Term Loan due May 31, 2012. The aggregate repayment amount was $298.2 million, including the outstanding principal amount and accrued interest through January 5, 2012.
In September 2011, we initiated an at-the-market program to sell up to 10 million shares of our common stock. We did not sell any shares of our common stock in connection with the at-the-market program during the three months ended March 31, 2012.
In March 2012, we sold 24.2 million shares of Cheniere common stock in an underwritten public offering for net cash proceeds of approximately $351.9 million. We believe that we will have sufficient unrestricted cash, liquid assets, cash generated from our operations and proceeds from capital market transactions to satisfy our debt obligations and fund our operations for at least the next 12 months. We may use a portion of our unrestricted cash and cash equivalents in order to satisfy our principal payment on our Convertible Senior Unsecured Notes due in August 2012.
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