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| x | ANNUAL REPORT PURSUANT TO SECTION      13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF  1934 |
|---|--------------------------------------------------------------------------------------------|

|                                                                |                                      |
|---------------------------------------------------------------------|-------------------------------------------|
| Delaware                                                            | 20-0466069                                |
| (State      or other jurisdiction of incorporation or organization) | (I.R.S.      Employer Identification No.) |
|                                                                |                                      |
| 700 Milam Street, Suite      800Houston,      Texas                 | 77002                                     |
| (Address      of principal executive offices)                       | (Zip      Code)                           |

|                                                |                                     |                                    |                                                  |
|-----------------------------------------------------|------------------------------------------|-----------------------------------------|-------------------------------------------------------|
| Large accelerated filer  ¨ | Accelerated filer  ¨ | Non-accelerated filer  x | Smaller reporting company  ¨ |
| (Do      not check if a smaller reporting company)  |                                     |                                    |

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| PART      I                                                                                                                               | 1  |
|-------------------------------------------------------------------------------------------------------------------------------------------|----|
| Item 1. and 2. Business and      Properties                                                                                          | 1  |
| General                                                                                                                                   | 1  |
| Overview of the LNG      Industry                                                                                                         | 1  |
| Our Business Strategy                                                                                                                     | 1  |
| Our      Business                                                                                                                         | 1  |
| Employees and Labor      Relations                                                                                                        | 4  |
| Available Information                                                                                                                     | 4  |
| Item 1A. Risk    Factors                                                                                                             | 5  |
| Risks Relating to Our Financial      Matters                                                                                              | 5  |
| Risks Relating to Our      Business                                                                                                       | 7  |
| Item 1B. Unresolved Staff      Comments                                                                                              | 13 |
| Item 3. Legal      Proceedings                                                                                                       | 13 |
| Item 4. Submission of Matters to a Vote of      Security Holders                                                                     | 13 |
| PART      II                                                                                                                              | 13 |
| Item 5. Market for Registrant’s Common      Equity, Related Stockholder Matters and Issuer Purchases of Equity      Securities | 13 |
| Item 6. Selected Financial      Data                                                                                                 | 14 |
| Item 7. Management’s Discussion and Analysis      of Financial Condition and Results of Operation                              | 15 |
| Introduction                                                                                                                              | 15 |
| Overview of Business                                                                                                                      | 15 |
| Overview of Significant 2009      Events                                                                                                  | 16 |
| Liquidity and Capital      Resources                                                                                                      | 16 |
| Contractual Obligations                                                                                                                   | 20 |
| Results of Operations                                                                                                                     | 20 |
| Off-Balance Sheet      Arrangements                                                                                                       | 22 |
| Summary of Critical Accounting      Policies                                                                                              | 22 |
| Recent Accounting    Standards                                                                                                            | 23 |
| Item 7A. Quantitative and Qualitative      Disclosures About Market Risk                                                             | 24 |
| Item 8. Financial Statements and      Supplementary Data                                                                             | 25 |
| Item 9(T). Changes In and Disagreements with      Accountants on Accounting and Financial    Disclosure                              | 43 |
| Item 9 A. Controls and      Procedures                                                                                               | 43 |
| Item 9B. Other      Information                                                                                                      | 43 |
| PART      III                                                                                                                             | 44 |
| Item 10. Directors, Executive Officers of Our      General Partner and Corporate Governance                                          | 44 |
| Item 11. Executive      Compensation                                                                                                 | 45 |
| Item 12. Security Ownership of Certain      Beneficial Owners and Management and Related Unitholder      Matters                     | 46 |
| Item 13. Certain Relationships and Related      Transactions, and Director Independence                                              | 47 |
| Item 14. Principal Accountant Fees and      Services                                                                                 | 48 |
| PART      IV                                                                                                                              | 48 |
| Item 15. Exhibits and Financial Statement      Schedules                                                                             | 48 |

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|   | • | statements      regarding future levels of domestic natural gas production, supply or      consumption; future levels of LNG imports into North America; sales of      natural gas in North America; and the transportation, other infrastructure      or prices related to natural gas, LNG or other energy    sources; |
|--------|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | statements      regarding any financing transactions or arrangements, or ability to enter      into such transactions orarrangements; |
|--------|---------|---------------------------------------------------------------------------------------------------------------------------------------|

|   | • | statements      regarding any terminal use agreement (“TUA”) or other agreements to be      entered into or performed substantially in the future, including any cash      distributions and revenues anticipated to be received and the anticipated      timing thereof, and statements regarding the amounts of total LNG      regasification or storage capacity that are, or may become, subject to      TUAs or other contracts; |
|--------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | statements      regarding counterparties to our TUAs, construction contracts and other      contracts; |
|--------|---------|--------------------------------------------------------------------------------------------------------|

|   | • | statements      regarding any business strategy, any business plans or any other plans,      forecasts, projections or objectives, any or all of which are subject to      change; |
|--------|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | statements      regarding legislative, governmental, regulatory, administrative or other      public body actions, requirements, permits, investigations, proceedings or      decisions; and |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | any      other statements that relate to non-historical or future      information. |
|--------|---------|-------------------------------------------------------------------------------------|

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|   | • | Bcf means billion cubic      feet;  |
|--------|---------|------------------------------------------|

|   | • | Bcf/d means billion      cubic feet per day;  |
|--------|---------|----------------------------------------------------|

|   | • | EPC means engineering,      procurement and construction;  |
|--------|---------|-----------------------------------------------------------------|

|   | • | EPCM means engineering,      procurement, construction and management;  |
|--------|---------|------------------------------------------------------------------------------|

|   | • | LNG means liquefied      natural gas; and  |
|--------|---------|-------------------------------------------------|

|   | • | TUA means terminal use      agreement. |
|--------|---------|----------------------------------------|

|   | • | operating      our LNG receiving terminal safely, efficiently and reliably;      and |
|--------|---------|--------------------------------------------------------------------------------------|

|   | • | maintain      the effectiveness of our long-term TUAs to generate steady and reliable      revenues and operating cash flows. |
|--------|---------|-------------------------------------------------------------------------------------------------------------------------------|

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|   | • | Total      Gas and Power North America, Inc. (formerly known as Total LNG USA, Inc.)      (“Total”) has reserved approximately 1.0 Bcf/d of regasification capacity      and has agreed to make monthly capacity payments to us aggregating      approximately $125 million per year for 20 years that commenced on      April 1, 2009. Total, S.A. has guaranteed Total’s obligations under      its TUA up to $2.5 billion, subject to certain exceptions;    and |
|--------|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | Chevron      U.S.A., Inc. (“Chevron”) has reserved approximately 1.0 Bcf/d of      regasification capacity and has agreed to make monthly capacity payments      to us aggregating approximately $125 million per year for 20 years that      commenced on July 1, 2009. Chevron Corporation has guaranteed Chevron’s      obligations under its TUA up to 80% of the fees payable by      Chevron. |
|--------|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | • | Risks      Relating to Our Financial Matters;and |
|--------|---------|--------------------------------------------------|

|   | • | Risks      Relating to Our Business. |
|--------|---------|--------------------------------------|

|   | • | limiting      our ability to attract customers; |
|--------|---------|-------------------------------------------------|

|   | • | limiting      our ability to compete with other companies that are not as highly      leveraged; |
|--------|---------|--------------------------------------------------------------------------------------------------|

|   | • | limiting      our flexibility in and ability to plan for or react to changing market      conditions in our industry and to economic downturns, and making us more      vulnerable than our less leveraged competitors to an industry or economic      downturn; |
|--------|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | limiting      our ability to use operating cash flow in other areas of our business      because we must dedicate a substantial portion of these funds to service      debt, including indebtedness that we may incur in the    future; |
|--------|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | limiting      our ability to obtain additional financing to fund our capital      expenditures, working capital, acquisitions, debt service requirements or      liquidity needs for general business or other purposes;  and |
|--------|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | resulting      in a material adverse effect on our business, results of operations and      financial condition if we are unable to service or refinance our      indebtedness or obtain additional financing, as  needed. |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | • | Cheniere      Marketing does not have unconditional agreements or arrangements for any      supplies of LNG, or for the utilization of capacity that it has contracted      for under its TUA with us and may not be able to obtain such agreements or      arrangements on economical terms, or atall; |
|--------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | Cheniere      Marketing does not have unconditional commitments from customers for the      purchase of the natural gas it proposes to sell from our LNG receiving      terminal, and it may not be able to obtain commitments or other      arrangements on economical terms, or at all;and |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | even      if Cheniere Marketing is able to arrange for supplies and transportation      of LNG to our LNG receiving terminal, and for transportation and sales of      natural gas to customers, it may experience negative cash flows and      adverse liquidity effects due to fluctuations in supply, demand and price      for LNG, for transportation of LNG, for natural gas and for storage and      transportation of natural gas. |
|--------|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | incur      additional indebtedness; |
|--------|---------|-------------------------------------|

|   | • | create      liens on our assets; and |
|--------|---------|--------------------------------------|

|   | • | engage      in sale and leaseback transactions and mergers or acquisitions and to make      equity investments. |
|--------|---------|-----------------------------------------------------------------------------------------------------------------|

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|   | • | performing      below expected levels ofefficiency; |
|--------|---------|-----------------------------------------------------|

|   | • | breakdown      or failures of equipment orsystems; |
|--------|---------|----------------------------------------------------|

|   | • | operational      errors by vessel or tug operators orothers; |
|--------|---------|--------------------------------------------------------------|

|   | • | operational      errors by us or any contracted facility operator or  others; |
|--------|---------|-------------------------------------------------------------------------------|

|   | • | labor      disputes; and |
|--------|---------|--------------------------|

|   | • | weather-related      interruptions of operations. |
|--------|---------|---------------------------------------------------|

|   | • | we      may be unable to enter into contracts for the purchase of the LNG and may      be unable to obtain vessels to deliver such LNG, on terms reasonably      acceptable to us or at all; |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | we      may bear the commodity price risk associated with purchasing the LNG,      holding it in inventory for a period of time and selling the regasified      LNG; and |
|--------|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | we      may be unable to obtain financing for the purchase and shipment of the LNG      on terms that are reasonably acceptable to us or at  all. |
|--------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | • | additions      to competitive regasification capacity in North America, Europe, Asia and      other markets, which could divert LNG from our LNG receiving      terminal; |
|--------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | insufficient      LNG liquefaction capacityworldwide; |
|--------|---------|-------------------------------------------------------|

|   | • | insufficient      LNG tanker capacity; |
|--------|---------|----------------------------------------|

|   | • | reduced      demand and lower prices for naturalgas; |
|--------|---------|------------------------------------------------------|

|   | • | increased      natural gas production deliverable by pipelines, which could suppress      demand for LNG; |
|--------|---------|-----------------------------------------------------------------------------------------------------------|

|   | • | cost      improvements that allow competitors to offer LNG regasification services      at reduced prices; |
|--------|---------|------------------------------------------------------------------------------------------------------------|

|   | • | changes      in supplies of, and prices for, alternative energy sources such as coal,      oil, nuclear, hydroelectric, wind and solar energy, which may reduce the      demand for natural gas; |
|--------|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | changes      in regulatory, tax or other governmental policies regarding imported LNG,      natural gas or alternative energy sources, which may reduce the demand for      imported LNG and/or natural gas; |
|--------|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | adverse      relative demand for LNG in North America compared to other markets, which      may decrease LNG imports into North America;and |
|--------|---------|---------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | cyclical      trends in general business and economic conditions that cause changes in      the demand for natural gas. |
|--------|---------|-------------------------------------------------------------------------------------------------------------------------|

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|   | • | increased      construction costs; |
|--------|---------|------------------------------------|

|   | • | economic      downturns, increases in interest rates or other events that may affect the      availability of sufficient financing for LNG projects on commercially      reasonable terms; |
|--------|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | decreases      in the price of LNG and natural gas, which might decrease the expected      returns relating to investments in LNGprojects; |
|--------|---------|--------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | the      inability of project owners or operators to obtain governmental approvals      to construct or operate LNGfacilities; |
|--------|---------|--------------------------------------------------------------------------------------------------------------------------------|

|   | • | political      unrest in exporting countries or local community resistance in such      countries to the siting of LNG facilities due to safety, environmental or      security concerns; and |
|--------|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | any      significant explosion, spill or similar incident involving an LNG      liquefaction facility or LNGcarrier. |
|--------|---------|----------------------------------------------------------------------------------------------------------------------|

|   | • | an      inadequate number of shipyards constructing LNG vessels and a backlog of      orders at these shipyards; |
|--------|---------|------------------------------------------------------------------------------------------------------------------|

|   | • | political      or economic disturbances in the countries where the vessels are being      constructed; |
|--------|---------|--------------------------------------------------------------------------------------------------------|

|   | • | changes      in governmental regulations or maritime self-regulatory      organizations; |
|--------|---------|------------------------------------------------------------------------------------------|

|   | • | work      stoppages or other labor disturbances at the  shipyards; |
|--------|---------|--------------------------------------------------------------------|

|   | • | bankruptcy      or other financial crisis ofshipbuilders; |
|--------|---------|-----------------------------------------------------------|

|   | • | quality      or engineering problems; |
|--------|---------|---------------------------------------|

|   | • | weather      interference or a catastrophic event, such as a major earthquake, tsunami      or fire; and |
|--------|---------|----------------------------------------------------------------------------------------------------------|

|   | • | shortages      of or delays in the receipt of necessary construction      materials. |
|--------|---------|--------------------------------------------------------------------------------------|

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|   | • | relatively      minor changes in the supply of, and demand for, natural gas in relevant      markets; |
|--------|---------|-------------------------------------------------------------------------------------------------------|

|   | • | political      conditions in international natural gas producing  regions; |
|--------|---------|----------------------------------------------------------------------------|

|   | • | the      extent of domestic production and importation of natural gas in relevant      markets; |
|--------|---------|-------------------------------------------------------------------------------------------------|

|   | • | the      level of demand for LNG and natural gas in relevant markets, including the      effects of economic downturns orupturns; |
|--------|---------|-----------------------------------------------------------------------------------------------------------------------------------|

|   | • | weather      conditions; |
|--------|---------|--------------------------|

|   | • | the      competitive position of natural gas as a source of energy compared with      other energy sources; and |
|--------|---------|-----------------------------------------------------------------------------------------------------------------|

|   | • | the      effect of government regulation on the production, transportation and sale      of natural gas. |
|--------|---------|----------------------------------------------------------------------------------------------------------|

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|                                                       | December      31,   |      |
|------------------------------------------------------------|---------------------|-----------|
|                                                       | 2009                |      | 2008 |   | 2007 |   | 2006 |   | 2005 |   |
|                                                       | (in      thousands) |
| Statement of Operations      Data:                         |                |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Revenues      (including affiliates)                       | $                   | 416,790   |   | $ | 15,000 |   | $ | —   |   | $ | —   |   | $ | —   |   |
| Expenses      (including affiliates)                       |                | 76,579    |   |   | 30,391 |   |   | 11,615 |   |   | 10,265 |   |   | 4,711 |   |
| Income      (loss) from operations                         |                | 340,211   |   |   | (15,391 | ) |   | (11,615 | ) |   | (10,265 | ) |   | (4,711 | ) |
| Other      income (expense) (1)                            |                | (141,402  | ) |   | (63,547 | ) |   | (39,731 | ) |   | (50,495 | ) |   | 456 |   |
| Net      income (loss)                                     |                | 198,809   |   |   | (78,938 | ) |   | (51,346 | ) |   | (60,760 | ) |   | (4,255 | ) |
|                                                       |                |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Cash      Flow Data:                                       |                |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Cash      flows provided by (used in) operating activities |                | 244,722   |   |   | 78,302 |   |   | —   |   |   | (27,901 | ) |   | 6,327 |   |
| Cash      flows provided by (used in) investing activities |                | (26,431   | ) |   | 75,940 |   |   | —   |   |   | (1,544,408 | ) |   | (246,337 | ) |
| Cash      flows provided by (used in) financing activities |                | (295,707  | ) |   | 40,585 |   |   | —   |   |   | 1,572,309 |   |   | 218,188 |   |
|                                                       |
|                                                       | December      31,   |      |
|                                                       | 2009                |      | 2008 |   | 2007 |   | 2006 |   | 2005 |   |
|                                                       | (in      thousands) |
| Balance      Sheet Data:                                   |                |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Cash      and cash equivalents                             | $                   | 117,411   |   | $ | 194,827 |   | $ | —   |   | $ | —   |   | $ | —   |   |
| Restricted      cash and cash equivalents (current)        |                | 13,732    |   |   | 41,158 |   |   | 191,179 |   |   | 176,324 |   |   | 8,871 |   |
| Non-current      restricted cash and cash equivalents      |                | 82,394    |   |   | 126,056 |   |   | 442,019 |   |   | 982,613 |   |   | —   |   |
| Property,      plant and equipment, net                    |                | 1,588,557 |   |   | 1,517,507 |   |   | 1,127,289 |   |   | 651,676 |   |   | 270,740 |   |
| Total      assets                                          |                | 1,859,101 |   |   | 1,944,345 |   |   | 1,826,881 |   |   | 1,858,111 |   |   | 309,135 |   |
| Long-term      debt, net of discount                       |                | 2,110,101 |   |   | 2,107,673 |   |   | 2,032,000 |   |   | 2,032,000 |   |   | 37,377 |   |
| Long-term      debt—related party, net of discount   |                | 72,928    |   |   | 70,661 |   |   | —   |   |   | —   |   |   | —   |   |
| Deferred      revenue—long term                      |                | 33,500    |   |   | 37,500 |   |   | 40,000 |   |   | 40,000 |   |   | 40,000 |   |
| Deferred      revenue—affiliate (long-term)          |                | 7,360     |   |   | 4,971 |   |   | 2,583 |   |   | —   |   |   | —   |   |

----

| (1) | The      year ended December 31, 2006 includes a $23.8 million loss related to      the extinguishment of debt issuance costs and a $20.6 million derivative      loss as a result of terminating interest rate swaps, both related to the      termination of the Sabine Pass credit facility in November      2006. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | • | Overview      of Business |
|--------|---------|---------------------------|

|   | • | Overview      of Significant 2009 Events |
|--------|---------|------------------------------------------|

|   | • | Liquidity      and Capital Resources |
|--------|---------|--------------------------------------|

|   | • | Contractual      Obligations |
|--------|---------|------------------------------|

|   | • | Results      of Operations |
|--------|---------|----------------------------|

|   | • | Off-Balance      Sheet Arrangements |
|--------|---------|-------------------------------------|

|   | • | Summary      of Critical Accounting Policies |
|--------|---------|----------------------------------------------|

|   | • | Recent      Accounting Standards |
|--------|---------|----------------------------------|

----

|   | • | receipt      of capacity reservation fee payments from Cheniere Marketing, Total and      Chevron and successful unloading and processing of LNG for each      customer; |
|--------|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | purchase,      transportation and successful unloading of an additional LNG commissioning      cargo for our LNG receiving terminal;and |
|--------|---------|-----------------------------------------------------------------------------------------------------------------------------------------|

|   | • | completed      construction and achieved full operability of our LNG receiving terminal      with approximately 4.0 Bcf/d of total sendout capacity and five LNG      storage tanks with approximately 16.9 Bcf of aggregate storage      capacity. |
|--------|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | Total      has reserved approximately 1.0 Bcf/d of regasification capacity and has      agreed to make monthly capacity payments to us aggregating approximately      $125 million per year for 20 years that commenced on April 1, 2009.      Total, S.A. has guaranteed Total’s obligations under its TUA up to $2.5      billion, subject to certain exceptions;and |
|--------|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | Chevron      has reserved approximately 1.0 Bcf/d of regasification capacity and has      agreed to make monthly capacity payments to us aggregating approximately      $125 million per year for 20 years that commenced on July 1, 2009.      Chevron Corporation has guaranteed Chevron’s obligations under its TUA up      to 80% of the fees payable byChevron. |
|--------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                                                                                                                           |   | Year      Ended December 31, |                |
|------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------------|---------------------|
|                                                                                                                                           |   | 2009                         |                |   | 2008 |   |   | 2007 |   |
| SOURCES      OF CASH AND CASH EQUIVALENTS                                                                                                      |   |                         |                |   |   |   |   |   |   |
| Use      of restricted cash and cash equivalents                                                                                               |   | $                            | 71,088              |   |   | $ | 503,093 |   |   | $ | 471,613 |   |
| Proceeds      from issuance of debt                                                                                                            |   |                         | —   |   |   |   | 144,965 |   |   |   | —   |   |
| Operating      cash flow                                                                                                                       |   |                         | 244,722             |   |   |   | 78,302 |   |   |   | —   |   |
| Total      sources of cash and cash equivalents                                                                                                |   |                         | 315,810             |   |   |   | 726,360 |   |   |   | 471,613 |   |
| USES      OF CASH AND CASH EQUIVALENTS                                                                                                         |   |                         |                |   |   |   |   |   |   |   |   |   |
| LNG      receiving terminal construction-in-process, net                                                                                       |   |                         | (96,918             | ) |   |   | (402,955 | ) |   |   | (430,405 | ) |
| Advances      to affiliate—LNG held for commissioning, net of amounts transferred to LNG      receiving terminal construction-in-process |   |                         | —   |   |   |   | (9,923 | ) |   |   | —   |   |
| Investment      in restricted cash and cash equivalents                                                                                        |   |                         | —   |   |   |   | (99,543 | ) |   |   | —   |   |
| Distributions      to owners                                                                                                                   |   |                         | (295,684            | ) |   |   | —   |   |   |   | —   |   |
| Debt      issuance costs                                                                                                                       |   |                         | (23                 | ) |   |   | (4,837 | ) |   |   | (725 | ) |
| Advances      under long-term contracts                                                                                                        |   |                         | (601                | ) |   |   | (14,032 | ) |   |   | (39,155 | ) |
| Other                                                                                                                                          |   |                         | —   |   |   |   | (243 | ) |   |   | (1,328 | ) |
| Total      uses of cash and cash equivalents                                                                                                   |   |                         | (393,226            | ) |   |   | (531,533 | ) |   |   | (471,613 | ) |
| NET      INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS                                                                                      |   |                         | (77,416             | ) |   |   | 194,827 |   |   |   | —   |   |
| CASH      AND CASH EQUIVALENTS—beginning of year                                                                                         |   |                         | 194,827             |   |   |   | —   |   |   |   | —   |   |
| CASH      AND CASH EQUIVALENTS—end of year                                                                                               |   | $                            | 117,411             |   |   | $ | 194,827 |   |   | $ | —   |   |

----

----

----

|                                           |   | Payments      Due for Years Ended December 31, |      |
|------------------------------------------------|--------|------------------------------------------------|-----------|
|                                           |   | Total                                          |      |   | 2010 |   |   |   | 2011-2012 |   |   |   | 2013-2014 |   |   | Thereafter |   |
|                                           |   |                                           |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating      lease obligations (1) (2)       |   | $                                              | 274,533   |   |   | $ | 8,905 |   |   | $ | 17,810 |   |   | $ | 17,810 |   |   | $ | 230,008 |   |
| Long-term      debt (excluding interest) (3)   |   |                                           | 2,215,500 |   |   |   | —   |   |   |   | —   |   |   |   | 550,000 |   |   |   | 1,665,500 |   |
| Service      contracts—                  |   |                                           |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Affiliate      O&M agreement (4)           |   |                                           | 23,660    |   |   |   | 1,560 |   |   |   | 3,120 |   |   |   | 3,120 |   |   |   | 15,860 |   |
| Affiliate      Sabine Pass LNG MSA (4)         |   |                                           | 94,640    |   |   |   | 6,240 |   |   |   | 12,480 |   |   |   | 12,480 |   |   |   | 63,440 |   |
| Construction      and purchase obligations (4) |   |                                           | 7,408     |   |   |   | 7,408 |   |   |   | —   |   |   |   | —   |   |   |   | —   |   |
| Cooperative      endeavor agreements (4)       |   |                                           | 17,171    |   |   |   | 2,453 |   |   |   | 4,906 |   |   |   | 4,906 |   |   |   | 4,906 |   |
| Other      Obligation (5)                      |   |                                           | 3,018     |   |   |   | 979 |   |   |   | 2,039 |   |   |   | —   |   |   |   | —   |   |
| Total                                          |   | $                                              | 2,635,930 |   |   | $ | 27,545 |   |   | $ | 40,355 |   |   | $ | 588,316 |   |   | $ | 1,979,714 |   |

----

| (1) | A      discussion of these obligations can be found in Note 12—“Leases” to our      Consolidated Financial Statements. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Minimum      lease payments have not been reduced by a minimum sublease rental of      $129.6 million due in the future under noncancelable tug boat      subleases. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (3) | Based      on the total debt balance, scheduled maturities and interest rates in      effect at December 31, 2009, our cash payments for interest would be      $164.8 million in 2010, $164.8 million in 2011, $164.8 million in 2012,      $161.5 million in 2013, $124.9 million in 2014 and $239.3 million for the      remaining years for a total of $1,020.1 million.  See Note      10—“Long-Term Debt (including related party”) of our Consolidated      Financial Statements. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (4) | A      discussion of these obligations can be found in Note 11—“Related Party      Transactions” to our Consolidated Financial  Statements. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (5) | Other      obligation consists of LNG receiving terminal security      services. |
|-----|----------------------------------------------------------------------------------|

----

----

----

----

----

| Management’s Report to the Partners of Sabine Pass      LNG, L.P.                  | 26 |
|------------------------------------------------------------------------------------------|----|
| Report of Independent Registered Public Accounting      Firm—Ernst & Young LLP | 27 |
| Consolidated Balance    Sheets                                                           | 28 |
| Consolidated Statements of      Operations                                               | 29 |
| Consolidated Statements of Partners’ Capital      (Deficit)                        | 30 |
| Consolidated Statements of Cash      Flows                                               | 31 |
| Notes to      Consolidated Financial Statements                                          | 32 |
| Supplemental Information to Consolidated Financial      Statements                       | 43 |

----

|  Sabine Pass LNG,      L.P. |
|----------------------------------|
|                             |
| By:                              | Sabine      Pass LNG-GP, Inc |
|                             | Its      general partner |

| By:    | /s/      Charif      Souki                      |   | By:    | /s/      Meg A.      Gentle                                |
|--------|-------------------------------------------------|--------|--------|------------------------------------------------------------|
|   | Charif      Souki                               |   |   | Meg      A. Gentle                                         |
|   | Chief      Executive Officer and      President |   |   | Senior      Vice Presidentand      Chief Financial Officer |

----

|                                                  |
|-------------------------------------------------------|
| /s/    ERNST      & YOUNG LLP |
| ERNST &      YOUNG LLP                       |
|                                                  |
|                                                  |
|                                                  |

----

|                                                        |   |  December      31, |                |
|-------------------------------------------------------------|--------|-------------------------|---------------------|
|                                                        |   | 2009                    |                |   | 2008 |   |
| ASSETS                                                      |   |                    |                |   |   |   |
| CURRENT      ASSETS                                         |   |                    |                |   |   |   |
| Cash      and cash equivalents                              |   | $                       | 117,411             |   |   | $ | 194,827 |   |
| Restricted      cash and cash equivalents                   |   |                    | 13,732              |   |   |   | 41,158 |   |
| Accounts      and interest receivable                       |   |                    | 5,037               |   |   |   | 361 |   |
| Accounts      receivable—affiliate                    |   |                    | 3,586               |   |   |   | 419 |   |
| Advances      to affiliate                                  |   |                    | 5,358               |   |   |   | 2,198 |   |
| Advances      to affiliate—LNG inventory              |   |                    | 1,319               |   |   |   | —   |   |
| LNG      inventory                                          |   |                    | 1,521               |   |   |   | —   |   |
| Prepaid      expenses and other                             |   |                    | 4,594               |   |   |   | 5,407 |   |
| Total      current assets                                   |   |                    | 152,558             |   |   |   | 244,370 |   |
|                                                        |   |                    |                |   |   |   |   |   |
| NON-CURRENT      RESTRICTED CASH AND CASH EQUIVALENTS       |   |                    | 82,394              |   |   |   | 126,056 |   |
| PROPERTY,      PLANT AND EQUIPMENT, NET                     |   |                    | 1,588,557           |   |   |   | 1,517,507 |   |
| DEBT      ISSUANCE COSTS, NET                               |   |                    | 26,953              |   |   |   | 30,748 |   |
| ADVANCES      UNDER LONG-TERM CONTRACTS                     |   |                    | 1,021               |   |   |   | 10,705 |   |
| ADVANCES      TO AFFILIATE—LNG HELD FOR COMMISSIONING |   |                    | —   |   |   |   | 9,923 |   |
| OTHER                                                       |   |                    | 7,618               |   |   |   | 5,036 |   |
| Total      assets                                           |   | $                       | 1,859,101           |   |   | $ | 1,944,345 |   |
|                                                        |   |                    |                |   |   |   |   |   |
| LIABILITIES      AND PARTNERS’ DEFICIT                |   |                    |                |   |   |   |   |   |
| CURRENT      LIABILITIES                                    |   |                    |                |   |   |   |   |   |
| Accounts      payable                                       |   | $                       | 39                  |   |   | $ | 117 |   |
| Accounts      payable—affiliate                       |   |                    | 287                 |   |   |   | 514 |   |
| Accrued      liabilities                                    |   |                    | 22,002              |   |   |   | 40,769 |   |
| Accrued      liabilities—affiliate                    |   |                    | 3,095               |   |   |   | 184 |   |
| Deferred      revenue                                       |   |                    | 26,456              |   |   |   | 2,500 |   |
| Deferred      revenue—affiliate                       |   |                    | 63,507              |   |   |   | 62,742 |   |
| Total      current liabilities                              |   |                    | 115,386             |   |   |   | 106,826 |   |
|                                                        |   |                    |                |   |   |   |   |   |
| LONG-TERM      DEBT, NET OF DISCOUNT                        |   |                    | 2,110,101           |   |   |   | 2,107,673 |   |
| LONG-TERM      DEBT, NET OF DISCOUNT—related party    |   |                    | 72,928              |   |   |   | 70,661 |   |
| DEFERRED      REVENUE                                       |   |                    | 33,500              |   |   |   | 37,500 |   |
| DEFERRED      REVENUE—AFFILIATE                       |   |                    | 7,360               |   |   |   | 4,971 |   |
| OTHER      NON-CURRENT LIABILITIES                          |   |                    | 327                 |   |   |   | 340 |   |
|                                                        |   |                    |                |   |   |   |   |   |
| COMMITMENTS      AND CONTINGENCIES                          |   |                    | —   |   |   |   | —   |   |
|                                                        |   |                    |                |   |   |   |   |   |
| PARTNERS’      DEFICIT                                |   |                    | (480,501            | ) |   |   | (383,626 | ) |
| Total      liabilities and partners’ deficit          |   | $                       | 1,859,101           |   |   | $ | 1,944,345 |   |

----

|                                                    |   | Year      Ended December 31, |                |
|---------------------------------------------------------|--------|------------------------------|---------------------|
|                                                    |   | 2009                         |                |   | 2008 |   |   | 2007 |   |
| REVENUES                                                |   |                         |                |   |   |   |   |   |   |
| Revenues                                                |   | $                            | 164,862             |   |   | $ | —   |   |   | $ | —   |   |
| Revenues—affiliates                               |   |                         | 252,928             |   |   |   | 15,000 |   |   |   | —   |   |
| TOTAL      REVENUES                                     |   |                         | 416,790             |   |   |   | 15,000 |   |   |   | —   |   |
|                                                    |   |                         |                |   |   |   |   |   |   |   |   |   |
| EXPENSES                                                |   |                         |                |   |   |   |   |   |   |   | —   |   |
| Operating      and maintenance expense                  |   |                         | 20,683              |   |   |   | 6,345 |   |   |   | —   |   |
| Operating      and maintenance expense—affiliate  |   |                         | 11,833              |   |   |   | 5,125 |   |   |   | —   |   |
| Depreciation      expense                               |   |                         | 32,742              |   |   |   | 7,994 |   |   |   | 35 |   |
| Development      expense                                |   |                         | —   |   |   |   | 1,184 |   |   |   | 1,540 |   |
| Development      expense—affiliate                |   |                         | —   |          |   |   | 1,158 |   |   |   | 3,943 |   |
| General      and administrative expense                 |   |                         | 1,863               |   |   |   | 3,093 |   |   |   | 1,817 |   |
| General      and administrative expense—affiliate |   |                         | 9,458               |   |   |   | 5,492 |   |   |   | 4,280 |   |
| TOTAL      EXPENSES                                     |   |                         | 76,579              |   |   |   | 30,391 |   |   |   | 11,615 |   |
| INCOME      (LOSS) FROM OPERATIONS                      |   |                         | 340,211             |   |   |   | (15,391 | ) |   |   | (11,615 | ) |
|                                                    |   |                         |                |   |   |   |   |   |   |   |   |   |
| OTHER      INCOME (EXPENSE)                             |   |                         |                |   |   |   |   |   |   |   |   |   |
| Interest      income                                    |   |                         | 524                 |   |   |   | 11,553 |   |   |   | 48,917 |   |
| Interest      expense, net                              |   |                         | (147,201            | ) |   |   | (79,773 | ) |   |   | (88,648 | ) |
| Derivative      gain (loss), net                        |   |                         | 5,277               |   |   |   | 4,653 |   |   |   | —   |   |
| Other                                                   |   |                         | (2                  | ) |   |   | 20 |   |   |   | —   |   |
| TOTAL      OTHER EXPENSE                                |   |                         | (141,402            | ) |   |   | (63,547 | ) |   |   | (39,731 | ) |
| NET      INCOME (LOSS)                                  |   | $                            | 198,809             |   |   | $ | (78,938 | ) |   | $ | (51,346 | ) |

----

|                                   |   | General      Partner Sabine PassLNG-GP,      Inc. |                |   | Limited      Partner Sabine PassLNG-LP,      LLC |   |     | Accumulated      Other Comprehensive Income |   |   | TotalPartners’Deficit |   |
|----------------------------------------|--------|---------------------------------------------------|---------------------|--------|--------------------------------------------------|--------|----------|---------------------------------------------|--------|--------|-----------------------------|--------|
|                                   |   |                                              |                |   |                                             |   |     |                                        |   |   |                        |   |
| Balance      at December 31, 2006 |   | $                                                 | —   |   |                                             | $      | (253,342 | )                                           |   | $      | —           |   |   | $ | (253,342 | ) |
| Net      loss                          |   |                                              | —   |   |                                             |   | (51,346  | )                                           |   |   | —           |   |   |   | (51,346 | ) |
| Balance      at December 31, 2007 |   |                                              | —   |   |                                             |   | (304,688 | )                                           |   |   | —           |   |   |   | (304,688 | ) |
|                                   |   |                                              |                |   |                                             |   |     |                                        |   |   |                        |   |   |   |   |   |
| Net      loss                          |   |                                              | —   |   |                                             |   | (78,938  | )                                           |   |   | —           |   |   |   | (78,938 | ) |
| Balance      at December 31, 2008      |   |                                              | —   |   |                                             |   | (383,626 | )                                           |   |   | —           |   |   |   | (383,626 | ) |
|                                   |   |                                              |                |   |                                             |   |     |                                        |   |   |                        |   |   |   |   |   |
| Distribution      to limited partner   |   |                                              | —   |   |                                             |   | (295,684 | )                                           |   |   | —           |   |   |   | (295,684 | ) |
| Net      income                        |   |                                              | —   |   |                                             |   | 198,809  |                                        |   |   | —           |   |   |   | 198,809 |   |
| Balance      at December 31, 2009      |   | $                                                 | —   |   |                                             | $      | (480,501 | )                                           |   | $      | —           |   |   | $ | (480,501 | ) |

----

|                                                                                                                                           |   | Year      ended December 31, |                |
|------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------------|---------------------|
|                                                                                                                                           |   | 2009                         |                |   | 2008 |   |   | 2007 |   |
| CASH      FLOWS FROM OPERATING ACTIVITIES                                                                                                      |   |                         |                |   |   |   |   |   |   |
| Net      income (loss)                                                                                                                         |   | $                            | 198,809             |   |   | $ | (78,938 | ) |   | $ | (51,346 | ) |
| Adjustments      to reconcile net income (loss) to net cash used in operating      activities:                                                 |   |                         |                |   |   |   |   |   |   |   |   |   |
| Depreciation                                                                                                                                   |   |                         | 32,742              |   |   |   | 7,994 |   |   |   | 35 |   |
| Amortization      of debt discount                                                                                                             |   |                         | 4,695               |   |   |   | 1,369 |   |   |   | —   |   |
| Amortization      of debt issuance costs                                                                                                       |   |                         | 3,818               |   |   |   | 3,984 |   |   |   | 3,793 |   |
| Non-cash      derivative (gain) loss                                                                                                           |   |                         | 1,106               |   |   |   | (1,230 | ) |   |   | —   |   |
| Interest      income on restricted cash and cash equivalents                                                                                   |   |                         | —   |   |   |   | (13,375 | ) |   |   | (46,330 | ) |
| Use      of restricted cash and cash equivalents                                                                                               |   |                         | —   |   |   |   | 75,809 |   |   |   | 103,043 |   |
| Changes      in operating assets and liabilities:                                                                                              |   |                         |                |   |   |   |   |   |   |   |   |   |
| Deferred      revenue—affiliate                                                                                                          |   |                         | 765                 |   |   |   | 65,130 |   |   |   | 2,583 |   |
| Deferred      revenue                                                                                                                          |   |                         | 19,955              |   |   |   | —        |   |   |   | —   |   |
| Accounts      payable and accrued liabilities                                                                                                  |   |                         | (11,519             | ) |   |   | 22,057 |   |   |   | (12,137 | ) |
| Advances      to affiliate                                                                                                                     |   |                         | (3,160              | ) |   |   | (491 | ) |   |   | —   |   |
| Accounts      payable and accrued liabilities—affiliate                                                                                  |   |                         | 2,685               |   |   |   | (350 | ) |   |   | 395 |   |
| Accounts      receivable—affiliate                                                                                                       |   |                         | (3,167              | ) |   |   | (419 | ) |   |   | —   |   |
| Interest      receivable                                                                                                                       |   |                         | 167                 |   |   |   | 2,468 |   |   |   | —   |   |
| Other                                                                                                                                          |   |                         | (2,174              | ) |   |   | (5,706 | ) |   |   | (36 | ) |
| NET      CASH PROVIDED BY OPERATING ACTIVITIES                                                                                                 |   |                         | 244,722             |   |   |   | 78,302 |   |   |   | —   |   |
|                                                                                                                                           |   |                         |                |   |   |   |   |   |   |   |   |   |
| CASH      FLOWS FROM INVESTING ACTIVITIES                                                                                                      |   |                         |                |   |   |   |   |   |   |   |   |   |
| Use      of (investment in) restricted cash and cash equivalents                                                                               |   |                         | 71,088              |   |   |   | 503,093 |   |   |   | 470,888 |   |
| LNG      receiving terminal construction-in-process, net                                                                                       |   |                         | (96,918             | ) |   |   | (402,955 | ) |   |   | (430,405 | ) |
| Advances      under long-term contracts                                                                                                        |   |                         | (601                | ) |   |   | (14,032 | ) |   |   | (39,155 | ) |
| Advances      to affiliate—LNG held for commissioning, net of amounts transferred to LNG      receiving terminal construction-in-process |   |                         | —   |   |   |   | (9,923 | ) |   |   | —   |   |
| Other                                                                                                                                          |   |                         | —   |   |   |   | (243 | ) |   |   | (1,328 | ) |
| NET      CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES                                                                                       |   |                         | (26,431             | ) |   |   | 75,940 |   |   |   | — |   |
|                                                                                                                                           |   |                         |                |   |   |   |   |   |   |   |   |   |
| CASH      FLOWS FROM FINANCING ACTIVITIES                                                                                                      |   |                         |                |   |   |   |   |   |   |   |   |   |
| Distribution      to limited partner                                                                                                           |   |                         | (295,684            | ) |   |   | —   |   |   |   | —   |   |
| Debt      issuance costs                                                                                                                       |   |                         | (23                 | ) |   |   | (4,837 | ) |   |   | (725 | ) |
| Proceeds      from issuance of the Senior Notes                                                                                                |   |                         | —   |   |   |   | 144,965 |   |   |   | —   |   |
| Use      of (investment in) restricted cash and cash equivalents                                                                               |   |                         | —   |   |   |   | (99,543 | ) |   |   | 725 |   |
| NET      CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES                                                                                       |   |                         | (295,707            | ) |   |   | 40,585 |   |   |   | —   |   |
|                                                                                                                                           |   |                         |                |   |   |   |   |   |   |   |   |   |
| NET      INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS                                                                                      |   |                         | (77,416             | ) |   |   | 194,827 |   |   |   | —   |   |
| CASH      AND CASH EQUIVALENTS—beginning of year                                                                                         |   |                         | 194,827             |   |   |   | —   |   |   |   | —   |   |
| CASH      AND CASH EQUIVALENTS—end of year                                                                                               |   | $                            | 117,411             |   |   | $ | 194,827 |   |   | $ | —   |   |

----

----

----

----

|                                                |   | December      31, |                |
|-----------------------------------------------------|--------|-------------------|---------------------|
|                                                |   | 2009              |                |   | 2008 |   |
| LNG      TERMINAL COSTS                             |   |              |                |   |   |   |
| LNG      receiving terminal                         |   | $                 | 1,627,564           |   |   | $ | 919,776 |   |
| LNG      receiving terminal construction-in-process |   |              | —   |   |   |   | 604,398 |   |
| LNG      site and related costs, net                |   |              | 176                 |   |   |   | 183 |   |
| Accumulated      depreciation                       |   |              | (39,975             | ) |   |   | (7,752 | ) |
| Total      LNG receiving terminal costs             |   |              | 1,587,765           |   |   |   | 1,516,605 |   |
| FIXED      ASSETS                                   |   |              |                |   |   |   |   |   |
| Computer      and office equipment                  |   |              | 259                 |   |   |   | 200 |   |
| Vehicles                                            |   |              | 421                 |   |   |   | 421 |   |
| Machinery      and equipment                        |   |              | 931                 |   |   |   | 751 |   |
| Other                                               |   |              | 419                 |   |   |   | 254 |   |
| Accumulated      depreciation                       |   |              | (1,238              | ) |   |   | (724 | ) |
| Total      fixed assets, net                        |   |              | 792                 |   |   |   | 902 |   |
| PROPERTY,      PLANT AND EQUIPMENT, NET             |   | $                 | 1,588,557           |   |   | $ | 1,517,507 |   |

----

| Components                                                                      |   | Useful      life (yrs) |   |
|---------------------------------------------------------------------------------|--------|------------------------|--------|
| LNG      storage tanks                                                          |   |                   | 50     |   |
| Marine      berth, electrical, facility and roads                               |   |                   | 35     |   |
| Regassification      processing equipment (recondensers, vaporization andvents) |   |                   | 30     |   |
| Sendout      pumps                                                              |   |                   | 20     |   |
| Others                                                                          |   |                   | 15-30  |   |

| Long-Term      Debt |   | Debt      Issuance Costs |   | Amortization      Period |          | AccumulatedAmortization |   |    | Net      Costs |   |
|---------------------|--------|--------------------------|--------|--------------------------|---------------|-------------------------|--------|---------|----------------|--------|
| 2013      Notes     |   | $                        | 9,353  |                     | 7      years  |                    | $      | (3,993  | )              |   | $ | 5,360 |   |
| 2016      Notes     |   |                     | 30,057 |                     | 10      years |                    |   | (8,464  | )              |   |   | 21,593 |   |
|                |   | $                        | 39,410 |                     |          |                    | $      | (12,457 | )              |   | $ | 26,953 |   |

----

|                  | Quoted      Prices in Active Markets for Identical Instruments(Level      1) |      | Significant      Other Observable Inputs (Level 2) |   | Significant      Other Observable Inputs (Level 3) |   | Total      Carrying Value at  December 31, 2009 |                      |
|-----------------------|------------------------------------------------------------------------------|-----------|----------------------------------------------------|--------|----------------------------------------------------|--------|-----------------------------------------------------------|---------------------------|
| Derivative      asset | $                                                                            | 124  |                                               | $      | —                                  |   | $                                                         | —    |   | $ | 124  |   |

|                                 | December      31, 2009 |   | December      31, 2008   |   |
|--------------------------------------|------------------------|--------|--------------------------|--------|
|                                 | CarryingAmount         |   | EstimatedFair      Value |   | CarryingAmount |   | EstimatedFair      Value |   |
| 2013      Notes (1)                  |                   | $      | 550,000                  |   |   | $ | 503,250 |   |   | $ | 550,000 |   |   | $ | 412,500 |   |
| 2016      Notes, net of discount (1) |                   |   | 1,633,029                |   |   |   | 1,371,744 |   |   |   | 1,628,334 |   |   |   | 1,204,967 |   |

----

| (1) | The      fair value of the Senior Notes, net of discount, is based on quotations      obtained from broker-dealers who made markets in these and similar      instruments as of December 31, 2009 and December 31, 2008, as      applicable. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                 |   | December      31, |   |
|--------------------------------------|--------|-------------------|--------|
|                                 |   | 2009              |   |   | 2008 |   |
| Interest      and related debt fees  |   | $                 | 14,152 |   |   | $ | 14,152 |   |
| LNG      terminal construction costs |   |              | 7,850  |   |   |   | 26,617 |   |
| Affiliate                            |   |              | 3,095  |   |   |   | 184 |   |
|                                 |   | $                 | 25,097 |   |   | $ | 40,953 |   |

----

|                                                   |   | December      31, |      |
|--------------------------------------------------------|--------|-------------------|-----------|
|                                                   |   | 2009              |      |   | 2008 |   |
| Senior      Notes, net of discount                     |   | $                 | 2,110,101 |   |   | $ | 2,107,673 |   |
| Senior      Notes, net of discount—related party |   |              | 72,928    |   |   |   | 70,661 |   |
| Total      long-term debt                              |   |              | 2,183,029 |   |   |   | 2,178,334 |   |

----

----

| Year      ending December 31,   |   |   | Lease      Payments (2) |   |
|--------------------------------------|--------|--------|-------------------------|--------|
| 2010                                 |   | $      | 8,905                   |   |
| 2011                                 |   |   | 8,905                   |   |
| 2012                                 |   |   | 8,905                   |   |
| 2013                                 |   |   | 8,905                   |   |
| 2014                                 |   |   | 8,905                   |   |
| Later      years (1)                 |   |   | 230,009                 |   |
| Total      minimum payments required |   | $      | 274,534                 |   |

----

| (1)   | The      later years include the remaining initial term and six 10-year extensions      of our land leases and the remaining initial term and two 5-year      extensions of our tug boat lease, as the lease option renewals were      reasonably assured. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2)   | Lease      payments for our tug boat lease represent our lease payment obligation and      do not take into account the $129.6 million of future sublease payments we      will receive from our three TUA customers that effectively offset our      lease payment obligation, as discussedbelow. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

|                                                                                    |   | Year      Ended December 31, |    |
|-----------------------------------------------------------------------------------------|--------|------------------------------|---------|
|                                                                                    |   | 2009                         |    |   | 2008 |   |   | 2007 |   |
| Cash      paid for interest, net of amounts capitalized                                 |   | $                            | 138,659 |   |   | $ | 77,243 |   |   | $ | 93,642 |   |
| Construction-in-process      and debt issuance additions funded with accruedliabilities |   |                         | (66     | ) |   |   | 9,893 |   |   |   | 60,555 |   |

----

|                                    |   | FirstQuarter |                |   | SecondQuarter |   |                | ThirdQuarter |   |   | FourthQuarter       |   |
|-----------------------------------------|--------|--------------|---------------------|--------|---------------|--------|---------------------|--------------|--------|--------|---------------------|--------|
| Year      ended December 31, 2009: |   |         |                |   |          |   |                |         |   |   |                |   |
| Revenues                                |   | $            | 62,549              |   |          | $      | 95,695              |         |   | $      | 128,533             |   |   | $ | 130,013 |   |
| Income      from operations             |   |         | 46,622              |   |          |   | 77,325              |         |   |   | 109,357             |   |   |   | 106,905 |   |
| Net      income                         |   |         | 16,564              |   |          |   | 44,862              |         |   |   | 72,488              |   |   |   | 64,892 |   |
|                                    |   |         |                |   |          |   |                |         |   |   |                |   |   |   |   |   |
| Year      ended December 31, 2008: |   |         |                |   |          |   |                |         |   |   |                |   |   |   |   |   |
| Revenues                                |   | $            | —   |   |          | $      | —   |         |   | $      | —   |   |   | $ | 15,000 |   |
| Income      (loss) from operations      |   |         | (3,651              | )      |          |   | (2,568              | )            |   |   | (9,391              | )      |   |   | 219 |   |
| Net      loss                           |   |         | (14,847             | )      |          |   | (24,952             | )            |   |   | (10,703             | )      |   |   | (28,436 | ) |

|   | ITEM 9(T).      CHANGES IN AND      DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL      DISCLOSURE |
|--------|---------------------------------------------------------------------------------------------------------------------|

----

|                 |   |                                      |
|----------------------|--------|-------------------------------------------|
| Name                 | Age    | Position      with Our General Partner    |
| Charif      Souki    | 57     | Director      and Chief Executive Officer |
| Victor      Duva     | 51     | Director                                  |
| R.      Keith Teague | 45     | President                                 |
| Meg      A. Gentle   | 35     | Chief      Financial Officer              |

----

----

| Name                  | Fees      Earned or Paid in Cash($) | Stock      Awards($) | Option      Awards($) | Non-Equity      Incentive Plan Compensation($) | Nonqualified      Deferred Compensation Earnings($) | All      Other Compensation($) | Total($) |
|-----------------------|-------------------------------------|----------------------|-----------------------|------------------------------------------------|-----------------------------------------------------|--------------------------------|----------|
| Charif      Souki (1) | —                             | —              | —               | —                                        | —                                             | —                        | —  |
| Victor      Duva      | $2,300                              | —              | —               | —                                        | —                                             | —                        | $2,300   |

----

| (1) | Charif      Souki is an executive officer of our general partner and is also an      executive officer of Cheniere. Cheniere compensates Mr. Souki for the      performance of his duties as an executive officer of Cheniere, which      includes managing our partnership. He does not receive additional      compensation for services as a director of our general      partner. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | each      person who beneficially owns more than 5% of the  units; |
|--------|---------|--------------------------------------------------------------------|

|   | • | each      of the directors of our generalpartner; |
|--------|---------|---------------------------------------------------|

|   | • | each      of the executive officers of our general partner;  and |
|--------|---------|------------------------------------------------------------------|

|   | • | all      directors and executive officers of our general partner as a      group. |
|--------|---------|-----------------------------------------------------------------------------------|

|   Name      of Beneficial Owner                                | Units      Beneficially Owned | Percentage      of Total Units Beneficially Owned |
|--------------------------------------------------------------------------|-------------------------------|---------------------------------------------------|
| Sabine      Pass LNG-LP, LLC  (1)                              | 100                           |  100%                                        |
| Sabine      Pass LNG-GP, Inc. (1)(2)                                     | —             | —                                 |
| Charif      Souki                                                        | —             | —                                 |
| R.      Keith Teague                                                     | —             | —                                 |
| Meg      A. Gentle                                                       | —             | —                                 |
| Victor      Duva                                                         | —             | —                                 |
| Don      A. Turkleson (3)                                                | —             | —                                 |
| All      executive officers and directors as a group    (4 persons) | —             | —                                 |

----

| (1) | All      of our general partner and limited partner units are pledged as collateral      to The Bank of New York Mellon as trustee under the Senior Notes as      described in Note 10 of the Notes to Consolidated Financial Statements in      Item 8. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (2) | Sabine      Pass LNG-GP, Inc. is our sole general partner. It holds all of our general      partner interest and controls us. It has no economic interest in us. It      has sole voting and investment power with respect to its general partner      interest in us. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (3) | Mr. Turkleson      served as Chief Financial Officer of our general partner until March      2009. |
|-----|---------------------------------------------------------------------------------------------------------|

----

|                    |   | Ernst      & Young LLP |                |
|-------------------------|--------|----------------------------|---------------------|
|                    |   | Fiscal      2009           |                |   | Fiscal      2008 |   |
| Audit      Fees         |   | $                          | 589,000             |   |   | $ | 550,001 |   |
| Audit-Related      Fees |   |                       | —   |   |   |   | 77,661 |   |
| Total                   |   | $                          | 589,000             |   |   | $ | 627,662 |   |

| (a) | Financial      Statements and Exhibits |
|-----|----------------------------------------|

| (1) | Financial      Statements—Sabine Pass LNG, L.P.: |
|-----|--------------------------------------------------------|

| Management’s Report to the Partners of Sabine Pass      LNG, L.P.                  | 26 |
|------------------------------------------------------------------------------------------|----|
| Report of Independent Registered Public Accounting      Firm—Ernst & Young LLP | 27 |
| Consolidated Balance    Sheets                                                           | 28 |
| Consolidated Statements of      Operations                                               | 29 |
| Consolidated Statements of Partners’ Capital      (Deficit)                        | 30 |
| Consolidated Statements of Cash      Flows                                               | 31 |
| Notes to      Consolidated Financial Statements                                          | 32 |
| Supplemental Information to Consolidated Financial      Statements                       | 43 |

| (2) | Financial      Statement Schedules: |
|-----|-------------------------------------|

----

| Exhibit      No. |  Description                                                                                                                                                                                                                                                                                                          |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 2.1*             | Contribution      and Conveyance Agreement. (Incorporated by reference to Exhibit 10.4 to      Cheniere Energy Partners, L.P.’s Current Report on Form 8-K (SEC File No.      001-33366), filed on March 26, 2007)                                                                                                   |
|             |                                                                                                                                                                                                                                                                                                                       |
| 3.1*             | Certificate      of Limited Partnership of Sabine Pass LNG, L.P. (Incorporated by reference      to Exhibit 3.1 to Sabine Pass LNG L.P.’s Registration Statement on Form      S-4 (SEC File No. 333-138916), filed on November 22,  2006)                                                                            |
|             |                                                                                                                                                                                                                                                                                                                       |
| 3.2*             | Fifth      Amended and Restated Agreement of Limited Partnership of Sabine Pass LNG,      L.P. (Incorporated by reference to Exhibit 3.1 to Sabine Pass LNG L.P.’s      Registration Statement on Form S-4 (SEC File No. 333-138916), filed      on November 22, 2006)                                          |
|             |                                                                                                                                                                                                                                                                                                                       |
| 4.1*             | Form      of general partner interest certificate. (Incorporated by reference to      Exhibit 4.5 to Sabine Pass LNG L.P.’s Registration Statement on Form S-4      (SEC File No. 333-138916), filed on November 22, 2006)                                                                                           |
|             |                                                                                                                                                                                                                                                                                                                       |
| 4.2*             | Form      of limited partner interest certificate. (Incorporated by reference to      Exhibit 4.6 to Sabine Pass LNG L.P.’s Registration Statement on Form S-4      (SEC File No. 333-138916), filed on November 22, 2006)                                                                                           |
|             |                                                                                                                                                                                                                                                                                                                       |
| 4.3*             | Indenture,      dated as of November 9, 2006, between Sabine Pass LNG, L.P., as issuer,      and The Bank of New York, as trustee. (Incorporated by reference to      Exhibit 4.1 to Cheniere Energy, Inc.’s Current Report on Form 8-K (SEC      File No. 001-16383), filed on November 16, 2006)                   |
|             |                                                                                                                                                                                                                                                                                                                       |
| 4.4*             | Form      of 7.25% Senior Secured Note due 2013. (Included as Exhibit A1 to Exhibit      4.3 above)                                                                                                                                                                                                                        |
|             |                                                                                                                                                                                                                                                                                                                       |
| 4.5*             | Form      of 7.50% Senior Secured Note due 2016. (Included as Exhibit A1 to Exhibit      4.3 above)                                                                                                                                                                                                                        |
|             |                                                                                                                                                                                                                                                                                                                       |
| 4.6*             | Form      of 7 1/2% Senior Secured Note due      2016. (Incorporated by reference to Exhibit 4.1 to the Company’s Current      Report on Form 8-K (SEC File No. 333-139572), filed on September 15,      2008)                                                                                                  |
|             |                                                                                                                                                                                                                                                                                                                       |
| 10.1*            | LNG      Terminal Use Agreement, dated September 2, 2004, by and between Total LNG      USA, Inc. and Sabine Pass LNG, L.P. (Incorporated by reference to Exhibit      10.1 to Cheniere Energy, Inc.’s Quarterly Report on Form 10-Q (SEC File      No. 001-16383), filed on November 15, 2004)                      |
|             |                                                                                                                                                                                                                                                                                                                       |
| 10.2*            | Amendment      of LNG Terminal Use Agreement, dated January 24, 2005, by and between      Total LNG USA, Inc. and Sabine Pass LNG, L.P. (Incorporated by reference      to Exhibit 10.40 to Cheniere Energy, Inc.’s Annual Report on Form 10-K      (SEC File No. 001-16383), filed on March 10, 2005)               |
|             |                                                                                                                                                                                                                                                                                                                       |
| 10.3*            | Omnibus      Agreement, dated September 2, 2004, by and between Total LNG USA, Inc. and      Sabine Pass LNG, L.P. (Incorporated by reference to Exhibit 10.2 to      Cheniere Energy, Inc.’s Quarterly Report on Form 10-Q (SEC File No.      001-16383), filed on November 15, 2004)                               |
|             |                                                                                                                                                                                                                                                                                                                       |
| 10.4*            | Guaranty,      dated as of November 9, 2004, by Total S.A. in favor of Sabine Pass LNG,      L.P. (Incorporated by reference to Exhibit 10.3 to Cheniere Energy, Inc.’s      Quarterly Report on Form 10-Q (SEC File No. 001 16383), filed on November      15, 2004)                                                |
|             |                                                                                                                                                                                                                                                                                                                       |
| 10.5*            | LNG      Terminal Use Agreement, dated November 8, 2004, between Chevron U.S.A.      Inc. and Sabine Pass LNG, L.P. (Incorporated by reference to Exhibit 10.4      to Cheniere Energy, Inc.’s Quarterly Report on Form 10-Q (SEC File No.      001-16383), filed on November 15, 2004)                              |
|             |                                                                                                                                                                                                                                                                                                                       |
| 10.6*            | Amendment      to LNG Terminal Use Agreement, dated December 1, 2005, by and between      Chevron U.S.A., Inc. and Sabine Pass LNG, L.P. (Incorporated by reference      to Exhibit 10.28 to Sabine Pass LNG, L.P.’s Registration Statement on Form      S-4 (SEC File No. 333-138916), filed on November 22,  2006) |
|             |                                                                                                                                                                                                                                                                                                                       |
| 10.7*            | Omnibus      Agreement, dated November 8, 2004, between Chevron U.S.A., Inc. and Sabine      Pass LNG, L.P. (Incorporated by reference to Exhibit 10.5 to Cheniere      Energy, Inc.’s Quarterly Report on Form 10-Q (SEC File No.      001-16383), filed on November 15, 2004)                                 |
|             |                                                                                                                                                                                                                                                                                                                       |
| 10.8*            | Guaranty      Agreement, dated as of December 15, 2004, from ChevronTexaco Corporation      to Sabine Pass LNG, L.P. (Incorporated by reference to Exhibit 10.12 to      Sabine Pass LNG, L.P.’s Registration Statement on Form S-4 (SEC File No.      333-138916), filed on November 22,2006)                       |

----

| Exhibit      No. |  Description                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 10.9*            | Amended      and Restated Terminal Use Agreement, dated November 9, 2006, by and      between Cheniere Marketing, Inc. and Sabine Pass LNG, L.P. (Incorporated      by reference to Exhibit 10.6 to Cheniere Energy, Inc.’s Current Report on      Form 8-K (SEC File No. 001-16383), filed on November 16,    2006)                                                                                                                                             |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 10.10*           | Amendment      of LNG Terminal Use Agreement, dated June 25, 2007, by and between      Cheniere Marketing, Inc. and Sabine Pass LNG, L.P. (Incorporated by      reference to Exhibit 10.1 to Cheniere Energy, Inc.’s Current Report on      Form 8-K (SEC File No. 001-16383), filed on June 26,  2007)                                                                                                                                                          |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 10.11*           | Cooperative      Endeavor Agreement & Payment in Lieu of Tax Agreement, dated      October 23, 2007 (amending the Amended and Restated Terminal Use      Agreement, dated November 9, 2006, by and between Cheniere Marketing,      Inc. and Sabine Pass LNG, L.P.). (Incorporated by reference to      Exhibit 10.7 to Cheniere Energy, Inc.’s Quarterly Report on Form 10-Q      (SEC File No. 001-16383), filed on November 6,  2007) |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 10.12*           | LNG      Lease Agreement, dated June 24, 2008, between Cheniere Marketing, Inc. and      Sabine Pass LNG, L.P. (Incorporated by reference to Exhibit 10.7 to      Cheniere Energy, Inc.’s Quarterly Report on Form 10-Q (SEC File No.      001-16383), filed on August 11, 2008)                                                                                                                                                                                 |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 10.13*           | Guarantee      Agreement, dated as of November 9, 2006, by Cheniere Energy, Inc.      (Incorporated by reference to Exhibit 10.7 to Cheniere Energy, Inc.’s      Current Report on Form 8-K (SEC File No. 001-16383), filed on      November 16, 2006)                                                                                                                                                                                                      |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| 10.14*           | Collateral      Trust Agreement, dated November 9, 2006, by and among Sabine Pass LNG,      L.P., The Bank of New York, as collateral trustee, Sabine Pass LNG-GP,      Inc. and Sabine Pass LNG-LP, LLC. (Incorporated by reference to Exhibit      10.1 to Cheniere Energy, Inc.’s Current Report on Form 8-K (SEC File No.      001-16383), filed on November 16,2006)                                                                                        |

| 10.15* | Additional      Secured Debt Designation, dated September 15, 2008, executed by Sabine      Pass LNG, L.P. and acknowledged by The Bank of New York Mellon, as      collateral trustee. (Incorporated by reference to Exhibit 10.1 to the      Company’s Current Report on Form 8-K (SEC File No. 333-139572), filed on      September 15, 2008)                                                                                                                                                                                                                                     |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 10.16* | Amended      and Restated Parity Lien Security Agreement, dated November 9, 2006, by      and between Sabine Pass LNG, L.P. and The Bank of New York, as collateral      trustee. (Incorporated by reference to Exhibit 10.2 to Cheniere Energy,      Inc.’s Current Report on Form 8-K (SEC File No. 001-16383), filed on      November 16, 2006)                                                                                                                                                                                                                                   |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 10.17* | Third      Amended and Restated Multiple Indebtedness Mortgage, Assignment of Rents      and Leases and Security Agreement, dated November 9, 2006, between the      Sabine Pass LNG, L.P. and The Bank of New York, as collateral trustee.      (Incorporated by reference to Exhibit 10.3 to Cheniere Energy, Inc.’s      Current Report on Form 8-K (SEC File No. 001-16383), filed on November 16,      2006)                                                                                                                                                                    |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 10.18* | Amended      and Restated Parity Lien Pledge Agreement, dated November 9, 2006, by and      among Sabine Pass LNG, L.P., Sabine Pass LNG-GP, Inc., Sabine Pass LNG-LP,      LLC and The Bank of New York, as collateral trustee. (Incorporated by      reference to Exhibit 10.4 to Cheniere Energy, Inc.’s Current Report on      Form 8-K (SEC File No. 001-16383), filed on November 16,    2006)                                                                                                                                                                                 |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 10.19* | Security      Deposit Agreement, dated November 9, 2006, by and among Sabine Pass LNG,      L.P., The Bank of New York, as collateral trustee, and The Bank of New      York, as depositary agent. (Incorporated by reference to Exhibit 10.5 to      Cheniere Energy, Inc.’s Current Report on Form 8-K (SEC File      No. 001-16383), filed on November 16, 2006)                                                                                                                                                                                                             |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 10.20* | Letter      Agreement, dated May 8, 2007, between Cheniere Marketing, Inc. and Sabine      Pass LNG, L.P. (Incorporated by reference to Exhibit 10.8 to Cheniere      Energy, Inc.’s Quarterly Report on Form 10-Q (SEC File No. 001-16383),      filed on May 8, 2007), and Form of LNG Terminal Use Agreement between      J&S Cheniere S.A. and Sabine Pass LNG, L.P. (Incorporated by reference      to Exhibit B of Exhibit 8.2(a) of Exhibit 10.8 to Cheniere Energy, Inc.’s      Quarterly Report on Form 10-Q (SEC File No. 001-16383), filed on May 8,      2007) |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| 10.21* | Purchase      Agreement, dated September 10, 2008, by and among Sabine Pass LNG, L.P.      and Citigroup Global Markets Inc. (Incorporated by reference to Exhibit      4.2 to the Company’s Current Report on Form 8-K (SEC File No.      333-139572), filed on September 15,2008)                                                                                                                                                                                                                                                                                             |

----

| Exhibit      No. |  Description                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 10.22*           | Assignment,      Assumption, Consent and Release Agreement, dated March 26, 2007, among      Cheniere LNG O&M Services, L.P., Cheniere Energy Partners GP, LLC and      Sabine Pass LNG, L.P. (Incorporated by reference to Exhibit 10.53 to      Cheniere Energy Partners, L.P.’s Annual Report on Form 10-K (SEC File      No. 001-33363), filed on February 27, 2009)                                                                                                       |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.23*           | Sabine      Consent and Agreement (Operation and Maintenance Agreement), dated August      15, 2008, among Cheniere Energy Partners GP, LLC, Sabine Pass LNG, L.P.      and The Bank of New York Mellon. (Incorporated by reference to Exhibit      10.4 to Cheniere Energy, Inc.’s Quarterly Report on Form 10-Q (SEC File      No. 001-16383), filed on November 7, 2008)                                                                                                             |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.24*           | Management      Services Agreement, dated February 25, 2005, between Sabine Pass LNG-GP,      Inc. and Sabine Pass LNG, L.P. (Incorporated by reference to Exhibit 10.6      to Cheniere Energy, Inc.’s Current Report on Form 8-K (SEC File No.      001-16383), filed on March 2, 2005)                                                                                                                                                                                               |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.25*           | Letter      Agreement (Management Services Agreement), dated September 1, 2006,      between Sabine Pass LNG-GP, Inc. and Cheniere LNG Terminals, Inc.      (Incorporated by reference to Exhibit 10.29 to Cheniere Energy Partners,      L.P.’s Registration Statement on Form S-1 (SEC File No. 333-139572), filed      on February 14, 2007)                                                                                                                                         |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.26*           | Assignment,      Assumption, Consent and Release Agreement (Management Services Agreement),      dated August 15, 2008, between Sabine Pass LNG-GP, Inc., Cheniere LNG      Terminals, Inc. and Sabine Pass LNG, L.P. (Incorporated by reference to      Exhibit 10.1 to Cheniere Energy, Inc.’s Quarterly Report on Form 10-Q (SEC      File No. 001-16383), filed on November 7, 2008)                                                                                                |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.27*           | Sabine      Consent and Agreement (Management Services Agreement), dated      August 15, 2008, among Cheniere LNG Terminals, Inc., Sabine Pass LNG,      L.P. and The Bank of New York Mellon. (Incorporated by reference to      Exhibit 10.5 to Cheniere Energy, Inc.’s Quarterly Report on Form 10-Q (SEC      File No. 001-16383), filed on November 7, 2008)                                                                                                             |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.28*           | Settlement      and Purchase Agreement dated as of June 14, 2001, by and among Cheniere      Energy, Inc., CXY Corporation, Crest Energy, L.L.C., Crest Investment      Company and Freeport LNG Terminal, LLC, and two related letter agreements,      each dated February 27, 2003. (Incorporated by reference to      Exhibit 10.36 to Cheniere Energy Partners, L.P.’s Registration      Statement on Form S-1 (SEC File No. 333-139572), filed on January 25,      2007) |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 10.29*           | Letter      regarding Assumption and Adoption of Obligations under Settlement and      Purchase Agreement, dated May 9, 2005, and Indemnification Agreement,      dated May 9, 2005, by Cheniere Energy, Inc. (Incorporated by reference to      Exhibit 10.29 to Sabine Pass LNG, L.P.’s Registration Statement on      Form S-4/A (SEC File No. 333-138916), filed on January 10,      2007)                                                                                     |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 21.1             | Subsidiaries      of Sabine Pass LNG, L.P.                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 31.1             | Certification      by Chief Executive Officer required by Rule 13a-14(a) and 15d-14(a) under      the Exchange Act                                                                                                                                                                                                                                                                                                                                                                            |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 31.2             | Certification      by Chief Financial Officer required by Rule 13a-14(a) and 15d-14(a) under      the Exchange Act                                                                                                                                                                                                                                                                                                                                                                            |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 32.1             | Certification      by Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted      pursuant to Section 906 of the Sarbanes-Oxley Act of  2002                                                                                                                                                                                                                                                                                                                                  |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| 32.2             | Certification      of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted      pursuant to Section 906 of the Sarbanes-Oxley Act of  2002                                                                                                                                                                                                                                                                                                                                  |
|             |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |

----

| * | Incorporated      by reference |
|---|--------------------------------|

| † | Management      contract or compensatory plan orarrangement |
|---------|-------------------------------------------------------------|

----

| SABINE PASS LNG,    L.P. |
|--------------------------|
| By:                      | Sabine      Pass LNG-GP, Inc., |
|                     | Its      general partner |
|                     |   |
| By:                      | /s/    Charif Souki       |
|                     | Charif      SoukiChief      Executive Officer |

|   |  Date:      February 25, 2010 |
|--------|-----------------------------------------|

| Signature                                       | Title                                                                             | Date                        |
|-------------------------------------------------|-----------------------------------------------------------------------------------|-----------------------------|
|                                            |                                                                              |                        |
| /s/    CHARIF SOUKI         | Chief      Executive Officer and Director (Principal      Executive Officer) | February 25,      2010 |
| Charif      Souki                               |
|                                            |                                                                              |                        |
| /s/    R.      KEITH TEAGUE | President(Principal      Operating Officer)                                       | February 25,      2010 |
| R.      Keith Teague                            |
|                                            |                                                                              |                        |
| /s/    Meg A. Gentle        | Chief      Financial Officer(Principal Financial Officer)               | February 25,      2010 |
| Meg      A. Gentle                              |
|                                            |                                                                              |                        |
| /s/    JERRY D. SMITH       | Chief      Accounting Officer(Principal Accounting Officer)             | February 25,      2010 |
| Jerry      D. Smith                             |
|                                            |                                                                              |                        |
| /s/    VICTOR DUVA          | Director                                                                          | February 25,      2010 |
| Victor      Duva                                |
|                                            |                                                                              |                        |

----