Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Feb. 15, 2016 | Jun. 30, 2015 | |
Document and Entity Information [Abstract] | |||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2015 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2,015 | ||
Amendment Flag | false | ||
Entity Registrant Name | Marathon Oil Corp | ||
Entity Central Index Key | 101,778 | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Well Known Seasoned Issuer | Yes | ||
Entity Common Stock, Shares Outstanding | 676,886,641 | ||
Entity Public Float | $ 17,916 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Revenues and other income: | |||
Sales and other operating revenues, including related party | $ 4,951 | $ 8,736 | $ 9,246 |
Marketing revenues | 571 | 2,110 | 2,079 |
Income from equity method investments | 145 | 424 | 423 |
Net gain (loss) on disposal of assets | 120 | (90) | (29) |
Other income | 74 | 78 | 64 |
Total revenues and other income | 5,861 | 11,258 | 11,783 |
Costs and expenses: | |||
Production | 1,694 | 2,246 | 2,156 |
Marketing, including purchases from related parties | 569 | 2,105 | 2,076 |
Other operating | 438 | 462 | 389 |
Exploration | 1,318 | 793 | 891 |
Depreciation, depletion and amortization | 2,957 | 2,861 | 2,500 |
Asset Impairment Charges | 752 | 132 | 96 |
Taxes other than income | 234 | 406 | 345 |
General and administrative | 590 | 654 | 659 |
Total costs and expenses | 8,552 | 9,659 | 9,112 |
Income from operations | (2,691) | 1,599 | 2,671 |
Net interest and other | (267) | (238) | (278) |
Income from continuing operations before income taxes | (2,958) | 1,361 | 2,393 |
Provision for income taxes | (754) | 392 | 1,462 |
Income from continuing operations | (2,204) | 969 | 931 |
Discontinued operations | 0 | 2,077 | 822 |
Net income | $ (2,204) | $ 3,046 | $ 1,753 |
Basic: | |||
Income from continuing operations (in dollars per basic share) | $ (3.26) | $ 1.42 | $ 1.32 |
Discontinued operations (in dollars per basic share) | 0 | 3.06 | 1.17 |
Net income (in dollars per basic share) | (3.26) | 4.48 | 2.49 |
Diluted: | |||
Income from continuing operations (in dollars per diluted share) | (3.26) | 1.42 | 1.31 |
Discontinued operations (in dollars per diluted share) | 0 | 3.04 | 1.16 |
Net income (in dollars per diluted share) | (3.26) | 4.46 | 2.47 |
Dividends (in dollars per share) | $ 0.68 | $ 0.80 | $ 0.72 |
Weighted average shares: | |||
Basic | 677 | 680 | 705 |
Diluted | 677 | 683 | 709 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ (2,204) | $ 3,046 | $ 1,753 |
Postretirement and postemployment plans | |||
Change in actuarial loss and other | 228 | (52) | 300 |
Income tax benefit (provision) on postretirement and postemployment plans | (86) | 25 | (112) |
Postretirement and postemployment plans, net of tax | 142 | (27) | 188 |
Derivative hedges | |||
Net unrecognized gain | 0 | 1 | 1 |
Income tax provision on derivative hedges | 0 | 0 | 0 |
Derivative hedges, net of tax | 0 | 1 | 1 |
Foreign currency translation and other | |||
Unrealized gain (loss) | 0 | 0 | (3) |
Income tax benefit (provision) on foreign currency translation and other | 0 | (1) | 1 |
Foreign currency translation and other, net of tax | 0 | (1) | (2) |
Other comprehensive income (loss) | 142 | (27) | 187 |
Comprehensive income | $ (2,062) | $ 3,019 | $ 1,940 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Current assets: | ||
Cash and cash equivalents | $ 1,221 | $ 2,398 |
Receivables, less reserve of $4 and $3 | 912 | 1,729 |
Inventories | 313 | 357 |
Other current assets | 144 | 109 |
Total current assets | 2,590 | 4,593 |
Equity method investments | 1,003 | 1,113 |
Property, plant and equipment, less accumulated depreciation, depletion and amortization of $23,260 and $21,884 | 27,061 | 29,040 |
Goodwill | 115 | 459 |
Other noncurrent assets | 1,542 | 778 |
Total assets | 32,311 | 35,983 |
Current liabilities: | ||
Accounts payable | 1,313 | 2,545 |
Payroll and benefits payable | 133 | 191 |
Accrued taxes | 132 | 285 |
Other current liabilities | 150 | 290 |
Long-term debt due within one year | 1 | 1,068 |
Total current liabilities | 1,729 | 4,379 |
Long-term debt | 7,276 | 5,295 |
Deferred tax liabilities | 2,441 | 2,486 |
Defined benefit postretirement plan obligations | 403 | 598 |
Asset retirement obligations | 1,601 | 1,917 |
Deferred credit and other liabilities | 308 | 288 |
Total liabilities | $ 13,758 | $ 14,963 |
Commitments and contingencies | ||
Stockholders’ Equity | ||
Preferred stock no shares issued or outstanding (no par value, 26 million shares authorized) | $ 0 | $ 0 |
Common stock issued - 770 million and 770 million shares (par value $1 per share, 1.1 billion shares authorized) | 770 | 770 |
Common stock, securities exchangeable into common stock - no shares issued or outstanding (no par value, 29 million shares authorized) | 0 | 0 |
Common stock, held in treasury, at cost – 93 million and 95 million shares | (3,554) | (3,642) |
Additional paid-in capital | 6,498 | 6,531 |
Retained earnings | 14,974 | 17,638 |
Accumulated other comprehensive loss | (135) | (277) |
Total stockholders equity | 18,553 | 21,020 |
Total liabilities and stockholders equity | $ 32,311 | $ 35,983 |
Consolidated Balance Sheets Par
Consolidated Balance Sheets Parentheticals - USD ($) shares in Millions, $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Consolidated Balance Sheets Parenthetical [Abstract] | ||
Less accumulated depreciation, depletion and amortization | $ (23,260) | $ (21,884) |
Preferred stock, no par value | $ 0 | $ 0 |
Preferred stock, shares authorized | 26 | 26 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value per share | $ 1 | $ 1 |
Common stock, shares authorized | 1,100 | 1,100 |
Common stock, shares issued | 770 | 770 |
Common stock, securities exchangeable no par value | $ 0 | $ 0 |
Common stock, securities exchangeable shares authorized | 29 | 29 |
Common stock, securities exchangeable shares issued | 0 | 0 |
Common stock, securities exchangeable shares outstanding | 0 | 0 |
Held in treasury, shares | 93 | 95 |
Allowance for Doubtful Accounts Receivable, Current | $ 4 | $ 3 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Statement of Cash Flows [Abstract] | |||
Net income | $ (2,204) | $ 3,046 | $ 1,753 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Discontinued operations | 0 | (2,077) | (822) |
Deferred income taxes | (806) | 88 | (34) |
Depreciation, depletion and amortization | 2,957 | 2,861 | 2,500 |
Impairments | 752 | 132 | 96 |
Pension and other postretirement benefits, net | 1 | (34) | 45 |
Exploratory dry well costs and unproved property impairments | 1,214 | 623 | 720 |
Net (gain) loss on disposal of assets | (120) | 90 | 29 |
Equity method investments, net | 33 | 27 | 12 |
Changes in: | |||
Current receivables | 817 | 119 | 217 |
Inventories | 36 | (11) | (19) |
Current accounts payable and accrued liabilities | (965) | (33) | (208) |
All other operating, net | (150) | (95) | 99 |
Net cash provided by continuing operations | 1,565 | 4,736 | 4,388 |
Net cash provided by discontinued operations | 0 | 751 | 882 |
Net cash provided by operating activities | 1,565 | 5,487 | 5,270 |
Investing activities: | |||
Acquisitions, net of cash acquired | 0 | (21) | (74) |
Additions to property, plant and equipment | (3,476) | (5,160) | (4,443) |
Disposal of assets | 225 | 3,760 | 450 |
Investments - return of capital | 77 | 61 | 61 |
Investing activities of discontinued operations | 0 | (376) | (550) |
Payments to Acquire Investments | (925) | 0 | 0 |
Proceeds from Sale, Maturity and Collection of Investments | 925 | 0 | 0 |
All other investing, net | (28) | (10) | 35 |
Net cash used in investing activities | (3,202) | (1,746) | (4,521) |
Financing activities: | |||
Commercial paper, net | 0 | (135) | (65) |
Borrowings | 1,996 | 0 | 0 |
Debt issuance costs | (19) | 0 | 0 |
Debt repayments | (1,069) | (68) | (182) |
Purchases of common stock | 0 | (1,000) | (500) |
Dividends paid | (460) | (543) | (508) |
All other financing, net | 14 | 153 | 93 |
Net cash provided by (used in) financing activities | 462 | (1,593) | (1,162) |
Effect of Exchange Rate on Cash and Cash Equivalents, Continuing Operations | (2) | (2) | (3) |
Effect of Exchange Rate on Cash and Cash Equivalents, Discontinued Operations | 0 | (12) | (4) |
Net increase (decrease) in cash and cash equivalents | (1,177) | 2,134 | (420) |
Cash and cash equivalents at beginning of period | 2,398 | 264 | 684 |
Cash and cash equivalents at end of period | $ 1,221 | $ 2,398 | $ 264 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders Equity - USD ($) shares in Millions, $ in Millions | Total | Preferred Stock [Member] | Common Stock [Member] | Securities Exchangeable for Common Stock[Member] | Treasury Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Loss [Member] |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Treasury shares | 63 | |||||||
Beginning Balance at Dec. 31, 2012 | $ 18,283 | $ 0 | $ 770 | $ 0 | $ (2,560) | $ 6,616 | $ 13,890 | $ (433) |
Shares Beginning Balance at Dec. 31, 2012 | 770 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Shares issued - stock based compensation | 126 | 170 | (44) | |||||
Shares repurchased | (513) | $ (513) | ||||||
Stock-based compensation | 20 | 20 | ||||||
Net income | 1,753 | 1,753 | ||||||
Other Comprehensive Income (Loss), Net of Tax, Incl Disc Ops | 183 | 183 | ||||||
Dividends paid | (508) | (508) | ||||||
Shares issued - stock based compensation | (4) | |||||||
Ending Balance at Dec. 31, 2013 | 19,344 | 0 | $ 770 | 0 | $ (2,903) | 6,592 | 15,135 | (250) |
Shares Ending Balance at Dec. 31, 2013 | 770 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Treasury shares | 73 | |||||||
Shares issued - stock based compensation | 219 | $ 276 | (57) | |||||
Shares repurchased | (1,015) | $ (1,015) | ||||||
Stock-based compensation | (4) | (4) | ||||||
Net income | 3,046 | 3,046 | ||||||
Other Comprehensive Income (Loss), Net of Tax, Incl Disc Ops | (27) | (27) | ||||||
Dividends paid | (543) | (543) | ||||||
Shares issued - stock based compensation | (7) | |||||||
Shares repurchased | 29 | |||||||
Ending Balance at Dec. 31, 2014 | $ 21,020 | 0 | $ 770 | 0 | $ (3,642) | 6,531 | 17,638 | (277) |
Shares Ending Balance at Dec. 31, 2014 | 770 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Treasury shares | 95 | 95 | ||||||
Shares issued - stock based compensation | $ 64 | $ 96 | (32) | |||||
Shares repurchased | (8) | $ (8) | ||||||
Stock-based compensation | (1) | (1) | ||||||
Net income | (2,204) | |||||||
Other Comprehensive Income (Loss), Net of Tax, Incl Disc Ops | 142 | 142 | ||||||
Dividends paid | (460) | (460) | ||||||
Shares issued - stock based compensation | (2) | |||||||
Shares repurchased | 0 | |||||||
Ending Balance at Dec. 31, 2015 | $ 18,553 | $ 0 | $ 770 | $ 0 | $ (3,554) | $ 6,498 | $ 14,974 | $ (135) |
Shares Ending Balance at Dec. 31, 2015 | 770 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Treasury shares | 93 | 93 |
Summary of Principal Accounting
Summary of Principal Accounting Policies | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Summary of Principal Accounting Policies | Summary of Principal Accounting Policies We are a global energy company engaged in exploration, production and marketing of crude oil and condensate, NGLs and natural gas; as well as production and marketing of products manufactured from natural gas, such as LNG and methanol, in E.G.; and oil sands mining, bitumen transportation and upgrading, and marketing of synthetic crude oil and vacuum gas oil in Canada. Principles applied in consolidation – These consolidated financial statements include the accounts of our majority-owned, controlled subsidiaries. Investments in unincorporated joint ventures and undivided interests in certain operating assets are consolidated on a pro rata basis. Equity method investment s – Investments in entities over which we have significant influence, but not control, are accounted for using the equity method of accounting. This includes entities in which we hold majority ownership but the minority stockholders have substantive participating rights in the investee. Income from equity method investments represents our proportionate share of net income generated by the equity method investees. Equity method investments are included as noncurrent assets on the consolidated balance sheet. These investments are assessed for impairment whenever changes in the facts and circumstances indicate a loss in value has occurred, if the loss is deemed to be other than temporary. When the loss is deemed to be other than temporary, the carrying value of the equity method investment is written down to fair value, and the amount of the write-down is included in net income. Differences in the basis of the investments and the separate net asset value of the investees, if any, are amortized into net income over the remaining useful lives of the underlying assets, except for the excess related to goodwill. Discontinued operations – Disclosures in this report related to results of operations and cash flows are presented on the basis of continuing operations unless otherwise stated. As a result of the sale of our Angola assets and our Norway business in 2014 (see Note 5 ), these businesses are reflected as discontinued operations in the periods prior to and including 2014. Use of estimates – The preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities as of the date of the consolidated financial statements and the reported amounts of revenues and expenses during the respective reporting periods. Foreign currency transactions – The U.S. dollar is the functional currency of our foreign operating subsidiaries. Foreign currency transaction gains and losses are included in net income. Revenue recognition – Revenues are recognized when products are shipped or services are provided to customers, title is transferred, the sales price is fixed or determinable and collectability is reasonably assured. We follow the sales method of accounting for crude oil and natural gas production imbalances and would recognize a liability if our existing proved reserves were not adequate to cover an imbalanc e. Imbalances have not been significant in the periods presented. In the lower 48 states of the U.S., production volumes of crude oil and condensate, NGLs and natural gas are generally sold immediately and transported to market. In international locations, liquid hydrocarbon production volumes may be stored as inventory and sold at a later time. In Canada, mined bitumen is first processed through an upgrader and then sold as synthetic crude oil. Cash and cash equivalents – Cash and cash equivalents include cash on hand and on deposit and investments in highly liquid debt instruments with original maturities of three months or less. Short-term Investments - Our short-term investments are comprised of bank time deposits with original maturities of greater than three months but less than twelve months. They are classified as held-to-maturity investments, which are recorded at amortized cost. Accounts receivable – The majority of our receivables are from joint interest owners in properties we operate or from purchasers of commodities, both of which are recorded at invoiced amounts and do not bear interest. We often have the ability to withhold future revenue disbursements to recover any non-payment of joint interest billings. We conduct credit reviews of commodity purchasers prior to making commodity sales to new customers or increasing credit for existing customers. Based on these reviews, we may require a standby letter of credit or a financial guarantee. Uncollectible accounts receivable are reserved against the allowance for uncollectible accounts when it is determined the receivable will not be collected and the amount of any reserve may be reasonably estimated. Inventories – Crude oil and natural gas inventories are recorded at weighted average cost and carried at the lower of cost or market value. Materials and supplies inventory consist principally of tubular goods and equipment which are valued at weighted average cost and reviewed periodically for obsol escence or impairment when market conditions indicate. During the fourth quarter of 2015, we elected to change our accounting method related to our U.S. crude oil and natural gas inventories from last in, first out ("LIFO") method to weighted average cost. At December 31, 2015, this inventory represented $5 million of our total inventory value, see Note 10 to the consolidated financial statements for additional detail related to inventories. We believe this change is preferable as it provides consistent application of the cost basis for all categories of inventories across our worldwide portfolio, more accurately reflects the current value of inventory which provides for a better matching of expenses to revenues, and enhances comparability to our peers. The effect of changing the method from LIFO to weighted average cost was immaterial for all current and prior periods. We recorded the cumulative effect of this change within our Consolidated Balance Sheets and Consolidated Statements of Income during the fourth quarter of 2015 and did not adjust previously reported periods. This resulted in an increase in our Inventories account of $2 million and a decrease in Production costs by $2 million. The change in method had an immaterial impact to income from continuing operations, with no change to basic or diluted earnings per share. We may enter into a contract to sell a particular quantity and quality of crude oil at a specified location and dat e to a particular counterparty, and simultaneously agree to buy a particular quantity and quality of the same commodity at a specified location on the same or another specified date from the same counterparty. We account for such matching buy/sell arrangements as exchanges of inventory. Derivative instruments – We may use derivatives to manage a portion of our exposure to commodity price risk, interest rate risk and foreign currency exchange rate risk. All derivative instruments are recorded at fair value. Commodity derivatives and interest rate swaps are reflected on our consolidated balance sheet on a net basis by counterparty, as they are governed by master netting agreements. Cash flows related to derivatives used to manage commodity price risk, foreign currency risk and interest rate risk are classified in operating activities. Our derivative instruments contain no significant contingent credit features. Fair value hedges – We may use interest rate swaps to manage our exposure to interest rate risk associated with fixed interest rate debt in our portfolio and foreign currency forwards to manage our exposure to changes in the value of foreign currency denominated tax liabilities. Changes in the fair values of both the hedged item and the related derivative are recognized immediately in net income with an offsetting effect included in the basis of the hedged item. The net effect is to report in net income the extent to which the hedge is not effective in achieving offsetting changes in fair value. Derivatives not designated as hedges – Derivatives that are not designated as hedges may include commodity derivatives used primarily to manage price risk on the forecasted sale of crude oil, natural gas and synthetic crude oil that we produce. Changes in the fair value of derivatives not designated as hedges are recognized immediately in net income. Concentrations of credit risk – All of our financial instruments, including derivatives, involve elements of credit and market risk. The most significant portion of our credit risk relates to nonperformance by counterparties. The counterparties to our financial instruments consist primarily of major financial institutions and companies within the energy industry. To manage counterparty risk associated with financial instruments, we select and monitor counterparties based on our assessment of their financial strength and on credit ratings, if available. Additionally, we limit the level of exposure with any single counterparty. Fair value transfer – We recognize transfers between levels of the fair value hierarchy as of the end of the reporting period. If significant transfers occur, they would be disclosed in Note 15 to the consolidated financial statements. Property, plant and equipment – We use the successful efforts method of accounting for oil and gas producing activities, which include bitumen mining and upgrading. Property acquisition costs – Costs to acquire mineral interests in oil and natural gas properties or in oil sands mines, to drill and equip exploratory wells in progress and those that find proved reserves, to drill and equip development wells and to construct or expand oil sands mines and upgrading facilities are capitalized. Costs to drill exploratory wells that do not find proved reserves, geological and geophysical costs and costs of carrying and retaining unproved properties are expensed. Costs incurred for exploratory wells that find reserves but cannot yet be classified as proved are capitalized if (1) the well has found a sufficient quantity of reserves to justify its completion as a producing well and (2) we are making sufficient progress assessing the reserves and the economic and operating viability of the project. The status of suspended exploratory well costs is monitored continuously and reviewed at least quarterly. Depreciation, depletion and amortization – Capitalized costs to acquire oil and natural gas properties, which include bitumen mining and upgrading facilities, are depreciated and depleted on a units-of-production basis based on estimated proved reserves. Capitalized costs of exploratory wells and development costs are depreciated and depleted on a units-of-production basis based on estimated proved developed reserves. Support equipment and other property, plant and equipment related to oil and gas producing activities, as well as property, plant and equipment unrelated to oil and gas producing activities, are recorded at cost and depr eciated on a straight-line basis over the estimated useful lives of the assets as summarized below. Type of Asset Range of Useful Lives Office furniture, equipment and computer hardware 3 to 15 years Pipelines 10 to 40 years Plants, facilities, mine equipment and infrastructure 1 to 40 years Impairments – We eva luate our oil and gas producing properties, including capitalized costs of exploratory wells, development costs and our bitumen mining and upgrading facilities, for impairment of value whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If the sum of the expected undiscounted future cash flows from the use of the asset and its eventual disposition is less than the carrying amount of the asset, an impairment loss is recognized based on the fair value of the asset. Oil and gas producing properties are reviewed for impairment on a field-by-field basis or, in certain instances, by logical grouping of assets if there is significant shared infrastructure. Oil and gas producing properties deemed to be impaired are written down to their fair value, as determined by discounted future net cash flows or, if available, comparable market value. We evaluate our unproved property investment and record impairment based on time or geologic factors. Information such as drilling results, reservoir performance, seismic interpretation or future plans to develop acreage is also considered. When unproved property investments are deemed to be impaired, the expense is reported in exploration expenses. Dispositions – When property, plant and equipment depreciated on an individual basis is sold or otherwise disposed of, any gains or losses are reported in net income. Gains on the disposal of property, plant and equipment are recognized when earned, which is generally at the time of closing. If a loss on disposal is expected, such losses are recognized when the assets are classified as held for sale. Proceeds from the disposal of property, plant and equipment depreciated on a group basis are credited to accumulated depreciation, depletion and amortization with no immediate effect on net income until net book value is reduced to zero. Goodwill – Goodwill represents the excess of the purchase price over the estimated fair value of the net assets acquired in the acquisition of a business. Such goodwill is not amortized, but rather is tested for impairment annually and when events or changes in circumstances indicate that the fair value of a reporting unit with goodwill has been reduced below carrying value. The impairment test requires allocating goodwill and other assets and liabilities to a reporting unit. The fair value of a reporting unit is determined and compared to the book value of the reporting unit. If the fair value of the reporting unit is less than the book value, including goodwill, then the recorded goodwill is impaired to its implied fair value with a charge to impairments. Major maintenance activities – Costs for planned major maintenance are expensed in the period incurred and can include the costs of contractor repair services, materials and supplies, equipment rentals and our labor costs. Environmental costs – We provide for remediation costs and penalties when the responsibility to remediate is probable and the amount of associated costs can be reasonably estimated. The timing of remediation accruals coincides with completion of a feasibility study or the commitment to a formal plan of action. Remediation liabilities are accrued based on estimates of known environmental exposure and are discounted when the estimated amounts are reasonably fixed or reliably determinable. Environmental expenditures are capitalized only if the costs mitigate or prevent future contamination or if the costs improve the environmental safety or efficiency of the existing assets. Asset retirement obligations – The fair value of asset retirement obligations is recognized in the period in which the obligations are incurred if a reasonable estimate of fair value can be made. Our asset retirement obligations primarily relate to the abandonment of oil and gas producing facilities, which include our bitumen mining facilities. Asset retirement obligations for such facilities include costs to dismantle and relocate or dispose of production platforms, mine assets, gathering systems, wells and related structures and restoration costs of land and seabed, including those leased. Estimates of these costs are developed for each property based on the type of production structure, depth of water, reservoir characteristics, depth of the reservoir, market demand for equipment, currently available procedures and consultations with construction and engineering professionals. Asset retirement obligations have not been recognized for certain of our international oil and gas producing facilities as we currently do not have a legal obligation associated with the retirement of those facilities. Asset retirement obligations have not been recognized for the removal of materials and equipment from or the closure of certain bitumen upgrading assets because the fair value cannot be reasonably estimated since the settlement dates of the obligations are indeterminate. Inflation rates and credit-adjusted-risk-free interest rates are used to estimate the fair value of asset retirement obligations. Depreciation of capitalized asset retirement costs and accretion of asset retirement obligations are recorded over time. Depreciation is generally determined on a units-of-production basis based on estimated proved reserves for oil and gas production facilities, which include our bitumen mining facilities, while accretion escalates over the lives of the assets. Deferred income taxes – Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of assets and liabilities and their tax bases as reported in our filings with the respective taxing authorities. We routinely assess the realizability of our deferred tax assets based on several interrelated factors and reduce such assets by a valuation allowance if it is more likely than not that some portion or all of the deferred tax assets will not be realized. These factors include our expectation to generate sufficient future taxable income including future foreign source income, tax credits, operating loss carryforwards and management’s intent regarding the permanent reinvestment of the income from foreign subsidiaries. Stock-based compensation arrangements – The fair value of stock options is estimated on the date of grant using the Black-Scholes option pricing model. The model employs various assumptions, based on management’s best estimates at the time of grant, which impact the calculation of fair value and ultimately, the amount of expense that is recognized over the life of the stock option award. Of the required assumptions, the expected volatility of our stock price and the stock price in relation to the strike price have the most significant impact on the fair value calculation. We have utilized historical data and analyzed current information which reasonably support these assumptions. The fair value of our restricted stock awards and common stock units is determined based on the market value of our common stock on the date of grant. Unearned stock-based compensation is charged to stockholders’ equity when restricted stock awards are granted. The fair value of our stock-based performance units is estimated using the Monte Carlo simulation method. Since these awards are settled in cash at the end of a defined performance period, they are classified as a liability and are re-measured quarterly until settlement. Our stock-based compensation expense is recognized based on management’s best estimate of the awards that are expected to vest, using the straight-line attribution method for all service-based awards with a graded vesting feature. If actual forfeiture results are different than expected, adjustments to recognized compensation expense may be required in future periods. |
Accounting Standards
Accounting Standards | 12 Months Ended |
Dec. 31, 2015 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Accounting Standards | Accounting Standards Not Yet Adopted In July 2015, the FASB issued an update that requires an entity to measure inventory at the lower of cost and net realizable value. This excludes inventory measured using LIFO or the retail inventory method. This standard is effective for us in the first quarter of 2017 and will be applied prospectively. Early adoption is permitted. We do not expect the adoption of this standard to have a significant impact on our consolidated results of operations, financial position or cash flows. In May 2015, the FASB issued an update that removes the requirement to categorize within the fair value hierarchy all investments for which fair value is measured using the net asset value per share practical expedient. The amendment also removes certain disclosure requirements regarding all investments that are eligible to be measured using the net asset value per share practical expedient and only requires certain disclosures on those investments for which an entity elects to use the net asset value per share expedient. This standard is effective for us in the first quarter of 2016 and will be applied on a retrospective basis. Early adoption is permitted. This standard only modifies disclosure requirements; as such, there will be no impact on our consolidated results of operations, financial position or cash flows. In February 2015, the FASB issued an amendment to the guidance for determining whether an entity is a variable interest entity ("VIE"). The standard does not add or remove any of the five characteristics that determine if an entity is a VIE. However, it does change the manner in which a reporting entity assesses one of the characteristics. In particular, when decision-making over the entity’s most significant activities has been outsourced, the standard changes how a reporting entity assesses if the equity holders at risk lack decision making rights. This standard is effective for us for annual periods beginning after December 15, 2015 and early adoption is permitted, including in interim periods. We do not expect the adoption of this standard to have a significant impact on our consolidated results of operations, financial position or cash flows. In August 2014, the FASB issued an update that requires management to assess an entity’s ability to continue as a going concern by incorporating and expanding upon certain principles that are currently in U.S. auditing standards. This standard is effective for us in the first quarter of 2017 and early adoption is permitted. We do not expect the adoption of this standard to have a significant impact on our consolidated results of operations, financial position or cash flows. In May 2014 and August 2015, the FASB issued an update that supersedes the existing revenue recognition requirements. This standard includes a five-step revenue recognition model to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. Among other things, the standard requires enhanced disclosures about revenue, provides guidance for transactions that were not previously addressed comprehensively and improves guidance for multiple-element arrangements. This standard is effective for us in the first quarter of 2018 and should be applied retrospectively to each prior reporting period presented or with the cumulative effect of initially applying the update recognized at the date of initial application. Early adoption is permitted. We are evaluating the provisions of this accounting standards update and assessing the impact, if any, it may have on our consolidated results of operations, financial position or cash flows. |
New Accounting Pronouncements and Changes in Accounting Principles [Text Block] | Recently Adopted In November 2015, the FASB issued an update that requires an entity to classify deferred income tax liabilities and assets as noncurrent in a classified statement of financial position. The amendments are effective for us in the first quarter of 2017 and early adoption is permitted. We elected to early adopt these amendments in the fourth quarter of 2015 on a prospective basis. Adoption of this standard did not have a significant impact on our consolidated results of operations, financial position or cash flows. In April 2015, the FASB issued an update that requires debt issuance costs to be presented in the balance sheet as a direct reduction from the associated debt liability. This standard is effective for us in the first quarter of 2016 and early adoption is permitted. We elected to early adopt these amendments in the fourth quarter of 2015 on a retrospective basis. Adoption of this standard did not have a significant impact on our consolidated results of operations, financial position or cash flows. In April 2014, the FASB issued an amendment to accounting standards that changes the criteria for reporting discontinued operations while enhancing related disclosures. Under the amendment, only disposals representing a strategic shift in operations should be presented as discontinued operations. Those strategic shifts should have a major effect on the organization’s operations and financial results. Expanded disclosures about the assets, liabilities, income and expenses of discontinued operations are required. In addition, disclosure of the pretax income attributable to a disposal of a significant part of an organization that does not qualify for discontinued operations reporting will be made in order to provide users with information about the ongoing trends in an organization’s results from continuing operations. The amendments were effective for us in the first quarter of 2015. Adoption of this standard did not have a significant impact on our consolidated results of operations, financial position or cash flows. |
Variable Interest Entities
Variable Interest Entities | 12 Months Ended |
Dec. 31, 2015 | |
Variable Interest Entities Disclosure [Abstract] | |
Variable Interest Entities | Variable Interest Entities The owners of the AOSP, in which we hold a 20% undivided interest, contracted with a wholly owned subsidiary of a publicly traded Canadian limited partnership ("Corridor Pipeline") to provide materials transportation capabilities among the Muskeg River and Jackpine mines, the Scotford upgrader and markets in Edmonton. The contract, originally signed in 1999 by a company we acquired, allows each holder of an undivided interest in the AOSP to ship materials in accordance with its undivided interest. Costs under this contract are accrued and recorded on a monthly basis, with a $2 million current liability recorded at December 31, 2015 and $3 million at December 31, 2014 . Under this agreement, the AOSP absorbs all of the operating and capital costs of the pipeline. Currently, no third-party shippers use the pipeline. Should shipments be suspended, by choice or due to force majeure, we remain responsible for the portion of the payments related to our undivided interest for all remaining periods. The contract expires in 2029; however, the shippers can extend its term perpetually. This contract qualifies as a variable interest contractual arrangement and the Corridor Pipeline qualifies as a VIE. We hold a variable interest but are not the primary beneficiary because our shipments are only 20% of the total; therefore the Corridor Pipeline is not consolidated by us. Our maximum exposure to loss as a result of our involvement with this VIE is the amount we expect to pay over the contract term, which was $447 million as of December 31, 2015 . The liability on our books related to this contract at any given time will reflect amounts due for the immediately previous month’s activity, which is substantially less than the maximum exposure over the contract term. We have not provided financial assistance to Corridor Pipeline and we do not have any guarantees of such assistance in the future. |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2015 | |
Business Combinations [Abstract] | |
Business Combination Disclosure [Text Block] | Acquisitions 2014 - North America E&P In the fourth quarter of 2014, we acquired additional acres in the SCOOP, at a cost of $58 million after final settlement adjustments. In the third quarter of 2014, we acquired acreage in the Oklahoma Resource Basins at a cost of $68 million after final settlement adjustments. 2013 - North America E&P In July 2013, we acquired additional acreage in the Eagle Ford in a transaction valued at $97 million , including a carried interest of $23 million which was fully satisfied in 2014. The transaction was accounted for as a business combination, with the entire up-front cash consideration of $74 million allocated to property, plant and equipment at the acquisition date. The fair values of assets acquired and liabilities assumed in the business combination were measured primarily using an income approach, specifically utilizing a discounted cash flow analysis. The estimated fair values were based on significant inputs not observable in the market, and therefore represent Level 3 measurements. Significant inputs included estimated reserve volumes, the expected future production profile, estimated commodity prices and assumptions regarding future operating and development costs and a discount rate of approximately 10 %. The pro forma impact of these transactions, individually and in the aggregate, is not material to our consolidated statements of income for any periods presented. |
Dispositions
Dispositions | 12 Months Ended |
Dec. 31, 2015 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Dispositions | Dispositions 2015 - North America E&P Segment In November 2015, we entered into an agreement to sell our operated producing properties in the greater Ewing Bank area and non-operated producing interests in the Petronius and Neptune fields in the Gulf of Mexico. The transaction closed in December 2015, excluding the Neptune field, for proceeds of $111 million . A $228 million pretax gain was recorded in the fourth quarter of 2015. Assets held for sale in the December 31, 2015 consolidated balance sheet were related to the Neptune field that was pending at that date and included $31 million in total assets and $54 million of total liabilities. The Neptune field transaction closed during the first quarter of 2016 for cash proceeds of $4 million . In August 2015, we closed the sale of our East Texas, North Louisiana and Wilburton, Oklahoma natural gas assets for proceeds of $ 100 million and recorded a pretax loss of $ 1 million . During the second quarter of 2015, we recorded a non-cash impairment charge of $44 million related to these assets (see Note 15 ). 2015 - International E&P Segment In September 2015, we entered into agreements to sell our East Africa exploration acreage in Ethiopia and Kenya. A pretax loss of $ 109 million was recorded in the third quarter of 2015. The Kenya transaction closed in February 2016 and the Ethiopia transaction is expected to close in the first quarter of 2016. Cash proceeds for both transactions are expected to be $10 million , before closing adjustments. 2014 - North America E&P Segment In June 2014, we closed the sale of non-core acreage located in the far northwest portion of the Williston Basin for proceeds of $90 million . A pretax loss of $91 million was recorded in the second quarter of 2014. 2014 - International E&P Segment In June 2014, we entered into an agreement to sell our Norway business, including the operated Alvheim FPSO, 10 operated licenses and a number of non-operated licenses on the Norwegian Continental Shelf in the North Sea. The transaction closed in the fourth quarter of 2014 for proceeds of $2.1 billion , before netting $589 million cash transferred to the buyer. A $976 million after-tax gain on the sale of Norway business was recorded in the fourth quarter of 2014. Included in this after-tax gain is a deferred tax benefit reflecting our ability to utilize foreign tax credits that otherwise would have needed a valuation allowance. Our Norway business is reflected as discontinued operations in the consolidated statements of income and the consolidated statements of cash flows for the periods prior to and including 2014. Select amounts reported in discontinued operations were as follows: Year Ended December 31, (In millions) 2014 2013 Revenues applicable to discontinued operations $ 1,981 $ 3,176 Pretax income from discontinued operations $ 1,693 $ 2,537 Pretax gain on disposition of discontinued operations $ 1,406 $ — In the first quarter of 2014, we closed the sales of our 10% non-operated working interests in the Production Sharing Contracts and Joint Operating Agreements for Angola Blocks 31 and 32 for aggregate proceeds of approximately $2 billion . A $532 million after-tax gain on the sale of our Angola assets was recorded in 2014. Included in this after-tax gain is a deferred tax benefit reflecting our ability to utilize foreign tax credits that otherwise would have needed a valuation allowance. Our Angola operations are reflected as discontinued operations in the consolidated statements of income and the consolidated statements of cash flows for the periods prior to and including 2014. Select amounts reported in discontinued operations were as follows: Year Ended December 31, (In millions) 2014 2013 Revenues applicable to discontinued operations $ 58 $ 361 Pretax income from discontinued operations $ 51 $ 247 Pretax gain on disposition of discontinued operations $ 426 $ — 2013 - North America E&P Segment In June 2013, we closed the sale of our interests in the DJ Basin for proceeds of $19 million . A pretax loss of $114 million was recorded in the second quarter of 2013. In February 2013, we conveyed our interests in the Marcellus natural gas shale play to the operator. A $43 million pretax loss was recorded in the first quarter of 2013. In February 2013, we closed the sale of our interest in the Neptune gas plant, located onshore Louisiana, for proceeds of $166 million . A $98 million pretax gain was recorded in the first quarter of 2013. In January 2013, we closed the sale of our assets in Alaska, for proceeds of $195 million , subject to a six-month escrow of $50 million which was collected in July 2013. After closing adjustments were made in the second quarter of 2013, the pretax gain on this sale was $55 million . 2013 - International E&P Segment In the fourth quarter of 2013, we transferred our 45% working interest and operatorship in the Safen block in the Kurdistan Region of Iraq at a pretax loss of $17 million . |
Income per Common Share
Income per Common Share | 12 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
Income per Common Share | Income (Loss) per Common Share Basic income (loss) per share is based on the weighted average number of common shares outstanding. Diluted income per share assumes exercise of stock options in all years and stock appreciation rights in 2013, provided the effect is not antidilutive. The per share calculations below exclude 13 million , 4 million and 5 million stock options in 2015 , 2014 and 2013 that were antidilutive. Year Ended December 31, (In millions, except per share data) 2015 2014 2013 Income (loss) from continuing operations $ (2,204 ) $ 969 $ 931 Discontinued operations — 2,077 822 Net income (loss) $ (2,204 ) $ 3,046 $ 1,753 Weighted average common shares outstanding 677 680 705 Effect of dilutive securities — 3 4 Weighted average common shares, diluted 677 683 709 Per basic share: Income (loss) from continuing operations $ (3.26 ) $ 1.42 $ 1.32 Discontinued operations $ — $ 3.06 $ 1.17 Net income (loss) $ (3.26 ) $ 4.48 $ 2.49 Per diluted share: Income (loss) from continuing operations $ (3.26 ) $ 1.42 $ 1.31 Discontinued operations $ — $ 3.04 $ 1.16 Net income (loss) $ (3.26 ) $ 4.46 $ 2.47 |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2015 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information We have three reportable operating segments. Each of these segments is organized and managed based upon both geographic location and the nature of the products and services it offers: • North America E&P ("N.A. E&P") – explores for, produces and markets crude oil and condensate, NGLs and natural gas in North America; • International E&P ("Int'l E&P") – explores for, produces and markets crude oil and condensate, NGLs and natural gas outside of North America and produces and markets products manufactured from natural gas, such as LNG and methanol, in E.G.; and • Oil Sands Mining (“OSM”) – mines, extracts and transports bitumen from oil sands deposits in Alberta, Canada, and upgrades the bitumen to produce and market synthetic crude oil and vacuum gas oil. Information regarding assets by segment is not presented because it is not reviewed by the chief operating decision maker (“CODM”). Segment income represents income from continuing operations excluding certain items not allocated to segments, net of income taxes, attributable to the operating segments. A portion of our corporate and operations support general and administrative costs are not allocated to the operating segments. These unallocated costs primarily consist of employment costs (including pension effects), professional services, facilities and other costs associated with corporate and operations support activities. Gains or losses on dispositions, certain impairments, change in tax expense associated with a tax rate change, unrealized gains or losses on crude oil derivative instruments, or other items that affect comparability (as determined by the CODM) also are not allocated to operating segments. As discussed in Note 5 , we closed the sale of our Angola assets in the first quarter of 2014 and our Norway business in the fourth quarter of 2014, and both are reflected as discontinued operations and excluded from the International E&P segment for 2014 and 2013. Year Ended December 31, 2015 Not Allocated (In millions) N.A. E&P Int'l E&P OSM to Segments Total Sales and other operating revenues $ 3,358 $ 728 $ 815 $ 50 (c) $ 4,951 Marketing revenues 396 103 72 — 571 Total revenues 3,754 831 887 50 5,522 Income (loss) from equity method investments — 157 — (12 ) (d) 145 Net gain on disposal of assets and other income 24 27 21 122 (e) 194 Less: Production expenses 724 255 715 — 1,694 Marketing costs 401 99 69 — 569 Exploration expenses 362 101 — 855 (f) 1,318 Depreciation, depletion and amortization 2,377 295 236 49 2,957 Impairments 2 — 5 745 (g) 752 Other expenses (a) 462 92 34 440 (h) 1,028 Taxes other than income 215 — 18 1 234 Net interest and other — — — 267 267 Income tax provision (benefit) (279 ) 61 (56 ) (480 ) (i) (754 ) Segment income (loss)/Income (loss) from continuing operations $ (486 ) $ 112 $ (113 ) $ (1,717 ) $ (2,204 ) Capital expenditures (b) $ 2,553 $ 368 $ (10 ) $ 25 $ 2,936 (a) Includes other operating expenses and general and administrative expenses. (b) Includes accruals. (c) Unrealized gain on crude oil derivative instruments. (d) Partial impairment of investment in equity method investee (See Note 15 ). (e) Primarily related to gain on sale of our properties and interests in the Gulf of Mexico, partially offset by the loss on sale of East Africa exploration acreage (see Note 5 ). (f) Unproved property impairments associated with lower forecasted commodity prices and change in conventional exploration strategy (See Note 13 ). (g) Goodwill impairment (see Note 14 ) and proved property impairments (see Note 15 ). (h) Includes pension settlement loss of $119 million (see Note 20 ) and severance related expenses associated with workforce reductions of $ 55 million . (i) Includes $135 million of deferred tax expense related to Alberta provincial corporate tax rate increase (see Note 9 ). Year Ended December 31, 2014 Not Allocated (In millions) N.A. E&P Int'l E&P OSM to Segments Total Sales and other operating revenues $ 5,770 $ 1,410 $ 1,556 $ — $ 8,736 Marketing revenues 1,839 219 52 — 2,110 Total revenues 7,609 1,629 1,608 — 10,846 Income from equity method investments — 424 — — 424 Net gain (loss) on disposal of assets and other income 23 57 4 (96 ) (c) (12 ) Less: Production expenses 891 386 969 — 2,246 Marketing costs 1,836 217 52 — 2,105 Exploration expenses 608 185 — — 793 Depreciation, depletion and amortization 2,342 269 206 44 2,861 Impairments 23 — — 109 (d) 132 Other expenses (a) 473 197 54 392 (e) 1,116 Taxes other than income 385 — 20 1 406 Net interest and other — — — 238 238 Income tax provision (benefit) 381 288 76 (353 ) 392 Segment income/Income from continuing operations $ 693 $ 568 $ 235 $ (527 ) $ 969 Capital expenditures (b) $ 4,698 $ 534 $ 212 $ 51 $ 5,495 (a) Includes other operating expenses and general and administrative expenses. (b) Includes accruals. (c) Primarily related to the sale of non-core acreage in our North America E&P segment ( See Note 5 ). (d) Proved Property impairments (See Note 15 ) (e) Includes pension settlement loss of $99 million (See Note 20 ). Year Ended December 31, 2013 Not Allocated (In millions) N.A. E&P Int'l E&P OSM to Segments Total Sales and other operating revenues $ 5,068 $ 2,654 $ 1,576 $ (52 ) (c) $ 9,246 Marketing revenues 1,797 264 18 — 2,079 Total revenues 6,865 2,918 1,594 (52 ) 11,325 Income from equity method investments — 427 — (4 ) (d) 423 Net gain (loss) on disposal of assets and other income 12 50 5 (32 ) (e) 35 Less: Production expenses 797 359 1,000 — 2,156 Marketing costs 1,796 262 18 — 2,076 Exploration expenses 725 166 — — 891 Depreciation, depletion and amortization 1,927 331 218 24 2,500 Impairments 41 — — 55 (f) 96 Other expenses (a) 420 161 66 401 (g) 1,048 Taxes other than income 318 — 22 5 345 Net interest and other — — — 278 278 Income tax provision (benefit) 324 1,358 69 (289 ) 1,462 Segment income/Income from continuing operations $ 529 $ 758 $ 206 $ (562 ) $ 931 Capital expenditures (b) $ 3,649 $ 456 $ 286 $ 58 $ 4,449 (a) Includes other operating expenses and general and administrative expenses. (b) Includes accruals. (c) Unrealized loss on crude oil derivative instruments (see Note 16 ). (d) EGHoldings impairment (See Note 15 ). (e) Related to the disposal of assets from our North America E&P Segment (see Note 5 ). (f) Proved property impairments (see Note 15 ). (g) Includes pension settlement loss of $45 million (see Note 20 ). Revenues from external customers are attributed to geographic areas based upon selling location. The following summarizes revenues from external customers by geographic area. Year Ended December 31, (In millions) 2015 2014 2013 United States $ 3,804 $ 7,609 $ 6,813 Canada 887 1,608 1,594 Libya (a) — 244 1,106 Other international 831 1,385 1,812 Total revenues $ 5,522 $ 10,846 $ 11,325 (a) See Note 12 for discussion of Libya operations. In 2015 , sales to Irving Oil and Shell Oil and each of their respective affiliates accounted for approximately 13% and 11% of our total revenues. In 2014 , sales to Shell Oil and its affiliates accounted for approximately 10% of our total revenues. In 2013 , Statoil, the purchaser of the majority of our Libyan crude oil, accounted for approximately 10% of our total revenues Revenues by product line were: Year Ended December 31, (In millions) 2015 2014 2013 Crude oil and condensate $ 3,963 $ 8,170 $ 8,688 Natural gas liquids 203 371 313 Natural gas 464 693 693 Synthetic crude oil 781 1,525 1,542 Other 111 87 89 Total revenues $ 5,522 $ 10,846 $ 11,325 The following summarizes property, plant and equipment and equity method investments. December 31, (In millions) 2015 2014 United States $ 15,353 $ 16,518 Canada 9,197 9,802 Equatorial Guinea 1,917 1,949 Other international 1,597 1,884 Total long-lived assets $ 28,064 $ 30,153 |
Other Items
Other Items | 12 Months Ended |
Dec. 31, 2015 | |
Interest and Other Income [Abstract] | |
Interest and Other Income [Text Block] | Other Items Net interest and other Year Ended December 31, (In millions) 2015 2014 2013 Interest: Interest income $ 9 $ 7 $ 5 Interest expense (358 ) (309 ) (319 ) Income on interest rate swaps 11 12 9 Interest capitalized 26 20 12 Total interest (312 ) (270 ) (293 ) Other: Net foreign currency gains 23 21 14 Other 22 11 1 Total other 45 32 15 Net interest and other $ (267 ) $ (238 ) $ (278 ) Foreign currency – Aggregate foreign currency gains were included in the consolidated statements of income as follows: Year Ended December 31, (In millions) 2015 2014 2013 Net interest and other $ 23 $ 21 $ 14 Provision for income taxes (11 ) (12 ) (2 ) Aggregate foreign currency gains $ 12 $ 9 $ 12 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Income tax provisions (benefits) for continuing operations were: Year Ended December 31, 2015 2014 2013 (In millions) Current Deferred Total Current Deferred Total Current Deferred Total Federal $ (43 ) $ (687 ) $ (730 ) $ 15 $ 62 $ 77 $ 83 $ (47 ) $ 36 State and local (8 ) (18 ) (26 ) 8 (58 ) (50 ) 39 (6 ) 33 Foreign 103 (101 ) 2 281 84 365 1,374 19 1,393 Total $ 52 $ (806 ) $ (754 ) $ 304 $ 88 $ 392 $ 1,496 $ (34 ) $ 1,462 A reconciliation of the federal statutory income tax rate applied to income (loss) from continuing operations before income taxes to the provision (benefit) for income taxes follows: Year Ended December 31, 2015 2014 2013 Statutory rate applied to income (loss) from continuing operations before income taxes (35 )% 35 % 35 % Effects of foreign operations, including foreign tax credits (2 ) (6 ) 26 Change in permanent reinvestment assertion — (19 ) — Adjustments to valuation allowances 3 21 (1 ) Change in tax law 5 — — Goodwill impairment 4 — — Other — (2 ) 1 Effective income tax expense (benefit) rate on continuing operations (25 )% 29 % 61 % The effective income tax rate is influenced by a variety of factors including the geographic and functional sources of income and the relative magnitude of these sources of income. The difference between the total provision and the sum of the amounts allocated to segments appears in the "Not Allocated to Segments" column of the tables in Note 7 . Effects of foreign operations – The effects of foreign operations on our effective tax rate decreased in 2015 and 2014 as compared to 2013 , due to a shift in pretax income mix between high and low tax jurisdictions. This is primarily related to decreased sales in Libya in 2015 and 2014 where the tax rate is in excess of 90% . Excluding Libya, the effective tax rates on continuing operations would be a benefit of 25% in 2015 and expense of 27% and 38% in 2014 and 2013 . Change in permanent reinvestment assertion – In the second quarter of 2015, we reviewed our operations and concluded that we do not have the same level of capital needs outside the U.S. as previously expected. Therefore, we no longer intend for previously unremitted foreign earnings of approximately $1 billion associated with our Canadian operations to be permanently reinvested outside the U.S. We anticipate foreign tax credits associated with these Canadian earnings would be sufficient to offset any incremental U.S. tax liabilities, and therefore, no additional net deferred taxes were recorded in the second quarter of 2015. As such, none of Marathon Oil’s foreign earnings remain permanently reinvested abroad. In the second quarter of 2014, we reviewed our foreign operations, including the disposition of our Norway business, and concluded that our foreign operations did not have the same level of immediate capital needs as previously expected. Therefore, we removed our assertion for previously unremitted foreign earnings associated with our U.K. operations to be permanently reinvested outside the U.S. The U.K. statutory tax rate was in excess of the U.S. statutory tax rate and therefore foreign tax credits associated with these earnings exceeded any incremental U.S. tax liabilities. Adjustments to valuation allowances – In 2015, we increased the valuation allowance against foreign tax credits because it is more likely than not that we will be unable to realize all U.S. benefits on foreign taxes accrued in 2015. Additionally, we increased the valuation allowance on deferred tax assets associated with our foreign operations as a result of pretax losses in certain jurisdictions. In 2014, we increased the valuation allowance against foreign tax credits as a result of removing the permanent reinvestment assertion on our U.K. operations since the U.K. statutory tax rate is in excess of the U.S. statutory tax rate per discussion above. Change in tax law – On June 29, 2015, the Alberta government enacted legislation to increase the provincial corporate tax rate from 10% to 12% . As a result of this legislation, we recorded additional non-cash deferred tax expense of $135 million in the second quarter of 2015. Deferred tax assets and liabilities resulted from the following: Year Ended December 31, (In millions) 2015 2014 Deferred tax assets: Employee benefits $ 260 $ 364 Operating loss carryforwards 563 245 Capital loss carryforwards 17 89 Foreign tax credits 4,335 4,062 Other credit carryforwards 35 — Investments in subsidiaries and affiliates 17 — Other 73 116 Valuation allowances: Federal (2,820 ) (2,775 ) State, net of federal benefit (56 ) (58 ) Foreign (162 ) (108 ) Total deferred tax assets 2,262 1,935 Deferred tax liabilities: Property, plant and equipment 3,376 3,737 Investments in subsidiaries and affiliates — 66 Other 105 67 Total deferred tax liabilities 3,481 3,870 Net deferred tax liabilities $ 1,219 $ 1,935 Tax carryforwards – At December 31, 2015 our operating loss carryforwards includes $365 million from the U.S. that expire in 2035. Foreign operating loss carryforwards include $863 million from Canada that expire in 2029 through 2035, $208 million from the Kurdistan Region of Iraq that expire in 2016 through 2020, $84 million from Libya that expires in 2025 and $81 million from E.G. that expire in 2017 through 2020. State operating loss carryforwards of $1,415 million expire in 2016 through 2035. Foreign tax credit carryforwards of $3,798 million expire in 2022 through 2025. Valuation allowances – We consider whether it is more likely than not that some portion or all of our deferred tax assets will not be realized. In the event it is more likely than not that some portion or all of our deferred taxes will not be realized, such assets are reduced by a valuation allowance. The estimated realizability of the benefit of our deferred tax asset is based on certain estimates concerning future operating conditions (particularly as related to prevailing commodity prices), future financial conditions, income generated from foreign sources and our tax profile in the years that such operating loss carryforwards and tax credits may be claimed. Future increases to our valuation allowance are possible if our estimates and assumptions (particularly as they relate to downward revisions of our long-term commodity price forecasts) are revised such that they reduce estimates of future taxable income during the carryforward period. Federal valuation allowances increased $45 million in 2015 related to U.S. benefits on foreign taxes accrued in 2015. Federal valuation allowances decreased $222 million in 2014 primarily due to the sale of our Norway and Angola businesses. Federal valuation allowances increased $930 million in 2013 related to U.S. benefits on foreign taxes accrued in that year. Foreign valuation allowances increased $54 million in 2015 primarily due to deferred tax assets generated in the Kurdistan Region of Iraq, E.G. and Gabon. Foreign valuation allowances decreased $41 million in 2014 primarily due the disposal of our Angolan assets. Foreign valuation allowances decreased $61 million in 2013 primarily due to the disposal of our Indonesian assets. Net deferred tax liabilities were classified in the consolidated balance sheets as follows: December 31, (In millions) 2015 2014 Assets: Other current assets $ — $ 29 Other noncurrent assets 1,222 525 Liabilities: Other current liabilities — 3 Noncurrent deferred tax liabilities 2,441 2,486 Net deferred tax liabilities $ 1,219 $ 1,935 We elected to prospectively adopt Accounting Standards Update 2015-17, Balance Sheet Classification of Deferred Taxes, as of December 31, 2015, as disclosed in Note 2. Under this new guidance, we classify all deferred tax assets and liabilities and related valuation allowances as noncurrent. In accordance with a prospective adoption, we did not restate the balance sheet classification of deferred taxes for prior periods. We are continuously undergoing examination of our U.S. federal income tax returns by the IRS. Such audits have been completed through the 2009 tax year. In November 2015, we received Notices of Proposed Adjustment related to our 2010-2011 tax years. We anticipate receiving the final agent's report in 2016. We believe adequate provision has been made for federal income taxes and interest which may become payable for years not yet settled. Further, we are routinely involved in U.S. state income tax audits and foreign jurisdiction tax audits. We believe all other audits will be resolved within the amounts paid and/or provided for these liabilities. As of December 31, 2015 our income tax returns remain subject to examination in the following major tax jurisdictions for the tax years indicated: United States (a) 2004-2014 Canada 2010-2014 Equatorial Guinea 2007-2014 Libya 2012-2014 United Kingdom 2008-2014 (a) Includes federal and state jurisdictions. The following table summarizes the activity in unrecognized tax benefits: (In millions) 2015 2014 2013 Beginning balance $ 80 $ 146 $ 98 Additions for tax positions related to the current year — — 14 Additions for tax positions of prior years 1 11 66 Reductions for tax positions of prior years — (68 ) (25 ) Settlements (7 ) (9 ) (5 ) Statute of limitations (9 ) — (2 ) Ending balance $ 65 $ 80 $ 146 If the unrecognized tax benefits as of December 31, 2015 were recognized, $25 million would affect our effective income tax rate. As of December 31, 2015 , there are no material uncertain tax positions for which it is reasonably possible that the amount would significantly increase or decrease during the next twelve months. Interest and penalties are recorded as part of the tax provision and were $1 million , $6 million and $13 million related to unrecognized tax benefits in 2015 , 2014 and 2013 . As of December 31, 2015 and 2014 , $14 million and $16 million of interest and penalties were accrued related to income taxes. Pretax income (loss) from continuing operations included amounts attributable to foreign sources of $(654) million , $1,180 million and $2,336 million in 2015 , 2014 and 2013 . |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2015 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Liquid hydrocarbons, natural gas and bitumen are recorded at weighted average cost and carried at the lower of cost or market value. Supplies and other items consist principally of tubular goods and equipment which are valued at weighted average cost and reviewed periodically for obsol escence or impairment when market conditions indicate. December 31, (In millions) 2015 2014 Liquid hydrocarbons, natural gas and bitumen $ 35 $ 58 Supplies and other items 278 299 Inventories at cost $ 313 $ 357 |
Equity Method Investments and R
Equity Method Investments and Related Party Transactions (Notes) | 12 Months Ended |
Dec. 31, 2015 | |
Equity Method Investments Disclosure [Abstract] | |
Equity Method Investments and Related Party Transactions | Equity Method Investments and Related Party Transactions During 2015 , 2014 and 2013 only our equity method investees were considered related parties and they included: • EGHoldings, in which we have a 60% noncontrolling interest. EGHoldings is engaged in LNG production activity. • Alba Plant LLC, in which we have a 52% noncontrolling interest. Alba Plant LLC processes LPG. • AMPCO, in which we have a 45% interest. AMPCO is engaged in methanol production activity. Our equity method investments are summarized in the following table: Ownership as of December 31, (In millions) December 31, 2015 2015 2014 EGHoldings 60% $ 603 $ 693 Alba Plant LLC 52% 230 225 AMPCO 45% 169 194 Other investments 1 1 Total $ 1,003 $ 1,113 Dividends and partnership distributions received from equity method investees (excluding distributions that represented a return of capital previously contributed) were $178 million in 2015 , $451 million in 2014 and $435 million in 2013 . Summarized financial information for equity method investees is as follows: (In millions) 2015 2014 2013 Income data – year: Revenues and other income $ 769 $ 1,349 $ 1,444 Income from operations 313 826 849 Net income 280 728 727 Balance sheet data – December 31: Current assets $ 467 $ 639 Noncurrent assets 1,317 1,451 Current liabilities 211 371 Noncurrent liabilities 41 39 Revenues from related parties were $51 million , $56 million and $55 million in 2015 , 2014 and 2013 , with the majority related to EGHoldings in all years. Purchases from related parties were $207 million , $207 million and $242 million in 2015 , 2014 and 2013 with the majority related to Alba Plant LLC in all years. Current receivables from related parties at December 31, 2015 and 2014 , were $29 million , and $31 million . Payables to related parties were $5 million and $11 million at December 31, 2015 and 2014 , with the majority related to Alba Plant LLC. |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, Plant and Equipment December 31, (In millions) 2015 2014 North America E&P $ 15,226 $ 16,717 International E&P 2,533 2,741 Oil Sands Mining 9,197 9,455 Corporate 105 127 Net property, plant and equipment $ 27,061 $ 29,040 Our Libya operations continue to be impacted by civil unrest. Operations were interrupted in mid-2013 as a result of the shutdown of the Es Sider crude oil terminal, and although temporarily re-opened during the second half of 2014, production remains shut-in through early 2016. Considerable uncertainty remains around the timing of future production and sales levels. As of December 31, 2015 , our net property, plant and equipment investment in Libya is approximately $777 million , and total proved reserves (unaudited) in Libya are 235 mmboe. We and our partners in the Waha concessions continue to assess the situation and the condition of our assets in Libya. Our periodic assessment of the carrying value of our net property, plant and equipment in Libya specifically considers the net investment in the assets, the duration of our concessions and the reserves anticipated to be recoverable in future periods. The undiscounted cash flows related to our Libya assets continue to exceed the carrying value of $777 million by a significant amount. Deferred exploratory well costs were as follows: December 31, (In millions) 2015 2014 2013 Amounts capitalized less than one year after completion of drilling $ 352 $ 484 $ 512 Amounts capitalized greater than one year after completion of drilling 85 126 281 Total deferred exploratory well costs $ 437 $ 610 $ 793 Number of projects with costs capitalized greater than one year after completion of drilling 2 3 7 (In millions) 2015 2014 2013 Beginning balance $ 610 $ 793 $ 617 Additions 610 647 624 Charges to expense (148 ) (45 ) (25 ) Transfers to development (635 ) (579 ) (414 ) Dispositions (a) — (206 ) (9 ) Ending balance $ 437 $ 610 $ 793 (a) Includes sale of Angola assets and Norway business in 2014. Exploratory well costs capitalized greater than one year after completion of drilling as of December 31, 2015 are summarized by geographical area below: (In millions) Gabon $ 63 E.G. 22 Total $ 85 Well costs that have been suspended for longer than one year are associated with two projects. Management believes these projects with suspended exploratory drilling costs exhibit sufficient quantities of hydrocarbons to justify potential development based on current plans. Gabon - The Diaba-1B well reached total depth in the third quarter of 2013. Additional 3D seismic data was acquired in 2014 in the western part of the block and depth processing continued through 2015. We continue to utilize this data to facilitate evaluation of additional resource potential on the offshore Diaba License to support decisions regarding the exploration program, with drilling currently planned for 2017. E.G. – The Corona well on Block D offshore E.G. was drilled in 2004, and we acquired an additional interest in the well in 2012. We plan to develop Block D through a unitization with the Alba field. Negotiations have been substantially completed and approval is expected in 2016. |
Impairment and Exploration Expe
Impairment and Exploration Expenses (Notes) | 12 Months Ended |
Dec. 31, 2015 | |
Impairments and Exploration Expenses [Abstract] | |
Impairments and Exploration Expenses [Text Block] | Impairments and Exploration Expenses During 2015, the continued decline of commodity prices resulted in downward revisions of our long-term commodity price assumptions and resulted in impairments of long-lived assets related to oil and gas producing properties. Further changes in management's forecast assumptions (including our Capital Program), or continued deterioration in commodity prices may cause us to reassess our long-lived assets and goodwill for impairment, and could result in impairment charges in the future. Impairments The following table summarizes impairment charges of proved properties: Year Ended December 31, (in millions) 2015 2014 2013 Total impairments $ 752 $ 132 $ 96 2015 - Impairments included $340 million million for the goodwill impairment of the North America E&P reporting unit, $335 million related to proved properties (primarily in Colorado and the Gulf of Mexico) as a result of lower forecasted commodity prices, and $44 million associated with our disposition of natural gas assets in East Texas, North Louisiana and Wilburton, Oklahoma. 2014 - Impairments of $132 million consisted primarily of proved properties in the Gulf of Mexico, Texas and North Dakota as a result of revisions to estimated abandonment costs and lower forecasted commodity prices. 2013 - Impairments of $96 million included an impairment to the second LNG production train in E.G. as a result of a change in E.G.'s natural gas policy related to the country's resources for $40 million , a $15 million impairment of our Powder River Basin assets as a result of our decision to wind down operations and other impairments of long-lived assets as a result of reduced drilling expectations, reductions of estimated reserves or decreased commodity prices. See Note 7 for relevant detail regarding segment presentation, Note 14 for further detail regarding the goodwill impairment and Note 15 for fair value measurements related to impairments of proved properties and long-lived assets. Exploration expense The following table summarizes the components of exploration expenses: Year Ended December 31, (In millions) 2015 2014 2013 Exploration Expenses Unproved property impairments $ 964 $ 306 $ 572 Dry well costs 250 317 148 Geological and geophysical 31 85 80 Other 73 85 91 Total exploration expenses $ 1,318 $ 793 $ 891 Unproved property impairments 2015 - Primarily due to changes in our conventional exploration strategy (Gulf of Mexico, Canadian in-situ assets and Harir block in the Kurdistan Region of Iraq), relinquishment of certain properties in the Gulf of Mexico, the operated Solomon exploration well in the Gulf of Mexico and our unproved property in Colorado as a result of the proved property impairment mentioned above. 2014 - Primarily consists of Eagle Ford and Bakken leases that either expired or we decided not to drill or extend. 2013 - Primarily consists of Eagle Ford leases that either expired or we decided not to drill or extend. See Note 7 for relevant detail regarding segment presentation of unproved property impairments. Dry well costs 2015 - Includes the operated Solomon exploration well in the Gulf of Mexico, our operated Sodalita West #1 exploratory well in E.G. and suspended well costs related our Canadian in-situ assets at Birchwood. 2014 - Includes the operated Key Largo well, outside-operated Perseus well and the outside operated second Shenandoah appraisal well, all of which are located in the Gulf of Mexico. In addition, 2014 also includes our exploration programs in Kurdistan Region of Iraq, Ethiopia and Kenya. 2013 - Primarily includes our exploration programs in Norway, Kurdistan Region of Iraq, Ethiopia, Kenya, Poland and Gulf of Mexico. |
Goodwill (Notes)
Goodwill (Notes) | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill Disclosure [Abstract] | |
Goodwill | Goodwill Goodwill is tested for impairment on an annual basis as of April 1 each year, or when events or changes in circumstances indicate the fair value of a reporting unit with goodwill may have been reduced below its carrying value. Goodwill is tested for impairment at the reporting unit level. Our reporting units are the same as our reporting segments, of which only North America E&P and International E&P include goodwill. We estimated the fair values of the North America E&P and International E&P reporting units using a combination of market and income approaches. Determining the fair value of a reporting unit requires judgment and the use of significant estimates and assumptions. The market approach referenced observable inputs specific to us and our industry, such as the price of our common equity, our enterprise value, and valuation multiples of us and our peers from the investor analyst community. The income approach utilized discounted cash flows, which were based on forecasted assumptions. Key assumptions to the income approach include: future liquid hydrocarbon and natural gas prices, estimated quantities of liquid hydrocarbon and natural gas proved and probable reserves, expected timing of production, discount rates, future capital requirements and operating expenses and tax rates. The assumptions used in the income approach are consistent with those that management uses to make business decisions. These valuation methodologies represent Level 3 fair value measurements. We believe the estimates and assumptions used in our impairment assessments are reasonable and based on available market information, but variations in such assumptions could result in materially different calculations of fair value and determinations of whether or not an impairment is indicated. We performed our annual impairment tests as of April 1 in 2015 , 2014 and 2013 and no impairment was required. The fair value of each of our reporting units with goodwill exceeded the book value. Subsequent to our goodwill impairment test in April 2015, triggering events (downward revisions to forecasted commodity price assumptions and sustained price declines in our common stock) required us to reassess our goodwill for impairment as of September 30, 2015 and December 31, 2015. We recorded an impairment of goodwill for the N.A. E&P reporting unit during the fourth quarter of 2015. While the fair value of our International E&P reporting unit exceeded book value, subsequent commodity price and/or common stock price declines may cause us to reassess our goodwill for impairment and could result in a non-cash impairment charge in the future. The table below displays the allocated beginning goodwill balances by segment along with changes in the carrying amount of goodwill for 2015 and 2014 : (In millions) N.A. E&P Int'l E&P OSM Total 2014 Beginning balance, gross $ 347 $ 152 $ 1,412 $ 1,911 Less: accumulated impairments — — (1,412 ) (1,412 ) Beginning balance, net 347 152 — 499 Dispositions (3 ) (37 ) — (40 ) Ending balance, net $ 344 $ 115 $ — $ 459 2015 Beginning balance, gross $ 344 $ 115 $ 1,412 $ 1,871 Less: accumulated impairments — — (1,412 ) (1,412 ) Beginning balance, net 344 115 — 459 Dispositions (4 ) — — (4 ) Impairment (340 ) — — (340 ) Ending balance, net $ — $ 115 $ — $ 115 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Fair values – Recurring The following tables present assets and liabilities accounted for at fair value on a recurring basis by hierarchy level. December 31, 2015 (In millions) Level 1 Level 2 Level 3 Total Derivative instruments, assets Commodity $ — $ 51 $ — $ 51 Interest rate — 8 — 8 Derivative instruments, assets $ — $ 59 $ — $ 59 Derivative instruments, liabilities Commodity $ — $ 1 $ — $ 1 Derivative instruments, liabilities $ — $ 1 $ — $ 1 December 31, 2014 (In millions) Level 1 Level 2 Level 3 Total Derivative instruments, assets Interest rate $ — $ 8 $ — $ 8 Derivative instruments, assets $ — $ 8 $ — $ 8 Commodity derivatives include three-way collars, extendable three-way collars and call options. These instruments are measured at fair value using either the Black-Scholes Model or the Black Model. Inputs to both models include prices, interest rates and implied volatility. The inputs to these models are categorized as Level 2 because predominantly all assumptions and inputs are observable in active markets throughout the term of the instruments. Interest rate swaps are measured at fair value with a market approach using actionable broker quotes which are Level 2 inputs. See Note 16 for additional discussion of the types of derivative instruments we use. Fair values – Nonrecurring The following table shows the values of assets, by major category, measured at fair value on a nonrecurring basis in periods subsequent to their initial recognition. 2015 2014 2013 (In millions) Fair Value Impairment Fair Value Impairment Fair Value Impairment Long-lived assets held for use $ 56 $ 412 $ 43 $ 132 $ 5 $ 96 Long-lived assets held for use that were impaired are discussed below. The fair values of each were measured using an income approach based upon internal estimates of future production levels, prices and discount rate, all of which are Level 3 inputs, unless otherwise noted. Inputs to the fair value measurement include reserve and production estimates made by our reservoir engineers, estimated future commodity prices adjusted for quality and location differentials and forecasted operating expenses for the remaining estimated life of the reservoir. North America E&P In the third quarter of 2015, impairments of $ 333 million were recorded primarily related to certain producing assets in Colorado and the Gulf of Mexico as a result of lower forecasted commodity prices, to an aggregate fair value of $ 41 million . During the second quarter of 2015, we recorded an impairment charge of $ 44 million related to East Texas, North Louisiana and Wilburton, Oklahoma natural gas assets as a result of the anticipated sale (See Note 5 ). The fair values were measured using a probability weighted income approach based on both the anticipated sale price and held-for-use model. In the third quarter of 2014, impairments of $53 million were recorded to Gulf of Mexico properties as a result of estimated abandonment cost and other revisions, to an aggregate fair value of $19 million . In addition, two fields were impaired a total of $47 million to an aggregate fair value of $24 million primarily due to lower forecasted commodity prices. The Ozona development in the Gulf of Mexico ceased production in 2013 and a $21 million impairment was recorded to write down the assets' remaining value. During 2014, we recorded additional impairments of $30 million as a result of abandonment cost revisions. Other impairments of long-lived assets held for use in 2015, 2014 and 2013 were a result of reduced drilling expectations, reductions of estimated reserves or decreased commodity prices. International E&P In the third quarter of 2015, a partial impairment of $12 million was recorded to an investment in an equity method investee as a result of lower forecasted commodity prices, to a fair value of $604 million . The impairment was reflected in income from equity method investments in our consolidated statement of income. In the fourth quarter of 2013, as a result of E.G.’s natural gas policy related to the country’s resources, we elected to cease our efforts to develop a second LNG production train on Bioko Island and recorded a $40 million impairment of all capitalized costs associated with engineering and feasibility studies. In addition, our share of income from EGHoldings included a $4 million impairment related to the same project, reflected in income from equity method investments in the 2013 consolidated statement of income. Oil Sands Mining In the fourth quarter of 2015, impairments of $26 million were recorded related to long-lived assets used in outside operated debottlenecking projects. Based on an evaluation by the operator, it was determined that the projects would not continue due to a need to reduce capital intensity and improve efficiency. Fair values – Financial instruments Our current assets and liabilities include financial instruments, the most significant of which are receivables, commercial paper and payables. We believe the carrying values of our receivables, commercial paper and payables approximate fair value. Our fair value assessment incorporates a variety of considerations, including (1) the short-term duration of the instruments, (2) our investment-grade credit rating and (3) our historical incurrence of and expected future insignificance of bad debt expense, which includes an evaluation of counterparty credit risk. The following table summarizes financial instruments, excluding receivables, commercial paper, payables and derivative financial instruments, and their reported fair value by individual balance sheet line item at December 31, 2015 and 2014 . December 31, 2015 2014 (In millions) Fair Value Carrying Amount Fair Value Carrying Amount Financial assets Other noncurrent assets $ 104 $ 118 $ 132 $ 129 Total financial assets $ 104 $ 118 $ 132 $ 129 Financial liabilities Other current liabilities $ 34 $ 33 $ 13 $ 13 Long-term debt, including current portion (a) 6,723 7,291 6,887 6,360 Deferred credits and other liabilities 97 95 69 68 Total financial liabilities $ 6,854 $ 7,419 $ 6,969 $ 6,441 (a) Excludes capital leases. Fair values of our financial assets included in other noncurrent assets, and of our financial liabilities included in other current liabilities and deferred credits and other liabilities, are measured using an income approach and most inputs are internally generated, which results in a Level 3 classification. Estimated future cash flows are discounted using a rate deemed appropriate to obtain the fair value. Most of our long-term debt instruments are publicly-traded. A market approach, based upon quotes from major financial institutions, which are Level 2 inputs, is used to measure the fair value of such debt. The fair value of our debt that is not publicly-traded is measured using an income approach. The future debt service payments are discounted using the rate at which we currently expect to borrow. All inputs to this calculation are Level 3. |
Derivatives
Derivatives | 12 Months Ended |
Dec. 31, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | Derivatives For further information regarding the fair value measurement of derivative instruments see Note 15 . See Note 1 for discussion of the types of derivatives we use and the reasons for them. All of our interest rate and commodity derivatives are subject to enforceable master netting arrangements or similar agreements under which we may report net amounts. The following tables present the gross fair values of derivative instruments and the reported net amounts along with where they appear on the consolidated balance sheets. December 31, 2015 (In millions) Asset Liability Net Asset Balance Sheet Location Fair Value Hedges Interest rate $ 8 $ — $ 8 Other noncurrent assets Total Designated Hedges $ 8 $ — $ 8 Not Designated as Hedges Commodity $ 51 $ 1 $ 50 Other current assets Total Not Designated as Hedges $ 51 $ 1 $ 50 Total $ 59 $ 1 $ 58 December 31, 2014 (In millions) Asset Liability Net Asset Balance Sheet Location Fair Value Hedges Interest rate $ 8 $ — $ 8 Other noncurrent assets Total Designated Hedges $ 8 $ — $ 8 Derivatives Designated as Fair Value Hedges The following table presents by maturity date, information about our interest rate swap agreements, including the weighted average, London Interbank Offer Rate (“LIBOR”)-based, floating rate. December 31, 2015 December 31, 2014 Aggregate Notional Amount Weighted Average, LIBOR-Based, Aggregate Notional Amount Weighted Average, LIBOR-Based, Maturity Dates (in millions) Floating Rate (in millions) Floating Rate October 1, 2017 $ 600 4.73 % $ 600 4.64 % March 15, 2018 $ 300 4.66 % $ 300 4.49 % The pretax effect of derivative instruments designated as hedges of fair value in our consolidated statements of income is summarized in the table below. There is no ineffectiveness related to the fair value hedges. Gain (Loss) Year Ended December 31, (In millions) Income Statement Location 2015 2014 2013 Derivative Interest rate Net interest and other $ — $ — $ (13 ) Foreign currency Discontinued operations — (36 ) (44 ) Hedged Item Long-term debt Net interest and other $ — $ — $ 13 Accrued taxes Discontinued operations — 36 44 The table above reflects foreign currency forwards that hedged the current Norwegian tax liability of our Norway business, which was reported as discontinued operations. The open positions were transferred to the purchaser of our Norway business upon closing of the sale in the fourth quarter of 2014. Derivatives Not Designated as Hedges During 2015, we entered into multiple crude oil derivatives indexed to NYMEX WTI related to a portion of our forecasted North America E&P sales through December 2016. These commodity derivatives consist of three-way collars, extendable three-way collars and call options. Three way-collars consist of a sold call (ceiling), a purchased put (floor) and a sold put. The ceiling price is the maximum we will receive for the contract crude oil volumes, the floor is the minimum price we will receive, unless the market price falls below the sold put strike price. In this case, we receive the NYMEX WTI price plus the difference between the floor and the sold put price. These commodity derivatives are shown in the table below: Financial Instrument Weighted Average Price Barrels per day Remaining Term Three-Way Collars Ceiling $60.03 10,000 January - March 2016 (a) Floor $50.20 Sold put $41.60 Ceiling $71.84 12,000 January- December 2016 Floor $60.48 Sold put $50.00 Ceiling $73.13 2,000 January- June 2016 (b) Floor $65.00 Sold put $50.00 Sold Call Options $72.39 10,000 January- December 2016 (c) (a) Counterparties have the option, exercisable on March 31, 2016, to extend these collars through September of 2016 at the same volume and weighted average price as the underlying three-way collars. (b) Counterparty has the option, exercisable on June 30, 2016, to extend these collars through the remainder of 2016 at the same volume and weighted average price as the underlying three-way collars. (c) Call options settle monthly. The impact of these crude oil derivative instruments appears in sales and other operating revenues in our consolidated statements of income and was a net gain of $ 128 million year to date December 31, 2015 . There were no crude oil derivative instruments during 2014. On June 1, 2015, we entered into Treasury rate locks, which expired on the same day, to hedge against timing differences as it related to our Notes offering (see Note 17 ). Following the execution of the Treasury locks, corresponding interest rates increased during the day of June 1. As a result, the settlement of the Treasury rate locks resulted in a gain of $ 6 million , which was recognized in net interest and other in our consolidated statements of income. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Debt | Debt Short-term debt As of December 31, 2015 , we had no borrowings against our unsecured revolving credit facility (as amended, the "Credit Facility"), as described below, or under our U.S. commercial paper program that is backed by the Credit Facility. Revolving Credit Facility In May 2015, we amended our $2.5 billion Credit Facility to increase by $500 million to a total of $3 billion and extended the maturity date by an additional year such that the Credit Facility now matures in May 2020. The amendment additionally provides us the ability to request two one-year extensions to the maturity date and an option to increase the commitment amount by up to an additional $500 million , subject to the consent of any increasing lenders. The sub-facilities for swing-line loans and letters of credit remain unchanged allowing up to an aggregate amount of $100 million and $500 million , respectively. Fees on the unused commitment of each lender, as well as the borrowing options under the Credit Facility, remain unchanged. The Credit Facility includes a covenant requiring that our ratio of total debt to total capitalization not exceed 65% as of the last day of each fiscal quarter. If an event of default occurs, the lenders holding more than half of the commitments may terminate the commitments under the Credit Facility and require the immediate repayment of all outstanding borrowings and the cash collateralization of all outstanding letters of credit under the Credit Facility. As of December 31, 2015 , we were in compliance with this covenant with a debt-to-capitalization ratio of 28% . Long-term debt The following table details our long-term debt: December 31, (In millions) 2015 2014 Senior unsecured notes: 0.900% notes due 2015 $ — $ 1,000 6.000% notes due 2017 (a) 682 682 5.900% notes due 2018 (a) 854 854 7.500% notes due 2019 (a) 228 228 2.700% notes due 2020 (a) 600 — 2.800% notes due 2022 (a) 1,000 1,000 9.375% notes due 2022 (b) 32 32 Series A notes due 2022 (b) 3 3 8.500% notes due 2023 (b) 70 70 8.125% notes due 2023 (b) 131 131 3.850% notes due 2025 (a) 900 — 6.800% notes due 2032 (a) 550 550 6.600% notes due 2037 (a) 750 750 5.200% notes due 2045 (a) 500 — Capital leases: Capital lease obligation of consolidated subsidiary due 2016 – 2049 9 9 Other obligations: 4.550% promissory note, semi-annual payments due 2015 — 68 5.125% obligation relating to revenue bonds due 2037 1,000 1,000 Total (b) 7,309 6,377 Unamortized discount (10 ) (8 ) Fair value adjustments (c) 17 22 Unamortized debt issuance cost (d) (39 ) (28 ) Amounts due within one year (1 ) (1,068 ) Total long-term debt $ 7,276 $ 5,295 (a) These notes contain a make-whole provision allowing us to repay the debt at a premium to market price. (b) In the event of a change in control, as defined in the related agreements, debt obligations totaling $236 million at December 31, 2015 may be declared immediately due and payable. (c) See Notes 15 and 16 for information on interest rate swaps. (d) After the adoption of the debt issuance costs standard, these costs are now reflected as a direct reduction from the associated debt liability in our consolidated balance sheets. See Note 2 for information. Debt Issuance On June 10, 2015, we issued $2 billion aggregate principal amount of unsecured senior notes which consist of the following series: • $600 million of 2.70% senior notes due June 1, 2020 • $900 million of 3.85% senior notes due June 1, 2025 • $500 million of 5.20% senior notes due June 1, 2045 Interest on each series of senior notes is payable semi-annually beginning December 1, 2015. We may redeem some or all of the senior notes at any time at the applicable redemption price, plus accrued interest, if any. The aggregate net proceeds were used to repay our $1 billion 0.90% senior notes that matured in November 2015, and the remainder for general corporate purposes. As of December 31, 2015 , we were in compliance with the covenants under the indenture governing the senior notes. The following table shows future long-term debt payments: (In millions) 2016 $ 1 2017 682 2018 854 2019 228 2020 600 Thereafter 4,944 Total long-term debt, including current portion $ 7,309 |
Asset Retirement Obligations (N
Asset Retirement Obligations (Notes) | 12 Months Ended |
Dec. 31, 2015 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Asset Retirement Obligations | Asset Retirement Obligations Asset retirement obligations primarily consist of estimated costs to remove, dismantle and restore land or seabed at the end of oil and gas production operations, including bitumen mining operations. Changes in asset retirement obligations were as follows: For Year Ended December 31, (In millions) 2015 2014 Beginning balance $ 1,958 $ 2,096 Incurred liabilities, including acquisitions 47 89 Settled liabilities, including dispositions (289 ) (426 ) Accretion expense (included in depreciation, depletion and amortization) 105 104 Revisions of estimates (132 ) 95 Held for sale (54 ) — Ending balance $ 1,635 $ 1,958 2015 Settled liabilities include dispositions, primarily in the Gulf of Mexico and the East Texas, North Louisiana and Wilburton, Oklahoma as well as retirements in the Gulf of Mexico and the U.K. Revisions of estimates were primarily due to changes in timing of activities in the U.K. and lower estimated costs across the assets. Held for sale is related to the Neptune field in the Gulf of Mexico. Ending balance includes $34 million classified as short-term at December 31, 2015 . 2014 Settled liabilities included the Norway and Angola dispositions. Ending balance includes $41 million classified as short-term at December 31, 2014. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 12 Months Ended |
Dec. 31, 2015 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | Supplemental Cash Flow Information Year Ended December 31, (In millions) 2015 2014 2013 Net cash used in operating activities: Interest paid (net of amounts capitalized) $ (325 ) $ (279 ) $ (289 ) Income taxes paid to taxing authorities (a) (171 ) (1,679 ) (3,904 ) Net cash provided by (used in) financing activities: Commercial paper, net: Issuances $ — $ 2,345 $ 10,870 Repayments — (2,480 ) (10,935 ) Commercial paper, net $ — $ (135 ) $ (65 ) Noncash investing activities, related to continuing operations: Asset retirement cost increase (decrease) $ (85 ) $ 151 $ 290 Increase in capital expenditure accrual — 335 6 Asset retirement obligations assumed by buyer 251 359 92 (a) Income taxes paid to taxing authorities includes $1,312 million and $2,270 million in 2014 , and 2013 related to discontinued operations. |
Defined Benefit Postretirement
Defined Benefit Postretirement Plans and Defined Contribution Plan (Notes) | 12 Months Ended |
Dec. 31, 2015 | |
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | |
Defined Benefit Postretirement Plans and Defined Contribution Plan | Defined Benefit Postretirement Plans and Defined Contribution Plan We have noncontributory defined benefit pension plans covering substantially all domestic employees as well as international employees located in the U.K and E.G. Benefits under these plans are based on plan provisions specific to each plan. For the U.K. pension plan, a final decision was reached with the plan trustees to close the plan to future benefit accruals effective December 31, 2015. We also have defined benefit plans for other postretirement benefits covering our U.S. employees. Health care benefits are provided up to age 65 through comprehensive hospital, surgical and major medical benefit provisions subject to various cost-sharing features. Post-age 65 health care benefits are provided to U.S. employees on a defined contribution basis. Life insurance benefits are provided to certain retiree beneficiaries. These other postretirement benefits are not funded in advance. Obligations and funded status – The following summarizes the obligations and funded status for our defined benefit pension and other postretirement plans. Pension Benefits Other Benefits 2015 2014 2015 2014 (In millions) U.S. Int’l U.S. Int’l U.S. U.S. Accumulated benefit obligation 518 579 793 610 260 279 Change in benefit obligations: Beginning balance $ 894 $ 651 $ 933 $ 649 $ 279 $ 279 Service cost 29 14 31 16 3 3 Interest cost 25 25 35 27 11 13 Plan amendment (a) (88 ) 1 — — — (42 ) Actuarial loss (gain) (b) 26 (29 ) 174 46 (20 ) 42 Foreign currency exchange rate changes — (35 ) — (39 ) — — Divestiture (c) — — — (29 ) — — Liability (gain)/loss due to curtailment (d) (18 ) (23 ) — — 2 — Settlements paid (335 ) — (271 ) — — — Benefits paid (8 ) (25 ) (8 ) (19 ) (15 ) (16 ) Ending balance $ 525 $ 579 $ 894 $ 651 $ 260 $ 279 Change in fair value of plan assets: Beginning balance $ 574 $ 622 $ 625 $ 597 $ — $ — Actual return on plan assets 8 8 59 59 — — Employer contributions 115 36 169 37 15 16 Foreign currency exchange rate changes — (33 ) — (39 ) — — Divestiture (c) — — — (13 ) — — Settlements paid (335 ) — (271 ) — — — Benefits paid (8 ) (25 ) (8 ) (19 ) (15 ) (16 ) Ending balance $ 354 $ 608 $ 574 $ 622 $ — $ — Funded status of plans at December 31 $ (171 ) $ 29 $ (320 ) $ (29 ) $ (260 ) $ (279 ) Amounts recognized in the consolidated balance sheets: Noncurrent assets — 29 — — — — Current liabilities (8 ) — (11 ) — (20 ) (19 ) Noncurrent liabilities (163 ) — (309 ) (29 ) (240 ) (260 ) Accrued benefit cost $ (171 ) $ 29 $ (320 ) $ (29 ) $ (260 ) $ (279 ) Pretax amounts in accumulated other comprehensive loss: Net loss (gain) $ 171 $ 61 $ 283 $ 91 $ 14 $ 34 Prior service cost (credit) (65 ) 4 10 8 (28 ) (41 ) (a) The plan amendment in 2015 was a freeze of the final average pay used in the legacy formula of the defined benefit pension plan. Activity in 2014 represents a change in plan design related to the health care benefits provided under the postretirement plan. (b) Activity in 2014 includes the increase in the U.S. pension and postretirement benefit obligations of $13 million and $15 million respectively, due to the adoption of the 2014 mortality table. (c) Related to the sale of our Norway business in the fourth quarter of 2014. (d) Related to workforce reductions, which reduced the future expected years of service for employees participating in the plans and the impact of discontinuing accruals for future benefits under the U.K. pension plan effective December 31, 2015. Components of net periodic benefit cost from continuing operations and other comprehensive (income) loss – The following summarizes the net periodic benefit costs and the amounts recognized as other comprehensive (income) loss for our defined benefit pension and other postretirement plans. Pension Benefits Other Benefits Year Ended December 31, Year Ended December 31, 2015 2014 2013 2015 2014 2013 (In millions) U.S. Int’l U.S. Int’l U.S. Int’l U.S. U.S. U.S. Components of net periodic benefit cost: Service cost $ 29 $ 14 $ 31 $ 16 $ 33 $ 17 $ 3 $ 3 $ 4 Interest cost 25 25 35 27 40 23 11 13 12 Expected return on plan assets (30 ) (37 ) (34 ) (32 ) (43 ) (24 ) — — — Amortization: - prior service cost (credit) (7 ) 1 5 1 6 1 (4 ) (6 ) (6 ) - actuarial loss 22 2 29 1 43 4 1 — — Net curtailment loss (gain) (a) (5 ) 4 — — — — (7 ) — — Net settlement loss (b) 119 — 99 — 45 — — — — Net periodic benefit cost (c) $ 153 $ 9 $ 165 $ 13 $ 124 $ 21 $ 4 $ 10 $ 10 Other changes in plan assets and benefit obligations recognized in other comprehensive (income) loss (pretax): Actuarial loss (gain) (d) $ 30 $ (25 ) $ 149 $ 33 $ (161 ) $ (15 ) $ (21 ) $ 42 $ (31 ) Amortization of actuarial gain (loss) (134 ) (2 ) (128 ) (1 ) (88 ) (4 ) (1 ) — — Prior service cost (credit) (89 ) 1 — — — — — (42 ) — Amortization of prior service credit (cost) 7 (5 ) (5 ) (1 ) (6 ) (1 ) 13 6 6 Total recognized in other comprehensive (income) loss $ (186 ) $ (31 ) $ 16 $ 31 $ (255 ) $ (20 ) $ (9 ) $ 6 $ (25 ) Total recognized in net periodic benefit cost and other comprehensive (income) loss $ (33 ) $ (22 ) $ 181 $ 44 $ (131 ) $ 1 $ (5 ) $ 16 $ (15 ) (a) Related to workforce reductions, which reduced the future expected years of service for employees participating in the plans and the impact of discontinuing accruals for future benefits under the U.K. pension plan effective December 31, 2015. (b) Settlement losses are recorded when lump sum payments from a plan in a period exceed the plan’s total service and interest costs for the period. Such settlements occurred in one or more of our U.S. pension plans in all periods presented. (c) Net periodic benefit cost reflects a calculated market-related value of plan assets which recognizes changes in fair value over three years. (d) Activity in 2014 includes the impact of the sale of our Norway business in the fourth quarter of 2014. The estimated net loss and prior service credit for our defined benefit pension plans that will be amortized from accumulated other comprehensive loss into net periodic benefit cost in 2016 are $12 million and $11 million . The estimated prior service credit for our other defined benefit postretirement plans that will be amortized from accumulated other comprehensive loss into net periodic benefit cost in 2016 is $3 million . Plan assumptions – The following summarizes the assumptions used to determine the benefit obligations at December 31, and net periodic benefit cost for the defined benefit pension and other postretirement plans for 2015 , 2014 and 2013 . Pension Benefits Other Benefits 2015 2014 2013 2015 2014 2013 (In millions) U.S. Int’l U.S. Int’l U.S. Int’l U.S. U.S. U.S. Weighted average assumptions used to determine benefit obligation: Discount rate 4.04 % 3.90 % 3.71 % 3.70 % 4.28 % 4.60 % 4.36 % 4.01 % 4.85 % Rate of compensation increase (a) 4.00 % — 4.00 % 3.60 % 5.00 % 4.90 % 4.00 % 4.00 % 5.00 % Weighted average assumptions used to determine net periodic benefit cost: Discount rate 3.79 % 3.70 % 3.98 % 4.60 % 3.79 % 4.40 % 3.93 % 4.69 % 4.06 % Expected long-term return on plan assets 6.75 % 5.70 % 6.75 % 5.70 % 7.25 % 4.90 % — — — Rate of compensation increase 4.00 % 3.60 % 5.00 % 4.90 % 5.00 % 4.50 % 4.00 % 5.00 % 5.00 % (a) No future benefits will be incurred for the UK plan after December 31, 2015. Therefore, rate of compensation increase is no longer applicable to this plan. Expected long-term return on plan assets – The expected long-term return on plan assets assumption for our U.S. funded plan is determined based on an asset rate-of-return modeling tool developed by a third-party investment group which utilizes underlying assumptions based on actual returns by asset category and inflation and takes into account our U.S. pension plan’s asset allocation. To determine the expected long-term return on plan assets assumption for our international plans, we consider the current level of expected returns on risk-free investments (primarily government bonds), the historical levels of the risk premiums associated with the other applicable asset categories and the expectations for future returns of each asset class. The expected return for each asset category is then weighted based on the actual asset allocation to develop the overall expected long-term return on plan assets assumption. Assumed weighted average health care cost trend rates 2015 2014 2013 Initial health care trend rate 8.00 % 6.88 % 6.89 % Ultimate trend rate 4.50 % 5.00 % 5.00 % Year ultimate trend rate is reached 2024 2024 2020 Employer provided subsidy for post-65 retiree health care coverage will only increase by the consumer price index (not to exceed 4%) each year. Company contributions are funded to a Health Reimbursement Account on the retiree’s behalf to subsidize the retiree’s cost of obtaining health care benefits through a private exchange. Therefore, a 1% change in health care cost trend rates would not have a material impact on either the service and interest cost components and the postretirement benefit obligations. Plan investment policies and strategies – The investment policies for our U.S. and international pension plan assets reflect the funded status of the plans and expectations regarding our future ability to make further contributions. Long-term investment goals are to: (1) manage the assets in accordance with applicable legal requirements; (2) produce investment returns which meet or exceed the rates of return achievable in the capital markets while maintaining the risk parameters set by the plan's investment committees and protecting the assets from any erosion of purchasing power; and (3) position the portfolios with a long-term risk/return orientation. Investment performance and risk is measured and monitored on an ongoing basis through quarterly investment meetings and periodic asset and liability studies. U.S. plan – The plan’s current targeted asset allocation is comprised of 55% equity securities and 45% other fixed income securities. Over time, as the plan’s funded ratio (as defined by the investment policy) improves, in order to reduce volatility in returns and to better match the plan’s liabilities, the allocation to equity securities will decrease while the amount allocated to fixed income securities will increase. The plan's assets are managed by a third-party investment manager. International plan – Our international plan's target asset allocation is comprised of 61% equity securities and 39% fixed income securities. The plan assets are invested in eight separate portfolios, mainly pooled fund vehicles, managed by several professional investment managers whose performance is measured independently by a third-party asset servicing consulting firm. Fair value measurements – Plan assets are measured at fair value. The following provides a description of the valuation techniques employed for each major plan asset class at December 31, 2015 and 2014 . Cash and cash equivalents – Cash and cash equivalents are valued using a market approach and are considered Level 1. This investment also includes a cash reserve account (a collective short-term investment fund) that is valued using an income approach and is considered Level 2. Equity securities – Investments in common stock, preferred stock, and real estate investment trusts ("REIT") are valued using a market approach at the closing price reported in an active market and are therefore considered Level 1. Private equity investments include interests in limited partnerships which are valued based on the sum of the estimated fair values of the investments held by each partnership. These private equity investments are considered Level 3. Investments in mutual funds are valued using a market approach. The shares or units held are traded on the public exchanges and are therefore considered Level 1. Investments in pooled funds are valued using a market approach at the net asset value ("NAV") of units held. The various funds consist of either an equity or fixed income investment portfolio with underlying investments held in U.S. and non-U.S. securities. Nearly all of the underlying investments are publicly-traded. The majority of the pooled funds are benchmarked against a relative public index. These are considered Level 2. Fixed income securities – Fixed income securities are valued using a market approach. U.S. treasury notes and exchange traded funds ("ETFs") are valued at the closing price reported in an active market and are considered Level 1. Corporate bonds and other bonds are valued using calculated yield curves created by models that incorporate various market factors. Primarily investments are held in U.S. and non-U.S. corporate bonds in diverse industries and are considered Level 2. Other bonds primarily consist of securities issued by governmental agencies and municipalities. The investment in the commingled fund is valued using the NAV of units held and is considered Level 2. The commingled fund consists of an equity and fixed income portfolio with underlying investments held in U.S. and non-U.S. securities. Pooled funds primarily have investments held in U.S. and non-U.S. publicly traded investment grade government and corporate bonds. Other – Other investments are comprised of an international insurance carrier contract and the majority of the underlying investments consist of a mix of non-U.S. publicly traded equity securities valued at the closing price reported in an active market and fixed income securities valued using calculated yield curves. This asset is considered Level 2. The other investments, an unallocated annuity contract, two limited liability companies and real estate are considered Level 3, as significant inputs to determine fair value are unobservable. The following tables present the fair values of our defined benefit pension plan's assets, by level within the fair value hierarchy, as of December 31, 2015 and 2014 . December 31, 2015 (In millions) Level 1 Level 2 Level 3 Total U.S. Int’l U.S. Int’l U.S. Int’l U.S. Int’l Cash and cash equivalents $ 47 $ 6 $ 1 $ — $ — $ — $ 48 $ 6 Equity securities: Common and preferred stock 115 — — — — — 115 — REIT and private equity 1 — — — 23 — 24 — Mutual and pooled funds — 218 — 152 — — — 370 Fixed income securities: U.S. treasury notes and ETFs 12 — — — — — 12 — Corporate and other bonds — — 105 — — — 105 — Commingled and pooled funds — — 23 232 — — 23 232 REIT and swaps — — 2 — — — 2 — Other — — — — 25 — 25 — Total investments, at fair value $ 175 $ 224 $ 131 $ 384 $ 48 $ — $ 354 $ 608 December 31, 2014 (In millions) Level 1 Level 2 Level 3 Total U.S. Int’l U.S. Int’l U.S. Int’l U.S. Int’l Cash and cash equivalents $ 26 $ 1 $ — $ — $ — $ — $ 26 $ 1 Equity securities: Common and preferred stock 230 — — — — — 230 — REIT and private equity — — — — 25 — 25 — Mutual and pooled funds — 221 — 164 — — — 385 Fixed income securities: U.S. treasury notes and ETFs 33 — — — — — 33 — Corporate and other bonds — — 190 — — — 190 — Commingled and pooled funds — — 40 236 — — 40 236 Other — — — — 30 — 30 — Total investments, at fair value $ 289 $ 222 $ 230 $ 400 $ 55 $ — $ 574 $ 622 The activity during the year ended December 31, 2015 and 2014 , for the assets using Level 3 fair value measurements was immaterial. Cash flows Estimated future benefit payments – The following gross benefit payments, which were estimated based on actuarial assumptions applied at December 31, 2015 and reflect expected future services, as appropriate, are to be paid in the years indicated. Pension Benefits Other Benefits (In millions) U.S. Int’l U.S. 2016 $ 61 $ 16 $ 21 2017 61 17 21 2018 59 20 20 2019 55 21 20 2020 53 22 20 2021 through 2025 224 125 89 Contributions to defined benefit plans – We expect to make contributions to the funded pension plans of up to $62 million in 2016 . Cash contributions to be paid from our general assets for the unfunded pension and postretirement plans are expected to be approximately $8 million and $21 million in 2016 . Contributions to defined contribution plans – We contribute to several defined contribution plans for eligible employees. Contributions to these plans totaled $20 million , $25 million and $27 million in 2015 , 2014 and 2013 . Additional Severance Obligation – We expect to make severance payments of approximately $8 million in 2016 related to the workforce reduction in 2015. |
Incentive Based Compensation Pl
Incentive Based Compensation Plans | 12 Months Ended |
Dec. 31, 2015 | |
Incentive Based Compensation Plans [Abstract] | |
Incentive Based Compensation | Incentive Based Compensation Description of stock-based compensation plans – The Marathon Oil Corporation 2012 Incentive Compensation Plan (the "2012 Plan") was approved by our stockholders in April 2012 and authorizes the Compensation Committee of the Board of Directors to grant stock options, SARs, stock awards (including restricted stock and restricted stock unit awards) and performance unit awards to employees. The 2012 Plan also allows us to provide equity compensation to our non-employee directors. No more than 50 million shares of our common stock may be issued under the 2012 Plan. For stock options and SARs, the number of shares available for issuance under the 2012 Plan will be reduced by one share for each share of our common stock in respect of which the award is granted. For stock awards (including restricted stock and restricted stock unit awards), the number of shares available for issuance under the 2012 Plan will be reduced by 2.41 shares for each share of our common stock in respect of which the award is granted. Shares subject to awards under the 2012 Plan that are forfeited, are terminated or expire unexercised become available for future grants. In addition, the number of shares of our common stock reserved for issuance under the 2012 Plan will not be increased by shares tendered to satisfy the purchase price of an award, exchanged for other awards or withheld to satisfy tax withholding obligations. Shares issued as a result of awards granted under the 2012 Plan are generally funded out of common stock held in treasury, except to the extent there are insufficient treasury shares, in which case new common shares are issued. After approval of the 2012 Plan, no new grants were or will be made from any prior plans. Any awards previously granted under any prior plans shall continue to be exercisable in accordance with their original terms and conditions. Stock-based awards under the plans Stock options – We grant stock options under the 2012 Plan. Our stock options represent the right to purchase shares of our common stock at its fair market value on the date of grant. In general, our stock options vest ratably over a three -year period and have a maximum term of ten years from the date they are granted. SARs - At December 31, 2015, there are no SARs outstanding. Restricted stock – We grant restricted stock under the 2012 Plan. The restricted stock awards granted to officers generally vest three years from the date of grant, contingent on the recipient’s continued employment. We also grant restricted stock to certain non-officer employees based on their performance within certain guidelines and for retention purposes. The restricted stock awards to non-officers generally vest ratably over a three -year period, contingent on the recipient’s continued employment. Prior to vesting, all restricted stock recipients have the right to vote such stock and receive dividends thereon. The non-vested shares of restricted stock are not transferable and are held by our transfer agent. Stock-based performance units – Beginning in 2013, we grant stock-based performance units to officers under the 2012 Plan. At the grant date, each unit represents the value of one share of our common stock. These units are settled in cash, and the amount of the payment is based on (1) the vesting percentage, which can be from zero to 200% based on performance achieved and (2) the value of our common stock on the date vesting is determined by the Compensation Committee of the Board of Directors. The performance goals are tied to our total shareholder return (“TSR”) as compared to TSR for a group of peer companies determined by the Compensation Committee of our Board of Directors. Dividend equivalents may accrue during the performance period and would be paid in cash at the end of the performance period based on the number of shares that would represent the value of the units. Restricted stock units – We maintain an equity compensation program for our non-employee directors under the 2012 Plan. All non-employee directors receive annual grants of common stock units. Common shares will be issued for units granted on or after January 1, 2012 upon completion of board service or three years from the date of grant, whichever is earlier. Any units granted prior to 2012 must be held until completion of board service, at which time the non-employee director will receive common shares. We also grant restricted stock units to certain non-officer international employees which generally vest ratably over a three-year period, contingent on the recipient's continued employment. Grants of restricted stock units to these non-officer international employees are based on their performance and for retention purposes. Common shares will be issued for these restricted stock units after vesting. Prior to vesting, recipients of restricted stock units typically receive dividend equivalent payments, but they may not vote. Total stock-based compensation expense – Total employee stock-based compensation expense was $57 million , $70 million and $70 million in 2015 , 2014 and 2013 , while the total related income tax benefits were $20 million , $25 million and $25 million in the same years. In 2015 , 2014 and 2013 , cash received upon exercise of stock option awards was $9 million , $136 million and $58 million . Tax benefits realized for deductions for stock awards settled during 2014 and 2013 totaled $51 million and $36 million . There were no tax benefits realized for deductions for stock awards settled during 2015 . Stock option awards – During 2015 , we granted stock option awards to officer employees. During 2014 and 2013 , we granted stock option awards to both officer and non-officer employees. The weighted average grant date fair value of these awards was based on the following weighted average Black-Scholes assumptions: 2015 2014 2013 Exercise price per share $29.06 $34.49 $33.54 Expected annual dividend yield 2.9 % 2.3 % 2.1 % Expected life in years 6.2 5.9 6.1 Expected volatility 32 % 38 % 38 % Risk-free interest rate 1.7 % 1.8 % 1.6 % Weighted average grant date fair value of stock option awards granted $6.84 $10.50 $10.25 The following is a summary of stock option award activity in 2015 . Number Weighted Average Weighted Average Remaining Average Intrinsic Value of Shares Exercise Price Contractual Term (in millions) Outstanding at beginning of year 13,427,836 $29.68 Granted 724,082 $29.06 Exercised (553,401) $16.85 Canceled (933,098) $32.99 Outstanding at end of year 12,665,419 $29.97 4 years $ — Exercisable at end of year 10,654,799 $29.50 3 years $ — Expected to vest 1,996,175 $32.45 8 years $ — The intrinsic value of stock option awards exercised during 2015 , 2014 and 2013 was $6 million , $83 million and $35 million . As of December 31, 2015 , unrecognized compensation cost related to stock option awards was $9 million , which is expected to be recognized over a weighted average period of one year. Restricted stock awards and restricted stock units – The following is a summary of restricted stock and restricted stock unit award activity in 2015 . Awards Weighted Average Grant Date Fair Value Unvested at beginning of year 3,448,353 $34.04 Granted 2,994,558 $28.90 Vested & Exercised (1,350,344 ) $33.40 Canceled (1,075,223 ) $32.70 Unvested at end of year 4,017,344 $30.76 The vesting date fair value of restricted stock awards which vested during 2015 , 2014 and 2013 was $26 million , $70 million and $59 million . The weighted average grant date fair value of restricted stock awards was $30.76 , $34.04 and $31.80 for awards unvested at December 31, 2015 , 2014 and 2013 . As of December 31, 2015 there was $86 million of unrecognized compensation cost related to restricted stock awards which is expected to be recognized over a weighted average period of one year. Stock-based performance unit awards – During 2015 , 2014 and 2013 we granted 382,335 , 221,491 and 353,600 stock-based performance unit awards to officers. At December 31, 2015 , there were 584,566 units outstanding. The key assumptions used in the Monte Carlo simulation to determine the fair value of stock-based performance units granted in 2015, 2014 and 2013 were: 2015 2014 2013 Valuation date stock price $12.59 $12.59 $12.98 Expected annual dividend yield 1.5 % 1.5 % 1.5 % Expected volatility 37 % 46 % 62 % Risk-free interest rate 1.1 % 0.7 % 0.1 % Fair value of stock-based performance units outstanding $7.08 $6.04 $0.18 Cash-based performance unit awards – Prior to 2013, cash-based performance unit awards were granted to officers that provide a cash payment upon the achievement of certain performance goals at the end of a defined measurement period. The performance goals are tied to our TSR as compared to TSR for a group of peer companies determined by the Compensation Committee of the Board of Directors. The target value of each performance unit is $1, with a maximum payout of $2 per unit, but the actual payout could be anywhere between zero and the maximum. Because performance units are to be settled in cash at the end of the performance period, they are accounted for as liability awards. During 2012, we granted 12.7 million performance units, all having a 36 -month performance period. During the third quarter of 2011, we granted 15 million performance units, a portion of which had a 30 -month performance period and a portion of which had an 18 -month performance period to reflect the remaining periods of the original 2011 and 2010 performance unit grants outstanding prior to the spin-off. Compensation expense associated with cash-based performance units was $5 million and $9 million in 2014 and 2013 . At December 31, 2014 all performance periods ended and no additional units have been granted. |
Reclassifications Out of Accumu
Reclassifications Out of Accumulated Other Comprehensive Income (Notes) | 12 Months Ended |
Dec. 31, 2015 | |
Reclassifications out of AccumulatedOtherComprehensiveIncome [Abstract] | |
Reclassification out of AOCI [Text Block] | Reclassifications Out of Accumulated Other Comprehensive Loss The following table presents a summary of amounts reclassified from accumulated other comprehensive loss to income (loss) from continuing operations in their entirety: Year Ended December 31, (In millions) 2015 2014 Income Statement Line Postretirement and postemployment plans Amortization of actuarial loss $ (24 ) $ (30 ) General and administrative Net settlement loss (119 ) (99 ) General and administrative Net curtailment gain 8 — General and administrative (135 ) (129 ) Income (loss) from operations 51 62 Provision for income taxes Other insignificant items, net of tax — (1 ) Total reclassifications $ (84 ) $ (68 ) Income (loss) from continuing operations |
Stockholders Equity (Notes)
Stockholders Equity (Notes) | 12 Months Ended |
Dec. 31, 2015 | |
Stockholders' Equity Attributable to Parent [Abstract] | |
Stockholders’ Equity | Stockholders’ Equity In 2014 we acquired 29 million common shares at a cost of $1 billion under our share repurchase program, initially authorized in 2006, bringing our total repurchases to 121 million common shares at a cost of $4.7 billion . As of December 31, 2015 the total remaining share repurchase authorization was $1.5 billion . Purchases under the program may be in either open market transactions, including block purchases, or in privately negotiated transactions using cash on hand, cash generated from operations, proceeds from potential asset sales or cash from available borrowings to acquire shares. This program may be changed based upon our financial condition or changes in market conditions and is subject to termination prior to completion. The repurchase program does not include specific price targets or timetables. |
Leases (Notes)
Leases (Notes) | 12 Months Ended |
Dec. 31, 2015 | |
Leases [Abstract] | |
Leases | Leases We lease a wide variety of facilities and equipment under operating leases, including land, building space, equipment and vehicles. Most long-term leases include renewal options and, in certain leases, purchase options. Future minimum commitments for capital lease obligations and for operating lease obligations having noncancellable lease terms in excess of one year are as follows: (In millions) Capital Lease Obligations Operating Lease Obligations 2016 $ 1 $ 30 2017 1 26 2018 1 24 2019 1 24 2020 1 24 Later years 16 30 Sublease rentals — (1 ) Total minimum lease payments $ 21 $ 157 Less imputed interest costs (12 ) Present value of net minimum lease payments $ 9 Operating lease rental expense related to continuing operations was $104 million , $120 million and $105 million in 2015 , 2014 and 2013 . |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies We are a defendant in a number of lawsuits arising in the ordinary course of business, including, but not limited to, royalty claims, contract claims and environmental claims. While the ultimate outcome and impact to us cannot be predicted with certainty, we believe that the resolution of these proceedings will not have a material adverse effect on our consolidated financial position, results of operations or cash flows. Certain of these matters are discussed below. Environmental matters – We are subject to federal, state, local and foreign laws and regulations relating to the environment. These laws generally provide for control of pollutants released into the environment and require responsible parties to undertake remediation of hazardous waste disposal sites. Penalties may be imposed for noncompliance. At December 31, 2015 and 2014 , accrued liabilities for remediation were not significant. It is not presently possible to estimate the ultimate amount of all remediation costs that might be incurred or the penalties that may be imposed. Guarantees – We have entered into a performance guarantee related to asset retirement obligations with aggregate maximum potential undiscounted payments totaling $31 million as of December 31, 2015 . Under the terms of this guarantee arrangement, we would be required to perform should the guaranteed party fail to fulfill its obligations under the specified arrangements. Over the years, we have sold various assets in the normal course of our business. Certain of the related agreements contain performance and general guarantees, including guarantees regarding inaccuracies in representations, warranties, covenants and agreements, and environmental and general indemnifications that require us to perform upon the occurrence of a triggering event or condition. These guarantees and indemnifications are part of the normal course of selling assets. We are typically not able to calculate the maximum potential amount of future payments that could be made under such contractual provisions because of the variability inherent in the guarantees and indemnities. Most often, the nature of the guarantees and indemnities is such that there is no appropriate method for quantifying the exposure because the underlying triggering event has little or no past experience upon which a reasonable prediction of the outcome can be based. Contract commitments – At December 31, 2015 and 2014 , contractual commitments to acquire property, plant and equipment totaled $371 million and $747 million . In connection with the sale of our operated producing properties in the greater Ewing Bank area and non-operated producing interests in the Petronius and Neptune fields in the Gulf of Mexico, we retained an overriding royalty interest in the properties. As part of the sale agreement, proceeds associated with the production of our override, up to $70 million , are dedicated solely to the satisfaction of the corresponding future abandonment obligations of the properties. The term of our override ends once sales proceeds equal $70 million . |
Summary of Principal Accounti33
Summary of Principal Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Principles applied in consolidation | Principles applied in consolidation – These consolidated financial statements include the accounts of our majority-owned, controlled subsidiaries. Investments in unincorporated joint ventures and undivided interests in certain operating assets are consolidated on a pro rata basis. Equity method investment s – Investments in entities over which we have significant influence, but not control, are accounted for using the equity method of accounting. This includes entities in which we hold majority ownership but the minority stockholders have substantive participating rights in the investee. Income from equity method investments represents our proportionate share of net income generated by the equity method investees. Equity method investments are included as noncurrent assets on the consolidated balance sheet. These investments are assessed for impairment whenever changes in the facts and circumstances indicate a loss in value has occurred, if the loss is deemed to be other than temporary. When the loss is deemed to be other than temporary, the carrying value of the equity method investment is written down to fair value, and the amount of the write-down is included in net income. Differences in the basis of the investments and the separate net asset value of the investees, if any, are amortized into net income over the remaining useful lives of the underlying assets, except for the excess related to goodwill. Discontinued operations – Disclosures in this report related to results of operations and cash flows are presented on the basis of continuing operations unless otherwise stated. As a result of the sale of our Angola assets and our Norway business in 2014 (see Note 5 ), these businesses are reflected as discontinued operations in the periods prior to and including 2014. |
Use of estimates | Use of estimates – The preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities as of the date of the consolidated financial statements and the reported amounts of revenues and expenses during the respective reporting periods. |
Foreign currency transactions | Foreign currency transactions – The U.S. dollar is the functional currency of our foreign operating subsidiaries. Foreign currency transaction gains and losses are included in net income. |
Revenue recognition | Revenue recognition – Revenues are recognized when products are shipped or services are provided to customers, title is transferred, the sales price is fixed or determinable and collectability is reasonably assured. We follow the sales method of accounting for crude oil and natural gas production imbalances and would recognize a liability if our existing proved reserves were not adequate to cover an imbalanc e. Imbalances have not been significant in the periods presented. In the lower 48 states of the U.S., production volumes of crude oil and condensate, NGLs and natural gas are generally sold immediately and transported to market. In international locations, liquid hydrocarbon production volumes may be stored as inventory and sold at a later time. In Canada, mined bitumen is first processed through an upgrader and then sold as synthetic crude oil. |
Gas balancing policy | We follow the sales method of accounting for crude oil and natural gas production imbalances and would recognize a liability if our existing proved reserves were not adequate to cover an imbalanc e. Imbalances have not been significant in the periods presented. |
Cash and cash equivalents | Cash and cash equivalents – Cash and cash equivalents include cash on hand and on deposit and investments in highly liquid debt instruments with original maturities of three months or less. |
Investment, Policy [Policy Text Block] | Short-term Investments - Our short-term investments are comprised of bank time deposits with original maturities of greater than three months but less than twelve months. They are classified as held-to-maturity investments, which are recorded at amortized cost. |
Accounts receivable | Accounts receivable – The majority of our receivables are from joint interest owners in properties we operate or from purchasers of commodities, both of which are recorded at invoiced amounts and do not bear interest. We often have the ability to withhold future revenue disbursements to recover any non-payment of joint interest billings. We conduct credit reviews of commodity purchasers prior to making commodity sales to new customers or increasing credit for existing customers. Based on these reviews, we may require a standby letter of credit or a financial guarantee. Uncollectible accounts receivable are reserved against the allowance for uncollectible accounts when it is determined the receivable will not be collected and the amount of any reserve may be reasonably estimated. |
Inventories | Inventories – Crude oil and natural gas inventories are recorded at weighted average cost and carried at the lower of cost or market value. Materials and supplies inventory consist principally of tubular goods and equipment which are valued at weighted average cost and reviewed periodically for obsol escence or impairment when market conditions indicate. During the fourth quarter of 2015, we elected to change our accounting method related to our U.S. crude oil and natural gas inventories from last in, first out ("LIFO") method to weighted average cost. At December 31, 2015, this inventory represented $5 million of our total inventory value, see Note 10 to the consolidated financial statements for additional detail related to inventories. We believe this change is preferable as it provides consistent application of the cost basis for all categories of inventories across our worldwide portfolio, more accurately reflects the current value of inventory which provides for a better matching of expenses to revenues, and enhances comparability to our peers. The effect of changing the method from LIFO to weighted average cost was immaterial for all current and prior periods. We recorded the cumulative effect of this change within our Consolidated Balance Sheets and Consolidated Statements of Income during the fourth quarter of 2015 and did not adjust previously reported periods. This resulted in an increase in our Inventories account of $2 million and a decrease in Production costs by $2 million. The change in method had an immaterial impact to income from continuing operations, with no change to basic or diluted earnings per share. We may enter into a contract to sell a particular quantity and quality of crude oil at a specified location and dat e to a particular counterparty, and simultaneously agree to buy a particular quantity and quality of the same commodity at a specified location on the same or another specified date from the same counterparty. We account for such matching buy/sell arrangements as exchanges of inventory. |
Derivative instruments | Derivative instruments – We may use derivatives to manage a portion of our exposure to commodity price risk, interest rate risk and foreign currency exchange rate risk. All derivative instruments are recorded at fair value. Commodity derivatives and interest rate swaps are reflected on our consolidated balance sheet on a net basis by counterparty, as they are governed by master netting agreements. Cash flows related to derivatives used to manage commodity price risk, foreign currency risk and interest rate risk are classified in operating activities. Our derivative instruments contain no significant contingent credit features. |
Hedges | Fair value hedges – We may use interest rate swaps to manage our exposure to interest rate risk associated with fixed interest rate debt in our portfolio and foreign currency forwards to manage our exposure to changes in the value of foreign currency denominated tax liabilities. Changes in the fair values of both the hedged item and the related derivative are recognized immediately in net income with an offsetting effect included in the basis of the hedged item. The net effect is to report in net income the extent to which the hedge is not effective in achieving offsetting changes in fair value. |
Derivatives not designated as hedges | Derivatives not designated as hedges – Derivatives that are not designated as hedges may include commodity derivatives used primarily to manage price risk on the forecasted sale of crude oil, natural gas and synthetic crude oil that we produce. Changes in the fair value of derivatives not designated as hedges are recognized immediately in net income |
Concentrations of credit risk | Concentrations of credit risk – All of our financial instruments, including derivatives, involve elements of credit and market risk. The most significant portion of our credit risk relates to nonperformance by counterparties. The counterparties to our financial instruments consist primarily of major financial institutions and companies within the energy industry. To manage counterparty risk associated with financial instruments, we select and monitor counterparties based on our assessment of their financial strength and on credit ratings, if available. Additionally, we limit the level of exposure with any single counterparty. |
Fair value transfer | Fair value transfer – We recognize transfers between levels of the fair value hierarchy as of the end of the reporting period. If significant transfers occur, they would be disclosed in Note 15 to the consolidated financial statements. |
Property, plant and equipment | Property, plant and equipment – We use the successful efforts method of accounting for oil and gas producing activities, which include bitumen mining and upgrading. |
Property acquisition costs | Property acquisition costs – Costs to acquire mineral interests in oil and natural gas properties or in oil sands mines, to drill and equip exploratory wells in progress and those that find proved reserves, to drill and equip development wells and to construct or expand oil sands mines and upgrading facilities are capitalized. Costs to drill exploratory wells that do not find proved reserves, geological and geophysical costs and costs of carrying and retaining unproved properties are expensed. Costs incurred for exploratory wells that find reserves but cannot yet be classified as proved are capitalized if (1) the well has found a sufficient quantity of reserves to justify its completion as a producing well and (2) we are making sufficient progress assessing the reserves and the economic and operating viability of the project. The status of suspended exploratory well costs is monitored continuously and reviewed at least quarterly. |
Depreciation, depletion and amortization | Depreciation, depletion and amortization – Capitalized costs to acquire oil and natural gas properties, which include bitumen mining and upgrading facilities, are depreciated and depleted on a units-of-production basis based on estimated proved reserves. Capitalized costs of exploratory wells and development costs are depreciated and depleted on a units-of-production basis based on estimated proved developed reserves. Support equipment and other property, plant and equipment related to oil and gas producing activities, as well as property, plant and equipment unrelated to oil and gas producing activities, are recorded at cost and depr eciated on a straight-line basis over the estimated useful lives of the assets as summarized below. Type of Asset Range of Useful Lives Office furniture, equipment and computer hardware 3 to 15 years Pipelines 10 to 40 years Plants, facilities, mine equipment and infrastructure 1 to 40 years |
Impairments | Impairments – We eva luate our oil and gas producing properties, including capitalized costs of exploratory wells, development costs and our bitumen mining and upgrading facilities, for impairment of value whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If the sum of the expected undiscounted future cash flows from the use of the asset and its eventual disposition is less than the carrying amount of the asset, an impairment loss is recognized based on the fair value of the asset. Oil and gas producing properties are reviewed for impairment on a field-by-field basis or, in certain instances, by logical grouping of assets if there is significant shared infrastructure. Oil and gas producing properties deemed to be impaired are written down to their fair value, as determined by discounted future net cash flows or, if available, comparable market value. We evaluate our unproved property investment and record impairment based on time or geologic factors. Information such as drilling results, reservoir performance, seismic interpretation or future plans to develop acreage is also considered. When unproved property investments are deemed to be impaired, the expense is reported in exploration expenses. |
Dispositions | Dispositions – When property, plant and equipment depreciated on an individual basis is sold or otherwise disposed of, any gains or losses are reported in net income. Gains on the disposal of property, plant and equipment are recognized when earned, which is generally at the time of closing. If a loss on disposal is expected, such losses are recognized when the assets are classified as held for sale. Proceeds from the disposal of property, plant and equipment depreciated on a group basis are credited to accumulated depreciation, depletion and amortization with no immediate effect on net income until net book value is reduced to zero. |
Goodwill | Goodwill – Goodwill represents the excess of the purchase price over the estimated fair value of the net assets acquired in the acquisition of a business. Such goodwill is not amortized, but rather is tested for impairment annually and when events or changes in circumstances indicate that the fair value of a reporting unit with goodwill has been reduced below carrying value. The impairment test requires allocating goodwill and other assets and liabilities to a reporting unit. The fair value of a reporting unit is determined and compared to the book value of the reporting unit. If the fair value of the reporting unit is less than the book value, including goodwill, then the recorded goodwill is impaired to its implied fair value with a charge to impairments. |
Major maintenance activities | Major maintenance activities – Costs for planned major maintenance are expensed in the period incurred and can include the costs of contractor repair services, materials and supplies, equipment rentals and our labor costs. |
Environmental costs | Environmental costs – We provide for remediation costs and penalties when the responsibility to remediate is probable and the amount of associated costs can be reasonably estimated. The timing of remediation accruals coincides with completion of a feasibility study or the commitment to a formal plan of action. Remediation liabilities are accrued based on estimates of known environmental exposure and are discounted when the estimated amounts are reasonably fixed or reliably determinable. Environmental expenditures are capitalized only if the costs mitigate or prevent future contamination or if the costs improve the environmental safety or efficiency of the existing assets. |
Asset retirement obligations | Asset retirement obligations – The fair value of asset retirement obligations is recognized in the period in which the obligations are incurred if a reasonable estimate of fair value can be made. Our asset retirement obligations primarily relate to the abandonment of oil and gas producing facilities, which include our bitumen mining facilities. Asset retirement obligations for such facilities include costs to dismantle and relocate or dispose of production platforms, mine assets, gathering systems, wells and related structures and restoration costs of land and seabed, including those leased. Estimates of these costs are developed for each property based on the type of production structure, depth of water, reservoir characteristics, depth of the reservoir, market demand for equipment, currently available procedures and consultations with construction and engineering professionals. Asset retirement obligations have not been recognized for certain of our international oil and gas producing facilities as we currently do not have a legal obligation associated with the retirement of those facilities. Asset retirement obligations have not been recognized for the removal of materials and equipment from or the closure of certain bitumen upgrading assets because the fair value cannot be reasonably estimated since the settlement dates of the obligations are indeterminate. Inflation rates and credit-adjusted-risk-free interest rates are used to estimate the fair value of asset retirement obligations. Depreciation of capitalized asset retirement costs and accretion of asset retirement obligations are recorded over time. Depreciation is generally determined on a units-of-production basis based on estimated proved reserves for oil and gas production facilities, which include our bitumen mining facilities, while accretion escalates over the lives of the assets. |
Deferred income taxes | Deferred income taxes – Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of assets and liabilities and their tax bases as reported in our filings with the respective taxing authorities. We routinely assess the realizability of our deferred tax assets based on several interrelated factors and reduce such assets by a valuation allowance if it is more likely than not that some portion or all of the deferred tax assets will not be realized. These factors include our expectation to generate sufficient future taxable income including future foreign source income, tax credits, operating loss carryforwards and management’s intent regarding the permanent reinvestment of the income from foreign subsidiaries. |
Stock based compensation arrangements | Stock-based compensation arrangements – The fair value of stock options is estimated on the date of grant using the Black-Scholes option pricing model. The model employs various assumptions, based on management’s best estimates at the time of grant, which impact the calculation of fair value and ultimately, the amount of expense that is recognized over the life of the stock option award. Of the required assumptions, the expected volatility of our stock price and the stock price in relation to the strike price have the most significant impact on the fair value calculation. We have utilized historical data and analyzed current information which reasonably support these assumptions. The fair value of our restricted stock awards and common stock units is determined based on the market value of our common stock on the date of grant. Unearned stock-based compensation is charged to stockholders’ equity when restricted stock awards are granted. The fair value of our stock-based performance units is estimated using the Monte Carlo simulation method. Since these awards are settled in cash at the end of a defined performance period, they are classified as a liability and are re-measured quarterly until settlement. Our stock-based compensation expense is recognized based on management’s best estimate of the awards that are expected to vest, using the straight-line attribution method for all service-based awards with a graded vesting feature. If actual forfeiture results are different than expected, adjustments to recognized compensation expense may be required in future periods. |
Dispositions (Tables)
Dispositions (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Schedule of Disposal Groups, Including Discontinued Operations, Income Statement, Balance Sheet and Additional Disclosures [Table Text Block] | Our Norway business is reflected as discontinued operations in the consolidated statements of income and the consolidated statements of cash flows for the periods prior to and including 2014. Select amounts reported in discontinued operations were as follows: Year Ended December 31, (In millions) 2014 2013 Revenues applicable to discontinued operations $ 1,981 $ 3,176 Pretax income from discontinued operations $ 1,693 $ 2,537 Pretax gain on disposition of discontinued operations $ 1,406 $ — In the first quarter of 2014, we closed the sales of our 10% non-operated working interests in the Production Sharing Contracts and Joint Operating Agreements for Angola Blocks 31 and 32 for aggregate proceeds of approximately $2 billion . A $532 million after-tax gain on the sale of our Angola assets was recorded in 2014. Included in this after-tax gain is a deferred tax benefit reflecting our ability to utilize foreign tax credits that otherwise would have needed a valuation allowance. Our Angola operations are reflected as discontinued operations in the consolidated statements of income and the consolidated statements of cash flows for the periods prior to and including 2014. Select amounts reported in discontinued operations were as follows: Year Ended December 31, (In millions) 2014 2013 Revenues applicable to discontinued operations $ 58 $ 361 Pretax income from discontinued operations $ 51 $ 247 Pretax gain on disposition of discontinued operations $ 426 $ — |
Income per Common Share (Tables
Income per Common Share (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | Year Ended December 31, (In millions, except per share data) 2015 2014 2013 Income (loss) from continuing operations $ (2,204 ) $ 969 $ 931 Discontinued operations — 2,077 822 Net income (loss) $ (2,204 ) $ 3,046 $ 1,753 Weighted average common shares outstanding 677 680 705 Effect of dilutive securities — 3 4 Weighted average common shares, diluted 677 683 709 Per basic share: Income (loss) from continuing operations $ (3.26 ) $ 1.42 $ 1.32 Discontinued operations $ — $ 3.06 $ 1.17 Net income (loss) $ (3.26 ) $ 4.48 $ 2.49 Per diluted share: Income (loss) from continuing operations $ (3.26 ) $ 1.42 $ 1.31 Discontinued operations $ — $ 3.04 $ 1.16 Net income (loss) $ (3.26 ) $ 4.46 $ 2.47 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Year Ended December 31, 2015 Not Allocated (In millions) N.A. E&P Int'l E&P OSM to Segments Total Sales and other operating revenues $ 3,358 $ 728 $ 815 $ 50 (c) $ 4,951 Marketing revenues 396 103 72 — 571 Total revenues 3,754 831 887 50 5,522 Income (loss) from equity method investments — 157 — (12 ) (d) 145 Net gain on disposal of assets and other income 24 27 21 122 (e) 194 Less: Production expenses 724 255 715 — 1,694 Marketing costs 401 99 69 — 569 Exploration expenses 362 101 — 855 (f) 1,318 Depreciation, depletion and amortization 2,377 295 236 49 2,957 Impairments 2 — 5 745 (g) 752 Other expenses (a) 462 92 34 440 (h) 1,028 Taxes other than income 215 — 18 1 234 Net interest and other — — — 267 267 Income tax provision (benefit) (279 ) 61 (56 ) (480 ) (i) (754 ) Segment income (loss)/Income (loss) from continuing operations $ (486 ) $ 112 $ (113 ) $ (1,717 ) $ (2,204 ) Capital expenditures (b) $ 2,553 $ 368 $ (10 ) $ 25 $ 2,936 (a) Includes other operating expenses and general and administrative expenses. (b) Includes accruals. (c) Unrealized gain on crude oil derivative instruments. (d) Partial impairment of investment in equity method investee (See Note 15 ). (e) Primarily related to gain on sale of our properties and interests in the Gulf of Mexico, partially offset by the loss on sale of East Africa exploration acreage (see Note 5 ). (f) Unproved property impairments associated with lower forecasted commodity prices and change in conventional exploration strategy (See Note 13 ). (g) Goodwill impairment (see Note 14 ) and proved property impairments (see Note 15 ). (h) Includes pension settlement loss of $119 million (see Note 20 ) and severance related expenses associated with workforce reductions of $ 55 million . (i) Includes $135 million of deferred tax expense related to Alberta provincial corporate tax rate increase (see Note 9 ). Year Ended December 31, 2014 Not Allocated (In millions) N.A. E&P Int'l E&P OSM to Segments Total Sales and other operating revenues $ 5,770 $ 1,410 $ 1,556 $ — $ 8,736 Marketing revenues 1,839 219 52 — 2,110 Total revenues 7,609 1,629 1,608 — 10,846 Income from equity method investments — 424 — — 424 Net gain (loss) on disposal of assets and other income 23 57 4 (96 ) (c) (12 ) Less: Production expenses 891 386 969 — 2,246 Marketing costs 1,836 217 52 — 2,105 Exploration expenses 608 185 — — 793 Depreciation, depletion and amortization 2,342 269 206 44 2,861 Impairments 23 — — 109 (d) 132 Other expenses (a) 473 197 54 392 (e) 1,116 Taxes other than income 385 — 20 1 406 Net interest and other — — — 238 238 Income tax provision (benefit) 381 288 76 (353 ) 392 Segment income/Income from continuing operations $ 693 $ 568 $ 235 $ (527 ) $ 969 Capital expenditures (b) $ 4,698 $ 534 $ 212 $ 51 $ 5,495 (a) Includes other operating expenses and general and administrative expenses. (b) Includes accruals. (c) Primarily related to the sale of non-core acreage in our North America E&P segment ( See Note 5 ). (d) Proved Property impairments (See Note 15 ) (e) Includes pension settlement loss of $99 million (See Note 20 ). Year Ended December 31, 2013 Not Allocated (In millions) N.A. E&P Int'l E&P OSM to Segments Total Sales and other operating revenues $ 5,068 $ 2,654 $ 1,576 $ (52 ) (c) $ 9,246 Marketing revenues 1,797 264 18 — 2,079 Total revenues 6,865 2,918 1,594 (52 ) 11,325 Income from equity method investments — 427 — (4 ) (d) 423 Net gain (loss) on disposal of assets and other income 12 50 5 (32 ) (e) 35 Less: Production expenses 797 359 1,000 — 2,156 Marketing costs 1,796 262 18 — 2,076 Exploration expenses 725 166 — — 891 Depreciation, depletion and amortization 1,927 331 218 24 2,500 Impairments 41 — — 55 (f) 96 Other expenses (a) 420 161 66 401 (g) 1,048 Taxes other than income 318 — 22 5 345 Net interest and other — — — 278 278 Income tax provision (benefit) 324 1,358 69 (289 ) 1,462 Segment income/Income from continuing operations $ 529 $ 758 $ 206 $ (562 ) $ 931 Capital expenditures (b) $ 3,649 $ 456 $ 286 $ 58 $ 4,449 (a) Includes other operating expenses and general and administrative expenses. (b) Includes accruals. (c) Unrealized loss on crude oil derivative instruments (see Note 16 ). (d) EGHoldings impairment (See Note 15 ). (e) Related to the disposal of assets from our North America E&P Segment (see Note 5 ). (f) Proved property impairments (see Note 15 ). (g) Includes pension settlement loss of $45 million (see Note 20 ). |
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area | The following summarizes revenues from external customers by geographic area. Year Ended December 31, (In millions) 2015 2014 2013 United States $ 3,804 $ 7,609 $ 6,813 Canada 887 1,608 1,594 Libya (a) — 244 1,106 Other international 831 1,385 1,812 Total revenues $ 5,522 $ 10,846 $ 11,325 (a) See Note 12 for discussion of Libya operations. |
Revenue from External Customers by Products and Services | Revenues by product line were: Year Ended December 31, (In millions) 2015 2014 2013 Crude oil and condensate $ 3,963 $ 8,170 $ 8,688 Natural gas liquids 203 371 313 Natural gas 464 693 693 Synthetic crude oil 781 1,525 1,542 Other 111 87 89 Total revenues $ 5,522 $ 10,846 $ 11,325 |
Schedule of Disclosure on Geographic Areas, Long-Lived Assets in Individual Foreign Countries by Country | The following summarizes property, plant and equipment and equity method investments. December 31, (In millions) 2015 2014 United States $ 15,353 $ 16,518 Canada 9,197 9,802 Equatorial Guinea 1,917 1,949 Other international 1,597 1,884 Total long-lived assets $ 28,064 $ 30,153 |
Other Items (Tables)
Other Items (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Interest and Other Income [Abstract] | |
Schedule Of Net Interest And Other Financing Table | Net interest and other Year Ended December 31, (In millions) 2015 2014 2013 Interest: Interest income $ 9 $ 7 $ 5 Interest expense (358 ) (309 ) (319 ) Income on interest rate swaps 11 12 9 Interest capitalized 26 20 12 Total interest (312 ) (270 ) (293 ) Other: Net foreign currency gains 23 21 14 Other 22 11 1 Total other 45 32 15 Net interest and other $ (267 ) $ (238 ) $ (278 ) |
Schedule Of Foreign Currency Transactions Table | Foreign currency – Aggregate foreign currency gains were included in the consolidated statements of income as follows: Year Ended December 31, (In millions) 2015 2014 2013 Net interest and other $ 23 $ 21 $ 14 Provision for income taxes (11 ) (12 ) (2 ) Aggregate foreign currency gains $ 12 $ 9 $ 12 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | Income tax provisions (benefits) for continuing operations were: Year Ended December 31, 2015 2014 2013 (In millions) Current Deferred Total Current Deferred Total Current Deferred Total Federal $ (43 ) $ (687 ) $ (730 ) $ 15 $ 62 $ 77 $ 83 $ (47 ) $ 36 State and local (8 ) (18 ) (26 ) 8 (58 ) (50 ) 39 (6 ) 33 Foreign 103 (101 ) 2 281 84 365 1,374 19 1,393 Total $ 52 $ (806 ) $ (754 ) $ 304 $ 88 $ 392 $ 1,496 $ (34 ) $ 1,462 |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of the federal statutory income tax rate applied to income (loss) from continuing operations before income taxes to the provision (benefit) for income taxes follows: Year Ended December 31, 2015 2014 2013 Statutory rate applied to income (loss) from continuing operations before income taxes (35 )% 35 % 35 % Effects of foreign operations, including foreign tax credits (2 ) (6 ) 26 Change in permanent reinvestment assertion — (19 ) — Adjustments to valuation allowances 3 21 (1 ) Change in tax law 5 — — Goodwill impairment 4 — — Other — (2 ) 1 Effective income tax expense (benefit) rate on continuing operations (25 )% 29 % 61 % |
Schedule of Deferred Tax Assets and Liabilities | Deferred tax assets and liabilities resulted from the following: Year Ended December 31, (In millions) 2015 2014 Deferred tax assets: Employee benefits $ 260 $ 364 Operating loss carryforwards 563 245 Capital loss carryforwards 17 89 Foreign tax credits 4,335 4,062 Other credit carryforwards 35 — Investments in subsidiaries and affiliates 17 — Other 73 116 Valuation allowances: Federal (2,820 ) (2,775 ) State, net of federal benefit (56 ) (58 ) Foreign (162 ) (108 ) Total deferred tax assets 2,262 1,935 Deferred tax liabilities: Property, plant and equipment 3,376 3,737 Investments in subsidiaries and affiliates — 66 Other 105 67 Total deferred tax liabilities 3,481 3,870 Net deferred tax liabilities $ 1,219 $ 1,935 |
Net Deferred Tax Assets Liabilities Table | Net deferred tax liabilities were classified in the consolidated balance sheets as follows: December 31, (In millions) 2015 2014 Assets: Other current assets $ — $ 29 Other noncurrent assets 1,222 525 Liabilities: Other current liabilities — 3 Noncurrent deferred tax liabilities 2,441 2,486 Net deferred tax liabilities $ 1,219 $ 1,935 |
Income Tax Returns Remaining Subject To Examination Table | As of December 31, 2015 our income tax returns remain subject to examination in the following major tax jurisdictions for the tax years indicated: United States (a) 2004-2014 Canada 2010-2014 Equatorial Guinea 2007-2014 Libya 2012-2014 United Kingdom 2008-2014 (a) Includes federal and state jurisdictions. |
Summary Of Activity In Unrecognized Tax Benefits Table | The following table summarizes the activity in unrecognized tax benefits: (In millions) 2015 2014 2013 Beginning balance $ 80 $ 146 $ 98 Additions for tax positions related to the current year — — 14 Additions for tax positions of prior years 1 11 66 Reductions for tax positions of prior years — (68 ) (25 ) Settlements (7 ) (9 ) (5 ) Statute of limitations (9 ) — (2 ) Ending balance $ 65 $ 80 $ 146 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory, Current | December 31, (In millions) 2015 2014 Liquid hydrocarbons, natural gas and bitumen $ 35 $ 58 Supplies and other items 278 299 Inventories at cost $ 313 $ 357 |
Equity Method Investments and40
Equity Method Investments and Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Equity Method Investments Disclosure [Abstract] | |
Schedule of Equity Method Investments | Our equity method investments are summarized in the following table: Ownership as of December 31, (In millions) December 31, 2015 2015 2014 EGHoldings 60% $ 603 $ 693 Alba Plant LLC 52% 230 225 AMPCO 45% 169 194 Other investments 1 1 Total $ 1,003 $ 1,113 |
Income And Balance Sheet Information of Equity Investees Table | Summarized financial information for equity method investees is as follows: (In millions) 2015 2014 2013 Income data – year: Revenues and other income $ 769 $ 1,349 $ 1,444 Income from operations 313 826 849 Net income 280 728 727 Balance sheet data – December 31: Current assets $ 467 $ 639 Noncurrent assets 1,317 1,451 Current liabilities 211 371 Noncurrent liabilities 41 39 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Schedule Of Property Plant And Equipment | Property, Plant and Equipment December 31, (In millions) 2015 2014 North America E&P $ 15,226 $ 16,717 International E&P 2,533 2,741 Oil Sands Mining 9,197 9,455 Corporate 105 127 Net property, plant and equipment $ 27,061 $ 29,040 |
Schedule of Aging of Capitalized Exploratory Well Costs | Deferred exploratory well costs were as follows: December 31, (In millions) 2015 2014 2013 Amounts capitalized less than one year after completion of drilling $ 352 $ 484 $ 512 Amounts capitalized greater than one year after completion of drilling 85 126 281 Total deferred exploratory well costs $ 437 $ 610 $ 793 Number of projects with costs capitalized greater than one year after completion of drilling 2 3 7 (In millions) 2015 2014 2013 Beginning balance $ 610 $ 793 $ 617 Additions 610 647 624 Charges to expense (148 ) (45 ) (25 ) Transfers to development (635 ) (579 ) (414 ) Dispositions (a) — (206 ) (9 ) Ending balance $ 437 $ 610 $ 793 |
Schedule of Projects with Exploratory Well Costs Capitalized for More than One Year | Exploratory well costs capitalized greater than one year after completion of drilling as of December 31, 2015 are summarized by geographical area below: (In millions) Gabon $ 63 E.G. 22 Total $ 85 |
Impairment and Exploration Ex42
Impairment and Exploration Expenses (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Impairments and Exploration Expenses [Abstract] | |
Details of Impairment of Long-Lived Assets Held and Used by Asset [Table Text Block] | The following table summarizes impairment charges of proved properties: Year Ended December 31, (in millions) 2015 2014 2013 Total impairments $ 752 $ 132 $ 96 |
Exploration Expenses [Table Text Block] | The following table summarizes the components of exploration expenses: Year Ended December 31, (In millions) 2015 2014 2013 Exploration Expenses Unproved property impairments $ 964 $ 306 $ 572 Dry well costs 250 317 148 Geological and geophysical 31 85 80 Other 73 85 91 Total exploration expenses $ 1,318 $ 793 $ 891 |
Goodwill (Tables)
Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill Disclosure [Abstract] | |
Schedule of Goodwill [Table Text Block] | The table below displays the allocated beginning goodwill balances by segment along with changes in the carrying amount of goodwill for 2015 and 2014 : (In millions) N.A. E&P Int'l E&P OSM Total 2014 Beginning balance, gross $ 347 $ 152 $ 1,412 $ 1,911 Less: accumulated impairments — — (1,412 ) (1,412 ) Beginning balance, net 347 152 — 499 Dispositions (3 ) (37 ) — (40 ) Ending balance, net $ 344 $ 115 $ — $ 459 2015 Beginning balance, gross $ 344 $ 115 $ 1,412 $ 1,871 Less: accumulated impairments — — (1,412 ) (1,412 ) Beginning balance, net 344 115 — 459 Dispositions (4 ) — — (4 ) Impairment (340 ) — — (340 ) Ending balance, net $ — $ 115 $ — $ 115 |
Fair Value Measurements Fair Va
Fair Value Measurements Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following tables present assets and liabilities accounted for at fair value on a recurring basis by hierarchy level. December 31, 2015 (In millions) Level 1 Level 2 Level 3 Total Derivative instruments, assets Commodity $ — $ 51 $ — $ 51 Interest rate — 8 — 8 Derivative instruments, assets $ — $ 59 $ — $ 59 Derivative instruments, liabilities Commodity $ — $ 1 $ — $ 1 Derivative instruments, liabilities $ — $ 1 $ — $ 1 December 31, 2014 (In millions) Level 1 Level 2 Level 3 Total Derivative instruments, assets Interest rate $ — $ 8 $ — $ 8 Derivative instruments, assets $ — $ 8 $ — $ 8 |
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis | The following table shows the values of assets, by major category, measured at fair value on a nonrecurring basis in periods subsequent to their initial recognition. 2015 2014 2013 (In millions) Fair Value Impairment Fair Value Impairment Fair Value Impairment Long-lived assets held for use $ 56 $ 412 $ 43 $ 132 $ 5 $ 96 |
Fair Value, by Balance Sheet Grouping | The following table summarizes financial instruments, excluding receivables, commercial paper, payables and derivative financial instruments, and their reported fair value by individual balance sheet line item at December 31, 2015 and 2014 . December 31, 2015 2014 (In millions) Fair Value Carrying Amount Fair Value Carrying Amount Financial assets Other noncurrent assets $ 104 $ 118 $ 132 $ 129 Total financial assets $ 104 $ 118 $ 132 $ 129 Financial liabilities Other current liabilities $ 34 $ 33 $ 13 $ 13 Long-term debt, including current portion (a) 6,723 7,291 6,887 6,360 Deferred credits and other liabilities 97 95 69 68 Total financial liabilities $ 6,854 $ 7,419 $ 6,969 $ 6,441 (a) Excludes capital leases. |
Derivatives (Tables)
Derivatives (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives as they appear on the Balance Sheet | The following tables present the gross fair values of derivative instruments and the reported net amounts along with where they appear on the consolidated balance sheets. December 31, 2015 (In millions) Asset Liability Net Asset Balance Sheet Location Fair Value Hedges Interest rate $ 8 $ — $ 8 Other noncurrent assets Total Designated Hedges $ 8 $ — $ 8 Not Designated as Hedges Commodity $ 51 $ 1 $ 50 Other current assets Total Not Designated as Hedges $ 51 $ 1 $ 50 Total $ 59 $ 1 $ 58 December 31, 2014 (In millions) Asset Liability Net Asset Balance Sheet Location Fair Value Hedges Interest rate $ 8 $ — $ 8 Other noncurrent assets Total Designated Hedges $ 8 $ — $ 8 |
Schedule of Interest Rate Derivatives [Table Text Block] | The following table presents by maturity date, information about our interest rate swap agreements, including the weighted average, London Interbank Offer Rate (“LIBOR”)-based, floating rate. December 31, 2015 December 31, 2014 Aggregate Notional Amount Weighted Average, LIBOR-Based, Aggregate Notional Amount Weighted Average, LIBOR-Based, Maturity Dates (in millions) Floating Rate (in millions) Floating Rate October 1, 2017 $ 600 4.73 % $ 600 4.64 % March 15, 2018 $ 300 4.66 % $ 300 4.49 % |
Effects of derivatives designated as fair value hedges | The pretax effect of derivative instruments designated as hedges of fair value in our consolidated statements of income is summarized in the table below. There is no ineffectiveness related to the fair value hedges. Gain (Loss) Year Ended December 31, (In millions) Income Statement Location 2015 2014 2013 Derivative Interest rate Net interest and other $ — $ — $ (13 ) Foreign currency Discontinued operations — (36 ) (44 ) Hedged Item Long-term debt Net interest and other $ — $ — $ 13 Accrued taxes Discontinued operations — 36 44 |
Schedule of Notional Amounts of Outstanding Derivative Positions [Table Text Block] | Financial Instrument Weighted Average Price Barrels per day Remaining Term Three-Way Collars Ceiling $60.03 10,000 January - March 2016 (a) Floor $50.20 Sold put $41.60 Ceiling $71.84 12,000 January- December 2016 Floor $60.48 Sold put $50.00 Ceiling $73.13 2,000 January- June 2016 (b) Floor $65.00 Sold put $50.00 Sold Call Options $72.39 10,000 January- December 2016 (c) (a) Counterparties have the option, exercisable on March 31, 2016, to extend these collars through September of 2016 at the same volume and weighted average price as the underlying three-way collars. (b) Counterparty has the option, exercisable on June 30, 2016, to extend these collars through the remainder of 2016 at the same volume and weighted average price as the underlying three-way collars. (c) Call options settle monthly. |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Debt Instrument Table | The following table details our long-term debt: December 31, (In millions) 2015 2014 Senior unsecured notes: 0.900% notes due 2015 $ — $ 1,000 6.000% notes due 2017 (a) 682 682 5.900% notes due 2018 (a) 854 854 7.500% notes due 2019 (a) 228 228 2.700% notes due 2020 (a) 600 — 2.800% notes due 2022 (a) 1,000 1,000 9.375% notes due 2022 (b) 32 32 Series A notes due 2022 (b) 3 3 8.500% notes due 2023 (b) 70 70 8.125% notes due 2023 (b) 131 131 3.850% notes due 2025 (a) 900 — 6.800% notes due 2032 (a) 550 550 6.600% notes due 2037 (a) 750 750 5.200% notes due 2045 (a) 500 — Capital leases: Capital lease obligation of consolidated subsidiary due 2016 – 2049 9 9 Other obligations: 4.550% promissory note, semi-annual payments due 2015 — 68 5.125% obligation relating to revenue bonds due 2037 1,000 1,000 Total (b) 7,309 6,377 Unamortized discount (10 ) (8 ) Fair value adjustments (c) 17 22 Unamortized debt issuance cost (d) (39 ) (28 ) Amounts due within one year (1 ) (1,068 ) Total long-term debt $ 7,276 $ 5,295 (a) These notes contain a make-whole provision allowing us to repay the debt at a premium to market price. (b) In the event of a change in control, as defined in the related agreements, debt obligations totaling $236 million at December 31, 2015 may be declared immediately due and payable. (c) See Notes 15 and 16 for information on interest rate swaps. (d) After the adoption of the debt issuance costs standard, these costs are now reflected as a direct reduction from the associated debt liability in our consolidated balance sheets. See Note 2 for information. |
Five Year Schedule Of Debt Payments Table | The following table shows future long-term debt payments: (In millions) 2016 $ 1 2017 682 2018 854 2019 228 2020 600 Thereafter 4,944 Total long-term debt, including current portion $ 7,309 |
Asset Retirement Obligations (T
Asset Retirement Obligations (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Schedule of Change in Asset Retirement Obligation | Changes in asset retirement obligations were as follows: For Year Ended December 31, (In millions) 2015 2014 Beginning balance $ 1,958 $ 2,096 Incurred liabilities, including acquisitions 47 89 Settled liabilities, including dispositions (289 ) (426 ) Accretion expense (included in depreciation, depletion and amortization) 105 104 Revisions of estimates (132 ) 95 Held for sale (54 ) — Ending balance $ 1,635 $ 1,958 |
Supplemental Cash Flow Inform48
Supplemental Cash Flow Information (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Supplemental Cash Flow Information [Abstract] | |
Schedule of Cash Flow, Supplemental Disclosures [Table Text Block] | Year Ended December 31, (In millions) 2015 2014 2013 Net cash used in operating activities: Interest paid (net of amounts capitalized) $ (325 ) $ (279 ) $ (289 ) Income taxes paid to taxing authorities (a) (171 ) (1,679 ) (3,904 ) Net cash provided by (used in) financing activities: Commercial paper, net: Issuances $ — $ 2,345 $ 10,870 Repayments — (2,480 ) (10,935 ) Commercial paper, net $ — $ (135 ) $ (65 ) Noncash investing activities, related to continuing operations: Asset retirement cost increase (decrease) $ (85 ) $ 151 $ 290 Increase in capital expenditure accrual — 335 6 Asset retirement obligations assumed by buyer 251 359 92 (a) Income taxes paid to taxing authorities includes $1,312 million and $2,270 million in 2014 , and 2013 related to discontinued operations. |
Defined Benefit Postretiremen49
Defined Benefit Postretirement Plans and Defined Contribution Plan (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | |
Summary Of Defined Benefit Pension Plans With Accumulated Benefit Obligations | Obligations and funded status – The following summarizes the obligations and funded status for our defined benefit pension and other postretirement plans. Pension Benefits Other Benefits 2015 2014 2015 2014 (In millions) U.S. Int’l U.S. Int’l U.S. U.S. Accumulated benefit obligation 518 579 793 610 260 279 Change in benefit obligations: Beginning balance $ 894 $ 651 $ 933 $ 649 $ 279 $ 279 Service cost 29 14 31 16 3 3 Interest cost 25 25 35 27 11 13 Plan amendment (a) (88 ) 1 — — — (42 ) Actuarial loss (gain) (b) 26 (29 ) 174 46 (20 ) 42 Foreign currency exchange rate changes — (35 ) — (39 ) — — Divestiture (c) — — — (29 ) — — Liability (gain)/loss due to curtailment (d) (18 ) (23 ) — — 2 — Settlements paid (335 ) — (271 ) — — — Benefits paid (8 ) (25 ) (8 ) (19 ) (15 ) (16 ) Ending balance $ 525 $ 579 $ 894 $ 651 $ 260 $ 279 Change in fair value of plan assets: Beginning balance $ 574 $ 622 $ 625 $ 597 $ — $ — Actual return on plan assets 8 8 59 59 — — Employer contributions 115 36 169 37 15 16 Foreign currency exchange rate changes — (33 ) — (39 ) — — Divestiture (c) — — — (13 ) — — Settlements paid (335 ) — (271 ) — — — Benefits paid (8 ) (25 ) (8 ) (19 ) (15 ) (16 ) Ending balance $ 354 $ 608 $ 574 $ 622 $ — $ — Funded status of plans at December 31 $ (171 ) $ 29 $ (320 ) $ (29 ) $ (260 ) $ (279 ) Amounts recognized in the consolidated balance sheets: Noncurrent assets — 29 — — — — Current liabilities (8 ) — (11 ) — (20 ) (19 ) Noncurrent liabilities (163 ) — (309 ) (29 ) (240 ) (260 ) Accrued benefit cost $ (171 ) $ 29 $ (320 ) $ (29 ) $ (260 ) $ (279 ) Pretax amounts in accumulated other comprehensive loss: Net loss (gain) $ 171 $ 61 $ 283 $ 91 $ 14 $ 34 Prior service cost (credit) (65 ) 4 10 8 (28 ) (41 ) (a) The plan amendment in 2015 was a freeze of the final average pay used in the legacy formula of the defined benefit pension plan. Activity in 2014 represents a change in plan design related to the health care benefits provided under the postretirement plan. (b) Activity in 2014 includes the increase in the U.S. pension and postretirement benefit obligations of $13 million and $15 million respectively, due to the adoption of the 2014 mortality table. (c) Related to the sale of our Norway business in the fourth quarter of 2014. (d) Related to workforce reductions, which reduced the future expected years of service for employees participating in the plans and the impact of discontinuing accruals for future benefits under the U.K. pension plan effective December 31, 2015. |
Schedule Of Net Periodic Benefit Cost And Other Comprehensive Income | Components of net periodic benefit cost from continuing operations and other comprehensive (income) loss – The following summarizes the net periodic benefit costs and the amounts recognized as other comprehensive (income) loss for our defined benefit pension and other postretirement plans. Pension Benefits Other Benefits Year Ended December 31, Year Ended December 31, 2015 2014 2013 2015 2014 2013 (In millions) U.S. Int’l U.S. Int’l U.S. Int’l U.S. U.S. U.S. Components of net periodic benefit cost: Service cost $ 29 $ 14 $ 31 $ 16 $ 33 $ 17 $ 3 $ 3 $ 4 Interest cost 25 25 35 27 40 23 11 13 12 Expected return on plan assets (30 ) (37 ) (34 ) (32 ) (43 ) (24 ) — — — Amortization: - prior service cost (credit) (7 ) 1 5 1 6 1 (4 ) (6 ) (6 ) - actuarial loss 22 2 29 1 43 4 1 — — Net curtailment loss (gain) (a) (5 ) 4 — — — — (7 ) — — Net settlement loss (b) 119 — 99 — 45 — — — — Net periodic benefit cost (c) $ 153 $ 9 $ 165 $ 13 $ 124 $ 21 $ 4 $ 10 $ 10 Other changes in plan assets and benefit obligations recognized in other comprehensive (income) loss (pretax): Actuarial loss (gain) (d) $ 30 $ (25 ) $ 149 $ 33 $ (161 ) $ (15 ) $ (21 ) $ 42 $ (31 ) Amortization of actuarial gain (loss) (134 ) (2 ) (128 ) (1 ) (88 ) (4 ) (1 ) — — Prior service cost (credit) (89 ) 1 — — — — — (42 ) — Amortization of prior service credit (cost) 7 (5 ) (5 ) (1 ) (6 ) (1 ) 13 6 6 Total recognized in other comprehensive (income) loss $ (186 ) $ (31 ) $ 16 $ 31 $ (255 ) $ (20 ) $ (9 ) $ 6 $ (25 ) Total recognized in net periodic benefit cost and other comprehensive (income) loss $ (33 ) $ (22 ) $ 181 $ 44 $ (131 ) $ 1 $ (5 ) $ 16 $ (15 ) (a) Related to workforce reductions, which reduced the future expected years of service for employees participating in the plans and the impact of discontinuing accruals for future benefits under the U.K. pension plan effective December 31, 2015. (b) Settlement losses are recorded when lump sum payments from a plan in a period exceed the plan’s total service and interest costs for the period. Such settlements occurred in one or more of our U.S. pension plans in all periods presented. (c) Net periodic benefit cost reflects a calculated market-related value of plan assets which recognizes changes in fair value over three years. (d) Activity in 2014 includes the impact of the sale of our Norway business in the fourth quarter of 2014. |
Schedule of Assumptions Used | Plan assumptions – The following summarizes the assumptions used to determine the benefit obligations at December 31, and net periodic benefit cost for the defined benefit pension and other postretirement plans for 2015 , 2014 and 2013 . Pension Benefits Other Benefits 2015 2014 2013 2015 2014 2013 (In millions) U.S. Int’l U.S. Int’l U.S. Int’l U.S. U.S. U.S. Weighted average assumptions used to determine benefit obligation: Discount rate 4.04 % 3.90 % 3.71 % 3.70 % 4.28 % 4.60 % 4.36 % 4.01 % 4.85 % Rate of compensation increase (a) 4.00 % — 4.00 % 3.60 % 5.00 % 4.90 % 4.00 % 4.00 % 5.00 % Weighted average assumptions used to determine net periodic benefit cost: Discount rate 3.79 % 3.70 % 3.98 % 4.60 % 3.79 % 4.40 % 3.93 % 4.69 % 4.06 % Expected long-term return on plan assets 6.75 % 5.70 % 6.75 % 5.70 % 7.25 % 4.90 % — — — Rate of compensation increase 4.00 % 3.60 % 5.00 % 4.90 % 5.00 % 4.50 % 4.00 % 5.00 % 5.00 % |
Schedule of Health Care Cost Trend Rates | Assumed weighted average health care cost trend rates 2015 2014 2013 Initial health care trend rate 8.00 % 6.88 % 6.89 % Ultimate trend rate 4.50 % 5.00 % 5.00 % Year ultimate trend rate is reached 2024 2024 2020 |
Fair Value of Defined Benefit Pension Plans Assets | The following tables present the fair values of our defined benefit pension plan's assets, by level within the fair value hierarchy, as of December 31, 2015 and 2014 . December 31, 2015 (In millions) Level 1 Level 2 Level 3 Total U.S. Int’l U.S. Int’l U.S. Int’l U.S. Int’l Cash and cash equivalents $ 47 $ 6 $ 1 $ — $ — $ — $ 48 $ 6 Equity securities: Common and preferred stock 115 — — — — — 115 — REIT and private equity 1 — — — 23 — 24 — Mutual and pooled funds — 218 — 152 — — — 370 Fixed income securities: U.S. treasury notes and ETFs 12 — — — — — 12 — Corporate and other bonds — — 105 — — — 105 — Commingled and pooled funds — — 23 232 — — 23 232 REIT and swaps — — 2 — — — 2 — Other — — — — 25 — 25 — Total investments, at fair value $ 175 $ 224 $ 131 $ 384 $ 48 $ — $ 354 $ 608 December 31, 2014 (In millions) Level 1 Level 2 Level 3 Total U.S. Int’l U.S. Int’l U.S. Int’l U.S. Int’l Cash and cash equivalents $ 26 $ 1 $ — $ — $ — $ — $ 26 $ 1 Equity securities: Common and preferred stock 230 — — — — — 230 — REIT and private equity — — — — 25 — 25 — Mutual and pooled funds — 221 — 164 — — — 385 Fixed income securities: U.S. treasury notes and ETFs 33 — — — — — 33 — Corporate and other bonds — — 190 — — — 190 — Commingled and pooled funds — — 40 236 — — 40 236 Other — — — — 30 — 30 — Total investments, at fair value $ 289 $ 222 $ 230 $ 400 $ 55 $ — $ 574 $ 622 |
Schedule of Expected Benefit Payments | Estimated future benefit payments – The following gross benefit payments, which were estimated based on actuarial assumptions applied at December 31, 2015 and reflect expected future services, as appropriate, are to be paid in the years indicated. Pension Benefits Other Benefits (In millions) U.S. Int’l U.S. 2016 $ 61 $ 16 $ 21 2017 61 17 21 2018 59 20 20 2019 55 21 20 2020 53 22 20 2021 through 2025 224 125 89 |
Incentive Based Compensation 50
Incentive Based Compensation Plans (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Incentive Based Compensation Plans [Abstract] | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | During 2015 , we granted stock option awards to officer employees. During 2014 and 2013 , we granted stock option awards to both officer and non-officer employees. The weighted average grant date fair value of these awards was based on the following weighted average Black-Scholes assumptions: 2015 2014 2013 Exercise price per share $29.06 $34.49 $33.54 Expected annual dividend yield 2.9 % 2.3 % 2.1 % Expected life in years 6.2 5.9 6.1 Expected volatility 32 % 38 % 38 % Risk-free interest rate 1.7 % 1.8 % 1.6 % Weighted average grant date fair value of stock option awards granted $6.84 $10.50 $10.25 |
Schedule of Share-based Compensation, Stock Options, Activity | The following is a summary of stock option award activity in 2015 . Number Weighted Average Weighted Average Remaining Average Intrinsic Value of Shares Exercise Price Contractual Term (in millions) Outstanding at beginning of year 13,427,836 $29.68 Granted 724,082 $29.06 Exercised (553,401) $16.85 Canceled (933,098) $32.99 Outstanding at end of year 12,665,419 $29.97 4 years $ — Exercisable at end of year 10,654,799 $29.50 3 years $ — Expected to vest 1,996,175 $32.45 8 years $ — |
Schedule of Nonvested Restricted Stock Units Activity | The following is a summary of restricted stock and restricted stock unit award activity in 2015 . Awards Weighted Average Grant Date Fair Value Unvested at beginning of year 3,448,353 $34.04 Granted 2,994,558 $28.90 Vested & Exercised (1,350,344 ) $33.40 Canceled (1,075,223 ) $32.70 Unvested at end of year 4,017,344 $30.76 |
Schedule of Performance Units, Valuation [Table Text Block] | The key assumptions used in the Monte Carlo simulation to determine the fair value of stock-based performance units granted in 2015, 2014 and 2013 were: 2015 2014 2013 Valuation date stock price $12.59 $12.59 $12.98 Expected annual dividend yield 1.5 % 1.5 % 1.5 % Expected volatility 37 % 46 % 62 % Risk-free interest rate 1.1 % 0.7 % 0.1 % Fair value of stock-based performance units outstanding $7.08 $6.04 $0.18 |
Reclassifications Out of Accu51
Reclassifications Out of Accumulated Other Comprehensive Income (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Reclassifications out of AccumulatedOtherComprehensiveIncome [Abstract] | |
Reclassification out of AOCI [Text Block] | Reclassifications Out of Accumulated Other Comprehensive Loss The following table presents a summary of amounts reclassified from accumulated other comprehensive loss to income (loss) from continuing operations in their entirety: Year Ended December 31, (In millions) 2015 2014 Income Statement Line Postretirement and postemployment plans Amortization of actuarial loss $ (24 ) $ (30 ) General and administrative Net settlement loss (119 ) (99 ) General and administrative Net curtailment gain 8 — General and administrative (135 ) (129 ) Income (loss) from operations 51 62 Provision for income taxes Other insignificant items, net of tax — (1 ) Total reclassifications $ (84 ) $ (68 ) Income (loss) from continuing operations |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Leases [Abstract] | |
Future Minimum Commitments For Capital And Operating Leases Table | Future minimum commitments for capital lease obligations and for operating lease obligations having noncancellable lease terms in excess of one year are as follows: (In millions) Capital Lease Obligations Operating Lease Obligations 2016 $ 1 $ 30 2017 1 26 2018 1 24 2019 1 24 2020 1 24 Later years 16 30 Sublease rentals — (1 ) Total minimum lease payments $ 21 $ 157 Less imputed interest costs (12 ) Present value of net minimum lease payments $ 9 |
Summary of Principal Accounti53
Summary of Principal Accounting Policies DDA (Details) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Office furniture, equipment and computer hardwareWells and Related Equipment and Facilities [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 3 years | |
Office furniture, equipment and computer hardwareWells and Related Equipment and Facilities [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 15 years | |
Pipelines [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 10 years | |
Pipelines [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 40 years | |
Plants, facilities, mine equipment and infrastructure [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 16 years | |
Plants, facilities, mine equipment and infrastructure [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 40 years |
Variable Interest Entities (Det
Variable Interest Entities (Details) - Variable Interest Entity, Not Primary Beneficiary [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Variable Interest Entity [Line Items] | ||
Variable Interest Entity, Qualitative or Quantitative Information, Ownership Percentage | 20.00% | |
Recorded liability related to unconsolidated VIE | $ 2 | $ 3 |
Maximum exposure to loss related to unconsolidated VIE | $ 447 |
Acquisitions Acquisitions Asset
Acquisitions Acquisitions Asset (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2014 | Sep. 30, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Business Acquisition [Line Items] | |||||
Payments to Acquire Businesses, Net of Cash Acquired | $ 0 | $ 21 | $ 74 | ||
Oklahoma Resource Basin [Member] | |||||
Business Acquisition [Line Items] | |||||
Payments to Acquire Businesses, Net of Cash Acquired | $ 68 | ||||
SCOOP [Member] | |||||
Business Acquisition [Line Items] | |||||
Payments to Acquire Businesses, Net of Cash Acquired | $ 58 |
Acquisitions Business Combinati
Acquisitions Business Combination (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | ||
Jul. 31, 2013 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Business Combination, Consideration Transferred [Abstract] | ||||
Payments to Acquire Businesses, Net of Cash Acquired | $ 0 | $ 21 | $ 74 | |
Eagle Ford [Member] | ||||
Business Acquisition [Line Items] | ||||
Fair Value Inputs, Discount Rate | 10.00% | |||
Business Combination, Consideration Transferred [Abstract] | ||||
Payments to Acquire Businesses, Net of Cash Acquired | $ 74 | |||
Business Combination, Consideration Transferred, Other | 23 | |||
Business Combination, Consideration Transferred | $ 97 |
Dispositions (Details)
Dispositions (Details) - USD ($) $ in Millions | 1 Months Ended | 2 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||
Nov. 30, 2015 | Aug. 31, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | Feb. 28, 2013 | Jan. 31, 2013 | Feb. 22, 2016 | Mar. 31, 2016 | Jun. 30, 2015 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2015 | |
Dispositions Detail [Line Items] | |||||||||||||
Proceeds from Sale of Oil and Gas Property and Equipment | $ 225 | $ 3,760 | $ 450 | ||||||||||
GOM Producing Properties [Member] | |||||||||||||
Dispositions Detail [Line Items] | |||||||||||||
Proceeds from Sale of Oil and Gas Property and Equipment | $ 111 | $ 228 | |||||||||||
Kenya and Ethiopia Assets [Member] | |||||||||||||
Dispositions Detail [Line Items] | |||||||||||||
Pretax gain/loss on sale | $ 109 | ||||||||||||
East Texas/North Louisiana and Wilburton Assets [Member] | |||||||||||||
Dispositions Detail [Line Items] | |||||||||||||
Proceeds from Sale of Oil and Gas Property and Equipment | $ 100 | ||||||||||||
Pretax gain/loss on sale | $ 1 | ||||||||||||
Williston Basin [Member] | |||||||||||||
Dispositions Detail [Line Items] | |||||||||||||
Proceeds from Sale of Oil and Gas Property and Equipment | $ 90 | ||||||||||||
Pretax gain/loss on sale | $ 91 | ||||||||||||
DJ Basin [Member] | |||||||||||||
Dispositions Detail [Line Items] | |||||||||||||
Proceeds from Sale of Oil and Gas Property and Equipment | $ 19 | ||||||||||||
Pretax gain/loss on sale | 114 | ||||||||||||
Marcellus Shale [Member] | |||||||||||||
Dispositions Detail [Line Items] | |||||||||||||
Pretax gain/loss on sale | $ 43 | ||||||||||||
Neptune Gas Plant [Member] | |||||||||||||
Dispositions Detail [Line Items] | |||||||||||||
Proceeds from Sale of Oil and Gas Property and Equipment | 166 | ||||||||||||
Pretax gain/loss on sale | $ (98) | ||||||||||||
Alaska EP [Member] | |||||||||||||
Dispositions Detail [Line Items] | |||||||||||||
Proceeds from Sale of Oil and Gas Property and Equipment | $ 195 | ||||||||||||
Proceeds from Sale of Oil and Gas Property and Equipment, Six Month Escrow | $ 50 | ||||||||||||
Pretax gain/loss on sale | $ (55) | ||||||||||||
Safen Block [Member] | |||||||||||||
Dispositions Detail [Line Items] | |||||||||||||
Pretax gain/loss on sale | $ 17 | ||||||||||||
Interest Percentage | 45.00% | ||||||||||||
Neptune Field [Member] | |||||||||||||
Dispositions Detail [Line Items] | |||||||||||||
Disposal Group, Including Discontinued Operation, Assets | 31 | ||||||||||||
Disposal Group, Including Discontinued Operation, Liabilities | 54 | ||||||||||||
Fair Value, Measurements, Nonrecurring [Member] | |||||||||||||
Dispositions Detail [Line Items] | |||||||||||||
Assets, Fair Value Adjustment | $ 412 | $ 132 | $ 96 | ||||||||||
Fair Value, Measurements, Nonrecurring [Member] | East Texas/North Louisiana and Wilburton Assets [Member] | Fair Value, Inputs, Level 3 [Member] | |||||||||||||
Dispositions Detail [Line Items] | |||||||||||||
Assets, Fair Value Adjustment | $ (44) | ||||||||||||
Subsequent Event [Member] | Neptune Field [Member] | |||||||||||||
Dispositions Detail [Line Items] | |||||||||||||
Proceeds from Sale of Oil and Gas Property and Equipment | $ 4 | ||||||||||||
Scenario, Forecast [Member] | Kenya and Ethiopia Assets [Member] | |||||||||||||
Dispositions Detail [Line Items] | |||||||||||||
Proceeds from Sale of Oil and Gas Property and Equipment | $ (10) |
Dispositions Discontinued Opera
Dispositions Discontinued Operations (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Disposal Group, Including Discontinued Operation, Balance Sheet Disclosures [Abstract] | |||||
Proceeds from Sale of Oil and Gas Property and Equipment | $ 225 | $ 3,760 | $ 450 | ||
ANGOLA | |||||
Disposal Group, Including Discontinued Operation, Income Statement Disclosures [Abstract] | |||||
Discontinued Operation, Gain (Loss) on Disposal of Discontinued Operation, Net of Tax | 532 | ||||
Disposal Group, Including Discontinued Operation, Revenue | 58 | 361 | |||
Discontinued Operation, Income (Loss) from Discontinued Operation During Phase-out Period, before Income Tax | 51 | 247 | |||
Discontinued Operation, Gain (Loss) from Disposal of Discontinued Operation, before Income Tax | 426 | 0 | |||
Disposal Group, Including Discontinued Operation, Balance Sheet Disclosures [Abstract] | |||||
Proceeds from Sale of Oil and Gas Property and Equipment | $ 2,000 | ||||
Interest Percentage | 10.00% | ||||
NORWAY | |||||
Disposal Group, Including Discontinued Operation, Income Statement Disclosures [Abstract] | |||||
Discontinued Operation, Gain (Loss) on Disposal of Discontinued Operation, Net of Tax | $ 976 | ||||
Disposal Group, Including Discontinued Operation, Revenue | 1,981 | 3,176 | |||
Discontinued Operation, Income (Loss) from Discontinued Operation During Phase-out Period, before Income Tax | 1,693 | 2,537 | |||
Discontinued Operation, Gain (Loss) from Disposal of Discontinued Operation, before Income Tax | $ 1,406 | $ 0 | |||
Disposal Group, Including Discontinued Operation, Balance Sheet Disclosures [Abstract] | |||||
Proceeds from Sale of Oil and Gas Property and Equipment | 2,100 | ||||
Cash Transferred To Buyer | $ 589 |
Income per Common Share (Detail
Income per Common Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Earnings Per Share [Abstract] | |||
Income from continuing operations | $ (2,204) | $ 969 | $ 931 |
Discontinued operations | 0 | 2,077 | 822 |
Net income | $ (2,204) | $ 3,046 | $ 1,753 |
Weighted average common shares outstanding, basic | 677 | 680 | 705 |
Effect of dilutive securities | 0 | 3 | 4 |
Weighted average common shares outstanding, diluted | 677 | 683 | 709 |
Basic: | |||
Income from continuing operations (in dollars per basic share) | $ (3.26) | $ 1.42 | $ 1.32 |
Discontinued operations (in dollars per basic share) | 0 | 3.06 | 1.17 |
Net income (in dollars per basic share) | (3.26) | 4.48 | 2.49 |
Diluted: | |||
Income from continuing operations (in dollars per diluted share) | (3.26) | 1.42 | 1.31 |
Discontinued operations (in dollars per diluted share) | 0 | 3.04 | 1.16 |
Net income (in dollars per diluted share) | $ (3.26) | $ 4.46 | $ 2.47 |
Antidilutive securities excluded from computation of earnings per share | 13 | 4 | 5 |
Segment Information (Details)
Segment Information (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||
Jun. 30, 2015 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |||||
Segment Reporting Information [Line Items] | ||||||||
Sales and other operating revenues | $ 4,951 | $ 8,736 | $ 9,246 | |||||
Marketing revenues | 571 | 2,110 | 2,079 | |||||
Total revenues | 5,522 | 10,846 | 11,325 | |||||
Income from equity method investments | 145 | 424 | 423 | |||||
Net gain (loss) on disposal of assets and other income | 194 | (12) | 35 | |||||
Production expenses | 1,694 | 2,246 | 2,156 | |||||
Marketing costs | 569 | 2,105 | 2,076 | |||||
Exploration expenses | 1,318 | 793 | 891 | |||||
Depreciation, depletion and amortization | 2,957 | 2,861 | 2,500 | |||||
Impairment of Oil and Gas Properties | 752 | 132 | 96 | |||||
Other expenses | [1] | 1,028 | 1,116 | 1,048 | ||||
Taxes other than income | 234 | 406 | 345 | |||||
Net interest and other | 267 | 238 | 278 | |||||
Provision for income taxes | (754) | 392 | 1,462 | |||||
Segment income/Income from continuing operations | (2,204) | 969 | 931 | |||||
Property, Plant and Equipment, Additions | [2] | 2,936 | 5,495 | 4,449 | ||||
Severance Costs | 55 | |||||||
Deferred Income Tax Expense (Benefit) | (806) | 88 | (34) | |||||
North America Exploration and Production [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Sales and other operating revenues | 3,358 | 5,770 | 5,068 | |||||
Marketing revenues | 396 | 1,839 | 1,797 | |||||
Total revenues | 3,754 | 7,609 | 6,865 | |||||
Income from equity method investments | 0 | 0 | 0 | |||||
Net gain (loss) on disposal of assets and other income | 24 | 23 | 12 | |||||
Production expenses | 724 | 891 | 797 | |||||
Marketing costs | 401 | 1,836 | 1,796 | |||||
Exploration expenses | 362 | 608 | 725 | |||||
Depreciation, depletion and amortization | 2,377 | 2,342 | 1,927 | |||||
Impairment of Oil and Gas Properties | 2 | 23 | 41 | |||||
Other expenses | [1] | 462 | 473 | 420 | ||||
Taxes other than income | 215 | 385 | 318 | |||||
Net interest and other | 0 | 0 | 0 | |||||
Provision for income taxes | (279) | 381 | 324 | |||||
Segment income/Income from continuing operations | (486) | 693 | 529 | |||||
Property, Plant and Equipment, Additions | [2] | 2,553 | 4,698 | 3,649 | ||||
International Exploration and Production [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Sales and other operating revenues | 728 | 1,410 | 2,654 | |||||
Marketing revenues | 103 | 219 | 264 | |||||
Total revenues | 831 | 1,629 | 2,918 | |||||
Income from equity method investments | 157 | 424 | 427 | |||||
Net gain (loss) on disposal of assets and other income | 27 | 57 | 50 | |||||
Production expenses | 255 | 386 | 359 | |||||
Marketing costs | 99 | 217 | 262 | |||||
Exploration expenses | 101 | 185 | 166 | |||||
Depreciation, depletion and amortization | 295 | 269 | 331 | |||||
Impairment of Oil and Gas Properties | 0 | 0 | 0 | |||||
Other expenses | [1] | 92 | 197 | 161 | ||||
Taxes other than income | 0 | 0 | 0 | |||||
Net interest and other | 0 | 0 | 0 | |||||
Provision for income taxes | 61 | 288 | 1,358 | |||||
Segment income/Income from continuing operations | 112 | 568 | 758 | |||||
Property, Plant and Equipment, Additions | [2] | 368 | 534 | 456 | ||||
Oil Sands Mining Segment [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Sales and other operating revenues | 815 | 1,556 | 1,576 | |||||
Marketing revenues | 72 | 52 | 18 | |||||
Total revenues | 887 | 1,608 | 1,594 | |||||
Income from equity method investments | 0 | 0 | 0 | |||||
Net gain (loss) on disposal of assets and other income | 21 | 4 | 5 | |||||
Production expenses | 715 | 969 | 1,000 | |||||
Marketing costs | 69 | 52 | 18 | |||||
Exploration expenses | 0 | 0 | 0 | |||||
Depreciation, depletion and amortization | 236 | 206 | 218 | |||||
Impairment of Oil and Gas Properties | 5 | 0 | 0 | |||||
Other expenses | [1] | 34 | 54 | 66 | ||||
Taxes other than income | 18 | 20 | 22 | |||||
Net interest and other | 0 | 0 | 0 | |||||
Provision for income taxes | (56) | 76 | 69 | |||||
Segment income/Income from continuing operations | (113) | 235 | 206 | |||||
Property, Plant and Equipment, Additions | [2] | (10) | 212 | 286 | ||||
Corporate and Other [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Sales and other operating revenues | 50 | [3] | 0 | (52) | [4] | |||
Marketing revenues | 0 | 0 | 0 | |||||
Total revenues | 50 | 0 | (52) | |||||
Income from equity method investments | (12) | [5] | 0 | (4) | [6] | |||
Net gain (loss) on disposal of assets and other income | 122 | [7] | (96) | [8] | (32) | [9] | ||
Production expenses | 0 | 0 | 0 | |||||
Marketing costs | 0 | 0 | 0 | |||||
Exploration expenses | 855 | [10] | 0 | 0 | ||||
Depreciation, depletion and amortization | 49 | 44 | 24 | |||||
Impairment of Oil and Gas Properties | [11] | 745 | 109 | 55 | ||||
Other expenses | [1] | 440 | [12] | 392 | [13] | 401 | [14] | |
Taxes other than income | 1 | 1 | 5 | |||||
Net interest and other | 267 | 238 | 278 | |||||
Provision for income taxes | (480) | [15] | (353) | (289) | ||||
Segment income/Income from continuing operations | (1,717) | (527) | (562) | |||||
Property, Plant and Equipment, Additions | [2] | 25 | 51 | 58 | ||||
United States Pension Plan of US Entity [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements | [16] | (119) | $ (99) | $ (45) | ||||
Alberta Government [Member] | Foreign Tax Authority [Member] | ||||||||
Segment Reporting Information [Line Items] | ||||||||
Deferred Income Tax Expense (Benefit) | $ 135 | $ 135 | ||||||
[1] | Includes other operating expenses and general and administrative expenses. | |||||||
[2] | Includes accruals. | |||||||
[3] | Unrealized gain on crude oil derivative instruments. | |||||||
[4] | Unrealized loss on crude oil derivative instruments (see Note 16). | |||||||
[5] | Partial impairment of investment in equity method investee (See Note 15). | |||||||
[6] | EGHoldings impairment (See Note 15). | |||||||
[7] | Primarily related to gain on sale of our properties and interests in the Gulf of Mexico, partially offset by the loss on sale of East Africa exploration acreage (see Note 5). | |||||||
[8] | Primarily related to the sale of non-core acreage in our North America E&P segment ( See Note 5). | |||||||
[9] | Related to the disposal of assets from our North America E&P Segment (see Note 5). | |||||||
[10] | Unproved property impairments associated with lower forecasted commodity prices and change in conventional exploration strategy (See Note 13). | |||||||
[11] | Goodwill impairment (see Note 14) and proved property impairments (see Note 15). | |||||||
[12] | Includes pension settlement loss of $119 million (see Note 20) and severance related expenses associated with workforce reductions of $55 million | |||||||
[13] | Includes pension settlement loss of $99 million (See Note 20). | |||||||
[14] | Includes pension settlement loss of $45 million (see Note 20). | |||||||
[15] | Includes $135 million of deferred tax expense related to Alberta provincial corporate tax rate increase (see Note 9). | |||||||
[16] | Settlement losses are recorded when lump sum payments from a plan in a period exceed the plan’s total service and interest costs for the period. Such settlements occurred in one or more of our U.S. pension plans in all periods presented. |
Segment Information (Details 2)
Segment Information (Details 2) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenues | $ 5,522 | $ 10,846 | $ 11,325 | |
Long-Lived Assets | 28,064 | 30,153 | ||
UNITED STATES | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenues | 3,804 | 7,609 | 6,813 | |
Long-Lived Assets | 15,353 | 16,518 | ||
CANADA | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenues | 887 | 1,608 | 1,594 | |
Long-Lived Assets | 9,197 | 9,802 | ||
EQUATORIAL GUINEA | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Long-Lived Assets | 1,917 | 1,949 | ||
LIBYAN ARAB JAMAHIRIYA | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenues | [1] | 0 | 244 | 1,106 |
Other International [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenues | 831 | 1,385 | $ 1,812 | |
Long-Lived Assets | $ 1,597 | $ 1,884 | ||
[1] | See Note 12 for discussion of Libya operations. |
Segment Information (Details 3)
Segment Information (Details 3) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Revenue from External Customer [Line Items] | |||
Revenue, Net | $ 5,522 | $ 10,846 | $ 11,325 |
Crude oil and condensate [Member] | |||
Revenue from External Customer [Line Items] | |||
Revenue, Net | 3,963 | 8,170 | 8,688 |
Natural Gas Liquids [Member] | |||
Revenue from External Customer [Line Items] | |||
Revenue, Net | 203 | 371 | 313 |
Natural gas [Member] | |||
Revenue from External Customer [Line Items] | |||
Revenue, Net | 464 | 693 | 693 |
Synthetic crude oil [Member] | |||
Revenue from External Customer [Line Items] | |||
Revenue, Net | 781 | 1,525 | 1,542 |
Miscellaneous other [Member] | |||
Revenue from External Customer [Line Items] | |||
Revenue, Net | $ 111 | $ 87 | $ 89 |
Segment Information (Details 4)
Segment Information (Details 4) - Sales Revenue, Net [Member] | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Irving Oil [Member] | |||
Entity-Wide Revenue, Major Customer, Percent [Line Items] | |||
Entity-Wide Revenue, Major Customer, Percentage | 13.00% | ||
Shell Oil [Member] | |||
Entity-Wide Revenue, Major Customer, Percent [Line Items] | |||
Entity-Wide Revenue, Major Customer, Percentage | 11.00% | 10.00% | |
Statoil [Member] | |||
Entity-Wide Revenue, Major Customer, Percent [Line Items] | |||
Entity-Wide Revenue, Major Customer, Percentage | 10.00% |
Other Items (Details)
Other Items (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Net Interest and Other Financing [Abstract] | |||
Interest income | $ 9 | $ 7 | $ 5 |
Interest expense(a) | (358) | (309) | (319) |
Income on interest rate swaps | 11 | 12 | 9 |
Interest capitalized | 26 | 20 | 12 |
Total interest | (312) | (270) | (293) |
Net foreign currency gains (losses) | 23 | 21 | 14 |
Other | 22 | 11 | 1 |
Total other | 45 | 32 | 15 |
Net interest and other | (267) | (238) | (278) |
Aggregate foreign currency gains losses [Abstract] | |||
Net interest and other | 23 | 21 | 14 |
Provision for income taxes | (11) | (12) | (2) |
Aggregate foreign currency gains (losses) | $ 12 | $ 9 | $ 12 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | Jun. 29, 2015 | Jun. 28, 2015 | Jun. 30, 2015 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Income Tax Contingency [Line Items] | ||||||
Libya Statutory Income Tax Rate | 90.00% | 90.00% | ||||
Effective income tax rate excluding Libya | 25.00% | 27.00% | 38.00% | |||
Federal | ||||||
Current | $ (43) | $ 15 | $ 83 | |||
Deferred | (687) | 62 | (47) | |||
Total | (730) | 77 | 36 | |||
State and local | ||||||
Current | (8) | 8 | 39 | |||
Deferred | (18) | (58) | (6) | |||
Total | (26) | (50) | 33 | |||
Foreign | ||||||
Current | 103 | 281 | 1,374 | |||
Deferred | (101) | 84 | 19 | |||
Total | 2 | 365 | 1,393 | |||
Current Income Tax Expense (Benefit) | 52 | 304 | 1,496 | |||
Deferred Income Tax Expense (Benefit) | (806) | 88 | (34) | |||
Income Tax Expense (Benefit) | $ (754) | $ 392 | $ 1,462 | |||
Effective Tax Rate Reconciliation [Abstract] | ||||||
Statutory rate applied to income from continuing operations before income taxes | (35.00%) | 35.00% | 35.00% | |||
Effects of foreign operations, including foreign tax credits | (2.00%) | (6.00%) | 26.00% | |||
Change in permanent reinvestment assertion | 0.00% | (19.00%) | 0.00% | |||
Adjustments to valuation allowances | 3.00% | 21.00% | (1.00%) | |||
Effective Income Tax Rate Reconciliation, Change in Enacted Tax Rate, Percent | 5.00% | 0.00% | 0.00% | |||
Effective Income Tax Rate Reconciliation, Goodwill Impairment | 4.00% | 0.00% | 0.00% | |||
Other | 0.00% | (2.00%) | 1.00% | |||
Effective income tax rate on continuing operations | (25.00%) | 29.00% | 61.00% | |||
Deferred tax assets: | ||||||
Employee benefits | $ 260 | $ 364 | ||||
Operating loss carryforwards | 563 | 245 | ||||
Capital Loss Carryforwards | 17 | 89 | ||||
Deferred Tax Assets, Foreign Tax Credits | 4,335 | 4,062 | ||||
Deferred Tax Assets, Other Tax Carryforwards | 35 | 0 | ||||
Deferred Tax Assets, Investment in Subsidiaries | 17 | 0 | ||||
Other | 73 | 116 | ||||
Valuation allowances: | ||||||
Federal | (2,820) | (2,775) | ||||
State, net of federal benefit | (56) | (58) | ||||
Foreign | (162) | (108) | ||||
Total deferred tax assets | 2,262 | 1,935 | ||||
Deferred tax liabilities: | ||||||
Property, plant and equipment | 3,376 | 3,737 | ||||
Investments in subsidiaries and affiliates | 0 | 66 | ||||
Other | 105 | 67 | ||||
Total deferred tax liabilities | 3,481 | 3,870 | ||||
Deferred Tax Liabilities, Net | 1,219 | $ 1,935 | ||||
LIBYAN ARAB JAMAHIRIYA | ||||||
Income Tax Contingency [Line Items] | ||||||
Deferred Tax Assets, Operating Loss Carryforwards | 84 | |||||
Foreign Tax Authority [Member] | Alberta Government [Member] | ||||||
Income Tax Contingency [Line Items] | ||||||
Effective Income Tax Rate Reconciliation, Provincial Corporate Tax Rate | 12.00% | 10.00% | ||||
Foreign | ||||||
Deferred Income Tax Expense (Benefit) | $ 135 | $ 135 | ||||
CANADA | ||||||
Income Tax Contingency [Line Items] | ||||||
Earnings of Foreign Subsidiaries No Longer Permanently Reinvested | $ 1,000 |
Income Taxes (Details 2)
Income Taxes (Details 2) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Tax carryforwards [Abstract] | |||
Deferred Tax Assets, Tax Credit Carryforwards, Foreign | $ 3,798 | ||
Assets | |||
Other current assets | 0 | $ 29 | |
Other noncurrent assets | 1,222 | 525 | |
Liabilities | |||
Other current liabilities | 0 | 3 | |
Noncurrent deferred tax liabilities | 2,441 | 2,486 | |
Deferred Tax Liabilities, Net | 1,219 | 1,935 | |
Libya [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Deferred Tax Assets, Operating Loss Carryforwards | 84 | ||
UNITED STATES | |||
Operating Loss Carryforwards [Line Items] | |||
Deferred Tax Assets, Operating Loss Carryforwards | 365 | ||
State and Local Jurisdiction [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Deferred Tax Assets, Operating Loss Carryforwards | 1,415 | ||
EQUATORIAL GUINEA | |||
Operating Loss Carryforwards [Line Items] | |||
Deferred Tax Assets, Operating Loss Carryforwards | 81 | ||
Foreign Country Kurdistan [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Deferred Tax Assets, Operating Loss Carryforwards | 208 | ||
CANADA | |||
Operating Loss Carryforwards [Line Items] | |||
Deferred Tax Assets, Operating Loss Carryforwards | 863 | ||
Foreign Tax Authority [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Valuation Allowances and Reserves, Adjustments | 54 | 41 | $ (61) |
Internal Revenue Service (IRS) [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Valuation Allowances and Reserves, Charged to Cost and Expense | $ 45 | $ 930 | |
Impairments and Exploration Expenses [Abstract] | |||
Valuation Allowance Deferred Tax Asset Change In Amount Foreign | $ 222 |
Income Taxes (Details 3)
Income Taxes (Details 3) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Unrecognized Tax Benefit Rollforward [Abstract] | |||
Unrecognized Tax Benefits, Beginning Balance | $ 80 | $ 146 | $ 98 |
Additions for tax positions related to the current year | 0 | 0 | 14 |
Additions for tax positions of prior years | 1 | 11 | 66 |
Reductions for tax positions of prior years | 0 | (68) | (25) |
Settlements | (7) | (9) | (5) |
Statute of limitations | (9) | 0 | (2) |
Unrecognized Tax Benefits, Ending Balance | 65 | 80 | 146 |
Unrecognized Tax Benefits That Would Impact Effective Tax Rate | 25 | ||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense [Abstract] | |||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense | 1 | 6 | 13 |
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued [Abstract] | |||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued | 14 | 16 | |
Foreign Source Income [Abstract] | |||
Foreign Earnings Repatriated | $ (654) | $ 1,180 | $ 2,336 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Inventory Disclosure [Abstract] | ||
Liquid hydrocarbons, natural gas and bitumen | $ 35 | $ 58 |
Supplies and sundry items | 278 | 299 |
Inventories at cost | $ 313 | $ 357 |
Equity Method Investments and69
Equity Method Investments and Related Party Transactions (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Equity Method Investments Disclosure [Abstract] | |||
Proceeds from Equity Method Investment, Dividends or Distributions | $ 178 | $ 451 | $ 435 |
Schedule of Equity Method Investments [Line Items] | |||
Equity Method Investments | 1,003 | 1,113 | |
Equity Method Investment, Summarized Financial Information [Abstract] | |||
Revenues and other income | 769 | 1,349 | 1,444 |
Income from operations | 313 | 826 | 849 |
Net income | 280 | 728 | 727 |
Current assets | 467 | 639 | |
Noncurrent assets | 1,317 | 1,451 | |
Current liabilities | 211 | 371 | |
Noncurrent liabilities | 41 | 39 | |
Related Party Transactions [Abstract] | |||
Revenue from Related Parties | 51 | 56 | 55 |
Related Party Transaction, Purchases from Related Party | 207 | 207 | $ 242 |
Accounts Receivable, Related Parties, Current | 29 | 31 | |
Accounts Payable, Related Parties, Current | $ 5 | 11 | |
EG Holdings [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity Method Investment, Ownership Percentage | 60.00% | ||
Equity Method Investments | $ 603 | 693 | |
Alba Plant LLC [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity Method Investment, Ownership Percentage | 52.00% | ||
Equity Method Investments | $ 230 | 225 | |
AMPCO [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity Method Investment, Ownership Percentage | 45.00% | ||
Equity Method Investments | $ 169 | 194 | |
Other Equity Method Investees [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity Method Investments | $ 1 | $ 1 |
Property, Plant and Equipment70
Property, Plant and Equipment (Details) Boe in Millions, $ in Millions | Dec. 31, 2015USD ($)Boe | Dec. 31, 2014USD ($) |
Segment Reporting Information [Line Items] | ||
Less accumulated depreciation, depletion and amortization | $ (23,260) | $ (21,884) |
Property, plant and equipment, net | 27,061 | 29,040 |
North America Exploration and Production [Member] | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment, net | 15,226 | 16,717 |
International Exploration and Production [Member] | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment, net | 2,533 | 2,741 |
Oil Sands Mining Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment, net | 9,197 | 9,455 |
Corporate [Member] | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment, net | 105 | $ 127 |
Libya [Member] | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment, net | $ 777 | |
Proved Developed and Undeveloped Reserves, Net (BOE) | Boe | 235 |
Property, Plant and Equipment71
Property, Plant and Equipment (Details 2) $ in Millions | 12 Months Ended | |||||
Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | |
Property, Plant and Equipment [Abstract] | ||||||
Amounts capitalized less than one year after completion of drilling | $ 352 | $ 484 | $ 512 | |||
Amounts capitalized greater than one year after completion of drilling | 85 | 126 | 281 | |||
Total deferred exploratory well costs | $ 610 | $ 793 | $ 617 | $ 437 | $ 610 | $ 793 |
Projects that have Exploratory Well Costs that have been Capitalized for Period Greater than One Year, Number of Projects | 2 | 3 | 7 | |||
Increase (Decrease) in Capitalized Exploratory Well Costs that are Pending Determination of Proved Reserves [Roll Forward] | ||||||
Beginning balance | 610 | 793 | 617 | |||
Additions | 610 | 647 | 624 | |||
Dry well expense | (148) | (45) | (25) | |||
Transfers to development | (635) | (579) | (414) | |||
Dispositions | $ 0 | $ (206) | $ (9) | |||
Ending balance | $ 437 | $ 610 | $ 793 |
Property, Plant and Equipment72
Property, Plant and Equipment (Details 3) $ in Millions | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) |
Projects with Exploratory Well Costs Capitalized for More than One Year [Line Items] | |||
Projects that have Exploratory Well Costs that have been Capitalized for Period Greater than One Year, Number of Projects | 2 | 3 | 7 |
Amounts capitalized greater than one year after completion of drilling | $ 85 | $ 126 | $ 281 |
GABON | |||
Projects with Exploratory Well Costs Capitalized for More than One Year [Line Items] | |||
Amounts capitalized greater than one year after completion of drilling | 63 | ||
EQUATORIAL GUINEA | |||
Projects with Exploratory Well Costs Capitalized for More than One Year [Line Items] | |||
Amounts capitalized greater than one year after completion of drilling | $ 22 |
Impairment and Exploration Ex73
Impairment and Exploration Expenses Impairments (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||
Jun. 30, 2015 | Dec. 31, 2013 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Impaired Long-Lived Assets Held and Used [Line Items] | |||||
Goodwill, Impairment Loss | $ 340 | ||||
Impairment of Oil and Gas Properties | 752 | $ 132 | $ 96 | ||
Asset Impairment Charges | 752 | 132 | 96 | ||
East Texas/North Louisiana and Wilburton Assets [Member] | |||||
Impaired Long-Lived Assets Held and Used [Line Items] | |||||
Impairment of Oil and Gas Properties | $ 44 | ||||
Impairment of Eq Guinea Lng [Member] | |||||
Impaired Long-Lived Assets Held and Used [Line Items] | |||||
Impairment of Oil and Gas Properties | $ 40 | ||||
Colorado and Gulf of Mexico [Member] | |||||
Impaired Long-Lived Assets Held and Used [Line Items] | |||||
Impairment of Oil and Gas Properties | 335 | ||||
Powder River Basin Assets [Member] | |||||
Impaired Long-Lived Assets Held and Used [Line Items] | |||||
Impairment of Oil and Gas Properties | $ 15 | ||||
North America Exploration and Production [Member] | |||||
Impaired Long-Lived Assets Held and Used [Line Items] | |||||
Goodwill, Impairment Loss | 340 | ||||
Impairment of Oil and Gas Properties | $ 2 | $ 23 | $ 41 |
Impairment and Exploration Ex74
Impairment and Exploration Expenses Exploration Expenses (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | ||
Exploration Expenses [Line Items] | ||||
Exploration expenses | $ 1,318 | $ 793 | $ 891 | |
Dry Well Costs [Member] | ||||
Exploration Expenses [Line Items] | ||||
Exploration expenses | 250 | 317 | 148 | |
Geological and Geophysical [Member] | ||||
Exploration Expenses [Line Items] | ||||
Exploration expenses | 31 | 85 | 80 | |
Other Exploration Expenses [Member] | ||||
Exploration Expenses [Line Items] | ||||
Exploration expenses | 73 | 85 | 91 | |
Unproved Property Impairments [Member] | ||||
Exploration Expenses [Line Items] | ||||
Exploration expenses | 964 | 306 | 572 | |
Corporate and Other [Member] | ||||
Exploration Expenses [Line Items] | ||||
Exploration expenses | $ 855 | [1] | $ 0 | $ 0 |
[1] | Unproved property impairments associated with lower forecasted commodity prices and change in conventional exploration strategy (See Note 13). |
Goodwill (Details)
Goodwill (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Goodwill [Line Items] | |||
Beginning balance, gross | $ 1,871 | $ 1,911 | |
Less: accumulated impairment | (1,412) | (1,412) | |
Goodwill [Roll Forward] | |||
Beginning balance, net | $ 459 | 499 | |
Dispositions | (4) | (40) | |
Goodwill, Impairment Loss | (340) | ||
Ending balance, net | 115 | 459 | |
North America Exploration and Production [Member] | |||
Goodwill [Line Items] | |||
Beginning balance, gross | 344 | 347 | |
Less: accumulated impairment | 0 | 0 | |
Goodwill [Roll Forward] | |||
Beginning balance, net | 344 | 347 | |
Dispositions | (4) | (3) | |
Goodwill, Impairment Loss | (340) | ||
Ending balance, net | 0 | 344 | |
International Exploration and Production [Member] | |||
Goodwill [Line Items] | |||
Beginning balance, gross | 115 | 152 | |
Less: accumulated impairment | 0 | 0 | |
Goodwill [Roll Forward] | |||
Beginning balance, net | 115 | 152 | |
Dispositions | 0 | (37) | |
Goodwill, Impairment Loss | 0 | ||
Ending balance, net | 115 | 115 | |
Oil Sands Mining Segment [Member] | |||
Goodwill [Line Items] | |||
Beginning balance, gross | 1,412 | 1,412 | |
Less: accumulated impairment | (1,412) | $ (1,412) | |
Goodwill [Roll Forward] | |||
Beginning balance, net | 0 | 0 | |
Dispositions | 0 | 0 | |
Goodwill, Impairment Loss | 0 | ||
Ending balance, net | $ 0 | $ 0 |
Fair Value Measurements (Detail
Fair Value Measurements (Details-Recurring) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement [Line Items] | ||
Derivative Assets | $ 59 | $ 8 |
Derivative Liability | 1 | |
Commodity Contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement [Line Items] | ||
Derivative Assets | 51 | |
Derivative Liability | 1 | |
Interest rate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement [Line Items] | ||
Derivative Assets | 8 | 8 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement [Line Items] | ||
Derivative Assets | 0 | 0 |
Derivative Liability | 0 | |
Fair Value, Inputs, Level 1 [Member] | Commodity Contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement [Line Items] | ||
Derivative Assets | 0 | |
Derivative Liability | 0 | |
Fair Value, Inputs, Level 1 [Member] | Interest rate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement [Line Items] | ||
Derivative Assets | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement [Line Items] | ||
Derivative Assets | 59 | 8 |
Derivative Liability | 1 | |
Fair Value, Inputs, Level 2 [Member] | Commodity Contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement [Line Items] | ||
Derivative Assets | 51 | |
Derivative Liability | 1 | |
Fair Value, Inputs, Level 2 [Member] | Interest rate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement [Line Items] | ||
Derivative Assets | 8 | 8 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement [Line Items] | ||
Derivative Assets | 0 | 0 |
Derivative Liability | 0 | |
Fair Value, Inputs, Level 3 [Member] | Commodity Contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement [Line Items] | ||
Derivative Assets | 0 | |
Derivative Liability | 0 | |
Fair Value, Inputs, Level 3 [Member] | Interest rate [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement [Line Items] | ||
Derivative Assets | $ 0 | $ 0 |
Fair Value Measurements (Deta77
Fair Value Measurements (Details 2-Nonrecurring) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2013 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Financial Statement [Line Items] | ||||||||
Impairment of Oil and Gas Properties | $ 752 | $ 132 | $ 96 | |||||
Colorado and Gulf of Mexico [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Financial Statement [Line Items] | ||||||||
Impairment of Oil and Gas Properties | 335 | |||||||
East Texas/North Louisiana and Wilburton Assets [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Financial Statement [Line Items] | ||||||||
Impairment of Oil and Gas Properties | $ 44 | |||||||
Assets Held and Used Eq Guinea Lng [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Financial Statement [Line Items] | ||||||||
Impairment of Oil and Gas Properties | $ 40 | |||||||
Fair Value, Measurements, Nonrecurring [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Financial Statement [Line Items] | ||||||||
Property, Plant, and Equipment, Fair Value Disclosure | $ 56 | $ 5 | 56 | 43 | 5 | |||
Assets, Fair Value Adjustment | $ 412 | 132 | 96 | |||||
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | Colorado and Gulf of Mexico [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Financial Statement [Line Items] | ||||||||
Property, Plant, and Equipment, Fair Value Disclosure | $ 41 | |||||||
Assets, Fair Value Adjustment | 333 | |||||||
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | East Texas/North Louisiana and Wilburton Assets [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Financial Statement [Line Items] | ||||||||
Assets, Fair Value Adjustment | $ (44) | |||||||
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | Gulf of Mexico Assets [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Financial Statement [Line Items] | ||||||||
Property, Plant, and Equipment, Fair Value Disclosure | $ 19 | |||||||
Assets, Fair Value Adjustment | 53 | |||||||
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | Other Domestic Fields [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Financial Statement [Line Items] | ||||||||
Property, Plant, and Equipment, Fair Value Disclosure | 24 | |||||||
Assets, Fair Value Adjustment | $ 47 | |||||||
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | Assets Held and Used Ozona [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Financial Statement [Line Items] | ||||||||
Assets, Fair Value Adjustment | $ 30 | 21 | ||||||
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | EG Equity Method Investment [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Financial Statement [Line Items] | ||||||||
Property, Plant, and Equipment, Fair Value Disclosure | 604 | |||||||
Assets, Fair Value Adjustment | $ 12 | |||||||
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | Assets Held and Used Eq Guinea Lng [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Financial Statement [Line Items] | ||||||||
Equity Method Investment, Other than Temporary Impairment | $ 4 | |||||||
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | OSM Bottlenecking Project [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Financial Statement [Line Items] | ||||||||
Assets, Fair Value Adjustment | $ 26 |
Fair Value Measurements (Deta78
Fair Value Measurements (Details 3-Reported) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 | |
Estimate of Fair Value Measurement [Member] | |||
Financial assets | |||
Other noncurrent financial assets | $ 104 | $ 132 | |
Total financial assets | 104 | 132 | |
Financial liabilities | |||
Other current financial liabilities | 34 | 13 | |
Long-term debt, including current portion(a) | 6,723 | [1] | 6,887 |
Deferred credits and other liabilities | 97 | 69 | |
Financial Liabilities Fair Value Disclosure | 6,854 | 6,969 | |
Reported Value Measurement [Member] | |||
Financial assets | |||
Other noncurrent financial assets | 118 | 129 | |
Total financial assets | 118 | 129 | |
Financial liabilities | |||
Other current financial liabilities | 33 | 13 | |
Long-term debt, including current portion(a) | 7,291 | [1] | 6,360 |
Deferred credits and other liabilities | 95 | 68 | |
Financial Liabilities Fair Value Disclosure | $ 7,419 | $ 6,441 | |
[1] | Excludes capital leases |
Derivatives (Details-BS)
Derivatives (Details-BS) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Derivatives Fair Value [Line Items] | ||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | $ 58 | |
Derivative Asset, Fair Value, Gross Asset | 59 | |
Derivative Asset, Fair Value, Gross Liability | 1 | |
Designated as Hedging Instrument [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 8 | $ 8 |
Derivative Asset, Fair Value, Gross Asset | 8 | 8 |
Derivative Asset, Fair Value, Gross Liability | 0 | 0 |
Other Noncurrent Assets [Member] | Interest rate [Member] | Fair Value Hedging [Member] | Designated as Hedging Instrument [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 8 | 8 |
Derivative Asset, Fair Value, Gross Asset | 8 | 8 |
Derivative Asset, Fair Value, Gross Liability | 0 | $ 0 |
Other Current Assets [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 50 | |
Derivative Asset, Fair Value, Gross Asset | 51 | |
Derivative Asset, Fair Value, Gross Liability | 1 | |
Other Current Assets [Member] | Commodity Contract [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 50 | |
Derivative Asset, Fair Value, Gross Asset | 51 | |
Derivative Asset, Fair Value, Gross Liability | $ 1 |
Derivatives (Details 2-Fair Val
Derivatives (Details 2-Fair Value Hedges) - Interest Rate Contract [Member] - Fair Value Hedging [Member] - Designated as Hedging Instrument [Member] - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Debentures Due 2017 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | $ 600 | $ 600 |
Weighted-average, LIBOR-based, floating rate | 4.73% | 4.64% |
Notes Due 2018 [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | $ 300 | $ 300 |
Weighted-average, LIBOR-based, floating rate | 4.66% | 4.49% |
Derivatives (Details 3-Fair Val
Derivatives (Details 3-Fair Value Hedges IS & OCI) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Gain (Loss) on Fair Value Hedge Ineffectiveness, Net | $ 0 | $ 0 | |||
Net interest and other [Member] | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | $ 0 | $ 0 | $ 13 | ||
Discontinued Operations [Member] | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in unrealized gain (loss) on hedged item in fair value hedge | 0 | 36 | 44 | ||
Interest rate [Member] | Net interest and other [Member] | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | 0 | 0 | (13) | ||
Foreign Exchange Contract [Member] | Discontinued Operations [Member] | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | $ 0 | $ (36) | $ (44) |
Derivatives Derivatives (Detail
Derivatives Derivatives (Details 4-Non Hedges Commodity) (Details) | Dec. 31, 2015BBL / Days$ / bbl | |
Three-Way Collars Jan16-Mar16 [Member] | ||
Derivative [Line Items] | ||
Derivative, Average Cap Price | 60.03 | [1] |
Derivative, Nonmonetary Notional Amount | BBL / Days | 10,000 | [1] |
Derivative, Average Floor Price | 50.20 | [1] |
Derivatives, Average Sold Put Price | 41.60 | [1] |
Three-Way Collars Jan-Dec16 [Member] [Member] | ||
Derivative [Line Items] | ||
Derivative, Average Cap Price | 71.84 | |
Derivative, Nonmonetary Notional Amount | BBL / Days | 12,000 | |
Derivative, Average Floor Price | 60.48 | |
Derivatives, Average Sold Put Price | 50 | |
Three-Way Collars Jan-Jun16 [Member] [Member] [Member] | ||
Derivative [Line Items] | ||
Derivative, Average Cap Price | 73.13 | [2] |
Derivative, Nonmonetary Notional Amount | BBL / Days | 2,000 | [2] |
Derivative, Average Floor Price | 65 | [2] |
Derivatives, Average Sold Put Price | 50 | [2] |
Call Option Jan-Dec16 [Member] | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | BBL / Days | 10,000 | [3] |
Derivative, Average Price Risk Option Strike Price | 72.39 | [3] |
[1] | Counterparties have the option, exercisable on March 31, 2016, to extend these collars through September of 2016 at the same volume and weighted average price as the underlying three-way collars. | |
[2] | Counterparty has the option, exercisable on June 30, 2016, to extend these collars through the remainder of 2016 at the same volume and weighted average price as the underlying three-way collars. | |
[3] | Call options settle monthly. |
Derivatives Derivatives (Deta83
Derivatives Derivatives (Details 5-Non Hedges) (Details) - Not Designated as Hedging Instrument [Member] $ in Millions | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Commodity [Member] | Sales [Member] | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Derivative Instruments, Gain (Loss) Recognized in Income, Net | $ (128) |
Treasury Lock [Member] | Net Interest and other Financing Costs [Member] | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Derivative Instruments, Gain (Loss) Recognized in Income, Net | $ (6) |
Debt Revolver (Details)
Debt Revolver (Details) | 1 Months Ended | |||||||
May. 31, 2014extension | Dec. 31, 2015USD ($) | Jun. 10, 2015USD ($) | May. 31, 2015USD ($) | Apr. 30, 2015USD ($) | Dec. 31, 2014USD ($) | |||
Debt Instrument [Line Items] | ||||||||
Other Long-term Debt, Noncurrent | $ 7,309,000,000 | [1] | $ 2,000,000,000 | $ 6,377,000,000 | ||||
Line of Credit Facility, Amount Outstanding | 0 | |||||||
Commercial paper | $ 0 | |||||||
Line of Credit Facility, Maximum Borrowing Capacity | [2] | $ 3,000,000,000 | $ 2,500,000,000 | |||||
Line of Credit Facility, Increase in Borrowing Capacity | [2] | 500,000,000 | ||||||
Line of Credit Facility, Expiration Date | May 31, 2020 | |||||||
Line Of Credit Extended Borrowing Capacity | [2] | 500,000,000 | ||||||
Line of Credit Facility, Number of One Year Extensions | extension | 2 | |||||||
Ratio of Indebtedness to Net Capital | [2] | 0.28 | ||||||
Bridge Loan [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Line of Credit Facility, Maximum Borrowing Capacity | [2] | 100,000,000 | ||||||
Letter of Credit [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Line of Credit Facility, Maximum Borrowing Capacity | [2] | $ 500,000,000 | ||||||
Maximum [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Ratio of Indebtedness to Net Capital | [2] | 0.65 | ||||||
[1] | After the adoption of the debt issuance costs standard, these costs are now reflected as a direct reduction from the associated debt liability in our consolidated balance sheets. See Note 2 for information. | |||||||
[2] | These notes contain a make-whole provision allowing us to repay the debt at a premium to market price |
Debt (Details)
Debt (Details) - USD ($) | Dec. 31, 2015 | Nov. 30, 2015 | Jun. 10, 2015 | Dec. 31, 2014 | ||
Debt Instrument [Line Items] | ||||||
Other Long-term Debt, Noncurrent | $ 7,309,000,000 | [1] | $ 2,000,000,000 | $ 6,377,000,000 | ||
Unamortized Discount | (10,000,000) | (8,000,000) | ||||
Fair value adjustments | 17,000,000 | 22,000,000 | ||||
Unamortized Debt Issuance Expense | (39,000,000) | (28,000,000) | ||||
Amounts due within one year | (1,000,000) | (1,068,000,000) | ||||
Total long-term debt due after one year | 7,276,000,000 | 5,295,000,000 | ||||
Debt Immediately Due If Change In Control | 236,000,000 | |||||
Long-term Debt, Fiscal Year Maturity [Abstract] | ||||||
2,015 | 1,000,000 | |||||
2,016 | 682,000,000 | |||||
2,017 | 854,000,000 | |||||
2,018 | 228,000,000 | |||||
2,019 | 600,000,000 | |||||
Thereafter | $ 4,944,000,000 | |||||
Senior Unsecured Notes Due 2015 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 0.90% | [2] | 0.90% | |||
Other Long-term Debt, Noncurrent | $ 0 | $ 1,000,000,000 | 1,000,000,000 | |||
Senior Unsecured Notes Due 2017 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | [2] | 6.00% | ||||
Other Long-term Debt, Noncurrent | $ 682,000,000 | 682,000,000 | ||||
Senior Unsecured Notes Due 2018 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | [2] | 5.90% | ||||
Other Long-term Debt, Noncurrent | $ 854,000,000 | 854,000,000 | ||||
Senior Unsecured Notes Due 2019 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | [2] | 7.50% | ||||
Other Long-term Debt, Noncurrent | $ 228,000,000 | 228,000,000 | ||||
Senior Unsecured Notes Due 2020 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 2.70% | [2] | 2.70% | |||
Other Long-term Debt, Noncurrent | $ 600,000,000 | $ 600,000,000 | 0 | |||
Senior Unsecured Notes Due 2022 [A] [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | [2] | 2.80% | ||||
Other Long-term Debt, Noncurrent | $ 1,000,000,000 | 1,000,000,000 | ||||
Senior Unsecured Notes Due 2022 [B] [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 9.375% | |||||
Other Long-term Debt, Noncurrent | $ 32,000,000 | 32,000,000 | ||||
Senior Unsecured Notes Due 2023 [A] [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 8.50% | |||||
Other Long-term Debt, Noncurrent | $ 70,000,000 | 70,000,000 | ||||
Senior Unsecured Notes Due 2023 [B] [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 8.125% | |||||
Other Long-term Debt, Noncurrent | $ 131,000,000 | 131,000,000 | ||||
Senior Unsecured Notes Due 2025 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 3.85% | [2] | 3.85% | |||
Other Long-term Debt, Noncurrent | $ 900,000,000 | $ 900,000,000 | 0 | |||
Senior Unsecured Notes Due 2032 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | [2] | 6.80% | ||||
Other Long-term Debt, Noncurrent | $ 550,000,000 | 550,000,000 | ||||
Senior Unsecured Notes Due 2037 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 6.60% | |||||
Other Long-term Debt, Noncurrent | $ 750,000,000 | 750,000,000 | ||||
Senior Unsecured Notes Due 2045 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 5.20% | 5.20% | ||||
Other Long-term Debt, Noncurrent | $ 500,000,000 | $ 500,000,000 | 0 | |||
Capital Lease Obligation of Consolidated Subsidiary due 2016 - 2049 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Other Long-term Debt, Noncurrent | $ 9,000,000 | 9,000,000 | ||||
Promissory Note Due 2015 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 4.55% | |||||
Other Long-term Debt, Noncurrent | $ 0 | 68,000,000 | ||||
Obligation Relating To Revenue Bonds Due 2037 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 5.125% | |||||
Other Long-term Debt, Noncurrent | $ 1,000,000,000 | 1,000,000,000 | ||||
Series Medium Term Notes Due 2022 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Other Long-term Debt, Noncurrent | $ 3,000,000 | $ 3,000,000 | ||||
[1] | After the adoption of the debt issuance costs standard, these costs are now reflected as a direct reduction from the associated debt liability in our consolidated balance sheets. See Note 2 for information. | |||||
[2] | These notes contain a make-whole provision allowing us to repay the debt at a premium to market price |
Asset Retirement Obligations (D
Asset Retirement Obligations (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward] | ||
Asset Retirement Obligation Beginning Balance | $ 1,958 | $ 2,096 |
Incurred, including acquisitions | 47 | 89 |
Settled, including dispositions | (289) | (426) |
Accretion expense (included in depreciation, depletion and amortization) | 105 | 104 |
Revisions to previous estimates | (132) | 95 |
Held for sale | (54) | 0 |
Asset Retirement Obligation Ending Balance | 1,635 | 1,958 |
Asset Retirement Obligation, Current | $ 34 | $ 41 |
Supplemental Cash Flow Inform87
Supplemental Cash Flow Information (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | ||
Supplemental Cash Flow Information [Abstract] | ||||
Income Taxes Paid Net, Discontinued Operations | $ 1,312 | $ 2,270 | ||
Operating activities: | ||||
Interest paid (net of amounts capitalized) | $ (325) | (279) | (289) | |
Income taxes paid to taxing authorities | [1] | (171) | (1,679) | (3,904) |
Commercial paper: | ||||
Issuances | 0 | 2,345 | 10,870 | |
Repayments | 0 | (2,480) | (10,935) | |
Net commercial paper | 0 | (135) | (65) | |
Noncash investing and financing activities: | ||||
Asset retirement costs capitalized, excluding acquisitions | (85) | 151 | 290 | |
Increase in capital expenditure accrual | 0 | 335 | 6 | |
Asset Retirement Obligation, Liabilities Transferred | $ 251 | $ 359 | $ 92 | |
[1] | Income taxes paid to taxing authorities includes $1,312 million and $2,270 million in 2014, and 2013 |
Defined Benefit Postretiremen88
Defined Benefit Postretirement Plans and Defined Contribution Plan (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | ||
United States Pension Plans of US Entity, Defined Benefit [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Accumulated Benefit Obligation | $ 518 | $ 793 | |
US Pension and postretirement benefits obligations due to adoption of the 2014 mortality table | 13 | ||
Change in benefit obligations: | |||
Benefit obligations at January 1 | 894 | 933 | |
Service cost | 29 | 31 | |
Interest cost | 25 | 35 | |
Plan amendment | [1] | (88) | 0 |
Actuarial loss | [2] | 26 | 174 |
Foreign currency exchange rate changes | 0 | 0 | |
Divestiture | [3] | 0 | 0 |
Liability (gain)/loss due to curtailment | [4] | (18) | 0 |
Settlements paid | (335) | (271) | |
Benefits paid | (8) | (8) | |
Benefit obligations at December 31 | 525 | 894 | |
Change in plan assets: | |||
Fair value of plan assets at January 1 | 574 | 625 | |
Actual return on plan assets | 8 | 59 | |
Employer contributions | 115 | 169 | |
Foreign currency exchange rate changes | 0 | 0 | |
Divestiture | [3] | 0 | 0 |
Settlements paid | (335) | (271) | |
Benefits paid | (8) | (8) | |
Fair value of plan assets at December 31 | 354 | 574 | |
Funded status of plans at December 31 | |||
Funded status of plans at December 31 | (171) | (320) | |
Defined Benefit Plan, Assets for Plan Benefits, Noncurrent | 0 | 0 | |
Amounts recognized in the consolidated balance sheet: | |||
Current liabilities | (8) | (11) | |
Noncurrent liabilities | (163) | (309) | |
Accrued benefit cost | (171) | (320) | |
Pretax amounts in accumulated other comprehensive loss: | |||
Net loss | 171 | 283 | |
Prior service cost (credit) | (65) | 10 | |
Foreign Pension Plans, Defined Benefit [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Accumulated Benefit Obligation | 579 | 610 | |
Change in benefit obligations: | |||
Benefit obligations at January 1 | 651 | 649 | |
Service cost | 14 | 16 | |
Interest cost | 25 | 27 | |
Plan amendment | [1] | 1 | 0 |
Actuarial loss | [2] | (29) | 46 |
Foreign currency exchange rate changes | (35) | (39) | |
Divestiture | [3] | 0 | (29) |
Liability (gain)/loss due to curtailment | [4] | (23) | 0 |
Settlements paid | 0 | 0 | |
Benefits paid | (25) | (19) | |
Benefit obligations at December 31 | 579 | 651 | |
Change in plan assets: | |||
Fair value of plan assets at January 1 | 622 | 597 | |
Actual return on plan assets | 8 | 59 | |
Employer contributions | 36 | 37 | |
Foreign currency exchange rate changes | (33) | (39) | |
Divestiture | [3] | 0 | (13) |
Settlements paid | 0 | 0 | |
Benefits paid | (25) | (19) | |
Fair value of plan assets at December 31 | 608 | 622 | |
Funded status of plans at December 31 | |||
Funded status of plans at December 31 | 29 | (29) | |
Defined Benefit Plan, Assets for Plan Benefits, Noncurrent | 29 | 0 | |
Amounts recognized in the consolidated balance sheet: | |||
Current liabilities | 0 | 0 | |
Noncurrent liabilities | 0 | (29) | |
Accrued benefit cost | 29 | (29) | |
Pretax amounts in accumulated other comprehensive loss: | |||
Net loss | 61 | 91 | |
Prior service cost (credit) | 4 | 8 | |
Other Postretirement Benefit Plans, Defined Benefit [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Accumulated Benefit Obligation | 260 | 279 | |
US Pension and postretirement benefits obligations due to adoption of the 2014 mortality table | 15 | ||
Change in benefit obligations: | |||
Benefit obligations at January 1 | 279 | 279 | |
Service cost | 3 | 3 | |
Interest cost | 11 | 13 | |
Plan amendment | [1] | 0 | (42) |
Actuarial loss | [2] | (20) | 42 |
Foreign currency exchange rate changes | 0 | 0 | |
Divestiture | [3] | 0 | 0 |
Liability (gain)/loss due to curtailment | [4] | 2 | 0 |
Settlements paid | 0 | 0 | |
Benefits paid | (15) | (16) | |
Benefit obligations at December 31 | 260 | 279 | |
Change in plan assets: | |||
Fair value of plan assets at January 1 | 0 | 0 | |
Actual return on plan assets | 0 | 0 | |
Employer contributions | 15 | 16 | |
Foreign currency exchange rate changes | 0 | 0 | |
Divestiture | [3] | 0 | 0 |
Settlements paid | 0 | 0 | |
Benefits paid | (15) | (16) | |
Fair value of plan assets at December 31 | 0 | 0 | |
Funded status of plans at December 31 | |||
Funded status of plans at December 31 | (260) | (279) | |
Defined Benefit Plan, Assets for Plan Benefits, Noncurrent | 0 | 0 | |
Amounts recognized in the consolidated balance sheet: | |||
Current liabilities | (20) | (19) | |
Noncurrent liabilities | (240) | (260) | |
Accrued benefit cost | (260) | (279) | |
Pretax amounts in accumulated other comprehensive loss: | |||
Net loss | 14 | 34 | |
Prior service cost (credit) | $ (28) | $ (41) | |
[1] | The plan amendment in 2015 was a freeze of the final average pay used in the legacy formula of the defined benefit pension plan. Activity in 2014 represents a change in plan design related to the health care benefits provided under the postretirement plan. | ||
[2] | Activity in 2014 includes the increase in the U.S. pension and postretirement benefit obligations of $13 million and $15 million respectively, due to the adoption of the 2014 mortality table. | ||
[3] | Related to the sale of our Norway business in the fourth quarter of 2014. | ||
[4] | Related to workforce reductions, which reduced the future expected years of service for employees participating in the plans and the impact of discontinuing accruals for future benefits under the U.K. pension plan effective December 31, 2015. |
Defined Benefit Postretiremen89
Defined Benefit Postretirement Plans and Defined Contribution Plan (Details 2) - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | ||
United States Pension Plans of US Entity, Defined Benefit [Member] | |||||
Components of net periodic benefit cost: | |||||
Defined Benefit Plan, Service Cost, Continuing Operations | $ 29 | $ 31 | $ 33 | ||
Defined Benefit Plan, Interest Cost, Continuing Operations | 25 | 35 | 40 | ||
Expected return on plan assets | (30) | (34) | (43) | ||
Depreciation, Depletion and Amortization [Abstract] | |||||
- prior service cost (credit) | (7) | 5 | 6 | ||
- actuarial loss | 22 | 29 | 43 | ||
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Curtailments | [1] | 5 | 0 | 0 | |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements | [2] | (119) | (99) | (45) | |
Net periodic benefit cost(b) | [3] | 153 | 165 | 124 | |
Other changes in plan assets and benefit obligations recognized in other comprehensive (income) loss (pretax): | |||||
Actuarial loss (gain) | [4] | 30 | 149 | (161) | |
Amortization of actuarial (loss) gain | (134) | (128) | (88) | ||
Prior service cost | (89) | 0 | 0 | ||
Amortization of prior service credit (cost) | 7 | (5) | (6) | ||
Total recognized in other comprehensive (income) loss | (186) | 16 | (255) | ||
Total recognized in net periodic benefit cost and other comprehensive (income) loss | (33) | 181 | (131) | ||
Foreign Pension Plans, Defined Benefit [Member] | |||||
Components of net periodic benefit cost: | |||||
Defined Benefit Plan, Service Cost, Continuing Operations | 14 | 16 | 17 | ||
Defined Benefit Plan, Interest Cost, Continuing Operations | 25 | 27 | 23 | ||
Expected return on plan assets | (37) | (32) | (24) | ||
Depreciation, Depletion and Amortization [Abstract] | |||||
- prior service cost (credit) | 1 | 1 | 1 | ||
- actuarial loss | 2 | 1 | 4 | ||
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Curtailments | [1] | (4) | 0 | 0 | |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements | [2] | 0 | 0 | 0 | |
Net periodic benefit cost(b) | [3] | 9 | 13 | 21 | |
Other changes in plan assets and benefit obligations recognized in other comprehensive (income) loss (pretax): | |||||
Actuarial loss (gain) | [4] | (25) | 33 | (15) | |
Amortization of actuarial (loss) gain | (2) | (1) | (4) | ||
Prior service cost | 1 | 0 | 0 | ||
Amortization of prior service credit (cost) | (5) | (1) | (1) | ||
Total recognized in other comprehensive (income) loss | (31) | 31 | (20) | ||
Total recognized in net periodic benefit cost and other comprehensive (income) loss | (22) | 44 | 1 | ||
Other Postretirement Benefit Plans, Defined Benefit [Member] | |||||
Components of net periodic benefit cost: | |||||
Defined Benefit Plan, Service Cost, Continuing Operations | 3 | 3 | 4 | ||
Defined Benefit Plan, Interest Cost, Continuing Operations | 11 | 13 | 12 | ||
Expected return on plan assets | 0 | 0 | 0 | ||
Depreciation, Depletion and Amortization [Abstract] | |||||
- prior service cost (credit) | (4) | (6) | (6) | ||
- actuarial loss | 1 | 0 | 0 | ||
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Curtailments | [1] | 7 | 0 | 0 | |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements | [2] | 0 | 0 | 0 | |
Net periodic benefit cost(b) | [3] | 4 | 10 | 10 | |
Other changes in plan assets and benefit obligations recognized in other comprehensive (income) loss (pretax): | |||||
Actuarial loss (gain) | [4] | (21) | 42 | (31) | |
Amortization of actuarial (loss) gain | (1) | 0 | 0 | ||
Prior service cost | 0 | (42) | 0 | ||
Amortization of prior service credit (cost) | 13 | 6 | 6 | ||
Total recognized in other comprehensive (income) loss | (9) | 6 | (25) | ||
Total recognized in net periodic benefit cost and other comprehensive (income) loss | $ (5) | $ 16 | $ (15) | ||
Scenario, Forecast [Member] | United States and Foreign Pension Plans Defined Benefit [Member] | |||||
Pension and Other Postretirement Benefit Plans, Amounts that Will be Amortized from Accumulated Other Comprehensive Income (Loss) in Next Fiscal Year [Abstract] | |||||
Defined Benefit Plan, Amortization of Net Gains (Losses) | $ 12 | ||||
Defined Benefit Plan, Amortization of Net Prior Service Cost (Credit) | 11 | ||||
Scenario, Forecast [Member] | Other Postretirement Benefit Plans, Defined Benefit [Member] | |||||
Pension and Other Postretirement Benefit Plans, Amounts that Will be Amortized from Accumulated Other Comprehensive Income (Loss) in Next Fiscal Year [Abstract] | |||||
Defined Benefit Plan, Amortization of Net Prior Service Cost (Credit) | $ 3 | ||||
[1] | Related to workforce reductions, which reduced the future expected years of service for employees participating in the plans and the impact of discontinuing accruals for future benefits under the U.K. pension plan effective December 31, 2015. | ||||
[2] | Settlement losses are recorded when lump sum payments from a plan in a period exceed the plan’s total service and interest costs for the period. Such settlements occurred in one or more of our U.S. pension plans in all periods presented. | ||||
[3] | Net periodic benefit cost reflects a calculated market-related value of plan assets which recognizes changes in fair value over three years. | ||||
[4] | Activity in 2014 includes the impact of the sale of our Norway business in the fourth quarter of 2014. |
Defined Benefit Postretiremen90
Defined Benefit Postretirement Plans and Defined Contribution Plan (Details 3) | 12 Months Ended | |||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | ||
United States Pension Plans of US Entity, Defined Benefit [Member] | ||||
Weighted average assumptions used to determine benefit obligation: | ||||
Discount rate | 4.04% | 3.71% | 4.28% | |
Rate of compensation increase | [1] | 4.00% | 4.00% | 5.00% |
Weighted average assumptions used to determine net periodic benefit cost: | ||||
Discount rate | 3.79% | 3.98% | 3.79% | |
Expected long-term return on plan assets | 6.75% | 6.75% | 7.25% | |
Rate of compensation increase | 4.00% | 5.00% | 5.00% | |
Foreign Pension Plans, Defined Benefit [Member] | ||||
Weighted average assumptions used to determine benefit obligation: | ||||
Discount rate | 3.90% | 3.70% | 4.60% | |
Rate of compensation increase | [1] | 0.00% | 3.60% | 4.90% |
Weighted average assumptions used to determine net periodic benefit cost: | ||||
Discount rate | 3.70% | 4.60% | 4.40% | |
Expected long-term return on plan assets | 5.70% | 5.70% | 4.90% | |
Rate of compensation increase | 3.60% | 4.90% | 4.50% | |
Other Postretirement Benefit Plans, Defined Benefit [Member] | ||||
Weighted average assumptions used to determine benefit obligation: | ||||
Discount rate | 4.36% | 4.01% | 4.85% | |
Rate of compensation increase | [1] | 4.00% | 4.00% | 5.00% |
Weighted average assumptions used to determine net periodic benefit cost: | ||||
Discount rate | 3.93% | 4.69% | 4.06% | |
Expected long-term return on plan assets | 0.00% | 0.00% | 0.00% | |
Rate of compensation increase | 4.00% | 5.00% | 5.00% | |
[1] | No future benefits will be incurred for the UK plan after December 31, 2015. Therefore, rate of compensation increase is no longer applicable to this plan. |
Defined Benefit Postretiremen91
Defined Benefit Postretirement Plans and Defined Contribution Plan (Details 4) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Defined Benefit Plan Assumed Health Care Cost Trend Rates [Line Items] | |||
Health care cost trend rate assumed for the following year: | 8.00% | 6.88% | 6.89% |
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate): | 4.50% | 5.00% | 5.00% |
Year that the rate reaches the ultimate trend rate: | 2,024 | 2,024 | 2,020 |
Equity Securities [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | |||
Defined Benefit Plan Assumed Health Care Cost Trend Rates [Line Items] | |||
Defined Benefit Plan, Target Plan Asset Allocations | 55.00% | ||
Equity Securities [Member] | Foreign Pension Plans, Defined Benefit [Member] | |||
Defined Benefit Plan Assumed Health Care Cost Trend Rates [Line Items] | |||
Defined Benefit Plan, Target Plan Asset Allocations | 61.00% | ||
Fixed Income Securities [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | |||
Defined Benefit Plan Assumed Health Care Cost Trend Rates [Line Items] | |||
Defined Benefit Plan, Target Plan Asset Allocations | 45.00% | ||
Fixed Income Securities [Member] | Foreign Pension Plans, Defined Benefit [Member] | |||
Defined Benefit Plan Assumed Health Care Cost Trend Rates [Line Items] | |||
Defined Benefit Plan, Target Plan Asset Allocations | 39.00% |
Defined Benefit Postretiremen92
Defined Benefit Postretirement Plans and Defined Contribution Plan (Details 5) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
United States Pension Plans of US Entity, Defined Benefit [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | $ 354 | $ 574 | $ 625 |
United States Pension Plans of US Entity, Defined Benefit [Member] | Cash and Cash Equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 48 | 26 | |
United States Pension Plans of US Entity, Defined Benefit [Member] | Common And Preferred Stock [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 115 | 230 | |
United States Pension Plans of US Entity, Defined Benefit [Member] | Private Equity And Reit [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 24 | 25 | |
United States Pension Plans of US Entity, Defined Benefit [Member] | Mutual And Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
United States Pension Plans of US Entity, Defined Benefit [Member] | US Treasury and Government [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 12 | 33 | |
United States Pension Plans of US Entity, Defined Benefit [Member] | Corporate Bond Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 105 | 190 | |
United States Pension Plans of US Entity, Defined Benefit [Member] | Commingled And Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 23 | 40 | |
United States Pension Plans of US Entity, Defined Benefit [Member] | MRO Other investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 25 | 30 | |
United States Pension Plans of US Entity, Defined Benefit [Member] | REIT and Swaps [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 2 | ||
Foreign Pension Plans, Defined Benefit [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 608 | 622 | 597 |
Foreign Pension Plans, Defined Benefit [Member] | Cash and Cash Equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 6 | 1 | |
Foreign Pension Plans, Defined Benefit [Member] | Common And Preferred Stock [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Foreign Pension Plans, Defined Benefit [Member] | Private Equity And Reit [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Foreign Pension Plans, Defined Benefit [Member] | Mutual And Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 370 | 385 | |
Foreign Pension Plans, Defined Benefit [Member] | US Treasury and Government [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Foreign Pension Plans, Defined Benefit [Member] | Corporate Bond Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Foreign Pension Plans, Defined Benefit [Member] | Commingled And Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 232 | 236 | |
Foreign Pension Plans, Defined Benefit [Member] | MRO Other investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Foreign Pension Plans, Defined Benefit [Member] | REIT and Swaps [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | ||
Other Postretirement Benefit Plans, Defined Benefit [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | $ 0 |
Fair Value, Inputs, Level 1 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 175 | 289 | |
Fair Value, Inputs, Level 1 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Cash and Cash Equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 47 | 26 | |
Fair Value, Inputs, Level 1 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Common And Preferred Stock [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 115 | 230 | |
Fair Value, Inputs, Level 1 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Private Equity And Reit [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 1 | 0 | |
Fair Value, Inputs, Level 1 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Mutual And Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 1 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | US Treasury and Government [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 12 | 33 | |
Fair Value, Inputs, Level 1 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Corporate Bond Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 1 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Commingled And Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 1 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | MRO Other investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 1 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | REIT and Swaps [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | ||
Fair Value, Inputs, Level 1 [Member] | Foreign Pension Plans, Defined Benefit [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 224 | 222 | |
Fair Value, Inputs, Level 1 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Cash and Cash Equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 6 | 1 | |
Fair Value, Inputs, Level 1 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Common And Preferred Stock [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 1 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Private Equity And Reit [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 1 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Mutual And Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 218 | 221 | |
Fair Value, Inputs, Level 1 [Member] | Foreign Pension Plans, Defined Benefit [Member] | US Treasury and Government [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 1 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Corporate Bond Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 1 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Commingled And Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 1 [Member] | Foreign Pension Plans, Defined Benefit [Member] | MRO Other investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 1 [Member] | Foreign Pension Plans, Defined Benefit [Member] | REIT and Swaps [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | ||
Fair Value, Inputs, Level 2 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 131 | 230 | |
Fair Value, Inputs, Level 2 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Cash and Cash Equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 1 | 0 | |
Fair Value, Inputs, Level 2 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Common And Preferred Stock [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 2 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Private Equity And Reit [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 2 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Mutual And Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 2 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | US Treasury and Government [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 2 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Corporate Bond Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 105 | 190 | |
Fair Value, Inputs, Level 2 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Commingled And Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 23 | 40 | |
Fair Value, Inputs, Level 2 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | MRO Other investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 2 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | REIT and Swaps [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 2 | ||
Fair Value, Inputs, Level 2 [Member] | Foreign Pension Plans, Defined Benefit [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 384 | 400 | |
Fair Value, Inputs, Level 2 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Cash and Cash Equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 2 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Common And Preferred Stock [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 2 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Private Equity And Reit [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 2 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Mutual And Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 152 | 164 | |
Fair Value, Inputs, Level 2 [Member] | Foreign Pension Plans, Defined Benefit [Member] | US Treasury and Government [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 2 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Corporate Bond Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 2 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Commingled And Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 232 | 236 | |
Fair Value, Inputs, Level 2 [Member] | Foreign Pension Plans, Defined Benefit [Member] | MRO Other investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 2 [Member] | Foreign Pension Plans, Defined Benefit [Member] | REIT and Swaps [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | ||
Fair Value, Inputs, Level 3 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 48 | 55 | |
Fair Value, Inputs, Level 3 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Cash and Cash Equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Common And Preferred Stock [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Private Equity And Reit [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 23 | 25 | |
Fair Value, Inputs, Level 3 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Mutual And Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | US Treasury and Government [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Corporate Bond Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | Commingled And Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | MRO Other investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 25 | 30 | |
Fair Value, Inputs, Level 3 [Member] | United States Pension Plans of US Entity, Defined Benefit [Member] | REIT and Swaps [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | ||
Fair Value, Inputs, Level 3 [Member] | Foreign Pension Plans, Defined Benefit [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Cash and Cash Equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Common And Preferred Stock [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Private Equity And Reit [Member] [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Mutual And Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | Foreign Pension Plans, Defined Benefit [Member] | US Treasury and Government [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Corporate Bond Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | Foreign Pension Plans, Defined Benefit [Member] | Commingled And Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | 0 | |
Fair Value, Inputs, Level 3 [Member] | Foreign Pension Plans, Defined Benefit [Member] | MRO Other investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | 0 | $ 0 | |
Fair Value, Inputs, Level 3 [Member] | Foreign Pension Plans, Defined Benefit [Member] | REIT and Swaps [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets | $ 0 |
Defined Benefit Postretiremen93
Defined Benefit Postretirement Plans and Defined Contribution Plan (Details 6) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Defined Benefit Plan Estimated Future Benefit Payments [Line Items] | ||||
Defined Contribution Plan, Employer Discretionary Contribution Amount | $ 20 | $ 25 | $ 27 | |
Severance Costs | 55 | |||
Scenario, Forecast [Member] | ||||
Defined Benefit Plan Estimated Future Benefit Payments [Line Items] | ||||
Defined Benefit Plan, Estimated Future Employer Contributions in Next Fiscal Year | $ 62 | |||
Severance Costs | 8 | |||
United States Pension Plans of US Entity, Defined Benefit [Member] | ||||
Defined Benefit Plan Estimated Future Benefit Payments [Line Items] | ||||
Defined Benefit Plan, Expected Future Benefit Payments, Next Twelve Months | 61 | |||
Defined Benefit Plan, Expected Future Benefit Payments, Year Two | 61 | |||
Defined Benefit Plan, Expected Future Benefit Payments, Year Three | 59 | |||
Defined Benefit Plan, Expected Future Benefit Payments, Year Four | 55 | |||
Defined Benefit Plan, Expected Future Benefit Payments, Year Five | 53 | |||
Defined Benefit Plan, Expected Future Benefit Payments, Five Fiscal Years Thereafter | 224 | |||
Foreign Pension Plans, Defined Benefit [Member] | ||||
Defined Benefit Plan Estimated Future Benefit Payments [Line Items] | ||||
Defined Benefit Plan, Expected Future Benefit Payments, Next Twelve Months | 16 | |||
Defined Benefit Plan, Expected Future Benefit Payments, Year Two | 17 | |||
Defined Benefit Plan, Expected Future Benefit Payments, Year Three | 20 | |||
Defined Benefit Plan, Expected Future Benefit Payments, Year Four | 21 | |||
Defined Benefit Plan, Expected Future Benefit Payments, Year Five | 22 | |||
Defined Benefit Plan, Expected Future Benefit Payments, Five Fiscal Years Thereafter | 125 | |||
Other Postretirement Benefit Plans, Defined Benefit [Member] | ||||
Defined Benefit Plan Estimated Future Benefit Payments [Line Items] | ||||
Defined Benefit Plan, Expected Future Benefit Payments, Next Twelve Months | 21 | |||
Defined Benefit Plan, Expected Future Benefit Payments, Year Two | 21 | |||
Defined Benefit Plan, Expected Future Benefit Payments, Year Three | 20 | |||
Defined Benefit Plan, Expected Future Benefit Payments, Year Four | 20 | |||
Defined Benefit Plan, Expected Future Benefit Payments, Year Five | 20 | |||
Defined Benefit Plan, Expected Future Benefit Payments, Five Fiscal Years Thereafter | $ 89 | |||
Other Postretirement Benefit Plans, Defined Benefit [Member] | Scenario, Forecast [Member] | ||||
Defined Benefit Plan Estimated Future Benefit Payments [Line Items] | ||||
Defined Benefit Plan, Estimated Future Employer Contributions in Next Fiscal Year | 21 | |||
Unfunded Plans [Member] | Scenario, Forecast [Member] | ||||
Defined Benefit Plan Estimated Future Benefit Payments [Line Items] | ||||
Defined Benefit Plan, Estimated Future Employer Contributions in Next Fiscal Year | $ 8 |
Incentive Based Compensation 94
Incentive Based Compensation Plans (Details-All) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 50,000,000 | ||
Share Based Compensation Arrangement By Share Based Payment Award Maximum Award For Options Or Stock Appreciation Rights | 2.41 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost | $ 57 | $ 70 | $ 70 |
Employee Service Share-based Compensation, Tax Benefit from Compensation Expense | 20 | 25 | 25 |
Proceeds from Stock Options Exercised | $ 9 | 136 | 58 |
Employee Service Share-based Compensation, Tax Benefit Realized from Exercise of Stock Options | $ 51 | $ 36 | |
Stock Option [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | ||
Stock Option [Member] | Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share Based Payment Award, Award Contractual Period | 10 years | ||
Restricted Stock [Member] | Granted Officer [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | ||
Restricted Stock [Member] | Non Officer [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | ||
Common Stock Units [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years |
Incentive Based Compensation 95
Incentive Based Compensation Plans (Details-Options) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |||
Beginning year stock option awards | 13,427,836 | ||
Granted stock option awards | 724,082 | ||
Exercised stock option awards | (553,401) | ||
Canceled stock option awards | (933,098) | ||
End of year stock option awards | 12,665,419 | 13,427,836 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | |||
Beginning year weighted average exercise price | $ 29.68 | ||
Granted weighted average exercise price | 29.06 | $ 34.49 | $ 33.54 |
Exercises weighted average exercise price | 16.85 | ||
Canceled weighted average exercise price | 32.99 | ||
End of year weighted average exercise price | $ 29.97 | $ 29.68 | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | |||
Expected annual dividend yield | 2.90% | 2.30% | 2.10% |
Expected life in years | 6 years 2 months | 5 years 11 months | 6 years 1 month |
Expected volatility | 32.00% | 38.00% | 38.00% |
Risk-free interest rate | 1.70% | 1.80% | 1.60% |
End of year weighted average grant date fair value of options | $ 6.84 | $ 10.50 | $ 10.25 |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | 4 years | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value | $ 0 | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options | 10,654,799 | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $ 29.50 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Remaining Contractual Term | 3 years | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Intrinsic Value | $ 0 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Total Intrinsic Value | $ 6,000,000 | $ 83,000,000 | $ 35,000,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Options Expected to Vest, Exercisable, Number | 1,996,175 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Expected to Vest, Exercisable, Weighted Average Exercise Price | $ 32.45 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Expected to Vest, Exercisable, Weighted Average Remaining Contractual Term | 8 years | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Expected to Vest, Exercisable, Aggregate Intrinsic Value | $ 0 | ||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $ 9,000,000 | ||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Period for Recognition | 1 year |
Incentive Based Compensation 96
Incentive Based Compensation Plans (Details 4-Restricted) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 9 | ||
Awards | |||
Beginning year unvested restricted stock | 3,448,353 | ||
Granted restricted stock | 2,994,558 | ||
Vested restricted stock | (1,350,344) | ||
Forfeited restricted stock | (1,075,223) | ||
End of year unvested restricted stock | 4,017,344 | 3,448,353 | |
Weighted Average Grant Date Fair Value | |||
Beginning year weighted average grant date fair value unvested restricted stock | $ 34.04 | $ 31.80 | |
Granted restricted stock weighted average grant date fair value restricted stock | 28.90 | ||
Vested restricted stock weighted average grant date fair value restricted stock | 33.40 | ||
Forfeited restricted stock weighted average grant date fair value restricted stock | 32.70 | ||
End of year weighted average grant date fair value unvested restricted stock | $ 30.76 | $ 34.04 | $ 31.80 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Total Fair Value | $ 26 | $ 70 | $ 59 |
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 86 |
Incentive Based Compensation 97
Incentive Based Compensation Plans (Details 5-Performance) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2011 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Performance Term | 30 months | 36 months | ||
Performance Unit Awards Vesting Period, Portion | 18 months | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 2,994,558 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number | 4,017,344 | 3,448,353 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | 2.90% | 2.30% | 2.10% | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 32.00% | 38.00% | 38.00% | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 1.70% | 1.80% | 1.60% | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 30.76 | $ 34.04 | $ 31.80 | |
Award instruments other than options performance unit compensation expense | $ 5 | $ 9 | ||
Performance Unit [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 15,000,000 | 382,335 | 221,491 | 353,600 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number | 584,566 | |||
Valuation date stock price | $ 12.59 | $ 12.59 | $ 12.98 | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | 1.50% | 1.50% | 1.50% | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 37.00% | 46.00% | 62.00% | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 1.10% | 0.70% | 0.10% | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 7.08 | $ 6.04 | $ 0.18 |
Reclassifications Out of Accu98
Reclassifications Out of Accumulated Other Comprehensive Income (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Provision for income taxes | $ 754 | $ (392) | $ (1,462) |
Other insignificant items | (438) | (462) | (389) |
Net Income (Loss) Attributable to Parent | (2,204) | 3,046 | $ 1,753 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Amortization of actuarial loss | (24) | (30) | |
Net settlement loss | (119) | (99) | |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Curtailments | 8 | 0 | |
Income from operations before income taxes | (135) | (129) | |
Provision for income taxes | 51 | 62 | |
Other insignificant items | 0 | (1) | |
Net Income (Loss) Attributable to Parent | $ (84) | $ (68) |
Stockholders Equity (Details)
Stockholders Equity (Details) - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Equity, Class of Treasury Stock [Line Items] | |||
Treasury Stock, Value, Acquired, Cost Method | $ 8 | $ 1,015 | $ 513 |
Share Repurchase Program [Member] | |||
Equity, Class of Treasury Stock [Line Items] | |||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | 1,500 | ||
Authorized Stock Repurchase Program Repurchase Amount | $ 4,700 | ||
Authorized Stock Repurchase Program Repurchased Number Of Shares | 121 | ||
Treasury Stock, Value, Acquired, Cost Method | $ 1,000 | ||
Treasury Stock, Shares, Acquired | 29 |
Leases (Details)
Leases (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |||
Year 1 Operating | $ 30 | ||
Year 2 Operating | 26 | ||
Year 3 Operating | 24 | ||
Year 4 Operating | 24 | ||
Year 5 Operating | 24 | ||
Later years, Operating Leases | 30 | ||
Sublease rentals | (1) | ||
Operating Leases, Future Minimum Payments Due | 157 | ||
Capital Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |||
Year 1 Capital | 1 | ||
Year 2 Capital | 1 | ||
Year 3 Capital | 1 | ||
Year 4 Capital | 1 | ||
Year 5 Capital | 1 | ||
Later years, Capital Leases | 16 | ||
Capital Leases, Future Minimum Sublease Rentals | 0 | ||
Capital Leases, Future Minimum Payments Due | 21 | ||
Less imputed interest costs | (12) | ||
Capital Leases, Future Minimum Payments, Present Value of Net Minimum Payments | 9 | ||
Operating Leases, Rent Expense, Net [Abstract] | |||
Operating Leases, Rent Expense | $ 104 | $ 120 | $ 105 |
Commitments and Contingencies (
Commitments and Contingencies (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Guarantor Obligations [Line Items] | ||
Override Royalty - GOM Future Abandonment | $ 70 | |
Payments to Acquire Property, Plant, and Equipment [Abstract] | ||
Commitments to acquire property, plant and equipment | 371 | $ 747 |
Other Guarantee [Member] | ||
Guarantor Obligations [Line Items] | ||
Guarantor Obligations, Maximum Exposure, Undiscounted | $ 31 |