Document and Entity Information
Document and Entity Information | 6 Months Ended |
Jun. 30, 2019 | |
Document And Entity Information [Abstract] | |
Document Type | 10-Q |
Amendment Flag | false |
Document Period End Date | Jun. 30, 2019 |
Document Fiscal Year Focus | 2019 |
Document Fiscal Period Focus | Q2 |
Trading Symbol | NGLS |
Entity Registrant Name | TARGA RESOURCES PARTNERS LP |
Entity Central Index Key | 0001379661 |
Current Fiscal Year End Date | --12-31 |
Entity Filer Category | Non-accelerated Filer |
Entity Shell Company | false |
Entity Small Business | false |
Entity Emerging Growth Company | false |
Entity File Number | 001-33303 |
Entity Current Reporting Status | Yes |
Entity Tax Identification Number | 651295427 |
Entity Address, Address Line One | 811 Louisiana St |
Entity Address, Address Line Two | Suite 2100 |
Entity Address, City or Town | Houston |
Entity Address, State or Province | Texas |
Entity Address, Postal Zip Code | 77002 |
City Area Code | 713 |
Local Phone Number | 584-1000 |
CONSOLIDATED BALANCE SHEETS (Un
CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 195.8 | $ 203.3 |
Trade receivables, net of allowances of $0.0 and $0.1 million at June 30, 2019 and December 31, 2018 | 635.9 | 864.4 |
Inventories | 205.1 | 164.7 |
Assets from risk management activities | 103.9 | 115.3 |
Other current assets | 22.8 | 32.2 |
Total current assets | 1,163.5 | 1,379.9 |
Property, plant and equipment | 19,041.6 | 17,213.8 |
Accumulated depreciation and amortization | (4,673.2) | (4,285.5) |
Property, plant and equipment, net | 14,368.4 | 12,928.3 |
Intangible assets, net | 1,897.3 | 1,983.2 |
Goodwill, net | 46.6 | 46.6 |
Long-term assets from risk management activities | 47.4 | 34.1 |
Investments in unconsolidated affiliates | 676.7 | 490.5 |
Other long-term assets | 52.8 | 27.5 |
Total assets | 18,252.7 | 16,890.1 |
Current liabilities: | ||
Accounts payable and accrued liabilities | 1,223.7 | 1,636.9 |
Accounts payable to Targa Resources Corp. | 176.8 | 187.4 |
Liabilities from risk management activities | 50.9 | 33.6 |
Current debt obligations | 309.3 | 1,027.9 |
Total current liabilities | 1,760.7 | 2,885.8 |
Long-term debt | 6,204 | 5,197.4 |
Long-term liabilities from risk management activities | 2.7 | 3.1 |
Deferred income taxes, net | 23.9 | 23.9 |
Other long-term liabilities | 259.7 | 233.8 |
Contingencies (see Note 16) | ||
Owners' equity: | ||
Series A preferred limited partners (5,000,000 and 5,000,000 units issued and 5,000,000 and 5,00,000 outstanding as of June 30, 2019 and December 31, 2018) | 120.6 | 120.6 |
Common limited partners (275,168,410 and 275,168,410 units issued and 275,168,410 and 275,168,410 outstanding as of June 30, 2019 and December 31, 2018) | 5,703.1 | 6,227.2 |
General partner (5,629,136 and 5,629,136 units issued and 5,629,136 and 5,629,136 outstanding as of June 30, 2019 and December 31, 2018) | 791.9 | 802.6 |
Accumulated other comprehensive income (loss) | 109.9 | 124.9 |
Partners' Capital | 6,725.5 | 7,275.3 |
Noncontrolling interests | 3,276.2 | 1,270.8 |
Total owners' equity | 10,001.7 | 8,546.1 |
Total liabilities and owners' equity | $ 18,252.7 | $ 16,890.1 |
CONSOLIDATED BALANCE SHEETS (_2
CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 |
Current assets: | ||
Trade receivables, allowances | $ 0 | $ 0.1 |
Owners' equity: | ||
Common limited partners units issued (in units) | 275,168,410 | 275,168,410 |
Common limited partners units outstanding (in units) | 275,168,410 | 275,168,410 |
General partner units issued (in units) | 5,629,136 | 5,629,136 |
General partner units outstanding (in units) | 5,629,136 | 5,629,136 |
Series A Preferred Limited Partner Units [Member] | ||
Owners' equity: | ||
Series A preferred limited partners units issued (in units) | 5,000,000 | 5,000,000 |
Series A preferred limited partners units outstanding (in units) | 5,000,000 | 5,000,000 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Revenues: | ||||
Total revenues | $ 1,995.3 | $ 2,444.4 | $ 4,294.7 | $ 4,900 |
Costs and expenses: | ||||
Product purchases | 1,361.6 | 1,905.3 | 3,087.6 | 3,846.2 |
Operating expenses | 210.2 | 170.5 | 400.5 | 343.6 |
Depreciation and amortization expense | 237.2 | 202.6 | 474.6 | 400.7 |
General and administrative expense | 69.3 | 53.2 | 146.7 | 106 |
Other operating (income) expense | (0.2) | (46.4) | 3.3 | (46.1) |
Income (loss) from operations | 117.2 | 159.2 | 182 | 249.6 |
Other income (expense): | ||||
Interest income (expense), net | (69.5) | (57.8) | (144.9) | (37.6) |
Equity earnings (loss) | 3.2 | 1.9 | 5.9 | 3.4 |
Gain (loss) from financing activities | 0 | (1.3) | (1.4) | (1.3) |
Change in contingent considerations | 0.8 | 60.6 | (8.9) | 4.5 |
Income (loss) before income taxes | 51.7 | 162.6 | 32.7 | 218.6 |
Income tax (expense) benefit | 0 | 0 | 0 | 0 |
Net income (loss) | 51.7 | 162.6 | 32.7 | 218.6 |
Less: Net income (loss) attributable to noncontrolling interests | 56.3 | 9.2 | 67.7 | 22.3 |
Net income (loss) attributable to Targa Resources Partners LP | (4.6) | 153.4 | (35) | 196.3 |
Net income attributable to preferred limited partners | 2.8 | 2.8 | 5.6 | 5.6 |
Net income (loss) attributable to general partner | (0.1) | 3 | (0.8) | 3.8 |
Net income (loss) attributable to common limited partners | (7.3) | 147.6 | (39.8) | 186.9 |
Net income (loss) attributable to Targa Resources Partners LP | (4.6) | 153.4 | (35) | 196.3 |
Sales of Commodities [Member] | ||||
Revenues: | ||||
Total revenues | 1,684.2 | 2,154.1 | 3,660.7 | 4,327.4 |
Fees from Midstream Services [Member] | ||||
Revenues: | ||||
Total revenues | $ 311.1 | $ 290.3 | $ 634 | $ 572.6 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Net income (loss) | $ 51.7 | $ 162.6 | $ 32.7 | $ 218.6 |
Other comprehensive income (loss): | ||||
Other comprehensive income (loss) | 45.1 | (95.2) | (15) | (3.9) |
Comprehensive income (loss) | 96.8 | 67.4 | 17.7 | 214.7 |
Less: Comprehensive income (loss) attributable to noncontrolling interests | 56.3 | 9.2 | 67.7 | 22.3 |
Comprehensive income (loss) attributable to Targa Resources Partners LP | 40.5 | 58.2 | (50) | 192.4 |
Commodity Contracts [Member] | ||||
Other comprehensive income (loss): | ||||
Change in fair value | 88.4 | (103) | 49.6 | (38.3) |
Settlements reclassified to revenues | $ (43.3) | $ 7.8 | $ (64.6) | $ 34.4 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN OWNERS' EQUITY (Unaudited) - USD ($) shares in Thousands, $ in Millions | Total | Limited Partner Preferred [Member] | Limited Partners Common [Member] | General Partner Units [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Non-controlling Interests [Member] |
Balance at Dec. 31, 2017 | $ 7,858.2 | $ 120.6 | $ 6,500.3 | $ 808.2 | $ (46) | $ 475.1 |
Balance (in units) at Dec. 31, 2017 | 5,000 | 275,168 | 5,629 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Contributions from Targa Resources Corp. | 80.1 | $ 0 | $ 78.5 | $ 1.6 | 0 | 0 |
Contributions from Targa Resources Corp. (in units) | 0 | 0 | 0 | |||
Acquisition of related party (see Note 15) | 1.1 | $ 0 | $ 0 | $ 0 | 0 | 1.1 |
Purchase of noncontrolling interests in subsidiary | (0.1) | 0 | 0 | 0 | 0 | (0.1) |
Distributions to noncontrolling interests | (33.8) | 0 | 0 | 0 | 0 | (33.8) |
Contributions from noncontrolling interests | 447.2 | 0 | 0 | 0 | 0 | 447.2 |
Other comprehensive income (loss) | (3.9) | 0 | 0 | 0 | (3.9) | 0 |
Net income (loss) | 218.6 | 5.6 | 186.9 | 3.8 | 0 | 22.3 |
Distributions | (458.2) | (5.6) | (443.5) | (9.1) | 0 | 0 |
Balance at Jun. 30, 2018 | 8,109.2 | $ 120.6 | $ 6,322.2 | $ 804.5 | (49.9) | 911.8 |
Balance (in units) at Jun. 30, 2018 | 5,000 | 275,168 | 5,629 | |||
Balance at Mar. 31, 2018 | 8,101.8 | $ 120.6 | $ 6,377.1 | $ 805.7 | 45.3 | 753.1 |
Balance (in units) at Mar. 31, 2018 | 5,000 | 275,168 | 5,629 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Contributions from Targa Resources Corp. | 20.1 | $ 0 | $ 19.7 | $ 0.4 | 0 | 0 |
Contributions from Targa Resources Corp. (in units) | 0 | 0 | 0 | |||
Acquisition of related party (see Note 15) | 1.1 | $ 0 | $ 0 | $ 0 | 0 | 1.1 |
Purchase of noncontrolling interests in subsidiary | (1.3) | 0 | 0 | 0 | 0 | (1.3) |
Distributions to noncontrolling interests | (17.3) | 0 | 0 | 0 | 0 | (17.3) |
Contributions from noncontrolling interests | 167.1 | 0 | 0 | 0 | 0 | 167.1 |
Other comprehensive income (loss) | (95.2) | 0 | 0 | 0 | (95.2) | 0 |
Net income (loss) | 162.6 | 2.8 | 147.7 | 3 | 0 | 9.1 |
Distributions | (229.7) | (2.8) | (222.3) | (4.6) | 0 | 0 |
Balance at Jun. 30, 2018 | 8,109.2 | $ 120.6 | $ 6,322.2 | $ 804.5 | (49.9) | 911.8 |
Balance (in units) at Jun. 30, 2018 | 5,000 | 275,168 | 5,629 | |||
Balance at Dec. 31, 2018 | 8,546.1 | $ 120.6 | $ 6,227.2 | $ 802.6 | 124.9 | 1,270.8 |
Balance (in units) at Dec. 31, 2018 | 5,000 | 275,168 | 5,629 | |||
Balance at Mar. 31, 2019 | 8,403.9 | $ 120.6 | $ 5,961 | $ 797.1 | 64.8 | 1,460.4 |
Balance (in units) at Mar. 31, 2019 | 5,000 | 275,168 | 5,629 | |||
Balance at Dec. 31, 2018 | 8,546.1 | $ 120.6 | $ 6,227.2 | $ 802.6 | 124.9 | 1,270.8 |
Balance (in units) at Dec. 31, 2018 | 5,000 | 275,168 | 5,629 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Contributions from Targa Resources Corp. | 190 | $ 0 | $ 186.2 | $ 3.8 | 0 | 0 |
Contributions from Targa Resources Corp. (in units) | 0 | 0 | 0 | |||
Sale of ownership interests in subsidiaries | 1,609 | $ 0 | $ (10.5) | $ (0.2) | 0 | 1,619.7 |
Distributions to noncontrolling interests | (85.5) | 0 | 0 | 0 | 0 | (85.5) |
Contributions from noncontrolling interests | 403.5 | 0 | 0 | 0 | 0 | 403.5 |
Other comprehensive income (loss) | (15) | 0 | 0 | 0 | (15) | 0 |
Net income (loss) | 32.7 | 5.6 | (39.8) | (0.8) | 0 | 67.7 |
Distributions | (679.1) | (5.6) | (660) | (13.5) | 0 | 0 |
Balance at Jun. 30, 2019 | 10,001.7 | $ 120.6 | $ 5,703.1 | $ 791.9 | 109.9 | 3,276.2 |
Balance (in units) at Jun. 30, 2019 | 5,000 | 275,168 | 5,629 | |||
Balance at Mar. 31, 2019 | 8,403.9 | $ 120.6 | $ 5,961 | $ 797.1 | 64.8 | 1,460.4 |
Balance (in units) at Mar. 31, 2019 | 5,000 | 275,168 | 5,629 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Contributions from Targa Resources Corp. | 190 | $ 0 | $ 186.2 | $ 3.8 | 0 | 0 |
Contributions from Targa Resources Corp. (in units) | 0 | 0 | 0 | |||
Sale of ownership interests in subsidiaries | 1,609 | $ 0 | $ (10.5) | $ (0.2) | 0 | 1,619.7 |
Distributions to noncontrolling interests | (66.9) | 0 | 0 | 0 | 0 | (66.9) |
Contributions from noncontrolling interests | 206.7 | 0 | 0 | 0 | 0 | 206.7 |
Other comprehensive income (loss) | 45.1 | 0 | 0 | 0 | 45.1 | 0 |
Net income (loss) | 51.7 | 2.8 | (7.3) | (0.1) | 0 | 56.3 |
Distributions | (437.8) | (2.8) | (426.3) | (8.7) | 0 | 0 |
Balance at Jun. 30, 2019 | $ 10,001.7 | $ 120.6 | $ 5,703.1 | $ 791.9 | $ 109.9 | $ 3,276.2 |
Balance (in units) at Jun. 30, 2019 | 5,000 | 275,168 | 5,629 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Cash flows from operating activities | ||
Net income (loss) | $ 32.7 | $ 218.6 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Amortization in interest expense | 4.6 | 4.6 |
Depreciation and amortization expense | 474.6 | 400.7 |
Accretion of asset retirement obligations | 2.3 | 1.8 |
Increase (decrease) in redemption value of mandatorily redeemable preferred interests | 0 | (75.4) |
Equity (earnings) loss of unconsolidated affiliates | (5.9) | (3.4) |
Distributions of earnings received from unconsolidated affiliates | 14.4 | 9.7 |
Risk management activities | 0.1 | 10.4 |
(Gain) loss on sale or disposition of assets | 3.1 | (46.8) |
(Gain) loss from financing activities | 1.4 | 1.3 |
Change in contingent considerations | 8.9 | (4.5) |
Changes in operating assets and liabilities, net of business acquisitions: | ||
Receivables and other assets | 198.2 | (23.9) |
Inventories | (76.7) | 9.3 |
Accounts payable and other liabilities | (112.7) | 45.2 |
Net cash provided by operating activities | 545 | 547.6 |
Cash flows from investing activities | ||
Outlays for property, plant and equipment | (1,750.5) | (1,162.5) |
Proceeds from sale of assets | 2.4 | 71.5 |
Investments in unconsolidated affiliates | (194.8) | (142.6) |
Return of capital from unconsolidated affiliates | 0.1 | 2 |
Other, net | (19.1) | (5.3) |
Net cash used in investing activities | (1,961.9) | (1,236.9) |
Debt obligations: | ||
Proceeds from borrowings under credit facility | 1,320 | 600 |
Repayments of credit facility | (1,830) | (620) |
Proceeds from borrowings under accounts receivable securitization facility | 742.9 | 270 |
Repayments of accounts receivable securitization facility | (724.6) | (440) |
Proceeds from issuance of senior notes | 1,500 | 1,000 |
Redemption of senior notes | (749.4) | 0 |
Principal payments of finance leases | (5.5) | 0 |
Costs incurred in connection with financing arrangements | (25.1) | (15.8) |
Payment of contingent consideration | (317.1) | 0 |
Sale of ownership interests in subsidiaries | 1,619.7 | (0.1) |
Contributions from general partner | 3.8 | 1.6 |
Contributions from TRC | 186.2 | 78.5 |
Contributions from noncontrolling interests | 403.5 | 447.2 |
Distributions to noncontrolling interests | (35.9) | (33.8) |
Distributions to unitholders | (679.1) | (458.2) |
Net cash provided by financing activities | 1,409.4 | 829.4 |
Net change in cash and cash equivalents | (7.5) | 140.1 |
Cash and cash equivalents, beginning of period | 203.3 | 124.7 |
Cash and cash equivalents, end of period | $ 195.8 | $ 264.8 |
Organization and Operations
Organization and Operations | 6 Months Ended |
Jun. 30, 2019 | |
Limited Liability Company Or Limited Partnership Business Organization And Operations [Abstract] | |
Organization and Operations | Note 1 — Organization and Operations Our Organization Targa Resources Partners LP is a Delaware limited partnership formed in October 2006 by our parent, Targa Resources Corp. (“Targa” or “TRC” or the “Company” or “Parent”). In this Quarterly Report, unless the context requires otherwise, references to “we,” “us,” “our,” “TRP,” or the “Partnership” are intended to mean the business and operations of Targa Resources Partners LP and its consolidated subsidiaries. Our common units are wholly owned by TRC and no longer publicly traded as a result of TRC’s acquisition of our outstanding common units that it and its subsidiaries did not already own in 2016. The 5,000,000 9.00% Series A Fixed-to-Floating Rate Cumulative Redeemable Perpetual Preferred Units (the “Preferred Units”) that were issued in October 2015 remain outstanding as limited partner interests in us and continue to trade on the NYSE under the symbol “NGLS PA.” Our Operations We are primarily engaged in the business of: • gathering, compressing, treating, processing, transporting and selling natural gas; • transporting, storing, fractionating, treating and selling NGLs and NGL products, including services to LPG exporters; and • gathering, storing, terminaling and selling crude oil. See Note 20 – Segment Information for certain financial information regarding our business segments. The employees supporting our operations are employed by Targa. Our consolidated financial statements include the direct costs of Targa employees deployed to our operating segments, as well as an allocation of costs associated with our usage of Targa’s centralized general and administrative services. |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Basis of Presentation | Note 2 — Basis of Presentation The accompanying unaudited consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and do not include all information and disclosures required by GAAP. Therefore, this information should be read in conjunction with our consolidated financial statements and notes contained in our Annual Report. The information furnished herein reflects all adjustments that are, in the opinion of management, necessary for a fair statement of the results of the interim periods reported. All significant intercompany balances and transactions have been eliminated in consolidation. Certain amounts in prior periods may have been reclassified to conform to the current year presentation. Operating results for the three and six months ended June 30, 2019, are not necessarily indicative of the results that may be expected for the year ending December 31, 2019 . |
Significant Accounting Policies
Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | Note 3 — Significant Accounting Policies The accounting policies that we follow are set forth in Note 3 – Significant Accounting Policies of the Notes to Consolidated Financial Statements in our Annual Report. Other than the updates noted below, there were no significant updates or revisions to our accounting policies during the six months ended June 30, 2019. Recent Accounting Pronouncements Recently adopted accounting pronouncements Leases In February 2016, the Financial Accounting Standards Board Accounting Standards Update (“ASU”) Leases (net of $0.4 million of lease incentives/deferred rent) • The package for transition relief, which among other things, allows us to carry forward our historical lease classification; • The land easements transition, which allows us to carry forward our historical accounting treatment for land easements prior to the effective date of the new leases standard, and evaluate only new or modified land easements on or after January 1, 2019 under Topic 842; • The short-term lease election, which allows us to elect not to record leases with an initial term of twelve months or less, for all asset classes; • The election to not separate non-lease components from lease components for all the asset classes in our current lease portfolio, where Targa is the lessee; and • The election to not separate non-lease components from lease components for gathering, processing and storage assets, where Targa is the lessor. Based on our election, we determined the non-lease component in certain of these arrangements is the predominant component and therefore account for the arrangements under ASC 606. We recognize the following for all leases (with the exception of short-term leases) at the commencement date: • A lease liability, which is a lessee’s obligation to make lease payments arising from a lease. • A right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. We determine if an arrangement is or contains a lease at inception. Leases with an initial term of twelve months or less are considered short-term leases, which are excluded from the balance sheet. Right-of-use assets and lease liabilities are recognized at the commencement date based on the present value of future lease payments over the lease term. The right-of-use asset also includes any lease prepayments and excludes lease incentives. As most of the Company’s leases do not provide an implicit interest rate, we use our incremental borrowing rate as the discount rate to compute the present value of our lease liability. The discount rate applied is determined based on information available on the date of adoption for all leases existing as of that date, and on the date of lease commencement for all subsequent leases. Our lease arrangements may include variable lease payments based on an index or market rate, or may be based on performance. For variable lease payments based on an index or market rate, we estimate and apply a rate based on information available at the commencement date. Variable lease payments based on performance are excluded from the calculation of the right-of-use asset and lease liability, and are recognized in our Consolidated Statements of Operations when the contingency underlying such variable lease payments is resolved. Our lease terms may include options to extend or terminate the lease. Such options are included in the measurement of our right-of-use asset and liability, provided we determine that we are reasonably certain to exercise the option. See Note 11 – Leases for additional details. |
Divestitures
Divestitures | 6 Months Ended |
Jun. 30, 2019 | |
Business Combinations [Abstract] | |
Divestitures | Note 4 — Train 7 Joint Venture In February 2019, we announced an extension of the Grand Prix NGL pipeline (“Grand Prix”) from Southern Oklahoma to the STACK region of Central Oklahoma where it will connect with the Williams Companies, Inc. (“Williams”) Bluestem Pipeline and link the Conway, Kansas, and Mont Belvieu, Texas, NGL markets. In connection with this project, Williams has committed significant volumes to us that we will transport on Grand Prix and fractionate at our Mont Belvieu facilities. Williams also had an initial option to purchase a 20% equity interest in one of our recently announced 110 MBbl/d fractionation trains (Train 7 or Train 8) in Mont Belvieu. Williams exercised its option to acquire a 20% equity interest in Train 7 and subsequently executed a joint venture agreement with us in the second quarter of 2019. Certain fractionation-related infrastructure for Train 7, including storage caverns and brine handling, will be funded and owned 100% by Targa. We present Train 7 on a consolidated basis in our consolidated financial statements. Sale of Interest in Targa Badlands LLC On April 3, 2019, we closed on the sale of a 45 substantially collectively $1.6 After the seventh anniversary of the closing date or upon the occurrence of certain triggering events, we have the option to acquire all of Blackstone’s interest in Targa Badlands for a purchase price payable to Blackstone based on their liquidation preference after taking into account all prior distributions to Blackstone, plus a set percentage on a multiple of the trailing twelve-month EBITDA of Targa Badlands. Targa will continue to control the management of Targa Badlands pending the occurrence of certain triggering events, including that, by April 3, 2029, Blackstone has not received funds sufficient to meet its liquidation preference and Targa has not exercised its purchase right to acquire Blackstone’s interest. We continue Badlands Blackstone’s contributions are reflected as noncontrolling interests |
Inventories
Inventories | 6 Months Ended |
Jun. 30, 2019 | |
Inventory Disclosure [Abstract] | |
Inventories | Note 5 — Inventories June 30, 2019 December 31, 2018 Commodities $ 188.8 $ 151.1 Materials and supplies 16.3 13.6 $ 205.1 $ 164.7 |
Property, Plant and Equipment a
Property, Plant and Equipment and Intangible Assets | 6 Months Ended |
Jun. 30, 2019 | |
Property Plant And Equipment And Intangible Assets [Abstract] | |
Property, Plant and Equipment and Intangible Assets | Note 6 — Property, Plant and Equipment and Intangible Assets June 30, 2019 December 31, 2018 Estimated Useful Lives (In Years) Gathering systems $ 8,680.2 $ 7,547.9 5 to 20 Processing and fractionation facilities 4,699.7 4,001.0 5 to 25 Terminaling and storage facilities 1,278.1 1,138.7 5 to 25 Transportation assets 1,152.2 445.1 10 to 25 Other property, plant and equipment 252.7 334.3 3 to 25 Land 156.2 144.3 — Construction in progress 2,778.8 3,602.5 — Finance lease right-of-use assets 43.7 — Property, plant and equipment 19,041.6 17,213.8 Accumulated depreciation and amortization (4,673.2 ) (4,285.5 ) Property, plant and equipment, net $ 14,368.4 $ 12,928.3 Intangible assets $ 2,736.6 $ 2,736.6 10 to 20 Accumulated amortization (839.3 ) (753.4 ) Intangible assets, net $ 1,897.3 $ 1,983.2 During the preparation of the Company's first quarter 2019 consolidated financial statements, the Company identified an error related to depreciation expense on certain assets that should have been placed in-service during 2018. The Company does not believe this error is material to its previously issued historical consolidated financial statements for any of the periods impacted and accordingly, has not adjusted the historical financial statements. The Company recorded the cumulative impact of the adjustment in the period of identification, resulting in a one-time $12.5 million overstatement of depreciation expense. During the three and six months ended June 30, 2019, depreciation expense was $194.3 million and $388.7 million. During the three and six months ended June 30, 2018, depreciation expense was $156.8 million and $309.2 million. Intangible Assets Intangible assets consist of customer contracts and customer relationships acquired in prior business combinations. The fair value of these acquired intangible assets were determined at the date of acquisition based on the present values of estimated future cash flows. Amortization expense attributable to these assets is recorded over the periods in which we benefit from services provided to customers. The estimated annual amortization expense for intangible assets is approximately $171.6 million, $159.4 million, $149.5 million, $141.2 million and $136.0 million for each of the years 2019 through 2023. The changes in our intangible assets are as follows: Balance at December 31, 2018 $ 1,983.2 Amortization (85.9 ) Balance at June 30, 2019 $ 1,897.3 |
Investments in Unconsolidated A
Investments in Unconsolidated Affiliates | 6 Months Ended |
Jun. 30, 2019 | |
Equity Method Investments And Joint Ventures [Abstract] | |
Investments in Unconsolidated Affiliates | Note 7 – Investments in Unconsolidated Affiliates Our investments in unconsolidated affiliates consist of the following: Gathering and Processing Segment • two • a 50 Logistics and Marketing Segment • a 25% non-operated ownership interest in Gulf Coast Express Pipeline LLC (“GCX”) ; • a 38.8 • a 50% operated ownership interest in Cayenne Pipeline, LLC (“Cayenne”) ; and • a 10% non-operated ownership interest in Delaware Basin Residue, LLC (“Agua Blanca”) . The terms of these joint venture agreements do not afford us the degree of control required for consolidating them in our consolidated financial statements, but do afford us the significant influence required to employ the equity method of accounting The T2 Joint Ventures were formed to provide services for the benefit of their joint venture owners and have capacity lease agreements with their joint venture owners, which cover costs of operations (excluding depreciation and amortization). On April 1, 2019, we assumed the operatorship of the T2 Joint Ventures. The following table shows the activity related to our investments in unconsolidated affiliates: Balance at December 31, 2018 Equity Earnings (Loss) Cash Distributions Contributions Balance at June 30, 2019 GCX (1) $ 211.6 $ 1.5 $ — $ 171.8 $ 384.9 T2 Eagle Ford (2) 99.0 (4.9 ) — — 94.1 Little Missouri 4 67.3 — — 23.0 90.3 T2 LaSalle (2) 49.3 (2.5 ) — — 46.8 GCF 40.3 9.7 (9.6 ) — 40.4 Cayenne 16.6 3.6 (4.7 ) — 15.5 Agua Blanca 6.4 (1.5 ) (0.2 ) — 4.7 Total $ 490.5 $ 5.9 $ (14.5 ) $ 194.8 $ 676.7 (1) Our 25% interest in GCX is owned by Targa GCX Pipeline LLC (“GCX DevCo JV”), of which we own a 20% interest. GCX DevCo JV is accounted for on a consolidated basis in our consolidated financial statements. ( 2 ) As of June 30, 2019, $23.9 million of unamortized excess fair value over the T2 LaSalle and T2 Eagle Ford capital accounts remained. These basis differences, which are attributable to the underlying depreciable tangible gathering assets, are being amortized on a straight-line basis as components of equity earnings over the estimated 20-year useful lives of the underlying assets. The following table presents unaudited summarized income statement information of GCF (amounts represent 100% of investee financial information): Six Months Ended June 30, 2019 2018 Operating revenues $ 52.5 $ 48.9 Operating expenses 17.7 16.9 Net income 24.7 23.2 |
Accounts Payable and Accrued Li
Accounts Payable and Accrued Liabilities | 6 Months Ended |
Jun. 30, 2019 | |
Payables And Accruals [Abstract] | |
Accounts Payable and Accrued Liabilities | Note 8 — Accounts Payable and Accrued Liabilities June 30, 2019 December 31, 2018 Commodities $ 498.6 $ 721.9 Other goods and services 484.6 474.5 Interest 120.8 79.4 Permian Acquisition contingent consideration — 308.2 Income and other taxes 61.3 45.4 Other (1) 58.4 7.5 $ 1,223.7 $ 1,636.9 (1) The 2019 amount includes $49.6 million of accrued distributions to noncontrolling interests. Accounts payable and accrued liabilities includes $19.8 million and $52.2 million of liabilities to creditors to whom we have issued checks that remained outstanding as of June 30, 2019 and December 31, 2018. Permian Acquisition Contingent Consideration As a result of a 2017 acquisition of certain gas gathering and processing and crude gathering assets in the Permian Basin (the “Permian Acquisition”), we included the fair value of the contingent consideration in accounts payable and accrued liabilities as of December 31, 2018. The contingent consideration earn-out period ended on February 28, 2019 and resulted in a $317.1 million payment in May 2019. |
Debt Obligations
Debt Obligations | 6 Months Ended |
Jun. 30, 2019 | |
Debt Disclosure [Abstract] | |
Debt Obligations | Note 9 — Debt Obligations June 30, 2019 December 31, 2018 Current: Accounts receivable securitization facility, due December 2019 (1) $ 298.3 $ 280.0 Senior unsecured notes, 4⅛% fixed rate, due November 2019 — 749.4 298.3 1,029.4 Debt issuance costs, net of amortization — (1.5 ) Finance lease liabilities 11.0 — Current debt obligations 309.3 1,027.9 Long-term: Senior secured revolving credit facility, variable rate, due June 2023 (2) 190.0 700.0 Senior unsecured notes: 5¼% fixed rate, due May 2023 559.6 559.6 4¼% fixed rate, due November 2023 583.9 583.9 6¾% fixed rate, due March 2024 580.1 580.1 5⅛% fixed rate, due February 2025 500.0 500.0 5⅞% fixed rate, due April 2026 1,000.0 1,000.0 5⅜% fixed rate, due February 2027 500.0 500.0 6½% fixed rate, due July 2027 750.0 — 5% fixed rate, due January 2028 750.0 750.0 6⅞% fixed rate, due January 2029 750.0 — TPL notes, 4¾% fixed rate, due November 2021 (3) 6.5 6.5 TPL notes, 5⅞% fixed rate, due August 2023 (3) 48.1 48.1 Unamortized premium 0.3 0.3 6,218.5 5,228.5 Debt issuance costs, net of amortization (41.9 ) (31.1 ) Finance lease liabilities 27.4 — Long-term debt 6,204.0 5,197.4 Total debt obligations $ 6,513.3 $ 6,225.3 Irrevocable standby letters of credit outstanding (2) $ 66.0 $ 79.5 (1) As of June 30, 2019, we had $298.3 million of qualifying receivables under our $400.0 million accounts receivable securitization facility, resulting in zero availability. (2) As of June 30, 2019, availability under our $2.2 billion senior secured revolving credit facility (“TRP Revolver”) was $1,944.0 million. (3) “TPL” refers to Targa Pipeline Partners LP. The following table shows the range of interest rates and weighted average interest rate incurred on our variable-rate debt obligations during the six months ended June 30, 2019: Range of Interest Rates Incurred Weighted Average Interest Rate Incurred TRP Revolver 3.8% - 4.7% 4.3% Accounts receivable securitization facility 3.3% - 3.4% 3.4% Compliance with Debt Covenants As of June 30, 2019, we were in compliance with the covenants contained in our various debt agreements. Senior Unsecured Notes Issuances In January 2019, we issued $750.0 million of 6½% Senior Notes due July 2027 and $750.0 million of 6 ⅞ Debt Extinguishment In February 2019, we redeemed in full our outstanding 4 ⅛ |
Other Long-term Liabilities
Other Long-term Liabilities | 6 Months Ended |
Jun. 30, 2019 | |
Other Liabilities Noncurrent [Abstract] | |
Other Long-term Liabilities | Note 10 — Other Long-term Liabilities Other long-term liabilities are comprised of the following obligations: June 30, 2019 December 31, 2018 Asset retirement obligations $ 60.6 $ 55.0 Deferred revenue 173.9 175.5 Operating lease liabilities 21.2 — Other liabilities 4.0 3.3 Total long-term liabilities $ 259.7 $ 233.8 Asset Retirement Obligations Our asset retirement obligations (“ARO”) primarily relate to certain gas gathering pipelines, processing facilities and transportation assets. Deferred Revenue We have certain long-term contractual arrangements for which we have received consideration that we are not yet able to recognize as revenue. The resulting deferred revenue will be recognized once all conditions for revenue recognition have been met. Deferred revenue includes $129.0 million of payments received from Vitol Americas Corp. (“Vitol”) (formerly known as Noble Americas Corp.), a subsidiary of Vitol US Holding Co., in 2016, 2017, and 2018 as part of an agreement (the “Splitter Agreement”) related to the construction and operation of a crude oil and condensate splitter. In December 2018, Vitol elected to terminate the Splitter Agreement. The Splitter Agreement provides that the first three annual payments are ours if Vitol elects to terminate, which Vitol disputes. The timing of revenue recognition related to the Splitter Agreement deferred revenue is currently dependent upon resolution of the dispute with Vitol. Deferred revenue also includes nonmonetary consideration received in a 2015 amendment to a gas gathering and processing agreement and consideration received for other construction activities of facilities connected to our systems. The following table shows the changes in deferred revenue: Balance at December 31, 2018 $ 175.5 Additions 0.2 Revenue recognized (1.8 ) Balance at June 30, 2019 $ 173.9 |
Leases
Leases | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Leases | Note 11 – Leases We have non-cancellable operating leases primarily associated with our office facilities, rail assets, land, and storage and terminal assets. We have finance leases primarily associated with our tractors and vehicles. Our leases have remaining lease terms of 1 to 6 years, some of which include options to extend the lease term for up to 10 years. The balances of right-of-use assets and liabilities of finance leases and operating leases, and their locations on our Consolidated Balance Sheets are as follows: Balance Sheet Location June 30, 2019 Right-of-use assets Operating leases, gross Other long-term assets $ 31.5 Finance leases, gross Property, plant and equipment 43.7 Lease liabilities Current: Operating leases Accounts payable and accrued liabilities $ 7.3 Finance leases Current debt obligations 11.0 Non-current: Operating leases Other long-term liabilities $ 21.2 Finance leases Long-term debt 27.4 Operating lease costs and short-term lease costs are included in Operating expenses or General and administrative expense in our Consolidated Statements of Operations, depending on the nature of the leases. Finance lease costs are included in Depreciation and amortization expense and Interest income (expense) in our Consolidated Statements of Operations. The components of lease expense were as follows: Three Months Ended June 30, 2019 Six Months Ended June 30, 2019 Lease cost Operating lease cost $ 1.9 $ 3.7 Short-term lease cost 8.1 15.7 Variable lease cost 1.6 2.9 Finance lease cost Amortization of right-of-use assets 3.2 6.4 Interest expense 0.4 0.8 Total lease cost $ 15.2 $ 29.5 Other supplemental information related to our leases are as follows: Six Months Ended June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows for operating leases $ 3.7 Operating cash flows for finance leases 0.8 Financing cash flows for finance leases 5.5 The weighted-average remaining lease terms for operating leases and finance leases are 4 years and 3 years, respectively. The weighted-average discount rates for operating leases and finance leases are 3.9% and 3.9%, respectively. The following table presents the maturities of our lease liabilities under non-cancellable leases as of June 30, 2019: Operating Leases Finance Leases Future Minimum Lease Payments Beginning After June 30, 2019 $ 7.6 $ 12.3 2020 6.9 11.4 2021 6.4 9.3 2022 5.1 7.5 2023 3.2 0.7 Thereafter 1.9 — Total undiscounted cash flows 31.1 41.2 Less imputed interest (2.6 ) (2.8 ) Total lease liabilities $ 28.5 $ 38.4 The following table presents future minimum payments under non-cancellable leases as of December 31, 2018: Leases 2019 $ 20.5 2020 17.7 2021 14.9 2022 12.6 2023 6.0 Thereafter 1.7 Total payments $ 73.4 |
Partnership Units and Related M
Partnership Units and Related Matters | 6 Months Ended |
Jun. 30, 2019 | |
Partners Capital [Abstract] | |
Partnership Units and Related Matters | Note 12 — Partnership Units and Related Matters Distributions TRC is entitled to receive all Partnership distributions after payment of preferred distributions each quarter. The following table details the distributions declared and paid by us for the six months ended June 30, 2019: Three Months Ended Date Paid or To Be Paid Total Distributions Distributions to Targa Resources Corp. June 30, 2019 August 13, 2019 $ 242.4 $ 239.6 March 31, 2019 April 5, 2019 437.8 435.0 December 31, 2018 February 13, 2019 241.3 238.5 Contributions All capital contributions to us continue to be allocated 98% to the limited partner and 2% to our general partner; however, no units will be issued for those contributions. During the three and six months ended June 30, 2019, TRC made total contributions of $190.0 million and $190.0 million to us. Preferred Units Our Preferred Units rank senior to our common units with respect to distribution rights. Distributions on our 5,000,000 Preferred Units are cumulative from the date of original issue in October 2015 and are payable monthly in arrears on the 15th day of each month of each year, when, as and if declared by the board of directors of our general partner. Distributions on our Preferred Units are payable out of amounts legally available at a rate equal to 9.0% per annum. On and after November 1, 2020, distributions on our Preferred Units will accumulate at an annual floating rate equal to the one-month LIBOR plus a spread of 7.71%. We paid $2.8 million and $5.6 million of distributions to the holders of Preferred Units (“Preferred Unitholders”) for the three and six months ended June 30, 2019. Subsequent Event In July 2019, the board of directors of our general partner declared a cash distribution of $0.1875 per Preferred Unit, resulting in approximately $0.9 million in distributions that will be paid on August 15, 2019. |
Derivative Instruments and Hedg
Derivative Instruments and Hedging Activities | 6 Months Ended |
Jun. 30, 2019 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivative Instruments and Hedging Activities | Note 13 — Derivative Instruments and Hedging Activities The primary purpose of our commodity risk management activities is to manage our exposure to commodity price risk and reduce volatility in our operating cash flow due to fluctuations in commodity prices. We have entered into derivative instruments to hedge the commodity price risks associated with a portion of our expected (i) natural gas, NGL, and condensate equity volumes in our Gathering and Processing operations that result from percent-of-proceeds processing arrangements, (ii) future commodity purchases and sales in our Logistics and Marketing segment and (iii) natural gas transportation basis risk in our Logistics and Marketing segment. The hedge positions associated with (i) and (ii) above will move favorably in periods of falling commodity prices and unfavorably in periods of rising commodity prices and are designated as cash flow hedges for accounting purposes. The hedges generally match the NGL product composition and the NGL delivery points of our physical equity volumes. Our natural gas hedges are a mixture of specific gas delivery points and Henry Hub. The NGL hedges may be transacted as specific NGL hedges or as baskets of ethane, propane, normal butane, isobutane and natural gasoline based upon our expected equity NGL composition. We believe this approach avoids uncorrelated risks resulting from employing hedges on crude oil or other petroleum products as “proxy” hedges of NGL prices. Our natural gas and NGL hedges are settled using published index prices for delivery at various locations. We hedge a portion of our condensate equity volumes using crude oil hedges that are based on the NYMEX futures contracts for West Texas Intermediate light, sweet crude, which approximates the prices received for condensate. This exposes us to a market differential risk if the NYMEX futures do not move in exact parity with the sales price of our underlying condensate equity volumes. We also enter into derivative instruments to help manage other short-term commodity-related business risks. We have not designated these derivatives as hedges and record changes in fair value and cash settlements to revenues. At June 30, 2019, the notional volumes of our commodity derivative contracts were: Commodity Instrument Unit 2019 2020 2021 2022 2023 Natural Gas Swaps MMBtu/d 191,237 79,930 52,055 - - Natural Gas Basis Swaps MMBtu/d 149,592 285,389 216,658 200,000 145,000 NGL Swaps Bbl/d 27,468 15,237 5,646 - - NGL Futures Bbl/d 16,620 12,844 - - - NGL Options Bbl/d 410 - - - - Condensate Swaps Bbl/d 4,306 3,240 2,254 210 - Condensate Options Bbl/d 590 - - - - Our derivative contracts are subject to netting arrangements that permit our contracting subsidiaries to net cash settle offsetting asset and liability positions with the same counterparty within the same Targa entity. We record derivative assets and liabilities on our Consolidated Balance Sheets on a gross basis, without considering the effect of master netting arrangements. The following schedules reflect the fair value of our derivative instruments and their location on our Consolidated Balance Sheets as well as pro forma reporting assuming that we reported derivatives subject to master netting agreements on a net basis: Fair Value as of June 30, 2019 Fair Value as of December 31, 2018 Balance Sheet Derivative Derivative Derivative Derivative Location Assets Liabilities Assets Liabilities Derivatives designated as hedging instruments Commodity contracts Current $ 98.6 $ (17.2 ) $ 112.5 $ (18.9 ) Long-term 28.1 (0.8 ) 31.6 (1.5 ) Total derivatives designated as hedging instruments $ 126.7 $ (18.0 ) $ 144.1 $ (20.4 ) Derivatives not designated as hedging instruments Commodity contracts Current $ 5.3 $ (33.7 ) $ 2.8 $ (14.7 ) Long-term 19.3 (1.9 ) 2.5 (1.6 ) Total derivatives not designated as hedging instruments $ 24.6 $ (35.6 ) $ 5.3 $ (16.3 ) Total current position $ 103.9 $ (50.9 ) $ 115.3 $ (33.6 ) Total long-term position 47.4 (2.7 ) 34.1 (3.1 ) Total derivatives $ 151.3 $ (53.6 ) $ 149.4 $ (36.7 ) The pro forma impact of reporting derivatives on our Consolidated Balance Sheets on a net basis is as follows: Gross Presentation Pro Forma Net Presentation June 30, 2019 Asset Liability Collateral Asset Liability Current Position Counterparties with offsetting positions or collateral $ 76.4 $ (43.9 ) $ (19.7 ) $ 48.7 $ (35.9 ) Counterparties without offsetting positions - assets 27.5 - - 27.5 - Counterparties without offsetting positions - liabilities - (7.0 ) - - (7.0 ) 103.9 (50.9 ) (19.7 ) 76.2 (42.9 ) Long Term Position Counterparties with offsetting positions or collateral 30.1 (2.6 ) - 27.5 - Counterparties without offsetting positions - assets 17.3 - - 17.3 - Counterparties without offsetting positions - liabilities - (0.1 ) - - (0.1 ) 47.4 (2.7 ) - 44.8 (0.1 ) Total Derivatives Counterparties with offsetting positions or collateral 106.5 (46.5 ) (19.7 ) 76.2 (35.9 ) Counterparties without offsetting positions - assets 44.8 - - 44.8 - Counterparties without offsetting positions - liabilities - (7.1 ) - - (7.1 ) $ 151.3 $ (53.6 ) $ (19.7 ) $ 121.0 $ (43.0 ) Gross Presentation Pro Forma Net Presentation December 31, 2018 Asset Liability Collateral Asset Liability Current Position Counterparties with offsetting positions or collateral $ 100.0 $ (33.6 ) $ (14.2 ) $ 70.0 $ (17.8 ) Counterparties without offsetting positions - assets 15.3 - - 15.3 - Counterparties without offsetting positions - liabilities - - - - - 115.3 (33.6 ) (14.2 ) 85.3 (17.8 ) Long Term Position Counterparties with offsetting positions or collateral 8.9 (3.1 ) - 5.9 (0.1 ) Counterparties without offsetting positions - assets 25.2 - - 25.2 - Counterparties without offsetting positions - liabilities - - - - - 34.1 (3.1 ) - 31.1 (0.1 ) Total Derivatives Counterparties with offsetting positions or collateral 108.9 (36.7 ) (14.2 ) 75.9 (17.9 ) Counterparties without offsetting positions - assets 40.5 - - 40.5 - Counterparties without offsetting positions - liabilities - - - - - $ 149.4 $ (36.7 ) $ (14.2 ) $ 116.4 $ (17.9 ) Our payment obligations in connection with a majority of these hedging transactions are secured by a first priority lien in the collateral securing the TRP Revolver that ranks equal in right of payment with liens granted in favor of our senior secured lenders. Some of our hedges are futures contracts executed through brokers that clear the hedges through an exchange. We maintain a margin deposit with the brokers in an amount sufficient enough to cover the fair value of our open futures positions. The margin deposit is considered collateral, which is located within other current assets on our Consolidated Balance Sheets and is not offset against the fair value of our derivative instruments. The fair value of our derivative instruments, depending on the type of instrument, was determined by the use of present value methods or standard option valuation models with assumptions about commodity prices based on those observed in underlying markets. The estimated fair value of our derivative instruments was a net asset of $97.7 million as of June 30, 2019. The estimated fair value is net of an adjustment for credit risk based on the default probabilities as indicated by market quotes for the counterparties’ credit default swap rates. The credit risk adjustment was immaterial for all periods presented. Our futures contracts that are cleared through an exchange are margined daily and do not require any credit adjustment. The following tables reflect amounts recorded in Other comprehensive income (“OCI”) and amounts reclassified from OCI to revenue for the periods indicated: Gain (Loss) Recognized in OCI on Derivatives (Effective Portion) Derivatives in Cash Flow Three Months Ended June 30, Six Months Ended June 30, Hedging Relationships 2019 2018 2019 2018 Commodity contracts $ 88.4 $ (103.0 ) $ 49.6 $ (38.3 ) Gain (Loss) Reclassified from OCI into Income (Effective Portion) Three Months Ended June 30, Six Months Ended June 30, Location of Gain (Loss) 2019 2018 2019 2018 Revenues $ 43.3 $ (7.8 ) $ 64.6 $ (34.4 ) Our consolidated earnings are also affected by the use of the mark-to-market method of accounting for derivative instruments that do not qualify for hedge accounting or that have not been designated as hedges. The changes in fair value of these instruments are recorded on the balance sheet and through earnings rather than being deferred until the anticipated transaction settles. The use of mark-to-market accounting for financial instruments can cause non-cash earnings volatility due to changes in the underlying commodity price indices. Location of Gain Gain (Loss) Recognized in Income on Derivatives Derivatives Not Designated Recognized in Income on Three Months Ended June 30, Six Months Ended June 30, as Hedging Instruments Derivatives 2019 2018 2019 2018 Commodity contracts Revenue $ (1.1 ) $ (2.2 ) $ (10.5 ) $ (13.0 ) Based on valuations as of June 30, 2019, we expect to reclassify commodity hedge-related deferred gains of $108.7 million included in accumulated other comprehensive income into earnings before income taxes through the end of 2022, with $81.3 million of gains to be reclassified over the next twelve months. See Note 14 – Fair Value Measurements and Note 20 – Segment Information for additional disclosures related to derivative instruments and hedging activities. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 14 — Fair Value Measurements Under GAAP, our Consolidated Balance Sheets reflect a mixture of measurement methods for financial assets and liabilities (“financial instruments”). Derivative financial instruments and contingent consideration related to business acquisitions are reported at fair value on our Consolidated Balance Sheets. Other financial instruments are reported at historical cost or amortized cost on our Consolidated Balance Sheets. The following are additional qualitative and quantitative disclosures regarding fair value measurements of financial instruments. Fair Value of Derivative Financial Instruments Our derivative instruments consist of financially settled commodity swaps, futures, option contracts and fixed-price forward commodity contracts with certain counterparties. We determine the fair value of our derivative contracts using present value methods or standard option valuation models with assumptions about commodity prices based on those observed in underlying markets. We have consistently applied these valuation techniques in all periods presented and we believe we have obtained the most accurate information available for the types of derivative contracts we hold. The fair values of our derivative instruments are sensitive to changes in forward pricing on natural gas, NGLs and crude oil. The financial position of these derivatives at June 30, 2019, a net asset position of $97.7 million, reflects the present value, adjusted for counterparty credit risk, of the amount we expect to receive or pay in the future on our derivative contracts. If forward pricing on natural gas, NGLs and crude oil were to increase by 10%, the result would be a fair value reflecting a net asset of $5.2 million, ignoring an adjustment for counterparty credit risk. If forward pricing on natural gas, NGLs and crude oil were to decrease by 10%, the result would be a fair value reflecting a net asset of $189.1 million, ignoring an adjustment for counterparty credit risk. Fair Value of Other Financial Instruments Due to their cash or near-cash nature, the carrying value of other financial instruments included in working capital (i.e., cash and cash equivalents, accounts receivable, accounts payable) approximates their fair value. Long-term debt is primarily the other financial instrument for which carrying value could vary significantly from fair value. We determined the supplemental fair value disclosures for our long-term debt as follows: • The TRP Revolver and the accounts receivable securitization facility are based on carrying value, which approximates fair value as their interest rates are based on prevailing market rates; and • Senior unsecured notes are based on quoted market prices derived from trades of the debt. Contingent consideration liabilities related to business acquisitions are carried at fair value until the end of the related earn-out period. Fair Value Hierarchy We categorize the inputs to the fair value measurements of financial assets and liabilities at each balance sheet reporting date using a three-tier fair value hierarchy that prioritizes the significant inputs used in measuring fair value: • Level 1 – observable inputs such as quoted prices in active markets; • Level 2 – inputs other than quoted prices in active markets that we can directly or indirectly observe to the extent that the markets are liquid for the relevant settlement periods; and • Level 3 – unobservable inputs in which little or no market data exists, therefore we must develop our own assumptions. The following table shows a breakdown by fair value hierarchy category for (1) financial instruments measurements included on our Consolidated Balance Sheets at fair value and (2) supplemental fair value disclosures for other financial instruments: June 30, 2019 Fair Value Carrying Value Total Level 1 Level 2 Level 3 Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value: Assets from commodity derivative contracts (1) $ 135.0 $ 135.0 $ — $ 134.6 $ 0.4 Liabilities from commodity derivative contracts (1) 37.3 37.3 — 37.2 0.1 TPL contingent consideration (2) 2.4 2.4 — — 2.4 Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value: Cash and cash equivalents 195.8 195.8 — — — TRP Revolver 190.0 190.0 — 190.0 — Senior unsecured notes 6,028.5 6,322.3 — 6,322.3 — Accounts receivable securitization facility 298.3 298.3 — 298.3 — December 31, 2018 Fair Value Carrying Value Total Level 1 Level 2 Level 3 Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value: Assets from commodity derivative contracts (1) $ 144.4 $ 144.4 $ — $ 137.5 $ 6.9 Liabilities from commodity derivative contracts (1) 31.7 31.7 — 31.3 0.4 Permian Acquisition contingent consideration 308.2 308.2 — — 308.2 TPL contingent consideration (2) 2.4 2.4 — — 2.4 Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value: Cash and cash equivalents 203.3 203.3 — — — TRP Revolver 700.0 700.0 — 700.0 — Senior unsecured notes 5,277.9 5,088.9 — 5,088.9 — Accounts receivable securitization facility 280.0 280.0 — 280.0 — (1) The fair value of derivative contracts in this table is presented on a different basis than the Consolidated Balance Sheets presentation as disclosed in Note 13– Derivative Instruments and Hedging Activities. The above fair values reflect the total value of each derivative contract taken as a whole, whereas the Consolidated Balance Sheets presentation is based on the individual maturity dates of estimated future settlements. As such, an individual contract could have both an asset and liability position when segregated into its current and long-term portions for Consolidated Balance Sheets classification purposes. (2) We have a contingent consideration liability for TPL’s previous acquisition of a gas gathering system and related assets, which is carried at fair value. Additional Information Regarding Level 3 Fair Value Measurements Included on Our Consolidated Balance Sheets We reported certain of our swaps and option contracts at fair value using Level 3 inputs due to such derivatives not having observable market prices or implied volatilities for substantially the full term of the derivative asset or liability. For valuations that include both observable and unobservable inputs, if the unobservable input is determined to be significant to the overall inputs, the entire valuation is categorized in Level 3. This includes derivatives valued using indicative price quotations whose contract length extends into unobservable periods. The fair value of these swaps is determined using a discounted cash flow valuation technique based on a forward commodity basis curve. For these derivatives, the primary input to the valuation model is the forward commodity basis curve, which is based on observable or public data sources and extrapolated when observable prices are not available. As of June 30, 2019, we had 7 commodity swap and option contracts categorized as Level 3. The significant unobservable inputs used in the fair value measurements of our Level 3 derivatives are (i) the forward natural gas liquids pricing curves, for which a significant portion of the derivative’s term is beyond available forward pricing and (ii) implied volatilities, which are unobservable as a result of inactive natural gas liquids options trading. The change in the fair value of Level 3 derivatives associated with a 10% change in the forward basis curve where prices are not observable is immaterial. The fair value of the TPL contingent consideration was determined using a probability-based model measuring the likelihood of meeting certain volumetric measures. The inputs are not observable; therefore, the entire valuation of the contingent consideration is categorized in Level 3. The Permian Acquisition contingent consideration earn-out period ended on February 28, 2019 and resulted in a $317.1 million payment in May 2019. See Note 8 – Accounts Payable and Accrued Liabilities for additional discussion of the Permian Acquisition contingent consideration. Changes in the fair value of these liabilities are included in Other income (expense) in our Consolidated Statements of Operations. The following table summarizes the changes in fair value of our financial instruments classified as Level 3 in the fair value hierarchy: Commodity Derivative Contracts Contingent Asset/(Liability) Consideration Balance, December 31, 2018 $ 6.5 $ (310.6 ) Completion of Permian Acquisition contingent consideration earn-out period — 308.2 New Level 3 derivative instruments (0.3 ) — Transfers out of Level 3 (6.5 ) — Unrealized gain/(loss) included in OCI 0.6 — Balance, June 30, 2019 $ 0.3 $ (2.4 ) |
Related Party Transactions - Ta
Related Party Transactions - Targa | 6 Months Ended |
Jun. 30, 2019 | |
Related Party Transactions [Abstract] | |
Related Party Transactions - Targa | Note 15 — Related Party Transactions – Targa Relationship with Targa We do not have any employees. Targa provides operational, general and administrative and other services to us associated with our existing assets and assets acquired from third parties. Targa performs centralized corporate functions for us, such as legal, accounting, treasury, insurance, risk management, health, safety and environmental, information technology, human resources, credit, payroll, internal audit, taxes, engineering and marketing. Our Partnership Agreement governs the reimbursement of costs incurred by Targa on behalf of us. Targa charges us for all the direct costs of the employees assigned to our operations, as well as all general and administrative support costs other than (1) costs attributable to Targa’s status as a separate reporting company and (2) until March 2018, costs of Targa providing management and support services to certain unaffiliated spun-off entities. We generally reimburse Targa monthly for cost allocations to the extent that Targa has made a cash outlay. The following table summarizes transactions with Targa: Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Targa billings of payroll and related costs included in operating expenses $ 61.6 $ 57.0 $ 115.7 $ 116.5 Targa allocation of general and administrative expense 61.1 47.4 128.8 94.7 Cash distributions to Targa based on general partner and limited partner ownership 435.0 226.9 673.5 452.6 Cash contributions from Targa related to limited partner ownership (1) 186.2 19.7 186.2 78.5 Cash contributions from Targa to maintain its 2% general partner ownership 3.8 0.4 3.8 1.6 (1) The cash contributions from Targa related to limited partner ownership were allocated 98% to the limited partner and 2% |
Contingencies
Contingencies | 6 Months Ended |
Jun. 30, 2019 | |
Loss Contingency [Abstract] | |
Contingencies | Note 1 6 – Contingencie s Legal Proceedings We are a party to various legal, administrative and regulatory proceedings that have arisen in the ordinary course of our business. We are also a party to various proceedings with governmental environmental agencies, including but not limited to the Environmental Protection Agency, Texas Commission on Environmental Quality, Oklahoma Department of Environmental Quality, New Mexico Environment Department, Louisiana Department of Environmental Quality and North Dakota Department of Environmental Quality, which assert penalties for alleged violations of environmental regulations, including air emissions, discharges into the environment and reporting deficiencies, related to events that have arisen at certain of our facilities in the ordinary course of our business. |
Revenue
Revenue | 6 Months Ended |
Jun. 30, 2019 | |
Revenue From Contract With Customer [Abstract] | |
Revenue | Note 17 – Revenue Fixed consideration allocated to remaining performance obligations The following table includes the estimated minimum revenue expected to be recognized in the future related to performance obligations that are unsatisfied (or partially unsatisfied) at the end of the reporting period and is comprised of fixed consideration primarily attributable to contracts with minimum volume commitments and for which a guaranteed amount of revenue can be calculated . These contracts are comprised primarily of gathering and processing, fractionation, export, terminaling and storage agreements. 2019 2020 2021 and after Fixed consideration to be recognized as of June 30, 2019 $ 272.8 $ 497.6 $ 3,373.6 In accordance with the optional exemptions that we elected to apply, the amounts presented in the table above exclude variable consideration for which the allocation exception is met and consideration associated with performance obligations of short-term contracts. In addition, consideration from contracts for which we recognize revenue at the amount that we have the right to invoice for services performed is also excluded from the table above, with the exception of any fixed consideration attributable to such contracts. The nature of the performance obligations for which the consideration has been excluded is consistent with the performance obligations described within our revenue recognition accounting policy; the estimated remaining duration of such contracts primarily ranges from 1 to 20 years. In addition, variability exists in the consideration excluded due to the unknown quantity and composition of volumes to be serviced or sold as well as fluctuations in the market price of commodities to be received as consideration or sold over the applicable remaining contract terms. Such variability is resolved at the end of each future month or quarter. For disclosures related to disaggregated revenue, see Note 20 – Segment Information. |
Other Operating (Income) Expens
Other Operating (Income) Expense | 6 Months Ended |
Jun. 30, 2019 | |
Other Income And Expenses [Abstract] | |
Other Operating (Income) Expense | Note 18 – Other Operating (Income) Expense Other operating (income) expense is comprised of the following: Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 (Gain) loss on sale or disposal of assets (1) $ (0.2 ) $ (46.7 ) $ 3.1 $ (46.8 ) Miscellaneous business tax — 0.3 0.2 0.6 Other — — — 0.1 $ (0.2 ) $ (46.4 ) $ 3.3 $ (46.1 ) (1) Our 2018 gain is comprised primarily of a $48.1 million |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 6 Months Ended |
Jun. 30, 2019 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | Note 19 — Supplemental Cash Flow Information Six Months Ended June 30, 2019 2018 Cash: Interest paid, net of capitalized interest (1) $ 106.2 $ 76.1 Income taxes paid, net of refunds (1.7 ) 0.2 Non-cash investing activities: Deadstock commodity inventory transferred to property, plant and equipment $ 21.2 $ 26.8 Impact of capital expenditure accruals on property, plant and equipment (4.3 ) 145.2 Transfers from materials and supplies inventory to property, plant and equipment 16.4 1.0 Contribution of property, plant and equipment to investments in unconsolidated affiliates — 16.0 Change in ARO liability and property, plant and equipment 3.4 1.2 Non-cash financing activities: Accrued distribution to noncontrolling interests $ 49.6 $ — Non-cash balance sheet movements related to acquisition of related party: Intercompany payable $ — $ 1.4 Noncontrolling interest — 1.1 Lease liabilities arising from recognition of right-of-use assets: Operating lease $ 6.6 $ — Finance lease 4.5 — __________________ (1) Interest capitalized on major projects was $36.1 million and $20.8 million for the six months ended June 30, 2019 and 2018. |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2019 | |
Segment Reporting [Abstract] | |
Segment Information | Note 20 — Segment Information We operate in two primary segments: (i) Gathering and Processing, and (ii) Logistics and Marketing (also referred to as the Downstream Business). Our reportable segments include operating segments that have been aggregated based on the nature of the products and services provided. Our Gathering and Processing segment includes assets used in the gathering of natural gas produced from oil and gas wells and processing this raw natural gas into merchantable natural gas by extracting NGLs and removing impurities; and assets used for crude oil gathering and terminaling. The Gathering and Processing segment's assets are located in the Permian Basin of West Texas and Southeast New Mexico (including the Midland and Delaware Basins); the Eagle Ford Shale in South Texas; the Barnett Shale in North Texas; the Anadarko, Ardmore, and Arkoma Basins in Oklahoma (including the SCOOP and STACK) and South Central Kansas; the Williston Basin in North Dakota; and the onshore and near offshore regions of the Louisiana Gulf Coast and the Gulf of Mexico. Our Logistics and Marketing segment includes the activities and assets necessary to convert mixed NGLs into NGL products and also includes other assets and value-added services such as transporting, storing, fractionating, terminaling and marketing of NGLs and NGL products, including services to LPG exporters; storing and terminaling of refined petroleum products and crude oil and certain natural gas supply and marketing activities in support of our other businesses. The associated assets are generally connected to and supplied in part by our Gathering and Processing segment and, except for pipelines and smaller terminals, are located predominantly in Mont Belvieu and Galena Park, Texas, and in Lake Charles, Louisiana. Other contains the results of commodity derivative activities related to Gathering and Processing hedges of equity volumes that are included in operating margin and mark-to-market gains/losses related to derivative contracts that were not designated as cash flow hedges. Elimination of inter-segment transactions are reflected in the corporate and eliminations column. Reportable segment information is shown in the following tables: Three Months Ended June 30, 2019 Gathering and Processing Logistics and Marketing Other Corporate and Eliminations Total Revenues Sales of commodities $ 259.4 $ 1,378.8 $ 46.0 $ — $ 1,684.2 Fees from midstream services 176.2 134.9 — — 311.1 435.6 1,513.7 46.0 — 1,995.3 Intersegment revenues Sales of commodities 539.7 43.6 — (583.3 ) — Fees from midstream services 1.5 7.0 — (8.5 ) — 541.2 50.6 — (591.8 ) — Revenues $ 976.8 $ 1,564.3 $ 46.0 $ (591.8 ) $ 1,995.3 Operating margin $ 193.1 $ 184.4 $ 46.0 $ — $ 423.5 Other financial information: Total assets (1) $ 12,038.6 $ 5,994.7 $ 124.8 $ 94.6 $ 18,252.7 Goodwill $ 46.6 $ — $ — $ — $ 46.6 Capital expenditures $ 420.8 $ 425.5 $ — $ 10.8 $ 857.1 (1) Assets in the Corporate and Eliminations column primarily include cash, prepaids and debt issuance costs for our TRP Revolver. Three Months Ended June 30, 2018 Gathering and Processing Logistics and Marketing Other Corporate and Eliminations Total Revenues Sales of commodities $ 273.6 $ 1,884.0 $ (3.5 ) $ — $ 2,154.1 Fees from midstream services 176.0 114.3 — — 290.3 449.6 1,998.3 (3.5 ) — 2,444.4 Intersegment revenues Sales of commodities 913.0 76.4 — (989.4 ) — Fees from midstream services 1.7 8.4 — (10.1 ) — 914.7 84.8 — (999.5 ) — Revenues $ 1,364.3 $ 2,083.1 $ (3.5 ) $ (999.5 ) $ 2,444.4 Operating margin $ 242.2 $ 129.9 $ (3.5 ) $ — $ 368.6 Other financial information: Total assets (1) $ 11,054.4 $ 4,293.5 $ 74.6 $ 148.2 $ 15,570.7 Goodwill $ 256.6 $ — $ — $ — $ 256.6 Capital expenditures $ 282.2 $ 418.2 $ — $ 34.4 $ 734.8 (1) Assets in the Corporate and Eliminations column primarily include cash, prepaids and debt issuance costs for our TRP Revolver. Six Months Ended June 30, 2019 Gathering and Processing Logistics and Marketing Other Corporate and Eliminations Total Revenues Sales of commodities $ 507.0 $ 3,105.6 $ 48.1 $ — $ 3,660.7 Fees from midstream services 376.1 257.9 — — 634.0 883.1 3,363.5 48.1 — 4,294.7 Intersegment revenues Sales of commodities 1,362.5 82.1 — (1,444.6 ) — Fees from midstream services 3.3 12.5 — (15.8 ) — 1,365.8 94.6 — (1,460.4 ) — Revenues $ 2,248.9 $ 3,458.1 $ 48.1 $ (1,460.4 ) $ 4,294.7 Operating margin $ 422.2 $ 336.3 $ 48.1 $ — $ 806.6 Other financial information: Total assets (1) $ 12,038.6 $ 5,994.7 $ 124.8 $ 94.6 $ 18,252.7 Goodwill $ 46.6 $ — $ — $ — $ 46.6 Capital expenditures $ 838.5 $ 896.3 $ — $ 27.8 $ 1,762.6 (1) Assets in the Corporate and Eliminations column primarily include cash, prepaids and debt issuance costs for our TRP Revolver. Six Months Ended June 30, 2018 Gathering and Processing Logistics and Marketing Other Corporate and Eliminations Total Revenues Sales of commodities $ 538.7 $ 3,810.1 $ (21.4 ) $ — $ 4,327.4 Fees from midstream services 337.5 235.1 — — 572.6 876.2 4,045.2 (21.4 ) — 4,900.0 Intersegment revenues Sales of commodities 1,779.2 131.5 — (1,910.7 ) — Fees from midstream services 3.8 15.8 — (19.6 ) — 1,783.0 147.3 — (1,930.3 ) — Revenues $ 2,659.2 $ 4,192.5 $ (21.4 ) $ (1,930.3 ) $ 4,900.0 Operating margin $ 463.2 $ 268.3 $ (21.4 ) $ — $ 710.1 Other financial information: Total assets (1) $ 11,054.4 $ 4,293.5 $ 74.6 $ 148.2 $ 15,570.7 Goodwill $ 256.6 $ — $ — $ — $ 256.6 Capital expenditures $ 555.4 $ 669.2 $ — $ 68.1 $ 1,292.7 (1) Assets in the Corporate and Eliminations column primarily include cash, prepaids and debt issuance costs for our TRP Revolver. The following table shows our consolidated revenues disaggregated by product and service for the periods presented: Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Sales of commodities: Revenue recognized from contracts with customers: Natural gas $ 217.6 $ 416.4 $ 628.9 $ 886.6 NGL 1,195.5 1,584.5 2,591.9 3,191.3 Condensate and crude oil 172.1 103.5 309.8 190.4 Petroleum products 56.8 59.6 76.0 107.8 1,642.0 2,164.0 3,606.6 4,376.1 Non-customer revenue: Derivative activities - Hedge 43.3 (7.7 ) 64.6 (35.7 ) Derivative activities - Non-hedge (1) (1.1 ) (2.2 ) (10.5 ) (13.0 ) 42.2 (9.9 ) 54.1 (48.7 ) Total sales of commodities 1,684.2 2,154.1 3,660.7 4,327.4 Fees from midstream services: Revenue recognized from contracts with customers: NGL transportation and services 40.1 37.2 76.3 78.3 Storage, terminaling and export 90.4 75.4 170.0 153.6 Gathering and processing 177.5 173.7 371.9 327.1 Other 3.1 4.0 15.8 13.6 Total fees from midstream services 311.1 290.3 634.0 572.6 Total revenues $ 1,995.3 $ 2,444.4 $ 4,294.7 $ 4,900.0 (1) Represents derivative activities that are not designated as hedging instruments under ASC 815. The following table shows a reconciliation of reportable segment operating margin to income (loss) before income taxes for the periods presented: Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Reconciliation of reportable segment operating margin to income (loss) before income taxes: Gathering and Processing operating margin $ 193.1 $ 242.2 $ 422.2 $ 463.2 Logistics and Marketing operating margin 184.4 129.9 336.3 268.3 Other operating margin 46.0 (3.5 ) 48.1 (21.4 ) Depreciation and amortization expense (237.2 ) (202.6 ) (474.6 ) (400.7 ) General and administrative expense (69.3 ) (53.2 ) (146.7 ) (106.0 ) Interest income (expense), net (69.5 ) (57.8 ) (144.9 ) (37.6 ) Change in contingent considerations 0.8 60.6 (8.9 ) 4.5 Other, net 3.4 47.0 1.2 48.3 Income (loss) before income taxes $ 51.7 $ 162.6 $ 32.7 $ 218.6 |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Recently adopted accounting pronouncements Leases In February 2016, the Financial Accounting Standards Board Accounting Standards Update (“ASU”) Leases (net of $0.4 million of lease incentives/deferred rent) • The package for transition relief, which among other things, allows us to carry forward our historical lease classification; • The land easements transition, which allows us to carry forward our historical accounting treatment for land easements prior to the effective date of the new leases standard, and evaluate only new or modified land easements on or after January 1, 2019 under Topic 842; • The short-term lease election, which allows us to elect not to record leases with an initial term of twelve months or less, for all asset classes; • The election to not separate non-lease components from lease components for all the asset classes in our current lease portfolio, where Targa is the lessee; and • The election to not separate non-lease components from lease components for gathering, processing and storage assets, where Targa is the lessor. Based on our election, we determined the non-lease component in certain of these arrangements is the predominant component and therefore account for the arrangements under ASC 606. We recognize the following for all leases (with the exception of short-term leases) at the commencement date: • A lease liability, which is a lessee’s obligation to make lease payments arising from a lease. • A right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. We determine if an arrangement is or contains a lease at inception. Leases with an initial term of twelve months or less are considered short-term leases, which are excluded from the balance sheet. Right-of-use assets and lease liabilities are recognized at the commencement date based on the present value of future lease payments over the lease term. The right-of-use asset also includes any lease prepayments and excludes lease incentives. As most of the Company’s leases do not provide an implicit interest rate, we use our incremental borrowing rate as the discount rate to compute the present value of our lease liability. The discount rate applied is determined based on information available on the date of adoption for all leases existing as of that date, and on the date of lease commencement for all subsequent leases. Our lease arrangements may include variable lease payments based on an index or market rate, or may be based on performance. For variable lease payments based on an index or market rate, we estimate and apply a rate based on information available at the commencement date. Variable lease payments based on performance are excluded from the calculation of the right-of-use asset and lease liability, and are recognized in our Consolidated Statements of Operations when the contingency underlying such variable lease payments is resolved. Our lease terms may include options to extend or terminate the lease. Such options are included in the measurement of our right-of-use asset and liability, provided we determine that we are reasonably certain to exercise the option. |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Inventory Disclosure [Abstract] | |
Components of Inventories | June 30, 2019 December 31, 2018 Commodities $ 188.8 $ 151.1 Materials and supplies 16.3 13.6 $ 205.1 $ 164.7 |
Property, Plant and Equipment_2
Property, Plant and Equipment and Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Property Plant And Equipment And Intangible Assets [Abstract] | |
Property, Plant and Equipment and Intangible Assets | June 30, 2019 December 31, 2018 Estimated Useful Lives (In Years) Gathering systems $ 8,680.2 $ 7,547.9 5 to 20 Processing and fractionation facilities 4,699.7 4,001.0 5 to 25 Terminaling and storage facilities 1,278.1 1,138.7 5 to 25 Transportation assets 1,152.2 445.1 10 to 25 Other property, plant and equipment 252.7 334.3 3 to 25 Land 156.2 144.3 — Construction in progress 2,778.8 3,602.5 — Finance lease right-of-use assets 43.7 — Property, plant and equipment 19,041.6 17,213.8 Accumulated depreciation and amortization (4,673.2 ) (4,285.5 ) Property, plant and equipment, net $ 14,368.4 $ 12,928.3 Intangible assets $ 2,736.6 $ 2,736.6 10 to 20 Accumulated amortization (839.3 ) (753.4 ) Intangible assets, net $ 1,897.3 $ 1,983.2 |
Schedule of Changes in Intangible Assets | The changes in our intangible assets are as follows: Balance at December 31, 2018 $ 1,983.2 Amortization (85.9 ) Balance at June 30, 2019 $ 1,897.3 |
Investments in Unconsolidated_2
Investments in Unconsolidated Affiliates (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Activity Related to Investment in Unconsolidated Affiliate | The following table shows the activity related to our investments in unconsolidated affiliates: Balance at December 31, 2018 Equity Earnings (Loss) Cash Distributions Contributions Balance at June 30, 2019 GCX (1) $ 211.6 $ 1.5 $ — $ 171.8 $ 384.9 T2 Eagle Ford (2) 99.0 (4.9 ) — — 94.1 Little Missouri 4 67.3 — — 23.0 90.3 T2 LaSalle (2) 49.3 (2.5 ) — — 46.8 GCF 40.3 9.7 (9.6 ) — 40.4 Cayenne 16.6 3.6 (4.7 ) — 15.5 Agua Blanca 6.4 (1.5 ) (0.2 ) — 4.7 Total $ 490.5 $ 5.9 $ (14.5 ) $ 194.8 $ 676.7 (1) Our 25% interest in GCX is owned by Targa GCX Pipeline LLC (“GCX DevCo JV”), of which we own a 20% interest. GCX DevCo JV is accounted for on a consolidated basis in our consolidated financial statements. ( 2 ) As of June 30, 2019, $23.9 million of unamortized excess fair value over the T2 LaSalle and T2 Eagle Ford capital accounts remained. These basis differences, which are attributable to the underlying depreciable tangible gathering assets, are being amortized on a straight-line basis as components of equity earnings over the estimated 20-year useful lives of the underlying assets. |
Gulf Coast Fractionators LP [Member] | |
Activity Related to Investment in Unconsolidated Affiliate | The following table presents unaudited summarized income statement information of GCF (amounts represent 100% of investee financial information): Six Months Ended June 30, 2019 2018 Operating revenues $ 52.5 $ 48.9 Operating expenses 17.7 16.9 Net income 24.7 23.2 |
Accounts Payable and Accrued _2
Accounts Payable and Accrued Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Payables And Accruals [Abstract] | |
Schedule of Accounts Payable and Accrued Liabilities | June 30, 2019 December 31, 2018 Commodities $ 498.6 $ 721.9 Other goods and services 484.6 474.5 Interest 120.8 79.4 Permian Acquisition contingent consideration — 308.2 Income and other taxes 61.3 45.4 Other (1) 58.4 7.5 $ 1,223.7 $ 1,636.9 (1) The 2019 amount includes $49.6 million of accrued distributions to noncontrolling interests. |
Debt Obligations (Tables)
Debt Obligations (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Outstanding Debt | June 30, 2019 December 31, 2018 Current: Accounts receivable securitization facility, due December 2019 (1) $ 298.3 $ 280.0 Senior unsecured notes, 4⅛% fixed rate, due November 2019 — 749.4 298.3 1,029.4 Debt issuance costs, net of amortization — (1.5 ) Finance lease liabilities 11.0 — Current debt obligations 309.3 1,027.9 Long-term: Senior secured revolving credit facility, variable rate, due June 2023 (2) 190.0 700.0 Senior unsecured notes: 5¼% fixed rate, due May 2023 559.6 559.6 4¼% fixed rate, due November 2023 583.9 583.9 6¾% fixed rate, due March 2024 580.1 580.1 5⅛% fixed rate, due February 2025 500.0 500.0 5⅞% fixed rate, due April 2026 1,000.0 1,000.0 5⅜% fixed rate, due February 2027 500.0 500.0 6½% fixed rate, due July 2027 750.0 — 5% fixed rate, due January 2028 750.0 750.0 6⅞% fixed rate, due January 2029 750.0 — TPL notes, 4¾% fixed rate, due November 2021 (3) 6.5 6.5 TPL notes, 5⅞% fixed rate, due August 2023 (3) 48.1 48.1 Unamortized premium 0.3 0.3 6,218.5 5,228.5 Debt issuance costs, net of amortization (41.9 ) (31.1 ) Finance lease liabilities 27.4 — Long-term debt 6,204.0 5,197.4 Total debt obligations $ 6,513.3 $ 6,225.3 Irrevocable standby letters of credit outstanding (2) $ 66.0 $ 79.5 (1) As of June 30, 2019, we had $298.3 million of qualifying receivables under our $400.0 million accounts receivable securitization facility, resulting in zero availability. (2) As of June 30, 2019, availability under our $2.2 billion senior secured revolving credit facility (“TRP Revolver”) was $1,944.0 million. (3) “TPL” refers to Targa Pipeline Partners LP. |
Interest Rates Incurred on Variable-Rate Debt Obligations | The following table shows the range of interest rates and weighted average interest rate incurred on our variable-rate debt obligations during the six months ended June 30, 2019: Range of Interest Rates Incurred Weighted Average Interest Rate Incurred TRP Revolver 3.8% - 4.7% 4.3% Accounts receivable securitization facility 3.3% - 3.4% 3.4% |
Other Long-term Liabilities (Ta
Other Long-term Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Other Liabilities Noncurrent [Abstract] | |
Other Long-term Liabilities | Other long-term liabilities are comprised of the following obligations: June 30, 2019 December 31, 2018 Asset retirement obligations $ 60.6 $ 55.0 Deferred revenue 173.9 175.5 Operating lease liabilities 21.2 — Other liabilities 4.0 3.3 Total long-term liabilities $ 259.7 $ 233.8 |
Changes in Deferred Revenue | The following table shows the changes in deferred revenue: Balance at December 31, 2018 $ 175.5 Additions 0.2 Revenue recognized (1.8 ) Balance at June 30, 2019 $ 173.9 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Summary of Balances of Right-of-Use Assets and Liabilities of Finance and Operating Leases | The balances of right-of-use assets and liabilities of finance leases and operating leases, and their locations on our Consolidated Balance Sheets are as follows: Balance Sheet Location June 30, 2019 Right-of-use assets Operating leases, gross Other long-term assets $ 31.5 Finance leases, gross Property, plant and equipment 43.7 Lease liabilities Current: Operating leases Accounts payable and accrued liabilities $ 7.3 Finance leases Current debt obligations 11.0 Non-current: Operating leases Other long-term liabilities $ 21.2 Finance leases Long-term debt 27.4 |
Components of Lease Expense | Operating lease costs and short-term lease costs are included in Operating expenses or General and administrative expense in our Consolidated Statements of Operations, depending on the nature of the leases. Finance lease costs are included in Depreciation and amortization expense and Interest income (expense) in our Consolidated Statements of Operations. The components of lease expense were as follows: Three Months Ended June 30, 2019 Six Months Ended June 30, 2019 Lease cost Operating lease cost $ 1.9 $ 3.7 Short-term lease cost 8.1 15.7 Variable lease cost 1.6 2.9 Finance lease cost Amortization of right-of-use assets 3.2 6.4 Interest expense 0.4 0.8 Total lease cost $ 15.2 $ 29.5 |
Summary of Other Supplemental Information Related to Leases | Other supplemental information related to our leases are as follows: Six Months Ended June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows for operating leases $ 3.7 Operating cash flows for finance leases 0.8 Financing cash flows for finance leases 5.5 |
Summary of Maturities of Lease Liabilities under Non-cancellable Leases | The following table presents the maturities of our lease liabilities under non-cancellable leases as of June 30, 2019: Operating Leases Finance Leases Future Minimum Lease Payments Beginning After June 30, 2019 $ 7.6 $ 12.3 2020 6.9 11.4 2021 6.4 9.3 2022 5.1 7.5 2023 3.2 0.7 Thereafter 1.9 — Total undiscounted cash flows 31.1 41.2 Less imputed interest (2.6 ) (2.8 ) Total lease liabilities $ 28.5 $ 38.4 |
Summary of Future Minimum Payments under Non-cancellable Leases | The following table presents future minimum payments under non-cancellable leases as of December 31, 2018: Leases 2019 $ 20.5 2020 17.7 2021 14.9 2022 12.6 2023 6.0 Thereafter 1.7 Total payments $ 73.4 |
Partnership Units and Related_2
Partnership Units and Related Matters (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Partners Capital [Abstract] | |
Schedule of Distributions | The following table details the distributions declared and paid by us for the six months ended June 30, 2019: Three Months Ended Date Paid or To Be Paid Total Distributions Distributions to Targa Resources Corp. June 30, 2019 August 13, 2019 $ 242.4 $ 239.6 March 31, 2019 April 5, 2019 437.8 435.0 December 31, 2018 February 13, 2019 241.3 238.5 |
Derivative Instruments and He_2
Derivative Instruments and Hedging Activities (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Notional Volume of Commodity Hedges | At June 30, 2019, the notional volumes of our commodity derivative contracts were: Commodity Instrument Unit 2019 2020 2021 2022 2023 Natural Gas Swaps MMBtu/d 191,237 79,930 52,055 - - Natural Gas Basis Swaps MMBtu/d 149,592 285,389 216,658 200,000 145,000 NGL Swaps Bbl/d 27,468 15,237 5,646 - - NGL Futures Bbl/d 16,620 12,844 - - - NGL Options Bbl/d 410 - - - - Condensate Swaps Bbl/d 4,306 3,240 2,254 210 - Condensate Options Bbl/d 590 - - - - |
Fair Values of Derivative Instruments | The following schedules reflect the fair value of our derivative instruments and their location on our Consolidated Balance Sheets as well as pro forma reporting assuming that we reported derivatives subject to master netting agreements on a net basis: Fair Value as of June 30, 2019 Fair Value as of December 31, 2018 Balance Sheet Derivative Derivative Derivative Derivative Location Assets Liabilities Assets Liabilities Derivatives designated as hedging instruments Commodity contracts Current $ 98.6 $ (17.2 ) $ 112.5 $ (18.9 ) Long-term 28.1 (0.8 ) 31.6 (1.5 ) Total derivatives designated as hedging instruments $ 126.7 $ (18.0 ) $ 144.1 $ (20.4 ) Derivatives not designated as hedging instruments Commodity contracts Current $ 5.3 $ (33.7 ) $ 2.8 $ (14.7 ) Long-term 19.3 (1.9 ) 2.5 (1.6 ) Total derivatives not designated as hedging instruments $ 24.6 $ (35.6 ) $ 5.3 $ (16.3 ) Total current position $ 103.9 $ (50.9 ) $ 115.3 $ (33.6 ) Total long-term position 47.4 (2.7 ) 34.1 (3.1 ) Total derivatives $ 151.3 $ (53.6 ) $ 149.4 $ (36.7 ) |
Pro Forma Impact of Derivatives Net in Consolidated Balance Sheet | The pro forma impact of reporting derivatives on our Consolidated Balance Sheets on a net basis is as follows: Gross Presentation Pro Forma Net Presentation June 30, 2019 Asset Liability Collateral Asset Liability Current Position Counterparties with offsetting positions or collateral $ 76.4 $ (43.9 ) $ (19.7 ) $ 48.7 $ (35.9 ) Counterparties without offsetting positions - assets 27.5 - - 27.5 - Counterparties without offsetting positions - liabilities - (7.0 ) - - (7.0 ) 103.9 (50.9 ) (19.7 ) 76.2 (42.9 ) Long Term Position Counterparties with offsetting positions or collateral 30.1 (2.6 ) - 27.5 - Counterparties without offsetting positions - assets 17.3 - - 17.3 - Counterparties without offsetting positions - liabilities - (0.1 ) - - (0.1 ) 47.4 (2.7 ) - 44.8 (0.1 ) Total Derivatives Counterparties with offsetting positions or collateral 106.5 (46.5 ) (19.7 ) 76.2 (35.9 ) Counterparties without offsetting positions - assets 44.8 - - 44.8 - Counterparties without offsetting positions - liabilities - (7.1 ) - - (7.1 ) $ 151.3 $ (53.6 ) $ (19.7 ) $ 121.0 $ (43.0 ) Gross Presentation Pro Forma Net Presentation December 31, 2018 Asset Liability Collateral Asset Liability Current Position Counterparties with offsetting positions or collateral $ 100.0 $ (33.6 ) $ (14.2 ) $ 70.0 $ (17.8 ) Counterparties without offsetting positions - assets 15.3 - - 15.3 - Counterparties without offsetting positions - liabilities - - - - - 115.3 (33.6 ) (14.2 ) 85.3 (17.8 ) Long Term Position Counterparties with offsetting positions or collateral 8.9 (3.1 ) - 5.9 (0.1 ) Counterparties without offsetting positions - assets 25.2 - - 25.2 - Counterparties without offsetting positions - liabilities - - - - - 34.1 (3.1 ) - 31.1 (0.1 ) Total Derivatives Counterparties with offsetting positions or collateral 108.9 (36.7 ) (14.2 ) 75.9 (17.9 ) Counterparties without offsetting positions - assets 40.5 - - 40.5 - Counterparties without offsetting positions - liabilities - - - - - $ 149.4 $ (36.7 ) $ (14.2 ) $ 116.4 $ (17.9 ) |
Amounts Recorded in Other Comprehensive Income (OCI) and Amounts Reclassified from OCI to Revenue | The following tables reflect amounts recorded in Other comprehensive income (“OCI”) and amounts reclassified from OCI to revenue for the periods indicated: Gain (Loss) Recognized in OCI on Derivatives (Effective Portion) Derivatives in Cash Flow Three Months Ended June 30, Six Months Ended June 30, Hedging Relationships 2019 2018 2019 2018 Commodity contracts $ 88.4 $ (103.0 ) $ 49.6 $ (38.3 ) Gain (Loss) Reclassified from OCI into Income (Effective Portion) Three Months Ended June 30, Six Months Ended June 30, Location of Gain (Loss) 2019 2018 2019 2018 Revenues $ 43.3 $ (7.8 ) $ 64.6 $ (34.4 ) |
Gain (Loss) Recognized in Income on Derivatives | The use of mark-to-market accounting for financial instruments can cause non-cash earnings volatility due to changes in the underlying commodity price indices. Location of Gain Gain (Loss) Recognized in Income on Derivatives Derivatives Not Designated Recognized in Income on Three Months Ended June 30, Six Months Ended June 30, as Hedging Instruments Derivatives 2019 2018 2019 2018 Commodity contracts Revenue $ (1.1 ) $ (2.2 ) $ (10.5 ) $ (13.0 ) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Breakdown by Fair Value Hierarchy Category for Financial Instruments Included on Consolidated Balance Sheets | The following table shows a breakdown by fair value hierarchy category for (1) financial instruments measurements included on our Consolidated Balance Sheets at fair value and (2) supplemental fair value disclosures for other financial instruments: June 30, 2019 Fair Value Carrying Value Total Level 1 Level 2 Level 3 Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value: Assets from commodity derivative contracts (1) $ 135.0 $ 135.0 $ — $ 134.6 $ 0.4 Liabilities from commodity derivative contracts (1) 37.3 37.3 — 37.2 0.1 TPL contingent consideration (2) 2.4 2.4 — — 2.4 Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value: Cash and cash equivalents 195.8 195.8 — — — TRP Revolver 190.0 190.0 — 190.0 — Senior unsecured notes 6,028.5 6,322.3 — 6,322.3 — Accounts receivable securitization facility 298.3 298.3 — 298.3 — December 31, 2018 Fair Value Carrying Value Total Level 1 Level 2 Level 3 Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value: Assets from commodity derivative contracts (1) $ 144.4 $ 144.4 $ — $ 137.5 $ 6.9 Liabilities from commodity derivative contracts (1) 31.7 31.7 — 31.3 0.4 Permian Acquisition contingent consideration 308.2 308.2 — — 308.2 TPL contingent consideration (2) 2.4 2.4 — — 2.4 Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value: Cash and cash equivalents 203.3 203.3 — — — TRP Revolver 700.0 700.0 — 700.0 — Senior unsecured notes 5,277.9 5,088.9 — 5,088.9 — Accounts receivable securitization facility 280.0 280.0 — 280.0 — (1) The fair value of derivative contracts in this table is presented on a different basis than the Consolidated Balance Sheets presentation as disclosed in Note 13– Derivative Instruments and Hedging Activities. The above fair values reflect the total value of each derivative contract taken as a whole, whereas the Consolidated Balance Sheets presentation is based on the individual maturity dates of estimated future settlements. As such, an individual contract could have both an asset and liability position when segregated into its current and long-term portions for Consolidated Balance Sheets classification purposes. (2) We have a contingent consideration liability for TPL’s previous acquisition of a gas gathering system and related assets, which is carried at fair value. |
Reconciliation of Changes in Fair Value of Financial Instruments Classified as Level 3 | The following table summarizes the changes in fair value of our financial instruments classified as Level 3 in the fair value hierarchy: Commodity Derivative Contracts Contingent Asset/(Liability) Consideration Balance, December 31, 2018 $ 6.5 $ (310.6 ) Completion of Permian Acquisition contingent consideration earn-out period — 308.2 New Level 3 derivative instruments (0.3 ) — Transfers out of Level 3 (6.5 ) — Unrealized gain/(loss) included in OCI 0.6 — Balance, June 30, 2019 $ 0.3 $ (2.4 ) |
Related Party Transactions - _2
Related Party Transactions - Targa (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Related Party Transactions [Abstract] | |
Summary of Transactions with Affiliates | The following table summarizes transactions with Targa: Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Targa billings of payroll and related costs included in operating expenses $ 61.6 $ 57.0 $ 115.7 $ 116.5 Targa allocation of general and administrative expense 61.1 47.4 128.8 94.7 Cash distributions to Targa based on general partner and limited partner ownership 435.0 226.9 673.5 452.6 Cash contributions from Targa related to limited partner ownership (1) 186.2 19.7 186.2 78.5 Cash contributions from Targa to maintain its 2% general partner ownership 3.8 0.4 3.8 1.6 (1) The cash contributions from Targa related to limited partner ownership were allocated 98% to the limited partner and 2% |
Revenue (Tables)
Revenue (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Revenue From Contract With Customer [Abstract] | |
Summary of Estimated Minimum Revenue Expected to be Recognized in Future Related to Unsatisfied Performance Obligations | The following table includes the estimated minimum revenue expected to be recognized in the future related to performance obligations that are unsatisfied (or partially unsatisfied) at the end of the reporting period and is comprised of fixed consideration primarily attributable to contracts with minimum volume commitments and for which a guaranteed amount of revenue can be calculated . These contracts are comprised primarily of gathering and processing, fractionation, export, terminaling and storage agreements. 2019 2020 2021 and after Fixed consideration to be recognized as of June 30, 2019 $ 272.8 $ 497.6 $ 3,373.6 |
Other Operating (Income) Expe_2
Other Operating (Income) Expense (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Other Income And Expenses [Abstract] | |
Other Operating (Income) Expense | Other operating (income) expense is comprised of the following: Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 (Gain) loss on sale or disposal of assets (1) $ (0.2 ) $ (46.7 ) $ 3.1 $ (46.8 ) Miscellaneous business tax — 0.3 0.2 0.6 Other — — — 0.1 $ (0.2 ) $ (46.4 ) $ 3.3 $ (46.1 ) (1) Our 2018 gain is comprised primarily of a $48.1 million |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | Six Months Ended June 30, 2019 2018 Cash: Interest paid, net of capitalized interest (1) $ 106.2 $ 76.1 Income taxes paid, net of refunds (1.7 ) 0.2 Non-cash investing activities: Deadstock commodity inventory transferred to property, plant and equipment $ 21.2 $ 26.8 Impact of capital expenditure accruals on property, plant and equipment (4.3 ) 145.2 Transfers from materials and supplies inventory to property, plant and equipment 16.4 1.0 Contribution of property, plant and equipment to investments in unconsolidated affiliates — 16.0 Change in ARO liability and property, plant and equipment 3.4 1.2 Non-cash financing activities: Accrued distribution to noncontrolling interests $ 49.6 $ — Non-cash balance sheet movements related to acquisition of related party: Intercompany payable $ — $ 1.4 Noncontrolling interest — 1.1 Lease liabilities arising from recognition of right-of-use assets: Operating lease $ 6.6 $ — Finance lease 4.5 — __________________ (1) Interest capitalized on major projects was $36.1 million and $20.8 million for the six months ended June 30, 2019 and 2018. |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Segment Reporting [Abstract] | |
Information by Segment | Reportable segment information is shown in the following tables: Three Months Ended June 30, 2019 Gathering and Processing Logistics and Marketing Other Corporate and Eliminations Total Revenues Sales of commodities $ 259.4 $ 1,378.8 $ 46.0 $ — $ 1,684.2 Fees from midstream services 176.2 134.9 — — 311.1 435.6 1,513.7 46.0 — 1,995.3 Intersegment revenues Sales of commodities 539.7 43.6 — (583.3 ) — Fees from midstream services 1.5 7.0 — (8.5 ) — 541.2 50.6 — (591.8 ) — Revenues $ 976.8 $ 1,564.3 $ 46.0 $ (591.8 ) $ 1,995.3 Operating margin $ 193.1 $ 184.4 $ 46.0 $ — $ 423.5 Other financial information: Total assets (1) $ 12,038.6 $ 5,994.7 $ 124.8 $ 94.6 $ 18,252.7 Goodwill $ 46.6 $ — $ — $ — $ 46.6 Capital expenditures $ 420.8 $ 425.5 $ — $ 10.8 $ 857.1 (1) Assets in the Corporate and Eliminations column primarily include cash, prepaids and debt issuance costs for our TRP Revolver. Three Months Ended June 30, 2018 Gathering and Processing Logistics and Marketing Other Corporate and Eliminations Total Revenues Sales of commodities $ 273.6 $ 1,884.0 $ (3.5 ) $ — $ 2,154.1 Fees from midstream services 176.0 114.3 — — 290.3 449.6 1,998.3 (3.5 ) — 2,444.4 Intersegment revenues Sales of commodities 913.0 76.4 — (989.4 ) — Fees from midstream services 1.7 8.4 — (10.1 ) — 914.7 84.8 — (999.5 ) — Revenues $ 1,364.3 $ 2,083.1 $ (3.5 ) $ (999.5 ) $ 2,444.4 Operating margin $ 242.2 $ 129.9 $ (3.5 ) $ — $ 368.6 Other financial information: Total assets (1) $ 11,054.4 $ 4,293.5 $ 74.6 $ 148.2 $ 15,570.7 Goodwill $ 256.6 $ — $ — $ — $ 256.6 Capital expenditures $ 282.2 $ 418.2 $ — $ 34.4 $ 734.8 (1) Assets in the Corporate and Eliminations column primarily include cash, prepaids and debt issuance costs for our TRP Revolver. Six Months Ended June 30, 2019 Gathering and Processing Logistics and Marketing Other Corporate and Eliminations Total Revenues Sales of commodities $ 507.0 $ 3,105.6 $ 48.1 $ — $ 3,660.7 Fees from midstream services 376.1 257.9 — — 634.0 883.1 3,363.5 48.1 — 4,294.7 Intersegment revenues Sales of commodities 1,362.5 82.1 — (1,444.6 ) — Fees from midstream services 3.3 12.5 — (15.8 ) — 1,365.8 94.6 — (1,460.4 ) — Revenues $ 2,248.9 $ 3,458.1 $ 48.1 $ (1,460.4 ) $ 4,294.7 Operating margin $ 422.2 $ 336.3 $ 48.1 $ — $ 806.6 Other financial information: Total assets (1) $ 12,038.6 $ 5,994.7 $ 124.8 $ 94.6 $ 18,252.7 Goodwill $ 46.6 $ — $ — $ — $ 46.6 Capital expenditures $ 838.5 $ 896.3 $ — $ 27.8 $ 1,762.6 (1) Assets in the Corporate and Eliminations column primarily include cash, prepaids and debt issuance costs for our TRP Revolver. Six Months Ended June 30, 2018 Gathering and Processing Logistics and Marketing Other Corporate and Eliminations Total Revenues Sales of commodities $ 538.7 $ 3,810.1 $ (21.4 ) $ — $ 4,327.4 Fees from midstream services 337.5 235.1 — — 572.6 876.2 4,045.2 (21.4 ) — 4,900.0 Intersegment revenues Sales of commodities 1,779.2 131.5 — (1,910.7 ) — Fees from midstream services 3.8 15.8 — (19.6 ) — 1,783.0 147.3 — (1,930.3 ) — Revenues $ 2,659.2 $ 4,192.5 $ (21.4 ) $ (1,930.3 ) $ 4,900.0 Operating margin $ 463.2 $ 268.3 $ (21.4 ) $ — $ 710.1 Other financial information: Total assets (1) $ 11,054.4 $ 4,293.5 $ 74.6 $ 148.2 $ 15,570.7 Goodwill $ 256.6 $ — $ — $ — $ 256.6 Capital expenditures $ 555.4 $ 669.2 $ — $ 68.1 $ 1,292.7 (1) Assets in the Corporate and Eliminations column primarily include cash, prepaids and debt issuance costs for our TRP Revolver. |
Revenues Disaggregated by Product and Service | The following table shows our consolidated revenues disaggregated by product and service for the periods presented: Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Sales of commodities: Revenue recognized from contracts with customers: Natural gas $ 217.6 $ 416.4 $ 628.9 $ 886.6 NGL 1,195.5 1,584.5 2,591.9 3,191.3 Condensate and crude oil 172.1 103.5 309.8 190.4 Petroleum products 56.8 59.6 76.0 107.8 1,642.0 2,164.0 3,606.6 4,376.1 Non-customer revenue: Derivative activities - Hedge 43.3 (7.7 ) 64.6 (35.7 ) Derivative activities - Non-hedge (1) (1.1 ) (2.2 ) (10.5 ) (13.0 ) 42.2 (9.9 ) 54.1 (48.7 ) Total sales of commodities 1,684.2 2,154.1 3,660.7 4,327.4 Fees from midstream services: Revenue recognized from contracts with customers: NGL transportation and services 40.1 37.2 76.3 78.3 Storage, terminaling and export 90.4 75.4 170.0 153.6 Gathering and processing 177.5 173.7 371.9 327.1 Other 3.1 4.0 15.8 13.6 Total fees from midstream services 311.1 290.3 634.0 572.6 Total revenues $ 1,995.3 $ 2,444.4 $ 4,294.7 $ 4,900.0 (1) Represents derivative activities that are not designated as hedging instruments under ASC 815. |
Reconciliation of Reportable Segment Operating Margin to Income (Loss) Before Income Taxes | The following table shows a reconciliation of reportable segment operating margin to income (loss) before income taxes for the periods presented: Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Reconciliation of reportable segment operating margin to income (loss) before income taxes: Gathering and Processing operating margin $ 193.1 $ 242.2 $ 422.2 $ 463.2 Logistics and Marketing operating margin 184.4 129.9 336.3 268.3 Other operating margin 46.0 (3.5 ) 48.1 (21.4 ) Depreciation and amortization expense (237.2 ) (202.6 ) (474.6 ) (400.7 ) General and administrative expense (69.3 ) (53.2 ) (146.7 ) (106.0 ) Interest income (expense), net (69.5 ) (57.8 ) (144.9 ) (37.6 ) Change in contingent considerations 0.8 60.6 (8.9 ) 4.5 Other, net 3.4 47.0 1.2 48.3 Income (loss) before income taxes $ 51.7 $ 162.6 $ 32.7 $ 218.6 |
Organization and Operations (De
Organization and Operations (Details) - Series A Cumulative Redeemable Perpetual Preferred Units [Member] - shares | 1 Months Ended | 6 Months Ended | |
Oct. 31, 2015 | Jun. 30, 2019 | Dec. 31, 2018 | |
Subsidiary Of Limited Liability Company Or Limited Partnership [Line Items] | |||
Preferred units, outstanding | 5,000,000 | 5,000,000 | |
Preferred units dividend percentage | 9.00% | 9.00% |
Significant Accounting Polici_3
Significant Accounting Policies (Details) - Accounting Standards Update 2016-02 [Member] | Jan. 01, 2019USD ($) |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |
Effect on retained earnings | $ 0 |
Right-of-use asset, net of lease incentives and deferred rent | 64,200,000 |
Lease incentives and deferred rent | 400,000 |
Lease liability | $ 64,600,000 |
Divestitures - Additional Infor
Divestitures - Additional Information (Details) $ in Billions | Apr. 03, 2019USD ($) | Feb. 28, 2019MBbls / d |
Targa Badlands LLC [Member] | ||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||
Option to purchase equity interest percentage | 7.50% | |
Subsidiary ownership interest sale percentage | 45.00% | |
Cash consideration received on sale of interest on subsidiary | $ | $ 1.6 | |
Williams [Member] | Train 7 [Member] | ||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||
Fractionation-related infrastructure funded and owned percentage | 100.00% | |
Williams [Member] | Mont Belvieu, Texas [Member] | Train 7 [Member] | ||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||
Option to purchase equity interest percentage | 20.00% | |
Capacity of pipeline | MBbls / d | 110 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 |
Inventory Disclosure [Abstract] | ||
Commodities | $ 188.8 | $ 151.1 |
Materials and supplies | 16.3 | 13.6 |
Total inventory | $ 205.1 | $ 164.7 |
Property, Plant and Equipment_3
Property, Plant and Equipment and Intangible Assets - Property, Plant and Equipment (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2019 | Dec. 31, 2018 | |
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment | $ 19,041.6 | $ 17,213.8 |
Accumulated depreciation and amortization | (4,673.2) | (4,285.5) |
Property, plant and equipment, net | 14,368.4 | 12,928.3 |
Intangible assets | 2,736.6 | 2,736.6 |
Accumulated amortization | (839.3) | (753.4) |
Intangible assets, net | $ 1,897.3 | 1,983.2 |
Minimum [Member] | ||
Property Plant And Equipment [Line Items] | ||
Estimated useful life | 10 years | |
Maximum [Member] | ||
Property Plant And Equipment [Line Items] | ||
Estimated useful life | 20 years | |
Gathering Systems [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment | $ 8,680.2 | 7,547.9 |
Gathering Systems [Member] | Minimum [Member] | ||
Property Plant And Equipment [Line Items] | ||
Estimated useful life | 5 years | |
Gathering Systems [Member] | Maximum [Member] | ||
Property Plant And Equipment [Line Items] | ||
Estimated useful life | 20 years | |
Processing and Fractionation Facilities [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment | $ 4,699.7 | 4,001 |
Processing and Fractionation Facilities [Member] | Minimum [Member] | ||
Property Plant And Equipment [Line Items] | ||
Estimated useful life | 5 years | |
Processing and Fractionation Facilities [Member] | Maximum [Member] | ||
Property Plant And Equipment [Line Items] | ||
Estimated useful life | 25 years | |
Terminaling and Storage Facilities [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment | $ 1,278.1 | 1,138.7 |
Terminaling and Storage Facilities [Member] | Minimum [Member] | ||
Property Plant And Equipment [Line Items] | ||
Estimated useful life | 5 years | |
Terminaling and Storage Facilities [Member] | Maximum [Member] | ||
Property Plant And Equipment [Line Items] | ||
Estimated useful life | 25 years | |
Transportation Assets [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment | $ 1,152.2 | 445.1 |
Transportation Assets [Member] | Minimum [Member] | ||
Property Plant And Equipment [Line Items] | ||
Estimated useful life | 10 years | |
Transportation Assets [Member] | Maximum [Member] | ||
Property Plant And Equipment [Line Items] | ||
Estimated useful life | 25 years | |
Other Property, Plant and Equipment [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment | $ 252.7 | 334.3 |
Other Property, Plant and Equipment [Member] | Minimum [Member] | ||
Property Plant And Equipment [Line Items] | ||
Estimated useful life | 3 years | |
Other Property, Plant and Equipment [Member] | Maximum [Member] | ||
Property Plant And Equipment [Line Items] | ||
Estimated useful life | 25 years | |
Land [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment | $ 156.2 | 144.3 |
Construction in Progress [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment | 2,778.8 | $ 3,602.5 |
Finance Lease Right-of-Use Assets [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment | $ 43.7 |
Property, Plant and Equipment_4
Property, Plant and Equipment and Intangible Assets - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Property Plant And Equipment [Line Items] | ||||
Depreciation expense | $ 194.3 | $ 156.8 | $ 388.7 | $ 309.2 |
Cumulative Impact of Adjustment [Member] | ||||
Property Plant And Equipment [Line Items] | ||||
Depreciation expense | $ 12.5 |
Property, Plant and Equipment_5
Property, Plant and Equipment and Intangible Assets - Intangible Assets (Details) $ in Millions | Jun. 30, 2019USD ($) |
Estimated amortization expense for intangible assets [Abstract] | |
2019 | $ 171.6 |
2020 | 159.4 |
2021 | 149.5 |
2022 | 141.2 |
2023 | $ 136 |
Property, Plant and Equipment_6
Property, Plant and Equipment and Intangible Assets - Schedule of Changes in Intangible Assets (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Intangible Assets, net [Roll Forward] | |
Balance at December 31, 2018 | $ 1,983.2 |
Amortization | (85.9) |
Balance at June 30, 2019 | $ 1,897.3 |
Investments in Unconsolidated_3
Investments in Unconsolidated Affiliates - Additional Information (Details) | Jun. 30, 2019JointVenture |
T2 Joint Ventures [Member] | Gathering and Processing [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Number of operated joint ventures acquired in Atlas mergers | 2 |
T2 La Salle [Member] | Gathering and Processing [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Ownership interest | 75.00% |
T2 Eagle Ford [Member] | Gathering and Processing [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Ownership interest | 50.00% |
Little Missouri 4 [Member] | Gathering and Processing [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Ownership interest | 50.00% |
GCX [Member] | Logistics and Marketing [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Ownership interest | 25.00% |
Gulf Coast Fractionators LP [Member] | Logistics and Marketing [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Ownership interest | 38.80% |
Cayenne [Member] | Logistics and Marketing [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Ownership interest | 50.00% |
Agua Blanca [Member] | Logistics and Marketing [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Ownership interest | 10.00% |
Investments in Unconsolidated_4
Investments in Unconsolidated Affiliates - Activity Related to Partnership's Investments in Unconsolidated Affiliates (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | ||
Schedule Of Equity Method Investments [Line Items] | |||||
Balance at beginning of period | $ 490.5 | ||||
Equity earnings (loss) | $ 3.2 | $ 1.9 | 5.9 | $ 3.4 | |
Cash Distributions | (14.5) | ||||
Contributions | 194.8 | ||||
Balance at end of period | 676.7 | 676.7 | |||
GCX [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Balance at beginning of period | [1] | 211.6 | |||
Equity earnings (loss) | [1] | 1.5 | |||
Cash Distributions | [1] | 0 | |||
Contributions | [1] | 171.8 | |||
Balance at end of period | [1] | 384.9 | 384.9 | ||
T2 Eagle Ford [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Balance at beginning of period | [2] | 99 | |||
Equity earnings (loss) | [2] | (4.9) | |||
Cash Distributions | [2] | 0 | |||
Contributions | [2] | 0 | |||
Balance at end of period | [2] | 94.1 | 94.1 | ||
Little Missouri 4 [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Balance at beginning of period | 67.3 | ||||
Equity earnings (loss) | 0 | ||||
Cash Distributions | 0 | ||||
Contributions | 23 | ||||
Balance at end of period | 90.3 | 90.3 | |||
T2 La Salle [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Balance at beginning of period | [2] | 49.3 | |||
Equity earnings (loss) | [2] | (2.5) | |||
Cash Distributions | [2] | 0 | |||
Contributions | [2] | 0 | |||
Balance at end of period | [2] | 46.8 | 46.8 | ||
Gulf Coast Fractionators LP [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Balance at beginning of period | 40.3 | ||||
Equity earnings (loss) | 9.7 | ||||
Cash Distributions | (9.6) | ||||
Contributions | 0 | ||||
Balance at end of period | 40.4 | 40.4 | |||
Cayenne Pipeline Limited Liability Company | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Balance at beginning of period | 16.6 | ||||
Equity earnings (loss) | 3.6 | ||||
Cash Distributions | (4.7) | ||||
Contributions | 0 | ||||
Balance at end of period | 15.5 | 15.5 | |||
Agua Blanca [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Balance at beginning of period | 6.4 | ||||
Equity earnings (loss) | (1.5) | ||||
Cash Distributions | (0.2) | ||||
Contributions | 0 | ||||
Balance at end of period | $ 4.7 | $ 4.7 | |||
[1] | Our 25% interest in GCX is owned by Targa GCX Pipeline LLC (“GCX DevCo JV”), of which we own a 20% interest. GCX DevCo JV is accounted for on a consolidated basis in our consolidated financial statements. | ||||
[2] | As of June 30, 2019, $23.9 million of unamortized excess fair value over the T2 LaSalle and T2 Eagle Ford capital accounts remained. These basis differences, which are attributable to the underlying depreciable tangible gathering assets, are being amortized on a straight-line basis as components of equity earnings over the estimated 20-year useful lives of the underlying assets. |
Investments in Unconsolidated_5
Investments in Unconsolidated Affiliates - Activity Related to Partnership's Investments in Unconsolidated Affiliates (Parenthetical) (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2019USD ($) | |
T2 LaSalle and T2 Eagle Ford [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Unamortized excess fair value | $ 23.9 |
Preliminary estimated useful lives of the underlying assets | 20 years |
GCX DevCo JV [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Ownership interest | 20.00% |
GCX DevCo JV [Member] | GCX [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Ownership interest | 25.00% |
Investments in Unconsolidated_6
Investments in Unconsolidated Affiliates - Summary of Income Statement Information of Investments in Unconsolidated Affiliates (Details) - Gulf Coast Fractionators LP [Member] - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Schedule Of Equity Method Investments [Line Items] | ||
Operating revenues | $ 52.5 | $ 48.9 |
Operating expenses | 17.7 | 16.9 |
Net income | $ 24.7 | $ 23.2 |
Accounts Payable and Accrued _3
Accounts Payable and Accrued Liabilities (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 | |
Components of accounts payable and accrued liabilities [Abstract] | |||
Commodities | $ 498.6 | $ 721.9 | |
Other goods and services | 484.6 | 474.5 | |
Interest | 120.8 | 79.4 | |
Income and other taxes | 61.3 | 45.4 | |
Other | [1] | 58.4 | 7.5 |
Accounts payable and accrued liabilities | $ 1,223.7 | 1,636.9 | |
Permian Acquisition [Member] | |||
Components of accounts payable and accrued liabilities [Abstract] | |||
Permian Acquisition contingent consideration | $ 308.2 | ||
[1] | The 2019 amount includes $49.6 million of accrued distributions to noncontrolling interests |
Accounts Payable and Accrued _4
Accounts Payable and Accrued Liabilities (Parenthetical) (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Payables And Accruals [Abstract] | |
Accrued distributions to noncontrolling interests | $ 49.6 |
Accounts Payable and Accrued _5
Accounts Payable and Accrued Liabilities - Additional Information (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 |
Payables And Accruals [Line Items] | ||
Outstanding checks | $ 19.8 | $ 52.2 |
Permian Acquisition [Member] | ||
Payables And Accruals [Line Items] | ||
Fair value of earn-out payment | $ 317.1 |
Debt Obligations (Details)
Debt Obligations (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 | |
Current: | |||
Accounts receivable securitization facility, due December 2019 | [1] | $ 298.3 | $ 280 |
Current debt | 298.3 | 1,029.4 | |
Debt issuance costs, net of amortization | (1.5) | ||
Finance lease liabilities | 11 | ||
Current debt obligations | 309.3 | 1,027.9 | |
Long-term [Abstract] | |||
Long-term debt | 6,204 | 5,197.4 | |
Long-term debt including unamortized premium (discount) | 6,218.5 | 5,228.5 | |
Debt issuance costs, net of amortization | (41.9) | (31.1) | |
Finance lease liabilities | 27.4 | ||
Total debt obligations | 6,513.3 | 6,225.3 | |
Irrevocable standby letters of credit outstanding | [2] | 66 | 79.5 |
Senior Unsecured Notes [Member] | Senior Unsecured 4 1/8% Notes due November 2019 [Member] | |||
Current: | |||
Long-term debt, current | 749.4 | ||
Senior Unsecured Notes [Member] | Senior Unsecured 5 1/4% Notes due May 2023 [Member] | |||
Long-term [Abstract] | |||
Long-term debt | 559.6 | 559.6 | |
Senior Unsecured Notes [Member] | Senior Unsecured 4 1/4% Notes due November 2023 [Member] | |||
Long-term [Abstract] | |||
Long-term debt | 583.9 | 583.9 | |
Senior Unsecured Notes [Member] | Senior Unsecured 6 3/4% Notes due March 2024 [Member] | |||
Long-term [Abstract] | |||
Long-term debt | 580.1 | 580.1 | |
Senior Unsecured Notes [Member] | Senior Unsecured 5 1/8% Notes due February 2025 [Member] | |||
Long-term [Abstract] | |||
Long-term debt | 500 | 500 | |
Senior Unsecured Notes [Member] | Senior Unsecured 5⅞% Notes due April 2026 [Member] | |||
Long-term [Abstract] | |||
Long-term debt | 1,000 | 1,000 | |
Senior Unsecured Notes [Member] | Senior Unsecured 5 3/8% Notes due February 2027 [Member] | |||
Long-term [Abstract] | |||
Long-term debt | 500 | 500 | |
Senior Unsecured Notes [Member] | Senior Unsecured 6 1/2% Notes due July 2027 [Member] | |||
Long-term [Abstract] | |||
Long-term debt | 750 | ||
Senior Unsecured Notes [Member] | Senior Unsecured 5% Notes due January 2028 [Member] | |||
Long-term [Abstract] | |||
Long-term debt | 750 | 750 | |
Senior Unsecured Notes [Member] | Senior Unsecured 6 7/8% Notes due January 2029 [Member] | |||
Long-term [Abstract] | |||
Long-term debt | 750 | ||
Senior Unsecured Notes [Member] | Targa Pipeline Partners LP [Member] | Senior Unsecured 4 3/4% Notes due November 2021 [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [3] | 6.5 | 6.5 |
Senior Unsecured Notes [Member] | Targa Pipeline Partners LP [Member] | Senior Unsecured 5 7/8% Notes due August 2023 [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [3] | 48.1 | 48.1 |
Unamortized premium | 0.3 | 0.3 | |
Revolving Credit Facility [Member] | Senior Secured Revolving Credit Facility, Variable Rate, due June 2023 [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [2] | $ 190 | $ 700 |
[1] | As of June 30, 2019, we had $298.3 million of qualifying receivables under our $400.0 million accounts receivable securitization facility, resulting in zero availability. | ||
[2] | As of June 30, 2019, availability under our $2.2 billion senior secured revolving credit facility (“TRP Revolver”) was $1,944.0 million. | ||
[3] | “TPL” refers to Targa Pipeline Partners LP. |
Debt Obligations (Parenthetical
Debt Obligations (Parenthetical) (Details) - USD ($) | 6 Months Ended | ||||
Jun. 30, 2019 | Jun. 30, 2018 | Jan. 31, 2019 | Dec. 31, 2018 | ||
Debt Instrument [Line Items] | |||||
Proceeds from borrowings under accounts receivable securitization facility | $ 742,900,000 | $ 270,000,000 | |||
Accounts receivable securitization facility | [1] | $ 298,300,000 | $ 280,000,000 | ||
Revolving Credit Facility [Member] | Senior Secured Revolving Credit Facility, Variable Rate, due June 2023 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | [2] | Jun. 30, 2023 | |||
Maximum borrowing capacity | $ 2,200,000,000 | ||||
Remaining borrowing capacity | 1,944,000,000 | ||||
Accounts Receivable Securitization Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Proceeds from borrowings under accounts receivable securitization facility | 298,300,000 | ||||
Accounts receivable securitization facility | 400,000,000 | ||||
Availability amount under accounts receivable securitization | $ 0 | ||||
Accounts Receivable Securitization Facility [Member] | Accounts Receivable Securitization Facility Due December 2019 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | [1] | Dec. 31, 2019 | |||
Senior Unsecured Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate on fixed rate debt | 4.125% | ||||
Senior Unsecured Notes [Member] | Senior Unsecured 4 1/8% Notes due November 2019 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Nov. 30, 2019 | ||||
Interest rate on fixed rate debt | 4.125% | 4.125% | |||
Senior Unsecured Notes [Member] | Senior Unsecured 5 1/4% Notes due May 2023 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | May 31, 2023 | ||||
Interest rate on fixed rate debt | 5.25% | ||||
Senior Unsecured Notes [Member] | Senior Unsecured 4 1/4% Notes due November 2023 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Nov. 30, 2023 | ||||
Interest rate on fixed rate debt | 4.25% | ||||
Senior Unsecured Notes [Member] | Senior Unsecured 6 3/4% Notes due March 2024 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Mar. 31, 2024 | ||||
Interest rate on fixed rate debt | 6.75% | ||||
Senior Unsecured Notes [Member] | Senior Unsecured 5 1/8% Notes due February 2025 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Feb. 28, 2025 | ||||
Interest rate on fixed rate debt | 5.125% | ||||
Senior Unsecured Notes [Member] | Senior Unsecured 6 1/2% Notes due July 2027 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Jul. 31, 2027 | ||||
Interest rate on fixed rate debt | 6.50% | ||||
Senior Unsecured Notes [Member] | Senior Unsecured 5⅞% Notes due April 2026 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Apr. 30, 2026 | ||||
Interest rate on fixed rate debt | 5.875% | ||||
Senior Unsecured Notes [Member] | Senior Unsecured 5 3/8% Notes due February 2027 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Feb. 28, 2027 | ||||
Interest rate on fixed rate debt | 5.375% | ||||
Senior Unsecured Notes [Member] | Senior Unsecured 5% Notes due January 2028 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Jan. 31, 2028 | ||||
Interest rate on fixed rate debt | 5.00% | ||||
Senior Unsecured Notes [Member] | Senior Unsecured 6 7/8% Notes due January 2029 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Jan. 31, 2029 | ||||
Interest rate on fixed rate debt | 6.875% | ||||
Senior Unsecured Notes [Member] | Targa Pipeline Partners LP [Member] | Senior Unsecured 4 3/4% Notes due November 2021 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | [3] | Nov. 30, 2021 | |||
Interest rate on fixed rate debt | [3] | 4.75% | |||
Senior Unsecured Notes [Member] | Targa Pipeline Partners LP [Member] | Senior Unsecured 5 7/8% Notes due August 2023 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | [3] | Aug. 31, 2023 | |||
Interest rate on fixed rate debt | [3] | 5.875% | |||
[1] | As of June 30, 2019, we had $298.3 million of qualifying receivables under our $400.0 million accounts receivable securitization facility, resulting in zero availability. | ||||
[2] | As of June 30, 2019, availability under our $2.2 billion senior secured revolving credit facility (“TRP Revolver”) was $1,944.0 million. | ||||
[3] | “TPL” refers to Targa Pipeline Partners LP. |
Debt Obligations - Interest Rat
Debt Obligations - Interest Rates on Variable-Rate Debt Obligations (Details) | Jun. 30, 2019 |
Accounts Receivable Securitization Facility [Member] | |
Range of interest rates and weighted average interest rate [Abstract] | |
Weighted average interest rate incurred | 3.40% |
Accounts Receivable Securitization Facility [Member] | Minimum [Member] | |
Range of interest rates and weighted average interest rate [Abstract] | |
Range of interest rates incurred | 3.30% |
Accounts Receivable Securitization Facility [Member] | Maximum [Member] | |
Range of interest rates and weighted average interest rate [Abstract] | |
Range of interest rates incurred | 3.40% |
TRP Revolver [Member] | |
Range of interest rates and weighted average interest rate [Abstract] | |
Weighted average interest rate incurred | 4.30% |
TRP Revolver [Member] | Minimum [Member] | |
Range of interest rates and weighted average interest rate [Abstract] | |
Range of interest rates incurred | 3.80% |
TRP Revolver [Member] | Maximum [Member] | |
Range of interest rates and weighted average interest rate [Abstract] | |
Range of interest rates incurred | 4.70% |
Debt Obligations - Senior Unsec
Debt Obligations - Senior Unsecured Notes Issuances (Details) - Senior Unsecured Notes [Member] $ in Millions | 1 Months Ended |
Jan. 31, 2019USD ($) | |
Debt Instrument [Line Items] | |
Interest rate on fixed rate debt | 4.125% |
6 1/2% Senior Notes due July 2027 [Member] | |
Debt Instrument [Line Items] | |
Senior notes issued | $ 750 |
Interest rate on fixed rate debt | 6.50% |
Maturity date | Jul. 31, 2027 |
6 7/8% Senior Notes due January 2029 [Member] | |
Debt Instrument [Line Items] | |
Senior notes issued | $ 750 |
Interest rate on fixed rate debt | 6.875% |
Maturity date | Jan. 31, 2029 |
6 1/2% Senior Notes due July 2027 and 6 7/8% Senior Notes due January 2029 [Member] | |
Debt Instrument [Line Items] | |
Net proceeds from senior notes | $ 1,486.8 |
Debt Obligations - Debt Extingu
Debt Obligations - Debt Extinguishment (Details) - Senior Unsecured Notes [Member] - USD ($) $ in Millions | 1 Months Ended | ||
Feb. 28, 2019 | Jun. 30, 2019 | Jan. 31, 2019 | |
Debt Instrument [Line Items] | |||
Interest rate on fixed rate debt | 4.125% | ||
4 1/8% Senior Notes due November 2019 [Member] | |||
Debt Instrument [Line Items] | |||
Interest rate on fixed rate debt | 4.125% | 4.125% | |
Write off debt issuance cost | $ 1.4 |
Other Long-term Liabilities - S
Other Long-term Liabilities - Schedule of Other Long-term Liabilities (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 |
Other Liabilities Noncurrent [Abstract] | ||
Asset retirement obligations | $ 60.6 | $ 55 |
Deferred revenue | 173.9 | 175.5 |
Operating lease liabilities | 21.2 | |
Other liabilities | 4 | 3.3 |
Total long-term liabilities | $ 259.7 | $ 233.8 |
Other Long-term Liabilities - A
Other Long-term Liabilities - Additional Information (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Deferred Revenue [Abstract] | ||||
Deferred revenue | $ 173.9 | $ 175.5 | ||
Channelview Splitter [Member] | Noble Americas Corp [Member] | ||||
Deferred Revenue [Abstract] | ||||
Deferred revenue | $ 129 | $ 129 | $ 129 |
Other Long-term Liabilities - C
Other Long-term Liabilities - Changes In Deferred Revenue (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Other Liabilities Noncurrent [Abstract] | |
Balance at December 31, 2018 | $ 175.5 |
Additions | 0.2 |
Revenue recognized | (1.8) |
Balance at June 30, 2019 | $ 173.9 |
Leases - Additional Information
Leases - Additional Information (Details) | Jun. 30, 2019 |
Lessee Lease Description [Line Items] | |
Weighted average remaining lease term for operating lease | 4 years |
Weighted average remaining lease term for finance lease | 3 years |
Weighted average discount rate for operating leases | 3.90% |
Weighted average discount rate for finance leases | 3.90% |
Minimum [Member] | |
Lessee Lease Description [Line Items] | |
Leases, remaining lease term | 1 year |
Maximum [Member] | |
Lessee Lease Description [Line Items] | |
Leases, remaining lease term | 6 years |
Options to extend lease term | 10 years |
Leases - Summary of Balances of
Leases - Summary of Balances of Right-of-Use Assets and Liabilities of Finance and Operating Leases (Details) $ in Millions | Jun. 30, 2019USD ($) |
Right-of-use assets | |
Operating leases, gross | $ 31.5 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | us-gaap:OtherAssetsNoncurrent |
Finance leases, gross | $ 43.7 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | us-gaap:PropertyPlantAndEquipmentGross |
Current: | |
Operating leases | $ 7.3 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:AccountsPayableAndAccruedLiabilitiesCurrent |
Finance leases | $ 11 |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:LiabilitiesCurrent |
Non-current: | |
Operating leases | $ 21.2 |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | us-gaap:OtherLiabilitiesNoncurrent |
Finance leases | $ 27.4 |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | us-gaap:LiabilitiesNoncurrent |
Leases - Components of Lease Ex
Leases - Components of Lease Expense (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended |
Jun. 30, 2019 | Jun. 30, 2019 | |
Lease cost | ||
Operating lease cost | $ 1.9 | $ 3.7 |
Short-term lease cost | 8.1 | 15.7 |
Variable lease cost | 1.6 | 2.9 |
Finance lease cost | ||
Amortization of right-of-use assets | 3.2 | 6.4 |
Interest expense | 0.4 | 0.8 |
Total lease cost | $ 15.2 | $ 29.5 |
Leases - Summary of Other Suppl
Leases - Summary of Other Supplemental Information Related to Leases (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Cash paid for amounts included in the measurement of lease liabilities | ||
Operating cash flows for operating leases | $ 3.7 | |
Operating cash flows for finance leases | 0.8 | |
Financing cash flows for finance leases | $ 5.5 | $ 0 |
Leases - Summary of Maturities
Leases - Summary of Maturities of Lease Liabilities under Non-cancellable Leases (Details) $ in Millions | Jun. 30, 2019USD ($) |
Future Minimum Lease Payments - Operating Leases | |
2019 | $ 7.6 |
2020 | 6.9 |
2021 | 6.4 |
2022 | 5.1 |
2023 | 3.2 |
Thereafter | 1.9 |
Total undiscounted cash flows | 31.1 |
Less imputed interest | (2.6) |
Total lease liabilities | 28.5 |
Future Minimum Lease Payments - Finance Leases | |
2019 | 12.3 |
2020 | 11.4 |
2021 | 9.3 |
2022 | 7.5 |
2023 | 0.7 |
Total undiscounted cash flows | 41.2 |
Less imputed interest | (2.8) |
Total lease liabilities | $ 38.4 |
Leases - Summary of Future Mini
Leases - Summary of Future Minimum Payments under Non-cancellable Leases (Details) $ in Millions | Dec. 31, 2018USD ($) |
Future non-cancelable commitments for each of the next five fiscal years and in Aggregate Thereafter [Abstract] | |
2019 | $ 20.5 |
2020 | 17.7 |
2021 | 14.9 |
2022 | 12.6 |
2023 | 6 |
Thereafter | 1.7 |
Total payments | $ 73.4 |
Partnership Units and Related_3
Partnership Units and Related Matters - Distributions (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Distributions declared and/or paid by the Partnership [Abstract] | ||||||
Date Paid or To Be Paid | Aug. 13, 2019 | Apr. 5, 2019 | Feb. 13, 2019 | |||
Total Distributions | $ 437.8 | $ 229.7 | $ 679.1 | $ 458.2 | ||
Distributions Paid [Member] | ||||||
Distributions declared and/or paid by the Partnership [Abstract] | ||||||
Total Distributions | 242.4 | $ 437.8 | $ 241.3 | |||
Distributions to Targa Resources Corp. | $ 239.6 | $ 435 | $ 238.5 |
Partnership Units and Related_4
Partnership Units and Related Matters (Details) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||||
Jul. 31, 2019 | Oct. 31, 2015 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Limited Partners Capital Account [Line Items] | ||||||||
Contributions from Targa Resources Corp. | $ 190 | $ 20.1 | $ 190 | $ 80.1 | ||||
Distributions declared and/or paid by the Partnership [Abstract] | ||||||||
Distributions payable date | Aug. 13, 2019 | Apr. 5, 2019 | Feb. 13, 2019 | |||||
Subsequent Event [Member] | ||||||||
Distributions declared and/or paid by the Partnership [Abstract] | ||||||||
Date of declaration for cash distribution | 2019-07 | |||||||
Cash distribution declared per unit (in dollars per share) | $ 0.1875 | |||||||
Distributions to Targa Resources Corp. | $ 0.9 | |||||||
Distributions payable date | Aug. 15, 2019 | |||||||
Series A Preferred Limited Partner Units [Member] | ||||||||
Limited Partners Capital Account [Line Items] | ||||||||
Series A preferred limited partners units issued (in units) | 5,000,000 | 5,000,000 | 5,000,000 | |||||
Preferred units dividend percentage | 9.00% | 9.00% | ||||||
Distribution to holders of preferred units | $ 2.8 | $ 5.6 | ||||||
Series A Preferred Limited Partner Units [Member] | London Interbank Offered Rate (LIBOR) | ||||||||
Limited Partners Capital Account [Line Items] | ||||||||
Percentage of variable interest rate for distribution on preferred units upon maturity | 7.71% | |||||||
TRC/TRP Merger | Limited Partners [Member] | ||||||||
Limited Partners Capital Account [Line Items] | ||||||||
Percentage of capital contribution towards partner's interest maintained | 98.00% | |||||||
TRC/TRP Merger | Targa Resources GP LLC [Member] | ||||||||
Limited Partners Capital Account [Line Items] | ||||||||
Percentage of general partner's interest maintained | 2.00% | |||||||
Contributions from Targa Resources Corp. (in units) | 0 | |||||||
TRC/TRP Merger | Targa Resources Corp | ||||||||
Limited Partners Capital Account [Line Items] | ||||||||
Contributions from Targa Resources Corp. | $ 190 | $ 190 |
Derivative Instruments and He_3
Derivative Instruments and Hedging Activities - Notional Volumes Of The Partnership's Commodity Derivative Contracts (Details) | 6 Months Ended |
Jun. 30, 2019MMBTUbbl | |
Year 2019 [Member] | Swaps [Member] | Natural Gas [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 191,237 |
Year 2019 [Member] | Swaps [Member] | NGL [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 27,468 |
Year 2019 [Member] | Swaps [Member] | Condensate [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 4,306 |
Year 2019 [Member] | Basis Swaps [Member] | Natural Gas [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 149,592 |
Year 2019 [Member] | Future | NGL [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 16,620 |
Year 2019 [Member] | Options [Member] | NGL [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 410 |
Year 2019 [Member] | Options [Member] | Condensate [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 590 |
Year 2020 [Member] | Swaps [Member] | Natural Gas [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 79,930 |
Year 2020 [Member] | Swaps [Member] | NGL [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 15,237 |
Year 2020 [Member] | Swaps [Member] | Condensate [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 3,240 |
Year 2020 [Member] | Basis Swaps [Member] | Natural Gas [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 285,389 |
Year 2020 [Member] | Future | NGL [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 12,844 |
Year 2020 [Member] | Options [Member] | NGL [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2020 [Member] | Options [Member] | Condensate [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2021 [Member] | Swaps [Member] | Natural Gas [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 52,055 |
Year 2021 [Member] | Swaps [Member] | NGL [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 5,646 |
Year 2021 [Member] | Swaps [Member] | Condensate [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 2,254 |
Year 2021 [Member] | Basis Swaps [Member] | Natural Gas [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 216,658 |
Year 2021 [Member] | Future | NGL [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2021 [Member] | Options [Member] | NGL [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2021 [Member] | Options [Member] | Condensate [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2022 [Member] | Swaps [Member] | Natural Gas [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 0 |
Year 2022 [Member] | Swaps [Member] | NGL [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2022 [Member] | Swaps [Member] | Condensate [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 210 |
Year 2022 [Member] | Basis Swaps [Member] | Natural Gas [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 200,000 |
Year 2022 [Member] | Future | NGL [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2022 [Member] | Options [Member] | NGL [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2022 [Member] | Options [Member] | Condensate [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2023 [Member] | Swaps [Member] | Natural Gas [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 0 |
Year 2023 [Member] | Swaps [Member] | NGL [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2023 [Member] | Swaps [Member] | Condensate [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2023 [Member] | Basis Swaps [Member] | Natural Gas [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 145,000 |
Year 2023 [Member] | Future | NGL [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2023 [Member] | Options [Member] | NGL [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2023 [Member] | Options [Member] | Condensate [Member] | |
Derivative [Line Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Derivative Instruments and He_4
Derivative Instruments and Hedging Activities - Fair Values Derivatives, Balance Sheet Location, by Derivative Contract Type (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 |
Derivatives, Fair Value [Line Items] | ||
Derivative assets | $ 151.3 | $ 149.4 |
Derivative assets | 103.9 | 115.3 |
Derivative assets | 47.4 | 34.1 |
Derivative liabilities | (53.6) | (36.7) |
Derivative liabilities | (50.9) | (33.6) |
Derivative liabilities | (2.7) | (3.1) |
Designated as Hedging Instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 126.7 | 144.1 |
Derivative liabilities | (18) | (20.4) |
Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Current Assets from Risk Management Activities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 98.6 | 112.5 |
Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Long-term Assets from Risk Management Activities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 28.1 | 31.6 |
Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Current Liabilities from Risk Management Activities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | (17.2) | (18.9) |
Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Long-term Position [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | (0.8) | (1.5) |
Not Designated as Hedging Instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 24.6 | 5.3 |
Derivative liabilities | (35.6) | (16.3) |
Not Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Current Assets from Risk Management Activities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 5.3 | 2.8 |
Not Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Long-term Assets from Risk Management Activities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 19.3 | 2.5 |
Not Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Current Liabilities from Risk Management Activities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | (33.7) | (14.7) |
Not Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Long-term Position [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | $ (1.9) | $ (1.6) |
Derivative Instruments and He_5
Derivative Instruments and Hedging Activities - Pro Forma Impact - Offsetting Assets (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 |
Derivative Asset [Abstract] | ||
Gross asset | $ 151.3 | $ 149.4 |
Pro forma net presentation, asset, total | 121 | 116.4 |
Counterparties with Offsetting Position or Collateral [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 106.5 | 108.9 |
Pro forma net presentation, asset | 76.2 | 75.9 |
Counterparties without Offsetting Position [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 44.8 | 40.5 |
Pro forma net presentation, asset | 44.8 | 40.5 |
Current Position [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 103.9 | 115.3 |
Pro forma net presentation, asset, current | 76.2 | 85.3 |
Current Position [Member] | Counterparties with Offsetting Position or Collateral [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 76.4 | 100 |
Pro forma net presentation, asset | 48.7 | 70 |
Current Position [Member] | Counterparties without Offsetting Position [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 27.5 | 15.3 |
Pro forma net presentation, asset | 27.5 | 15.3 |
Long-term Position [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 47.4 | 34.1 |
Pro forma net presentation, asset, noncurrent | 44.8 | 31.1 |
Long-term Position [Member] | Counterparties with Offsetting Position or Collateral [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 30.1 | 8.9 |
Pro forma net presentation, asset | 27.5 | 5.9 |
Long-term Position [Member] | Counterparties without Offsetting Position [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 17.3 | 25.2 |
Pro forma net presentation, asset | $ 17.3 | $ 25.2 |
Derivative Instruments and He_6
Derivative Instruments and Hedging Activities - Pro Forma Impact - Offsetting Liabilities (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 |
Derivative Liability [Abstract] | ||
Gross liability | $ (53.6) | $ (36.7) |
Pro forma net presentation, liability, total | (43) | (17.9) |
Counterparties with Offsetting Position or Collateral [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (46.5) | (36.7) |
Pro forma net presentation, liability, total | (35.9) | (17.9) |
Counterparties without Offsetting Position [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (7.1) | |
Pro forma net presentation, liability, total | (7.1) | |
Current Position [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (50.9) | (33.6) |
Pro forma net presentation, liability, current | (42.9) | (17.8) |
Current Position [Member] | Counterparties with Offsetting Position or Collateral [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (43.9) | (33.6) |
Pro forma net presentation, liability, current | (35.9) | (17.8) |
Current Position [Member] | Counterparties without Offsetting Position [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (7) | |
Pro forma net presentation, liability, current | (7) | |
Long-term Position [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (2.7) | (3.1) |
Pro forma net presentation, liability, noncurrent | (0.1) | (0.1) |
Long-term Position [Member] | Counterparties with Offsetting Position or Collateral [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (2.6) | (3.1) |
Pro forma net presentation, liability, noncurrent | $ (0.1) | |
Long-term Position [Member] | Counterparties without Offsetting Position [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (0.1) | |
Pro forma net presentation, liability, noncurrent | $ (0.1) |
Derivative Instruments and He_7
Derivative Instruments and Hedging Activities - Pro Forma Impact - Offsetting Collateral (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 |
Derivative Asset [Abstract] | ||
Gross collateral | $ (19.7) | $ (14.2) |
Counterparties with Offsetting Position or Collateral [Member] | ||
Derivative Asset [Abstract] | ||
Gross collateral | (19.7) | (14.2) |
Current Position [Member] | ||
Derivative Asset [Abstract] | ||
Gross collateral | (19.7) | (14.2) |
Current Position [Member] | Counterparties with Offsetting Position or Collateral [Member] | ||
Derivative Asset [Abstract] | ||
Gross collateral | $ (19.7) | $ (14.2) |
Derivative Instruments and He_8
Derivative Instruments and Hedging Activities - Additional Information (Details) $ in Millions | Jun. 30, 2019USD ($) |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Estimated fair value of derivative instruments, net asset | $ 97.7 |
Amount expected to reclassify commodity hedge related deferred gains to earnings before income taxes | 108.7 |
Amount of deferred gains to be reclassified into earnings before income taxes over next twelve months | $ 81.3 |
Derivative Instruments and He_9
Derivative Instruments and Hedging Activities - Amounts Included in OCI, Income and AOCI (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Revenues [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Reclassified from OCI into Income (Effective Portion) | $ 43.3 | $ (7.8) | $ 64.6 | $ (34.4) |
Commodity Contracts [Member] | Revenues [Member] | Not Designated as Hedging Instrument [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in Income on Derivatives | (1.1) | (2.2) | (10.5) | (13) |
Cash Flow Hedging [Member] | Commodity Contracts [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in OCI on Derivatives (Effective Portion) | $ 88.4 | $ (103) | $ 49.6 | $ (38.3) |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) $ in Millions | Jun. 30, 2019USD ($)Swap |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | |
Derivatives financial instruments, fair value, net | $ 97.7 |
Derivative fair value of net asset if commodity price increases by 10 percent | 5.2 |
Derivative fair value of net asset if commodity price decreases by 10 percent | $ 189.1 |
Number of natural gas basis swaps categorized as Level 3 | Swap | 7 |
Permian Acquisition [Member] | |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | |
Fair value of earn-out payment | $ 317.1 |
Fair Value Measurements - Break
Fair Value Measurements - Breakdown by Fair Value Hierarchy Category for Financial Instruments (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 | |
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Assets from commodity derivative contracts | $ 121 | $ 116.4 | |
Liabilities from commodity derivative contracts | 43 | 17.9 | |
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Accounts receivable securitization facility | [1] | 298.3 | 280 |
Carrying Value [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Assets from commodity derivative contracts | [2] | 135 | 144.4 |
Liabilities from commodity derivative contracts | [2] | 37.3 | 31.7 |
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Cash and cash equivalents | 195.8 | 203.3 | |
Accounts receivable securitization facility | 298.3 | 280 | |
Carrying Value [Member] | Permian Acquisition [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Contingent consideration | 308.2 | ||
Carrying Value [Member] | TRP Revolver [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 190 | 700 | |
Carrying Value [Member] | Targa Pipeline Partners LP [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Contingent consideration | [3] | 2.4 | 2.4 |
Carrying Value [Member] | Senior Unsecured Notes [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 6,028.5 | 5,277.9 | |
Fair Value [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Assets from commodity derivative contracts | [2] | 135 | 144.4 |
Liabilities from commodity derivative contracts | [2] | 37.3 | 31.7 |
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Cash and cash equivalents | 195.8 | 203.3 | |
Accounts receivable securitization facility | 298.3 | 280 | |
Fair Value [Member] | Permian Acquisition [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Contingent consideration | 308.2 | ||
Fair Value [Member] | TRP Revolver [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 190 | 700 | |
Fair Value [Member] | Targa Pipeline Partners LP [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Contingent consideration | [3] | 2.4 | 2.4 |
Fair Value [Member] | Senior Unsecured Notes [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 6,322.3 | 5,088.9 | |
Fair Value [Member] | Level 2 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Assets from commodity derivative contracts | [2] | 134.6 | 137.5 |
Liabilities from commodity derivative contracts | [2] | 37.2 | 31.3 |
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Accounts receivable securitization facility | 298.3 | 280 | |
Fair Value [Member] | Level 2 [Member] | TRP Revolver [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 190 | 700 | |
Fair Value [Member] | Level 2 [Member] | Senior Unsecured Notes [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 6,322.3 | 5,088.9 | |
Fair Value [Member] | Level 3 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Assets from commodity derivative contracts | [2] | 0.4 | 6.9 |
Liabilities from commodity derivative contracts | [2] | 0.1 | 0.4 |
Fair Value [Member] | Level 3 [Member] | Permian Acquisition [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Contingent consideration | 308.2 | ||
Fair Value [Member] | Level 3 [Member] | Targa Pipeline Partners LP [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Contingent consideration | [3] | $ 2.4 | $ 2.4 |
[1] | As of June 30, 2019, we had $298.3 million of qualifying receivables under our $400.0 million accounts receivable securitization facility, resulting in zero availability. | ||
[2] | The fair value of derivative contracts in this table is presented on a different basis than the Consolidated Balance Sheets presentation as disclosed in Note 13– Derivative Instruments and Hedging Activities. The above fair values reflect the total value of each derivative contract taken as a whole, whereas the Consolidated Balance Sheets presentation is based on the individual maturity dates of estimated future settlements. As such, an individual contract could have both an asset and liability position when segregated into its current and long-term portions for Consolidated Balance Sheets classification purposes. | ||
[3] | We have a contingent consideration liability for TPL’s previous acquisition of a gas gathering system and related assets, which is carried at fair value. |
Fair Value Measurements - Chang
Fair Value Measurements - Changes in Fair Value of Financial Instruments Classified as Level 3 (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Contingent Consideration [Member] | |
Changes in fair value of financial instruments classified as Level 3 in fair value hierarchy [Roll Forward] | |
Balance, beginning of period | $ (310.6) |
Balance, end of period | (2.4) |
Permian Acquisition [Member] | Contingent Consideration [Member] | |
Changes in fair value of financial instruments classified as Level 3 in fair value hierarchy [Roll Forward] | |
Completion of contingent consideration earn-out period | 308.2 |
Commodity Derivative Contracts Asset/(Liability) [Member] | |
Changes in fair value of financial instruments classified as Level 3 in fair value hierarchy [Roll Forward] | |
Balance, beginning of period | 6.5 |
New Level 3 derivative instruments | (0.3) |
Transfers out of Level 3 | (6.5) |
Unrealized gain/(loss) included in OCI | 0.6 |
Balance, end of period | $ 0.3 |
Related Party Transactions - _3
Related Party Transactions - Targa - Summary of Transactions with Affiliates (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | ||
Summary of transactions with Targa [Abstract] | |||||
Cash distributions to Targa based on general partner and limited partner ownership | $ 437.8 | $ 229.7 | $ 679.1 | $ 458.2 | |
Cash contributions from Targa related to limited partner ownership | 186.2 | 78.5 | |||
Targa Resources Corp. [Member] | |||||
Summary of transactions with Targa [Abstract] | |||||
Targa billings of payroll and related costs included in operating expenses | 61.6 | 57 | 115.7 | 116.5 | |
Targa allocation of general and administrative expense | 61.1 | 47.4 | 128.8 | 94.7 | |
Cash distributions to Targa based on general partner and limited partner ownership | 435 | 226.9 | 673.5 | 452.6 | |
Cash contributions from Targa related to limited partner ownership | [1] | 186.2 | 19.7 | 186.2 | 78.5 |
Contributions from Targa Resources Corp | $ 3.8 | $ 0.4 | $ 3.8 | $ 1.6 | |
Percentage of general partner's interest maintained | 2.00% | ||||
[1] | The cash contributions from Targa related to limited partner ownership were allocated 98% to the limited partner and 2% |
Related Party Transactions - _4
Related Party Transactions - Targa - Summary of Transactions with Affiliates (Parenthetical) (Details) - Targa Resources Corp. [Member] | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Related Party Transaction [Line Items] | ||||
Percentage of general partner's interest maintained | 2.00% | |||
Limited Partners [Member] | ||||
Related Party Transaction [Line Items] | ||||
Percentage of capital contribution towards partner's interest maintained | 98.00% | 98.00% | 98.00% | 98.00% |
Targa Resources GP LLC [Member] | ||||
Related Party Transaction [Line Items] | ||||
Percentage of general partner's interest maintained | 2.00% | 2.00% | 2.00% | 2.00% |
Revenue - Estimated Minimum Rev
Revenue - Estimated Minimum Revenue Expected to be Recognized in Future Related to Unsatisfied Performance Obligations (Details) - Fixed Price Contract [Member] $ in Millions | Jun. 30, 2019USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2019-07-01 | |
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items] | |
Fixed consideration to be recognized | $ 272.8 |
Estimated remaining duration of contracts | 6 months |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2020-01-01 | |
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items] | |
Fixed consideration to be recognized | $ 497.6 |
Estimated remaining duration of contracts | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2021-01-01 | |
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items] | |
Fixed consideration to be recognized | $ 3,373.6 |
Estimated remaining duration of contracts |
Revenue - Additional Informatio
Revenue - Additional Information (Details) - Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2019-07-01 | Jun. 30, 2019 |
Minimum [Member] | |
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items] | |
Estimated remaining duration of contracts | 1 year |
Maximum [Member] | |
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items] | |
Estimated remaining duration of contracts | 20 years |
Other Operating (Income) Expe_3
Other Operating (Income) Expense (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | ||
Other Income And Expenses [Abstract] | |||||
(Gain) loss on sale or disposal of assets | [1] | $ (0.2) | $ (46.7) | $ 3.1 | $ (46.8) |
Miscellaneous business tax | 0.3 | 0.2 | 0.6 | ||
Other | 0.1 | ||||
Total other operating (income) expense | $ (0.2) | $ (46.4) | $ 3.3 | $ (46.1) | |
[1] | Our 2018 gain is comprised primarily of a $48.1 million |
Other Operating (Income) Expe_4
Other Operating (Income) Expense (Parenthetical) (Details) $ in Millions | 3 Months Ended |
Jun. 30, 2018USD ($) | |
Other Income And Expenses [Abstract] | |
Gain on sale of inland marine barge business | $ 48.1 |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information (Details) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | ||
Cash [Abstract] | |||
Interest paid, net of capitalized interest | [1] | $ 106.2 | $ 76.1 |
Income taxes paid, net of refunds | (1.7) | 0.2 | |
Non-cash investing activities [Abstract] | |||
Deadstock commodity inventory transferred to property, plant and equipment | 21.2 | 26.8 | |
Impact of capital expenditure accruals on property, plant and equipment | (4.3) | 145.2 | |
Transfers from materials and supplies inventory to property, plant and equipment | 16.4 | 1 | |
Contribution of property, plant and equipment to investments in unconsolidated affiliates | 16 | ||
Change in ARO liability and property, plant and equipment | 3.4 | 1.2 | |
Non-cash financing activities: | |||
Accrued distributions to noncontrolling interests | 49.6 | ||
Non-cash balance sheet movements related to acquisition of related party: | |||
Intercompany payable | 1.4 | ||
Noncontrolling interest | $ 1.1 | ||
Lease liabilities arising from recognition of right-of-use assets: | |||
Operating lease | 6.6 | ||
Finance lease | $ 4.5 | ||
[1] | Interest capitalized on major projects was $36.1 million and $20.8 million for the six months ended June 30, 2019 and 2018. |
Supplemental Cash Flow Inform_4
Supplemental Cash Flow Information (Parenthetical) (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Supplemental Cash Flow Information [Abstract] | ||
Interest capitalized on major projects | $ 36.1 | $ 20.8 |
Segment Information - Additiona
Segment Information - Additional Information (Details) | 6 Months Ended |
Jun. 30, 2019Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 2 |
Segment Information, Revenues a
Segment Information, Revenues and Operating Margin (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Revenues [Abstract] | ||||
Revenues | $ 1,995.3 | $ 2,444.4 | $ 4,294.7 | $ 4,900 |
Operating margin | 423.5 | 368.6 | 806.6 | 710.1 |
Sales of Commodities [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 1,684.2 | 2,154.1 | 3,660.7 | 4,327.4 |
Fees from Midstream Services [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 311.1 | 290.3 | 634 | 572.6 |
Gathering and Processing [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 976.8 | 1,364.3 | 2,248.9 | 2,659.2 |
Operating margin | 193.1 | 242.2 | 422.2 | 463.2 |
Logistics and Marketing [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 1,564.3 | 2,083.1 | 3,458.1 | 4,192.5 |
Operating margin | 184.4 | 129.9 | 336.3 | 268.3 |
Other [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 46 | (3.5) | 48.1 | (21.4) |
Operating margin | 46 | (3.5) | 48.1 | (21.4) |
Corporate and Elimination [Member] | ||||
Revenues [Abstract] | ||||
Revenues | (591.8) | (999.5) | (1,460.4) | (1,930.3) |
Operating Segments [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 1,995.3 | 2,444.4 | 4,294.7 | 4,900 |
Operating Segments [Member] | Sales of Commodities [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 1,684.2 | 2,154.1 | 3,660.7 | 4,327.4 |
Operating Segments [Member] | Fees from Midstream Services [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 311.1 | 290.3 | 634 | 572.6 |
Operating Segments [Member] | Gathering and Processing [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 435.6 | 449.6 | 883.1 | 876.2 |
Operating Segments [Member] | Gathering and Processing [Member] | Sales of Commodities [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 259.4 | 273.6 | 507 | 538.7 |
Operating Segments [Member] | Gathering and Processing [Member] | Fees from Midstream Services [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 176.2 | 176 | 376.1 | 337.5 |
Operating Segments [Member] | Logistics and Marketing [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 1,513.7 | 1,998.3 | 3,363.5 | 4,045.2 |
Operating Segments [Member] | Logistics and Marketing [Member] | Sales of Commodities [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 1,378.8 | 1,884 | 3,105.6 | 3,810.1 |
Operating Segments [Member] | Logistics and Marketing [Member] | Fees from Midstream Services [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 134.9 | 114.3 | 257.9 | 235.1 |
Operating Segments [Member] | Other [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 46 | (3.5) | 48.1 | (21.4) |
Operating Segments [Member] | Other [Member] | Sales of Commodities [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 46 | (3.5) | 48.1 | (21.4) |
Intersegment Eliminations [Member] | Gathering and Processing [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 541.2 | 914.7 | 1,365.8 | 1,783 |
Intersegment Eliminations [Member] | Gathering and Processing [Member] | Sales of Commodities [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 539.7 | 913 | 1,362.5 | 1,779.2 |
Intersegment Eliminations [Member] | Gathering and Processing [Member] | Fees from Midstream Services [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 1.5 | 1.7 | 3.3 | 3.8 |
Intersegment Eliminations [Member] | Logistics and Marketing [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 50.6 | 84.8 | 94.6 | 147.3 |
Intersegment Eliminations [Member] | Logistics and Marketing [Member] | Sales of Commodities [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 43.6 | 76.4 | 82.1 | 131.5 |
Intersegment Eliminations [Member] | Logistics and Marketing [Member] | Fees from Midstream Services [Member] | ||||
Revenues [Abstract] | ||||
Revenues | 7 | 8.4 | 12.5 | 15.8 |
Intersegment Eliminations [Member] | Corporate and Elimination [Member] | ||||
Revenues [Abstract] | ||||
Revenues | (591.8) | (999.5) | (1,460.4) | (1,930.3) |
Intersegment Eliminations [Member] | Corporate and Elimination [Member] | Sales of Commodities [Member] | ||||
Revenues [Abstract] | ||||
Revenues | (583.3) | (989.4) | (1,444.6) | (1,910.7) |
Intersegment Eliminations [Member] | Corporate and Elimination [Member] | Fees from Midstream Services [Member] | ||||
Revenues [Abstract] | ||||
Revenues | $ (8.5) | $ (10.1) | $ (15.8) | $ (19.6) |
Segment Information, Other Fina
Segment Information, Other Financial Information (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | ||
Other financial information [Abstract] | ||||||
Total assets | $ 18,252.7 | $ 18,252.7 | $ 16,890.1 | |||
Goodwill | 46.6 | 46.6 | $ 46.6 | |||
Operating Segments [Member] | ||||||
Other financial information [Abstract] | ||||||
Total assets | [1] | 18,252.7 | $ 15,570.7 | 18,252.7 | $ 15,570.7 | |
Goodwill | 46.6 | 256.6 | 46.6 | 256.6 | ||
Capital expenditures | 857.1 | 734.8 | 1,762.6 | 1,292.7 | ||
Gathering and Processing [Member] | Operating Segments [Member] | ||||||
Other financial information [Abstract] | ||||||
Total assets | [1] | 12,038.6 | 11,054.4 | 12,038.6 | 11,054.4 | |
Goodwill | 46.6 | 256.6 | 46.6 | 256.6 | ||
Capital expenditures | 420.8 | 282.2 | 838.5 | 555.4 | ||
Logistics and Marketing [Member] | Operating Segments [Member] | ||||||
Other financial information [Abstract] | ||||||
Total assets | [1] | 5,994.7 | 4,293.5 | 5,994.7 | 4,293.5 | |
Capital expenditures | 425.5 | 418.2 | 896.3 | 669.2 | ||
Other [Member] | Operating Segments [Member] | ||||||
Other financial information [Abstract] | ||||||
Total assets | [1] | 124.8 | 74.6 | 124.8 | 74.6 | |
Corporate and Elimination [Member] | Operating Segments [Member] | ||||||
Other financial information [Abstract] | ||||||
Total assets | [1] | 94.6 | 148.2 | 94.6 | 148.2 | |
Capital expenditures | $ 10.8 | $ 34.4 | $ 27.8 | $ 68.1 | ||
[1] | Assets in the Corporate and Eliminations column primarily include cash, prepaids and debt issuance costs for our TRP Revolver. |
Segment Information, Revenues D
Segment Information, Revenues Disaggregated by Product and Service (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | ||
Revenue from External Customer [Line Items] | |||||
Revenue recognized from customer and non-customer | $ 1,642 | $ 2,164 | $ 3,606.6 | $ 4,376.1 | |
Non-customer revenue | 42.2 | (9.9) | 54.1 | (48.7) | |
Total revenues | 1,995.3 | 2,444.4 | 4,294.7 | 4,900 | |
Designated as Hedging Instrument [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Non-customer revenue | 43.3 | (7.7) | 64.6 | (35.7) | |
Not Designated as Hedging Instrument [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Non-customer revenue | [1] | (1.1) | (2.2) | (10.5) | (13) |
Natural Gas [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Revenue recognized from customer and non-customer | 217.6 | 416.4 | 628.9 | 886.6 | |
NGL [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Revenue recognized from customer and non-customer | 1,195.5 | 1,584.5 | 2,591.9 | 3,191.3 | |
Condensate And Crude Oil [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Revenue recognized from customer and non-customer | 172.1 | 103.5 | 309.8 | 190.4 | |
Petroleum Products [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Revenue recognized from customer and non-customer | 56.8 | 59.6 | 76 | 107.8 | |
Sales of Commodities [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Total revenues | 1,684.2 | 2,154.1 | 3,660.7 | 4,327.4 | |
NGL Transportation and Services [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Total revenues | 40.1 | 37.2 | 76.3 | 78.3 | |
Storage, Terminaling and Export [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Total revenues | 90.4 | 75.4 | 170 | 153.6 | |
Gathering and Processing [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Total revenues | 177.5 | 173.7 | 371.9 | 327.1 | |
Other [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Total revenues | 3.1 | 4 | 15.8 | 13.6 | |
Fees from Midstream Services [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Total revenues | $ 311.1 | $ 290.3 | $ 634 | $ 572.6 | |
[1] | Represents derivative activities that are not designated as hedging instruments under ASC 815. |
Segment Information, Reconcilia
Segment Information, Reconciliation of Reportable Segment Operating Margin to Income (Loss) Before Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Reconciliation of reportable segment operating margin to income (loss) before income taxes: | ||||
Operating margin | $ 423.5 | $ 368.6 | $ 806.6 | $ 710.1 |
Depreciation and amortization expense | (237.2) | (202.6) | (474.6) | (400.7) |
General and administrative expense | (69.3) | (53.2) | (146.7) | (106) |
Interest income (expense), net | (69.5) | (57.8) | (144.9) | (37.6) |
Change in contingent considerations | 0.8 | 60.6 | (8.9) | 4.5 |
Other, net | 3.4 | 47 | 1.2 | 48.3 |
Income (loss) before income taxes | 51.7 | 162.6 | 32.7 | 218.6 |
Gathering and Processing [Member] | ||||
Reconciliation of reportable segment operating margin to income (loss) before income taxes: | ||||
Operating margin | 193.1 | 242.2 | 422.2 | 463.2 |
Logistics and Marketing [Member] | ||||
Reconciliation of reportable segment operating margin to income (loss) before income taxes: | ||||
Operating margin | 184.4 | 129.9 | 336.3 | 268.3 |
Other [Member] | ||||
Reconciliation of reportable segment operating margin to income (loss) before income taxes: | ||||
Operating margin | $ 46 | $ (3.5) | $ 48.1 | $ (21.4) |