Cheniere Energy Partners, L.P.

Results of Operations

Volumes loaded and recognized from the Liquefaction Project

Net income

Net income declined by $17 million and $58 million for the three and six months ended June 30, 2025, respectively, as compared to the same periods of 2024, primarily attributable to:

•$79 million and $82 million increases in operating and maintenance expense, respectively, primarily due to the completion of planned large-scale maintenance activities on two trains at the Liquefaction Project during the three months ended June 30, 2025; and

•$43 million decrease in derivative gains between the comparable six month periods primarily attributable to widening market-based locational price differentials for U.S. natural gas deliveries and the relative estimated convergence of applicable global and U.S. domestic natural gas prices.

These unfavorable variances were partially offset by:

•$30 million increase in derivative gains between the comparable three month periods primarily due to the factors described above;

•$27 million increase in LNG revenues, net of cost of sales and excluding derivatives between the six month periods;

•$14 million and $26 million decrease in interest expense, net of capitalized interest for the three and six month periods, respectively; and

•$22 million increase in other income—affiliate for both the three and six month periods.

The following is an additional discussion of the significant drivers of the variance in net income by line item:

Revenues

The $561 million and $1.3 billion increases in revenues during the three and six months ended June 30, 2025, respectively, as compared to the same periods of 2024, were primarily attributable to $653 million and $1.4 billion increases, respectively, from higher pricing per MMBtu as a result of increased Henry Hub pricing, partially offset by $103 million and $168 million decreases, respectively, from lower production volume primarily due to the planned large-scale maintenance activities, as further described above under the caption Net income.

Operating costs and expenses

The $612 million and $1.4 billion increases in operating costs and expenses during the three and six months ended June 30, 2025, respectively, as compared to the same periods of 2024, were primarily attributable to $548 million and $1.2 billion increases in the cost of natural gas feedstock, respectively, largely due to the increase in U.S. natural gas prices, as further described under the caption Revenues, as well as $79 million and $82 million increases in operating and maintenance costs, respectively, as a result of the planned large-scale maintenance activities, as further described above under the caption Net income.

Other income (expense)

The $34 million and $42 million favorable variances during the three and six months ended June 30, 2025, respectively, as compared to the same periods of 2024, were primarily due to a $22 million increase in other income—affiliate during both comparable periods, related to service agreements with an affiliated subsidiary of Cheniere, as further described in Note 10—Related Party Transactions. Additionally contributing to the favorable variances were $14 million and $26 million decreases, respectively, in interest expense, net of capitalized interest, primarily due to a decrease in total indebtedness over both periods. The daily average debt balance decreased from $16.0 billion during the six months ended June 30, 2024 to $15.1 billion during the same period of 2025, as debt continued to be paid down as part of Cheniere’s long-term capital allocation plan.

Significant factors affecting our results of operations

Below are significant factors that affect our results of operations.

Gains and losses on derivative instruments

Derivative instruments, which we use to manage certain risks, are reported at fair value in our Consolidated Financial Statements. For commodity derivative instruments, including those related to our IPM agreements, the underlying LNG sales being economically hedged are accounted for under the accrual method of accounting, whereby revenues expected to be derived from the future LNG sales are recognized only upon delivery or realization of the underlying transaction. Notwithstanding the operational intent to mitigate risk exposure over time, the recognition of derivative instruments at fair value has the effect of recognizing gains or losses relating to future period exposure, and given the significant volumes, long-term duration and volatility in price basis for certain of our derivative contracts, the use of derivative instruments may result in continued volatility of our results of operations based on changes in market pricing, counterparty credit risk and other relevant factors that may be outside of our control. For example, as described in Note 6—Derivative Instruments of our Notes to Consolidated Financial Statements, the fair value of the Liquefaction Supply Derivatives incorporates, as applicable, market participant-based assumptions pertaining to certain contractual uncertainties, including those related to the availability of market information for delivery points, which may require future development of infrastructure, as well as the timing of satisfaction of certain events or development of infrastructure to support natural gas gathering and transport. We may recognize changes in fair value through earnings that could significantly impact our results of operations if and when such uncertainties are resolved.

Business Seasonality

Our quarterly results are affected by production levels, timing of our maintenance activities and the resulting availability of volumes. Therefore, operating profit may not be generated evenly throughout the year. Weather variations, including temperature, have an impact on LNG output at our Liquefaction Project. Our Liquefaction Project is capable of relatively higher production volumes during the cooler months as compared to the summer months. We typically perform our scheduled major maintenance activities at our site during shoulder months in the second and third quarters in order to mitigate the impact to our annual operating results.