Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2019shares | |
Class of Stock [Line Items] | |
Document Type | 20-F |
Document Registration Statement | false |
Document Annual Report | true |
Document Period End Date | Dec. 31, 2019 |
Document Transition Report | false |
Entity Shell Company Report | false |
Entity File Number | 1-32479 |
Entity Registrant Name | TEEKAY LNG PARTNERS L.P. |
Entity Incorporation, State or Country Code | 1T |
Entity Address, Address Line One | 4th Floor |
Entity Address, Address Line Two | Belvedere Building |
Entity Address, Address Line Three | 69 Pitts Bay Road |
Entity Address, City or Town | Hamilton |
Entity Address, Postal Zip Code | HM 08 |
Entity Address, Country | BM |
Entity Well-known Seasoned Issuer | No |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Emerging Growth Company | false |
Document Accounting Standard | U.S. GAAP |
Amendment Flag | false |
Document Fiscal Year Focus | 2019 |
Document Fiscal Period Focus | FY |
Entity Central Index Key | 0001308106 |
Current Fiscal Year End Date | --12-31 |
Entity Shell Company | false |
Common Units | |
Class of Stock [Line Items] | |
Title of 12(b) Security | Common Units |
Trading Symbol | TGP |
Security Exchange Name | NYSE |
Entity Common Stock, Shares Outstanding | 77,509,339 |
Series A Preferred Units | |
Class of Stock [Line Items] | |
Title of 12(b) Security | Series A Preferred Units |
Trading Symbol | TGP PR A |
Security Exchange Name | NYSE |
Entity Common Stock, Shares Outstanding | 5,000,000 |
Series B Preferred Units | |
Class of Stock [Line Items] | |
Title of 12(b) Security | Series B Preferred Units |
Trading Symbol | TGP PR B |
Security Exchange Name | NYSE |
Entity Common Stock, Shares Outstanding | 6,800,000 |
Business contact | |
Class of Stock [Line Items] | |
Entity Address, Address Line One | 4th Floor |
Entity Address, Address Line Two | Belvedere Building |
Entity Address, Address Line Three | 69 Pitts Bay Road |
Entity Address, City or Town | Hamilton |
Entity Address, Postal Zip Code | HM 08 |
Entity Address, Country | BM |
City Area Code | 441 |
Local Phone Number | 298-2530 |
Contact Personnel Name | Anne Liversedge |
Contact Personnel Fax Number | (441) 292-3931 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Statement [Abstract] | |||
Voyage revenues (notes 6 and 12a) | $ 601,256 | $ 510,762 | $ 432,676 |
Cost of Goods and Services Sold | 21,387 | 28,237 | 8,202 |
Vessel operating expenses (note 12a) | (111,585) | (117,658) | (101,539) |
Time-charter hire expense (notes 5b and 12a) | (19,994) | (7,670) | 0 |
Depreciation and amortization | (136,765) | (124,378) | (105,545) |
General and administrative expenses (notes 12a and 17) | (22,521) | (28,512) | (18,141) |
Gain (loss) on sales of vessels and write-down of goodwill and vessels (notes 6, 8 and 19) | 13,564 | (54,653) | (50,600) |
Restructuring charges (notes 12a and 18) | (3,315) | (1,845) | 0 |
Income from vessel operations | 299,253 | 147,809 | 148,649 |
Equity income (note 7) | 58,819 | 53,546 | 9,789 |
Interest expense | (164,521) | (128,303) | (80,937) |
Interest income | 3,985 | 3,760 | 2,915 |
Realized and unrealized (loss) gain on non-designated derivative instruments (note 13) | (13,361) | 3,278 | (5,309) |
Foreign currency exchange (loss) gain (notes 10 and 13) | (9,640) | 1,371 | (26,933) |
Other (expense) income (notes 5a and 14b) | (2,454) | (51,373) | 1,561 |
Net income before income tax expense | 172,081 | 30,088 | 49,735 |
Income tax expense (notes 11 and 14c) | (7,477) | (3,213) | (824) |
Net income | 164,604 | 26,875 | 48,911 |
Non-controlling interest in net income | 11,814 | (1,494) | 14,946 |
Preferred unitholders' interest in net income | 25,702 | 25,701 | 13,979 |
General partner's interest in net income | 2,542 | 53 | 400 |
Limited partners’ interest in net income | $ 124,546 | $ 2,615 | $ 19,586 |
Limited partners’ interest in net income per common unit (note 16): | |||
Basic (USD per unit) | $ 1.59 | $ 0.03 | $ 0.25 |
Diluted (USD per unit) | $ 1.59 | $ 0.03 | $ 0.25 |
Weighted-average number of common units outstanding (note 16): | |||
Basic (in units) | 78,177,189 | 79,672,435 | 79,617,778 |
Diluted (in units) | 78,268,412 | 79,842,328 | 79,791,041 |
Cash distributions declared per common unit (USD per unit) | $ 0.71 | $ 0.56 | $ 0.56 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Net income | $ 164,604 | $ 26,875 | $ 48,911 |
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), Reclassification, before Tax | (57,616) | ||
Other comprehensive (loss) income: | |||
Unrealized (loss) gain on qualifying cash flow hedging instruments, net of tax | (893) | 1,140 | |
Amounts reclassified from accumulated other comprehensive (loss) income, net of tax | |||
Other comprehensive (loss) income | (57,440) | (1,124) | 4,032 |
Comprehensive income | 107,164 | 25,751 | 52,943 |
Non-controlling interest in comprehensive income | 9,572 | (856) | 15,074 |
Preferred unitholders' interest in comprehensive income | 25,702 | 25,701 | 13,979 |
General and limited partners' interest in comprehensive income | 71,890 | 906 | 23,890 |
To equity income | |||
Other comprehensive (loss) income: | |||
Realized loss (gain) on qualifying cash flow hedging instruments | (552) | ||
Realized loss (gain) on qualifying cash flow hedging instruments | 383 | (2,465) | |
To interest expense | |||
Other comprehensive (loss) income: | |||
Realized loss (gain) on qualifying cash flow hedging instruments | $ (376) | ||
Amounts reclassified from accumulated other comprehensive (loss) income, net of tax | |||
Realized (gain) loss on qualifying cash flow hedging instruments | $ 152 | $ 427 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Current | ||
Cash and cash equivalents | $ 160,221 | $ 149,014 |
Restricted cash – current (note 15a) | 53,689 | 38,329 |
Accounts receivable, including non-trade of $10,688 (2018 – $6,461) | 13,460 | 20,795 |
Prepaid expenses | 6,796 | 8,076 |
Current portion of derivative assets (note 13) | 355 | 835 |
Less current portion | 273,986 | |
Current portion of advances to equity-accounted joint ventures (note 7) | 0 | 79,108 |
Current portion of net investments in direct financing and sales-type leases (note 6) | 12,635 | |
Advances to affiliates (note 12b) | 5,143 | 8,229 |
Other current assets | 238 | 2,306 |
Total current assets | 513,888 | 319,327 |
Restricted cash – long-term (note 15a) | 39,381 | 35,521 |
Vessels and equipment | ||
At cost, less accumulated depreciation of $711,758 (2018 – $665,206) | 1,335,397 | 1,657,338 |
Finance Lease, Right-of-Use Asset | 1,691,945 | 1,585,243 |
Operating lease right-of-use assets (notes 2 and 5b) | 34,157 | 0 |
Advances on newbuilding contracts (note 12d) | 0 | 86,942 |
Total vessels and equipment | 3,061,499 | 3,329,523 |
Investment in and advances to equity-accounted joint ventures (note 7) | 1,155,316 | 1,037,025 |
Net investments in direct financing and sales-type leases | 544,823 | |
Net investments in direct financing and sales-type leases (note 6) | 562,528 | |
Other assets | 14,738 | 11,432 |
Derivative assets (note 13) | 1,834 | 2,362 |
Intangible Assets, Net (Excluding Goodwill) | 43,366 | 52,222 |
Goodwill (note 8) | 34,841 | 34,841 |
Total assets | 5,409,686 | 5,384,781 |
Current | ||
Accounts payable | 5,094 | 3,830 |
Accrued liabilities (notes 9, 13 and 18) | 76,752 | 74,753 |
Unearned revenue (notes 6 and 14d) | 28,759 | 30,108 |
Current portion of long-term debt (note 10) | 393,065 | 135,901 |
Current obligations related to finance leases (note 5a) | 69,982 | |
Current obligations related to finance leases (note 5a) | 81,219 | |
Current portion of operating lease liabilities (notes 2 and 5b) | 13,407 | 0 |
Current portion of derivative liabilities (note 13) | 38,458 | 11,604 |
Advances from affiliates (note 12b) | 7,003 | 14,731 |
Total current liabilities | 632,520 | 352,146 |
Long-term debt (note 10) | 1,438,331 | 1,833,875 |
Long-term obligations related to finance leases (note 5a) | 1,340,922 | |
Long-term obligations related to finance leases (note 5a) | 1,217,337 | |
Long-term operating lease liabilities (notes 2 and 5b) | 20,750 | 0 |
Other long-term liabilities (notes 7a and 14d) | 49,182 | 43,788 |
Derivative liabilities (note 13) | 51,006 | 55,038 |
Total liabilities | 3,532,711 | 3,502,184 |
Commitments and contingencies (notes 5, 7, 10, 13 and 14) | ||
Equity | ||
Limited partners - common units (Unlimited units authorized; 77.5 million units and 79.4 million units issued and outstanding at December 31, 2019 and 2018, respectively) | 1,543,598 | 1,496,107 |
Limited partners - preferred units (11.9 million units authorized; 11.8 million units issued and outstanding at December 31, 2019 and 2018) | 285,159 | 285,159 |
General partner | 50,241 | 49,271 |
Accumulated other comprehensive (loss) income | (57,312) | 2,717 |
Partners' equity | 1,821,686 | 1,833,254 |
Non-controlling interest | 55,289 | 49,343 |
Total equity | 1,876,975 | 1,882,597 |
Total liabilities and total equity | $ 5,409,686 | $ 5,384,781 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands, shares in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Non-trade accounts receivable | $ 10,688 | $ 6,461 |
Accumulated depreciation on vessel and equipment | 711,758 | 665,206 |
Sale Leaseback Transaction, Accumulated Depreciation | $ 109,853 | $ 66,878 |
Limited Partners - common units issued | 77.5 | 79.4 |
Limited Partners - common units outstanding | 77.5 | 79.4 |
Limited Partners - preferred units issued | 11.9 | 11.8 |
Limited Partners - preferred units outstanding | 11.9 | 11.8 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
OPERATING ACTIVITIES | |||
Net income | $ 164,604 | $ 26,875 | $ 48,911 |
Non-cash and non-operating items: | |||
Unrealized loss (gain) on non-designated derivative instruments (note 13) | 3,133 | (30,133) | (13,448) |
Depreciation and amortization | 136,765 | 124,378 | 105,545 |
(Gain) loss on sales of vessels and write-down of goodwill and vessels | (13,564) | 54,653 | 50,600 |
Unrealized foreign currency exchange loss (gain) including the effect of the termination of cross currency swaps (note 13) | 2,805 | (7,525) | 23,153 |
Equity income, net of dividends received of $40,303 (2018 – $14,421 and 2017 – $42,692) | (18,516) | (39,125) | 32,903 |
Amortization of deferred financing issuance costs included in interest expense | 8,135 | 8,720 | 6,096 |
Other non-cash items | 7,634 | (10,495) | (10,972) |
Change in non-cash operating assets and liabilities (note 15b) | 3,218 | 19,218 | (2,396) |
Expenditures for dry docking | (12,358) | (15,368) | (21,642) |
Receipts from direct financing and sales-type leases | 17,073 | 0 | 0 |
Net operating cash flow | 298,929 | 131,198 | 218,750 |
FINANCING ACTIVITIES | |||
Proceeds from issuance of long-term debt | 186,566 | 1,135,304 | 362,527 |
Scheduled repayments of long-term debt and settlement of related swaps | (132,627) | (506,437) | (194,237) |
Prepayments of long-term debt and settlement of related swaps | (188,787) | (465,122) | (236,474) |
Financing issuance costs | (1,149) | (11,932) | (8,361) |
Proceeds from financing related to sales and leaseback of vessels | 317,806 | 370,050 | 656,935 |
Extinguishment of obligations related to finance leases | (71,726) | (59,722) | (42,000) |
Scheduled repayments of obligations related to finance leases | (111,617) | 0 | 0 |
Repurchase of common units (note 16) | (25,728) | (3,786) | 0 |
Cash distributions paid | (82,379) | (70,345) | (56,650) |
Dividends paid to non-controlling interest | (90) | (2,925) | (1,595) |
Proceeds from issuance of preferred units net of offering costs (note 16) | 0 | 0 | 164,411 |
Other | 0 | 0 | (605) |
Net financing cash flow | (109,731) | 385,085 | 643,951 |
INVESTING ACTIVITIES | |||
Expenditures for vessels and equipment, net of warranty settlement | (97,895) | (686,148) | (708,608) |
Capital contributions and advances to equity-accounted joint ventures | (72,391) | (40,544) | (183,874) |
Proceeds from sales of vessels (note 19) | 11,515 | 28,518 | 20,580 |
Receipts from direct financing leases | 0 | 10,882 | 13,143 |
Proceeds from sale of equity-accounted joint venture | 0 | 54,438 | 0 |
Return of capital and repayment of advances from equity-accounted joint ventures | 0 | 0 | 92,320 |
Net investing cash flow | (158,771) | (632,854) | (766,439) |
Increase (decrease) in cash, cash equivalents and restricted cash | 30,427 | (116,571) | 96,262 |
Cash, cash equivalents and restricted cash, beginning of the year | 222,864 | 339,435 | 243,173 |
Cash, cash equivalents and restricted cash, end of the year | $ 253,291 | $ 222,864 | $ 339,435 |
Consolidated Statements of Ca_2
Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Cash Flows [Abstract] | |||
Dividends received | $ 40,303 | $ 14,421 | $ 42,692 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Total Equity - USD ($) shares in Thousands, $ in Thousands | Total | General Partner | Common UnitsLimited Partners | Preferred UnitsLimited Partners | Accumulated Other Comprehensive Income (Loss) | Non- controlling Interest | Series A | Series APreferred UnitsLimited Partners | Series B | Series BPreferred UnitsLimited Partners | Preferred UnitsLimited Partners |
Beginning balance, units at Dec. 31, 2016 | 79,572 | 5,000 | |||||||||
Beginning balance at Dec. 31, 2016 | $ 1,777,412 | $ 50,653 | $ 1,563,852 | $ 123,426 | $ 575 | $ 38,906 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Net income | 48,911 | 400 | 19,586 | $ 13,979 | 14,946 | ||||||
Other comprehensive (loss) income | 4,032 | 3,904 | 128 | ||||||||
Distribution made to limited partner, cash distributions paid | $ 14,000 | ||||||||||
Common units | (45,493) | (909) | $ (44,584) | ||||||||
Preferred units | $ (13,928) | $ (13,928) | $ (2,729) | $ (2,729) | |||||||
Dividends paid to non-controlling interest | (1,595) | (1,595) | |||||||||
Equity based compensation, net of withholding tax, units | 55 | ||||||||||
Equity based compensation, net of withholding tax | 402 | 8 | $ 394 | ||||||||
Proceeds from equity offerings (note 16), units | 6,800 | ||||||||||
Proceeds from equity offerings (note 16) | 164,411 | $ 164,411 | |||||||||
Ending balance, units at Dec. 31, 2017 | 79,627 | 11,800 | |||||||||
Ending balance at Dec. 31, 2017 | 1,931,423 | 50,152 | $ 1,539,248 | $ 285,159 | 4,479 | 52,385 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Net income | 26,875 | 53 | 2,615 | (1,494) | |||||||
Other comprehensive (loss) income | (1,124) | (1,762) | 638 | ||||||||
Distribution made to limited partner, cash distributions paid | 25,701 | ||||||||||
Common units | (45,528) | (911) | $ (44,617) | ||||||||
Preferred units | (11,250) | (11,250) | (14,451) | (14,451) | |||||||
Dividends paid to non-controlling interest | (2,925) | (2,925) | |||||||||
Equity based compensation, net of withholding tax, units | 61 | ||||||||||
Equity based compensation, net of withholding tax | 624 | 12 | $ 612 | ||||||||
Repurchase of common units (note 16), units | (327) | ||||||||||
Repurchase of common units (note 16) | (3,786) | (76) | $ (3,710) | ||||||||
Ending balance, units at Dec. 31, 2018 | 79,361 | 11,800 | |||||||||
Ending balance at Dec. 31, 2018 | 1,882,597 | 49,271 | $ 1,496,107 | $ 285,159 | 2,717 | 49,343 | |||||
Beginning balance, units at Dec. 31, 2017 | 79,627 | 11,800 | |||||||||
Beginning balance at Dec. 31, 2017 | 1,931,423 | 50,152 | $ 1,539,248 | $ 285,159 | 4,479 | 52,385 | |||||
Ending balance, units at Dec. 31, 2019 | 77,510 | 11,800 | |||||||||
Ending balance at Dec. 31, 2019 | 1,876,975 | 50,241 | $ 1,543,598 | $ 285,159 | (57,312) | 55,289 | |||||
Beginning balance, units at Dec. 31, 2018 | 79,361 | 11,800 | |||||||||
Beginning balance at Dec. 31, 2018 | 1,882,597 | 49,271 | $ 1,496,107 | $ 285,159 | 2,717 | 49,343 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Net income | 164,604 | 2,542 | 124,546 | 11,814 | |||||||
Other comprehensive (loss) income | (57,440) | (55,198) | (2,242) | ||||||||
Distributions declared: | (25,702) | ||||||||||
Distribution made to limited partner, cash distributions paid | $ 25,700 | ||||||||||
Common units | (56,677) | (1,134) | $ (55,543) | ||||||||
Preferred units | $ (11,250) | $ (11,250) | $ (14,452) | $ (14,452) | |||||||
Dividends paid to non-controlling interest | (90) | (90) | |||||||||
Equity based compensation, net of withholding tax, units | 83 | ||||||||||
Equity based compensation, net of withholding tax | 1,109 | 22 | $ 1,087 | ||||||||
Acquisition of non-controlling interest in certain of the Partnership's subsidiaries (note 12e) | 2,681 | 17 | $ 838 | (3,536) | |||||||
Repurchase of common units (note 16), units | (1,934) | ||||||||||
Repurchase of common units (note 16) | (25,728) | (514) | $ (25,214) | ||||||||
Ending balance, units at Dec. 31, 2019 | 77,510 | 11,800 | |||||||||
Ending balance at Dec. 31, 2019 | $ 1,876,975 | $ 50,241 | $ 1,543,598 | $ 285,159 | $ (57,312) | $ 55,289 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Total Equity (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Equity based compensation, tax (in dollars per shares) | $ 0.5 | $ 0.7 | $ 0.6 |
Common stock, dividends, per share, declared (in dollars per shares) | $ 0.71 | $ 0.56 | $ 0.56 |
Series A preferred stock | |||
Preferred stock, dividends per share, declared (in dollars per shares) | 2.25 | 2.25 | 2.25 |
Series B Preferred Stock | |||
Preferred stock, dividends per share, declared (in dollars per shares) | $ 2.13 | $ 2.13 | $ 2.13 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Basis of presentation These consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (or GAAP ). They include the accounts of Teekay LNG Partners L.P., which is a limited partnership organized under the laws of the Republic of The Marshall Islands, its wholly-owned or controlled subsidiaries and any variable interest entities (or VIEs ) of which it is the primary beneficiary (collectively, the Partnership ) . The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results may differ from those estimates. Significant intercompany balances and transactions have been eliminated upon consolidation. Foreign currency The consolidated financial statements are stated in U.S. Dollars and the functional currency of the Partnership is the U.S. Dollar. Transactions involving other currencies during the year are converted into U.S. Dollars using the exchange rates in effect at the time of the transactions. At the balance sheet date, monetary assets and liabilities that are denominated in currencies other than the U.S. Dollar are translated to reflect the year-end exchange rates. Resulting gains or losses are reflected in foreign currency exchange gain (loss) in the accompanying consolidated statements of income. Revenues The Partnership’s time charters and voyage charters include both a lease component, consisting of the lease of the vessel, and a non-lease component, consisting of the operation of the vessel for the customer. The Partnership has elected to not separate the non-lease component from the lease component for all such charters, where the lease component is classified as an operating lease, and to account for the combined component as an operating lease. The Partnership’s time-charter contracts accounted for as direct financing leases and sales-type leases contain both a lease component (lease of the vessel) and a non-lease component (operation of the vessel). The Partnership has allocated the contract consideration between the lease component and non-lease component on a relative standalone selling price basis. The standalone selling price of the non-lease component has been determined using a cost-plus approach, whereby the Partnership estimates the cost to operate the vessel using cost benchmarking studies prepared by a third party, when available, or internal estimates when not available, plus a profit margin. The standalone selling price of the lease component has been determined using an adjusted market approach, whereby the Partnership calculates a rate excluding the operating component based on a market time-charter rate from published broker estimates, when available, or internal estimates when not available. Given that there are no observable standalone selling prices for either of these two components, judgment is required in determining the standalone selling price of each component. Time charters Revenues from time charters accounted for as operating leases are recognized by the Partnership on a straight-line basis daily over the term of the charter. If collectability of the time-charter hire receipts from time charters accounted for as operating leases is not probable, revenue that would have otherwise been recognized is limited to the amount collected from the charterer. Upon commencement of a time charter accounted for as a sales-type lease or a direct financing lease, the carrying value of the vessel is derecognized and the net investment in the lease is recognized, based on the fair value of the vessel. For direct financing leases and sales-type leases, the lease element of time-charter hire receipts is allocated to the lease receivable and voyage revenues over the term of the lease using the effective interest rate method. The Partnership assesses the net investment in the lease for impairment, based on the cash flows that the lessor would expect to receive from the lease receivable and the unguaranteed residual asset during and following the end of the remaining charter term. The non-lease element of time-charter hire receipts is recognized by the Partnership on a straight-line basis daily over the term of the charter. D rydock cost reimbursements allocable to the non-lease element of a time-charter are recognized on a straight-line basis over the period between the previous scheduled drydock and the next scheduled drydock. In addition, if collectability of non-lease receipts of charter payments from charterers is not probable, any such receipts are recognized as a liability unless the receipts are non-refundable and either the time-charter contract has been terminated or the Partnership has no remaining performance obligations. For time-charter contracts where the charterer is responsible for the operation of the vessel, the Partnership offsets any vessel operating expenses it incurs against reimbursements from the charterer. The Partnership does not recognize revenues during days that the vessel is off-hire. When the time charter contains a profit-sharing agreement, drydock cost reimbursements for time charters accounted for as operating leases (see Note 2), or other variable consideration, the Partnership recognizes this revenue in the period in which the changes in facts and circumstances on which the variable charter hire payments are based occur . Voyage charters Revenues from voyage charters are recognized on a proportionate performance method. The Partnership uses a discharge-to-discharge basis in determining proportionate performance for all spot voyages that contain a lease and a load-to-discharge basis in determining proportionate performance for all spot voyages that do not contain a lease. The Partnership does not begin recognizing revenue until a charter has been agreed to by the customer, even if the vessel has discharged its cargo and is sailing to the anticipated load port on its next voyage. The consolidated balance sheets reflect, in other current assets, the accrued portion of revenues for those voyages that commence prior to balance sheet date and complete after the balance sheet date. Bareboat charters Revenues from bareboat charters accounted for as operating leases are recognized by the Partnership on a straight-line basis daily over the term of the charter. If collectability of the bareboat hire receipts from bareboat charters accounted for as operating leases is not probable, revenue that would have otherwise been recognized is limited to the amount collected from the charterer. Upon commencement of a bareboat charter accounted for as a sales-type lease, the carrying value of the vessel is derecognized and the net investment in the lease is recognized, based on the fair value of the vessel. For direct financing leases and sales-type leases, bareboat hire receipts are allocated to the lease receivable and voyage revenues over the term of the lease using the effective interest rate method. The Partnership assesses the net investment in the lease for impairment, based on the cash flows that the lessor would expect to receive from the lease receivable and the unguaranteed residual asset during and following the end of the remaining charter term. Operating expenses Voyage expenses include all expenses unique to a particular voyage, including fuel expenses, port fees, cargo loading and unloading expenses, canal tolls, agency fees and commissions. The Partnership, as shipowner, pays voyage expenses under voyage charters. The Partnership’s customers pay voyage expenses under time charters, except when the vessel is off-hire during the term of a time-charter, in which case the Partnership pays voyage expenses. Vessel operating expenses include crewing, ship management services, repairs and maintenance, insurance, stores, lube oils and communication expenses. Voyage expenses and vessel operating expenses are recognized when incurred except when the Partnership incurs pre-operational costs related to the repositioning of a vessel (i) that relates directly to a specific customer contract, (ii) that generates or enhances resources of the Partnership that will be used in satisfying performance obligations in the future; and (iii) where such costs are expected to be recovered via the customer contract. In this case, such costs are deferred and amortized over the duration of the customer contract. Cash and cash equivalents The Partnership classifies all highly liquid investments with an original maturity date of three months or less as cash and cash equivalents. Restricted cash The Partnership maintains restricted cash deposits relating to certain term loans, collateral for derivatives, project tenders, leasing arrangements, amounts received from charterers to be used only for dry-docking expenditures and emergency repairs and other obligations. Accounts receivable and allowance for doubtful accounts Accounts receivable are recorded at the invoiced amount and do not bear interest. The allowance for doubtful accounts is the Partnership’s best estimate of the amount of probable credit losses in existing accounts receivable. The Partnership determines the allowance based on historical write-off experience and customer economic data. The Partnership reviews the allowance for doubtful accounts regularly and past due balances are reviewed for collectability. Account balances are charged against the allowance when the Partnership believes that the receivable will not be recovered. The consolidated balance sheets reflect amounts where the right to consideration is conditioned upon the passage of time as "accounts receivable," and reflect accrued revenue where the right to consideration is conditioned upon something other than the passage of time as "other current assets." Other loan receivables The Partnership’s advances to equity-accounted joint ventures and any other investments in loan receivables are recorded at cost. The Partnership analyzes its loans for collectability during each reporting period. A loan loss provision is recognized, based on current information and events, if it is probable that the Partnership will be unable to collect all amounts due according to the contractual terms of the loan agreement. Factors the Partnership considers in determining if a loan loss provision is required include, among other things, an assessment of the financial condition of the debtor, payment history of the debtor, general economic conditions, the credit rating of the debtor (when available), any information provided by the debtor regarding its ability to repay the loan, and the fair value of the underlying collateral. When a loan loss provision is recognized, the Partnership measures the amount of the loss provision based on the present value of expected future cash flows discounted at the loan’s effective interest rate and recognizes the resulting loss in the consolidated statements of income. The carrying value of the loan is adjusted each subsequent period to reflect any changes in the present value of the expected future cash flows, which may result in increases or decreases to the loan loss provision. Vessels and equipment All pre-delivery costs incurred during the construction of newbuildings, including interest and supervision and technical costs, are capitalized. The acquisition cost and all costs incurred to restore used vessels purchased by the Partnership to the standards required to properly service the Partnership’s customers are capitalized. Interest costs capitalized to vessels and equipment for the years ended December 31, 2019 , 2018 and 2017 aggregated $0.3 million , $14.8 million and $13.9 million , respectively. Vessel capital modifications include the addition of new equipment or certain modifications to the vessel which are aimed at improving or increasing the operational efficiency and functionality of the asset. This type of expenditure is capitalized and depreciated over the estimated useful life of the modification. Expenditures covering recurring routine repairs and maintenance are expensed as incurred. Depreciation is calculated on a straight-line basis over a vessel’s estimated useful life, less an estimated residual value. Depreciation is calculated using an estimated useful life of 25 years for conventional tankers, 30 years for liquefied petroleum gas (or LPG ) carriers and 35 years for liquefied natural gas (or LNG ) carriers, from the date the vessel is delivered from the shipyard, or a shorter period if regulations prevent the Partnership from operating the vessels for 25 years , 30 years , or 35 years , respectively. Depreciation of vessels and equipment, excluding amortization of dry-docking expenditures, for the years ended December 31, 2019 , 2018 and 2017 aggregated $115.1 million , $115.5 million and $96.7 million , respectively. Depreciation and amortization includes depreciation on all owned vessels and amortization of vessels accounted for as finance leases. Generally, the Partnership dry docks each of its vessels every two and a half to five years . The Partnership capitalizes certain costs incurred during dry docking and amortizes those costs on a straight-line basis from the completion of a dry docking to the estimated completion of the next dry docking. The Partnership includes in capitalized dry docking those costs incurred as part of the dry docking to meet classification and regulatory requirements. The Partnership expenses costs related to routine repairs and maintenance performed during dry docking. The following table summarizes the change in the Partnership’s capitalized dry docking costs, from January 1, 2017 to December 31, 2019 : Year Ended Year Ended Year Ended Balance at January 1, 40,365 39,144 33,538 Cost incurred for dry docking 11,000 15,259 22,283 Write-downs and sales of vessels — (2,448 ) (2,782 ) Dry-dock amortization (12,601 ) (11,590 ) (13,895 ) Balance at December 31, 38,764 40,365 39,144 Vessels and equipment that are intended to be held and used in the Partnership's business are assessed for impairment when events or circumstances indicate the carrying amount of the asset may not be recoverable. If the asset’s net carrying value exceeds the estimated net undiscounted cash flows expected to be generated over its remaining useful life, the carrying amount of the asset is reduced to its estimated fair value. The estimated fair value for the Partnership’s impaired vessels is determined using discounted cash flows or appraised values. In cases where an active second-hand sale and purchase market does not exist, the Partnership uses a discounted cash flow approach to estimate the fair value of an impaired vessel. In cases where an active second-hand sale and purchase market exists, an appraised value is used to estimate the fair value of an impaired vessel. An appraised value is generally the amount the Partnership would expect to receive if it were to sell the vessel. Such appraisal is normally completed by the Partnership and is based on second-hand sale and purchase data. Vessels and equipment that are "held for sale" are measured at the lower of their carrying amount or fair value less costs to sell and are not depreciated while classified as held for sale. Interest and other expenses and related liabilities attributable to vessels and equipment classified as held for sale continue to be recognized as incurred. Equity-accounted joint ventures The Partnership’s investments in certain joint ventures, in which the Partnership does not control the entity but has the ability to exercise significant influence over the operating and financial policies of the entity, are accounted for using the equity method of accounting. Under the equity method of accounting, investments are stated at initial cost and are adjusted for subsequent additional investments and the Partnership’s proportionate share of comprehensive earnings or losses and distributions. The Partnership evaluates its equity-accounted joint ventures for impairment when events or circumstances indicate that the carrying value of such investments may have experienced an other-than-temporary decline in value below its carrying value. If an equity-accounted investment is impaired and if the estimated fair value is less than its carrying value, the carrying value is written down to its estimated fair value and the resulting impairment is recorded in the Partnership’s consolidated statements of income. The Partnership’s maximum exposure to loss is the amount it has invested in and advanced to its equity-accounted joint ventures, and the Partnership's proportionate share of the long-term debt and interest rate swaps that it has guaranteed within its equity-accounted joint ventures. Debt issuance costs Debt issuance costs related to a recognized debt liability, including fees, commissions and legal expenses, are deferred and presented as a direct reduction from the carrying amount of that debt liability and amortized on an effective interest rate method over the term of the relevant loan. Debt issuance costs that are not attributable to a specific debt liability or where the debt issuance costs exceed the carrying value of the related debt liability (primarily undrawn revolving credit facilities) are deferred and presented as other non-current assets in the Partnership's consolidated balance sheets. Amortization of debt issuance costs is included in interest expense in the Partnership’s consolidated statements of income. Fees paid to substantially amend a non-revolving credit facility are associated with the extinguishment of the old debt instrument and included in determining the debt extinguishment gain or loss to be recognized. Other costs incurred with third parties directly related to the extinguishment are deferred and presented as a direct reduction from the carrying amount of the replacement debt instrument and amortized using the effective interest rate method. In addition, any unamortized debt issuance costs associated with the old debt instrument are written off. If the amendment is considered not to be a substantial amendment, then the fees would be associated with the replacement or modified debt instrument and, along with any existing unamortized premium, discount and unamortized debt issuance costs, would be amortized as an adjustment of interest expense over the remaining term of the replacement or modified debt instrument using the effective interest method. Other costs incurred with third parties directly related to the modification, other than the loan amendment fee, are expensed as incurred. Fees paid to amend a revolving credit facility are deferred and amortized over the term of the modified revolving credit facility. If the borrowing capacity of the revolving credit facility increases as a result of the amendment, unamortized debt issuance costs of the original revolving credit facility are amortized over the remaining term of the modified revolving credit facility. If the borrowing capacity of the revolving credit facility decreases as a result of the amendment, a proportionate amount, based on the reduction in borrowing capacity, of the unamortized debt issuance costs of the original revolving credit facility are written off and the remaining amount is amortized over the remaining term of the modified revolving credit facility. Goodwill and intangible assets Goodwill is not amortized but is reviewed for impairment at the reporting unit level on an annual basis or more frequently if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying value. A reporting unit is a component of the Partnership that constitutes a business for which discrete financial information is available and regularly reviewed by management. When goodwill is reviewed for impairment, the Partnership may elect to assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill. Alternatively, the Partnership may bypass this step and use a fair value approach to identify potential goodwill impairment and, when necessary, measure the amount of impairment. The Partnership uses a discounted cash flow model to determine the fair value of reporting units, unless there is a readily determinable fair market value. Goodwill impairment is measured as the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying value of goodwill. Customer-related intangible assets are amortized over the expected life of a customer contract. The amount amortized each year is weighted based on the projected revenue to be earned under the contracts. Intangible assets are assessed for impairment when and if impairment indicators exist. An impairment loss is recognized if the carrying amount of an intangible asset is not recoverable and its carrying amount exceeds its fair value. Lease obligations and right-of-use assets As of the lease commencement date, the Partnership recognizes a liability for its lease obligation, initially measured at the present value of lease payments not yet paid, and an asset for its right to use the underlying asset, initially measured equal to the lease liability and adjusted for lease payments made at or before lease commencement, lease incentives, and any initial direct costs. The initial recognition of the lease obligation and right-of-use asset excludes short-term leases for the Partnership’s vessels and office leases. Short-term leases are leases with an original term of one year or less, excluding those leases with an option to extend the lease for greater than one year or an option to purchase the underlying asset that the lessee is deemed reasonably certain to exercise. The initial recognition of this lease obligation and right-of-use asset excludes variable lease payments that are based on the usage or performance of the underlying asset and the portion of payments related to non-lease elements of vessel charters. The Partnership uses the effective interest rate method to subsequently account for the lease liability, whereby interest is recognized in interest expense in the Partnership’s consolidated statements of income. For those leases classified as operating leases, lease interest and right-of-use asset amortization in aggregate result in a straight-line expense profile that is presented in time-charter hire expense for vessels and general and administrative expense for office leases, unless the right-of-use asset becomes impaired. For those leases classified as finance leases, the right-of-use asset is amortized on a straight-line basis over the remaining life of the vessel, with such amortization included in depreciation and amortization in the Partnership’s consolidated statements of income. Variable lease payments that are based on the usage or performance of the underlying asset are recognized as an expense when incurred, unless achievement of a specified target triggers the lease payment, in which case an expense is recognized in the period achievement of the target is considered probable. The Partnership recognizes the expense from short-term leases and any non-lease components of vessels time-chartered from other owners, on a straight-line basis over the firm period of the charters. The expense is included in time-charter hire expense for vessel charters and general and administrative expenses for office leases. The Partnership has determined its time-charter-in contract contains both a lease component (lease of the vessel) and a non-lease component (operation of the vessel). The Partnership has allocated the contract consideration between the lease component and non-lease component on a relative standalone selling price basis. The standalone selling price of the non-lease component has been determined using a cost-plus approach, whereby the Partnership estimates the cost to operate the vessel using cost benchmarking studies prepared by a third party, when available, or internal estimates when not available, plus a profit margin. The standalone selling price of the lease component has been determined using an adjusted market approach, whereby the Partnership calculates a rate excluding the operating component based on market time-charter rate information from published broker estimates, when available, or internal estimates when not available. Given that there are no observable standalone selling prices for either of these two components, judgment is required in determining the standalone selling price of each component. The discount rate of the lease is determined using the Partnership’s incremental borrowing rate, which is based on the fixed interest rate the Partnership could obtain when entering into a secured loan facility with similar terms. The right-of-use asset is assessed for impairment when events or circumstances indicate the carrying amount of the asset may not be recoverable. If the right-of-use asset’s net carrying value exceeds the net undiscounted cash flows expected to be generated over its remaining useful life, the carrying amount of the right-of-use asset is reduced to its estimated fair value. The estimated fair value for the Partnership's impaired right-of-use assets from vessel incharters is determined using a discounted cash flow approach to estimate the fair value. Subsequent to an impairment, a right-of-use asset related to an operating lease is amortized on a straight-line basis over its remaining life. Vessels sold and leased back by the Partnership, where the Partnership has a fixed price repurchase obligation or other situations where the leaseback would be classified as a finance lease, are accounted for as a failed sale of the vessel. The Partnership does not derecognize the vessel sold and continues to depreciate the vessel as if it was the legal owner. Proceeds received from the sale of the vessel are recognized as an obligation related to finance lease and bareboat charter hire payments made by the Partnership to the lessor are allocated between interest expense and principal repayments on the obligation related to finance lease. In periods prior to the adoption of Accounting Standards Update 2016-02, Leases (or ASU 2016-02 ) (see Note 2), the Partnership's accounting policy was to recognize the expense from vessels time-chartered from other owners, which was included in time-charter hire expense, on a straight-line basis over the firm period of the charters. Derivative instruments All derivative instruments are initially recorded at fair value as either assets or liabilities in the accompanying consolidated balance sheets and subsequently remeasured to fair value each period end, regardless of the purpose or intent for holding the derivative. The method of recognizing the resulting gain or loss is dependent on whether the derivative contract is designed to hedge a specific risk and whether the contract qualifies for hedge accounting. When a derivative is designated as a cash flow hedge, the Partnership formally documents the relationship between the derivative and the hedged item. This documentation includes the strategy and risk management objective for undertaking the hedge and the method that will be used to assess the effectiveness of the hedge. Any gains and losses on the derivative that are excluded from the assessment of hedge effectiveness are recognized immediately in earnings. The Partnership does not apply hedge accounting if it is determined that the hedge was not effective or will no longer be effective, the derivative was sold or exercised, or the hedged item was sold, repaid or no longer probable of occurring. For derivative financial instruments designated and qualifying as cash flow hedges, changes in the fair value of the derivative financial instruments are initially recorded as a component of accumulated other comprehensive (loss) income in total equity. In the periods when the hedged items affect earnings, the associated fair value changes on the hedging derivatives are transferred from total equity to the corresponding earnings line item (e.g. interest expense) in the Partnership’s consolidated statements of income. If a cash flow hedge is terminated or dedesignated and the originally hedged item is still considered probable of occurring, the gains and losses initially recognized in total equity remain there until the hedged item impacts earnings, at which point they are transferred to the corresponding earnings line item in the Partnership’s consolidated statements of income. If the hedged items are no longer probable of occurring, amounts recognized in total equity are immediately transferred to the earnings item in the Partnership’s consolidated statements of income. For derivative financial instruments that are not designated or that do not qualify as hedges under Financial Accounting Standards Board (or FASB ) Accounting Standards Codification (or ASC ) 815, Derivatives and Hedging, the changes in the fair value of the derivative financial instruments are recognized in earnings. Gains and losses from the Partnership’s non-designated interest rate swaps and the Partnership’s agreement with Teekay Corporation for the Suezmax tanker the Toledo Spirit (see Note 12c) are recorded in realized and unrealized loss on non-designated derivative instruments in the Partnership’s consolidated statements of income. Gains and losses from the Partnership’s cross currency swaps are recorded in foreign currency exchange gain (loss) in the Partnership’s consolidated statements of income. Unit-based compensation The Partnership grants restricted unit awards as incentive-based compensation under the Teekay LNG Partners L.P. 2005 Long-Term Incentive Plan to certain of the Partnership’s employees and to certain employees of Teekay Corporation’s subsidiaries that provide services to the Partnership and its subsidiaries. The Partnership measures the cost of such awards using the grant date fair value of the award and recognizes that cost, net of estimated forfeitures, over the requisite service period. The requisite service period consists of the period from the grant date of the award to the earlier of the date of vesting or the date the recipient becomes eligible for retirement. For unit-based compensation awards subject to graded vesting, the Partnership calculates the value of the award as if it was one single award with one expected life and amortizes the calculated expense for the entire award on a straight-line basis over the requisite service period. The compensation cost of the Partnership’s unit-based compensation awards is reflected in general and administrative expenses in the Partnership’s consolidated statements of income. Income taxes The Partnership accounts for income taxes using the liability method. Under the liability method, deferred tax assets and liabilities are recognized for the anticipated future tax effects of temporary differences between the consolidated financial statement basis and the tax basis of the Partnership’s assets and liabilities using the applicable jurisdictional tax rates. A valuation allowance for deferred tax assets is recorded when it is more likely than not that some or all of the benefit from the deferred tax asset will not be realized. The Partnership recognizes the tax benefits of uncertain tax positions only if it is more-likely-than-not that a tax position taken or expected to be taken in a tax return will be sustained upon examination by the taxing authorities, including resolution of any related appeals or litigation processes, based on the technical merits of the position. The tax benefits recognized in the Partnership’s consolidated financial statements from such positions are measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. The Partnership recognizes interest and penalties related to uncertain tax positions in income tax expense in the Partnership’s consolidated statements of income. Guarantees Guarantees issued by the Partnership, excluding those that are guaranteeing its own performance, are recognized at fair value at the time the guarantees are issued and are presented in the Partnership’s consolidated balance sheets as other long-term liabilities. The liability recognized on issuance is amortized to other income on the Partnership’s consolidated statements of income over the term of the guarantee. If it becomes probable t |
Accounting Pronouncements
Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Changes and Error Corrections [Abstract] | |
Accounting Pronouncements | Accounting Pronouncements In May 2014, the FASB issued Accounting Standards Update 2014-09, Revenue from Contracts with Customers , (or ASU 2014-09 ). ASU 2014-09 requires an entity to recognize revenue when it transfers promised goods or services to customers at an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This update creates a five-step model that requires entities to exercise judgment when considering the terms of the contract(s) which include (i) identifying the contract(s) with the customer, (ii) identifying the separate performance obligations in the contract, (iii) determining the transaction price, (iv) allocating the transaction price to the separate performance obligations, and (v) recognizing revenue as each performance obligation is satisfied. ASU 2014-09 became effective for the Partnership as of January 1, 2018, and may be applied, at the Partnership’s option, retrospectively to each period presented or as a cumulative-effect adjustment as of the date of adoption. The Partnership adopted ASU 2014-09 as a cumulative-effect adjustment as of such date. The Partnership has elected to apply ASC 2014-09 only to those contracts that were not completed as of January 1, 2018. The Partnership has identified the following differences on adoption of ASU 2014-09: • In certain cases, the Partnership incurs pre-operational costs relating directly to a specific customer contract, that generate or enhance resources of the Partnership that will be used in satisfying performance obligations in the future, whereby such costs are expected to be recovered via the customer contract. Such costs are deferred and amortized over the duration of the customer contract. The Partnership previously expensed such costs as incurred unless the costs were directly reimbursable by the contract. This change increased net income by $1.1 million for the year ended December 31, 2018, and increased other assets by $3.5 million , investments in equity-accounted joint ventures by $0.3 million , and total equity by $3.8 million as at December 31, 2018. The cumulative increase to opening equity as at January 1, 2018 was $2.7 million . • The Partnership previously presented all accrued revenue as a component of accounts receivable. The Partnership has determined that if the right to such consideration is conditional upon something other than the passage of time, such accrued revenue should be presented apart from accounts receivable. This had the impact of increasing other current assets and decreasing accounts receivable by $2.3 million at December 31, 2018. There was no cumulative impact to opening equity as at January 1, 2018. In February 2016, the FASB issued ASU 2016-02, which establishes a right-of-use model that requires a lessee to record a right-of-use asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. For lessees, leases are classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. ASU 2016-02 requires lessors to classify leases as a sales-type, direct financing or operating lease. A lease is a sales-type lease if any one of five criteria are met, each of which indicate that the lease, in effect, transfers control of the underlying asset to the lessee. If none of those five criteria are met, but two additional criteria are both met, indicating that the lessor has transferred substantially all of the risks and benefits of the underlying asset to the lessee and a third party, the lease is a direct financing lease. All leases that are not sales-type leases or direct financing leases are operating leases. FASB issued an additional accounting standard update in July 2018 that made further amendments to accounting for leases, including allowing the use of a transition approach whereby a cumulative effect adjustment is made as of the effective date, with no retrospective effect and providing an optional practical expedient to lessors to not separate lease and non-lease components of a contract if certain criteria are met. The Partnership adopted ASU 2016-02 on January 1, 2019. In addition, the Partnership early adopted ASU 2019-01, which provides an exception for lessors who are not manufacturers or dealers to determine the fair value of leased property using the underlying asset’s cost, instead of fair value. To determine the cumulative effect adjustment, the Partnership has not reassessed lease classification, initial direct costs for any existing leases and whether any expired or existing contracts are or contain leases. The Partnership identified the following differences: • The adoption of ASU 2016-02 results in a change in the accounting method for the lease portion of the daily charter hire accounted for as operating leases with firm periods of greater than one year for certain of the chartered-in vessels of the Partnership and the Partnership's equity-accounted joint ventures. Under ASU 2016-02, one of the Partnership's in-charter contracts previously accounted for as an operating lease is now treated as an operating lease right-of-use asset and an operating lease liability, which resulted in an increase of the Partnership's assets and liabilities. The right-of-use asset and lease liability recognized at December 31, 2019 was $34.2 million (January 1, 2019 – $22.8 million ). In addition, certain equity-accounted joint ventures recognized a right-of-use asset and a lease liability on the balance sheet for these charters based on the present value of future minimum lease payments, whereas previously no right-of-use asset or lease liability was recognized. This had the result of increasing the equity-accounted joint venture’s assets and liabilities. The pattern of expense recognition of chartered-in vessels has remained substantially unchanged from the prior policy and is expected to remain substantially unchanged, unless the right-of-use asset becomes impaired. • The adoption of ASU 2016-02 results in the recognition of revenue from the reimbursement of scheduled dry-dock expenditures, where such charter contract is accounted for as an operating lease, occurring upon completion of the scheduled dry-dock, instead of ratably over the period between the previous scheduled dry-dock and the next scheduled dry-dock. This change decreased investments in and advances to equity-accounted joint ventures by $0.1 million , and total equity by $0.1 million as at December 31, 2019. The cumulative decrease to investments in and advances to equity-accounted joint ventures and opening equity as at January 1, 2019 was $3.0 million . • The adoption of ASU 2016-02 results in direct financing and sales-type lease payments received being presented as an operating cash inflow in 2019 instead of as an investing cash inflow, as presented in 2018 and 2017 in the consolidated statements of cash flows. Direct financing and sales-type lease payments received during the years ended December 31, 2019, 2018 and 2017 were $17.1 million , $10.9 million and $13.1 million , respectively. • The adoption of ASU 2016-02 results in sale and leaseback transactions where the seller lessee has a fixed price repurchase option or other situations where the leaseback would be classified as a finance lease being accounted for as a failed sale of the vessel and a failed purchase of the vessel by the buyer lessor. Prior to the adoption of ASU 2016-02 such transactions were accounted for as a completed sale and a completed purchase. Consequently, for such transactions the Partnership does not derecognize the vessel sold and continues to depreciate the vessel as if it were the legal owner. Proceeds received from the sale of the vessel are recognized as a financial liability and bareboat charter hire payments made by the Partnership to the lessor are allocated between interest expense and principal repayments on the financial liability. The adoption of ASU 2016-02 has resulted in the sale and leaseback of the Yamal Spirit and the Torben Spirit during 2019, respectively, being accounted for as failed sales and unlike the eight sale-leaseback transactions entered into in prior years, the Partnership is not considered as holding a variable interest in the buyer lessor entity and thus, does not consolidate the buyer lessor entity (see Note 5). In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging - Targeted Improvements to Accounting for Hedging Activities (or ASU 2017-12 ) . ASU 2017-12 eliminates the requirement to separately measure and report hedge ineffectiveness and generally requires, for qualifying hedges, the entire change in the fair value of a hedging instrument to be recorded in other comprehensive (loss) income and reclassified to earnings in the same income statement line as the hedged item when the hedged item affects earnings. The guidance also modifies the accounting for components excluded from the assessment of hedge effectiveness, eases documentation and assessment requirements and modifies certain disclosure requirements. ASU 2017-12 became effective for the Partnership as of January 1, 2019. This change decreased accumulated other comprehensive (loss) income by $4.8 million as at January 1, 2019, and correspondingly increased opening equity as at January 1, 2019 by $4.8 million . In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses: Measurement of Credit Losses on Financial Instruments (or ASU 2016-13 ). ASU 2016-13 introduces a new credit loss methodology, which requires earlier recognition of credit losses, while also providing additional transparency about credit risk. This new credit loss methodology utilizes a lifetime “expected credit loss” measurement objective for the recognition of credit losses for loans, held-to-maturity debt securities and other receivables at the time the financial asset is originated or acquired. The expected credit losses are subsequently adjusted each period for changes in expected lifetime credit losses. This methodology replaces the multiple existing impairment methods under current GAAP, which generally require that a loss be incurred before it is recognized. This update is effective for the Partnership January 1, 2020, with a modified-retrospective approach. The Partnership expects that its net investments in direct financing and sales-type leases, advances to equity-accounted joint ventures, guarantees of indebtedness of equity-accounted joint ventures and receivables related to non-operating lease revenue arrangements will be subject to ASU 2016-13. Consequently, the Partnership expects that on January 1, 2020 it will decrease the carrying value of these instruments, some of which are held by the Partnership's equity-accounted investments, resulting in a corresponding reduction to total equity on the date of adoption. The Partnership is in the process of finalizing its credit loss methodology and calculations. In December 2019, the FASB issued ASU 2019-12 - Income Taxes (Topic 740) Simplifying the Accounting for Income Taxes |
Fair Value Measurements and Fin
Fair Value Measurements and Financial Instruments | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments Disclosure [Text Block] | Fair Value Measurements and Financial Instruments a) Fair Value Measurements The following methods and assumptions were used to estimate the fair value of each class of financial instrument: Cash and cash equivalents and restricted cash – The fair value of the Partnership’s cash and cash equivalents and restricted cash approximates its carrying amounts reported in the consolidated balance sheets. Interest rate swap agreements, foreign currency contracts and cross currency swap agreements – The fair value of these derivative instruments of the Partnership is the estimated amount that the Partnership would receive or pay to terminate the agreements at the reporting date, taking into account current interest rates, foreign exchange rates and the current credit worthiness of both the Partnership and the derivative counterparties. The estimated amount is the present value of future cash flows. The Partnership transacts all of these derivative instruments through investment-grade rated financial institutions at the time of the transaction. The Partnership's interest rate swap agreements do not require the Partnership to provide cash collateral to these institutions; however, cash collateral may be required by certain institutions on some of the Partnership's cross currency swap agreements and as at December 31, 2019 , the Partnership had pledged $14.3 million cash as collateral ( December 31, 2018 – $6.8 million ), which has been recorded as restricted cash – current and long-term on the Partnership's consolidated balance sheets. Given the current volatility in the credit markets, it is reasonably possible that the amount recorded as a derivative asset or liability could vary by a material amount in the near term. Minor changes to the forward interest curves and forward foreign exchange rates used as inputs to the valuations may have a significant effect on the fair value of these derivative instruments. Other derivative – The Partnership’s other derivative agreement was between Teekay Corporation and the Partnership and related to hire payments under the time-charter contract for the Suezmax tanker Toledo Spirit (see Note 12c). The time-charter contract and the related agreement with Teekay Corporation ended in January 2019. The fair value of this derivative agreement was the estimated amount that the Partnership would receive or pay to terminate the agreement at the reporting date, based on the present value of the Partnership’s projection of future spot market tanker rates, which have been derived from current spot market tanker rates and long-term historical average rates. As projections of future spot rates were specific to the Partnership, these were considered Level 3 inputs for the purposes of estimating the fair value. Long-term debt – The fair values of the Partnership’s fixed-rate and variable-rate long-term debt are either based on quoted market prices or estimated using discounted cash flow analyses based on rates currently available for debt with similar terms and remaining maturities and the current credit worthiness of the Partnership. Long-term obligations related to finance leases – The fair values of the Partnership's long-term obligations related to finance leases are estimated using discounted cash flow analyses, based on rates currently available for debt with similar terms and remaining maturities. The Partnership categorizes the fair value estimates by a fair value hierarchy based on the inputs used to measure fair value. The fair value hierarchy has three levels based on the reliability of the inputs used to determine fair value as follows: Level 1. Observable inputs such as quoted prices in active markets; Level 2. Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and Level 3. Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions. The following table includes the estimated fair value and carrying value of those assets and liabilities that are measured at fair value on a recurring and non-recurring basis, as well as the estimated fair value of the Partnership’s financial instruments that are not accounted for at a fair value on a recurring basis. December 31, 2019 December 31, 2018 Fair Value Carrying Fair Carrying Fair Recurring: Cash and cash equivalents and restricted cash (note 15a) Level 1 253,291 253,291 222,864 222,864 Derivative instruments (note 13) Interest rate swap agreements – assets Level 2 2,210 2,210 3,341 3,341 Interest rate swap agreements – liabilities Level 2 (50,447 ) (50,447 ) (40,958 ) (40,958 ) Foreign currency contracts Level 2 (202 ) (202 ) — — Cross currency swap agreements – liabilities Level 2 (42,104 ) (42,104 ) (29,122 ) (29,122 ) Other derivative Level 3 — — 1,061 1,061 Other: Advances to equity-accounted joint ventures, current and long-term (note 7) (i) 126,546 (i) 131,386 (i) Long-term debt – public (note 10) Level 1 (345,824 ) (358,005 ) (350,813 ) (361,095 ) Long-term debt – non-public (note 10) Level 2 (1,485,572 ) (1,474,208 ) (1,618,963 ) (1,604,106 ) Obligations related to finance leases (note 5a) Level 2 (1,410,904 ) (1,434,910 ) (1,298,556 ) (1,274,693 ) (i) The advances to equity-accounted joint ventures together with the Partnership’s equity investments in the joint ventures form the net aggregate carrying value of the Partnership’s interests in the joint ventures in these consolidated financial statements. The fair values of the individual components of such aggregate interests are not determinable. The time-charter contract for the Toledo Spirit Suezmax tanker ended in January 2019, upon which the charterer, who was also the owner, sold the vessel, which resulted in the related agreement with Teekay Corporation described below ending concurrently. The time-charter contract for the vessel had increased or decreased the otherwise fixed-hire rate established in the charter depending on the spot charter rates that the Partnership would have earned had it traded the vessel in the spot tanker market. In order to reduce the variability of its revenue under the Toledo Spirit time-charter, the Partnership entered into an agreement with Teekay Corporation under which Teekay Corporation paid the Partnership any amounts payable to the charterer of the Toledo Spirit as a result of spot rates being below the fixed rate, and the Partnership paid Teekay Corporation any amounts payable to the Partnership by the charterer of the Toledo Spirit as a result of spot rates being in excess of the fixed rate. Changes in fair value during the years ended December 31, 2019 and 2018 for the Partnership’s other derivative asset, the Toledo Spirit time-charter derivative, which were measured at fair value on a recurring basis using significant unobservable inputs (Level 3), were as follows: Year Ended Year Ended Fair value at beginning of year 1,061 1,648 Realized and unrealized (losses) gains included in earnings (40 ) 550 Settlements (1,021 ) (1,137 ) Fair value at end of year — 1,061 b) Financing Receivables The following table contains a summary of the carrying value of the Partnership’s loan receivables and other financing receivables by type of borrower, the method by which the Partnership monitors the credit quality of its financing receivables on a quarterly basis and the grade as at December 31, 2019 . Class of Financing Receivable Credit Quality Indicator Grade December 31, December 31, Direct financing and sales-type leases (note 6) Payment activity Performing 818,809 575,163 Other receivables: Long-term receivable and accrued revenue included in other assets Payment activity Performing 8,092 5,694 Advances to equity-accounted joint ventures (note 7) Other internal metrics Performing 126,546 131,386 953,447 712,243 |
Fair Value Measurements and Financial Instruments | The following table contains a summary of the carrying value of the Partnership’s loan receivables and other financing receivables by type of borrower, the method by which the Partnership monitors the credit quality of its financing receivables on a quarterly basis and the grade as at December 31, 2019 . Class of Financing Receivable Credit Quality Indicator Grade December 31, December 31, Direct financing and sales-type leases (note 6) Payment activity Performing 818,809 575,163 Other receivables: Long-term receivable and accrued revenue included in other assets Payment activity Performing 8,092 5,694 Advances to equity-accounted joint ventures (note 7) Other internal metrics Performing 126,546 131,386 953,447 712,243 |
Segment Reporting
Segment Reporting | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment Reporting The Partnership has the following reportable segments, the LNG segment, the LPG segment and the conventional tanker segment. The Partnership’s LNG segment consists of LNG carriers which generally operate under long-term, fixed-rate charters to international energy companies. The Partnership's LPG segment consists of LPG and multi-gas carriers which generally operate under voyage charters or time-charters. As at December 31, 2019 , the Partnership’s LNG segment consisted of 49 LNG carriers (including 25 LNG carriers included in joint ventures that are accounted for under the equity method) and one LNG receiving and regasification terminal in Bahrain (see Note 20b). As at December 31, 2019 , the Partnership's LPG segment consisted of 30 LPG/multi-gas carriers (including 23 LPG carriers included in a joint venture that is accounted for under the equity method). The Partnership sold its two remaining conventional tankers, the Toledo Spirit and the Alexander Spirit, in January and October 2019, respectively. Segment results are evaluated based on income from vessel operations. The accounting policies applied to the reportable segments are the same as those used in the preparation of the Partnership’s consolidated financial statements. The following table presents voyage revenues and percentage of consolidated voyage revenues for the Partnership’s customers who accounted for 10% or more of the Partnership's consolidated voyage revenues during any of the periods presented. (U.S. Dollars in millions) Year Ended Year Ended Year Ended Royal Dutch Shell Plc. (i) (ii) $126.9 or 21% $115.4 or 23% $53.8 or 12% Ras Laffan Liquefied Natural Gas Company Ltd. (i) $71.1 or 12% $70.6 or 14% $70.3 or 16% Naturgy Energy Group S.A. (i) $65.6 or 11% Less than 10% Less than 10% Cheniere Marketing International (i) $60.6 or 11% $60.1 or 12% $60.2 or 14% The Tangguh Production Sharing Contractors (i) Less than 10% Less than 10% $49.7 or 11% (i) LNG segment. (ii) Includes its subsidiaries Shell International Trading Middle East Ltd. and Shell Tankers (Singapore) Private Ltd. The following tables include results for these segments for the years presented in these consolidated financial statements. Year Ended December 31, 2019 Liquefied Natural Gas Liquefied Petroleum Gas Conventional Total Voyage revenues 555,303 39,211 6,742 601,256 Voyage expenses (4,493 ) (16,563 ) (331 ) (21,387 ) Vessel operating expenses (90,954 ) (17,888 ) (2,743 ) (111,585 ) Time-charter hire expense (19,994 ) — — (19,994 ) Depreciation and amortization (128,138 ) (7,931 ) (696 ) (136,765 ) General and administrative expenses (i) (20,193 ) (1,789 ) (539 ) (22,521 ) Gain on sales of vessels and write-down of vessels 14,349 — (785 ) 13,564 Restructuring charges (400 ) — (2,915 ) (3,315 ) Income (loss) from vessel operations 305,480 (4,960 ) (1,267 ) 299,253 Equity income (loss) 59,600 (781 ) — 58,819 Investment in and advances to equity-accounted joint ventures 1,003,581 151,735 — 1,155,316 Total assets at December 31, 2019 4,924,627 319,695 — 5,244,322 Expenditures for vessels and equipment (101,052 ) (1,538 ) — (102,590 ) Expenditures for dry docking (8,224 ) (2,776 ) — (11,000 ) Year Ended December 31, 2018 Liquefied Natural Gas Liquefied Petroleum Gas Conventional Total Voyage revenues 454,517 23,922 32,323 510,762 Voyage expenses (2,750 ) (15,907 ) (9,580 ) (28,237 ) Vessel operating expenses (82,952 ) (20,932 ) (13,774 ) (117,658 ) Time-charter hire expense (7,670 ) — — (7,670 ) Depreciation and amortization (111,360 ) (7,748 ) (5,270 ) (124,378 ) General and administrative expenses (i) (23,270 ) (2,932 ) (2,310 ) (28,512 ) Write-down of goodwill and vessels — (33,790 ) (20,863 ) (54,653 ) Restructuring charges — — (1,845 ) (1,845 ) Income (loss) from vessel operations 226,515 (57,387 ) (21,319 ) 147,809 Equity income (loss) 60,228 (6,682 ) — 53,546 Investment in and advances to equity-accounted joint ventures 962,236 153,897 — 1,116,133 Total assets at December 31, 2018 4,861,977 326,111 39,450 5,227,538 Expenditures for vessels and equipment (684,951 ) (1,230 ) (124 ) (686,305 ) Expenditures for dry docking (7,505 ) (5,059 ) (15 ) (12,579 ) Year Ended December 31, 2017 Liquefied Natural Gas Liquefied Petroleum Gas Conventional Total Voyage revenues 365,914 19,769 46,993 432,676 Voyage expenses (1,802 ) (1,218 ) (5,182 ) (8,202 ) Vessel operating expenses (80,245 ) (3,083 ) (18,211 ) (101,539 ) Depreciation and amortization (86,592 ) (8,433 ) (10,520 ) (105,545 ) General and administrative expenses (i) (13,223 ) (2,411 ) (2,507 ) (18,141 ) Write-down of vessels — — (50,600 ) (50,600 ) Income (loss) from vessel operations 184,052 4,624 (40,027 ) 148,649 Equity income (loss) 17,652 (7,863 ) — 9,789 Expenditures for vessels and equipment (701,117 ) (13,412 ) — (714,529 ) Expenditures for dry docking (20,046 ) (107 ) (2,130 ) (22,283 ) (i) Includes direct general and administrative expenses and indirect general and administrative expenses (allocated to each segment based on estimated use of corporate resources (Note 12a)). A reconciliation of total segment assets presented in the Partnership's consolidated balance sheets is as follows: December 31, December 31, Total assets of the liquefied natural gas segment 4,924,627 4,861,977 Total assets of the liquefied petroleum gas segment 319,695 326,111 Total assets of the conventional tanker segment — 39,450 Unallocated: Cash and cash equivalents 160,221 149,014 Advances to affiliates 5,143 8,229 Consolidated total assets 5,409,686 5,384,781 |
Chartered-in Vessels
Chartered-in Vessels | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Chartered-in Vessels | Chartered-in Vessels a) Obligations related to Finance Leases December 31, December 31, LNG Carriers 1,410,904 1,274,569 Suezmax Tanker — 23,987 Total obligations related to finance leases 1,410,904 1,298,556 Less current portion (69,982 ) (81,219 ) Long-term obligations related to finance leases 1,340,922 1,217,337 LNG Carriers. As at December 31, 2019 , the Partnership was a party to finance leases on nine LNG carriers ( December 31, 2018 – eight LNG carriers) . Upon delivery of these nine LNG carriers between February 2016 and January 2019, the Partnership sold these vessels to third parties (or Lessors) and leased them back under 7.5 to 15 -year bareboat charter contracts ending in 2026 through to 2034. At inception of these leases, the weighted-average interest rate implicit in these leases was 5.1% . The bareboat charter contracts are presented as obligations related to finance leases on the Partnership's consolidated balance sheets and have purchase obligations at the end of the lease terms. The Partnership consolidates seven of the nine Lessors for financial reporting purposes as VIEs. The Partnership understands that these vessels and lease operations are the only assets and operations of the Lessors. The Partnership operates the vessels during the lease term and, as a result, is considered to be, under GAAP, the Lessor's primary beneficiary. The sale and leaseback of two vessels are accounted for as failed sales. The Partnership is not considered as holding a variable interest in these buyer Lessor entities and thus, does not consolidate these entities (see Note 2). The liabilities of the seven Lessors considered as VIEs are loans and are non-recourse to the Partnership. The amounts funded to the seven Lessors in order to purchase the vessels materially match the funding to be paid by the Partnership's subsidiaries under the sale-leaseback transactions. As a result, the amounts due by the Partnership's subsidiaries to the seven Lessors considered as VIEs have been included in obligations related to finance leases as representing the Lessors' loans. During September 2019, the Partnership refinanced the Torben Spirit by acquiring the Torben Spirit from its original Lessor and then selling the vessel to another Lessor and leasing it back for a period of 7.5 years . The Partnership is required to purchase the vessel at the end of the lease term. As a result of this refinancing transaction, the Partnership recognized a loss of $1.4 million for the year ended December 31, 2019 on the extinguishment of the original finance lease which was included in other (expense) income in the Partnership's consolidated statements of income. The obligations of the Partnership under the bareboat charter contracts for the nine LNG carriers are guaranteed by the Partnership. In addition, the guarantee agreements require the Partnership to maintain minimum levels of tangible net worth and aggregate liquidity, and not to exceed a maximum amount of leverage. As at December 31, 2019 , the Partnership was in compliance with all covenants in respect of the obligations related to its finance leases. As at December 31, 2019 and 2018, the remaining commitments related to the finance leases of these nine LNG carriers (December 31, 2018 – eight LNG carriers) , including the amounts to be paid for the related purchase obligations, approximated $1.9 billion (December 31, 2018 – $1.7 billion ), including imputed interest of $470.9 million (December 31, 2018 – $435.3 million ), repayable from 2020 through 2034, as indicated below: Commitments at December 31, Year 2019 2018 2019 — $ 119,517 2020 $ 140,386 $ 118,685 2021 $ 138,601 $ 117,772 2022 $ 136,959 $ 116,978 2023 $ 135,459 $ 116,338 2024 $ 132,011 $ 113,704 Thereafter $ 1,198,366 $ 1,006,966 Suezmax Tanker. As at December 31, 2018 , the Partnership was a party, as lessee, to a finance lease on one Suezmax tanker, the Toledo Spirit . As at December 31, 2018 , the remaining commitments related to the finance lease for the tanker, including the related purchase obligations, approximated $24.2 million including imputed interest of $0.2 million , repayable in 2019. In January 2019, the charterer, who is also the owner, sold the Toledo Spirit to a third party which resulted in the Partnership returning the vessel to its owner and the concurrent extinguishment of the obligation related to finance lease. b) Operating Leases The Partnership has chartered a vessel from its 52% -owned joint venture with Marubeni Corporation (or the MALT Joint Venture ) on a time-charter-in contract, whereby the MALT Joint Venture provides use of the vessel to the Partnership and operates the vessel for the Partnership. Under its time-charter-in contract with the MALT Joint Venture commencing in September 2018, which had an original term of two years and was further extended by 21 months to June 2022, the Partnership incurred time-charter hire expense for the year ended December 31, 2019 of $20.0 million (2018 – $7.7 million ), of which $12.4 million (2018 – $4.8 million ) was allocable to the lease component and $7.6 million (2018 – $2.9 million ) was allocable to the non-lease component. The $12.4 million and $4.8 million allocable to the lease component approximates the cash paid for the amounts included in operating lease liabilities and is reflected as a reduction in operating cash flows for the years ended December 31, 2019 and 2018, respectively. As at December 31, 2019 , the weighted-average remaining lease term and weighted-average discount rate for the time-charter-in contract were 2.5 years and 4.6% , respectively. A maturity analysis of the Partnership’s operating lease liabilities from its time-charter-in contract with the MALT Joint Venture as at December 31, 2019 is as follows: Lease Commitment Non-Lease Commitment Total Commitment Year $ $ $ Payments: 2020 14,710 9,080 23,790 2021 14,670 9,055 23,725 2022 6,832 4,218 11,050 Total payments 36,212 22,353 58,565 Less imputed interest (2,055 ) Carrying value of operating lease liabilities 34,157 Less current portion (13,407 ) Carrying value of long-term operating lease liabilities 20,750 As at December 31, 2018 , minimum commitments incurred by the Partnership relating to its time-charter-in contract with the MALT Joint Venture were approximately $23.7 million (2019) and $17.0 million (2020). |
Revenue
Revenue | 12 Months Ended |
Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue The Partnership’s primary source of revenue is chartering its vessels to customers. The Partnership utilizes three primary forms of contracts, consisting of time-charter contracts, voyage charter contracts and bareboat charter contracts. Time Charters Pursuant to a time-charter contract, the Partnership charters a vessel to a customer for a fixed period of time, generally one year or more. The performance obligations of a time-charter contract, which include the lease of the vessel to the charterer as well as the operation of the vessel, are satisfied as services are rendered over the duration of such contract, as measured using the time that has elapsed from commencement of performance. In addition, any expenses unique to a particular voyage, including any fuel expenses, port fees, cargo loading and unloading expenses, canal tolls, agency fees and commissions, are the responsibility of the customer, as long as the vessel is not off-hire. Hire is based on a fixed daily hire amount and is typically invoiced monthly in advance for time-charter contracts. However, certain sources of variability exist, including penalties, such as those that relate to periods the vessels are off-hire and where minimum speed and performance metrics are not met. In addition, certain time-charter contracts contain provisions allowing the Partnership to be compensated for increases in the Partnership's costs during the term of the charter. Such provisions may be in the form of annual hire rate adjustments for changes in inflation indices or interest rates or in the form of cost reimbursements for vessel operating expenditures or dry-docking expenditures. Finally, in a small number of charters, the Partnership may earn a profit share consideration, which occurs when actual spot tanker rates earned by the vessel exceed certain thresholds for a period of time. The Partnership does not engage in any specific tactics to minimize residual value risk. As at December 31, 2019 , a substantial majority of the Partnership’s consolidated vessels operated under time-charter contracts with the Partnership’s customers. Such contracts are scheduled to expire between 2020 and 2040. The time-charter contracts for many of the Partnership's LNG carriers have options whereby the charterer can extend the contract for periods up to a total extension between three and 15 years. In addition, each of the Partnership's time-charter contracts are subject to certain termination and purchase provisions. As at December 31, 2019 , the Partnership had $ 24.9 million of advanced payments recognized as contract liabilities ( December 31, 2018 – $ 26.4 million ) which are expected to be recognized as voyage revenues in 2020 and are included in unearned revenue on the Partnership's consolidated balance sheets. The Partnership recognized $26.4 million and $22.2 million of revenue for the years ended December 31, 2019 and 2018, respectively, that was recognized as a contract liability at the beginning of those years. Voyage Charters Voyage charters are charters for a specific voyage that are usually priced on a current or “spot” market rate. The performance obligations of a voyage charter contract, which typically include the lease of the vessel to the charterer as well as the operation of the vessel, are satisfied as services are rendered over the duration of the voyage, as measured using the time that has elapsed from commencement of performance. In addition, any expenses that are unique to a particular voyage, including any fuel expenses, port fees, cargo loading and unloading expenses, canal tolls, agency fees and commissions, are the responsibility of the vessel owner. The Partnership’s voyage charters will normally contain a lease; however, judgment is necessary to determine this based upon the decision-making rights of the charterer under the contract. Consideration for such contracts is generally fixed, although certain sources of variability exist - for example, delays caused by the charterer result in additional consideration. Payment for the voyage is not due until the voyage is completed. The duration of a single voyage is typically less than three months. The Partnership does not engage in any specific tactics to minimize residual value risk due to the short-term nature of the contracts. Bareboat Charters Pursuant to a bareboat charter, the Partnership charters a vessel to a customer for a fixed period of time, generally one year or more, at rates that are generally fixed. However, the customer is responsible for operation and maintenance of the vessel with its own crew as well as any expenses that are unique to a particular voyage, including any fuel expenses, port fees, cargo loading and unloading expenses, canal tolls, agency fees and commissions. If the vessel goes off-hire due to a mechanical issue or any other reason, the monthly hire received by the Partnership is normally not impacted. The performance obligations of a bareboat charter, which include the lease of the vessel to the charterer, are satisfied over the duration of such contract, as measured using the time elapsed from commencement of the lease. Hire is typically invoiced monthly in advance for bareboat charters, based on a fixed daily hire amount. Revenue Table The following tables contain the Partnership's revenue for the year ended December 31, 2019 , 2018 and 2017 , by contract type and by segment. Year Ended December 31, 2019 Liquefied Natural Gas Segment $ Liquefied Petroleum Gas Segment $ Conventional Tanker Segment $ Total Time charters 530,434 2,860 6,742 540,036 Voyage charters — 36,351 — 36,351 Bareboat charters 18,387 — — 18,387 Management fees and other income 6,482 — — 6,482 555,303 39,211 6,742 601,256 Year Ended December 31, 2018 Liquefied Natural Gas Segment $ Liquefied Petroleum Gas Segment $ Conventional Tanker Segment $ Total Time charters 420,262 — 17,405 437,667 Voyage charters — 23,922 14,591 38,513 Bareboat charters 23,820 — — 23,820 Management fees and other income 10,435 — 327 10,762 454,517 23,922 32,323 510,762 Year Ended December 31, 2017 Liquefied Natural Gas Segment $ Liquefied Petroleum Gas Segment $ Conventional Tanker Segment $ Total Time charters 332,751 — 39,171 371,922 Voyage charters — 2,285 6,709 8,994 Bareboat charters 22,574 17,484 — 40,058 Management fees and other income 10,589 — 1,113 11,702 365,914 19,769 46,993 432,676 The following table contains the Partnership’s total revenue for the years ended December 31, 2019 , 2018 and 2017 , by contracts or components of contracts accounted for as leases and those not accounted for as leases: Year Ended December 31, 2019 $ Year Ended December 31, 2018 $ Year Ended December 31, 2017 $ Lease revenue Lease revenue from lease payments of operating leases 516,772 440,963 351,119 Interest income on lease receivables 51,676 41,963 49,275 Variable lease payments – cost reimbursements (1) 4,635 — — Variable lease payments – other (2) — (1,480 ) (648 ) 573,083 481,446 399,746 Non-lease revenue Non-lease revenue – related to sales-type or direct financing leases 21,691 18,554 21,228 Management fees and other income 6,482 10,762 11,702 28,173 29,316 32,930 Total 601,256 510,762 432,676 (1) Reimbursements for vessel operating expenditures and dry-docking expenditures received from the Partnership's customers relating to such costs incurred by the Partnership to operate the vessel for the customer pursuant to charters accounted for as operating leases. (2) Payments to charterer from time-charter contracts based on the base daily hire amount being in excess of spot market rates. Net Investments in Direct Financing and Sales-Type Leases The two LNG carriers owned by Teekay BLT Corporation (or the Tangguh Joint Venture ), in which the Partnership has a 70% ownership interest and which the Partnership consolidates, commenced their time-charter contracts with their charterers in 2009. Both time-charter contracts are accounted for as direct financing leases with 20 -year terms. In addition, the 21 -year charter contract for the Bahrain Spirit floating storage unit (or FSU ) commenced in September 2018 and is accounted for as a direct finance lease. In 2013, the Partnership acquired two 155,900 -cubic meter LNG carriers, the WilPride and WilForce from Norway-based Awilco LNG ASA (or Awilco ) and chartered them back to Awilco on five- and four-year fixed-rate bareboat charter contracts (plus a one-year extension option), respectively, with Awilco holding fixed-price purchase obligations at the end of the charter. The bareboat charters with Awilco were accounted for as direct financing leases. In June 2017, the Partnership agreed to amend the charter contracts with Awilco to defer a portion of charter hire fees and extend the bareboat charter contracts and related purchase obligations on both vessels to December 31, 2019. The amendments had the effect of deferring charter hire fees of between $10,600 per day and $20,600 per day per vessel from July 1, 2017 until December 31, 2019 with such deferred amounts added to the purchase obligation amounts. As a result of the contract amendments, both of the charter contracts with Awilco were reclassified as operating leases upon the expiry of its original contract terms in November 2017 and August 2018. In September 2019, Awilco exercised its option to extend both charters from December 31, 2019 by up to 60 days with the ownership of both vessels transferring to Awilco at the end of this extension. In addition, in October 2019, Awilco obtained credit approval for a financing facility that would provide the funds necessary for Awilco to fulfill its purchase obligation of the two LNG carriers. As a result, both vessels were derecognized and sales-type lease receivables were recognized based on the remaining amounts owing to the Partnership, including the purchase obligations. The Partnership recognized a gain of $14.3 million upon derecognition of the vessels for the year ended December 31, 2019, which was included in gain (loss) on sales of vessels and write-down of goodwill and vessels in the Partnership's consolidated statements of income. Awilco purchased both vessels in January 2020 (see Note 20a). The following table lists the components of the net investments in direct financing and sales-type leases: December 31, December 31, Total lease payments to be received 1,115,968 897,130 Estimated unguaranteed residual value of leased properties 284,277 291,098 Initial direct costs 296 329 Less unearned revenue (581,732 ) (613,394 ) Total net investments in direct financing and sales-type leases 818,809 575,163 Less current portion (273,986 ) (12,635 ) Net investments in direct financing and sales-type leases 544,823 562,528 As at December 31, 2019 , estimated lease payments to be received by the Partnership related to its direct financing and sales-type leases in each of the next five succeeding fiscal years were approximately $ 324.7 million ( 2020 ), $ 64.2 million ( 2021 ), $ 64.2 million ( 2022 ), $ 64.0 million ( 2023 ), $ 64.3 million ( 2024 ) and an aggregate of $ 534.6 million thereafter. The leases are scheduled to end between 2020 and 2039. As at December 31, 2018, estimated minimum lease payments to be received by the Partnership related to its direct financing leases in each of the next five years were approximately $63.9 million (2019), $64.3 million (2020), $64.2 million (2021), $64.2 million (2022), $64.0 million (2023) and an aggregate of $576.5 million thereafter. Operating Leases As at December 31, 2019 , the minimum scheduled future rentals to be received by the Partnership in each of the next five years for the lease and non-lease elements related to charters that were accounted for as operating leases were approximately $514.9 million ( 2020 ), $475.8 million ( 2021 ), $371.7 million ( 2022 ), $307.0 million ( 2023 ), and $250.8 million ( 2024 ). Minimum scheduled future rentals on operating lease contracts do not include rentals from vessels in the Partnership's equity-accounted joint ventures, rentals from unexercised option periods of contracts that existed on December 31, 2019 , variable or contingent rentals, or rentals from contracts which were entered into or commenced after December 31, 2019 . Therefore, the minimum scheduled future rentals on operating leases should not be construed to reflect total charter hire revenues for any of these five years. As at December 31, 2018, the minimum scheduled future rentals to be received by the Partnership in each of the next five years for the lease and non-lease elements related to charters that were accounted for as operating leases were approximately $482.7 million (2019), $438.2 million (2020), $398.3 million (2021), $321.9 million (2022), and $278.1 million (2023). Minimum scheduled future rentals on operating lease contracts do not include rentals from vessels in the Partnership’s equity-accounted joint ventures, rentals from unexercised option periods of contracts that existed on December 31, 2018 variable or contingent rentals, or rentals from contracts which were entered into or commenced after December 31, 2018 . Therefore, the minimum scheduled future rentals on operating leases should not be construed to reflect total charter hire revenues for any of these five years. The carrying amount of the Partnership's vessels which are employed on these charter contracts as at December 31, 2019 , was $ 2.9 billion ( December 31, 2018 – $ 3.1 billion ). The cost and accumulated depreciation of these vessels employed on these charter contracts as at December 31, 2019 were $ 3.6 billion ( December 31, 2018 – $ 3.8 billion ) and $ 777.9 million ( December 31, 2018 – $ 698.5 million ), respectively. |
Equity-Accounted Joint Ventures
Equity-Accounted Joint Ventures | 12 Months Ended |
Dec. 31, 2019 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity-Accounted Joint Ventures | Equity-Accounted Joint Ventures a) A summary of the Partnership's investments in and advances to equity-accounted joint ventures are as follows: As at December 31, 2019 As at December 31, Name Ownership Percentage # of Delivered Vessels LNG Terminal 2019 2018 Bahrain LNG Joint Venture (i) 30% - 1 60,462 81,353 Yamal LNG Joint Venture (ii) 50% 6 - 264,126 205,839 Pan Union Joint Venture (iii) 20%-30% 4 - 79,568 73,545 Exmar LPG Joint Venture (iv) 50% 23 - 151,673 153,808 MALT Joint Venture (v) 52% 6 - 357,411 351,529 Excalibur Joint Venture (vi) 50% 1 - 32,691 32,402 Angola Joint Venture (vii) 33% 4 - 88,465 85,469 RasGas III Joint Venture (viii) 40% 4 - 120,920 132,188 48 1 1,155,316 1,116,133 Less current portion of advances to equity-accounted joint ventures — (79,108 ) Investment in and advances to equity-accounted joint ventures 1,155,316 1,037,025 (i) Bahrain LNG Joint Venture In December 2015, the Partnership ( 30% ) entered into a joint venture agreement with National Oil & Gas Authority (or NOGA ) ( 30% ), Gulf Investment Corporation (or GIC ) ( 24% ) and Samsung C&T (or Samsung ) ( 16% ) to form a joint venture, Bahrain LNG W.L.L. (or the Bahrain LNG Joint Venture ), for the development of an LNG receiving and regasification terminal in Bahrain. The LNG terminal includes an offshore LNG receiving jetty and breakwater, an adjacent regasification platform, subsea gas pipelines from the platform to shore, an onshore gas receiving facility, and an onshore nitrogen production facility with a total LNG terminal capacity of 800 million standard cubic feet per day and will be owned and operated under a 20 -year customer contract (see Note 20b). In addition, the Partnership has supplied an FSU in connection with this terminal commencing in September 2018 through a 21-year time-charter contract with the Bahrain LNG Joint Venture. As at December 31, 2019 , the Partnership had advanced $73.4 million ( December 31, 2018 – $79.1 million ) to the Bahrain LNG Joint Venture. These advances bear interest at 6.0% (2018 – LIBOR plus 1.25% ) and as at December 31, 2019 and 2018 , the interest receivable on these advances was $0.5 million and $ nil , respectively. These amounts are included in the table above. (ii) Yamal LNG Joint Venture As at December 31, 2019 , the Partnership has a 50 / 50 joint venture agreement with China LNG Shipping (Holdings) Limited (or China LNG ) (or the Yamal LNG Joint Venture ) and the joint venture has six icebreaker LNG carriers that carry out international transportation of LNG for a project located on the Yamal Peninsula in Northern Russia. The Partnership has guaranteed its 50% share of a secured loan facility and interest rate swaps in the Yamal LNG Joint Venture for which the aggregate principal amount of the loan facility and fair value of the interest rate swaps as at December 31, 2019 was $809.2 million . As a result, the Partnership has recorded a guarantee liability. The carrying value of the guarantee liability as at December 31, 2019 was $2.2 million ( December 31, 2018 – $0.6 million ) and is included as part of other long-term liabilities in the Partnership’s consolidated balance sheets. (iii) Pan Union Joint Venture As at December 31, 2019 , the Partnership has a 30% ownership interest in two LNG carriers, the Pan Asia and the Pan Americas , and a 20% ownership interest in two LNG carriers, the Pan Europe and the Pan Africa , through its joint venture with China LNG, CETS Investment Management (HK) Co. Ltd. and BW Investments Pte. Ltd (or the Pan Union Joint Venture ). On initial acquisition, the basis difference between the Partnership's investment and the carrying value of the Pan Union Joint Venture's net assets was substantially attributed to ship construction support agreements and the time-charter contracts. At December 31, 2019 , the unamortized amount of the basis difference was $10.5 million ( December 31, 2018 - $11.0 million ). (iv) Exmar LPG Joint Venture As at December 31, 2019 , the Partnership has a 50 / 50 LPG-related joint venture agreement with Exmar NV (or Exmar) (or the Exmar LPG Joint Venture ). The Partnership has guaranteed its 50% share of secured loan facilities and four finance leases in the Exmar LPG Joint Venture for which the aggregate principal amount of the secured loan facilities and finance leases as at December 31, 2019 was $246.7 million . As a result, the Partnership has recorded a guarantee liability. The carrying value of the guarantee liability as at December 31, 2019 was $0.9 million ( December 31, 2018 – $1.3 million ) and is included as part of other long-term liabilities in the Partnership’s consolidated balance sheets. As at December 31, 2019 , the Partnership had advanced $52.3 million ( December 31, 2018 – $52.3 million ) to the Exmar LPG Joint Venture, which bears interest at LIBOR plus 0.50% and has no fixed repayment terms. As at December 31, 2019 , the interest receivable on these advances was $0.3 million ( December 31, 2018 – $ nil ). These amounts are included in the table above. On initial acquisition, the basis difference between the Partnership's investment and the carrying value of the Exmar LPG Joint Venture's net assets was substantially attributed to the value of the vessels and charter agreements of the Exmar LPG Joint Venture and goodwill in accordance with the finalized purchase price allocation. At December 31, 2019 , the unamortized amount of the basis difference was $23.6 million ( December 31, 2018 – $24.9 million ). (v) MALT Joint Venture As at December 31, 2019 , the Partnership has a joint venture agreement with Marubeni Corporation (or the MALT Joint Ventur e). Since control of the MALT Joint Venture is shared jointly between Marubeni and the Partnership, the Partnership accounts for its investment in the MALT Joint Venture using the equity method. The Partnership has guaranteed its 52% share of the secured loan facilities of the MALT Joint Venture for which the principal amount of the secured loan facilities as at December 31, 2019 was $147.0 million . As a result, the Partnership has recorded a guarantee liability. The carrying value of the guarantee liability as at December 31, 2019 was $0.3 million ( December 31, 2018 – $0.4 million ) and is included as part of other long-term liabilities in the Partnership’s consolidated balance sheets. (vi) Excalibur and Excelsior Joint Ventures As at December 31, 2019 , the Partnership has a 50 / 50 LNG-related joint venture with Exmar (or the Excalibur Joint Venture ). On January 31, 2018, the Partnership sold its other 50 / 50 LNG-related joint venture with Exmar relating to the Excelsior LNG carrier (or the Excelsior Joint Venture ) for gross proceeds of approximately $54 million . As a result of the sale, the Partnership recorded a gain of $5.6 million for the year ended December 31, 2018, which is included in equity income in the Partnership's consolidated statements of income. The Partnership has guaranteed its ownership share of the secured loan facility of the Excalibur Joint Venture for which the principal amount of the secured loan facility as at December 31, 2019 was $21.8 million . As a result, the Partnership has recorded a guarantee liability. As at December 31, 2019 , the carrying value of the guarantee liability was $0.1 million ( December 31, 2018 – nominal). On initial acquisition, the basis difference between the Partnership's investment and the carrying value of the Excalibur Joint Venture's net assets was substantially attributed to an increase to the carrying value of the vessel of the Excalibur Joint Venture in accordance with the finalized purchase price allocation. At December 31, 2019 , the unamortized amount of the basis difference was $12.5 million ( December 31, 2018 – $13.0 million ). (vii) Angola Joint Venture As at December 31, 2019 , the Partnership has a 33% ownership interest in a joint venture (or the Angola Joint Venture ) that owns four 160,400 -cubic meter LNG carriers (or the Angola LNG Carriers ). The other partners of the Angola Joint Venture are NYK Energy Transport (or NYK ) ( 33% ) and Mitsui & Co. Ltd. ( 34% ). The Partnership has guaranteed its 33% share of the secured loan facilities and interest rate swaps of the Angola Joint Venture for which the aggregate principal amount of the secured loan facilities and fair value of the interest rate swaps as at December 31, 2019 was $213.8 million . As a result, the Partnership has recorded a guarantee liability. The carrying value of the guarantee liability as at December 31, 2019 was $0.5 million ( December 31, 2018 – $0.6 million ) and is included as part of other long-term liabilities in the Partnership’s consolidated balance sheets. (viii) RasGas III Joint Venture As at December 31, 2019 , the Partnership has a 40% ownership interest in Teekay Nakilat (III) Corporation (or the RasGas III Joint Venture ), and the remaining 60% is held by Qatar Gas Transport Company Ltd. (Nakilat). b) The RasGas III Joint Venture, the Angola Joint Venture, the Yamal LNG Joint Venture, and the Bahrain LNG Joint Venture are considered variable interest entities; however, the Partnership is not the primary beneficiary and therefore, the Partnership has not consolidated these entities. The Partnership’s exposure to loss as a result of its investment in the RasGas III Joint Venture, the Angola LNG Joint Venture, the Yamal LNG Joint Venture, and the Bahrain LNG Joint Venture is the amount it has invested in and advanced to these joint ventures, which are $120.9 million , $88.5 million , $264.1 million and $60.5 million , resp ectively, as at December 31, 2019 . In addition, the Partnership provides an owner's guarantee in respect of the charters for the RasGas III Joint Venture, the Angola Joint Venture, and the Yamal LNG Joint Venture; and guarantees the credit facilities and interest rate swaps of the Angola Joint Venture and the Yamal LNG Joint Venture as described above. c) The follo wing table presents aggregated summarized financial information reflecting a 100% ownership interest in the Partnership’s equity method investments and excluding the impact from purchase price adjustments arising from the acquisition of Exmar LPG Joint Venture, the Excalibur Joint Venture and the Pan Union Joint Venture. The results include the Excalibur Joint Venture, the Excelsior Joint Venture up to January 2018, the RasGas III Joint Venture, the Angola Joint Venture, the Exmar LPG Joint Venture, the MALT Joint Venture, the Pan Union Joint Venture, the Yamal LNG Joint Venture, and the Bahrain LNG Joint Venture. December 31, December 31, Cash and restricted cash – current 375,800 333,566 Other assets – current 146,637 152,506 Vessels and equipment, including vessels related to finance leases, right-of-use assets and advances on newbuilding contracts 3,045,393 3,579,026 Net investments in direct financing and sales-type leases – non-current 4,469,861 3,000,927 Other assets – non-current 169,925 90,455 Current portion of long-term debt, obligations related to finance leases, operating lease liabilities and advances from joint venture partners 557,685 547,098 Other liabilities – current 188,665 139,194 Long-term debt, obligations related to finance leases, operating lease liabilities and advances from joint venture partners 5,130,656 4,307,278 Other liabilities – non-current 224,903 126,905 Year Ended Year Ended Year Ended Voyage revenues 766,618 612,471 477,495 Income from vessel operations 400,326 289,477 178,763 Realized and unrealized (loss) gain on non-designated derivative instruments (40,915 ) 8,825 (2,067 ) Net income 130,314 142,252 54,418 |
Intangible Assets and Goodwill
Intangible Assets and Goodwill | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets and Goodwill | Intangible Assets and Goodwill As at December 31, 2019 and 2018 , intangible assets consisted of acquired time-charter contracts with a weighted-average amortization period of 20.7 years from the date of acquisition. The carrying amount of intangible assets for the Partnership’s liquefied natural gas segment is as follows: December 31, December 31, Gross carrying amount 179,813 179,813 Accumulated amortization (136,447 ) (127,591 ) Net carrying amount 43,366 52,222 Amortization expense associated with intangible assets was $8.9 million per year for each of the years ended December 31, 2019 , 2018 and 2017 . Amortization expense associated with intangible assets subsequent to December 31, 2019 is expected to be approximately $8.9 million (2020), $8.9 million (2021), $8.4 million (2022), $6.2 million (2023), and $4.5 million (2024). The Partnership's carrying amount of goodwill as at December 31, 2019 and 2018 is as follows: December 31, December 31, Liquefied natural gas segment 31,921 31,921 Liquefied petroleum gas segment 2,920 2,920 Total 34,841 34,841 In 2019, 2018 and 2017, the Partnership conducted its annual impairment review and concluded that its liquefied petroleum gas segment was impaired in 2018 and recorded an impairment charge of $0.8 million for the year ended December 31, 2018 . No impairment charge was recorded for the years ended December 31, 2019 and 2017. The amount of the impairment charge was determined using a discounted cash flow valuation approach. The impairment charge is included in gain (loss) on sales of vessels and write-down of goodwill and vessels in the Partnership's consolidated statements of income. |
Accrued Liabilities
Accrued Liabilities | 12 Months Ended |
Dec. 31, 2019 | |
Payables and Accruals [Abstract] | |
Accrued Liabilities | Accrued Liabilities December 31, December 31, Interest including interest rate swaps 23,787 23,083 Voyage and vessel expenses 36,880 34,889 Payroll and benefits 6,215 5,950 Other general expenses 775 2,542 Income and other tax payable 2,670 1,864 Distributions payable on preferred units 6,425 6,425 Total 76,752 74,753 |
Long-Term Debt
Long-Term Debt | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-Term Debt December 31, 2019 December 31, 2018 $ $ U.S. Dollar-denominated Revolving Credit Facilities due from 2020 to 2022 212,000 225,000 U.S. Dollar-denominated Term Loans and Bonds due from 2020 to 2030 1,114,707 1,212,504 Norwegian Kroner-denominated Bonds due from 2020 to 2023 347,163 352,973 Euro-denominated Term Loans due from 2023 to 2024 165,376 193,781 Other U.S. Dollar-denominated Loans 3,300 3,300 Total principal 1,842,546 1,987,558 Unamortized discount and debt issuance costs (11,150 ) (17,782 ) Total debt 1,831,396 1,969,776 Less current portion (393,065 ) (135,901 ) Long-term debt 1,438,331 1,833,875 As at December 31, 2019 , the Partnership had two revolving credit facilities available, one of which was scheduled to mature in November 2020. The two credit facilities, as at such date, provided for borrowings of up to $378.2 million ( December 31, 2018 – $400.6 million ) , of which $166.2 million ( December 31, 2018 – $175.6 million ) was undrawn. Interest payments are based on LIBOR plus margins, which ranged from 1.40% to 2.25% . In March 2020, the Partnership refinanced its $225 million revolving credit facility, which was scheduled to mature in November 2020 with a new $225 million revolving credit facility maturing in March 2022 (see Note 20d). Giving effect to the March 2020 refinancing, the drawn portion of the original revolving credit facility of $207 million was classified to long-term debt in the Partnership's consolidated balance sheets as of December 31, 2019 and the amount available under the two revolving credit facilities will be reduced by $23.4 million in 2020 , $24.4 million in 2021 , and $330.4 million in 2022 . The revolving credit facilities may be used by the Partnership to fund general partnership purposes. One of the revolving credit facilities is unsecured, while the other revolving credit facility is collateralized by first-priority mortgages granted on two of the Partnership’s vessels, together with other related security, and includes a guarantee from its two subsidiaries of all outstanding amounts. As at December 31, 2019 , the Partnership had seven U.S. Dollar-denominated term loans and bonds outstanding which totaled $1.1 billion in aggregate principal amount ( December 31, 2018 – $1.2 billion ) . Interest payments on the term loans are based on LIBOR plus a margin, where margins ranged from 0.30% to 3.25% and fixed interest payments on the bonds ranged from 4.11% to 4.41% . The seven combined term loans and bonds require quarterly interest and principal payments and six have balloon or bullet repayments due at maturity. The term loans and bonds are collateralized by first-priority mortgages on 18 of the Partnership’s vessels to which the loans relate, together with certain other related security. In addition, as at December 31, 2019 , all of the outstanding term loans were guaranteed by either the Partnership or Teekay Nakilat Corporation (or the RasGas II Joint Venture ), of which the Partnership has a 70% ownership interest. The Partnership has Norwegian Kroner (or NOK ) 3.1 billion of senior unsecured bonds in the Norwegian bond market that mature through 2023. As at December 31, 2019 , the total amount of the bonds, which are listed on the Oslo Stock Exchange, was $347.2 million ( December 31, 2018 – $353.0 million ) . The interest payments on the bonds are based on NIBOR plus a margin, which margins ranged from 3.70% to 6.00% . The Partnership entered into cross currency rate swaps, to swap all interest and principal payments of the bonds into U.S. Dollars, with the interest payments fixed at rates ranging from 5.92% to 7.89% and the transfer of principal fixed at $382.5 million upon maturity in exchange for NOK 3.1 billion (see Note 13). The Partnership has two Euro-denominated term loans outstanding, which as at December 31, 2019 , totaled 147.5 million Euros ( $165.4 million ) ( December 31, 2018 – 169.0 million Euros ( $193.8 million )) . Interest payments are based on EURIBOR plus margins, where margins ranged from 0.60% to 1.95% as at December 31, 2019 , and the loans require monthly and semi-annual interest and principal payments. The term loans have varying maturities through 2024. The term loans are collateralized by first-priority mortgages on the two Partnership vessels to which the loans relate, together with certain other related security and are guaranteed by the Partnership and one of its subsidiaries. As at December 31, 2019 , the RasGas II Joint Venture had a $3.3 million loan payable to its 30% non-controlling interest owner ( December 31, 2018 – $3.3 million ) . The interest on the loan is based on LIBOR plus 1.0% and is payable on demand. The weighted-average interest rates for the Partnership’s long-term debt outstanding at December 31, 2019 , and 2018 were 4.12% and 4.44% , respectively. These rates do not reflect the effect of related interest rate swaps that the Partnership has used to economically hedge certain of its floating-rate debt (see Note 13). As at December 31, 2019 , the margins on the Partnership’s outstanding revolving credit facilities and term loans ranged from 0.30% to 3.25% . All Euro-denominated term loans and NOK-denominated bonds are revalued at the end of each period using the then-prevailing U.S. Dollar exchange rate. Due primarily to the revaluation of the Partnership’s NOK-denominated bonds, the Partnership’s Euro-denominated term loans and restricted cash, the repayment of the Partnership's NOK-denominated bonds and the termination of the associated cross currency swaps, and the change in the valuation of the Partnership’s cross currency swaps, the Partnership incurred foreign exchange (losses) gains of $ (9.6) million , $1.4 million , and $ (26.9) million for the years ended December 31, 2019 , 2018 and 2017 , respectively. The aggregate annual long-term debt principal repayments required subsequent to December 31, 2019 , after giving effect to the March 2020 revolving credit facility refinancing described above, are $393.8 million ( 2020 ), $412.0 million ( 2021 ), $298.5 million ( 2022 ), $210.3 million ( 2023 ), $102.1 million ( 2024 ) and $425.8 million ( thereafter ). Certain loan agreements require that (a) the Partnership maintains minimum levels of tangible net worth and aggregate liquidity, (b) the Partnership maintain certain ratios of vessel values related to the relevant outstanding loan principal balance, (c) the Partnership not exceed a maximum amount of leverage, and (d) certain of the Partnership’s subsidiaries maintain restricted cash deposits. As at December 31, 2019 , the Partnership has three credit facilities with an aggregate outstanding loan balance of $400.8 million that require it to maintain minimum vessel-value-to-outstanding-loan-principal-balance ratios of 115% , 120% and 135% , which as at December 31, 2019 were 210% , 138% and 194% , respectively. The vessel values used in calculating these ratios are the appraised values provided by third parties, where available, or prepared by the Partnership based on second-hand sale and purchase market data. Since vessel values can be volatile, the Partnership’s estimates of market value may not be indicative of either the current or future prices that could be obtained if the Partnership sold any of the vessels. The Partnership’s ship-owning subsidiaries may not, among other things, pay dividends or distributions if the Partnership's subsidiaries are in default under their term loans or revolving credit facilities and, in addition, one of the term loans in the RasGas II Joint Venture requires it to satisfy a minimum vessel value to outstanding loan principal balance ratio to pay dividends. As of the date these consolidated financial statements were issued, the Partnership was in compliance with all covenants relating to the Partnership’s credit facilities and other long-term debt. |
Income Tax
Income Tax | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Tax | Income Tax The components of the provision for income taxes were as follows: Year Ended Year Ended Year Ended Current (6,824 ) (2,361 ) (3,557 ) Deferred (653 ) (852 ) 2,733 Income tax expense (7,477 ) (3,213 ) (824 ) Included in the Partnership's current income tax expense are provisions for uncertain tax positions relating to freight taxes. The Partnership does not presently anticipate that its provisions for these uncertain tax positions will significantly increase in the next 12 months; however, this is dependent on the jurisdictions in which vessel trading activity occurs. The Partnership reviews its freight tax obligations on a regular basis and may update its assessment of its tax positions based on available information at that time. Such information may include additional legal advice as to the applicability of freight taxes in relevant jurisdictions. Freight tax regulations are subject to change and interpretation; therefore, the amounts recorded by the Partnership may change accordingly. The Partnership operates in countries that have differing tax laws and rates. Consequently, a consolidated weighted average tax rate will vary from year to year according to the source of earnings or losses by country and the change in applicable tax rates. Reconciliations of the tax charge related to the relevant year at the applicable statutory income tax rates and the actual tax charge related to the relevant year are as follows: Year Ended Year Ended Year Ended Net income before income tax expenses 172,081 30,088 49,735 Net income not subject to taxes (167,667 ) (68,675 ) (94,106 ) Net income (loss) subject to taxes 4,414 (38,587 ) (44,371 ) At applicable statutory tax rates Amount computed using the standard rate of corporate tax (1,821 ) 6,833 13,874 Adjustments to valuation allowance and uncertain tax positions (6,767 ) (14,733 ) 324 Permanent and currency differences 4,592 3,257 (12,507 ) Change in tax rates (3,481 ) 1,430 (2,515 ) Tax expense related to the current year (7,477 ) (3,213 ) (824 ) The significant components of the Partnership’s deferred tax assets were as follows: December 31, December 31, Derivative instruments 2,859 2,793 Taxation loss carryforwards and disallowed finance costs 47,610 49,298 Vessels and equipment (4,197 ) 2,192 Other items 9,494 — 55,766 54,283 Valuation allowance (54,707 ) (52,570 ) Net deferred tax assets 1,059 1,713 December 31, December 31, Deferred income tax assets included in other assets 2,826 1,775 Deferred income tax liabilities included in other long-term liabilities (1,767 ) (62 ) Net deferred tax assets 1,059 1,713 The Partnership had tax losses in the United Kingdom (or UK ) of $64.5 million as at December 31, 2019 ( December 31, 2018 – $67.6 million ) that are available indefinitely for offset against future taxable income in the UK. The Partnership had tax losses and estimated disallowed finance costs in Spain of 110.3 million Euros or approximately $123.7 million ( December 31, 2018 – 110.3 million Euros or approximately $126.3 million ) and 13.5 million Euros or approximately $15.1 million ( December 31, 2018 – 20.7 million Euros or approximately $23.6 million ), respectively, at December 31, 2019 of which the tax losses are available indefinitely and the disallowed finance costs are available for 18 years from the year the costs are incurred for offset against future taxable income in Spain. In addition, the Partnership had estimated tax losses in Luxembourg of 114.1 million Euros or approximately $127.9 million as at December 31, 2019 ( December 31, 2018 – 109.9 million Euros or approximately $125.7 million ) that are available for offset against taxable future income in Luxembourg, either indefinitely for losses arising prior to 2017, or for 17 years for losses arising subsequent to 2016. The Partnership recognizes interest and penalties related to uncertain tax positions in income tax expense. The tax years 2009 through 2019 currently remain open to examination by the major tax jurisdictions to which the Partnership is subject. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions a) The following table and related footnotes provide information about certain of the Partnership's related party transactions for the periods indicated: Year Ended Year Ended Year Ended Voyage revenues (i)(iii)(v) 49,257 19,612 36,358 Vessel operating expenses (ii)(v) (6,629 ) (17,852 ) (23,564 ) Time-charter hire expense (iii) (19,994 ) (7,670 ) — General and administrative expenses (iv) (15,393 ) (15,395 ) (9,434 ) Restructuring charges (vi) (400 ) — — (i) Commencing in 2008, the Arctic Spirit and Polar Spirit LNG carriers were time-chartered to Teekay Corporation at fixed-rates for periods of 10 years . The contract periods for the Polar Spirit and for the Arctic Spirit expired in March 2018 and April 2018, respectively. (ii) The Partnership and certain of its operating subsidiaries have entered into service agreements with certain subsidiaries of Teekay Corporation pursuant to which the Teekay Corporation subsidiaries provide to the Partnership and its subsidiaries crew training and technical management services. In addition, as part of the Partnership's acquisition of its ownership interest in the Pan Union Joint Venture in 2014, the Partnership entered into an agreement with a subsidiary of Teekay Corporation whereby Teekay Corporation's subsidiary provided, on behalf of the Partnership, shipbuilding supervision and crew training services for four LNG carrier newbuildings in the Pan Union Joint Venture, up to their delivery dates from 2017 to 2019. All costs incurred by these Teekay Corporation subsidiaries related to these services are charged to the Partnership and recorded as part of vessel operating expenses. (iii) Commencing in September 2018, the Partnership entered into an agreement with the MALT Joint Venture to charter in one of the MALT Joint Venture's LNG carriers, the Magellan Spirit (see Note 5b). The time-charter hire expense charged for the years ended December 31, 2019 and 2018 were $20.0 million and $7.7 million , respectively. In addition, commencing in May 2019, the Partnership entered into an agreement with a subsidiary of Teekay Corporation, pursuant to which the Partnership chartered out the Magellan Spirit to such subsidiary until October 31, 2019. (iv) Includes administrative, advisory, business development, commercial and strategic consulting services charged by Teekay Corporation and reimbursements to Teekay Corporation and the Partnership's general partner for costs incurred on the Partnership's behalf for the conduct of the Partnership's business. (v) The Partnership has an operation and maintenance contract with the Bahrain LNG Joint Venture and had an operating and maintenance subcontract with Teekay Marine Solutions (Bermuda) Ltd. (or TMS ), an entity wholly-owned by Teekay Tankers Ltd., which is controlled by Teekay Corporation, relating to the LNG regasification terminal in Bahrain. The contract with TMS was terminated in August 2019 and such services are currently provided by the Partnership. The subcontractor fees from TMS of $ 2.0 million during 2019 ( $1.6 million during 2018 and $ nil during 2017) are included in vessel operating expenses in the Partnership's consolidated statements of income. Cost recoveries from the Bahrain LNG Joint Venture of $6.5 million during 2019 ( $1.6 million during 2018 and $ nil during 2017) are included in voyage revenues in the Partnership's consolidated statements of income. In addition, commencing in September 2018, the Partnership's floating storage unit (or FSU ), the Bahrain Spirit , commenced its 21-year charter contract with Bahrain LNG Joint Venture. (vi) The Partnership incurred restructuring charges of $0.4 million from subsidiaries of Teekay Corporation attributable to employees supporting the Partnership during the year ended December 31, 2019 (see Note 18b). b) As at December 31, 2019 and 2018 , non-interest-bearing advances to affiliates totaled $ 5.1 million and $8.2 million , respectively, and non-interest bearing advances from affiliates totaled $ 7.0 million and $14.7 million , respectively. These advances are unsecured and have no fixed repayment terms. Affiliates are entities that are under common control with the Partnership. c) As described in Note 3a, the Partnership had an agreement with Teekay Corporation under which Teekay Corporation paid the Partnership any amounts payable to the charterer of the Toledo Spirit as a result of spot rates being below the fixed rate, and the Partnership paid Teekay Corporation any amounts payable to the Partnership by the charterer of the Toledo Spirit as a result of spot rates being in excess of the fixed rate. The amounts receivable or payable to Teekay Corporation were settled annually (see Note 13). The time-charter contract was terminated in January 2019, upon which the charterer, which was also the owner, sold the vessel to a third party, which resulted in the agreement with Teekay Corporation ending concurrently. d) The Partnership entered into services agreements with certain subsidiaries of Teekay Corporation pursuant to which the Teekay Corporation subsidiaries provided the Partnership with shipbuilding and site supervision services related to certain LNG carrier newbuildings the Partnership had ordered. These costs were capitalized and included as part of advances on newbuilding contracts in the Partnership’s consolidated balance sheets. During the years ended 2019 , 2018 and 2017 , the Partnership incurred shipbuilding and site supervision costs with Teekay Corporation subsidiaries of $1.8 million , $15.3 million and $13.2 million , respectively. e) In December 2019, as part of dissolving certain of the Partnership's controlled subsidiaries, the Partnership acquired Teekay GP L.L.C.'s (or the General Partner ) 1% non-controlling interest in certain of the Partnership's subsidiaries for $2.7 million . This amount was settled subsequent to December 31, 2019. |
Derivative Instruments and Hedg
Derivative Instruments and Hedging Activities | 12 Months Ended |
Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments and Hedging Activities | Derivative Instruments and Hedging Activities The Partnership uses derivative instruments in accordance with its overall risk management policy. Foreign Exchange Risk The Partnership economically hedges portions of its forecasted expenditures denominated in foreign currencies with foreign currency forward contracts. As at December 31, 2019 , the Partnership was committed to the following foreign currency forward contracts: Contract Amount in Foreign Currency Average Contract Rate (1) Fair Value / Carrying Amount of Asset (Liability) $ Expected Maturity 2020 $ Euro 5,820 0.86 (202 ) 6,750 (1) Average contractual exchange rate represents the contracted amount of foreign currency one U.S. Dollar will buy. The Partnership entered into cross currency swaps concurrently with the issuance of its NOK-denominated senior unsecured bonds (see Note 10), and pursuant to these swaps, the Partnership receives the principal amount in NOK on maturity dates of the swaps in exchange for payments of a fixed U.S. Dollar amount. In addition, the cross currency swaps exchange a receipt of floating interest in NOK based on NIBOR plus a margin for a payment of U.S. Dollar fixed interest. The purpose of the cross currency swaps is to economically hedge the foreign currency exposure on the payment of interest and principal of the Partnership’s NOK-denominated bonds due in 2020, 2021 and 2023, and to economically hedge the interest rate exposure. The following table reflects information relating to the cross currency swaps as at December 31, 2019 . Floating Rate Receivable Principal Principal Reference Margin Fixed Rate Fair Value / Weighted- 1,000,000 134,000 NIBOR 3.70 % 5.92 % (20,665 ) 0.4 1,200,000 146,500 NIBOR 6.00 % 7.72 % (10,532 ) 1.8 850,000 102,000 NIBOR 4.60 % 7.89 % (10,907 ) 3.7 (42,104 ) Interest Rate Risk The Partnership enters into interest rate swaps which exchange a receipt of floating interest for a payment of fixed interest to reduce the Partnership’s exposure to interest rate variability on certain of its outstanding floating-rate debt. As at December 31, 2019 , the Partnership was committed to the following interest rate swap agreements: Interest Principal Fair Value / Weighted- Fixed Interest Rate (i) LIBOR-Based Debt: U.S. Dollar-denominated interest rate swaps (ii) LIBOR 118,750 (18,458 ) 9.0 5.2 % U.S. Dollar-denominated interest rate swaps (ii) LIBOR 21,423 (237 ) 1.6 2.8 % U.S. Dollar-denominated interest rate swaps (iii)(iv) LIBOR 116,018 2,210 4.7 1.4 % U.S. Dollar-denominated interest rate swaps (iii)(iv) LIBOR 317,194 (19,268 ) 1.0 3.4 % U.S. Dollar-denominated interest rate swaps (iv) LIBOR 172,440 (4,324 ) 7.0 2.3 % EURIBOR-Based Debt: Euro-denominated interest rate swaps EURIBOR 75,089 (8,160 ) 3.7 3.8 % (48,237 ) (i) Excludes the margins the Partnership pays on its floating-rate term loans, which, at December 31, 2019 , ranged from 0.30% to 3.25% . (ii) Principal amount reduces semi-annually. (iii) These interest rate swaps are subject to mandatory early termination in 2020, 2021, and 2024 whereby the swaps will be settled based on their fair value at that time. (iv) Principal amount reduces quarterly. As at December 31, 2019 , the Partnership had multiple interest rate swaps, cross currency swaps and foreign currency forward contracts with the same counterparty that are subject to the same master agreement. Each of these master agreements provide for the net settlement of all swaps subject to that master agreement through a single payment in the event of default or termination of any one swap. The fair value of these derivative instruments is presented on a gross basis in the Partnership’s consolidated balance sheets. As at December 31, 2019 , these interest rate swaps, cross currency swaps and foreign currency forward contracts had an aggregate fair value asset of $2.2 million (December 31, 2018 – $3.2 million ) and an aggregate fair value liability of $74.6 million (December 31, 2018 – $53.6 million ) . As at December 31, 2019 , the Partnership had $14.3 million ( December 31, 2018 – $6.8 million ) on deposit as security for swap liabilities under certain master agreements. The deposit is presented in restricted cash – current and long-term on the Partnership’s consolidated balance sheets. Credit Risk The Partnership is exposed to credit loss in the event of non-performance by the counterparties to the interest rate swap agreements. In order to minimize counterparty risk, the Partnership only enters into derivative transactions with counterparties that are rated A- or better by Standard & Poor’s or A3 or better by Moody’s at the time of the transactions. In addition, to the extent practical, interest rate swaps are entered into with different counterparties to reduce concentration risk. Other Derivatives The Partnership's agreement with Teekay Corporation relating to the Toledo Spirit, as described in Note 3a, ended in January 2019 concurrently with the termination of the Toledo Spirit time-charter contract (see Note 12c). This agreement had a fair value of $1.1 million as at December 31, 2018. The following table presents the location and fair value amounts of derivative instruments, segregated by type of contract, on the Partnership’s consolidated balance sheets. Accounts receivable/Advances to affiliates $ Current portion of derivative assets Derivative assets Accrued liabilities Current portion of derivative liabilities Derivative liabilities As at December 31, 2019 Derivatives designated as a cash flow hedge: Interest rate swap agreements — — — (12 ) (837 ) (3,475 ) Derivatives not designated as a cash flow hedge: Interest rate swap agreements 21 355 1,834 (2,821 ) (14,758 ) (28,544 ) Foreign currency forward contracts — — — — (202 ) — Cross currency swap agreements — — — (456 ) (22,661 ) (18,987 ) 21 355 1,834 (3,289 ) — (38,458 ) — (51,006 ) As at December 31, 2018 Derivatives designated as a cash flow hedge: Interest rate swap agreements 21 784 2,362 — — — Derivatives not designated as a cash flow hedge: Interest rate swap agreements 167 11 — (2,729 ) (6,875 ) (31,358 ) Cross currency swap agreements — — — (713 ) (4,729 ) (23,680 ) Toledo Spirit time-charter derivative 1,021 40 — — — — 1,209 835 2,362 (3,442 ) (11,604 ) — (55,038 ) Realized and unrealized (losses) gains relating to non-designated interest rate swap agreements, interest rate swaption agreements, and the Toledo Spirit time-charter derivative are recognized in earnings and reported in realized and unrealized (loss) gain on non-designated derivative instruments in the Partnership’s consolidated statements of income. The effect of the (loss) gain on these derivatives on the Partnership’s consolidated statements of income is as follows: Year Ended December 31, 2019 $ 2018 $ 2017 $ Realized gains (losses) Unrealized gains (losses) Total Realized gains (losses) Unrealized gains (losses) Total Realized gains (losses) Unrealized gains (losses) Total Interest rate swap agreements (10,081) (2,891) (12,972) (14,654) 31,061 16,407 (18,825) 12,393 (6,432) Interest rate swap and swaption agreements termination — — — (13,681) — (13,681) (610) — (610) Interest rate swaption agreements — — — — 2 2 — 945 945 Foreign currency forward contracts (147) (202) (349) — — — — — — Toledo Spirit time-charter derivative — (40) (40) 1,480 (930) 550 678 110 788 (10,228) (3,133) (13,361) (26,855) 30,133 3,278 (18,757) 13,448 (5,309) Unrealized and realized (losses) gains relating to cross currency swap agreements are recognized in earnings and reported in foreign currency exchange (loss) gain in the Partnership’s consolidated statements of income. The effect of the (loss) gain on these derivatives on the Partnership's consolidated statements of income is as follows: Year Ended December 31, 2019 $ 2018 $ 2017 $ Realized Unrealized Total Realized Unrealized Total Realized Unrealized Total Cross currency swap agreements (5,061) (13,239) (18,300) (6,533) 21,240 14,707 (9,344) 49,047 39,703 Cross currency swap agreements termination — — — (42,271) — (42,271) (25,733) — (25,733) (5,061) (13,239) (18,300) (48,804) 21,240 (27,564) (35,077) 49,047 13,970 For the periods indicated, the following table presents the gains or losses on interest rate swap agreements designated and qualifying as cash flow hedges and their impact on other comprehensive (loss) income (or OCI ). The following table excludes any interest rate swap agreements designated and qualifying as cash flow hedges in the Partnership’s equity-accounted joint ventures. Year Ended December 31, 2019 Amount of Loss Recognized in OCI (i) $ Amount of Gain Reclassified from Accumulated OCI to Interest Expense (i) $ (7,458) 376 Year Ended December 31, 2018 Amount of Gain Recognized in OCI (effective portion) $ Amount of Loss Reclassified from Accumulated OCI to Interest Expense (effective portion) $ Amount of Gain Recognized in Interest Expense (ineffective portion) $ 2,128 (152) 740 Year Ended December 31, 2017 Amount of Gain Recognized in OCI (effective portion) $ Amount of Loss Reclassified from Accumulated OCI to Interest Expense (effective portion) $ Amount of Loss Recognized in Interest Expense (ineffective portion) $ 429 (427) (740) (i) See Note 2 – adoption of ASU 2017-12. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies a) The Partnership’s share of commitments to fund newbuilding and other construction contract costs as at December 31, 2019 is as follows: Total 2020 2021 2022 Certain consolidated LNG carriers (i) 49,652 11,979 22,382 15,291 Bahrain LNG Joint Venture (ii) 11,351 11,351 — — 61,003 23,330 22,382 15,291 (i) In June 2019, the Partnership entered into an agreement with a contractor to supply equipment on certain of the Partnership's LNG carriers in 2021 and 2022, for an estimated installed cost of $60.6 million . As at December 31, 2019 , the estimated remaining cost of this installation is $49.7 million . (ii) The Partnership has a 30% ownership interest in the Bahrain LNG Joint Venture which has an LNG receiving and regasification terminal in Bahrain as described in Note 7a(i). The Bahrain LNG Joint Venture has secured undrawn debt financing of $34 million , of which $10 million relates to the Partnership's proportionate share of the commitments included in the table above. b) Following the termination of the finance lease arrangements for the three LNG carriers in the RasGas II Joint Venture in 2014, the lessor made a determination in 2018 that additional rentals were due under the leases following a challenge by the UK taxing authority. As a result, in 2018, the RasGas II Joint Venture recognized an additional liability of $53.0 million , which was included as part of other (expense) income in the Partnership's consolidated statements of income, and settled this liability in 2018 by releasing a $7.0 million cash deposit it had made with the lessor and making a $56.0 million cash payment for the balance, which was based on the GBP/USD foreign currency exchange rates at the time the payments were made. c) The Tangguh Joint Venture is currently undergoing a tax audit related to its tax returns filed for the 2010 and subsequent fiscal years. The UK taxing authority has challenged the deductibility of certain transactions not directly related to the long funding lease and the Tangguh Joint Venture has recorded a provision of $1.6 million (of which the Partnership’s 70% share is $1.1 million ) in December 2017 which is included in income tax expense in the Partnership’s consolidated statements of income for the year ended December 31, 2017 . d) Tangguh Joint Venture Operating Leases As at December 31, 2019 , the Tangguh Joint Venture was a party to operating leases (or Head Leases ) whereby it leases its two LNG carriers (or the Tangguh LNG Carriers ) to a third-party company. The Tangguh Joint Venture then leases back the LNG carriers from the same third-party company (or the Subleases ). Under the terms of these leases, the third-party company claims tax depreciation on the capital expenditures it incurred to lease the vessels. As is typical in these leasing arrangements, tax and change of law risks are assumed and indemnified by the Tangguh Joint Venture. Lease payments under the Subleases are based on certain tax and financial assumptions at the commencement of the leases. If an assumption proves to be incorrect, the lease payments are increased or decreased under the Sublease to maintain the agreed after-tax margin. The Tangguh Joint Venture’s carrying amounts of this estimated tax indemnification obligation as at December 31, 2019 and 2018 were $6.1 million and $6.6 million , respectively, and are included as part of other long-term liabilities in the consolidated balance sheets of the Partnership. The tax indemnification is for the duration of the lease contract with the third party plus the years it would take for the lease payments to be statute barred and ends in 2033. Although there is no maximum potential amount of future payments, the Tangguh Joint Venture may terminate the lease arrangements on a voluntary basis at any time. If the lease arrangements terminate, the Tangguh Joint Venture will be required to make termination payments to the third-party company sufficient to repay the third-party company’s investment in the vessels and to compensate it for the tax effect of the terminations, including recapture of any tax depreciation. The Head Leases and the Subleases have 20-year terms and are classified as operating leases. The Head Leases and the Subleases for the two Tangguh LNG Carriers commenced in November 2008 and March 2009, respectively. As at December 31, 2019 , the total estimated future minimum rental payments to be received and paid by the Tangguh Joint Venture related to the lease contracts are as follows: Year Head Lease Receipts (i) Sublease Payments (i) (ii) 2020 $ 21,242 $ 23,875 2021 $ 21,242 $ 23,875 2022 $ 21,242 $ 23,875 2023 $ 21,242 $ 23,875 2024 $ 21,242 $ 23,875 Thereafter $ 90,369 $ 101,609 Total $ 196,579 $ 220,984 (i) The Head Leases are fixed-rate operating leases while the Subleases have a variable-rate component. As at December 31, 2019 , the Partnership had received $313.8 million of aggregate Head Lease receipts and had paid $260.6 million of aggregate Sublease payments. The portion of the Head Lease receipts that has not been recognized into earnings is deferred and amortized on a straight-line basis over the lease terms and, as at December 31, 2019 , $3.8 million ( December 31, 2018 – $3.7 million ) and $25.5 million ( December 31, 2018 – $29.3 million ) of Head Lease receipts had been deferred and included in unearned revenue and other long-term liabilities, respectively, in the Partnership’s consolidated balance sheets. (ii) The amount of payments related to the Subleases are updated annually to reflect any changes in the lease payments due to changes in tax law. e) Management is required to assess whether the Partnership will have sufficient liquidity to continue as a going concern for the one-year period following the issuance of its consolidated financial statements. The Partnership had a working capital deficit of $118.6 million as at December 31, 2019. This working capital deficit includes $393.1 million related to scheduled maturities and repayments of long-term debt in the 12 months following December 31, 2019, which includes loan maturities related to assets which are subject to purchase obligations of the charterer (which was subsequently repaid in January 2020, see Note 20a). Based on the Partnership’s liquidity at the date these consolidated financial statements were issued, the liquidity it expects to generate from operations over the following year and the dividends it expects to receive from its equity-accounted joint ventures, the Partnership estimates that it will have sufficient liquidity to continue as a going concern for at least the one-year period following the issuance of these consolidated financial statements. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 12 Months Ended |
Dec. 31, 2019 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Information | Supplemental Cash Flow Information a) The following is a tabular reconciliation of the Partnership's cash, cash equivalents and restricted cash balances for the periods presented in the Partnership's consolidated statements of cash flows: December 31, 2019 $ December 31, 2018 $ December 31, 2017 $ December 31, 2016 $ Cash and cash equivalents 160,221 149,014 244,241 126,146 Restricted cash – current 53,689 38,329 22,326 10,145 Restricted cash – long-term 39,381 35,521 72,868 106,882 Total 253,291 222,864 339,435 243,173 The Partnership maintains restricted cash deposits relating to certain term loans, collateral for cross currency swaps (see Note 13), project tenders and amounts received from charterers to be used only for dry-docking expenditures and emergency repairs. b) The changes in operating assets and liabilities for years ended December 31, 2019 , 2018 and 2017 are as follows: Year Ended Year Ended Year Ended Accounts receivable 6,184 3,542 1,620 Prepaid expenses and other current assets 3,348 (3,843 ) (2,815 ) Accounts payable 1,264 274 (2,053 ) Accrued liabilities and other long-term liabilities (252 ) 13,958 2,449 Unearned revenue and long-term unearned revenue (197 ) 4,234 (1,456 ) Advances to and from affiliates (6,007 ) 2,183 (913 ) Other operating assets and liabilities (1,122 ) (1,130 ) 772 Total 3,218 19,218 (2,396 ) c) Cash interest paid (including realized losses on interest rate swaps) on long-term debt, advances from affiliates and obligations related to finance leases, net of amounts capitalized, during the years ended December 31, 2019 , 2018 and 2017 totaled $193.3 million , $167.8 million and $122.7 million , respectively. d) During the years ended December 31, 2019 , 2018 and 2017 , cash paid for corporate income taxes was $3.7 million , $6.0 million and $2.9 million , respectively. e) During the year ended December 31, 2017 , the Partnership acquired for $13.2 million a 100% ownership interest in Skaugen Gulf Petchem Carriers B.S.C.(c) (or the Skaugen LPG Joint Venture ), which owned the LPG carrier Norgas Sonoma , from I.M. Skaugen SE (or Skaugen ) ( 35% ), The Oil & Gas Holding Company B.S.C.(c) ( 35% ) and Suffun Bahrain W.L.L. ( 30% ). The Partnership applied $4.6 million of the outstanding hire owed by Skaugen to the Partnership as a portion of the purchase price to acquire the Skaugen LPG Joint Venture, which was treated as a non-cash transaction in the Partnership’s consolidated statements of cash flows. f) The associated sales of the Toledo Spirit and Teide Spirit by its owner during the years ended December 31, 2019 and 2018, respectively, resulted in the vessels being returned to their owner with the obligations related to finance lease being concurrently extinguished. As a result, the sales of the vessels and the concurrent extinguishments of the corresponding obligations related to finance lease of $23.6 million and $23.1 million for the years ended December 31, 2019 and 2018 respectively, were treated as non-cash transactions in the Partnership's consolidated statements of cash flows. g) As at December 31, 2018, the Partnership had advanced $79.1 million to the Bahrain LNG Joint Venture and these advances were repayable on November 14, 2019. On the repayment date, the Partnership agreed to convert $7.9 million of advances into equity and agreed to convert the remaining advances of $71.2 million into a subordinated loan at an interest rate of 6% with no fixed repayment terms. Both of these transactions were treated as non-cash transactions in the Partnership's consolidated statements of cash flows for the year ended December 31, 2019. |
Total Capital and Net Income Pe
Total Capital and Net Income Per Common Unit | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Total Capital and Net Income Per Common Unit | Total Capital and Net Income Per Common Unit As at December 31, 2019 , a total of 67.5% of the Partnership's common units outstanding were held by the public. The remaining common units, as well as the 2% general partner interest, were held by subsidiaries of Teekay Corporation. All of the Partnership's outstanding Series A Cumulative Redeemable Perpetual Preferred Units (or the Series A Preferred Units ) and Series B Fixed-to-Floating Rate Cumulative Redeemable Perpetual Preferred Units (or the Series B Preferred Units ) are held by the public. Limited Partners’ Rights Significant rights of the Partnership’s limited partners include the following: • Right of common unitholders to receive distribution of Available Cash (as defined in the partnership agreement and which takes into account cash reserves for, among other things, future capital expenditures and future credit needs of the Partnership) within approximately 45 days after the end of each quarter. • No limited partner shall have any management power over the Partnership’s business and affairs; the General Partner is responsible for the conduct, directions and management of the Partnership’s activities. • The General Partner may be removed if such removal is approved by common unitholders holding at least 66-2/3% of the outstanding units voting as a single class, including units held by the General Partner and its affiliates. Incentive Distribution Rights The General Partner is entitled to incentive distributions if the amount the Partnership distributes to common unitholders with respect to any quarter exceeds specified target levels shown below: Quarterly Distribution Target Amount (per unit) Unitholders General Partner Minimum quarterly distribution of $0.4125 98 % 2 % Up to $0.4625 98 % 2 % Above $0.4625 up to $0.5375 85 % 15 % Above $0.5375 up to $0.6500 75 % 25 % Above $0.6500 50 % 50 % During 2019 , 2018 , and 2017 , the quarterly cash distributions were below $0.4625 per common unit and, consequently, the assumed distribution of net income was based on the limited partners' and General Partner’s ownership percentage for the purposes of the net income per common unit calculation. In the event of a liquidation, all property and cash in excess of that required to discharge all liabilities and liquidation amounts on the Series A Preferred Units and Series B Preferred Units will be distributed to the common unitholders and the General Partner in proportion to their capital account balances, as adjusted to reflect any gain or loss upon the sale or other disposition of the Partnership’s assets in liquidation in accordance with the partnership agreement. Net Income Per Common Unit Limited partners' interest in net income per common unit is determined by dividing net income, after deducting the amount of net income attributable to the non-controlling interests, the General Partner’s interest and the distributions on the Series A and Series B Preferred Units by the weighted-average number of common units outstanding during the period. The distributions payable on the Series A and Series B Preferred Units for the year ended December 31, 2019 were $25.7 million ( December 31, 2018 – $25.7 million , December 31, 2017 – $14.0 million ). Year Ended Year Ended Year Ended Limited partners' interest in net income for basic net income per common unit 124,546 2,615 19,586 Weighted average number of common units 78,177,189 79,672,435 79,617,778 Dilutive effect of unit-based compensation 91,223 169,893 173,263 Common units and common unit equivalents 78,268,412 79,842,328 79,791,041 Limited partner's interest in net income per common unit: Basic 1.59 0.03 0.25 Diluted 1.59 0.03 0.25 The General Partner’s and common unitholders’ interests in net income are calculated as if all net income was distributed according to the terms of the Partnership’s partnership agreement, regardless of whether those earnings would or could be distributed. The partnership agreement does not provide for the distribution of net income; rather, it provides for the distribution of available cash, which is a contractually defined term that generally means all cash on hand at the end of each quarter after establishment of cash reserves determined by the Partnership’s Board of Directors to provide for the proper conduct of the Partnership’s business, including reserves for maintenance and replacement capital expenditure and anticipated credit needs. In addition, the General Partner is entitled to incentive distributions if the amount the Partnership distributes to common unitholders with respect to any quarter exceeds specified target levels. Unlike available cash, net income is affected by non-cash items, such as depreciation and amortization, unrealized gains or losses on non-designated derivative instruments and foreign currency translation gains (losses). Pursuant to the Partnership agreement, allocations to partners are made on a quarterly basis. Equity Offerings The following table summarizes the issuances of common and preferred units over the three years ended December 31, 2019 : Date Units Type of Units Offering Gross Proceeds (i) $ Net Proceeds $ Teekay Corporation’s Ownership After the Offering (ii) Use of Proceeds October 2017 Public Offering (iii) 6,800,000 Preferred $ 25.00 170,000 164,411 33.02 % General partnership purposes, including debt repayments and funding newbuilding installments (i) Including the General Partner’s proportionate capital contribution. (ii) Including Teekay Corporation’s indirect general partner interest relating to common unit offerings. (iii) On October 23, 2017, the Partnership issued Series B Preferred Units having a distribution rate of 8.5% per annum of the stated liquidation preference of $25.00 per unit up to October 15, 2027, at which point the rate moves to a floating rate equal to three-month LIBOR plus a margin of 6.241% . At any time on or after October 15, 2027, the Partnership may redeem the Series B Preferred Units, in whole or in part, at a redemption price of $25.00 per unit plus all accumulated and unpaid distributions thereon to the date of redemption, whether or not declared. Common Unit Repurchases In December 2018, the Partnership announced that its Board of Directors had authorized a common unit repurchase program for the repurchase of up to $100 million of the Partnership's common units. The following table summarizes the common units repurchases during the years ended December 31, 2019 and 2018 : Year ended December 31, Units repurchased Average price paid per unit Total cost (1) $ 2019 1,934,569 $13.03 25,214,331 2018 326,780 $11.35 3,710,280 Total 2,261,349 $12.79 28,924,611 (1) Excludes the repurchase cost of the associated general partner interest |
Unit-Based Compensation
Unit-Based Compensation | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Unit-Based Compensation | Unit-Based Compensation In March 2019 , a total of 35,419 common units, with an aggregate value of $0.5 million , were granted to the non-management directors of the General Partner as part of their annual compensation for 2019 . These common units were fully vested upon grant. During 2018 and 2017 , the Partnership awarded 17,498 and 17,345 common units, respectively, as compensation to non-management directors. The awards were fully vested in March 2018 and March 2017 , respectively. The compensation to the non-management directors is included in general and administrative expenses on the Partnership’s consolidated statements of income. During March 2019 , 2018 and 2017 , the Partnership granted 80,100 , 62,283 and 60,809 restricted units, respectively, with grant date fair values of $1.2 million , $1.2 million and $1.0 million , respectively, to certain of the Partnership’s employees and to certain employees of Teekay Corporation’s subsidiaries who provide services to the Partnership, based on the Partnership’s closing common unit price on the grant date. Each restricted unit is equal in value to one of the Partnership's common units plus reinvested distributions from the grant date to the vesting date. The restricted units vest equally over three years from the grant date. Any portion of a restricted unit award that is not vested on the date of a recipient’s termination of service is canceled, unless their termination arises as a result of the recipient’s retirement, and in this case, the restricted unit award will continue to vest in accordance with the vesting schedule. Upon vesting, the value of the restricted unit awards is paid to each recipient in the form of common units, net of withholding tax. During the years ended December 31, 2019 , 2018 and 2017 , the Partnership recorded an expense of $1.6 million , $1.3 million , and $1.0 million , respectively, related to the restricted units and common units. |
Restructuring Charges
Restructuring Charges | 12 Months Ended |
Dec. 31, 2019 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Charges | Restructuring Charges a) In January 2019 and February 2018, the charterer, who was also the owner of the Toledo Spirit and Teide Spirit conventional tankers, sold the vessels to third parties. As a result of these sales, the Partnership returned the vessels to the owner and incurred seafarer severance payments of $2.9 million for the year ended December 31, 2019 (2018 – $1.8 million ), which were presented as restructuring charges in the Partnership's consolidated statements of income. As at December 31, 2019, the remaining balance of unpaid restructuring charges of $0.6 million (December 31, 2018 – $0.5 million ) is included in accrued liabilities in the Partnership's consolidated balance sheets. b) In December 2019, the Partnership incurred restructuring charges of $0.4 million from subsidiaries of Teekay Corporation attributable to employees supporting the Partnership during the year ended December 31, 2019 |
Gain (Loss) on Sales and Write-
Gain (Loss) on Sales and Write-Down of Vessels | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Write-Down and Loss on Sale of Vessels | Gain (Loss) on Sales and Write-Down of Vessels a) In June 2017, the charterer for the European Spirit Suezmax tanker gave formal notice to the Partnership that it would not exercise its one-year extension option under the charter contract and the charterer redelivered the vessel to the Partnership in August 2017. Upon receiving this notification, the Partnership commenced marketing the vessel for sale. As a result, the Partnership wrote-down the vessel to its estimated resale value, based on second-hand market comparable values and recorded a $12.6 million write-down of the vessel for the year ended December 31, 2017 in the Partnership's consolidated statements of income. The Partnership recorded a further write-down on this vessel of $4.0 million for the year ended December 31, 2018 as the vessel was sold in December 2018 for net proceeds of $15.7 million . The Partnership used the net proceeds from the sale primarily to repay its existing term loan associated with the vessel. b) In August 2017, the charterer for the African Spirit Suezmax tanker gave formal notice to the Partnership that it will not exercise its one-year extension option under the charter contract and the charterer redelivered the vessel to the Partnership in November 2017. As a result, the Partnership wrote-down the vessel to its estimated resale value, based on second-hand market comparable values, and recorded a $12.5 million write-down of the vessel for the year ended December 31, 2017 in the Partnership's consolidated statements of income. The Partnership recorded a further write-down on this vessel of $3.9 million for the year ended December 31, 2018 as the vessel was sold in October 2018 for net proceeds of $12.8 million . The Partnership used the net proceeds from the sale primarily to repay its existing term loan associated with the vessel. c) Under the Partnership's charter contracts for the Teide Spirit and Toledo Spirit Suezmax tankers, the charterer, who was also the owner of the vessels, had the option to cancel the charter contracts 13 years following commencement of the respective charter contracts. In August 2017, the charterer of the Teide Spirit gave formal notification to the Partnership of its intention to terminate its charter contract subject to certain conditions being met and third-party approvals being received. In February 2018, the charterer, sold the Teide Spirit to a third party. On May 20, 2018, the charterer of the Toledo Spirit gave formal notification to the Partnership of its intention to terminate its charter contract subject to certain conditions being met and the receipt of certain third-party approvals. On November 20, 2018, the owner and charterer of the Toledo Spirit , reached an agreement to sell the vessel and delivered the vessel to the buyer in January 2019. The Partnership wrote-down the vessels to their estimated fair values based on their expected future discounted cash flows and recorded an aggregated write-down of $25.5 million for the year ended December 31, 2017 in the Partnership's consolidated statements of income. d) In March 2018, the carrying value of the Alexander Spirit conventional tanker was written down to its estimated fair value, using an appraised value, as a result of changes in the Partnership's expectations of the vessel's future opportunities. The impairment charge of $13.0 million is included in gain (loss) on sales of vessels and write-down of goodwill and vessels for the year ended December 31, 2018 in the Partnership's consolidated statements of income. The Partnership recorded a further write-down in respect of this vessel of $0.8 million for the year ended December 31, 2019 as the vessel was sold in October 2019 for net proceeds of $11.5 million . e) In June 2018, the carrying values for four of the Partnership's seven wholly-owned multi-gas carriers (the Napa Spirit , Pan Spirit , Camilla Spirit and Cathinka Spirit ), were written down to their estimated fair values, using appraised values, as a result of the Partnership's evaluation of alternative strategies for these assets, the current charter rate environment and the outlook for charter rates for these vessels at that time. The total impairment charge of $33.0 million was included in gain (loss) on sales of vessels and write-down of goodwill and vessels for the year ended December 31, 2018 in the Partnership's consolidated statements of income. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events a) On January 3 and January 7, 2020, Awilco purchased the WilPride and WilForce LNG carriers, respectively, from the Partnership and paid the Partnership the associated purchase obligation and deferred hire amounts totaling over $260 million relating to these two vessels. The Partnership used the net proceeds from these sales to repay its term loans totaling $157 million that were collateralized by these vessels and in addition, increased its liquidity by over $100 million . b) The Bahrain LNG Joint Venture (in which the Partnership owns a 30% interest) completed the mechanical construction and commissioning of the LNG receiving and regasification terminal in Bahrain, and began receiving terminal use payments in early-2020 under its 20-year terminal use agreement with NOGA. c) In March 2020, the World Health Organization declared the outbreak of a novel coronavirus (COVID-19) as a pandemic. The Partnership has not yet experienced a material negative impact to its business, results of operations, or financial position as a result of COVID-19. The future financial effects to the Partnership, if any, of COVID-19 cannot be reasonably estimated at this time. d) On March 24, 2020, the Partnership completed the refinancing of its existing $225 million revolving credit facility, which was scheduled to mature in November 2020, by entering into a new $225 million revolving credit facility maturing in March 2022. e) Subsequent to December 31, 2019, the Partnership repurchased 1.4 million of its common units for a total cost of $15.3 million under the Partnership's common unit repurchase program. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of presentation These consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (or GAAP ). They include the accounts of Teekay LNG Partners L.P., which is a limited partnership organized under the laws of the Republic of The Marshall Islands, its wholly-owned or controlled subsidiaries and any variable interest entities (or VIEs ) of which it is the primary beneficiary (collectively, the Partnership ) . The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results may differ from those estimates. Significant intercompany balances and transactions have been eliminated upon consolidation. |
Foreign currency | Foreign currency The consolidated financial statements are stated in U.S. Dollars and the functional currency of the Partnership is the U.S. Dollar. Transactions involving other currencies during the year are converted into U.S. Dollars using the exchange rates in effect at the time of the transactions. At the balance sheet date, monetary assets and liabilities that are denominated in currencies other than the U.S. Dollar are translated to reflect the year-end exchange rates. Resulting gains or losses are reflected in foreign currency exchange gain (loss) in the accompanying consolidated statements of income. |
Revenues | Revenues The Partnership’s time charters and voyage charters include both a lease component, consisting of the lease of the vessel, and a non-lease component, consisting of the operation of the vessel for the customer. The Partnership has elected to not separate the non-lease component from the lease component for all such charters, where the lease component is classified as an operating lease, and to account for the combined component as an operating lease. The Partnership’s time-charter contracts accounted for as direct financing leases and sales-type leases contain both a lease component (lease of the vessel) and a non-lease component (operation of the vessel). The Partnership has allocated the contract consideration between the lease component and non-lease component on a relative standalone selling price basis. The standalone selling price of the non-lease component has been determined using a cost-plus approach, whereby the Partnership estimates the cost to operate the vessel using cost benchmarking studies prepared by a third party, when available, or internal estimates when not available, plus a profit margin. The standalone selling price of the lease component has been determined using an adjusted market approach, whereby the Partnership calculates a rate excluding the operating component based on a market time-charter rate from published broker estimates, when available, or internal estimates when not available. Given that there are no observable standalone selling prices for either of these two components, judgment is required in determining the standalone selling price of each component. Time charters Revenues from time charters accounted for as operating leases are recognized by the Partnership on a straight-line basis daily over the term of the charter. If collectability of the time-charter hire receipts from time charters accounted for as operating leases is not probable, revenue that would have otherwise been recognized is limited to the amount collected from the charterer. Upon commencement of a time charter accounted for as a sales-type lease or a direct financing lease, the carrying value of the vessel is derecognized and the net investment in the lease is recognized, based on the fair value of the vessel. For direct financing leases and sales-type leases, the lease element of time-charter hire receipts is allocated to the lease receivable and voyage revenues over the term of the lease using the effective interest rate method. The Partnership assesses the net investment in the lease for impairment, based on the cash flows that the lessor would expect to receive from the lease receivable and the unguaranteed residual asset during and following the end of the remaining charter term. The non-lease element of time-charter hire receipts is recognized by the Partnership on a straight-line basis daily over the term of the charter. D rydock cost reimbursements allocable to the non-lease element of a time-charter are recognized on a straight-line basis over the period between the previous scheduled drydock and the next scheduled drydock. In addition, if collectability of non-lease receipts of charter payments from charterers is not probable, any such receipts are recognized as a liability unless the receipts are non-refundable and either the time-charter contract has been terminated or the Partnership has no remaining performance obligations. For time-charter contracts where the charterer is responsible for the operation of the vessel, the Partnership offsets any vessel operating expenses it incurs against reimbursements from the charterer. The Partnership does not recognize revenues during days that the vessel is off-hire. When the time charter contains a profit-sharing agreement, drydock cost reimbursements for time charters accounted for as operating leases (see Note 2), or other variable consideration, the Partnership recognizes this revenue in the period in which the changes in facts and circumstances on which the variable charter hire payments are based occur . Voyage charters Revenues from voyage charters are recognized on a proportionate performance method. The Partnership uses a discharge-to-discharge basis in determining proportionate performance for all spot voyages that contain a lease and a load-to-discharge basis in determining proportionate performance for all spot voyages that do not contain a lease. The Partnership does not begin recognizing revenue until a charter has been agreed to by the customer, even if the vessel has discharged its cargo and is sailing to the anticipated load port on its next voyage. The consolidated balance sheets reflect, in other current assets, the accrued portion of revenues for those voyages that commence prior to balance sheet date and complete after the balance sheet date. Bareboat charters Revenues from bareboat charters accounted for as operating leases are recognized by the Partnership on a straight-line basis daily over the term of the charter. If collectability of the bareboat hire receipts from bareboat charters accounted for as operating leases is not probable, revenue that would have otherwise been recognized is limited to the amount collected from the charterer. Upon commencement of a bareboat charter accounted for as a sales-type lease, the carrying value of the vessel is derecognized and the net investment in the lease is recognized, based on the fair value of the vessel. For direct financing leases and sales-type leases, bareboat hire receipts are allocated to the lease receivable and voyage revenues over the term of the lease using the effective interest rate method. The Partnership assesses the net investment in the lease for impairment, based on the cash flows that the lessor would expect to receive from the lease receivable and the unguaranteed residual asset during and following the end of the remaining charter term. |
Operating expenses | Operating expenses Voyage expenses include all expenses unique to a particular voyage, including fuel expenses, port fees, cargo loading and unloading expenses, canal tolls, agency fees and commissions. The Partnership, as shipowner, pays voyage expenses under voyage charters. The Partnership’s customers pay voyage expenses under time charters, except when the vessel is off-hire during the term of a time-charter, in which case the Partnership pays voyage expenses. Vessel operating expenses include crewing, ship management services, repairs and maintenance, insurance, stores, lube oils and communication expenses. Voyage expenses and vessel operating expenses are recognized when incurred except when the Partnership incurs pre-operational costs related to the repositioning of a vessel (i) that relates directly to a specific customer contract, (ii) that generates or enhances resources of the Partnership that will be used in satisfying performance obligations in the future; and (iii) where such costs are expected to be recovered via the customer contract. In this case, such costs are deferred and amortized over the duration of the customer contract. |
Cash and cash equivalents | Cash and cash equivalents The Partnership classifies all highly liquid investments with an original maturity date of three months or less as cash and cash equivalents. |
Restricted cash | Restricted cash The Partnership maintains restricted cash deposits relating to certain term loans, collateral for derivatives, project tenders, leasing arrangements, amounts received from charterers to be used only for dry-docking expenditures and emergency repairs and other obligations. |
Accounts receivable and allowance for doubtful accounts | Accounts receivable and allowance for doubtful accounts Accounts receivable are recorded at the invoiced amount and do not bear interest. The allowance for doubtful accounts is the Partnership’s best estimate of the amount of probable credit losses in existing accounts receivable. The Partnership determines the allowance based on historical write-off experience and customer economic data. The Partnership reviews the allowance for doubtful accounts regularly and past due balances are reviewed for collectability. Account balances are charged against the allowance when the Partnership believes that the receivable will not be recovered. The consolidated balance sheets reflect amounts where the right to consideration is conditioned upon the passage of time as "accounts receivable," and reflect accrued revenue where the right to consideration is conditioned upon something other than the passage of time as "other current assets." |
Other loan receivables | Other loan receivables The Partnership’s advances to equity-accounted joint ventures and any other investments in loan receivables are recorded at cost. The Partnership analyzes its loans for collectability during each reporting period. A loan loss provision is recognized, based on current information and events, if it is probable that the Partnership will be unable to collect all amounts due according to the contractual terms of the loan agreement. Factors the Partnership considers in determining if a loan loss provision is required include, among other things, an assessment of the financial condition of the debtor, payment history of the debtor, general economic conditions, the credit rating of the debtor (when available), any information provided by the debtor regarding its ability to repay the loan, and the fair value of the underlying collateral. When a loan loss provision is recognized, the Partnership measures the amount of the loss provision based on the present value of expected future cash flows discounted at the loan’s effective interest rate and recognizes the resulting loss in the consolidated statements of income. The carrying value of the loan is adjusted each subsequent period to reflect any changes in the present value of the expected future cash flows, which may result in increases or decreases to the loan loss provision. |
Vessels and equipment | Vessels and equipment All pre-delivery costs incurred during the construction of newbuildings, including interest and supervision and technical costs, are capitalized. The acquisition cost and all costs incurred to restore used vessels purchased by the Partnership to the standards required to properly service the Partnership’s customers are capitalized. Interest costs capitalized to vessels and equipment for the years ended December 31, 2019 , 2018 and 2017 aggregated $0.3 million , $14.8 million and $13.9 million , respectively. Vessel capital modifications include the addition of new equipment or certain modifications to the vessel which are aimed at improving or increasing the operational efficiency and functionality of the asset. This type of expenditure is capitalized and depreciated over the estimated useful life of the modification. Expenditures covering recurring routine repairs and maintenance are expensed as incurred. Depreciation is calculated on a straight-line basis over a vessel’s estimated useful life, less an estimated residual value. Depreciation is calculated using an estimated useful life of 25 years for conventional tankers, 30 years for liquefied petroleum gas (or LPG ) carriers and 35 years for liquefied natural gas (or LNG ) carriers, from the date the vessel is delivered from the shipyard, or a shorter period if regulations prevent the Partnership from operating the vessels for 25 years , 30 years , or 35 years , respectively. Depreciation of vessels and equipment, excluding amortization of dry-docking expenditures, for the years ended December 31, 2019 , 2018 and 2017 aggregated $115.1 million , $115.5 million and $96.7 million , respectively. Depreciation and amortization includes depreciation on all owned vessels and amortization of vessels accounted for as finance leases. Generally, the Partnership dry docks each of its vessels every two and a half to five years . The Partnership capitalizes certain costs incurred during dry docking and amortizes those costs on a straight-line basis from the completion of a dry docking to the estimated completion of the next dry docking. The Partnership includes in capitalized dry docking those costs incurred as part of the dry docking to meet classification and regulatory requirements. The Partnership expenses costs related to routine repairs and maintenance performed during dry docking. The following table summarizes the change in the Partnership’s capitalized dry docking costs, from January 1, 2017 to December 31, 2019 : Year Ended Year Ended Year Ended Balance at January 1, 40,365 39,144 33,538 Cost incurred for dry docking 11,000 15,259 22,283 Write-downs and sales of vessels — (2,448 ) (2,782 ) Dry-dock amortization (12,601 ) (11,590 ) (13,895 ) Balance at December 31, 38,764 40,365 39,144 Vessels and equipment that are intended to be held and used in the Partnership's business are assessed for impairment when events or circumstances indicate the carrying amount of the asset may not be recoverable. If the asset’s net carrying value exceeds the estimated net undiscounted cash flows expected to be generated over its remaining useful life, the carrying amount of the asset is reduced to its estimated fair value. The estimated fair value for the Partnership’s impaired vessels is determined using discounted cash flows or appraised values. In cases where an active second-hand sale and purchase market does not exist, the Partnership uses a discounted cash flow approach to estimate the fair value of an impaired vessel. In cases where an active second-hand sale and purchase market exists, an appraised value is used to estimate the fair value of an impaired vessel. An appraised value is generally the amount the Partnership would expect to receive if it were to sell the vessel. Such appraisal is normally completed by the Partnership and is based on second-hand sale and purchase data. Vessels and equipment that are "held for sale" are measured at the lower of their carrying amount or fair value less costs to sell and are not depreciated while classified as held for sale. Interest and other expenses and related liabilities attributable to vessels and equipment classified as held for sale continue to be recognized as incurred. |
Equity-accounted investments | Equity-accounted joint ventures The Partnership’s investments in certain joint ventures, in which the Partnership does not control the entity but has the ability to exercise significant influence over the operating and financial policies of the entity, are accounted for using the equity method of accounting. Under the equity method of accounting, investments are stated at initial cost and are adjusted for subsequent additional investments and the Partnership’s proportionate share of comprehensive earnings or losses and distributions. The Partnership evaluates its equity-accounted joint ventures for impairment when events or circumstances indicate that the carrying value of such investments may have experienced an other-than-temporary decline in value below its carrying value. If an equity-accounted investment is impaired and if the estimated fair value is less than its carrying value, the carrying value is written down to its estimated fair value and the resulting impairment is recorded in the Partnership’s consolidated statements of income. The Partnership’s maximum exposure to loss is the amount it has invested in and advanced to its equity-accounted joint ventures, and the Partnership's proportionate share of the long-term debt and interest rate swaps that it has guaranteed within its equity-accounted joint ventures. |
Debt issuance costs | Debt issuance costs Debt issuance costs related to a recognized debt liability, including fees, commissions and legal expenses, are deferred and presented as a direct reduction from the carrying amount of that debt liability and amortized on an effective interest rate method over the term of the relevant loan. Debt issuance costs that are not attributable to a specific debt liability or where the debt issuance costs exceed the carrying value of the related debt liability (primarily undrawn revolving credit facilities) are deferred and presented as other non-current assets in the Partnership's consolidated balance sheets. Amortization of debt issuance costs is included in interest expense in the Partnership’s consolidated statements of income. Fees paid to substantially amend a non-revolving credit facility are associated with the extinguishment of the old debt instrument and included in determining the debt extinguishment gain or loss to be recognized. Other costs incurred with third parties directly related to the extinguishment are deferred and presented as a direct reduction from the carrying amount of the replacement debt instrument and amortized using the effective interest rate method. In addition, any unamortized debt issuance costs associated with the old debt instrument are written off. If the amendment is considered not to be a substantial amendment, then the fees would be associated with the replacement or modified debt instrument and, along with any existing unamortized premium, discount and unamortized debt issuance costs, would be amortized as an adjustment of interest expense over the remaining term of the replacement or modified debt instrument using the effective interest method. Other costs incurred with third parties directly related to the modification, other than the loan amendment fee, are expensed as incurred. Fees paid to amend a revolving credit facility are deferred and amortized over the term of the modified revolving credit facility. If the borrowing capacity of the revolving credit facility increases as a result of the amendment, unamortized debt issuance costs of the original revolving credit facility are amortized over the remaining term of the modified revolving credit facility. If the borrowing capacity of the revolving credit facility decreases as a result of the amendment, a proportionate amount, based on the reduction in borrowing capacity, of the unamortized debt issuance costs of the original revolving credit facility are written off and the remaining amount is amortized over the remaining term of the modified revolving credit facility. |
Goodwill and intangible assets | Goodwill and intangible assets Goodwill is not amortized but is reviewed for impairment at the reporting unit level on an annual basis or more frequently if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying value. A reporting unit is a component of the Partnership that constitutes a business for which discrete financial information is available and regularly reviewed by management. When goodwill is reviewed for impairment, the Partnership may elect to assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill. Alternatively, the Partnership may bypass this step and use a fair value approach to identify potential goodwill impairment and, when necessary, measure the amount of impairment. The Partnership uses a discounted cash flow model to determine the fair value of reporting units, unless there is a readily determinable fair market value. Goodwill impairment is measured as the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying value of goodwill. Customer-related intangible assets are amortized over the expected life of a customer contract. The amount amortized each year is weighted based on the projected revenue to be earned under the contracts. Intangible assets are assessed for impairment when and if impairment indicators exist. An impairment loss is recognized if the carrying amount of an intangible asset is not recoverable and its carrying amount exceeds its fair value. |
Lease obligations and right-of-use assets | Lease obligations and right-of-use assets As of the lease commencement date, the Partnership recognizes a liability for its lease obligation, initially measured at the present value of lease payments not yet paid, and an asset for its right to use the underlying asset, initially measured equal to the lease liability and adjusted for lease payments made at or before lease commencement, lease incentives, and any initial direct costs. The initial recognition of the lease obligation and right-of-use asset excludes short-term leases for the Partnership’s vessels and office leases. Short-term leases are leases with an original term of one year or less, excluding those leases with an option to extend the lease for greater than one year or an option to purchase the underlying asset that the lessee is deemed reasonably certain to exercise. The initial recognition of this lease obligation and right-of-use asset excludes variable lease payments that are based on the usage or performance of the underlying asset and the portion of payments related to non-lease elements of vessel charters. The Partnership uses the effective interest rate method to subsequently account for the lease liability, whereby interest is recognized in interest expense in the Partnership’s consolidated statements of income. For those leases classified as operating leases, lease interest and right-of-use asset amortization in aggregate result in a straight-line expense profile that is presented in time-charter hire expense for vessels and general and administrative expense for office leases, unless the right-of-use asset becomes impaired. For those leases classified as finance leases, the right-of-use asset is amortized on a straight-line basis over the remaining life of the vessel, with such amortization included in depreciation and amortization in the Partnership’s consolidated statements of income. Variable lease payments that are based on the usage or performance of the underlying asset are recognized as an expense when incurred, unless achievement of a specified target triggers the lease payment, in which case an expense is recognized in the period achievement of the target is considered probable. The Partnership recognizes the expense from short-term leases and any non-lease components of vessels time-chartered from other owners, on a straight-line basis over the firm period of the charters. The expense is included in time-charter hire expense for vessel charters and general and administrative expenses for office leases. The Partnership has determined its time-charter-in contract contains both a lease component (lease of the vessel) and a non-lease component (operation of the vessel). The Partnership has allocated the contract consideration between the lease component and non-lease component on a relative standalone selling price basis. The standalone selling price of the non-lease component has been determined using a cost-plus approach, whereby the Partnership estimates the cost to operate the vessel using cost benchmarking studies prepared by a third party, when available, or internal estimates when not available, plus a profit margin. The standalone selling price of the lease component has been determined using an adjusted market approach, whereby the Partnership calculates a rate excluding the operating component based on market time-charter rate information from published broker estimates, when available, or internal estimates when not available. Given that there are no observable standalone selling prices for either of these two components, judgment is required in determining the standalone selling price of each component. The discount rate of the lease is determined using the Partnership’s incremental borrowing rate, which is based on the fixed interest rate the Partnership could obtain when entering into a secured loan facility with similar terms. The right-of-use asset is assessed for impairment when events or circumstances indicate the carrying amount of the asset may not be recoverable. If the right-of-use asset’s net carrying value exceeds the net undiscounted cash flows expected to be generated over its remaining useful life, the carrying amount of the right-of-use asset is reduced to its estimated fair value. The estimated fair value for the Partnership's impaired right-of-use assets from vessel incharters is determined using a discounted cash flow approach to estimate the fair value. Subsequent to an impairment, a right-of-use asset related to an operating lease is amortized on a straight-line basis over its remaining life. Vessels sold and leased back by the Partnership, where the Partnership has a fixed price repurchase obligation or other situations where the leaseback would be classified as a finance lease, are accounted for as a failed sale of the vessel. The Partnership does not derecognize the vessel sold and continues to depreciate the vessel as if it was the legal owner. Proceeds received from the sale of the vessel are recognized as an obligation related to finance lease and bareboat charter hire payments made by the Partnership to the lessor are allocated between interest expense and principal repayments on the obligation related to finance lease. In periods prior to the adoption of Accounting Standards Update 2016-02, Leases (or ASU 2016-02 ) (see Note 2), the Partnership's accounting policy was to recognize the expense from vessels time-chartered from other owners, which was included in time-charter hire expense, on a straight-line basis over the firm period of the charters. |
Derivative instruments | Derivative instruments All derivative instruments are initially recorded at fair value as either assets or liabilities in the accompanying consolidated balance sheets and subsequently remeasured to fair value each period end, regardless of the purpose or intent for holding the derivative. The method of recognizing the resulting gain or loss is dependent on whether the derivative contract is designed to hedge a specific risk and whether the contract qualifies for hedge accounting. When a derivative is designated as a cash flow hedge, the Partnership formally documents the relationship between the derivative and the hedged item. This documentation includes the strategy and risk management objective for undertaking the hedge and the method that will be used to assess the effectiveness of the hedge. Any gains and losses on the derivative that are excluded from the assessment of hedge effectiveness are recognized immediately in earnings. The Partnership does not apply hedge accounting if it is determined that the hedge was not effective or will no longer be effective, the derivative was sold or exercised, or the hedged item was sold, repaid or no longer probable of occurring. For derivative financial instruments designated and qualifying as cash flow hedges, changes in the fair value of the derivative financial instruments are initially recorded as a component of accumulated other comprehensive (loss) income in total equity. In the periods when the hedged items affect earnings, the associated fair value changes on the hedging derivatives are transferred from total equity to the corresponding earnings line item (e.g. interest expense) in the Partnership’s consolidated statements of income. If a cash flow hedge is terminated or dedesignated and the originally hedged item is still considered probable of occurring, the gains and losses initially recognized in total equity remain there until the hedged item impacts earnings, at which point they are transferred to the corresponding earnings line item in the Partnership’s consolidated statements of income. If the hedged items are no longer probable of occurring, amounts recognized in total equity are immediately transferred to the earnings item in the Partnership’s consolidated statements of income. For derivative financial instruments that are not designated or that do not qualify as hedges under Financial Accounting Standards Board (or FASB ) Accounting Standards Codification (or ASC ) 815, Derivatives and Hedging, the changes in the fair value of the derivative financial instruments are recognized in earnings. Gains and losses from the Partnership’s non-designated interest rate swaps and the Partnership’s agreement with Teekay Corporation for the Suezmax tanker the Toledo Spirit (see Note 12c) are recorded in realized and unrealized loss on non-designated derivative instruments in the Partnership’s consolidated statements of income. Gains and losses from the Partnership’s cross currency swaps are recorded in foreign currency exchange gain (loss) in the Partnership’s consolidated statements of income. |
Unit-based compensation | Unit-based compensation The Partnership grants restricted unit awards as incentive-based compensation under the Teekay LNG Partners L.P. 2005 Long-Term Incentive Plan to certain of the Partnership’s employees and to certain employees of Teekay Corporation’s subsidiaries that provide services to the Partnership and its subsidiaries. The Partnership measures the cost of such awards using the grant date fair value of the award and recognizes that cost, net of estimated forfeitures, over the requisite service period. The requisite service period consists of the period from the grant date of the award to the earlier of the date of vesting or the date the recipient becomes eligible for retirement. For unit-based compensation awards subject to graded vesting, the Partnership calculates the value of the award as if it was one single award with one expected life and amortizes the calculated expense for the entire award on a straight-line basis over the requisite service period. The compensation cost of the Partnership’s unit-based compensation awards is reflected in general and administrative expenses in the Partnership’s consolidated statements of income. |
Income taxes | Income taxes The Partnership accounts for income taxes using the liability method. Under the liability method, deferred tax assets and liabilities are recognized for the anticipated future tax effects of temporary differences between the consolidated financial statement basis and the tax basis of the Partnership’s assets and liabilities using the applicable jurisdictional tax rates. A valuation allowance for deferred tax assets is recorded when it is more likely than not that some or all of the benefit from the deferred tax asset will not be realized. The Partnership recognizes the tax benefits of uncertain tax positions only if it is more-likely-than-not that a tax position taken or expected to be taken in a tax return will be sustained upon examination by the taxing authorities, including resolution of any related appeals or litigation processes, based on the technical merits of the position. The tax benefits recognized in the Partnership’s consolidated financial statements from such positions are measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. The Partnership recognizes interest and penalties related to uncertain tax positions in income tax expense in the Partnership’s consolidated statements of income. |
Guarantees | Guarantees Guarantees issued by the Partnership, excluding those that are guaranteeing its own performance, are recognized at fair value at the time the guarantees are issued and are presented in the Partnership’s consolidated balance sheets as other long-term liabilities. The liability recognized on issuance is amortized to other income on the Partnership’s consolidated statements of income over the term of the guarantee. If it becomes probable that the Partnership will have to perform under a guarantee, the Partnership will recognize an additional liability if the amount of the loss can be reasonably estimated. |
Accounting Pronouncements | Accounting Pronouncements In May 2014, the FASB issued Accounting Standards Update 2014-09, Revenue from Contracts with Customers , (or ASU 2014-09 ). ASU 2014-09 requires an entity to recognize revenue when it transfers promised goods or services to customers at an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This update creates a five-step model that requires entities to exercise judgment when considering the terms of the contract(s) which include (i) identifying the contract(s) with the customer, (ii) identifying the separate performance obligations in the contract, (iii) determining the transaction price, (iv) allocating the transaction price to the separate performance obligations, and (v) recognizing revenue as each performance obligation is satisfied. ASU 2014-09 became effective for the Partnership as of January 1, 2018, and may be applied, at the Partnership’s option, retrospectively to each period presented or as a cumulative-effect adjustment as of the date of adoption. The Partnership adopted ASU 2014-09 as a cumulative-effect adjustment as of such date. The Partnership has elected to apply ASC 2014-09 only to those contracts that were not completed as of January 1, 2018. The Partnership has identified the following differences on adoption of ASU 2014-09: • In certain cases, the Partnership incurs pre-operational costs relating directly to a specific customer contract, that generate or enhance resources of the Partnership that will be used in satisfying performance obligations in the future, whereby such costs are expected to be recovered via the customer contract. Such costs are deferred and amortized over the duration of the customer contract. The Partnership previously expensed such costs as incurred unless the costs were directly reimbursable by the contract. This change increased net income by $1.1 million for the year ended December 31, 2018, and increased other assets by $3.5 million , investments in equity-accounted joint ventures by $0.3 million , and total equity by $3.8 million as at December 31, 2018. The cumulative increase to opening equity as at January 1, 2018 was $2.7 million . • The Partnership previously presented all accrued revenue as a component of accounts receivable. The Partnership has determined that if the right to such consideration is conditional upon something other than the passage of time, such accrued revenue should be presented apart from accounts receivable. This had the impact of increasing other current assets and decreasing accounts receivable by $2.3 million at December 31, 2018. There was no cumulative impact to opening equity as at January 1, 2018. In February 2016, the FASB issued ASU 2016-02, which establishes a right-of-use model that requires a lessee to record a right-of-use asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. For lessees, leases are classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. ASU 2016-02 requires lessors to classify leases as a sales-type, direct financing or operating lease. A lease is a sales-type lease if any one of five criteria are met, each of which indicate that the lease, in effect, transfers control of the underlying asset to the lessee. If none of those five criteria are met, but two additional criteria are both met, indicating that the lessor has transferred substantially all of the risks and benefits of the underlying asset to the lessee and a third party, the lease is a direct financing lease. All leases that are not sales-type leases or direct financing leases are operating leases. FASB issued an additional accounting standard update in July 2018 that made further amendments to accounting for leases, including allowing the use of a transition approach whereby a cumulative effect adjustment is made as of the effective date, with no retrospective effect and providing an optional practical expedient to lessors to not separate lease and non-lease components of a contract if certain criteria are met. The Partnership adopted ASU 2016-02 on January 1, 2019. In addition, the Partnership early adopted ASU 2019-01, which provides an exception for lessors who are not manufacturers or dealers to determine the fair value of leased property using the underlying asset’s cost, instead of fair value. To determine the cumulative effect adjustment, the Partnership has not reassessed lease classification, initial direct costs for any existing leases and whether any expired or existing contracts are or contain leases. The Partnership identified the following differences: • The adoption of ASU 2016-02 results in a change in the accounting method for the lease portion of the daily charter hire accounted for as operating leases with firm periods of greater than one year for certain of the chartered-in vessels of the Partnership and the Partnership's equity-accounted joint ventures. Under ASU 2016-02, one of the Partnership's in-charter contracts previously accounted for as an operating lease is now treated as an operating lease right-of-use asset and an operating lease liability, which resulted in an increase of the Partnership's assets and liabilities. The right-of-use asset and lease liability recognized at December 31, 2019 was $34.2 million (January 1, 2019 – $22.8 million ). In addition, certain equity-accounted joint ventures recognized a right-of-use asset and a lease liability on the balance sheet for these charters based on the present value of future minimum lease payments, whereas previously no right-of-use asset or lease liability was recognized. This had the result of increasing the equity-accounted joint venture’s assets and liabilities. The pattern of expense recognition of chartered-in vessels has remained substantially unchanged from the prior policy and is expected to remain substantially unchanged, unless the right-of-use asset becomes impaired. • The adoption of ASU 2016-02 results in the recognition of revenue from the reimbursement of scheduled dry-dock expenditures, where such charter contract is accounted for as an operating lease, occurring upon completion of the scheduled dry-dock, instead of ratably over the period between the previous scheduled dry-dock and the next scheduled dry-dock. This change decreased investments in and advances to equity-accounted joint ventures by $0.1 million , and total equity by $0.1 million as at December 31, 2019. The cumulative decrease to investments in and advances to equity-accounted joint ventures and opening equity as at January 1, 2019 was $3.0 million . • The adoption of ASU 2016-02 results in direct financing and sales-type lease payments received being presented as an operating cash inflow in 2019 instead of as an investing cash inflow, as presented in 2018 and 2017 in the consolidated statements of cash flows. Direct financing and sales-type lease payments received during the years ended December 31, 2019, 2018 and 2017 were $17.1 million , $10.9 million and $13.1 million , respectively. • The adoption of ASU 2016-02 results in sale and leaseback transactions where the seller lessee has a fixed price repurchase option or other situations where the leaseback would be classified as a finance lease being accounted for as a failed sale of the vessel and a failed purchase of the vessel by the buyer lessor. Prior to the adoption of ASU 2016-02 such transactions were accounted for as a completed sale and a completed purchase. Consequently, for such transactions the Partnership does not derecognize the vessel sold and continues to depreciate the vessel as if it were the legal owner. Proceeds received from the sale of the vessel are recognized as a financial liability and bareboat charter hire payments made by the Partnership to the lessor are allocated between interest expense and principal repayments on the financial liability. The adoption of ASU 2016-02 has resulted in the sale and leaseback of the Yamal Spirit and the Torben Spirit during 2019, respectively, being accounted for as failed sales and unlike the eight sale-leaseback transactions entered into in prior years, the Partnership is not considered as holding a variable interest in the buyer lessor entity and thus, does not consolidate the buyer lessor entity (see Note 5). In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging - Targeted Improvements to Accounting for Hedging Activities (or ASU 2017-12 ) . ASU 2017-12 eliminates the requirement to separately measure and report hedge ineffectiveness and generally requires, for qualifying hedges, the entire change in the fair value of a hedging instrument to be recorded in other comprehensive (loss) income and reclassified to earnings in the same income statement line as the hedged item when the hedged item affects earnings. The guidance also modifies the accounting for components excluded from the assessment of hedge effectiveness, eases documentation and assessment requirements and modifies certain disclosure requirements. ASU 2017-12 became effective for the Partnership as of January 1, 2019. This change decreased accumulated other comprehensive (loss) income by $4.8 million as at January 1, 2019, and correspondingly increased opening equity as at January 1, 2019 by $4.8 million . In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses: Measurement of Credit Losses on Financial Instruments (or ASU 2016-13 ). ASU 2016-13 introduces a new credit loss methodology, which requires earlier recognition of credit losses, while also providing additional transparency about credit risk. This new credit loss methodology utilizes a lifetime “expected credit loss” measurement objective for the recognition of credit losses for loans, held-to-maturity debt securities and other receivables at the time the financial asset is originated or acquired. The expected credit losses are subsequently adjusted each period for changes in expected lifetime credit losses. This methodology replaces the multiple existing impairment methods under current GAAP, which generally require that a loss be incurred before it is recognized. This update is effective for the Partnership January 1, 2020, with a modified-retrospective approach. The Partnership expects that its net investments in direct financing and sales-type leases, advances to equity-accounted joint ventures, guarantees of indebtedness of equity-accounted joint ventures and receivables related to non-operating lease revenue arrangements will be subject to ASU 2016-13. Consequently, the Partnership expects that on January 1, 2020 it will decrease the carrying value of these instruments, some of which are held by the Partnership's equity-accounted investments, resulting in a corresponding reduction to total equity on the date of adoption. The Partnership is in the process of finalizing its credit loss methodology and calculations. In December 2019, the FASB issued ASU 2019-12 - Income Taxes (Topic 740) Simplifying the Accounting for Income Taxes |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Changes in Partnership's Capitalized Dry Docking Costs | The following table summarizes the change in the Partnership’s capitalized dry docking costs, from January 1, 2017 to December 31, 2019 : Year Ended Year Ended Year Ended Balance at January 1, 40,365 39,144 33,538 Cost incurred for dry docking 11,000 15,259 22,283 Write-downs and sales of vessels — (2,448 ) (2,782 ) Dry-dock amortization (12,601 ) (11,590 ) (13,895 ) Balance at December 31, 38,764 40,365 39,144 |
Fair Value Measurements and F_2
Fair Value Measurements and Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Schedule of Estimated Fair Value of Partnership's Financial Instruments on Recurring Basis | The following table includes the estimated fair value and carrying value of those assets and liabilities that are measured at fair value on a recurring and non-recurring basis, as well as the estimated fair value of the Partnership’s financial instruments that are not accounted for at a fair value on a recurring basis. December 31, 2019 December 31, 2018 Fair Value Carrying Fair Carrying Fair Recurring: Cash and cash equivalents and restricted cash (note 15a) Level 1 253,291 253,291 222,864 222,864 Derivative instruments (note 13) Interest rate swap agreements – assets Level 2 2,210 2,210 3,341 3,341 Interest rate swap agreements – liabilities Level 2 (50,447 ) (50,447 ) (40,958 ) (40,958 ) Foreign currency contracts Level 2 (202 ) (202 ) — — Cross currency swap agreements – liabilities Level 2 (42,104 ) (42,104 ) (29,122 ) (29,122 ) Other derivative Level 3 — — 1,061 1,061 Other: Advances to equity-accounted joint ventures, current and long-term (note 7) (i) 126,546 (i) 131,386 (i) Long-term debt – public (note 10) Level 1 (345,824 ) (358,005 ) (350,813 ) (361,095 ) Long-term debt – non-public (note 10) Level 2 (1,485,572 ) (1,474,208 ) (1,618,963 ) (1,604,106 ) Obligations related to finance leases (note 5a) Level 2 (1,410,904 ) (1,434,910 ) (1,298,556 ) (1,274,693 ) (i) The advances to equity-accounted joint ventures together with the Partnership’s equity investments in the joint ventures form the net aggregate carrying value of the Partnership’s interests in the joint ventures in these consolidated financial statements. The fair values of the individual components of such aggregate interests are not determinable. |
Changes in Fair Value of Assets Measured on Recurring Basis Using Significant Unobservable Inputs (Level 3) | Changes in fair value during the years ended December 31, 2019 and 2018 for the Partnership’s other derivative asset, the Toledo Spirit time-charter derivative, which were measured at fair value on a recurring basis using significant unobservable inputs (Level 3), were as follows: Year Ended Year Ended Fair value at beginning of year 1,061 1,648 Realized and unrealized (losses) gains included in earnings (40 ) 550 Settlements (1,021 ) (1,137 ) Fair value at end of year — 1,061 |
Summary of Partnership's Loan Receivables and Other Financing Receivables | The following table contains a summary of the carrying value of the Partnership’s loan receivables and other financing receivables by type of borrower, the method by which the Partnership monitors the credit quality of its financing receivables on a quarterly basis and the grade as at December 31, 2019 . Class of Financing Receivable Credit Quality Indicator Grade December 31, December 31, Direct financing and sales-type leases (note 6) Payment activity Performing 818,809 575,163 Other receivables: Long-term receivable and accrued revenue included in other assets Payment activity Performing 8,092 5,694 Advances to equity-accounted joint ventures (note 7) Other internal metrics Performing 126,546 131,386 953,447 712,243 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Revenues and Percentage of Consolidated Voyage Revenues from Top Customers | The following table presents voyage revenues and percentage of consolidated voyage revenues for the Partnership’s customers who accounted for 10% or more of the Partnership's consolidated voyage revenues during any of the periods presented. (U.S. Dollars in millions) Year Ended Year Ended Year Ended Royal Dutch Shell Plc. (i) (ii) $126.9 or 21% $115.4 or 23% $53.8 or 12% Ras Laffan Liquefied Natural Gas Company Ltd. (i) $71.1 or 12% $70.6 or 14% $70.3 or 16% Naturgy Energy Group S.A. (i) $65.6 or 11% Less than 10% Less than 10% Cheniere Marketing International (i) $60.6 or 11% $60.1 or 12% $60.2 or 14% The Tangguh Production Sharing Contractors (i) Less than 10% Less than 10% $49.7 or 11% (i) LNG segment. (ii) Includes its subsidiaries Shell International Trading Middle East Ltd. and Shell Tankers (Singapore) Private Ltd. |
Segment Reporting Information | The following tables include results for these segments for the years presented in these consolidated financial statements. Year Ended December 31, 2019 Liquefied Natural Gas Liquefied Petroleum Gas Conventional Total Voyage revenues 555,303 39,211 6,742 601,256 Voyage expenses (4,493 ) (16,563 ) (331 ) (21,387 ) Vessel operating expenses (90,954 ) (17,888 ) (2,743 ) (111,585 ) Time-charter hire expense (19,994 ) — — (19,994 ) Depreciation and amortization (128,138 ) (7,931 ) (696 ) (136,765 ) General and administrative expenses (i) (20,193 ) (1,789 ) (539 ) (22,521 ) Gain on sales of vessels and write-down of vessels 14,349 — (785 ) 13,564 Restructuring charges (400 ) — (2,915 ) (3,315 ) Income (loss) from vessel operations 305,480 (4,960 ) (1,267 ) 299,253 Equity income (loss) 59,600 (781 ) — 58,819 Investment in and advances to equity-accounted joint ventures 1,003,581 151,735 — 1,155,316 Total assets at December 31, 2019 4,924,627 319,695 — 5,244,322 Expenditures for vessels and equipment (101,052 ) (1,538 ) — (102,590 ) Expenditures for dry docking (8,224 ) (2,776 ) — (11,000 ) Year Ended December 31, 2018 Liquefied Natural Gas Liquefied Petroleum Gas Conventional Total Voyage revenues 454,517 23,922 32,323 510,762 Voyage expenses (2,750 ) (15,907 ) (9,580 ) (28,237 ) Vessel operating expenses (82,952 ) (20,932 ) (13,774 ) (117,658 ) Time-charter hire expense (7,670 ) — — (7,670 ) Depreciation and amortization (111,360 ) (7,748 ) (5,270 ) (124,378 ) General and administrative expenses (i) (23,270 ) (2,932 ) (2,310 ) (28,512 ) Write-down of goodwill and vessels — (33,790 ) (20,863 ) (54,653 ) Restructuring charges — — (1,845 ) (1,845 ) Income (loss) from vessel operations 226,515 (57,387 ) (21,319 ) 147,809 Equity income (loss) 60,228 (6,682 ) — 53,546 Investment in and advances to equity-accounted joint ventures 962,236 153,897 — 1,116,133 Total assets at December 31, 2018 4,861,977 326,111 39,450 5,227,538 Expenditures for vessels and equipment (684,951 ) (1,230 ) (124 ) (686,305 ) Expenditures for dry docking (7,505 ) (5,059 ) (15 ) (12,579 ) Year Ended December 31, 2017 Liquefied Natural Gas Liquefied Petroleum Gas Conventional Total Voyage revenues 365,914 19,769 46,993 432,676 Voyage expenses (1,802 ) (1,218 ) (5,182 ) (8,202 ) Vessel operating expenses (80,245 ) (3,083 ) (18,211 ) (101,539 ) Depreciation and amortization (86,592 ) (8,433 ) (10,520 ) (105,545 ) General and administrative expenses (i) (13,223 ) (2,411 ) (2,507 ) (18,141 ) Write-down of vessels — — (50,600 ) (50,600 ) Income (loss) from vessel operations 184,052 4,624 (40,027 ) 148,649 Equity income (loss) 17,652 (7,863 ) — 9,789 Expenditures for vessels and equipment (701,117 ) (13,412 ) — (714,529 ) Expenditures for dry docking (20,046 ) (107 ) (2,130 ) (22,283 ) (i) Includes direct general and administrative expenses and indirect general and administrative expenses (allocated to each segment based on estimated use of corporate resources (Note 12a)). |
Reconciliation of Total Segment Assets | A reconciliation of total segment assets presented in the Partnership's consolidated balance sheets is as follows: December 31, December 31, Total assets of the liquefied natural gas segment 4,924,627 4,861,977 Total assets of the liquefied petroleum gas segment 319,695 326,111 Total assets of the conventional tanker segment — 39,450 Unallocated: Cash and cash equivalents 160,221 149,014 Advances to affiliates 5,143 8,229 Consolidated total assets 5,409,686 5,384,781 |
Chartered-in Vessels (Tables)
Chartered-in Vessels (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Capital Lease Obligations | Obligations related to Finance Leases December 31, December 31, LNG Carriers 1,410,904 1,274,569 Suezmax Tanker — 23,987 Total obligations related to finance leases 1,410,904 1,298,556 Less current portion (69,982 ) (81,219 ) Long-term obligations related to finance leases 1,340,922 1,217,337 |
Commitment Under Capital Leases | As at December 31, 2019 and 2018, the remaining commitments related to the finance leases of these nine LNG carriers (December 31, 2018 – eight LNG carriers) , including the amounts to be paid for the related purchase obligations, approximated $1.9 billion (December 31, 2018 – $1.7 billion ), including imputed interest of $470.9 million (December 31, 2018 – $435.3 million ), repayable from 2020 through 2034, as indicated below: Commitments at December 31, Year 2019 2018 2019 — $ 119,517 2020 $ 140,386 $ 118,685 2021 $ 138,601 $ 117,772 2022 $ 136,959 $ 116,978 2023 $ 135,459 $ 116,338 2024 $ 132,011 $ 113,704 Thereafter $ 1,198,366 $ 1,006,966 |
Schedule of Operating Leases | A maturity analysis of the Partnership’s operating lease liabilities from its time-charter-in contract with the MALT Joint Venture as at December 31, 2019 is as follows: Lease Commitment Non-Lease Commitment Total Commitment Year $ $ $ Payments: 2020 14,710 9,080 23,790 2021 14,670 9,055 23,725 2022 6,832 4,218 11,050 Total payments 36,212 22,353 58,565 Less imputed interest (2,055 ) Carrying value of operating lease liabilities 34,157 Less current portion (13,407 ) Carrying value of long-term operating lease liabilities 20,750 As at December 31, 2019 , the total estimated future minimum rental payments to be received and paid by the Tangguh Joint Venture related to the lease contracts are as follows: Year Head Lease Receipts (i) Sublease Payments (i) (ii) 2020 $ 21,242 $ 23,875 2021 $ 21,242 $ 23,875 2022 $ 21,242 $ 23,875 2023 $ 21,242 $ 23,875 2024 $ 21,242 $ 23,875 Thereafter $ 90,369 $ 101,609 Total $ 196,579 $ 220,984 (i) The Head Leases are fixed-rate operating leases while the Subleases have a variable-rate component. As at December 31, 2019 , the Partnership had received $313.8 million of aggregate Head Lease receipts and had paid $260.6 million of aggregate Sublease payments. The portion of the Head Lease receipts that has not been recognized into earnings is deferred and amortized on a straight-line basis over the lease terms and, as at December 31, 2019 , $3.8 million ( December 31, 2018 – $3.7 million ) and $25.5 million ( December 31, 2018 – $29.3 million ) of Head Lease receipts had been deferred and included in unearned revenue and other long-term liabilities, respectively, in the Partnership’s consolidated balance sheets. (ii) The amount of payments related to the Subleases are updated annually to reflect any changes in the lease payments due to changes in tax law. |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following tables contain the Partnership's revenue for the year ended December 31, 2019 , 2018 and 2017 , by contract type and by segment. Year Ended December 31, 2019 Liquefied Natural Gas Segment $ Liquefied Petroleum Gas Segment $ Conventional Tanker Segment $ Total Time charters 530,434 2,860 6,742 540,036 Voyage charters — 36,351 — 36,351 Bareboat charters 18,387 — — 18,387 Management fees and other income 6,482 — — 6,482 555,303 39,211 6,742 601,256 Year Ended December 31, 2018 Liquefied Natural Gas Segment $ Liquefied Petroleum Gas Segment $ Conventional Tanker Segment $ Total Time charters 420,262 — 17,405 437,667 Voyage charters — 23,922 14,591 38,513 Bareboat charters 23,820 — — 23,820 Management fees and other income 10,435 — 327 10,762 454,517 23,922 32,323 510,762 Year Ended December 31, 2017 Liquefied Natural Gas Segment $ Liquefied Petroleum Gas Segment $ Conventional Tanker Segment $ Total Time charters 332,751 — 39,171 371,922 Voyage charters — 2,285 6,709 8,994 Bareboat charters 22,574 17,484 — 40,058 Management fees and other income 10,589 — 1,113 11,702 365,914 19,769 46,993 432,676 The following table contains the Partnership’s total revenue for the years ended December 31, 2019 , 2018 and 2017 , by contracts or components of contracts accounted for as leases and those not accounted for as leases: Year Ended December 31, 2019 $ Year Ended December 31, 2018 $ Year Ended December 31, 2017 $ Lease revenue Lease revenue from lease payments of operating leases 516,772 440,963 351,119 Interest income on lease receivables 51,676 41,963 49,275 Variable lease payments – cost reimbursements (1) 4,635 — — Variable lease payments – other (2) — (1,480 ) (648 ) 573,083 481,446 399,746 Non-lease revenue Non-lease revenue – related to sales-type or direct financing leases 21,691 18,554 21,228 Management fees and other income 6,482 10,762 11,702 28,173 29,316 32,930 Total 601,256 510,762 432,676 (1) Reimbursements for vessel operating expenditures and dry-docking expenditures received from the Partnership's customers relating to such costs incurred by the Partnership to operate the vessel for the customer pursuant to charters accounted for as operating leases. (2) Payments to charterer from time-charter contracts based on the base daily hire amount being in excess of spot market rates. |
Schedule of Capital Leased Assets | The following table lists the components of the net investments in direct financing and sales-type leases: December 31, December 31, Total lease payments to be received 1,115,968 897,130 Estimated unguaranteed residual value of leased properties 284,277 291,098 Initial direct costs 296 329 Less unearned revenue (581,732 ) (613,394 ) Total net investments in direct financing and sales-type leases 818,809 575,163 Less current portion (273,986 ) (12,635 ) Net investments in direct financing and sales-type leases 544,823 562,528 |
Equity-Accounted Joint Ventur_2
Equity-Accounted Joint Ventures (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Financial Information of Joint Ventures | A summary of the Partnership's investments in and advances to equity-accounted joint ventures are as follows: As at December 31, 2019 As at December 31, Name Ownership Percentage # of Delivered Vessels LNG Terminal 2019 2018 Bahrain LNG Joint Venture (i) 30% - 1 60,462 81,353 Yamal LNG Joint Venture (ii) 50% 6 - 264,126 205,839 Pan Union Joint Venture (iii) 20%-30% 4 - 79,568 73,545 Exmar LPG Joint Venture (iv) 50% 23 - 151,673 153,808 MALT Joint Venture (v) 52% 6 - 357,411 351,529 Excalibur Joint Venture (vi) 50% 1 - 32,691 32,402 Angola Joint Venture (vii) 33% 4 - 88,465 85,469 RasGas III Joint Venture (viii) 40% 4 - 120,920 132,188 48 1 1,155,316 1,116,133 Less current portion of advances to equity-accounted joint ventures — (79,108 ) Investment in and advances to equity-accounted joint ventures 1,155,316 1,037,025 (i) Bahrain LNG Joint Venture In December 2015, the Partnership ( 30% ) entered into a joint venture agreement with National Oil & Gas Authority (or NOGA ) ( 30% ), Gulf Investment Corporation (or GIC ) ( 24% ) and Samsung C&T (or Samsung ) ( 16% ) to form a joint venture, Bahrain LNG W.L.L. (or the Bahrain LNG Joint Venture ), for the development of an LNG receiving and regasification terminal in Bahrain. The LNG terminal includes an offshore LNG receiving jetty and breakwater, an adjacent regasification platform, subsea gas pipelines from the platform to shore, an onshore gas receiving facility, and an onshore nitrogen production facility with a total LNG terminal capacity of 800 million standard cubic feet per day and will be owned and operated under a 20 -year customer contract (see Note 20b). In addition, the Partnership has supplied an FSU in connection with this terminal commencing in September 2018 through a 21-year time-charter contract with the Bahrain LNG Joint Venture. As at December 31, 2019 , the Partnership had advanced $73.4 million ( December 31, 2018 – $79.1 million ) to the Bahrain LNG Joint Venture. These advances bear interest at 6.0% (2018 – LIBOR plus 1.25% ) and as at December 31, 2019 and 2018 , the interest receivable on these advances was $0.5 million and $ nil , respectively. These amounts are included in the table above. (ii) Yamal LNG Joint Venture As at December 31, 2019 , the Partnership has a 50 / 50 joint venture agreement with China LNG Shipping (Holdings) Limited (or China LNG ) (or the Yamal LNG Joint Venture ) and the joint venture has six icebreaker LNG carriers that carry out international transportation of LNG for a project located on the Yamal Peninsula in Northern Russia. The Partnership has guaranteed its 50% share of a secured loan facility and interest rate swaps in the Yamal LNG Joint Venture for which the aggregate principal amount of the loan facility and fair value of the interest rate swaps as at December 31, 2019 was $809.2 million . As a result, the Partnership has recorded a guarantee liability. The carrying value of the guarantee liability as at December 31, 2019 was $2.2 million ( December 31, 2018 – $0.6 million ) and is included as part of other long-term liabilities in the Partnership’s consolidated balance sheets. (iii) Pan Union Joint Venture As at December 31, 2019 , the Partnership has a 30% ownership interest in two LNG carriers, the Pan Asia and the Pan Americas , and a 20% ownership interest in two LNG carriers, the Pan Europe and the Pan Africa , through its joint venture with China LNG, CETS Investment Management (HK) Co. Ltd. and BW Investments Pte. Ltd (or the Pan Union Joint Venture ). On initial acquisition, the basis difference between the Partnership's investment and the carrying value of the Pan Union Joint Venture's net assets was substantially attributed to ship construction support agreements and the time-charter contracts. At December 31, 2019 , the unamortized amount of the basis difference was $10.5 million ( December 31, 2018 - $11.0 million ). (iv) Exmar LPG Joint Venture As at December 31, 2019 , the Partnership has a 50 / 50 LPG-related joint venture agreement with Exmar NV (or Exmar) (or the Exmar LPG Joint Venture ). The Partnership has guaranteed its 50% share of secured loan facilities and four finance leases in the Exmar LPG Joint Venture for which the aggregate principal amount of the secured loan facilities and finance leases as at December 31, 2019 was $246.7 million . As a result, the Partnership has recorded a guarantee liability. The carrying value of the guarantee liability as at December 31, 2019 was $0.9 million ( December 31, 2018 – $1.3 million ) and is included as part of other long-term liabilities in the Partnership’s consolidated balance sheets. As at December 31, 2019 , the Partnership had advanced $52.3 million ( December 31, 2018 – $52.3 million ) to the Exmar LPG Joint Venture, which bears interest at LIBOR plus 0.50% and has no fixed repayment terms. As at December 31, 2019 , the interest receivable on these advances was $0.3 million ( December 31, 2018 – $ nil ). These amounts are included in the table above. On initial acquisition, the basis difference between the Partnership's investment and the carrying value of the Exmar LPG Joint Venture's net assets was substantially attributed to the value of the vessels and charter agreements of the Exmar LPG Joint Venture and goodwill in accordance with the finalized purchase price allocation. At December 31, 2019 , the unamortized amount of the basis difference was $23.6 million ( December 31, 2018 – $24.9 million ). (v) MALT Joint Venture As at December 31, 2019 , the Partnership has a joint venture agreement with Marubeni Corporation (or the MALT Joint Ventur e). Since control of the MALT Joint Venture is shared jointly between Marubeni and the Partnership, the Partnership accounts for its investment in the MALT Joint Venture using the equity method. The Partnership has guaranteed its 52% share of the secured loan facilities of the MALT Joint Venture for which the principal amount of the secured loan facilities as at December 31, 2019 was $147.0 million . As a result, the Partnership has recorded a guarantee liability. The carrying value of the guarantee liability as at December 31, 2019 was $0.3 million ( December 31, 2018 – $0.4 million ) and is included as part of other long-term liabilities in the Partnership’s consolidated balance sheets. (vi) Excalibur and Excelsior Joint Ventures As at December 31, 2019 , the Partnership has a 50 / 50 LNG-related joint venture with Exmar (or the Excalibur Joint Venture ). On January 31, 2018, the Partnership sold its other 50 / 50 LNG-related joint venture with Exmar relating to the Excelsior LNG carrier (or the Excelsior Joint Venture ) for gross proceeds of approximately $54 million . As a result of the sale, the Partnership recorded a gain of $5.6 million for the year ended December 31, 2018, which is included in equity income in the Partnership's consolidated statements of income. The Partnership has guaranteed its ownership share of the secured loan facility of the Excalibur Joint Venture for which the principal amount of the secured loan facility as at December 31, 2019 was $21.8 million . As a result, the Partnership has recorded a guarantee liability. As at December 31, 2019 , the carrying value of the guarantee liability was $0.1 million ( December 31, 2018 – nominal). On initial acquisition, the basis difference between the Partnership's investment and the carrying value of the Excalibur Joint Venture's net assets was substantially attributed to an increase to the carrying value of the vessel of the Excalibur Joint Venture in accordance with the finalized purchase price allocation. At December 31, 2019 , the unamortized amount of the basis difference was $12.5 million ( December 31, 2018 – $13.0 million ). (vii) Angola Joint Venture As at December 31, 2019 , the Partnership has a 33% ownership interest in a joint venture (or the Angola Joint Venture ) that owns four 160,400 -cubic meter LNG carriers (or the Angola LNG Carriers ). The other partners of the Angola Joint Venture are NYK Energy Transport (or NYK ) ( 33% ) and Mitsui & Co. Ltd. ( 34% ). The Partnership has guaranteed its 33% share of the secured loan facilities and interest rate swaps of the Angola Joint Venture for which the aggregate principal amount of the secured loan facilities and fair value of the interest rate swaps as at December 31, 2019 was $213.8 million . As a result, the Partnership has recorded a guarantee liability. The carrying value of the guarantee liability as at December 31, 2019 was $0.5 million ( December 31, 2018 – $0.6 million ) and is included as part of other long-term liabilities in the Partnership’s consolidated balance sheets. (viii) RasGas III Joint Venture As at December 31, 2019 , the Partnership has a 40% ownership interest in Teekay Nakilat (III) Corporation (or the RasGas III Joint Venture ), and the remaining 60% is held by Qatar Gas Transport Company Ltd. (Nakilat). The follo wing table presents aggregated summarized financial information reflecting a 100% ownership interest in the Partnership’s equity method investments and excluding the impact from purchase price adjustments arising from the acquisition of Exmar LPG Joint Venture, the Excalibur Joint Venture and the Pan Union Joint Venture. The results include the Excalibur Joint Venture, the Excelsior Joint Venture up to January 2018, the RasGas III Joint Venture, the Angola Joint Venture, the Exmar LPG Joint Venture, the MALT Joint Venture, the Pan Union Joint Venture, the Yamal LNG Joint Venture, and the Bahrain LNG Joint Venture. December 31, December 31, Cash and restricted cash – current 375,800 333,566 Other assets – current 146,637 152,506 Vessels and equipment, including vessels related to finance leases, right-of-use assets and advances on newbuilding contracts 3,045,393 3,579,026 Net investments in direct financing and sales-type leases – non-current 4,469,861 3,000,927 Other assets – non-current 169,925 90,455 Current portion of long-term debt, obligations related to finance leases, operating lease liabilities and advances from joint venture partners 557,685 547,098 Other liabilities – current 188,665 139,194 Long-term debt, obligations related to finance leases, operating lease liabilities and advances from joint venture partners 5,130,656 4,307,278 Other liabilities – non-current 224,903 126,905 Year Ended Year Ended Year Ended Voyage revenues 766,618 612,471 477,495 Income from vessel operations 400,326 289,477 178,763 Realized and unrealized (loss) gain on non-designated derivative instruments (40,915 ) 8,825 (2,067 ) Net income 130,314 142,252 54,418 |
Intangible Assets and Goodwill
Intangible Assets and Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Carrying Amount of Intangible Assets for Partnership's Reportable Segments | The carrying amount of intangible assets for the Partnership’s liquefied natural gas segment is as follows: December 31, December 31, Gross carrying amount 179,813 179,813 Accumulated amortization (136,447 ) (127,591 ) Net carrying amount 43,366 52,222 |
Schedule of Goodwill | The Partnership's carrying amount of goodwill as at December 31, 2019 and 2018 is as follows: December 31, December 31, Liquefied natural gas segment 31,921 31,921 Liquefied petroleum gas segment 2,920 2,920 Total 34,841 34,841 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Liabilities | December 31, December 31, Interest including interest rate swaps 23,787 23,083 Voyage and vessel expenses 36,880 34,889 Payroll and benefits 6,215 5,950 Other general expenses 775 2,542 Income and other tax payable 2,670 1,864 Distributions payable on preferred units 6,425 6,425 Total 76,752 74,753 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Components of Long-Term Debt | December 31, 2019 December 31, 2018 $ $ U.S. Dollar-denominated Revolving Credit Facilities due from 2020 to 2022 212,000 225,000 U.S. Dollar-denominated Term Loans and Bonds due from 2020 to 2030 1,114,707 1,212,504 Norwegian Kroner-denominated Bonds due from 2020 to 2023 347,163 352,973 Euro-denominated Term Loans due from 2023 to 2024 165,376 193,781 Other U.S. Dollar-denominated Loans 3,300 3,300 Total principal 1,842,546 1,987,558 Unamortized discount and debt issuance costs (11,150 ) (17,782 ) Total debt 1,831,396 1,969,776 Less current portion (393,065 ) (135,901 ) Long-term debt 1,438,331 1,833,875 |
Income Tax (Tables)
Income Tax (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Components of Provision for Income Taxes | The components of the provision for income taxes were as follows: Year Ended Year Ended Year Ended Current (6,824 ) (2,361 ) (3,557 ) Deferred (653 ) (852 ) 2,733 Income tax expense (7,477 ) (3,213 ) (824 ) |
Reconciliations of Tax Charge | Reconciliations of the tax charge related to the relevant year at the applicable statutory income tax rates and the actual tax charge related to the relevant year are as follows: Year Ended Year Ended Year Ended Net income before income tax expenses 172,081 30,088 49,735 Net income not subject to taxes (167,667 ) (68,675 ) (94,106 ) Net income (loss) subject to taxes 4,414 (38,587 ) (44,371 ) At applicable statutory tax rates Amount computed using the standard rate of corporate tax (1,821 ) 6,833 13,874 Adjustments to valuation allowance and uncertain tax positions (6,767 ) (14,733 ) 324 Permanent and currency differences 4,592 3,257 (12,507 ) Change in tax rates (3,481 ) 1,430 (2,515 ) Tax expense related to the current year (7,477 ) (3,213 ) (824 ) |
Components of Partnership's Deferred Tax Assets (Liabilities) | The significant components of the Partnership’s deferred tax assets were as follows: December 31, December 31, Derivative instruments 2,859 2,793 Taxation loss carryforwards and disallowed finance costs 47,610 49,298 Vessels and equipment (4,197 ) 2,192 Other items 9,494 — 55,766 54,283 Valuation allowance (54,707 ) (52,570 ) Net deferred tax assets 1,059 1,713 December 31, December 31, Deferred income tax assets included in other assets 2,826 1,775 Deferred income tax liabilities included in other long-term liabilities (1,767 ) (62 ) Net deferred tax assets 1,059 1,713 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions [Abstract] | |
Schedule of Related Party Transactions | The following table and related footnotes provide information about certain of the Partnership's related party transactions for the periods indicated: Year Ended Year Ended Year Ended Voyage revenues (i)(iii)(v) 49,257 19,612 36,358 Vessel operating expenses (ii)(v) (6,629 ) (17,852 ) (23,564 ) Time-charter hire expense (iii) (19,994 ) (7,670 ) — General and administrative expenses (iv) (15,393 ) (15,395 ) (9,434 ) Restructuring charges (vi) (400 ) — — (i) Commencing in 2008, the Arctic Spirit and Polar Spirit LNG carriers were time-chartered to Teekay Corporation at fixed-rates for periods of 10 years . The contract periods for the Polar Spirit and for the Arctic Spirit expired in March 2018 and April 2018, respectively. (ii) The Partnership and certain of its operating subsidiaries have entered into service agreements with certain subsidiaries of Teekay Corporation pursuant to which the Teekay Corporation subsidiaries provide to the Partnership and its subsidiaries crew training and technical management services. In addition, as part of the Partnership's acquisition of its ownership interest in the Pan Union Joint Venture in 2014, the Partnership entered into an agreement with a subsidiary of Teekay Corporation whereby Teekay Corporation's subsidiary provided, on behalf of the Partnership, shipbuilding supervision and crew training services for four LNG carrier newbuildings in the Pan Union Joint Venture, up to their delivery dates from 2017 to 2019. All costs incurred by these Teekay Corporation subsidiaries related to these services are charged to the Partnership and recorded as part of vessel operating expenses. (iii) Commencing in September 2018, the Partnership entered into an agreement with the MALT Joint Venture to charter in one of the MALT Joint Venture's LNG carriers, the Magellan Spirit (see Note 5b). The time-charter hire expense charged for the years ended December 31, 2019 and 2018 were $20.0 million and $7.7 million , respectively. In addition, commencing in May 2019, the Partnership entered into an agreement with a subsidiary of Teekay Corporation, pursuant to which the Partnership chartered out the Magellan Spirit to such subsidiary until October 31, 2019. (iv) Includes administrative, advisory, business development, commercial and strategic consulting services charged by Teekay Corporation and reimbursements to Teekay Corporation and the Partnership's general partner for costs incurred on the Partnership's behalf for the conduct of the Partnership's business. (v) The Partnership has an operation and maintenance contract with the Bahrain LNG Joint Venture and had an operating and maintenance subcontract with Teekay Marine Solutions (Bermuda) Ltd. (or TMS ), an entity wholly-owned by Teekay Tankers Ltd., which is controlled by Teekay Corporation, relating to the LNG regasification terminal in Bahrain. The contract with TMS was terminated in August 2019 and such services are currently provided by the Partnership. The subcontractor fees from TMS of $ 2.0 million during 2019 ( $1.6 million during 2018 and $ nil during 2017) are included in vessel operating expenses in the Partnership's consolidated statements of income. Cost recoveries from the Bahrain LNG Joint Venture of $6.5 million during 2019 ( $1.6 million during 2018 and $ nil during 2017) are included in voyage revenues in the Partnership's consolidated statements of income. In addition, commencing in September 2018, the Partnership's floating storage unit (or FSU ), the Bahrain Spirit , commenced its 21-year charter contract with Bahrain LNG Joint Venture. (vi) The Partnership incurred restructuring charges of $0.4 million from subsidiaries of Teekay Corporation attributable to employees supporting the Partnership during the year ended December 31, 2019 (see Note 18b). |
Derivative Instruments and He_2
Derivative Instruments and Hedging Activities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Summary of Cross Currency Swap Agreements | The Partnership economically hedges portions of its forecasted expenditures denominated in foreign currencies with foreign currency forward contracts. As at December 31, 2019 , the Partnership was committed to the following foreign currency forward contracts: Contract Amount in Foreign Currency Average Contract Rate (1) Fair Value / Carrying Amount of Asset (Liability) $ Expected Maturity 2020 $ Euro 5,820 0.86 (202 ) 6,750 (1) Average contractual exchange rate represents the contracted amount of foreign currency one U.S. Dollar will buy. The Partnership entered into cross currency swaps concurrently with the issuance of its NOK-denominated senior unsecured bonds (see Note 10), and pursuant to these swaps, the Partnership receives the principal amount in NOK on maturity dates of the swaps in exchange for payments of a fixed U.S. Dollar amount. In addition, the cross currency swaps exchange a receipt of floating interest in NOK based on NIBOR plus a margin for a payment of U.S. Dollar fixed interest. The purpose of the cross currency swaps is to economically hedge the foreign currency exposure on the payment of interest and principal of the Partnership’s NOK-denominated bonds due in 2020, 2021 and 2023, and to economically hedge the interest rate exposure. The following table reflects information relating to the cross currency swaps as at December 31, 2019 . Floating Rate Receivable Principal Principal Reference Margin Fixed Rate Fair Value / Weighted- 1,000,000 134,000 NIBOR 3.70 % 5.92 % (20,665 ) 0.4 1,200,000 146,500 NIBOR 6.00 % 7.72 % (10,532 ) 1.8 850,000 102,000 NIBOR 4.60 % 7.89 % (10,907 ) 3.7 (42,104 ) |
Interest Rate Swap Agreements | As at December 31, 2019 , the Partnership was committed to the following interest rate swap agreements: Interest Principal Fair Value / Weighted- Fixed Interest Rate (i) LIBOR-Based Debt: U.S. Dollar-denominated interest rate swaps (ii) LIBOR 118,750 (18,458 ) 9.0 5.2 % U.S. Dollar-denominated interest rate swaps (ii) LIBOR 21,423 (237 ) 1.6 2.8 % U.S. Dollar-denominated interest rate swaps (iii)(iv) LIBOR 116,018 2,210 4.7 1.4 % U.S. Dollar-denominated interest rate swaps (iii)(iv) LIBOR 317,194 (19,268 ) 1.0 3.4 % U.S. Dollar-denominated interest rate swaps (iv) LIBOR 172,440 (4,324 ) 7.0 2.3 % EURIBOR-Based Debt: Euro-denominated interest rate swaps EURIBOR 75,089 (8,160 ) 3.7 3.8 % (48,237 ) (i) Excludes the margins the Partnership pays on its floating-rate term loans, which, at December 31, 2019 , ranged from 0.30% to 3.25% . (ii) Principal amount reduces semi-annually. (iii) These interest rate swaps are subject to mandatory early termination in 2020, 2021, and 2024 whereby the swaps will be settled based on their fair value at that time. (iv) Principal amount reduces quarterly. |
Location and Fair Value Amounts of Derivative Instruments | The following table presents the location and fair value amounts of derivative instruments, segregated by type of contract, on the Partnership’s consolidated balance sheets. Accounts receivable/Advances to affiliates $ Current portion of derivative assets Derivative assets Accrued liabilities Current portion of derivative liabilities Derivative liabilities As at December 31, 2019 Derivatives designated as a cash flow hedge: Interest rate swap agreements — — — (12 ) (837 ) (3,475 ) Derivatives not designated as a cash flow hedge: Interest rate swap agreements 21 355 1,834 (2,821 ) (14,758 ) (28,544 ) Foreign currency forward contracts — — — — (202 ) — Cross currency swap agreements — — — (456 ) (22,661 ) (18,987 ) 21 355 1,834 (3,289 ) — (38,458 ) — (51,006 ) As at December 31, 2018 Derivatives designated as a cash flow hedge: Interest rate swap agreements 21 784 2,362 — — — Derivatives not designated as a cash flow hedge: Interest rate swap agreements 167 11 — (2,729 ) (6,875 ) (31,358 ) Cross currency swap agreements — — — (713 ) (4,729 ) (23,680 ) Toledo Spirit time-charter derivative 1,021 40 — — — — 1,209 835 2,362 (3,442 ) (11,604 ) — (55,038 ) |
Gain (Loss) for Derivative Instruments Not Designated or Qualifying as Hedging Instruments | The effect of the (loss) gain on these derivatives on the Partnership’s consolidated statements of income is as follows: Year Ended December 31, 2019 $ 2018 $ 2017 $ Realized gains (losses) Unrealized gains (losses) Total Realized gains (losses) Unrealized gains (losses) Total Realized gains (losses) Unrealized gains (losses) Total Interest rate swap agreements (10,081) (2,891) (12,972) (14,654) 31,061 16,407 (18,825) 12,393 (6,432) Interest rate swap and swaption agreements termination — — — (13,681) — (13,681) (610) — (610) Interest rate swaption agreements — — — — 2 2 — 945 945 Foreign currency forward contracts (147) (202) (349) — — — — — — Toledo Spirit time-charter derivative — (40) (40) 1,480 (930) 550 678 110 788 (10,228) (3,133) (13,361) (26,855) 30,133 3,278 (18,757) 13,448 (5,309) Year Ended December 31, 2019 $ 2018 $ 2017 $ Realized Unrealized Total Realized Unrealized Total Realized Unrealized Total Cross currency swap agreements (5,061) (13,239) (18,300) (6,533) 21,240 14,707 (9,344) 49,047 39,703 Cross currency swap agreements termination — — — (42,271) — (42,271) (25,733) — (25,733) (5,061) (13,239) (18,300) (48,804) 21,240 (27,564) (35,077) 49,047 13,970 |
Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) | The following table excludes any interest rate swap agreements designated and qualifying as cash flow hedges in the Partnership’s equity-accounted joint ventures. Year Ended December 31, 2019 Amount of Loss Recognized in OCI (i) $ Amount of Gain Reclassified from Accumulated OCI to Interest Expense (i) $ (7,458) 376 Year Ended December 31, 2018 Amount of Gain Recognized in OCI (effective portion) $ Amount of Loss Reclassified from Accumulated OCI to Interest Expense (effective portion) $ Amount of Gain Recognized in Interest Expense (ineffective portion) $ 2,128 (152) 740 Year Ended December 31, 2017 Amount of Gain Recognized in OCI (effective portion) $ Amount of Loss Reclassified from Accumulated OCI to Interest Expense (effective portion) $ Amount of Loss Recognized in Interest Expense (ineffective portion) $ 429 (427) (740) (i) |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Partnership’s Share of Commitments to Fund Newbuilding and Other Construction Contract Costs | The Partnership’s share of commitments to fund newbuilding and other construction contract costs as at December 31, 2019 is as follows: Total 2020 2021 2022 Certain consolidated LNG carriers (i) 49,652 11,979 22,382 15,291 Bahrain LNG Joint Venture (ii) 11,351 11,351 — — 61,003 23,330 22,382 15,291 (i) In June 2019, the Partnership entered into an agreement with a contractor to supply equipment on certain of the Partnership's LNG carriers in 2021 and 2022, for an estimated installed cost of $60.6 million . As at December 31, 2019 , the estimated remaining cost of this installation is $49.7 million . (ii) The Partnership has a 30% ownership interest in the Bahrain LNG Joint Venture which has an LNG receiving and regasification terminal in Bahrain as described in Note 7a(i). The Bahrain LNG Joint Venture has secured undrawn debt financing of $34 million , of which $10 million relates to the Partnership's proportionate share of the commitments included in the table above. |
Schedule of Future Minimum Rental Payments to be Received | As at December 31, 2019 , the total estimated future minimum rental payments to be received and paid by the Tangguh Joint Venture related to the lease contracts are as follows: Year Head Lease Receipts (i) Sublease Payments (i) (ii) 2020 $ 21,242 $ 23,875 2021 $ 21,242 $ 23,875 2022 $ 21,242 $ 23,875 2023 $ 21,242 $ 23,875 2024 $ 21,242 $ 23,875 Thereafter $ 90,369 $ 101,609 Total $ 196,579 $ 220,984 (i) The Head Leases are fixed-rate operating leases while the Subleases have a variable-rate component. As at December 31, 2019 , the Partnership had received $313.8 million of aggregate Head Lease receipts and had paid $260.6 million of aggregate Sublease payments. The portion of the Head Lease receipts that has not been recognized into earnings is deferred and amortized on a straight-line basis over the lease terms and, as at December 31, 2019 , $3.8 million ( December 31, 2018 – $3.7 million ) and $25.5 million ( December 31, 2018 – $29.3 million ) of Head Lease receipts had been deferred and included in unearned revenue and other long-term liabilities, respectively, in the Partnership’s consolidated balance sheets. (ii) The amount of payments related to the Subleases are updated annually to reflect any changes in the lease payments due to changes in tax law. |
Schedule of Future Minimum Rental Payments | A maturity analysis of the Partnership’s operating lease liabilities from its time-charter-in contract with the MALT Joint Venture as at December 31, 2019 is as follows: Lease Commitment Non-Lease Commitment Total Commitment Year $ $ $ Payments: 2020 14,710 9,080 23,790 2021 14,670 9,055 23,725 2022 6,832 4,218 11,050 Total payments 36,212 22,353 58,565 Less imputed interest (2,055 ) Carrying value of operating lease liabilities 34,157 Less current portion (13,407 ) Carrying value of long-term operating lease liabilities 20,750 As at December 31, 2019 , the total estimated future minimum rental payments to be received and paid by the Tangguh Joint Venture related to the lease contracts are as follows: Year Head Lease Receipts (i) Sublease Payments (i) (ii) 2020 $ 21,242 $ 23,875 2021 $ 21,242 $ 23,875 2022 $ 21,242 $ 23,875 2023 $ 21,242 $ 23,875 2024 $ 21,242 $ 23,875 Thereafter $ 90,369 $ 101,609 Total $ 196,579 $ 220,984 (i) The Head Leases are fixed-rate operating leases while the Subleases have a variable-rate component. As at December 31, 2019 , the Partnership had received $313.8 million of aggregate Head Lease receipts and had paid $260.6 million of aggregate Sublease payments. The portion of the Head Lease receipts that has not been recognized into earnings is deferred and amortized on a straight-line basis over the lease terms and, as at December 31, 2019 , $3.8 million ( December 31, 2018 – $3.7 million ) and $25.5 million ( December 31, 2018 – $29.3 million ) of Head Lease receipts had been deferred and included in unearned revenue and other long-term liabilities, respectively, in the Partnership’s consolidated balance sheets. (ii) The amount of payments related to the Subleases are updated annually to reflect any changes in the lease payments due to changes in tax law. |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of Reconciliation of Cash, Cash Equivalents and Restricted Cash | The following is a tabular reconciliation of the Partnership's cash, cash equivalents and restricted cash balances for the periods presented in the Partnership's consolidated statements of cash flows: December 31, 2019 $ December 31, 2018 $ December 31, 2017 $ December 31, 2016 $ Cash and cash equivalents 160,221 149,014 244,241 126,146 Restricted cash – current 53,689 38,329 22,326 10,145 Restricted cash – long-term 39,381 35,521 72,868 106,882 Total 253,291 222,864 339,435 243,173 |
Changes in Operating Assets and Liabilities | The changes in operating assets and liabilities for years ended December 31, 2019 , 2018 and 2017 are as follows: Year Ended Year Ended Year Ended Accounts receivable 6,184 3,542 1,620 Prepaid expenses and other current assets 3,348 (3,843 ) (2,815 ) Accounts payable 1,264 274 (2,053 ) Accrued liabilities and other long-term liabilities (252 ) 13,958 2,449 Unearned revenue and long-term unearned revenue (197 ) 4,234 (1,456 ) Advances to and from affiliates (6,007 ) 2,183 (913 ) Other operating assets and liabilities (1,122 ) (1,130 ) 772 Total 3,218 19,218 (2,396 ) |
Total Capital and Net Income _2
Total Capital and Net Income Per Common Unit (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Incentive Distributions | The General Partner is entitled to incentive distributions if the amount the Partnership distributes to common unitholders with respect to any quarter exceeds specified target levels shown below: Quarterly Distribution Target Amount (per unit) Unitholders General Partner Minimum quarterly distribution of $0.4125 98 % 2 % Up to $0.4625 98 % 2 % Above $0.4625 up to $0.5375 85 % 15 % Above $0.5375 up to $0.6500 75 % 25 % Above $0.6500 50 % 50 % |
Schedule of Net Income Per Common Unit | Year Ended Year Ended Year Ended Limited partners' interest in net income for basic net income per common unit 124,546 2,615 19,586 Weighted average number of common units 78,177,189 79,672,435 79,617,778 Dilutive effect of unit-based compensation 91,223 169,893 173,263 Common units and common unit equivalents 78,268,412 79,842,328 79,791,041 Limited partner's interest in net income per common unit: Basic 1.59 0.03 0.25 Diluted 1.59 0.03 0.25 |
Issuances of Common Units | The following table summarizes the issuances of common and preferred units over the three years ended December 31, 2019 : Date Units Type of Units Offering Gross Proceeds (i) $ Net Proceeds $ Teekay Corporation’s Ownership After the Offering (ii) Use of Proceeds October 2017 Public Offering (iii) 6,800,000 Preferred $ 25.00 170,000 164,411 33.02 % General partnership purposes, including debt repayments and funding newbuilding installments (i) Including the General Partner’s proportionate capital contribution. (ii) Including Teekay Corporation’s indirect general partner interest relating to common unit offerings. (iii) On October 23, 2017, the Partnership issued Series B Preferred Units having a distribution rate of 8.5% per annum of the stated liquidation preference of $25.00 per unit up to October 15, 2027, at which point the rate moves to a floating rate equal to three-month LIBOR plus a margin of 6.241% . At any time on or after October 15, 2027, the Partnership may redeem the Series B Preferred Units, in whole or in part, at a redemption price of $25.00 per unit plus all accumulated and unpaid distributions thereon to the date of redemption, whether or not declared. |
Accelerated share repurchases | The following table summarizes the common units repurchases during the years ended December 31, 2019 and 2018 : Year ended December 31, Units repurchased Average price paid per unit Total cost (1) $ 2019 1,934,569 $13.03 25,214,331 2018 326,780 $11.35 3,710,280 Total 2,261,349 $12.79 28,924,611 (1) Excludes the repurchase cost of the associated general partner interest |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Vessels and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Accounting Policies [Abstract] | |||
Interest costs capitalized to vessels and equipment | $ 300 | $ 14,800 | $ 13,900 |
Property, Plant and Equipment [Line Items] | |||
General and administrative expense | 22,521 | 28,512 | 18,141 |
Depreciation of vessels and equipment | $ 115,100 | $ 115,500 | $ 96,700 |
Conventional Tankers Segment | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful life in years | 25 years | ||
Liquefied petroleum gas segment | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful life in years | 30 years | ||
Liquefied Natural Gas | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful life in years | 35 years | ||
Minimum | Dry-docking Activity | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful life in years | 2 years 6 months | ||
Maximum | Dry-docking Activity | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful life in years | 5 years |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Changes in Partnership's Capitalized Dry Docking Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Property, Plant and Equipment [Roll Forward] | |||
Beginning balance | $ 3,329,523 | ||
Write-downs and sales of vessels | (23,600) | $ (23,100) | |
Ending balance | 3,061,499 | 3,329,523 | |
Dry-docking Activity | |||
Property, Plant and Equipment [Roll Forward] | |||
Beginning balance | 40,365 | 39,144 | $ 33,538 |
Cost incurred for dry docking | 11,000 | 15,259 | 22,283 |
Write-downs and sales of vessels | 0 | (2,448) | (2,782) |
Dry-dock amortization | (12,601) | (11,590) | (13,895) |
Ending balance | $ 38,764 | $ 40,365 | $ 39,144 |
Accounting Pronouncements (Deta
Accounting Pronouncements (Details) - USD ($) | 12 Months Ended | |||||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jan. 01, 2019 | Jan. 01, 2018 | Dec. 31, 2016 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Net income | $ 164,604,000 | $ 26,875,000 | $ 48,911,000 | |||
Partners' capital | 1,876,975,000 | 1,882,597,000 | 1,931,423,000 | $ 1,777,412,000 | ||
Other current assets | 238,000 | 2,306,000 | ||||
Operating lease right-of-use asset | 34,157,000 | 0 | ||||
Investment in and advances to equity-accounted joint ventures | 1,155,316,000 | 1,037,025,000 | ||||
Change in accounting policy | $ (3,017,000) | $ 2,739,000 | ||||
Receipts from direct financing and sales-type leases | 17,100,000 | |||||
Direct financing and sales type lease payments | 0 | 10,882,000 | $ 13,143,000 | |||
Decreased accumulated other comprehensive (loss) income | 57,312,000 | (2,717,000) | ||||
ASU 2014-09 | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Net income | 1,100,000 | |||||
Accounts receivable | 2,300,000 | |||||
Other current assets | 2,300,000 | |||||
ASU 2016-02 | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Operating lease right-of-use asset | 34,200,000 | 22,800,000 | ||||
Investment in and advances to equity-accounted joint ventures | 100,000 | |||||
Change in accounting policy | 3,000,000 | |||||
Operating lease, liability | 34,200,000 | 22,800,000 | ||||
ASU 2016-02 | Retained Earnings | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Opening equity | $ 100,000 | |||||
ASU 2017-12 | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Decreased accumulated other comprehensive (loss) income | 4,800,000 | |||||
ASU 2017-12 | Retained Earnings | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Opening equity | $ 4,800,000 | |||||
Difference between Revenue Guidance in Effect before and after Topic 606 | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Other assets | 3,500,000 | |||||
Equity-accounted joint ventures | 300,000 | |||||
Change in accounting policy | 2,700,000 | |||||
Calculated under Revenue Guidance in Effect before Topic 606 | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Partners' capital | $ 3,800,000 | |||||
Accounts receivable | Difference between Revenue Guidance in Effect before and after Topic 606 | ASU 2014-09 | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Change in accounting policy | $ 0 |
Fair Value Measurements and F_3
Fair Value Measurements and Financial Instruments - Schedule of Estimated Fair Value of Partnership's Financial Instruments on Recurring Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Fair Value / Carrying Amount of Asset (Liability) $ | $ (202) | |||
Cash and restricted cash – current | 253,291 | $ 222,864 | $ 339,435 | $ 243,173 |
Long-term debt | (1,831,396) | (1,969,776) | ||
Finance lease, liability | 1,410,904 | |||
Capital Lease Obligations | 1,298,556 | |||
Carrying Amount Asset (Liability) | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Advances to equity-accounted joint ventures | 126,546 | 131,386 | ||
Carrying Amount Asset (Liability) | Level 1 | Public | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term debt | (345,824) | (350,813) | ||
Carrying Amount Asset (Liability) | Level 1 | Recurring | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Cash and restricted cash – current | 253,291 | |||
Cash, Cash Equivalents, and Short-term Investments | 222,864 | |||
Carrying Amount Asset (Liability) | Level 2 | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Finance lease, liability | 1,410,904 | |||
Capital Lease Obligations | 1,298,556 | |||
Carrying Amount Asset (Liability) | Level 2 | Non-public | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term debt | (1,485,572) | (1,618,963) | ||
Carrying Amount Asset (Liability) | Level 2 | Recurring | Interest rate swap agreements | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Interest rate swap agreements – assets | 2,210 | 3,341 | ||
Interest rate swap agreements – liabilities | (50,447) | (40,958) | ||
Carrying Amount Asset (Liability) | Level 2 | Recurring | Cross-currency swap agreements | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Fair Value / Carrying Amount of Asset (Liability) $ | (202) | 0 | ||
Cross currency swap agreements – liabilities | (42,104) | (29,122) | ||
Carrying Amount Asset (Liability) | Level 3 | Recurring | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Other derivative | 0 | 1,061 | ||
Fair Value Asset (Liability) | Level 1 | Public | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term debt | (358,005) | (361,095) | ||
Fair Value Asset (Liability) | Level 1 | Recurring | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Cash and restricted cash – current | 253,291 | |||
Cash, Cash Equivalents, and Short-term Investments | 222,864 | |||
Fair Value Asset (Liability) | Level 2 | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Finance lease, liability | 1,434,910 | |||
Capital Lease Obligations | 1,274,693 | |||
Fair Value Asset (Liability) | Level 2 | Non-public | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term debt | (1,474,208) | (1,604,106) | ||
Fair Value Asset (Liability) | Level 2 | Recurring | Interest rate swap agreements | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Interest rate swap agreements – assets | 2,210 | 3,341 | ||
Interest rate swap agreements – liabilities | (50,447) | (40,958) | ||
Fair Value Asset (Liability) | Level 2 | Recurring | Cross-currency swap agreements | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Fair Value / Carrying Amount of Asset (Liability) $ | (202) | 0 | ||
Cross currency swap agreements – liabilities | (42,104) | (29,122) | ||
Fair Value Asset (Liability) | Level 3 | Recurring | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Other derivative | $ 0 | $ 1,061 |
Fair Value Measurements and F_4
Fair Value Measurements and Financial Instruments - Changes in Fair Value of Asset Measured on Recurring Basis Using Significant Unobservable Inputs (Level 3) (Details) - Toledo Spirit time-charter derivative - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||
Fair value at beginning of year | $ 1,061 | $ 1,648 |
Realized and unrealized (losses) gains included in earnings | (40) | 550 |
Settlements | (1,021) | (1,137) |
Fair value at end of year | $ 0 | $ 1,061 |
Fair Value Measurements and F_5
Fair Value Measurements and Financial Instruments - Summary of Partnership's Loan Receivables and Other Financing Receivables (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total net investments in direct financing and sales-type leases | $ 818,809 | |
Loans and Leases Receivable, Net Amount [Abstract] | ||
Total loans receivables and other financing receivables | 953,447 | $ 712,243 |
Performing Financial Instruments | Pass | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total net investments in direct financing and sales-type leases | 818,809 | 575,163 |
Loans and Leases Receivable, Net Amount [Abstract] | ||
Long-term receivable and accrued revenue included in other assets | 8,092 | 5,694 |
Performing Financial Instruments | Internal Investment Grade | ||
Loans and Leases Receivable, Net Amount [Abstract] | ||
Advances to equity-accounted joint ventures | $ 126,546 | $ 131,386 |
Segment Reporting - Additional
Segment Reporting - Additional Information (Details) | Dec. 31, 2019vessel |
Liquefied natural gas segment | |
Segment Reporting Information [Line Items] | |
Number of vessels | 49 |
Liquefied natural gas segment | Corporate Joint Venture | |
Segment Reporting Information [Line Items] | |
Number of vessels | 25 |
Liquefied Petroleum Gas Segment | |
Segment Reporting Information [Line Items] | |
Number of vessels | 30 |
Liquefied Petroleum Gas Segment | Corporate Joint Venture | |
Segment Reporting Information [Line Items] | |
Number of vessels | 23 |
Conventional Tankers Segment | |
Segment Reporting Information [Line Items] | |
Number of vessels | 2 |
Segment Reporting - Revenues an
Segment Reporting - Revenues and Percentage of Consolidated Voyage Revenues from Top Customers (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Revenue, Major Customer [Line Items] | |||
Voyage revenues from major customers | $ 601,256 | $ 510,762 | $ 432,676 |
Customer Concentration Risk | Sales Revenue, Net | Royal Dutch Shell Plc. | |||
Revenue, Major Customer [Line Items] | |||
Voyage revenues from major customers | $ 126,900 | $ 115,400 | $ 53,800 |
Percentage of voyage revenues from major customers (less than) | 21.00% | 23.00% | 12.00% |
Customer Concentration Risk | Sales Revenue, Net | Ras Laffan Liquefied Natural Gas Company Ltd. | |||
Revenue, Major Customer [Line Items] | |||
Voyage revenues from major customers | $ 71,100 | $ 70,600 | $ 70,300 |
Percentage of voyage revenues from major customers (less than) | 12.00% | 14.00% | 16.00% |
Customer Concentration Risk | Sales Revenue, Net | Natural Energy Group S.A | |||
Revenue, Major Customer [Line Items] | |||
Voyage revenues from major customers | $ 65,600 | ||
Percentage of voyage revenues from major customers (less than) | 11.00% | 10.00% | 10.00% |
Customer Concentration Risk | Sales Revenue, Net | Cheniere Marketing International LLP | |||
Revenue, Major Customer [Line Items] | |||
Voyage revenues from major customers | $ 60,600 | $ 60,100 | $ 60,200 |
Percentage of voyage revenues from major customers (less than) | 11.00% | 12.00% | 14.00% |
Customer Concentration Risk | Sales Revenue, Net | The Tangguh Production Sharing Contractors | |||
Revenue, Major Customer [Line Items] | |||
Voyage revenues from major customers | $ 49,700 | ||
Percentage of voyage revenues from major customers (less than) | 10.00% | 10.00% | 11.00% |
Segment Reporting - Segment Rep
Segment Reporting - Segment Reporting Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting Information [Line Items] | |||
Voyage revenues | $ 601,256 | $ 510,762 | $ 432,676 |
Voyage expenses | (21,387) | (28,237) | (8,202) |
Operating Costs and Expenses | 111,585 | 117,658 | 101,539 |
Time-charter hire expense | (19,994) | (7,670) | 0 |
Depreciation and amortization | (136,765) | (124,378) | (105,545) |
General and administrative expenses | (22,521) | (28,512) | (18,141) |
write-down of vessels | 13,564 | (54,653) | (50,600) |
Restructuring charges | (3,315) | (1,845) | 0 |
Income from vessel operations | 299,253 | 147,809 | 148,649 |
Equity income (loss) | 58,819 | 53,546 | 9,789 |
Total assets | 5,409,686 | 5,384,781 | |
Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 601,256 | 510,762 | 432,676 |
Voyage expenses | (21,387) | (28,237) | (8,202) |
Operating Costs and Expenses | 111,585 | 117,658 | 101,539 |
Time-charter hire expense | (19,994) | (7,670) | |
Depreciation and amortization | (136,765) | (124,378) | (105,545) |
General and administrative expenses | (22,521) | (28,512) | (18,141) |
write-down of vessels | 13,564 | (54,653) | (50,600) |
Restructuring charges | (3,315) | (1,845) | |
Income from vessel operations | 299,253 | 147,809 | 148,649 |
Equity income (loss) | 58,819 | 53,546 | 9,789 |
Investment in and advances to equity-accounted joint ventures | 1,155,316 | 1,116,133 | |
Total assets | 5,244,322 | 5,227,538 | |
Expenditures for vessels and equipment | (102,590) | (686,305) | (714,529) |
Expenditures for dry docking | (11,000) | (12,579) | (22,283) |
Liquefied natural gas segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 555,303 | 454,517 | 365,914 |
Voyage expenses | (4,493) | (2,750) | (1,802) |
Operating Costs and Expenses | 90,954 | 82,952 | 80,245 |
Time-charter hire expense | (19,994) | (7,670) | |
Depreciation and amortization | (128,138) | (111,360) | (86,592) |
General and administrative expenses | (20,193) | (23,270) | (13,223) |
write-down of vessels | 14,349 | 0 | 0 |
Restructuring charges | (400) | 0 | |
Income from vessel operations | 305,480 | 226,515 | 184,052 |
Equity income (loss) | 59,600 | 60,228 | 17,652 |
Investment in and advances to equity-accounted joint ventures | 1,003,581 | 962,236 | |
Total assets | 4,924,627 | 4,861,977 | |
Expenditures for vessels and equipment | (101,052) | (684,951) | (701,117) |
Expenditures for dry docking | (8,224) | (7,505) | (20,046) |
Liquefied petroleum gas segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 39,211 | 23,922 | 19,769 |
Voyage expenses | (16,563) | (15,907) | (1,218) |
Operating Costs and Expenses | 17,888 | 20,932 | 3,083 |
Time-charter hire expense | 0 | 0 | |
Depreciation and amortization | (7,931) | (7,748) | (8,433) |
General and administrative expenses | (1,789) | (2,932) | (2,411) |
write-down of vessels | 0 | (33,790) | 0 |
Restructuring charges | 0 | 0 | |
Income from vessel operations | (4,960) | (57,387) | 4,624 |
Equity income (loss) | (781) | (6,682) | (7,863) |
Investment in and advances to equity-accounted joint ventures | 151,735 | 153,897 | |
Total assets | 319,695 | 326,111 | |
Expenditures for vessels and equipment | (1,538) | (1,230) | (13,412) |
Expenditures for dry docking | (2,776) | (5,059) | (107) |
Conventional Tankers Segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 6,742 | 32,323 | 46,993 |
Voyage expenses | (331) | (9,580) | (5,182) |
Operating Costs and Expenses | 2,743 | 13,774 | 18,211 |
Time-charter hire expense | 0 | 0 | |
Depreciation and amortization | (696) | (5,270) | (10,520) |
General and administrative expenses | (539) | (2,310) | (2,507) |
write-down of vessels | (785) | (20,863) | (50,600) |
Restructuring charges | (2,915) | (1,845) | |
Income from vessel operations | (1,267) | (21,319) | (40,027) |
Equity income (loss) | 0 | 0 | 0 |
Investment in and advances to equity-accounted joint ventures | 0 | 0 | |
Total assets | 0 | 39,450 | |
Expenditures for vessels and equipment | 0 | (124) | 0 |
Expenditures for dry docking | $ 0 | $ (15) | $ (2,130) |
Segment Reporting - Reconciliat
Segment Reporting - Reconciliation of Total Segment Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Segment Reporting Information [Line Items] | ||||
Total assets | $ 5,409,686 | $ 5,384,781 | ||
Advances from affiliates | 5,143 | 8,229 | ||
Cash and cash equivalents | 160,221 | 149,014 | $ 244,241 | $ 126,146 |
Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Total assets | 5,244,322 | 5,227,538 | ||
Operating Segments | Liquefied natural gas segment | ||||
Segment Reporting Information [Line Items] | ||||
Total assets | 4,924,627 | 4,861,977 | ||
Operating Segments | Liquefied petroleum gas segment | ||||
Segment Reporting Information [Line Items] | ||||
Total assets | 319,695 | 326,111 | ||
Operating Segments | Conventional Tankers Segment | ||||
Segment Reporting Information [Line Items] | ||||
Total assets | 0 | 39,450 | ||
Unallocated | Cash and cash equivalents | ||||
Segment Reporting Information [Line Items] | ||||
Total assets | 149,014 | |||
Cash and cash equivalents | 160,221 | |||
Unallocated | Advances to affiliates | ||||
Segment Reporting Information [Line Items] | ||||
Total assets | $ 8,229 | |||
Advances from affiliates | $ 5,143 |
Chartered-in Vessels - Capital
Chartered-in Vessels - Capital Lease Obligations (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Capital Leased Assets [Line Items] | ||
Finance lease, liability | $ 1,410,904 | |
Capital lease obligations | $ 1,298,556 | |
Less current portion | 69,982 | |
Less current portion | 81,219 | |
Long-term obligations related to finance leases | 1,340,922 | |
Long-term obligations related to finance leases | 1,217,337 | |
LNG Carriers | ||
Capital Leased Assets [Line Items] | ||
Finance lease, liability | 1,410,904 | |
Capital lease obligations | 1,274,569 | |
Suezmax Tanker | ||
Capital Leased Assets [Line Items] | ||
Finance lease, liability | $ 0 | |
Capital lease obligations | $ 23,987 |
Chartered-in Vessels - Capita_2
Chartered-in Vessels - Capital Lease Obligations - Additional Information (Details) $ in Millions | 1 Months Ended | 12 Months Ended | 36 Months Ended | |||
Sep. 30, 2019 | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($)vessellease | Jan. 31, 2019 | Dec. 31, 2019vessel | Dec. 31, 2019lease | |
Other Nonoperating Income (Expense) | ||||||
Capital Leased Assets [Line Items] | ||||||
Partnership recognized a loss | $ 1.4 | |||||
September2019 Transaction | Torben Spirit | ||||||
Capital Leased Assets [Line Items] | ||||||
Lease terms | P7Y6M | |||||
LNG Carriers | ||||||
Capital Leased Assets [Line Items] | ||||||
Number of lessors | lease | 9 | |||||
Number of vessels | 8 | 9 | 9 | |||
Variable Interest Entity, Primary Beneficiary | ||||||
Capital Leased Assets [Line Items] | ||||||
Number of lessors | lease | 7 | |||||
LNG Carriers | ||||||
Capital Leased Assets [Line Items] | ||||||
Weighted-average interest rate on lease | 5.10% | |||||
Failed sales, number of vessels | 2 | |||||
Number of vessels | lease | 8 | 9 | ||||
Lease liability payment | $ 1,900 | $ 1,700 | ||||
Interest payment on liability (in percentage) | $ 470.9 | 435.3 | ||||
LNG Carriers | Minimum | ||||||
Capital Leased Assets [Line Items] | ||||||
Lease terms | P7Y6M | |||||
LNG Carriers | Maximum | ||||||
Capital Leased Assets [Line Items] | ||||||
Lease terms | P15Y | |||||
Suezmax Tanker | ||||||
Capital Leased Assets [Line Items] | ||||||
Purchase obligations | 24.2 | |||||
Interest included in payments | $ 0.2 |
Chartered-in Vessels - Commitme
Chartered-in Vessels - Commitment Under Capital Leases (Details) $ in Thousands | Dec. 31, 2019USD ($) | Dec. 31, 2019vessel | Dec. 31, 2019lease | Dec. 31, 2018USD ($)vessel |
LNG Carriers | ||||
Capital Leased Assets [Line Items] | ||||
Number of vessels | 9 | 9 | 8 | |
Commitment | ||||
2019 | $ 119,517 | |||
2020 | $ 140,386 | |||
2020 | 118,685 | |||
2021 | 138,601 | |||
2021 | 117,772 | |||
2022 | 136,959 | |||
2022 | 116,978 | |||
2023 | 135,459 | |||
2023 | 116,338 | |||
2024 | 132,011 | |||
2024 | 113,704 | |||
Thereafter | $ 1,198,366 | |||
Thereafter | $ 1,006,966 | |||
Suezmax Tanker | ||||
Capital Leased Assets [Line Items] | ||||
Number of vessels | vessel | 1 |
Chartered-in Vessels - Operatin
Chartered-in Vessels - Operating Leases (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2018 | |
Operating Leased Assets [Line Items] | |||||
Ownership percentage (in percentage) | 100.00% | 100.00% | |||
Time-charter hire expense | $ 19,994 | $ 7,670 | $ 0 | ||
2020 | $ 23,790 | 23,790 | |||
2021 | 23,725 | 23,725 | |||
2022 | 11,050 | 11,050 | |||
Total payments | 58,565 | 58,565 | |||
Less current portion | (13,407) | (13,407) | 0 | ||
Carrying value of long-term operating lease liabilities | $ 20,750 | $ 20,750 | 0 | ||
Charters-in - operating leases, 2019 | 23,700 | ||||
Charters-in - operating leases, 2020 | 17,000 | ||||
Teekay Tangguh Joint Venture | |||||
Operating Leased Assets [Line Items] | |||||
Ownership percentage (in percentage) | 52.00% | 52.00% | |||
Time-charter hire expense | 7,700 | ||||
Time charter in contract | 2 years 6 months | 2 years 6 months | 2 years | ||
Extension of term of contract | 21 months | ||||
Weighted average discount rate | 4.60% | 4.60% | |||
Lease Component | |||||
Operating Leased Assets [Line Items] | |||||
Time-charter hire expense | $ 12,400 | 4,800 | |||
2020 | $ 14,710 | 14,710 | |||
2021 | 14,670 | 14,670 | |||
2022 | 6,832 | 6,832 | |||
Total payments | 36,212 | 36,212 | |||
Less imputed interest | (2,055) | (2,055) | |||
Carrying value of operating lease liabilities | 34,157 | 34,157 | |||
Less current portion | (13,407) | (13,407) | |||
Carrying value of long-term operating lease liabilities | 20,750 | 20,750 | |||
Non Lease Component | |||||
Operating Leased Assets [Line Items] | |||||
Time-charter hire expense | 7,600 | $ 2,900 | |||
2020 | 9,080 | 9,080 | |||
2021 | 9,055 | 9,055 | |||
2022 | 4,218 | 4,218 | |||
Total payments | $ 22,353 | $ 22,353 |
Revenue - Additional Informatio
Revenue - Additional Information (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019USD ($)contract | Dec. 31, 2018USD ($) | Dec. 31, 2013 | |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||
Number of forms of contracts | contract | 3 | ||
Contract with customer, liability, advance payments | $ 24.9 | $ 26.4 | |
Contract with customer, liability, revenue recognized | $ 26.4 | $ 22.2 | |
Minimum | |||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||
Charter contract extension, period (in years) | 3 years | ||
Maximum | |||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||
Charter contract extension, period (in years) | 15 years | ||
Awilco LNG Carriers | |||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||
Extension option | P1Y | ||
Vessel one | Awilco LNG Carriers | |||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||
Length of charter contract (in years) | 5 years | ||
Vessel two | Awilco LNG Carriers | |||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||
Length of charter contract (in years) | 4 years |
Revenue - Disaggregation (Detai
Revenue - Disaggregation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting Information [Line Items] | |||
Voyage revenues | $ 601,256 | $ 510,762 | $ 432,676 |
Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 601,256 | 510,762 | 432,676 |
Liquefied natural gas segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 555,303 | 454,517 | 365,914 |
Liquefied petroleum gas segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 39,211 | 23,922 | 19,769 |
Conventional Tankers Segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 6,742 | 32,323 | 46,993 |
Time charters | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 540,036 | 437,667 | 371,922 |
Time charters | Liquefied natural gas segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 530,434 | 420,262 | 332,751 |
Time charters | Liquefied petroleum gas segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 2,860 | 0 | 0 |
Time charters | Conventional Tankers Segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 6,742 | 17,405 | 39,171 |
Voyage charters | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 36,351 | 38,513 | 8,994 |
Voyage charters | Liquefied natural gas segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 0 | 0 | 0 |
Voyage charters | Liquefied petroleum gas segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 36,351 | 23,922 | 2,285 |
Voyage charters | Conventional Tankers Segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 0 | 14,591 | 6,709 |
Bareboat charters | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 18,387 | 23,820 | 40,058 |
Bareboat charters | Liquefied natural gas segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 18,387 | 23,820 | 22,574 |
Bareboat charters | Liquefied petroleum gas segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 0 | 0 | 17,484 |
Bareboat charters | Conventional Tankers Segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 0 | 0 | 0 |
Management fees and other | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 6,482 | 10,762 | 11,702 |
Management fees and other | Liquefied natural gas segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 6,482 | 10,435 | 10,589 |
Management fees and other | Liquefied petroleum gas segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 0 | 0 | 0 |
Management fees and other | Conventional Tankers Segment | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | $ 0 | $ 327 | $ 1,113 |
Revenue Components of Contracts
Revenue Components of Contracts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting Information [Line Items] | |||
Voyage revenues | $ 601,256 | $ 510,762 | $ 432,676 |
Management fees and other | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 6,482 | 10,762 | 11,702 |
Lease Component | |||
Segment Reporting Information [Line Items] | |||
Lease revenue from lease payments of operating leases | 516,772 | 440,963 | 351,119 |
Interest income on lease receivables | 51,676 | 41,963 | 49,275 |
Variable lease payments – cost reimbursements | 4,635 | 0 | 0 |
Variable lease payments – other | 0 | (1,480) | (648) |
Voyage revenues | 573,083 | 481,446 | 399,746 |
Non Lease Component | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 28,173 | 29,316 | 32,930 |
Non Lease Component | Non-lease revenue | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | 21,691 | 18,554 | 21,228 |
Non Lease Component | Management fees and other | |||
Segment Reporting Information [Line Items] | |||
Voyage revenues | $ 6,482 | $ 10,762 | $ 11,702 |
Revenue - Net Investments in Di
Revenue - Net Investments in Direct Financing Leases (Details) | 12 Months Ended | |||
Dec. 31, 2019USD ($)vessel | Dec. 31, 2013vesselm³ | Oct. 31, 2019vessel | Dec. 31, 2018USD ($) | |
Capital Leased Assets [Line Items] | ||||
Term of charter contract (in years) | 20 years | |||
Partnership recognized a loss | $ 14,300,000 | |||
Total lease payments to be received | 1,115,968,000 | |||
Total lease payments to be received | $ 897,130,000 | |||
Estimated unguaranteed residual value of leased properties | 284,277,000 | |||
Estimated unguaranteed residual value of leased properties | 291,098,000 | |||
Initial direct costs | 296,000 | |||
Initial direct costs | 329,000 | |||
Less unearned revenue | 581,732,000 | |||
Less unearned revenue | 613,394,000 | |||
Total net investments in direct financing and sales-type leases | 818,809,000 | |||
Total net investments in direct financing and sales-type leases | 575,163,000 | |||
Less current portion | 273,986,000 | |||
Less current portion | 12,635,000 | |||
Net investments in direct financing and sales-type leases | 544,823,000 | |||
Net investments in direct financing and sales-type leases | 562,528,000 | |||
2020 | 324,700,000 | |||
2021 | 64,200,000 | |||
2022 | 64,200,000 | |||
2023 | 64,000,000 | |||
2024 | 64,300,000 | |||
Thereafter | $ 534,600,000 | |||
Minimum | ||||
Capital Leased Assets [Line Items] | ||||
Charter contract extension, period (in years) | 3 years | |||
Maximum | ||||
Capital Leased Assets [Line Items] | ||||
Charter contract extension, period (in years) | 15 years | |||
Awilco LNG Carriers | ||||
Capital Leased Assets [Line Items] | ||||
Number of vessels | vessel | 2 | |||
Volume of vessels (in cubic meter) | m³ | 155,900 | |||
Teekay Tangguh Joint Venture | ||||
Capital Leased Assets [Line Items] | ||||
Number of vessels | vessel | 2 | |||
Term of charter contract (in years) | 20 years | |||
Awilco LNG Carriers | ||||
Capital Leased Assets [Line Items] | ||||
Number of vessels | vessel | 2 | |||
Extension to term | 60 days | |||
Awilco LNG Carriers | Minimum | ||||
Capital Leased Assets [Line Items] | ||||
Deferred rent receivables, net (per day) | $ 10,600 | |||
Awilco LNG Carriers | Maximum | ||||
Capital Leased Assets [Line Items] | ||||
Deferred rent receivables, net (per day) | $ 20,600 | |||
Bahrain Spirit | ||||
Capital Leased Assets [Line Items] | ||||
Term of charter contract (in years) | 21 years | |||
Property available for operating lease | ||||
Capital Leased Assets [Line Items] | ||||
2019 | 63,900,000 | |||
2020 | 64,300,000 | |||
2021 | 64,200,000 | |||
2022 | 64,200,000 | |||
2023 | 64,000,000 | |||
Thereafter | $ 576,500,000 | |||
Teekay Tangguh Joint Venture | Teekay LNG | ||||
Capital Leased Assets [Line Items] | ||||
Partnership interest owned (in percentage) | 70.00% |
Revenue - Operating leases (Det
Revenue - Operating leases (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Property Subject to or Available for Operating Lease [Line Items] | ||
Property, plant and equipment, net | $ 3,061,499 | $ 3,329,523 |
Accumulated depreciation | 711,758 | 665,206 |
Property available for operating lease | ||
Property Subject to or Available for Operating Lease [Line Items] | ||
Lessor, operating lease, payments to be received, next twelve months | 514,900 | |
Lessor, operating lease, payments to be received, two years | 475,800 | |
Lessor, operating lease, payments to be received, three years | 371,700 | |
Lessor, operating lease, payments to be received, four years | 307,000 | |
2024 | 250,800 | |
Operating leases, future minimum payments receivable, remainder of fiscal year | 482,700 | |
Operating leases, future minimum payments receivable, in two years | 438,200 | |
Operating leases, future minimum payments receivable, in three years | 398,300 | |
Operating leases, future minimum payments receivable, in four years | 321,900 | |
Operating leases, future minimum payments receivable, in five years | 278,100 | |
Assets leased to others | ||
Property Subject to or Available for Operating Lease [Line Items] | ||
Property, plant and equipment, net | 2,900,000 | 3,100,000 |
Property, plant and equipment, gross | 3,600,000 | 3,800,000 |
Accumulated depreciation | $ 777,900 | $ 698,500 |
Equity-Accounted Joint Ventur_3
Equity-Accounted Joint Ventures - Investments in and Advances to Equity Accounted Investees (Details) $ in Thousands | Dec. 31, 2019USD ($)vesselterminal | Dec. 31, 2018USD ($) | Dec. 31, 2015 |
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 100.00% | ||
Less current portion of advances to equity-accounted joint ventures | $ 0 | $ (79,108) | |
Investment in and advances to equity-accounted joint ventures (note 7) | $ 1,155,316 | 1,037,025 | |
Bahrain LNG Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 30.00% | 30.00% | |
Less current portion of advances to equity-accounted joint ventures | (79,100) | ||
Yamal LNG Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 50.00% | ||
Exmar LPG Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 50.00% | ||
MALT Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 52.00% | ||
Excalibur Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 50.00% | ||
Angola Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 33.00% | ||
Number of vessels | vessel | 4 | ||
RasGas 3 Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 40.00% | ||
Equity Method Investments | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of vessels | vessel | 48 | ||
Equity method investments | $ 1,155,316 | 1,116,133 | |
Less current portion of advances to equity-accounted joint ventures | 0 | (79,108) | |
Investment in and advances to equity-accounted joint ventures (note 7) | $ 1,155,316 | 1,037,025 | |
Equity Method Investments | Bahrain LNG Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 30.00% | ||
Equity method investments | $ 60,462 | 81,353 | |
Equity Method Investments | Yamal LNG Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 50.00% | ||
Number of vessels | vessel | 6 | ||
Equity method investments | $ 264,126 | 205,839 | |
Equity Method Investments | Pan Union Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of vessels | vessel | 4 | ||
Equity method investments | $ 79,568 | 73,545 | |
Equity Method Investments | Exmar LPG Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 50.00% | ||
Number of vessels | vessel | 23 | ||
Equity method investments | $ 151,673 | 153,808 | |
Equity Method Investments | MALT Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 52.00% | ||
Number of vessels | vessel | 6 | ||
Equity method investments | $ 357,411 | 351,529 | |
Equity Method Investments | Excalibur Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 50.00% | ||
Number of vessels | vessel | 1 | ||
Equity method investments | $ 32,691 | 32,402 | |
Equity Method Investments | Angola Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 33.00% | ||
Number of vessels | vessel | 4 | ||
Equity method investments | $ 88,465 | 85,469 | |
Equity Method Investments | RasGas 3 Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 40.00% | ||
Number of vessels | vessel | 4 | ||
Equity method investments | $ 120,920 | $ 132,188 | |
Equity Method Investments | LNG Receiving and Regasification Terminal | Bahrain LNG Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of terminals | terminal | 1 | ||
Equity Method Investments | LNG Terminal | |||
Schedule of Equity Method Investments [Line Items] | |||
Number of terminals | terminal | 1 | ||
Equity Method Investments | Minimum | Pan Union Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 20.00% | ||
Equity Method Investments | Maximum | Pan Union Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 30.00% |
Equity-Accounted Joint Ventur_4
Equity-Accounted Joint Ventures - Bahrain LNG Joint Venture - Additional Information (Details) | 1 Months Ended | 12 Months Ended | ||
Dec. 31, 2015ft³ | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Nov. 14, 2019USD ($) | |
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage (in percentage) | 100.00% | |||
Term of charter contract (in years) | 20 years | |||
Due from joint ventures | $ 0 | $ 79,108,000 | ||
Maximum | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Basis spread on variable rate (as a percent) | 3.25% | |||
Bahrain LNG Joint Venture | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage (in percentage) | 30.00% | 30.00% | ||
Subordinated debt | $ 73,400,000 | $ 71,200,000 | ||
Due from joint ventures | 79,100,000 | |||
Interest rate (in percentage) | 6.00% | |||
Interest accrued on advances | $ 500,000 | $ 0 | ||
Bahrain LNG Joint Venture | LIBOR | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Basis spread on variable rate (as a percent) | 1.25% | |||
Bahrain LNG Joint Venture | Daewoo Shipbuilding & Marine Engineering Co. Ltd. | Modified Vessel | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Term of charter contract (in years) | 21 years | |||
Bahrain LNG Joint Venture | LNG Receiving and Regasification Terminal | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Length of charter contract (in years) | 20 years | |||
Bahrain LNG Joint Venture | LNG Receiving and Regasification Terminal | Maximum | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Capacity of production facility, per day (in cubic feet) | ft³ | 800,000,000 | |||
Bahrain LNG Joint Venture | Nogaholding | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage (in percentage) | 30.00% | |||
Bahrain LNG Joint Venture | GIC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage (in percentage) | 24.00% | |||
Bahrain LNG Joint Venture | Samsung C&T | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage (in percentage) | 16.00% |
Equity-Accounted Joint Ventur_5
Equity-Accounted Joint Ventures - Yamal LNG Joint Venture - Additional Information (Details) $ in Millions | Dec. 31, 2019USD ($)vessel | Dec. 31, 2018USD ($) |
Schedule of Equity Method Investments [Line Items] | ||
Ownership percentage (in percentage) | 100.00% | |
Yamal LNG Joint Venture | ||
Schedule of Equity Method Investments [Line Items] | ||
Ownership percentage (in percentage) | 50.00% | |
Guarantor obligations, maximum exposure, undiscounted | $ 809.2 | |
Carrying value of guarantee liability | $ 2.2 | $ 0.6 |
Yamal LNG Joint Venture | LNG carriers | ||
Schedule of Equity Method Investments [Line Items] | ||
Number of vessels | vessel | 6 | |
Yamal LNG Joint Venture | China LNG | ||
Schedule of Equity Method Investments [Line Items] | ||
Ownership percentage (in percentage) | 50.00% |
Equity-Accounted Joint Ventur_6
Equity-Accounted Joint Ventures - Pan Union Joint Venture - Additional Information (Details) $ in Millions | Dec. 31, 2019USD ($)vessel | Dec. 31, 2018USD ($) |
Schedule of Equity Method Investments [Line Items] | ||
Ownership percentage (in percentage) | 100.00% | |
Pan Union Joint Venture | ||
Schedule of Equity Method Investments [Line Items] | ||
Difference between carrying amount and book value | $ | $ 10.5 | $ 11 |
Pan Union Joint Venture | Shipbuilding supervision and crew training services | LNG Carriers | 30% Ownership | ||
Schedule of Equity Method Investments [Line Items] | ||
Ownership percentage (in percentage) | 30.00% | |
Pan Union Joint Venture | Shipbuilding supervision and crew training services | LNG Carriers | 20% Ownership | ||
Schedule of Equity Method Investments [Line Items] | ||
Ownership percentage (in percentage) | 20.00% | |
Teekay LNG | Pan Union Joint Venture | Shipbuilding supervision and crew training services | LNG Carriers | 30% Ownership | ||
Schedule of Equity Method Investments [Line Items] | ||
Number of vessels | 2 | |
Teekay LNG | Pan Union Joint Venture | Shipbuilding supervision and crew training services | LNG Carriers | 20% Ownership | ||
Schedule of Equity Method Investments [Line Items] | ||
Number of vessels | 2 |
Equity-Accounted Joint Ventur_7
Equity-Accounted Joint Ventures - Exmar LPG Joint Venture - Additional Information (Details) $ in Millions | 12 Months Ended | |
Dec. 31, 2019USD ($)lease | Dec. 31, 2018USD ($) | |
Schedule of Equity Method Investments [Line Items] | ||
Ownership percentage (in percentage) | 100.00% | |
Exmar LPG Joint Venture | ||
Schedule of Equity Method Investments [Line Items] | ||
Ownership percentage (in percentage) | 50.00% | |
Number of capital leases | lease | 4 | |
Principal amount outstanding on secured loan facilities and finance leases | $ 246.7 | |
Carrying value of guarantee liability | 0.9 | $ 1.3 |
Investment in and advances to equity-accounted joint ventures (note 7) | 52.3 | 52.3 |
Interest accrued on advances | 0.3 | 0 |
Difference between carrying amount and book value | $ 23.6 | $ 24.9 |
Exmar LPG Joint Venture | LIBOR | ||
Schedule of Equity Method Investments [Line Items] | ||
Basis spread on variable rate (as a percent) | 0.50% | |
Exmar LPG Joint Venture | Exmar NV | ||
Schedule of Equity Method Investments [Line Items] | ||
Ownership percentage (in percentage) | 50.00% |
Equity-Accounted Joint Ventur_8
Equity-Accounted Joint Ventures - MALT Joint Venture - Additional Information (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule of Equity Method Investments [Line Items] | ||
Ownership percentage (in percentage) | 100.00% | |
MALT Joint Venture | ||
Schedule of Equity Method Investments [Line Items] | ||
Ownership percentage (in percentage) | 52.00% | |
Principal amount outstanding on secured loan facilities and finance leases | $ 147 | |
Carrying value of guarantee liability | $ 0.3 | $ 0.4 |
Equity-Accounted Joint Ventur_9
Equity-Accounted Joint Ventures - Excalibur and Excelsior Joint Ventures - Additional Information (Details) - USD ($) $ in Thousands | Jan. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 100.00% | |||
Proceeds from sale of equity-accounted joint venture | $ 0 | $ 54,438 | $ 0 | |
Excelsior Joint Venture | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Proceeds from sale of equity-accounted joint venture | $ 54,000 | |||
Gain on sale of joint venture | $ 5,600 | |||
Excalibur Joint Venture | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 50.00% | |||
Guarantor obligations, maximum exposure, undiscounted | $ 21,800 | |||
Carrying value of guarantee liability | 100 | |||
Difference between carrying amount and book value | $ 12,500 | $ 13,000 | ||
Exmar NV | Excelsior Joint Venture | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 50.00% | |||
Exmar NV | Excalibur Joint Venture | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 50.00% |
Equity-Accounted Joint Ventu_10
Equity-Accounted Joint Ventures - Angola Joint Venture - Additional Information (Details) $ in Millions | 12 Months Ended | |
Dec. 31, 2019USD ($)vesselm³ | Dec. 31, 2018USD ($) | |
Schedule of Equity Method Investments [Line Items] | ||
Percentage of ownership in joint venture | 100.00% | |
Angola Joint Venture | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage of ownership in joint venture | 33.00% | |
Principal amount outstanding on secured loan facilities and finance leases | $ 213.8 | |
Number of vessels | vessel | 4 | |
Volume of vessels (in cubic meter) | m³ | 160,400 | |
Carrying value of guarantee liability | $ 0.5 | $ 0.6 |
Angola Joint Venture | NYK Energy Transport | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage of ownership in joint venture | 33.00% | |
Angola Joint Venture | Mitsui & Co. Ltd | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage of ownership in joint venture | 34.00% |
Equity-Accounted Joint Ventu_11
Equity-Accounted Joint Ventures - RasGas 3 Joint Venture - Additional Information (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2015 |
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 100.00% | ||
Bahrain LNG Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 30.00% | 30.00% | |
Yamal LNG Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 50.00% | ||
Angola Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 33.00% | ||
RasGas 3 Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 40.00% | ||
RasGas 3 Joint Venture | Qatar Gas Transport Company Ltd | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 60.00% | ||
Equity Method Investments | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments | $ 1,155,316 | $ 1,116,133 | |
Equity Method Investments | Bahrain LNG Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 30.00% | ||
Equity method investments | $ 60,462 | 81,353 | |
Equity Method Investments | Yamal LNG Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 50.00% | ||
Equity method investments | $ 264,126 | 205,839 | |
Equity Method Investments | Angola Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 33.00% | ||
Equity method investments | $ 88,465 | 85,469 | |
Equity Method Investments | RasGas 3 Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 40.00% | ||
Equity method investments | $ 120,920 | $ 132,188 |
Equity-Accounted Joint Ventu_12
Equity-Accounted Joint Ventures - Other - Additional Information (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2015 |
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 100.00% | ||
Equity Method Investments | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments | $ 1,155,316 | $ 1,116,133 | |
RasGas 3 Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 40.00% | ||
RasGas 3 Joint Venture | Equity Method Investments | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments | $ 120,920 | 132,188 | |
Ownership percentage (in percentage) | 40.00% | ||
Angola LNG Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 33.00% | ||
Angola LNG Joint Venture | Equity Method Investments | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments | $ 88,465 | 85,469 | |
Ownership percentage (in percentage) | 33.00% | ||
Yamal LNG Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 50.00% | ||
Yamal LNG Joint Venture | Equity Method Investments | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments | $ 264,126 | 205,839 | |
Ownership percentage (in percentage) | 50.00% | ||
Bahrain LNG Joint Venture | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage (in percentage) | 30.00% | 30.00% | |
Bahrain LNG Joint Venture | Equity Method Investments | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity method investments | $ 60,462 | $ 81,353 | |
Ownership percentage (in percentage) | 30.00% |
Equity-Accounted Joint Ventu_13
Equity-Accounted Joint Ventures - Financial Information of Joint Ventures (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage (in percentage) | 100.00% | |||
Cash and restricted cash – current | $ 253,291 | $ 222,864 | $ 339,435 | $ 243,173 |
Other assets – current | 238 | 2,306 | ||
Vessels and equipment, including vessels related to finance leases, right-of-use assets and advances on newbuilding contracts | 3,061,499 | 3,329,523 | ||
Net investments in direct financing and sales-type leases – non-current | 544,823 | |||
Other assets – non-current | 14,738 | 11,432 | ||
Other liabilities – non-current | 49,182 | 43,788 | ||
Voyage revenues | 601,256 | 510,762 | 432,676 | |
Income from vessel operations | 299,253 | 147,809 | 148,649 | |
Realized and unrealized (loss) gain on non-designated derivative instruments | (13,361) | 3,278 | (5,309) | |
Net income | 164,604 | 26,875 | 48,911 | |
Equity Method Investments | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Cash and restricted cash – current | 375,800 | 333,566 | ||
Other assets – current | 146,637 | 152,506 | ||
Vessels and equipment, including vessels related to finance leases, right-of-use assets and advances on newbuilding contracts | 3,045,393 | 3,579,026 | ||
Net investments in direct financing and sales-type leases – non-current | 4,469,861 | 3,000,927 | ||
Other assets – non-current | 169,925 | 90,455 | ||
Current portion of long-term debt, obligations related to finance leases, operating lease liabilities and advances from joint venture partners | 557,685 | 547,098 | ||
Other liabilities – current | 188,665 | 139,194 | ||
Long-term debt, obligations related to finance leases, operating lease liabilities and advances from joint venture partners | 5,130,656 | 4,307,278 | ||
Other liabilities – non-current | 224,903 | 126,905 | ||
Voyage revenues | 766,618 | 612,471 | 477,495 | |
Income from vessel operations | 400,326 | 289,477 | 178,763 | |
Realized and unrealized (loss) gain on non-designated derivative instruments | (40,915) | 8,825 | (2,067) | |
Net income | $ 130,314 | $ 142,252 | $ 54,418 |
Intangible Assets and Goodwil_2
Intangible Assets and Goodwill - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Weighted-average amortization period of intangible assets consisted of time-charter contracts | 20 years 8 months 12 days | 20 years 8 months 12 days | |
Amortization of intangible assets | $ 8,900,000 | $ 8,900,000 | $ 8,900,000 |
Amortization expense of intangible assets, 2020 | 8,900,000 | ||
Amortization expense of intangible assets, 2021 | 8,900,000 | ||
Amortization expense of intangible assets, 2022 | 8,400,000 | ||
Amortization expense of intangible assets, 2023 | 6,200,000 | ||
Amortization expense of intangible assets, 2024 | 4,500,000 | ||
Goodwill impairment | $ 0 | $ 800,000 | $ 0 |
Intangible Assets and Goodwil_3
Intangible Assets and Goodwill - Carrying Amount of Intangible Assets for Partnership's Reportable Segments (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Finite-Lived Intangible Assets [Line Items] | ||
Net carrying amount | $ 43,366 | $ 52,222 |
Liquefied natural gas segment | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross carrying amount | 179,813 | 179,813 |
Accumulated amortization | (136,447) | (127,591) |
Net carrying amount | $ 43,366 | $ 52,222 |
Intangible Assets and Goodwil_4
Intangible Assets and Goodwill - Schedule of Goodwill (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Goodwill [Line Items] | ||
Goodwill | $ 34,841 | $ 34,841 |
Operating Segments | ||
Goodwill [Line Items] | ||
Goodwill | 34,841 | 34,841 |
Operating Segments | Liquefied natural gas segment | ||
Goodwill [Line Items] | ||
Goodwill | 31,921 | 31,921 |
Operating Segments | Liquefied petroleum gas segment | ||
Goodwill [Line Items] | ||
Goodwill | $ 2,920 | $ 2,920 |
Accrued Liabilities (Details)
Accrued Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Payables and Accruals [Abstract] | ||
Interest including interest rate swaps | $ 23,787 | $ 23,083 |
Voyage and vessel expenses | 36,880 | 34,889 |
Payroll and benefits | 6,215 | 5,950 |
Other general expenses | 775 | 2,542 |
Income and other tax payable | 2,670 | 1,864 |
Distributions payable on preferred units | 6,425 | 6,425 |
Total | $ 76,752 | $ 74,753 |
Long-Term Debt - Components of
Long-Term Debt - Components of Long-Term Debt (Details) $ in Thousands, € in Millions | Dec. 31, 2019USD ($) | Dec. 31, 2019EUR (€) | Dec. 31, 2018USD ($) | Dec. 31, 2018EUR (€) |
Debt Instrument [Line Items] | ||||
Total principal | $ 1,842,546 | $ 1,987,558 | ||
Unamortized discount and debt issuance costs | (11,150) | (17,782) | ||
Total debt | 1,831,396 | 1,969,776 | ||
Less current portion | (393,065) | (135,901) | ||
Long-term debt | 1,438,331 | 1,833,875 | ||
U.S. Dollar-denominated Revolving Credit Facilities due from 2020 to 2022 | ||||
Debt Instrument [Line Items] | ||||
Total principal | 212,000 | 225,000 | ||
U.S. Dollar-denominated Term Loans and Bonds due from 2020 to 2030 | ||||
Debt Instrument [Line Items] | ||||
Total principal | 1,114,707 | 1,212,504 | ||
Norwegian Kroner-denominated Bonds due from 2020 to 2023 | ||||
Debt Instrument [Line Items] | ||||
Total principal | 347,163 | 352,973 | ||
Euro-denominated Term Loans due from 2023 to 2024 | ||||
Debt Instrument [Line Items] | ||||
Total principal | 165,376 | € 147.5 | 193,800 | € 169 |
Other U.S. Dollar-denominated Loans | ||||
Debt Instrument [Line Items] | ||||
Total principal | $ 3,300 | $ 3,300 |
Long-Term Debt - Revolving Cred
Long-Term Debt - Revolving Credit Facilities - Additional Information (Details) | 12 Months Ended | |
Dec. 31, 2019USD ($)credit_facilitySubsidiaries | Dec. 31, 2018USD ($) | |
Debt Instrument [Line Items] | ||
Reduction in 2020 | $ 393,800,000 | |
Reduction in 2021 | 412,000,000 | |
Reduction in 2022 | $ 298,500,000 | |
Minimum | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate (as a percent) | 0.30% | |
Maximum | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate (as a percent) | 3.25% | |
Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
Borrowings provided under revolving credit facilities | $ 225,000,000 | |
Reduction in 2020 | 23,400,000 | |
Reduction in 2021 | 24,400,000 | |
Reduction in 2022 | $ 330,400,000 | |
Line of Credit | Revolving Credit Facility | LIBOR | Minimum | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate (as a percent) | 1.40% | |
Line of Credit | Revolving Credit Facility | LIBOR | Maximum | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate (as a percent) | 2.25% | |
Unsecured Debt | ||
Debt Instrument [Line Items] | ||
Number of credit facilities | credit_facility | 1 | |
Collateralized Mortgage Backed Securities | ||
Debt Instrument [Line Items] | ||
Number of vessels | credit_facility | 2 | |
Number of subsidiaries | Subsidiaries | 2 | |
Line of Credit | Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
Number of credit facilities | credit_facility | 2 | |
Borrowings provided under revolving credit facilities | $ 378,200,000 | $ 400,600,000 |
Undrawn amount of revolving credit facilities | $ 166,200,000 | $ 175,600,000 |
Long-Term Debt - U.S. Dollar-de
Long-Term Debt - U.S. Dollar-denominated Term Loans - Additional Information (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019USD ($)vesselterm_loan | Dec. 31, 2018USD ($) | |
Debt Instrument [Line Items] | ||
Number of term loans | term_loan | 7 | |
Aggregate principal amount | $ 1,842,546 | $ 1,987,558 |
Minimum | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate (as a percent) | 0.30% | |
Maximum | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate (as a percent) | 3.25% | |
Long-term Debt | ||
Debt Instrument [Line Items] | ||
Aggregate principal amount | $ 1,114,707 | $ 1,212,504 |
Number of vessels | vessel | 18 | |
Long-term Debt | Minimum | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 4.11% | |
Long-term Debt | Maximum | ||
Debt Instrument [Line Items] | ||
Fixed interest rate | 4.41% | |
Long-term Debt | LIBOR | Minimum | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate (as a percent) | 0.30% | |
Long-term Debt | LIBOR | Maximum | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate (as a percent) | 3.25% | |
Teekay Nakilat Joint Venture | Teekay LNG | ||
Debt Instrument [Line Items] | ||
Partnership interest owned (in percentage) | 70.00% |
Long-Term Debt - NOK Senior Uns
Long-Term Debt - NOK Senior Unsecured Bonds - Additional Information (Details) $ in Thousands, kr in Billions | 12 Months Ended | ||
Dec. 31, 2019USD ($) | Dec. 31, 2019NOK (kr) | Dec. 31, 2018USD ($) | |
Debt Instrument [Line Items] | |||
Carrying amount of bonds | $ 1,842,546 | $ 1,987,558 | |
Minimum | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate (as a percent) | 0.30% | ||
Maximum | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate (as a percent) | 3.25% | ||
Unsecured Debt | |||
Debt Instrument [Line Items] | |||
Senior unsecured bonds issued | kr | kr 3.1 | ||
Carrying amount of bonds | $ 347,163 | $ 352,973 | |
Unsecured Debt | Foreign Exchange Contract | |||
Debt Instrument [Line Items] | |||
Principal Amount $ | $ 382,500 | ||
Unsecured Debt | Minimum | Foreign Exchange Contract | |||
Debt Instrument [Line Items] | |||
Fixed interest rate | 5.92% | 5.92% | |
Unsecured Debt | Maximum | Foreign Exchange Contract | |||
Debt Instrument [Line Items] | |||
Fixed interest rate | 7.89% | 7.89% | |
Unsecured Debt | NIBOR | Minimum | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate (as a percent) | 3.70% | ||
Unsecured Debt | NIBOR | Maximum | |||
Debt Instrument [Line Items] | |||
Basis spread on variable rate (as a percent) | 6.00% |
Long-Term Debt - Euro-denominat
Long-Term Debt - Euro-denominated term loans- Additional Information (Details) $ in Thousands, € in Millions | 12 Months Ended | ||||
Dec. 31, 2019USD ($)vesselsubsidiarycredit_facilityterm_loan | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2019EUR (€)vesselsubsidiarycredit_facilityterm_loan | Dec. 31, 2018EUR (€) | |
Debt Instrument [Line Items] | |||||
Number of term loans | term_loan | 7 | 7 | |||
Aggregate principal amount | $ 1,842,546 | $ 1,987,558 | |||
Foreign currency exchange (loss) gain (notes 10 and 13) | $ (9,640) | 1,371 | $ (26,933) | ||
Minimum | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate (as a percent) | 0.30% | ||||
Maximum | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate (as a percent) | 3.25% | ||||
Euro-denominated Term Loans | |||||
Debt Instrument [Line Items] | |||||
Number of term loans | credit_facility | 2 | 2 | |||
Aggregate principal amount | $ 165,376 | $ 193,800 | € 147.5 | € 169 | |
Number of vessels | vessel | 2 | 2 | |||
Number of subsidiaries | subsidiary | 1 | 1 | |||
Euro-denominated Term Loans | EURIBOR | Minimum | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate (as a percent) | 0.60% | ||||
Euro-denominated Term Loans | EURIBOR | Maximum | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate (as a percent) | 1.95% |
Long-Term Debt - Other - Additi
Long-Term Debt - Other - Additional Information (Details) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2019USD ($)credit_facilityterm_loan | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Mar. 31, 2020USD ($) | Mar. 24, 2020USD ($) | |
Debt Instrument [Line Items] | |||||
Long-term debt | $ 1,438,331 | $ 1,833,875 | |||
Aggregate principal amount | $ 1,842,546 | $ 1,987,558 | |||
Weighted-average interest rate for the Partnership's long-term debt outstanding | 4.12% | 4.44% | |||
Foreign exchange (losses) gains | $ (9,640) | $ 1,371 | $ (26,933) | ||
Aggregate annual long-term debt principal repayments, 2020 | 393,800 | ||||
Aggregate annual long-term debt principal repayments, 2021 | 412,000 | ||||
Aggregate annual long-term debt principal repayments, 2022 | 298,500 | ||||
Aggregate annual long-term debt principal repayments, 2023 | 210,300 | ||||
Aggregate annual long-term debt principal repayments, 2024 | 102,100 | ||||
Aggregate annual long-term debt principal repayments, thereafter | $ 425,800 | ||||
Number of term loans | term_loan | 7 | ||||
Long-term debt | $ 1,831,396 | 1,969,776 | |||
Minimum | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate (as a percent) | 0.30% | ||||
Maximum | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate (as a percent) | 3.25% | ||||
Other U.S. Dollar-denominated Loans | |||||
Debt Instrument [Line Items] | |||||
Aggregate principal amount | $ 3,300 | 3,300 | |||
Long-term Debt | |||||
Debt Instrument [Line Items] | |||||
Aggregate principal amount | $ 1,114,707 | $ 1,212,504 | |||
Long-term Debt | LIBOR | Minimum | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate (as a percent) | 0.30% | ||||
Long-term Debt | LIBOR | Maximum | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate (as a percent) | 3.25% | ||||
Require minimum vessel value to outstanding loan principal balance ratios | |||||
Debt Instrument [Line Items] | |||||
Number of term loans | credit_facility | 3 | ||||
Long-term debt | $ 400,800 | ||||
Teekay Nakilat Joint Venture Loan | LIBOR | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate (as a percent) | 1.00% | ||||
Revolving Credit Facility | |||||
Debt Instrument [Line Items] | |||||
Borrowings provided under revolving credit facilities | $ 225,000 | ||||
Long-term debt | 207,000 | ||||
Aggregate annual long-term debt principal repayments, 2020 | 23,400 | ||||
Aggregate annual long-term debt principal repayments, 2021 | 24,400 | ||||
Aggregate annual long-term debt principal repayments, 2022 | $ 330,400 | ||||
Subsequent Event | Revolving Credit Facility | |||||
Debt Instrument [Line Items] | |||||
Borrowings provided under revolving credit facilities | $ 225,000 | $ 225,000 | |||
Long Term Debt1 | Require minimum vessel value to outstanding loan principal balance ratios | |||||
Debt Instrument [Line Items] | |||||
Percentage of vessel value to outstanding loan principal balance | 115.00% | ||||
Long Term Debt2 | Require minimum vessel value to outstanding loan principal balance ratios | |||||
Debt Instrument [Line Items] | |||||
Percentage of vessel value to outstanding loan principal balance | 120.00% | ||||
Long Term Debt3 | Require minimum vessel value to outstanding loan principal balance ratios | |||||
Debt Instrument [Line Items] | |||||
Percentage of vessel value to outstanding loan principal balance | 135.00% | ||||
Transportation equipment | Long Term Debt1 | |||||
Debt Instrument [Line Items] | |||||
Percentage of vessel value to outstanding loan principal balance | 210.00% | ||||
Transportation equipment | Long Term Debt2 | |||||
Debt Instrument [Line Items] | |||||
Percentage of vessel value to outstanding loan principal balance | 138.00% | ||||
Transportation equipment | Long Term Debt3 | |||||
Debt Instrument [Line Items] | |||||
Percentage of vessel value to outstanding loan principal balance | 194.00% | ||||
Teekay Nakilat Joint Venture | RasGas II joint venture | |||||
Debt Instrument [Line Items] | |||||
Noncontrolling ownership percentage | 30.00% |
Income Tax - Components of Prov
Income Tax - Components of Provision for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
Current | $ (6,824) | $ (2,361) | $ (3,557) |
Deferred | (653) | (852) | 2,733 |
Tax expense related to the current year | $ (7,477) | $ (3,213) | $ (824) |
Income Tax - Reconciliations of
Income Tax - Reconciliations of Tax Charge (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
Net income before income tax expense | $ 172,081 | $ 30,088 | $ 49,735 |
Net income not subject to taxes | (167,667) | (68,675) | (94,106) |
Net income (loss) subject to taxes | 4,414 | (38,587) | (44,371) |
At applicable statutory tax rates | |||
Amount computed using the standard rate of corporate tax | (1,821) | 6,833 | 13,874 |
Adjustments to valuation allowance and uncertain tax positions | (6,767) | (14,733) | 324 |
Permanent and currency differences | 4,592 | 3,257 | (12,507) |
Change in tax rates | (3,481) | 1,430 | (2,515) |
Tax expense related to the current year | $ (7,477) | $ (3,213) | $ (824) |
Income Tax - Components of Part
Income Tax - Components of Partnership's Deferred Tax Assets (Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Operating Loss Carryforwards [Line Items] | ||
Derivative instruments | $ 2,859 | $ 2,793 |
Taxation loss carryforwards and disallowed finance costs | 47,610 | 49,298 |
Vessels and equipment | (4,197) | |
Vessels and equipment | 2,192 | |
Other items | 9,494 | 0 |
Gross deferred tax assets | 55,766 | 54,283 |
Valuation allowance | (54,707) | (52,570) |
Deferred income tax assets included in other assets | 2,826 | 1,775 |
Other assets | ||
Operating Loss Carryforwards [Line Items] | ||
Net deferred tax assets | 1,059 | 1,713 |
Other noncurrent liabilities | ||
Operating Loss Carryforwards [Line Items] | ||
Deferred income tax liabilities included in other long-term liabilities | $ (1,767) | $ (62) |
Income Tax - Additional Informa
Income Tax - Additional Information (Details) € in Millions, $ in Millions | 12 Months Ended | 36 Months Ended | |||
Dec. 31, 2019USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2019EUR (€) | Dec. 31, 2018USD ($) | Dec. 31, 2018EUR (€) | |
United Kingdom | |||||
Operating Loss Carryforwards [Line Items] | |||||
Taxation loss carryforwards | $ 64.5 | $ 64.5 | $ 67.6 | ||
Spain | |||||
Operating Loss Carryforwards [Line Items] | |||||
Taxation loss carryforwards | 123.7 | 123.7 | € 110.3 | 126.3 | € 110.3 |
Disallowed costs carried forward | $ 15.1 | 15.1 | 13.5 | 23.6 | 20.7 |
Carryforward limitation (in years) | P18Y | ||||
Luxembourg | |||||
Operating Loss Carryforwards [Line Items] | |||||
Taxation loss carryforwards | $ 127.9 | $ 127.9 | € 114.1 | $ 125.7 | € 109.9 |
Carryforward limitation (in years) | P17Y |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Related Party Transaction [Line Items] | |||
Voyage revenues | $ 601,256 | $ 510,762 | $ 432,676 |
Operating Costs and Expenses | 111,585 | 117,658 | 101,539 |
Time-charter hire expense | (19,994) | (7,670) | 0 |
General and administrative expenses | (22,521) | (28,512) | (18,141) |
Restructuring charges | 3,315 | 1,845 | 0 |
Advances to affiliates | |||
Related Party Transaction [Line Items] | |||
Voyage revenues | 49,257 | 19,612 | 36,358 |
Operating Costs and Expenses | 6,629 | 17,852 | 23,564 |
Time-charter hire expense | (19,994) | (7,670) | 0 |
General and administrative expenses | (15,393) | (15,395) | (9,434) |
Employee severance | |||
Related Party Transaction [Line Items] | |||
Restructuring charges | 2,900 | 1,800 | |
Employee severance | Advances to affiliates | |||
Related Party Transaction [Line Items] | |||
Restructuring charges | $ 400 | $ 0 | $ 0 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Details) | 1 Months Ended | 12 Months Ended | |||
Dec. 31, 2019vessel | Dec. 31, 2019USD ($)vessel | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2015 | |
Related Party Transaction [Line Items] | |||||
Time-charter hire expense (notes 5b and 12a) | $ (19,994,000) | $ (7,670,000) | $ 0 | ||
Operating Costs and Expenses | $ 111,585,000 | 117,658,000 | 101,539,000 | ||
Term of charter contract (in years) | 20 years | 20 years | |||
Restructuring charges | $ 3,315,000 | 1,845,000 | 0 | ||
Decrease from purchase of interests | 2,681,000 | ||||
Advances to affiliates | |||||
Related Party Transaction [Line Items] | |||||
Time-charter hire expense (notes 5b and 12a) | (19,994,000) | (7,670,000) | 0 | ||
Operating Costs and Expenses | 6,629,000 | $ 17,852,000 | 23,564,000 | ||
Advances to affiliates | Teekay Corporation | |||||
Related Party Transaction [Line Items] | |||||
Operating lease arrangement period, lessor (in years) | 10 years | ||||
Teekay Marine Solutions (Bermuda) Ltd. | Advances to affiliates | |||||
Related Party Transaction [Line Items] | |||||
Operating Costs and Expenses | 2,000,000 | $ 1,600,000 | 0 | ||
Bahrain LNG Joint Venture | Advances to affiliates | |||||
Related Party Transaction [Line Items] | |||||
Recovery of direct costs | $ 6,500,000 | $ 1,600,000 | $ 0 | ||
Newbuildings | Advances to affiliates | Pan Union Joint Venture | |||||
Related Party Transaction [Line Items] | |||||
Number of vessels | vessel | 4 | 4 | |||
Modified Vessel | Daewoo Shipbuilding & Marine Engineering Co. Ltd. | Bahrain LNG Joint Venture | |||||
Related Party Transaction [Line Items] | |||||
Term of charter contract (in years) | 21 years | ||||
Teekay corporation | |||||
Related Party Transaction [Line Items] | |||||
Partnership interest owned (in percentage) | 1.00% |
Related Party Transactions - Pa
Related Party Transactions - Partnership Subsidiaries (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Related Party Transaction [Line Items] | |||
Advances from affiliates | $ 5,143 | $ 8,229 | |
Advances from affiliates (note 12b) | 7,003 | 14,731 | |
Advances to affiliates | |||
Related Party Transaction [Line Items] | |||
Advances from affiliates | 5,100 | 8,200 | |
Advances from affiliates (note 12b) | 7,000 | 14,700 | |
Advances to affiliates | Liquefied Natural Gas | Newbuildings | |||
Related Party Transaction [Line Items] | |||
Property, Plant and Equipment, Additions | $ 1,800 | $ 15,300 | $ 13,200 |
Derivative Instruments and He_3
Derivative Instruments and Hedging Activities - Derivatives and Hedging Activities (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Contract Amount in Foreign Currency | $ 5,820 |
Average Contract Rate (1) | 0.86 |
Fair Value / Carrying Amount of Asset (Liability) $ | $ (202) |
Expected Maturity 2020 $ | $ 6,750 |
Derivative Instruments and He_4
Derivative Instruments and Hedging Activities - Summary of Cross Currency Swap Agreements (Details) - Cross-currency swap agreements kr in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2019USD ($) | Dec. 31, 2019NOK (kr) | |
Derivative [Line Items] | ||
Fair Value / Carrying Amount of Asset (Liability) $ | $ (42,104) | |
NIBOR | 3.70% Margin | ||
Derivative [Line Items] | ||
Principal Amount $ | $ 134,000 | kr 1,000,000 |
Margin | 3.70% | 3.70% |
Fixed Rate Payable | 5.92% | 5.92% |
Fair Value / Carrying Amount of Asset (Liability) $ | $ (20,665) | |
Weighted- Average Remaining Term (years) | 4 months 24 days | |
NIBOR | 6.00% Margin | ||
Derivative [Line Items] | ||
Principal Amount $ | $ 146,500 | kr 1,200,000 |
Margin | 6.00% | 6.00% |
Fixed Rate Payable | 7.72% | 7.72% |
Fair Value / Carrying Amount of Asset (Liability) $ | $ (10,532) | |
Weighted- Average Remaining Term (years) | 1 year 9 months 18 days | |
NIBOR | 4.60% Margin | ||
Derivative [Line Items] | ||
Principal Amount $ | $ 102,000 | kr 850,000 |
Margin | 4.60% | 4.60% |
Fixed Rate Payable | 7.89% | 7.89% |
Fair Value / Carrying Amount of Asset (Liability) $ | $ (10,907) | |
Weighted- Average Remaining Term (years) | 3 years 8 months 12 days |
Derivative Instruments and He_5
Derivative Instruments and Hedging Activities - Interest Rate Swap Agreements (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Minimum | |
Derivative [Line Items] | |
Basis spread on variable rate (as a percent) | 0.30% |
Maximum | |
Derivative [Line Items] | |
Basis spread on variable rate (as a percent) | 3.25% |
U.S. Dollar-denominated interest rate swaps | LIBOR | |
Derivative [Line Items] | |
Principal Amount $ | $ 118,750 |
Fair Value / Carrying Amount of Assets (Liability) $ | $ (18,458) |
Weighted- Average Remaining Term (years) | 9 years |
Fixed Interest Rate (%) | 5.20% |
U.S. Dollar-denominated interest rate swaps | LIBOR | |
Derivative [Line Items] | |
Principal Amount $ | $ 21,423 |
Fair Value / Carrying Amount of Assets (Liability) $ | $ (237) |
Weighted- Average Remaining Term (years) | 1 year 7 months 6 days |
Fixed Interest Rate (%) | 2.80% |
U.S. Dollar-denominated interest rate swaps | LIBOR | |
Derivative [Line Items] | |
Principal Amount $ | $ 116,018 |
Fair Value / Carrying Amount of Assets (Liability) $ | $ (2,210) |
Weighted- Average Remaining Term (years) | 4 years 8 months 12 days |
Fixed Interest Rate (%) | 1.40% |
U.S. Dollar-denominated interest rate swaps | LIBOR | |
Derivative [Line Items] | |
Principal Amount $ | $ 317,194 |
Fair Value / Carrying Amount of Assets (Liability) $ | $ (19,268) |
Weighted- Average Remaining Term (years) | 1 year |
Fixed Interest Rate (%) | 3.40% |
U.S. Dollar-denominated interest rate swaps | LIBOR | |
Derivative [Line Items] | |
Principal Amount $ | $ 172,440 |
Fair Value / Carrying Amount of Assets (Liability) $ | $ (4,324) |
Weighted- Average Remaining Term (years) | 7 years |
Fixed Interest Rate (%) | 2.30% |
Euro-denominated interest rate swaps | EURIBOR | |
Derivative [Line Items] | |
Principal Amount $ | $ 75,089 |
Fair Value / Carrying Amount of Assets (Liability) $ | $ (8,160) |
Weighted- Average Remaining Term (years) | 3 years 8 months 12 days |
Fixed Interest Rate (%) | 3.80% |
Interest rate swap agreements | |
Derivative [Line Items] | |
Fair Value / Carrying Amount of Assets (Liability) $ | $ (48,237) |
Derivative Instruments and He_6
Derivative Instruments and Hedging Activities - Additional Information (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Derivative | ||
Derivative [Line Items] | ||
Fair value, asset | $ 2.2 | $ 3.2 |
Fair value, liability | 74.6 | 53.6 |
Restricted cash - current and - long-term | $ 14.3 | 6.8 |
Toledo Spirit time-charter derivative | ||
Derivative [Line Items] | ||
Derivative fair value, net | $ 1.1 |
Derivative Instruments and He_7
Derivative Instruments and Hedging Activities - Location and Fair Value Amounts of Derivative Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Derivatives, Fair Value [Line Items] | ||
Current portion of derivative assets $ | $ 355 | $ 835 |
Derivative assets $ | 1,834 | 2,362 |
Accrued liabilities $ | (76,752) | (74,753) |
Current portion of derivative liabilities $ | (38,458) | (11,604) |
Foreign currency forward contracts | ||
Derivatives, Fair Value [Line Items] | ||
Accounts receivable/Advances to affiliates $ | 0 | |
Current portion of derivative assets $ | 0 | |
Derivative assets $ | 0 | |
Accrued liabilities $ | 0 | |
Current portion of derivative liabilities $ | (202) | |
Derivative liabilities $ | 0 | |
Cross currency swap agreements | ||
Derivatives, Fair Value [Line Items] | ||
Accounts receivable/Advances to affiliates $ | 0 | 0 |
Current portion of derivative assets $ | 0 | 0 |
Derivative assets $ | 0 | 0 |
Accrued liabilities $ | (456) | (713) |
Current portion of derivative liabilities $ | (22,661) | (4,729) |
Derivative liabilities $ | (18,987) | (23,680) |
Toledo Spirit time-charter derivative | ||
Derivatives, Fair Value [Line Items] | ||
Accounts receivable/Advances to affiliates $ | 1,021 | |
Current portion of derivative assets $ | 40 | |
Derivative assets $ | 0 | |
Accrued liabilities $ | 0 | |
Current portion of derivative liabilities $ | 0 | |
Derivative liabilities $ | 0 | |
Derivative | ||
Derivatives, Fair Value [Line Items] | ||
Accounts receivable/Advances to affiliates $ | 21 | 1,209 |
Current portion of derivative assets $ | 355 | 835 |
Derivative assets $ | 1,834 | 2,362 |
Accrued liabilities $ | (3,289) | (3,442) |
Current portion of derivative liabilities $ | (38,458) | (11,604) |
Derivative liabilities $ | (51,006) | (55,038) |
Not Designated as Hedging Instrument [Member] | Interest rate swap agreements | ||
Derivatives, Fair Value [Line Items] | ||
Accounts receivable/Advances to affiliates $ | 21 | 167 |
Current portion of derivative assets $ | 355 | 11 |
Derivative assets $ | 1,834 | 0 |
Accrued liabilities $ | (2,821) | (2,729) |
Current portion of derivative liabilities $ | (14,758) | (6,875) |
Derivative liabilities $ | (28,544) | (31,358) |
Cash flow hedging | Designated as hedging instrument | Interest rate swap agreements | ||
Derivatives, Fair Value [Line Items] | ||
Accounts receivable/Advances to affiliates $ | 0 | 21 |
Current portion of derivative assets $ | 0 | 784 |
Derivative assets $ | 0 | 2,362 |
Accrued liabilities $ | (12) | 0 |
Current portion of derivative liabilities $ | (837) | 0 |
Derivative liabilities $ | $ (3,475) | $ 0 |
Derivative Instruments and He_8
Derivative Instruments and Hedging Activities - Gain (Loss) for Derivative Instruments Not Designated or Qualifying as Hedging Instruments (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Realized gains (losses) | $ (10,228) | $ (26,855) | $ (18,757) |
Unrealized gains (losses) | (3,133) | 30,133 | 13,448 |
Unrealized gains (losses) | (2,805) | 7,525 | (23,153) |
Total | (13,361) | 3,278 | (5,309) |
Interest rate swap agreements | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Realized gains (losses) | (10,081) | (14,654) | (18,825) |
Unrealized gains (losses) | (2,891) | 31,061 | 12,393 |
Total | (12,972) | 16,407 | (6,432) |
Interest rate swap and swaption agreements termination | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Realized gains (losses) | 0 | (13,681) | (610) |
Unrealized gains (losses) | 0 | 0 | 0 |
Total | 0 | (13,681) | (610) |
Interest rate swaption agreements | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Realized gains (losses) | 0 | 0 | 0 |
Unrealized gains (losses) | 0 | 2 | 945 |
Total | 0 | 2 | 945 |
Foreign currency forward contracts | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Realized gains (losses) | (147) | 0 | 0 |
Unrealized gains (losses) | (202) | 0 | 0 |
Total | (349) | 0 | 0 |
Toledo Spirit time-charter derivative | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Realized gains (losses) | 0 | 1,480 | 678 |
Unrealized gains (losses) | (40) | (930) | 110 |
Total | (40) | 550 | 788 |
Cross currency swap agreements | Foreign currency gain (loss) | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Realized gains (losses) | (5,061) | (6,533) | (9,344) |
Unrealized gains (losses) | (13,239) | 21,240 | 49,047 |
Total | (18,300) | 14,707 | 39,703 |
Cross currency swap agreements termination | Foreign currency gain (loss) | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Realized gains (losses) | 0 | (42,271) | (25,733) |
Unrealized gains (losses) | 0 | 0 | 0 |
Total | 0 | (42,271) | (25,733) |
Cross-currency swap agreements | Foreign currency gain (loss) | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Realized gains (losses) | (5,061) | (48,804) | (35,077) |
Unrealized gains (losses) | (13,239) | 21,240 | 49,047 |
Total | $ (18,300) | $ (27,564) | $ 13,970 |
Derivative Instruments and He_9
Derivative Instruments and Hedging Activities - Effective Portion of Gains (Losses) on Interest Rate Swap Agreements (Details) - Interest Expense - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Derivative [Line Items] | |||
Amount of Loss Recognized in OCI | $ (7,458) | ||
Amount of Gain Reclassified from Accumulated OCI to Interest Expense | $ (376) | ||
Amount of Gain Recognized in OCI (effective portion) $ | $ 2,128 | $ 429 | |
Amount of Loss Reclassified from Accumulated OCI to Interest Expense (effective portion) $ | 152 | 427 | |
Ineffective portion | $ 740 | $ (740) |
Commitments and Contingencies -
Commitments and Contingencies - Commitments to Fund Newbuilding and Other Construction Contract Costs (Details) - USD ($) $ in Thousands | 1 Months Ended | ||
Jun. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2015 | |
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
Total $ | $ 61,003 | ||
2020 | 23,330 | ||
2021 | 22,382 | ||
2022 | $ 15,291 | ||
Ownership percentage (in percentage) | 100.00% | ||
Bahrain LNG Joint Venture | |||
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
Ownership percentage (in percentage) | 30.00% | 30.00% | |
Consolidated Entities | |||
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
Total $ | $ 49,652 | ||
2020 | 11,979 | ||
2021 | 22,382 | ||
2022 | 15,291 | ||
Long-term purchase commitment, amount | $ 60,600 | ||
Equity Method Investments | |||
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
Total $ | 11,351 | ||
2020 | 11,351 | ||
2021 | 0 | ||
2022 | 0 | ||
LNG Receiving and Regasification Terminal | Bahrain LNG Joint Venture | |||
Unrecorded Unconditional Purchase Obligation [Line Items] | |||
Borrowings provided under revolving credit facilities | 34,000 | ||
Undrawn amount of revolving credit facilities | $ 10,000 |
Commitments and Contingencies_2
Commitments and Contingencies - Additional Information (Details) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019USD ($)vessel | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Property, Plant and Equipment [Line Items] | ||||
Other (expense) income | $ (2,454) | $ (51,373) | $ 1,561 | |
Restricted cash – current | 53,689 | 38,329 | 22,326 | $ 10,145 |
Working capital surplus (deficit) | 118,600 | |||
Long-term debt, current maturities | 393,065 | 135,901 | ||
Teekay Tangguh Joint Venture | ||||
Property, Plant and Equipment [Line Items] | ||||
Estimated tax indemnification | $ 6,100 | 6,600 | ||
Teekay Tangguh Joint Venture | ||||
Property, Plant and Equipment [Line Items] | ||||
Number of vessels | vessel | 2 | |||
Settlement proposal with HMRC related to deductibility of certain related party transactions in 2010 | Teekay Tangguh Joint Venture | ||||
Property, Plant and Equipment [Line Items] | ||||
Provision | 1,600 | |||
Teekay Nakilat Joint Venture | ||||
Property, Plant and Equipment [Line Items] | ||||
Other (expense) income | 53,000 | |||
Restricted cash – current | 7,000 | |||
Lessor cash payments | $ 56,000 | |||
Teekay Tangguh Joint Venture | Settlement proposal with HMRC related to deductibility of certain related party transactions in 2010 | ||||
Property, Plant and Equipment [Line Items] | ||||
Provision | $ 1,100 | |||
Teekay Nakilat Joint Venture | ||||
Property, Plant and Equipment [Line Items] | ||||
Number of vessels | vessel | 3 | |||
Teekay Tangguh Joint Venture | ||||
Property, Plant and Equipment [Line Items] | ||||
Number of vessels | vessel | 2 | |||
Time charter in contract | 20 years | |||
Length of charter contract (in years) | 20 years | |||
Teekay Tangguh Joint Venture | Teekay LNG | ||||
Property, Plant and Equipment [Line Items] | ||||
Subsidiary of Limited Liability Company or Limited Partnership, Ownership Interest | 70.00% | |||
Teekay Tangguh Joint Venture | Teekay LNG | Settlement proposal with HMRC related to deductibility of certain related party transactions in 2010 | ||||
Property, Plant and Equipment [Line Items] | ||||
Subsidiary of Limited Liability Company or Limited Partnership, Ownership Interest | 70.00% |
Commitments and Contingencies_3
Commitments and Contingencies - Future Minimum Rental Payments to be Received (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Operating Leased Assets [Line Items] | ||
Lease Income | $ 313,800 | |
2020 | 23,790 | |
2021 | 23,725 | |
2022 | 11,050 | |
Deferred revenue | 28,759 | $ 30,108 |
Other liabilities – non-current | 49,182 | 43,788 |
Total payments | 58,565 | |
Head Lease Receipts | ||
Operating Leased Assets [Line Items] | ||
2020 | 21,242 | |
2021 | 21,242 | |
2022 | 21,242 | |
2023 | 21,242 | |
2024 | 21,242 | |
Thereafter | 90,369 | |
Total | 196,579 | |
Deferred revenue | 3,800 | 3,700 |
Other liabilities – non-current | 25,500 | $ 29,300 |
Sublease payments | ||
Operating Leased Assets [Line Items] | ||
2020 | 23,875 | |
2021 | 23,875 | |
2022 | 23,875 | |
2023 | 23,875 | |
2024 | 23,875 | |
Thereafter | 101,609 | |
Operating lease, payments | 260,600 | |
Total payments | $ 220,984 |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information - Schedule of Reconciliation of Cash, Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | $ 160,221 | $ 149,014 | $ 244,241 | $ 126,146 |
Restricted cash – current | 53,689 | 38,329 | 22,326 | 10,145 |
Restricted cash – long-term | 39,381 | 35,521 | 72,868 | 106,882 |
Total | $ 253,291 | $ 222,864 | $ 339,435 | $ 243,173 |
Supplemental Cash Flow Inform_4
Supplemental Cash Flow Information - Changes in Operating Assets and Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Supplemental Cash Flow Elements [Abstract] | |||
Accounts receivable | $ 6,184 | $ 3,542 | $ 1,620 |
Prepaid expenses and other current assets | 3,348 | (3,843) | (2,815) |
Accounts payable | 1,264 | 274 | (2,053) |
Accrued liabilities and other long-term liabilities | (252) | 13,958 | 2,449 |
Unearned revenue and long-term unearned revenue | (197) | 4,234 | (1,456) |
Advances to and from affiliates | (6,007) | 2,183 | (913) |
Other operating assets and liabilities | (1,122) | (1,130) | 772 |
Total | $ 3,218 | $ 19,218 | $ (2,396) |
Supplemental Cash Flow Inform_5
Supplemental Cash Flow Information - Additional Information (Details) - USD ($) $ in Thousands | Nov. 14, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Schedule Of Supplemental Cash Flow [Line Items] | ||||
Cash interest paid on long-term debt, advances from affiliates and capital lease obligations | $ 193,300 | $ 167,800 | $ 122,700 | |
Income taxes paid | 3,700 | 6,000 | 2,900 | |
Extinguishment of debt | 23,600 | 23,100 | ||
Property, Plant and Equipment, Disposals | 23,600 | 23,100 | ||
Due from joint ventures | 0 | 79,108 | ||
Partners' equity | 1,821,686 | 1,833,254 | ||
Skaugen Gulf Petchem Carriers B.S.C | ||||
Schedule Of Supplemental Cash Flow [Line Items] | ||||
Purchase price of ownership interest acquired | $ 13,200 | |||
Ownership interest acquired (as a percent) | 100.00% | |||
Skaugen Gulf Petchem Carriers B.S.C | Skaugen | ||||
Schedule Of Supplemental Cash Flow [Line Items] | ||||
Ownership interest acquired (as a percent) | 35.00% | |||
Noncash portion of the consideration paid | $ 4,600 | |||
Skaugen Gulf Petchem Carriers B.S.C | The Oil & Gas Holding Company B.S.C. | ||||
Schedule Of Supplemental Cash Flow [Line Items] | ||||
Ownership interest acquired (as a percent) | 35.00% | |||
Skaugen Gulf Petchem Carriers B.S.C | Suffun Bahrain W.L.L. | ||||
Schedule Of Supplemental Cash Flow [Line Items] | ||||
Ownership interest acquired (as a percent) | 30.00% | |||
Bahrain LNG Joint Venture | ||||
Schedule Of Supplemental Cash Flow [Line Items] | ||||
Due from joint ventures | $ 79,100 | |||
Partners' equity | $ 7,900 | |||
Subordinated debt | $ 71,200 | $ 73,400 | ||
Subordinated borrowing, interest rate (in percentage) | 6.00% |
Total Capital and Net Income _3
Total Capital and Net Income Per Common Unit - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Capital Unit [Line Items] | |||
Distribution made to limited partner, cash distributions paid | $ 25,701 | ||
Days after year-end where limited partner's have right to receive cash distribution | 45 days | ||
Minimum percentage of holding by unitholders to remove general partner | 66.67% | ||
Repurchase agreements | |||
Capital Unit [Line Items] | |||
Authorized common units to repurchase (up to) | $ 100,000 | ||
Common Units | |||
Capital Unit [Line Items] | |||
Distribution made to limited partner, distributions paid (in USD per share) | $ 0.4625 | $ 0.4625 | $ 0.4625 |
Limited Partners | Preferred Units | |||
Capital Unit [Line Items] | |||
Distribution made to limited partner, cash distributions paid | $ 25,700 | $ 14,000 | |
Teekay corporation | Teekay Corporation | |||
Capital Unit [Line Items] | |||
General partner interest percentage | 2.00% | ||
Teekay corporation | Public | |||
Capital Unit [Line Items] | |||
General partner's proportionate contribution | 67.50% |
Total Capital and Net Income _4
Total Capital and Net Income Per Common Unit - Incentive Distributions (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Minimum quarterly distribution of $0.4125 | Minimum | |||
Incentive Distribution Made to Managing Member or General Partner [Line Items] | |||
Incentive distribution, distribution (USD per unit) | $ 0.4125 | ||
Up to $0.4625 | Maximum | |||
Incentive Distribution Made to Managing Member or General Partner [Line Items] | |||
Incentive distribution, distribution (USD per unit) | 0.4625 | ||
Above $0.4625 up to $0.5375 | Minimum | |||
Incentive Distribution Made to Managing Member or General Partner [Line Items] | |||
Incentive distribution, distribution (USD per unit) | 0.4625 | ||
Above $0.4625 up to $0.5375 | Maximum | |||
Incentive Distribution Made to Managing Member or General Partner [Line Items] | |||
Incentive distribution, distribution (USD per unit) | 0.5375 | ||
Above $0.5375 up to $0.6500 | Minimum | |||
Incentive Distribution Made to Managing Member or General Partner [Line Items] | |||
Incentive distribution, distribution (USD per unit) | 0.5375 | ||
Above $0.5375 up to $0.6500 | Maximum | |||
Incentive Distribution Made to Managing Member or General Partner [Line Items] | |||
Incentive distribution, distribution (USD per unit) | 0.6500 | ||
Above $0.6500 | Minimum | |||
Incentive Distribution Made to Managing Member or General Partner [Line Items] | |||
Incentive distribution, distribution (USD per unit) | $ 0.6500 | ||
Unitholders | |||
Incentive Distribution Made to Managing Member or General Partner [Line Items] | |||
Minimum quarterly distribution of $0.4125 | 98.00% | ||
Up to $0.4625 | 98.00% | ||
Above $0.4625 up to $0.5375 | 85.00% | ||
Above $0.5375 up to $0.6500 | 75.00% | ||
Above $0.6500 | 50.00% | ||
General Partner | |||
Incentive Distribution Made to Managing Member or General Partner [Line Items] | |||
Minimum quarterly distribution of $0.4125 | 2.00% | ||
Up to $0.4625 | 2.00% | ||
Above $0.4625 up to $0.5375 | 15.00% | ||
Above $0.5375 up to $0.6500 | 25.00% | ||
Above $0.6500 | 50.00% | ||
Common Units | |||
Incentive Distribution Made to Managing Member or General Partner [Line Items] | |||
Distribution made to limited partner, distributions paid (in USD per share) | $ 0.4625 | $ 0.4625 | $ 0.4625 |
Total Capital and Net Income _5
Total Capital and Net Income Per Common Unit - Net Income Per Common Unit (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Class of Stock [Line Items] | |||
Distribution made to limited partner, cash distributions paid | $ 25,701 | ||
Limited partners' interest in net income for basic net income per common unit | $ 124,546 | $ 2,615 | $ 19,586 |
Weighted average number of common units | 78,177,189 | 79,672,435 | 79,617,778 |
Dilutive effect of unit-based compensation | 91,223 | 169,893 | 173,263 |
Common units and common unit equivalents | 78,268,412 | 79,842,328 | 79,791,041 |
Limited partner's interest in net income per common unit: | |||
Basic (USD per unit) | $ 1.59 | $ 0.03 | $ 0.25 |
Diluted (USD per unit) | $ 1.59 | $ 0.03 | $ 0.25 |
Preferred Units | Limited Partners | |||
Class of Stock [Line Items] | |||
Distribution made to limited partner, cash distributions paid | $ 25,700 | $ 14,000 |
Total Capital and Net Income _6
Total Capital and Net Income Per Common Unit - Issuances of Common Units (Details) - USD ($) $ / shares in Units, $ in Thousands | Oct. 23, 2017 | Oct. 31, 2017 | Dec. 31, 2017 |
Capital Unit [Line Items] | |||
Proceeds from equity offerings (note 16) | $ 164,411 | ||
Preferred | |||
Capital Unit [Line Items] | |||
Units Issued | 6,800,000 | ||
Offering Price (USD per unit) | $ 25 | ||
Gross Proceeds | $ 170,000 | ||
Proceeds from equity offerings (note 16) | $ 164,411 | ||
Teekay Corporation's Ownership After the Offering (as a percent) | 33.02% | ||
Series B Preferred Units | |||
Capital Unit [Line Items] | |||
Dividend rate, percentage | 8.50% | ||
Liquidation preference (USD per unit) | $ 25 | ||
Redemption price (USD per unit) | $ 25 | ||
Series B Preferred Units | LIBOR | |||
Capital Unit [Line Items] | |||
Basis spread on variable rate (as a percent) | 6.241% |
Total Capital and Net Income _7
Total Capital and Net Income Per Common Unit - Repurchase of Common Units (Details) - USD ($) | 12 Months Ended | 24 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2019 | |
Accelerated Share Repurchases [Line Items] | |||
Total cost | $ 25,728,000 | $ 3,786,000 | |
Repurchase agreements | Limited Partners | Common Units | |||
Accelerated Share Repurchases [Line Items] | |||
Average price paid per unit (in USD per share) | $ 13.03 | $ 11.35 | $ 12.79 |
Common Units | Limited Partners | |||
Accelerated Share Repurchases [Line Items] | |||
Units repurchased (in shares) | 1,934,000 | 327,000 | |
Total cost | $ 25,214,000 | $ 3,710,000 | |
Common Units | Repurchase agreements | Limited Partners | |||
Accelerated Share Repurchases [Line Items] | |||
Units repurchased (in shares) | 1,934,569 | 326,780 | 2,261,349 |
Total cost | $ 25,214,331 | $ 3,710,280 | $ 28,924,611 |
Unit-Based Compensation (Detail
Unit-Based Compensation (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | ||||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Restricted Units | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Restricted unit-based compensation granted to Partnership's employee (in units) | 80,100 | 62,283 | 60,809 | |||
Stock Issued During Period, Value, Restricted Stock Award, Gross | $ 1.2 | $ 1.2 | $ 1 | |||
Restricted units, vesting period (in years) | 3 years | |||||
Restricted units expense | $ 1.6 | $ 1.3 | $ 1 | |||
Non-management Directors | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Common units granted | 35,419 | 17,498 | 17,345 | |||
Aggregate value of units issued | $ 0.5 |
Restructuring Charges (Details)
Restructuring Charges (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charges | $ 3,315 | $ 1,845 | $ 0 |
Employee severance | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charges | 2,900 | 1,800 | |
Unpaid restructuring charges | $ 600 | $ 500 |
Gain (Loss) on Sales and Writ_2
Gain (Loss) on Sales and Write-Down of Vessels (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |||||
Oct. 31, 2019 | Oct. 31, 2018 | Aug. 31, 2017 | Jun. 30, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Property, Plant and Equipment [Line Items] | |||||||
(Gain) loss on sales of vessels and write-down of goodwill and vessels | $ (13,564) | $ 54,653 | $ 50,600 | ||||
Proceeds from sale of vessels | 11,515 | 28,518 | 20,580 | ||||
European Spirit | |||||||
Property, Plant and Equipment [Line Items] | |||||||
(Gain) loss on sales of vessels and write-down of goodwill and vessels | 4,000 | 12,600 | |||||
Proceeds from sale of vessels | 15,700 | ||||||
Extension option | P1Y | ||||||
African Spirit | |||||||
Property, Plant and Equipment [Line Items] | |||||||
(Gain) loss on sales of vessels and write-down of goodwill and vessels | 3,900 | 12,500 | |||||
Proceeds from sale of vessels | $ 12,800 | ||||||
Extension option | P1Y | ||||||
Teide Spirit and Toledo Spirit | |||||||
Property, Plant and Equipment [Line Items] | |||||||
(Gain) loss on sales of vessels and write-down of goodwill and vessels | $ (25,500) | ||||||
Cancellation option period (in years) | 13 years | ||||||
Alexander Spirit | |||||||
Property, Plant and Equipment [Line Items] | |||||||
(Gain) loss on sales of vessels and write-down of goodwill and vessels | $ (800) | (13,000) | |||||
Proceeds from sale of vessels | $ 11,500 | ||||||
Napa Spirit, Pan Spirit, Camilla Spirit and Cathinka Spirit | |||||||
Property, Plant and Equipment [Line Items] | |||||||
(Gain) loss on sales of vessels and write-down of goodwill and vessels | $ 33,000 |
Subsequent Events (Details)
Subsequent Events (Details) $ in Thousands, shares in Millions | Jan. 07, 2020USD ($) | Apr. 01, 2020USD ($)shares | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Mar. 31, 2020USD ($) | Mar. 24, 2020USD ($) | Dec. 31, 2015 |
Subsequent Event [Line Items] | ||||||||
Ownership percentage (in percentage) | 100.00% | |||||||
Term of charter contract (in years) | 20 years | |||||||
Repurchase of common units | $ 25,728 | $ 3,786 | $ 0 | |||||
Bahrain LNG Joint Venture | ||||||||
Subsequent Event [Line Items] | ||||||||
Ownership percentage (in percentage) | 30.00% | 30.00% | ||||||
Subsequent Event | ||||||||
Subsequent Event [Line Items] | ||||||||
Number of common units repurchased (in shares) | shares | 1.4 | |||||||
Repurchase of common units | $ 15,300 | |||||||
WilPride and WilForce LNG Carriers | Subsequent Event | ||||||||
Subsequent Event [Line Items] | ||||||||
Purchase obligation and deferred hire amounts | $ 260,000 | |||||||
Number of vessels | 2 | |||||||
Awilco LNG Carriers | Subsequent Event | ||||||||
Subsequent Event [Line Items] | ||||||||
Repayments of debt | $ 157,000 | |||||||
Increase in liquidity | $ 100,000 | |||||||
Revolving Credit Facility | ||||||||
Subsequent Event [Line Items] | ||||||||
Borrowings provided under revolving credit facilities | $ 225,000 | |||||||
Revolving Credit Facility | Subsequent Event | ||||||||
Subsequent Event [Line Items] | ||||||||
Borrowings provided under revolving credit facilities | $ 225,000 | $ 225,000 |
Uncategorized Items - tgp201920
Label | Element | Value |
General Partner [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ 37,000 |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | 41,000 |
Common Stock [Member] | Limited Partner [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | 1,777,000 |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | 1,959,000 |
AOCI Attributable to Parent [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | (4,831,000) |
Noncontrolling Interest [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | 739,000 |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ 0 |