- Cheniere Energy (LNG -5%) tumbles as Jim Chanos tells Bloomberg that the company's plans to export liquefied natural gas from the U.S. will leave it burdened with more than $30B in debt.
- Half of Cheniere’s projected 2020 earnings will depend on how much gas the company can sell into the spot market, Kynikos Associates chief Chanos says, adding that LNG will be on the hook for ~$2B of interest payments annually and its equipment will depreciate by $1B/year.
- Cheniere has said it plans to ship the first cargo of liquefied natural gas from its Sabine Pass terminal in Louisiana in Q4.
- Separately, on Friday the SEC charged a Cheniere VP and a friend with insider trading in the company during 2011 and 2012.