We are a publicly traded Delaware limited liability company formed by Cheniere in 2013 to hold its limited partner interests in Cheniere Partners, a publicly traded limited partnership. Our only business consists of owning and holding Cheniere Partners' limited partner common units and subordinated units (collectively, the "Cheniere Partners units"), along with cash or other property that we receive as distributions in respect of such units, and, accordingly, our operating results and financial condition are dependent on the performance of Cheniere Partners. Therefore, Cheniere Partners' Annual Report on Form 10-K for the year ended December 31, 2017, has been included in this filing as Exhibit 99.1 and incorporated herein by reference (the "Cheniere Partners Annual Report").
Cheniere Partners is developing, constructing and operating natural gas liquefaction facilities at the Sabine Pass LNG terminal located in Cameron Parish, Louisiana, on the Sabine-Neches Waterway less than four miles from the Gulf Coast adjacent to the existing regasification facilities through its wholly owned subsidiary, SPL. The liquefaction of natural gas into LNG allows it to be shipped economically from areas of the world where natural gas is abundant and inexpensive to produce to other areas where natural gas demand and infrastructure exist to economically justify the use of LNG. Cheniere Partners owns and operates the LNG regasification facilities at the Sabine Pass LNG terminal through its wholly owned subsidiary, SPLNG. Cheniere Partners also owns a 94-mile pipeline that interconnects the Sabine Pass LNG terminal with a number of large interstate pipelines through its wholly owned subsidiary, CTPL.
When Cheniere Partners makes cash distributions to us with respect to the Cheniere Partners units, we will pay dividends to our shareholders consisting of the cash that we receive from Cheniere Partners, less income taxes and reserves established by our Board of Directors (our "Board"). In accordance with the terms of the Fourth Amended and Restated Agreement of Limited Partnership of Cheniere Partners, dated as of February 14, 2017 (the "Partnership Agreement"), Cheniere Partners paid the initial quarterly distribution amounts of $0.425 per common unit, or $1.70 per common unit on an annualized basis, for each fiscal quarter since its initial public offering in March 2007 through the quarter ended June 30, 2017. Cheniere Partners increased its quarterly cash distributions to $0.44 per common unit with respect to the quarter ended September 30, 2017 and to $0.50 per common unit with respect to the quarter ended December 31, 2017. Cheniere Partners did not make any cash distributions on its subordinated units with respect to the quarter ended June 30, 2010 through the quarter ended June 30, 2017, but resumed making cash distributions with respect to the quarter ended September 30, 2017.