ChevronTexaco and Cheniere Finalize Agreement for Capacity at Sabine Pass LNG Terminal

Date : 12/13/2004 @ 4:12PM
Source : PR Newswire
Stock : Cheniere Energy, (LNG)
Quote : 2.97  -0.24 (-7.48%) @ 3:15PM
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ChevronTexaco and Cheniere Finalize Agreement for Capacity at Sabine Pass LNG Terminal

ChevronTexaco and Cheniere Finalize Agreement for Capacity at Sabine Pass LNG Terminal

SAN RAMON, Calif. and HOUSTON, Dec. 13 /PRNewswire-FirstCall/ -- An affiliate of ChevronTexaco Global Gas and Sabine Pass LNG, L.P., a subsidiary of Cheniere Energy Inc. (AMEX:LNG), today announced that they have finalized a 20-year agreement for 700 million cubic feet per day (mmcf/d) of reserved regasification capacity at Cheniere's Sabine Pass Liquefied Natural Gas (LNG) terminal. The agreement also includes options to reduce or expand capacity.

John Gass, president of ChevronTexaco Global Gas said, "This agreement is a significant milestone in achieving ChevronTexaco's strategy to create a high-impact gas business. Securing this capacity provides us with access to the key U.S. Gulf Coast market, which is critical to successfully commercializing our undeveloped natural gas resources."

Keith Meyer, president of Cheniere LNG, Inc., said, "Finalizing this agreement is yet another important development as we prepare to construct Sabine Pass. We welcome ChevronTexaco and we are proud to have this opportunity to work with them to satisfy our nation's need for new supplies of natural gas."

"ChevronTexaco is pursuing a portfolio of LNG terminal opportunities in North America to provide flexibility in delivering reliable and affordable supplies of clean natural gas to consumers. We look forward to working closely with Cheniere to ensure the success of this project," said Gass.

Currently celebrating its 125th anniversary, ChevronTexaco Corp. is one of the world's leading energy companies. With more than 47,000 employees, ChevronTexaco conducts business in approximately 180 countries around the world, producing and transporting crude oil and natural gas, and marketing and distributing fuels and other energy products. ChevronTexaco is based in San Ramon, Calif. More information on ChevronTexaco is available at http://www.chevrontexaco.com/.

Cheniere Energy, Inc. is a Houston-based developer of LNG Receiving Terminals and a Gulf of Mexico E&P company. Cheniere is developing Gulf Coast LNG Receiving Terminals near Sabine Pass in Cameron Parish, LA, in which it holds 100%; near Corpus Christi, TX, in which it holds 66.7%; and near the city of Cameron in Cameron Parish, LA in which it holds 100%. Cheniere is also a 30% limited partner in Freeport LNG Development, L.P., which is developing an LNG Receiving Terminal in Freeport, Texas. Cheniere conducts exploration for oil and gas in the Gulf of Mexico using a regional database of 7,000 square miles of PSTM 3D seismic data. Cheniere also owns 9% of Gryphon Exploration Company, along with Warburg, Pincus Equity Partners, L.P. which owns 91%. Additional information about Cheniere Energy, Inc. may be found on its Web site at http://www.cheniere.com/.

For additional information on the Chevron USA, Inc. and Sabine Pass LNG L.P.

agreements, please refer to the Cheniere Energy, Inc. reports filed with the Securities and Exchange Commission on Form 8-K dated December 13, 2004 and November 9, 2004; and on Form 10-Q dated November 15, 2004.

DATASOURCE: ChevronTexaco Corp.

CONTACT: Michael Barrett of ChevronTexaco Corp., +1-925-842-3422; or

David Castaneda of Cheniere, +1-713-265-0202

Web site: http://www.cheniere.com/

Web site: http://www.chevrontexaco.com/

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