Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2019 | Aug. 02, 2019 | |
Document And Entity Information [Abstract] | ||
Entity Registrant Name | TARGA RESOURCES CORP. | |
Trading Symbol | TRGP | |
Entity Central Index Key | 0001389170 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 232,780,711 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q2 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2019 | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Emerging Growth Company | false | |
Entity Current Reporting Status | Yes | |
Entity Tax Identification Number | 203701075 | |
Entity File Number | 001-34991 | |
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 | $ 226.5 | $ 232.1 | |
Trade receivables, net of allowances of $0.0 and $0.1 million at June 30, 2019 and December 31, 2018 | 637.2 | 865.5 | |
Inventories | 205.1 | 164.7 | |
Assets from risk management activities | 103.9 | 115.3 | |
Other current assets | 39.2 | 41.3 | |
Total current assets | 1,211.9 | 1,418.9 | |
Property, plant and equipment | 19,048.7 | 17,220.7 | |
Accumulated depreciation and amortization | (4,679.9) | (4,292.3) | |
Property, plant and equipment, net | 14,368.8 | 12,928.4 | |
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 | 69.5 | 36.5 | |
Total assets | 18,318.2 | 16,938.2 | |
Current liabilities: | |||
Accounts payable and accrued liabilities | 1,297.8 | 1,737.3 | |
Liabilities from risk management activities | 50.9 | 33.6 | |
Current debt obligations | [1] | 309.3 | 1,027.9 |
Total current liabilities | 1,658 | 2,798.8 | |
Long-term debt | 6,639 | 5,632.4 | |
Long-term liabilities from risk management activities | 2.7 | 3.1 | |
Deferred income taxes, net | 512.7 | 525.2 | |
Other long-term liabilities | 305 | 262.2 | |
Contingencies (see Note 18) | 0 | 0 | |
Targa Resources Corp. stockholders' equity: | |||
Common stock value | 0.2 | 0.2 | |
Preferred stock ($0.001 par value, after designation of Series A Preferred Stock: 98,800,000 shares authorized, no shares issued and outstanding) | 0 | 0 | |
Additional paid-in capital | 5,687.8 | 6,154.9 | |
Retained earnings (deficit) | (179.5) | (130.4) | |
Accumulated other comprehensive income (loss) | 83 | 94.3 | |
Treasury stock, at cost (895,802 shares as of June 30, 2019 and 665,753 shares as of December 31, 2018) | (49.2) | (39.6) | |
Total Targa Resources Corp. stockholders' equity | 5,542.3 | 6,079.4 | |
Noncontrolling interests | 3,396.8 | 1,391.4 | |
Total owners' equity | 8,939.1 | 7,470.8 | |
Total liabilities, Series A Preferred Stock and owners' equity | 18,318.2 | 16,938.2 | |
Series A Preferred Stock [Member] | |||
Current liabilities: | |||
Series A Preferred 9.5% Stock, $1,000 per share liquidation preference, (1,200,000 shares authorized, 965,100 shares issued and outstanding), net of discount (see Note 12) | $ 261.7 | $ 245.7 | |
[1] | While we consolidate the debt of the Partnership in our financial statements, we do not have the obligation to make interest payments or debt payments with respect to the debt of the Partnership. |
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 |
Targa Resources Corp. stockholders' equity: | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 300,000,000 | 300,000,000 |
Common stock, shares issued (in shares) | 233,371,916 | 232,456,283 |
Common stock, shares outstanding (in shares) | 232,476,114 | 231,790,530 |
Preferred stock, par value (in dollar per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized (in shares) | 98,800,000 | 98,800,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Treasury stock, shares (in shares) | 895,802 | 665,753 |
Series A Preferred Stock [Member] | ||
LIABILITIES, SERIES A PREFERRED STOCK AND OWNERS' EQUITY | ||
Preferred Series A Liquidation Stock Percentage | 9.50% | 9.50% |
Preferred Stock, Liquidation Preference Per Share | $ 1,000 | $ 1,000 |
Preferred Stock, Shares Authorized | 1,200,000 | 1,200,000 |
Preferred Stock, Shares Issued | 965,100 | 965,100 |
Preferred Stock, Shares Outstanding | 965,100 | 965,100 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) shares in Millions, $ 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 | 343.7 |
Depreciation and amortization expense | 237.2 | 202.6 | 474.6 | 400.7 |
General and administrative expense | 72.8 | 57 | 153.6 | 113.8 |
Other operating (income) expense | (0.2) | (46.4) | 3.3 | (46.1) |
Income (loss) from operations | 113.7 | 155.4 | 175.1 | 241.7 |
Other income (expense): | ||||
Interest income (expense), net | (72.1) | (62) | (152.7) | (46) |
Equity earnings (loss) | 3.2 | 1.9 | 5.9 | 3.4 |
Gain (loss) from financing activities | (2) | (1.4) | (2) | |
Change in contingent considerations | 0.8 | 60.6 | (8.9) | 4.5 |
Income (loss) before income taxes | 45.6 | 153.9 | 18 | 201.6 |
Income tax (expense) benefit | 3.3 | (32.8) | 6.2 | (41.6) |
Net income (loss) | 48.9 | 121.1 | 24.2 | 160 |
Less: Net income (loss) attributable to noncontrolling interests | 59.1 | 12 | 73.3 | 28 |
Net income (loss) attributable to Targa Resources Corp. | (10.2) | 109.1 | (49.1) | 132 |
Dividends on Series A Preferred Stock | 22.9 | 22.9 | 45.8 | 45.8 |
Deemed dividends on Series A Preferred Stock | 8.1 | 7.2 | 16 | 14.1 |
Net income (loss) attributable to common shareholders | $ (41.2) | $ 79 | $ (110.9) | $ 72.1 |
Net income (loss) per common share - basic | $ (0.18) | $ 0.36 | $ (0.48) | $ 0.33 |
Net income (loss) per common share - diluted | $ (0.18) | $ 0.35 | $ (0.48) | $ 0.33 |
Weighted average shares outstanding - basic | 232.4 | 221.1 | 232.3 | 219.9 |
Weighted average shares outstanding - diluted | 232.4 | 222.8 | 232.3 | 221.5 |
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) | $ 48.9 | $ 121.1 | $ 24.2 | $ 160 |
Commodity hedging contracts: | ||||
Other comprehensive income (loss), pre-tax | 45.1 | (95.2) | (15) | (3.9) |
Other comprehensive income (loss), related income tax | (11) | 22.8 | 3.7 | 1.1 |
Other comprehensive income (loss), after tax | 34.1 | (72.4) | (11.3) | (2.8) |
Comprehensive income (loss) | 83 | 48.7 | 12.9 | 157.2 |
Less: Comprehensive income (loss) attributable to noncontrolling interests | 59.1 | 12 | 73.3 | 28 |
Comprehensive income (loss) attributable to Targa Resources Corp. | 23.9 | 36.7 | (60.4) | 129.2 |
Commodity Contracts [Member] | ||||
Commodity hedging contracts: | ||||
Change in fair value, pre-tax | 88.4 | (103) | 49.6 | (38.3) |
Change in fair value, related income tax | (21.4) | 26 | (11.9) | 10.6 |
Change in fair value, after tax | 67 | (77) | 37.7 | (27.7) |
Settlements reclassified to revenues, pre-tax | (43.3) | 7.8 | (64.6) | 34.4 |
Settlements reclassified to revenues, related income tax | 10.4 | (3.2) | 15.6 | (9.5) |
Settlements reclassified to revenues, after tax | $ (32.9) | $ 4.6 | $ (49) | $ 24.9 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN OWNERS' EQUITY AND SERIES A PREFERRED STOCK (Unaudited) - USD ($) shares in Thousands, $ in Millions | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings (Accumulated Deficit) [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Treasury Shares [Member] | Noncontrolling Interests [Member] | Series A Preferred Stock [Member] |
Balance at Dec. 31, 2017 | $ 6,756 | $ 0.2 | $ 6,302.8 | $ (77.2) | $ (29.9) | $ (35.6) | $ 595.7 | |
Balance (in shares) at Dec. 31, 2017 | 217,567 | 586 | ||||||
Series A Preferred Stock at Dec. 31, 2017 | $ 216.5 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Impact of accounting standard adoption | 5.2 | 5.2 | (5.2) | |||||
Compensation on equity grants | 26.9 | 26.9 | ||||||
Distribution equivalent rights | (6.5) | (6.5) | ||||||
Shares issued under compensation program (in shares) | 235 | |||||||
Shares and units tendered for tax withholding obligations | (2.6) | $ (2.6) | ||||||
Shares and units tendered for tax withholding obligations (in shares) | (54) | 54 | ||||||
Issuance of common stock | 369.5 | 369.5 | ||||||
Issuance of common stock (in shares) | 7,680 | |||||||
Exercise of warrants - shares settled | 59 | |||||||
Series A Preferred Stock dividends | ||||||||
Preferred stock dividends | (45.8) | (45.8) | ||||||
Dividends in excess of retained earnings | (45.8) | 45.8 | ||||||
Deemed dividends - accretion of beneficial conversion feature | (14.1) | (14.1) | 14.1 | |||||
Common stock dividends | ||||||||
Common stock dividends | (399.1) | (399.1) | ||||||
Dividends in excess of retained earnings | (399.1) | 399.1 | ||||||
Distributions to noncontrolling interests | (39.4) | (39.4) | ||||||
Contributions from noncontrolling interests | 447.1 | 447.1 | ||||||
Acquisition of related party | 1.1 | 1.1 | ||||||
Purchase of noncontrolling interests in subsidiary | (0.1) | (0.1) | ||||||
Other comprehensive income (loss) | (2.8) | (2.8) | ||||||
Net income (loss) | 160 | 132 | 28 | |||||
Balance at Jun. 30, 2018 | 7,250.2 | $ 0.2 | 6,233.7 | 60 | (37.9) | $ (38.2) | 1,032.4 | |
Balance (in shares) at Jun. 30, 2018 | 225,487 | 640 | ||||||
Series A Preferred Stock at Jun. 30, 2018 | 230.6 | |||||||
Balance at Mar. 31, 2018 | 6,964.4 | $ 0.2 | 6,141.2 | (49.1) | 34.4 | $ (36) | 873.7 | |
Balance (in shares) at Mar. 31, 2018 | 218,832 | 594 | ||||||
Series A Preferred Stock at Mar. 31, 2018 | 223.5 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Compensation on equity grants | 13.7 | 13.7 | ||||||
Distribution equivalent rights | (3.2) | (3.2) | ||||||
Shares issued under compensation program (in shares) | 184 | |||||||
Shares and units tendered for tax withholding obligations | (2.2) | $ (2.2) | ||||||
Shares and units tendered for tax withholding obligations (in shares) | (46) | 46 | ||||||
Issuance of common stock | 311.8 | 311.8 | ||||||
Issuance of common stock (in shares) | 6,517 | |||||||
Series A Preferred Stock dividends | ||||||||
Preferred stock dividends | (22.9) | (22.9) | ||||||
Dividends in excess of retained earnings | (22.9) | 22.9 | ||||||
Deemed dividends - accretion of beneficial conversion feature | (7.1) | (7.1) | 7.1 | |||||
Common stock dividends | ||||||||
Common stock dividends | (199.8) | (199.8) | ||||||
Dividends in excess of retained earnings | (199.8) | 199.8 | ||||||
Distributions to noncontrolling interests | (20.1) | (20.1) | ||||||
Contributions from noncontrolling interests | 167 | 167 | ||||||
Acquisition of related party | (0.1) | (0.1) | ||||||
Purchase of noncontrolling interests in subsidiary | (0.1) | (0.1) | ||||||
Other comprehensive income (loss) | (72.3) | (72.3) | ||||||
Net income (loss) | 121.1 | 109.1 | 12 | |||||
Balance at Jun. 30, 2018 | 7,250.2 | $ 0.2 | 6,233.7 | 60 | (37.9) | $ (38.2) | 1,032.4 | |
Balance (in shares) at Jun. 30, 2018 | 225,487 | 640 | ||||||
Series A Preferred Stock at Jun. 30, 2018 | 230.6 | |||||||
Balance at Dec. 31, 2018 | 7,470.8 | $ 0.2 | 6,154.9 | (130.4) | 94.3 | $ (39.6) | 1,391.4 | |
Balance (in shares) at Dec. 31, 2018 | 231,791 | 666 | ||||||
Series A Preferred Stock at Dec. 31, 2018 | 245.7 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Compensation on equity grants | 32.7 | 32.7 | ||||||
Distribution equivalent rights | (6.9) | (6.9) | ||||||
Shares issued under compensation program (in shares) | 915 | |||||||
Shares and units tendered for tax withholding obligations | (9.6) | $ (9.6) | ||||||
Shares and units tendered for tax withholding obligations (in shares) | (230) | 230 | ||||||
Series A Preferred Stock dividends | ||||||||
Preferred stock dividends | (45.8) | (45.8) | ||||||
Dividends in excess of retained earnings | (45.8) | 45.8 | ||||||
Deemed dividends - accretion of beneficial conversion feature | (16) | (16) | 16 | |||||
Common stock dividends | ||||||||
Common stock dividends | (423) | (423) | ||||||
Dividends in excess of retained earnings | (423) | 423 | ||||||
Distributions to noncontrolling interests | (91.1) | (91.1) | ||||||
Contributions from noncontrolling interests | 403.5 | 403.5 | ||||||
Sale of ownership interests in subsidiaries, net | 1,611.6 | (8.1) | 1,619.7 | |||||
Other comprehensive income (loss) | (11.3) | (11.3) | ||||||
Net income (loss) | 24.2 | (49.1) | 73.3 | |||||
Balance at Jun. 30, 2019 | 8,939.1 | $ 0.2 | 5,687.8 | (179.5) | 83 | $ (49.2) | 3,396.8 | |
Balance (in shares) at Jun. 30, 2019 | 232,476 | 896 | ||||||
Series A Preferred Stock at Jun. 30, 2019 | 261.7 | |||||||
Balance at Mar. 31, 2019 | 7,337.3 | $ 0.2 | 5,925.7 | (169.3) | 48.9 | $ (49.2) | 1,581 | |
Balance (in shares) at Mar. 31, 2019 | 232,475 | 895 | ||||||
Series A Preferred Stock at Mar. 31, 2019 | 253.6 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Compensation on equity grants | 16.2 | 16.2 | ||||||
Distribution equivalent rights | (3.3) | (3.3) | ||||||
Shares issued under compensation program (in shares) | 2 | |||||||
Shares and units tendered for tax withholding obligations (in shares) | (1) | 1 | ||||||
Series A Preferred Stock dividends | ||||||||
Preferred stock dividends | (22.9) | (22.9) | ||||||
Dividends in excess of retained earnings | (22.9) | 22.9 | ||||||
Deemed dividends - accretion of beneficial conversion feature | (8.1) | (8.1) | 8.1 | |||||
Common stock dividends | ||||||||
Common stock dividends | (211.7) | (211.7) | ||||||
Dividends in excess of retained earnings | (211.7) | 211.7 | ||||||
Distributions to noncontrolling interests | (69.7) | (69.7) | ||||||
Contributions from noncontrolling interests | 206.7 | 206.7 | ||||||
Sale of ownership interests in subsidiaries, net | 1,611.6 | (8.1) | 1,619.7 | |||||
Other comprehensive income (loss) | 34.1 | 34.1 | ||||||
Net income (loss) | 48.9 | (10.2) | 59.1 | |||||
Balance at Jun. 30, 2019 | $ 8,939.1 | $ 0.2 | $ 5,687.8 | $ (179.5) | $ 83 | $ (49.2) | $ 3,396.8 | |
Balance (in shares) at Jun. 30, 2019 | 232,476 | 896 | ||||||
Series A Preferred Stock at Jun. 30, 2019 | $ 261.7 |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN OWNERS' EQUITY AND SERIES A PREFERRED STOCK (Unaudited) (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Statement Of Stockholders Equity [Abstract] | ||||
Preferred stock dividends, per share | $ 23.75 | $ 23.75 | $ 47.5 | $ 47.50 |
Common stock dividends, per share | $ 0.91 | $ 0.91 | $ 1.82 | $ 1.82 |
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) | $ 24.2 | $ 160 | |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Amortization in interest expense | 5.1 | 5.6 | |
Compensation on equity grants | 32.7 | 26.9 | |
Depreciation and amortization expense | 474.6 | 400.7 | |
Accretion of asset retirement obligations | 2.3 | 1.9 | |
Increase (decrease) in redemption value of mandatorily redeemable preferred interests | (75.4) | ||
Deferred income tax expense (benefit) | (6.2) | 41.6 | |
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 | [1] | 3.1 | (46.8) |
(Gain) loss from financing activities | 1.4 | 2 | |
Change in contingent considerations | 8.9 | (4.5) | |
Changes in operating assets and liabilities, net of business acquisitions: | |||
Receivables and other assets | 182.4 | (8.8) | |
Inventories | (76.7) | 9.3 | |
Accounts payable and other liabilities | (108.1) | 14.5 | |
Net cash provided by operating activities | 552.3 | 543.7 | |
Cash flows from investing activities | |||
Outlays for property, plant and equipment | (1,751) | (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 | (1,962.4) | (1,236.9) | |
Debt obligations: | |||
Proceeds from borrowings under credit facilities | 1,770 | 640 | |
Repayments of credit facilities | (2,280) | (945) | |
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) | ||
Principal payments of finance leases | (5.5) | ||
Proceeds from issuance of common stock | 372.4 | ||
Costs incurred in connection with financing arrangements | (25.2) | (21.7) | |
Payment of contingent consideration | (317.1) | ||
Repurchase of shares and units under compensation plans | (9.6) | (0.4) | |
Sale of ownership interests in subsidiaries | 1,619.7 | ||
Purchase of noncontrolling interests in subsidiary | (0.1) | ||
Contributions from noncontrolling interests | 403.5 | 447.1 | |
Distributions to noncontrolling interests | (35.9) | (33.8) | |
Distributions to Partnership unitholders | (5.6) | (5.6) | |
Dividends paid to common and Series A preferred shareholders | (478.7) | (445.3) | |
Net cash provided by financing activities | 1,404.5 | 837.6 | |
Net change in cash and cash equivalents | (5.6) | 144.4 | |
Cash and cash equivalents, beginning of period | 232.1 | 137.2 | |
Cash and cash equivalents, end of period | $ 226.5 | $ 281.6 | |
[1] | Our 2018 gain is comprised primarily of a $48.1 million gain on sale of our inland marine barge business to a third party during the second quarter of 2018. |
Organization and Operations
Organization and Operations | 6 Months Ended |
Jun. 30, 2019 | |
Organization [Abstract] | |
Organization and Operations | Note 1 — Organization and Operations Our Organization Targa Resources Corp. (“TRC”) is a publicly traded Delaware corporation formed in October 2005. Our common stock is listed on the New York Stock Exchange under the symbol “TRGP.” In this Quarterly Report, unless the context requires otherwise, references to “we,” “us,” “our,” “the Company” or “Targa” are intended to mean our consolidated business and operations. Our Operations The Company is 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 22 – Segment Information for certain financial information regarding our business segments. |
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 $16.3 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 $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 to be the operator of Targa Badlands and hold majority governance rights. As a result, we continue to present Targa Badlands on a consolidated basis in our consolidated financial statements and 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 4,706.3 4,007.7 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 253.2 334.5 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 19,048.7 17,220.7 Accumulated depreciation and amortization (4,679.9 ) (4,292.3 ) Property, plant and equipment, net $ 14,368.8 $ 12,928.4 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 Gathering and Processing Segment • two (together the “T2 Joint Ventures”) ; and • a 50 Logistics and Marketing Segment • a 25% non-operated ownership interest in Gulf Coast Express Pipeline LLC (“GCX”) ; • a 38.8% non-operated ownership interest in Gulf Coast Fractionators LP (“GCF”); • a 50 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 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 485.9 478.6 Interest 121.5 79.9 Income and other taxes 61.5 47.7 Permian Acquisition contingent consideration — 308.2 Compensation and benefits 42.9 57.3 Preferred Series A dividends payable 22.9 22.9 Other (1) 64.5 20.8 $ 1,297.8 $ 1,737.3 (1) The 2019 amount includes $49.6 million of accrued distributions to noncontrolling interests. Accounts payable and accrued liabilities includes $20.1 million and $52.6 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: Obligations of the Partnership: (1) Accounts receivable securitization facility, due December 2019 (2) $ 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: TRC obligations: TRC Senior secured revolving credit facility, variable rate, due June 2023 (3) 435.0 435.0 Obligations of the Partnership: (1) Senior secured revolving credit facility, variable rate, due June 2023 (4) 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 (5) 6.5 6.5 TPL notes, 5⅞% fixed rate, due August 2023 (5) 48.1 48.1 Unamortized premium 0.3 0.3 6,653.5 5,663.5 Debt issuance costs, net of amortization (41.9 ) (31.1 ) Finance lease liabilities 27.4 — Long-term debt 6,639.0 5,632.4 Total debt obligations $ 6,948.3 $ 6,660.3 Irrevocable standby letters of credit: Letters of credit outstanding under the TRC Senior secured credit facility (3) $ — $ — Letters of credit outstanding under the Partnership senior secured revolving credit facility (4) 66.0 79.5 $ 66.0 $ 79.5 (1) While we consolidate the debt of the Partnership in our financial statements, we do not have the obligation to make interest payments or debt payments with respect to the debt of the Partnership. (2) As of June 30, 2019, the Partnership had $298.3 million of qualifying receivables under its $400.0 million accounts receivable securitization facility, resulting in zero availability. (3) As of June 30, 2019, availability under TRC’s $670.0 million senior secured revolving credit facility (“TRC Revolver”) was $235.0 million. (4) As of June 30, 2019, availability under the Partnership’s $2.2 billion senior secured revolving credit facility (“TRP Revolver”) was $1,944.0 million. (5) “TPL” refers to Targa Pipeline Partners LP. The following table shows the range of interest rates and weighted average interest rate incurred on variable-rate debt obligations during the six months ended June 30, 2019: Range of Interest Rates Incurred Weighted Average Interest Rate Incurred TRC Revolver 4.2% - 4.3% 4.2% TRP Revolver 3.8% - 4.7% 4.3% Partnership's 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, the Partnership issued $750.0 million of 6½% Senior Notes due July 2027 and $750.0 million of 6⅞% Senior Notes due January 2029, resulting in total net proceeds of $1,486.8 million. The net proceeds from the offerings were used to redeem in full the Partnership’s outstanding 4⅛% Senior Notes due 2019 with the remainder used for general partnership purposes, which included repaying borrowings under the Partnership’s credit facilities. Debt Extinguishment In February 2019, the Partnership redeemed in full its outstanding 4 ⅛ . The redemption resulted in a non-cash loss to write-off $1.4 million of unamortized debt issuance costs, which is included in Gain (loss) from financing activities in the Consolidated Statements of Operations. May 2019 Shelf Registration Our universal shelf registration statement on Form S-3 filed in May 2016 (the “May 2016 Shelf”) expired in May 2019. Accordingly, in May 2019, we filed with the SEC a universal shelf registration statement on Form S-3 that registers the issuance and sale of certain debt and equity securities from time to time in one or more offerings (the “May 2019 Shelf”). The May 2019 Shelf will expire in May 2022. See Note 13 – Common Stock and Related Matters. |
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 $ 61.2 $ 55.5 Deferred revenue 173.9 175.5 Operating lease liabilities 51.3 — Other liabilities 18.6 31.2 Total long-term liabilities $ 305.0 $ 262.2 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 10 years, some of which include options to extend the lease term for up to 20 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 $ 41.9 Finance leases, gross Property, plant and equipment 43.7 Lease liabilities Current: Operating leases Accounts payable and accrued liabilities $ 6.8 Finance leases Current debt obligations 11.0 Non-current: Operating leases Other long-term liabilities $ 51.3 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 $ 2.3 $ 4.6 Short-term lease cost 8.1 15.7 Variable lease cost 2.6 3.8 Finance lease cost Amortization of right-of-use assets 3.2 6.4 Interest expense 0.4 0.8 Total lease cost $ 16.6 $ 31.3 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 $ 4.0 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 7 years and 3 years, respectively. The weighted-average discount rates for operating leases and finance leases are 4.0% 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 $ 8.3 $ 12.3 2020 10.4 11.4 2021 10.2 9.3 2022 9.0 7.5 2023 7.0 0.7 Thereafter 23.2 — Total undiscounted cash flows 68.1 41.2 Less imputed interest (10.0 ) (2.8 ) Total lease liabilities $ 58.1 $ 38.4 The following table presents future minimum payments under non-cancellable leases as of December 31, 2018: Leases 2019 $ 20.9 2020 20.2 2021 18.5 2022 16.5 2023 9.8 Thereafter 24.9 Total payments $ 110.8 |
Preferred Stock
Preferred Stock | 6 Months Ended |
Jun. 30, 2019 | |
Equity [Abstract] | |
Preferred Stock | Note 12 – Preferred Stock Preferred Stock Dividends As of June 30, 2019, we have accrued cumulative preferred dividends of $22.9 million on our Series A Preferred Stock (“Series A Preferred”), which will be paid on August 14, 2019. During the three and six months ended June 30, 2019, we paid $22.9 million and $45.8 million dividends to preferred shareholders, and recorded deemed dividends of $8.1 million and $16.0 million attributable to accretion of the preferred discount resulting from the beneficial conversion feature accounting. Such accretion is included in the book value of the Series A Preferred. |
Common Stock and Related Matter
Common Stock and Related Matters | 6 Months Ended |
Jun. 30, 2019 | |
Class Of Stock Disclosures [Abstract] | |
Common Stock and Related Matters | Note 13 — Common Stock and Related Matters New Shelf Registration Statement and Continuation of ATM Programs On May 9, 2017, we entered into an equity distribution agreement (the “May 2017 EDA”), pursuant to which we may sell through our sales agents, at our option, up to an aggregate amount of $750.0 million of our common stock (the “2017 ATM Program”). Such shares of common stock were registered for sale under our May 2016 Shelf and the related prospectus supplement filed in May 2017. On September 20, 2018, we entered into an equity distribution agreement (the “September 2018 EDA”), pursuant to which we may sell through our sales agents, at our option, up to an aggregate amount of $750.0 million of our common stock (the “2018 ATM Program”). Such shares of common stock were registered for sale under our May 2016 Shelf and the related prospectus supplement filed in September 2018. The May 2016 Shelf expired in May 2019. Accordingly, in May 2019, we filed (i) the May 2019 Shelf, (ii) a new prospectus supplement to continue the 2017 ATM Program and (iii) a new prospectus supplement to continue the 2018 ATM Program. For the six months ended June 30, 2019, we issued no shares of common stock under the May 2017 EDA, and we issued no shares of common stock under the September 2018 EDA. As of June 30, 2019, we have $382.1 million remaining under the May 2017 EDA and $750.0 million remaining under the September 2018 EDA. Common Stock Dividends The following table details the dividends declared and/or paid by us to common shareholders for the six months ended June 30, 2019: Three Months Ended Date Paid or To Be Paid Total Common Dividends Declared Amount of Common Dividends Paid or To Be Paid Accrued Dividends (1) Dividends Declared per Share of Common Stock (In millions, except per share amounts) June 30, 2019 August 15, 2019 $ 215.1 $ 211.5 $ 3.6 $ 0.91000 March 31, 2019 May 15, 2019 215.2 211.5 3.7 0.91000 December 31, 2018 February 15, 2019 215.2 211.2 4.0 0.91000 (1) Represents accrued dividends on restricted stock and restricted stock units that are payable upon vesting. |
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 14 — Partnership Units and Related Matters Distributions We are entitled to receive all Partnership distributions from available cash on the Partnership’s common units after payment of preferred unit distributions each quarter. The following table details the distributions declared and paid by the Partnership 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 the Partnership continue to be allocated 98% to the limited partner and 2% to the general partner; however, no units will be issued for those contributions. During the three and six months ended June 30, 2019 we made total contributions to the Partnership of $190.0 million and $190.0 million. Preferred Units The Partnership’s issued and outstanding Series A Fixed-to-Floating Rate Cumulative Redeemable Perpetual Preferred Units (the “Preferred Units”) rank senior to the Partnership’s common units with respect to the distribution rights. Distributions on the Partnership’s 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 the Partnership’s general partner. Distributions on the 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 the Preferred Units will accumulate at an annual floating rate equal to the one-month LIBOR plus a spread of 7.71%. The Partnership 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. The Preferred Units are reported as noncontrolling interests in our financial statements. Subsequent Event In July 2019, the board of directors of the general partner of the Partnership 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. |
Earnings per Common Share
Earnings per Common Share | 6 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Earnings per Common Share | Note 15 — Earnings per Common Share The following table sets forth a reconciliation of net income and weighted average shares outstanding (in millions) used in computing basic and diluted net income per common share: Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Net income (loss) $ 48.9 $ 121.1 $ 24.2 $ 160.0 Less: Net income attributable to noncontrolling interests 59.1 12.0 73.3 28.0 Less: Dividends on preferred stock 31.0 30.1 61.8 59.9 Net income attributable to common shareholders for basic earnings per share $ (41.2 ) $ 79.0 $ (110.9 ) $ 72.1 Weighted average shares outstanding - basic 232.4 221.1 232.3 219.9 Net income available per common share - basic $ (0.18 ) $ 0.36 $ (0.48 ) $ 0.33 Weighted average shares outstanding 232.4 221.1 232.3 219.9 Dilutive effect of common stock equivalents (1) — 1.7 — 1.6 Weighted average shares outstanding - diluted 232.4 222.8 232.3 221.5 Net income available per common share - diluted $ (0.18 ) $ 0.35 $ (0.48 ) $ 0.33 (1) The dilutive effects of common stock equivalents were computed using the treasury method for warrants and unvested stock awards, and the if-converted method for convertible preferred stock. For the periods with net income attributable to common shareholders, the anti-dilution sequencing rule was applied from the most dilutive to the least dilutive common shares. The following potential common stock equivalents are excluded from the determination of diluted earnings per share because the inclusion of such shares would have been anti-dilutive (in millions on a weighted-average basis): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Unvested restricted stock awards 1.1 — 1.2 — Series A Preferred Stock (1) 46.5 46.5 46.5 46.5 ( 1 ) The Series A Preferred has no mandatory redemption date, but is redeemable at our election in year six for a 10% premium to the liquidation preference and for a 5% premium to the liquidation preference in year seven and thereafter. If the Series A Preferred is not redeemed by the end of year twelve, the investors have the right to convert the Series A Preferred into TRC common stock. See Note 12 – Preferred Stock. |
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 16 — 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 the Partnership’s 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 17 – Fair Value Measurements and Note 22 – 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 17 — 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. • The TRC Revolver, TRP Revolver, and the Partnership’s accounts receivable securitization facility are based on carrying value, which approximates fair value as their interest rates are based on prevailing market rates; and • The Partnership’s 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 Carrying Fair Value 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 226.5 226.5 — — — TRC Revolver 435.0 435.0 — 435.0 — TRP Revolver 190.0 190.0 — 190.0 — Partnership's Senior unsecured notes 6,028.5 6,322.3 — 6,322.3 — Partnership's accounts receivable securitization facility 298.3 298.3 — 298.3 — December 31, 2018 Carrying Fair Value 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 232.1 232.1 — — — TRC Revolver 435.0 435.0 — 435.0 — TRP Revolver 700.0 700.0 — 700.0 — Partnership's Senior unsecured notes 5,277.9 5,088.9 — 5,088.9 — Partnership's 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 16 – 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 ) |
Contingencies
Contingencies | 6 Months Ended |
Jun. 30, 2019 | |
Loss Contingency [Abstract] | |
Contingencies | Note 18 – Contingencies Legal Proceedings We and the Partnership are parties to various legal, administrative and regulatory proceedings that have arisen in the ordinary course of our business. We and the Partnership are also parties 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 19 – 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 22 – 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 20 – 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 gain on sale of our inland marine barge business to a third party during the second quarter of 2018. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 6 Months Ended |
Jun. 30, 2019 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | Note 21 - Supplemental Cash Flow Information Six Months Ended June 30, 2019 2018 Cash: Interest paid, net of capitalized interest (1) $ 113.2 $ 83.9 Income taxes paid, net of refunds 0.4 (0.5 ) 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 (4.8 ) 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: Reduction of Owner's Equity related to accrued dividends on unvested equity awards under share compensation arrangements $ 6.9 $ 6.5 Accrued tax withholding obligations — 2.2 Impact of tax on transaction costs associated with sale of ownership interest 2.6 — Accretion of deemed dividends on Series A Preferred Stock 16.0 14.1 Impact of accounting standard adoption recorded in retained earnings — 5.2 Accrued distributions to noncontrolling interests 49.6 — Non-cash balance sheet movements related to acquisition of related party: 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 22 — 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 t he 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 $ 160.1 $ 18,318.2 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 tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. 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 $ 173.6 $ 15,596.1 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 tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. 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 $ 160.1 $ 18,318.2 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 tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. 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 $ 173.6 $ 15,596.1 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 tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. 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 (72.8 ) (57.0 ) (153.6 ) (113.8 ) Interest income (expense), net (72.1 ) (62.0 ) (152.7 ) (46.0 ) Change in contingent considerations 0.8 60.6 (8.9 ) 4.5 Other, net 3.4 46.3 1.2 47.5 Income (loss) before income taxes $ 45.6 $ 153.9 $ 18.0 $ 201.6 |
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 $16.3 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. |
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 4,706.3 4,007.7 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 253.2 334.5 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 19,048.7 17,220.7 Accumulated depreciation and amortization (4,679.9 ) (4,292.3 ) Property, plant and equipment, net $ 14,368.8 $ 12,928.4 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 | |
Investment Holdings [Line Items] | |
Activity Related to Partnership's Investments in Unconsolidated Affiliates | 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 |
Gulf Coast Fractionators LP [Member] | |
Investment Holdings [Line Items] | |
Activity Related to Partnership's Investments in Unconsolidated Affiliates | 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 485.9 478.6 Interest 121.5 79.9 Income and other taxes 61.5 47.7 Permian Acquisition contingent consideration — 308.2 Compensation and benefits 42.9 57.3 Preferred Series A dividends payable 22.9 22.9 Other (1) 64.5 20.8 $ 1,297.8 $ 1,737.3 (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: Obligations of the Partnership: (1) Accounts receivable securitization facility, due December 2019 (2) $ 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: TRC obligations: TRC Senior secured revolving credit facility, variable rate, due June 2023 (3) 435.0 435.0 Obligations of the Partnership: (1) Senior secured revolving credit facility, variable rate, due June 2023 (4) 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 (5) 6.5 6.5 TPL notes, 5⅞% fixed rate, due August 2023 (5) 48.1 48.1 Unamortized premium 0.3 0.3 6,653.5 5,663.5 Debt issuance costs, net of amortization (41.9 ) (31.1 ) Finance lease liabilities 27.4 — Long-term debt 6,639.0 5,632.4 Total debt obligations $ 6,948.3 $ 6,660.3 Irrevocable standby letters of credit: Letters of credit outstanding under the TRC Senior secured credit facility (3) $ — $ — Letters of credit outstanding under the Partnership senior secured revolving credit facility (4) 66.0 79.5 $ 66.0 $ 79.5 (1) While we consolidate the debt of the Partnership in our financial statements, we do not have the obligation to make interest payments or debt payments with respect to the debt of the Partnership. (2) As of June 30, 2019, the Partnership had $298.3 million of qualifying receivables under its $400.0 million accounts receivable securitization facility, resulting in zero availability. (3) As of June 30, 2019, availability under TRC’s $670.0 million senior secured revolving credit facility (“TRC Revolver”) was $235.0 million. (4) As of June 30, 2019, availability under the Partnership’s $2.2 billion senior secured revolving credit facility (“TRP Revolver”) was $1,944.0 million. (5) “TPL” refers to Targa Pipeline Partners LP. |
Range of Interest Rates and Weighted Average Interest Rate Incurred on Variable Rate Debt Obligations | The following table shows the range of interest rates and weighted average interest rate incurred on variable-rate debt obligations during the six months ended June 30, 2019: Range of Interest Rates Incurred Weighted Average Interest Rate Incurred TRC Revolver 4.2% - 4.3% 4.2% TRP Revolver 3.8% - 4.7% 4.3% Partnership's 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] | |
Schedule of Other Long-term Liabilities | Other long-term liabilities are comprised of the following obligations: June 30, 2019 December 31, 2018 Asset retirement obligations $ 61.2 $ 55.5 Deferred revenue 173.9 175.5 Operating lease liabilities 51.3 — Other liabilities 18.6 31.2 Total long-term liabilities $ 305.0 $ 262.2 |
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 Leases 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 $ 41.9 Finance leases, gross Property, plant and equipment 43.7 Lease liabilities Current: Operating leases Accounts payable and accrued liabilities $ 6.8 Finance leases Current debt obligations 11.0 Non-current: Operating leases Other long-term liabilities $ 51.3 Finance leases Long-term debt 27.4 |
Summary of 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 $ 2.3 $ 4.6 Short-term lease cost 8.1 15.7 Variable lease cost 2.6 3.8 Finance lease cost Amortization of right-of-use assets 3.2 6.4 Interest expense 0.4 0.8 Total lease cost $ 16.6 $ 31.3 |
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 $ 4.0 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 $ 8.3 $ 12.3 2020 10.4 11.4 2021 10.2 9.3 2022 9.0 7.5 2023 7.0 0.7 Thereafter 23.2 — Total undiscounted cash flows 68.1 41.2 Less imputed interest (10.0 ) (2.8 ) Total lease liabilities $ 58.1 $ 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 $ 20.9 2020 20.2 2021 18.5 2022 16.5 2023 9.8 Thereafter 24.9 Total payments $ 110.8 |
Common Stock and Related Matt_2
Common Stock and Related Matters (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Class Of Stock Disclosures [Abstract] | |
Dividends Declared and/or Paid | The following table details the dividends declared and/or paid by us to common shareholders for the six months ended June 30, 2019: Three Months Ended Date Paid or To Be Paid Total Common Dividends Declared Amount of Common Dividends Paid or To Be Paid Accrued Dividends (1) Dividends Declared per Share of Common Stock (In millions, except per share amounts) June 30, 2019 August 15, 2019 $ 215.1 $ 211.5 $ 3.6 $ 0.91000 March 31, 2019 May 15, 2019 215.2 211.5 3.7 0.91000 December 31, 2018 February 15, 2019 215.2 211.2 4.0 0.91000 (1) Represents accrued dividends on restricted stock and restricted stock units that are payable upon vesting. |
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 the Partnership 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 |
Earnings per Common Share (Tabl
Earnings per Common Share (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Reconciliation of Net Income and Weighted Average Shares Outstanding Used in Computing Basic and Diluted Net Income Per Common Share | The following table sets forth a reconciliation of net income and weighted average shares outstanding (in millions) used in computing basic and diluted net income per common share: Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Net income (loss) $ 48.9 $ 121.1 $ 24.2 $ 160.0 Less: Net income attributable to noncontrolling interests 59.1 12.0 73.3 28.0 Less: Dividends on preferred stock 31.0 30.1 61.8 59.9 Net income attributable to common shareholders for basic earnings per share $ (41.2 ) $ 79.0 $ (110.9 ) $ 72.1 Weighted average shares outstanding - basic 232.4 221.1 232.3 219.9 Net income available per common share - basic $ (0.18 ) $ 0.36 $ (0.48 ) $ 0.33 Weighted average shares outstanding 232.4 221.1 232.3 219.9 Dilutive effect of common stock equivalents (1) — 1.7 — 1.6 Weighted average shares outstanding - diluted 232.4 222.8 232.3 221.5 Net income available per common share - diluted $ (0.18 ) $ 0.35 $ (0.48 ) $ 0.33 (1) The dilutive effects of common stock equivalents were computed using the treasury method for warrants and unvested stock awards, and the if-converted method for convertible preferred stock. For the periods with net income attributable to common shareholders, the anti-dilution sequencing rule was applied from the most dilutive to the least dilutive common shares. |
Summary of Potential Common Stock Equivalents Excluded from Determination of Diluted Earnings Per Share | The following potential common stock equivalents are excluded from the determination of diluted earnings per share because the inclusion of such shares would have been anti-dilutive (in millions on a weighted-average basis): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Unvested restricted stock awards 1.1 — 1.2 — Series A Preferred Stock (1) 46.5 46.5 46.5 46.5 ( 1 ) The Series A Preferred has no mandatory redemption date, but is redeemable at our election in year six for a 10% premium to the liquidation preference and for a 5% premium to the liquidation preference in year seven and thereafter. If the Series A Preferred is not redeemed by the end of year twelve, the investors have the right to convert the Series A Preferred into TRC common stock. See Note 12 – Preferred Stock. |
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 Value 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 in 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 Carrying Fair Value 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 226.5 226.5 — — — TRC Revolver 435.0 435.0 — 435.0 — TRP Revolver 190.0 190.0 — 190.0 — Partnership's Senior unsecured notes 6,028.5 6,322.3 — 6,322.3 — Partnership's accounts receivable securitization facility 298.3 298.3 — 298.3 — December 31, 2018 Carrying Fair Value 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 232.1 232.1 — — — TRC Revolver 435.0 435.0 — 435.0 — TRP Revolver 700.0 700.0 — 700.0 — Partnership's Senior unsecured notes 5,277.9 5,088.9 — 5,088.9 — Partnership's 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 16 – 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 ) |
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 gain on sale of our inland marine barge business to a third party during the second quarter of 2018. |
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) $ 113.2 $ 83.9 Income taxes paid, net of refunds 0.4 (0.5 ) 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 (4.8 ) 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: Reduction of Owner's Equity related to accrued dividends on unvested equity awards under share compensation arrangements $ 6.9 $ 6.5 Accrued tax withholding obligations — 2.2 Impact of tax on transaction costs associated with sale of ownership interest 2.6 — Accretion of deemed dividends on Series A Preferred Stock 16.0 14.1 Impact of accounting standard adoption recorded in retained earnings — 5.2 Accrued distributions to noncontrolling interests 49.6 — Non-cash balance sheet movements related to acquisition of related party: 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] | |
Reportable Segment Information | 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 $ 160.1 $ 18,318.2 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 tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. 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 $ 173.6 $ 15,596.1 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 tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. 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 $ 160.1 $ 18,318.2 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 tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. 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 $ 173.6 $ 15,596.1 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 tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. |
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 (72.8 ) (57.0 ) (153.6 ) (113.8 ) Interest income (expense), net (72.1 ) (62.0 ) (152.7 ) (46.0 ) Change in contingent considerations 0.8 60.6 (8.9 ) 4.5 Other, net 3.4 46.3 1.2 47.5 Income (loss) before income taxes $ 45.6 $ 153.9 $ 18.0 $ 201.6 |
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 |
Net right-of-use asset | 74,600,000 |
Lease incentives and deferred rent | 16,300,000 |
Lease liability | $ 90,900,000 |
Divestitures - Additional Infor
Divestitures - Additional Information (Details) $ in Billions | Apr. 03, 2019USD ($) | Feb. 28, 2019MBbls / d |
Badlands [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% | |
Consideration received on sale of interest on subsidiary | $ | $ 1.6 | |
Train 7 Joint Venture [Member] | Fractionation Related Infrastructure [Member] | Targa Resources Corp [Member] | ||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||
Option to purchase equity interest percentage | 100.00% | |
Train 7 Joint Venture [Member] | Train 7 Or Train 8 [Member] | ||
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ||
Option to purchase equity interest percentage | 20.00% | |
Fractionation train capacity | MBbls / d | 110 | |
Train 7 Joint Venture [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% |
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 |
Inventories, net | $ 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 | $ 19,048.7 | $ 17,220.7 |
Accumulated depreciation and amortization | (4,679.9) | (4,292.3) |
Property, plant and equipment, net | 14,368.8 | 12,928.4 |
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 lives | 10 years | |
Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful lives | 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 lives | 5 years | |
Gathering Systems [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful lives | 20 years | |
Processing and Fractionation Facilities [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | $ 4,706.3 | 4,007.7 |
Processing and Fractionation Facilities [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful lives | 5 years | |
Processing and Fractionation Facilities [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful lives | 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 lives | 5 years | |
Terminaling and Storage Facilities [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful lives | 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 lives | 10 years | |
Transportation Assets [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful lives | 25 years | |
Other Property, Plant and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | $ 253.2 | 334.5 |
Other Property, Plant and Equipment [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful lives | 3 years | |
Other Property, Plant and Equipment [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful lives | 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 |
Estimated amortization expense for intangible assets [Abstract] | ||||
2019 | 171.6 | 171.6 | ||
2020 | 159.4 | 159.4 | ||
2021 | 149.5 | 149.5 | ||
2022 | 141.2 | 141.2 | ||
2023 | $ 136 | 136 | ||
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 - Schedule of Changes in Intangible Assets (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Finite Lived Intangible Assets Roll Forward | |
Beginning of period | $ 1,983.2 |
Amortization | (85.9) |
End of period | $ 1,897.3 |
Investments in Unconsolidated_3
Investments in Unconsolidated Affiliates - Additional Information (Details) - Targa Resources Partners LP [Member] | Jun. 30, 2019JointVenture |
Gulf Coast Fractionators LP [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Ownership interest | 38.80% |
T2 Joint Ventures [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Number of operated joint ventures | 2 |
T2 LaSalle [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Ownership interest | 75.00% |
T2 Eagle Ford [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Ownership interest | 50.00% |
Cayenne Joint Venture [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Ownership interest | 50.00% |
GCX [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Ownership interest | 25.00% |
Little Missouri 4 [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Ownership interest | 50.00% |
Agua Blanca [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] | |||||
Beginning of period | $ 490.5 | ||||
Equity earnings (loss) | $ 3.2 | $ 1.9 | 5.9 | $ 3.4 | |
End of period | 676.7 | 676.7 | |||
Targa Resources Partners LP [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Beginning of period | 490.5 | ||||
Equity earnings (loss) | 5.9 | ||||
Cash Distributions | (14.5) | ||||
Contributions | 194.8 | ||||
End of period | 676.7 | 676.7 | |||
Targa Resources Partners LP [Member] | Gulf Coast Fractionators LP [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Beginning of period | 40.3 | ||||
Equity earnings (loss) | 9.7 | ||||
Cash Distributions | (9.6) | ||||
End of period | 40.4 | 40.4 | |||
Targa Resources Partners LP [Member] | T2 LaSalle [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Beginning of period | [1] | 49.3 | |||
Equity earnings (loss) | [1] | (2.5) | |||
End of period | [1] | 46.8 | 46.8 | ||
Targa Resources Partners LP [Member] | T2 Eagle Ford [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Beginning of period | [1] | 99 | |||
Equity earnings (loss) | [1] | (4.9) | |||
End of period | [1] | 94.1 | 94.1 | ||
Targa Resources Partners LP [Member] | Cayenne Joint Venture [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Beginning of period | 16.6 | ||||
Equity earnings (loss) | 3.6 | ||||
Cash Distributions | (4.7) | ||||
End of period | 15.5 | 15.5 | |||
Targa Resources Partners LP [Member] | GCX [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Beginning of period | [2] | 211.6 | |||
Equity earnings (loss) | [2] | 1.5 | |||
Contributions | [2] | 171.8 | |||
End of period | [2] | 384.9 | 384.9 | ||
Targa Resources Partners LP [Member] | Little Missouri 4 [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Beginning of period | 67.3 | ||||
Contributions | 23 | ||||
End of period | 90.3 | 90.3 | |||
Targa Resources Partners LP [Member] | Agua Blanca [Member] | |||||
Schedule Of Equity Method Investments [Line Items] | |||||
Beginning of period | 6.4 | ||||
Equity earnings (loss) | (1.5) | ||||
Cash Distributions | (0.2) | ||||
End of period | $ 4.7 | $ 4.7 | |||
[1] | As of June 30, 2019, $23.9 million | ||||
[2] | Our 25% interest in GCX is owned by Targa GCX Pipeline LLC (“GCX DevCo JV”), of which we own a 20% interest. GCX DevCo JV is accounted for on a consolidated basis in our consolidated financial statements. |
Investments in Unconsolidated_5
Investments in Unconsolidated Affiliates - Activity Related to Partnership's Investments in Unconsolidated Affiliates (Parenthetical) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2019 | Jun. 30, 2019 | |
GCX [Member] | ||
Schedule Of Equity Method Investments [Line Items] | ||
Ownership interest | 25.00% | |
GCX DevCo JV [Member] | ||
Schedule Of Equity Method Investments [Line Items] | ||
Ownership interest | 20.00% | |
Targa Resources Partners LP [Member] | T2 Joint Ventures [Member] | ||
Schedule Of Equity Method Investments [Line Items] | ||
Unamortized excess fair value | $ 23.9 | |
Preliminary estimated useful lives of the underlying assets | 20 years |
Investments in Unconsolidated_6
Investments in Unconsolidated Affiliates - Summary of Unaudited Income Statement Information of Investments in Unconsolidated Affiliates (Details) - Targa Resources Partners LP [Member] - 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 | 485.9 | 478.6 | |
Interest | 121.5 | 79.9 | |
Income and other taxes | 61.5 | 47.7 | |
Compensation and benefits | 42.9 | 57.3 | |
Preferred Series A dividends payable | 22.9 | 22.9 | |
Other (1) | [1] | 64.5 | 20.8 |
Accounts payable and accrued liabilities | $ 1,297.8 | 1,737.3 | |
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 | Jun. 30, 2019USD ($) |
Payables And Accruals [Abstract] | |
Accrued Distribution to Noncontrolling Interests | $ 49.6 |
Accounts Payable and Accrued _5
Accounts Payable and Accrued Liabilities - Additional Information (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2019 | Dec. 31, 2018 | |
Accounts Payable And Accrued Liabilities [Line Items] | ||
Outstanding checks | $ 20.1 | $ 52.6 |
Permian Acquisition [Member] | ||
Accounts Payable And Accrued Liabilities [Line Items] | ||
Fair value of earn-out payment | $ 317.1 |
Debt Obligations - Summary Of D
Debt Obligations - Summary Of Debt Obligations (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 | |
Current Obligations of the Partnership [Abstract] | |||
Accounts receivable securitization facility, due December 2019 | [1],[2] | $ 298.3 | $ 280 |
Current debt | [2] | 298.3 | 1,029.4 |
Debt issuance costs, net of amortization | [2] | 0 | (1.5) |
Finance lease liabilities | [2] | 11 | 0 |
Current debt obligations | [2] | 309.3 | 1,027.9 |
Long-term [Abstract] | |||
Long-term debt | 6,639 | 5,632.4 | |
Long-term debt including Unamortized premium(discount) and Debt issuance costs | 6,653.5 | 5,663.5 | |
Debt issuance costs, net of amortization | (41.9) | (31.1) | |
Finance lease liabilities | 27.4 | 0 | |
Total debt obligations | 6,948.3 | 6,660.3 | |
Letters of credit outstanding | 66 | 79.5 | |
TRP Senior Secured Revolving Credit Facility due June 2023 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [2],[3] | 190 | 700 |
Senior Unsecured Notes [Member] | Senior Unsecured 4 1/8% Notes due November 2019 [Member] | |||
Current Obligations of the Partnership [Abstract] | |||
Long-term debt, current | [1],[2] | 0 | 749.4 |
Senior Unsecured Notes [Member] | Senior Unsecured 5 1/4% Notes due May 2023 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [2] | 559.6 | 559.6 |
Senior Unsecured Notes [Member] | Senior Unsecured 4 1/4% Notes due November 2023 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [2] | 583.9 | 583.9 |
Senior Unsecured Notes [Member] | Senior Unsecured 6 3/4% Notes due March 2024 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [2] | 580.1 | 580.1 |
Senior Unsecured Notes [Member] | Senior Unsecured 5% Notes due January 2028 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [2] | 750 | 750 |
Senior Unsecured Notes [Member] | Senior Unsecured 5 1/8% Notes due February 2025 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [2] | 500 | 500 |
Senior Unsecured Notes [Member] | Senior Unsecured 5 7/8% Notes due April 2026 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [2] | 1,000 | 1,000 |
Senior Unsecured Notes [Member] | Senior Unsecured 5 3/8% Notes due February 2027 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [2] | 500 | 500 |
Senior Unsecured Notes [Member] | Senior Unsecured 6½% Senior Notes due July 2027 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [2] | 750 | 0 |
Senior Unsecured Notes [Member] | Senior Unsecured of 6⅞% Senior Notes due January 2029 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [2] | 750 | 0 |
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 | [2] | 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 | [2] | 48.1 | 48.1 |
Unamortized premium | 0.3 | 0.3 | |
Secured Debt [Member] | TRC Senior Secured Revolving Credit Facility [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Letters of credit outstanding | [4] | 0 | 0 |
Revolving Credit Facility [Member] | TRC Senior Secured Revolving Credit Facility due June 2023 [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [4] | 435 | 435 |
Revolving Credit Facility [Member] | TRP Senior Secured Revolving Credit Facility due June 2023 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Letters of credit outstanding | [3] | $ 66 | $ 79.5 |
[1] | As of June 30, 2019, the Partnership had $298.3 million of qualifying receivables under its $400.0 million accounts receivable securitization facility, resulting in zero availability. | ||
[2] | While we consolidate the debt of the Partnership in our financial statements, we do not have the obligation to make interest payments or debt payments with respect to the debt of the Partnership. | ||
[3] | As of June 30, 2019, availability under the Partnership’s $2.2 billion senior secured revolving credit facility (“TRP Revolver”) was $1,944.0 million | ||
[4] | As of June 30, 2019, availability under TRC’s $670.0 million senior secured revolving credit facility (“TRC Revolver”) was $235.0 million. |
Debt Obligations - Summary Of_2
Debt Obligations - Summary Of Debt Obligations (Parenthetical) (Details) - USD ($) | 1 Months Ended | 6 Months Ended | |||
Jan. 31, 2019 | Jun. 30, 2019 | Jun. 30, 2018 | 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],[2] | 298,300,000 | $ 280,000,000 | ||
Senior Unsecured 6½% Senior Notes due July 2027 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Jul. 31, 2027 | ||||
Interest rate on fixed rate debt | 6.50% | ||||
Senior Unsecured of 6⅞% Senior Notes due January 2029 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Jan. 31, 2029 | ||||
Interest rate on fixed rate debt | 6.875% | ||||
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 | ||||
Remaining borrowing capacity | $ 0 | ||||
Revolving Credit Facility [Member] | TRC Senior Secured Revolving Credit Facility due June 2023 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Jun. 1, 2023 | ||||
Remaining borrowing capacity | $ 235,000,000 | ||||
Maximum borrowing capacity | $ 670,000,000 | ||||
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 | Nov. 15, 2021 | ||||
Interest rate on fixed rate debt | 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 | Aug. 1, 2023 | ||||
Interest rate on fixed rate debt | 5.875% | ||||
Targa Resources Partners LP [Member] | Accounts Receivable Securitization Facility [Member] | Accounts Receivable Securitization Facility Due December 2018 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Dec. 31, 2019 | ||||
Targa Resources Partners LP [Member] | Revolving Credit Facility [Member] | TRP Senior Secured Revolving Credit Facility due June 2023 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Jun. 1, 2023 | ||||
Remaining borrowing capacity | $ 1,944,000,000 | ||||
Maximum borrowing capacity | $ 2,200,000,000 | ||||
Targa Resources Partners LP [Member] | 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% | ||||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Senior Unsecured 5 7/8% Notes due April 2026 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Apr. 30, 2026 | ||||
Interest rate on fixed rate debt | 5.875% | ||||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Senior Unsecured 5 1/4% Notes due May 2023 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | May 1, 2023 | ||||
Interest rate on fixed rate debt | 5.25% | ||||
Targa Resources Partners LP [Member] | 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% | ||||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Senior Unsecured 4 1/4% Notes due November 2023 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Nov. 15, 2023 | ||||
Interest rate on fixed rate debt | 4.25% | ||||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Senior Unsecured 6½% Senior Notes due July 2027 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Jul. 31, 2027 | ||||
Interest rate on fixed rate debt | 6.50% | ||||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Senior Unsecured 6 3/4% Notes due March 2024 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Mar. 15, 2024 | ||||
Interest rate on fixed rate debt | 6.75% | ||||
Targa Resources Partners LP [Member] | 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% | ||||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Senior Unsecured of 6⅞% Senior Notes due January 2029 [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date | Jan. 31, 2029 | ||||
Interest rate on fixed rate debt | 6.875% | ||||
Targa Resources Partners LP [Member] | 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% | ||||
[1] | As of June 30, 2019, the Partnership had $298.3 million of qualifying receivables under its $400.0 million accounts receivable securitization facility, resulting in zero availability. | ||||
[2] | While we consolidate the debt of the Partnership in our financial statements, we do not have the obligation to make interest payments or debt payments with respect to the debt of the Partnership. |
Debt Obligations - Range of Int
Debt Obligations - Range of Interest Rates and Weighted Average Interest Rate Incurred on Variable Rate Debt Obligations (Details) | Jun. 30, 2019 |
TRC Revolver [Member] | |
Debt Instrument [Line Items] | |
Weighted average interest rate incurred | 4.20% |
TRP Revolver [Member] | |
Debt Instrument [Line Items] | |
Weighted average interest rate incurred | 4.30% |
Targa Resources Partners LP [Member] | Accounts Receivable Securitization Facility [Member] | |
Debt Instrument [Line Items] | |
Weighted average interest rate incurred | 3.40% |
Minimum [Member] | TRC Revolver [Member] | |
Debt Instrument [Line Items] | |
Range of interest rates incurred | 4.20% |
Minimum [Member] | TRP Revolver [Member] | |
Debt Instrument [Line Items] | |
Range of interest rates incurred | 3.80% |
Minimum [Member] | Targa Resources Partners LP [Member] | Accounts Receivable Securitization Facility [Member] | |
Debt Instrument [Line Items] | |
Range of interest rates incurred | 3.30% |
Maximum [Member] | TRC Revolver [Member] | |
Debt Instrument [Line Items] | |
Range of interest rates incurred | 4.30% |
Maximum [Member] | TRP Revolver [Member] | |
Debt Instrument [Line Items] | |
Range of interest rates incurred | 4.70% |
Maximum [Member] | Targa Resources Partners LP [Member] | Accounts Receivable Securitization Facility [Member] | |
Debt Instrument [Line Items] | |
Range of interest rates incurred | 3.40% |
Debt Obligations - Additional I
Debt Obligations - Additional Information (Details) $ in Millions | 1 Months Ended |
Jan. 31, 2019USD ($) | |
Targa Resources Partners LP [Member] | Senior Unsecured 4 1/8% notes due November 2019 [Member] | |
Debt Instrument [Line Items] | |
Interest rate on fixed rate debt | 4.125% |
Write off debt issuance cost | $ 1.4 |
Senior Unsecured 6½% Senior Notes due July 2027 [Member] | |
Debt Instrument [Line Items] | |
Aggregate principal amount issued | $ 750 |
Interest rate on fixed rate debt | 6.50% |
Maturity date | Jul. 31, 2027 |
Senior Unsecured of 6⅞% Senior Notes due January 2029 [Member] | |
Debt Instrument [Line Items] | |
Aggregate principal amount issued | $ 750 |
Interest rate on fixed rate debt | 6.875% |
Maturity date | Jan. 31, 2029 |
Senior Unsecured, 6½% Senior Notes due July 2027 and 6⅞% Senior Notes due January 2029 [Member] | |
Debt Instrument [Line Items] | |
Net proceeds from private placement of notes | $ 1,486.8 |
Senior Unsecured 4 1/8% notes due November 2019 [Member] | |
Debt Instrument [Line Items] | |
Interest rate on fixed rate debt | 4.125% |
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 | $ 61.2 | $ 55.5 |
Deferred revenue | 173.9 | 175.5 |
Operating lease liabilities | 51.3 | |
Other liabilities | 18.6 | 31.2 |
Total long-term liabilities | $ 305 | $ 262.2 |
Other Long-term Liabilities - D
Other Long-term Liabilities - Deferred Revenue (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 | Dec. 27, 2015 |
Deferred Revenue and Other [Abstract] | |||
Deferred revenue | $ 173.9 | $ 175.5 | |
Channelview Splitter [Member] | |||
Deferred Revenue and Other [Abstract] | |||
Deferred revenue | $ 129 |
Other Long-term Liabilities - C
Other Long-term Liabilities - Changes in Deferred Revenue (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Changes in deferred revenue [Roll Forward] | |
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 terms for operating leases | 7 years |
Weighted-average remaining lease terms for finance leases | 3 years |
Weighted-average discount rates for operating leases | 4.00% |
Weighted-average discount rates for finance leases | 3.90% |
Minimum [Member] | |
Lessee Lease Description [Line Items] | |
Remaining lease terms | 1 year |
Maximum [Member] | |
Lessee Lease Description [Line Items] | |
Remaining lease terms | 10 years |
Options to extend lease term | 20 years |
Leases - Summary of Balances of
Leases - Summary of Balances of Right of Use Assets and Liabilities of Finance Leases and Operating Leases (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 | |
Right-of-use assets | |||
Operating leases, gross | $ 41.9 | ||
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 | $ 6.8 | ||
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:AccountsPayableAndAccruedLiabilitiesCurrent | ||
Finance leases | [1] | $ 11 | $ 0 |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:LiabilitiesCurrent | ||
Non-current: | |||
Operating leases | $ 51.3 | ||
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | us-gaap:OtherLiabilitiesNoncurrent | ||
Finance leases | $ 27.4 | $ 0 | |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | us-gaap:LiabilitiesNoncurrent | ||
[1] | While we consolidate the debt of the Partnership in our financial statements, we do not have the obligation to make interest payments or debt payments with respect to the debt of the Partnership. |
Leases - Summary of Components
Leases - Summary of 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 | $ 2.3 | $ 4.6 |
Short-term lease cost | 8.1 | 15.7 |
Variable lease cost | 2.6 | 3.8 |
Finance lease cost | ||
Amortization of right-of-use assets | 3.2 | 6.4 |
Interest expense | 0.4 | 0.8 |
Total lease cost | $ 16.6 | $ 31.3 |
Leases - Summary of Other Suppl
Leases - Summary of Other Supplemental Information Related to Leases (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Cash paid for amounts included in the measurement of lease liabilities | |
Operating cash flows for operating leases | $ 4 |
Operating cash flows for finance leases | 0.8 |
Financing cash flows for finance leases | $ 5.5 |
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 | $ 8.3 |
2020 | 10.4 |
2021 | 10.2 |
2022 | 9 |
2023 | 7 |
Thereafter | 23.2 |
Total undiscounted cash flows | 68.1 |
Less imputed interest | (10) |
Total lease liabilities | 58.1 |
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 related to certain contractual obligations for each of the next five fiscal years and in aggregate thereafter [Abstract] | |
2019 | $ 20.9 |
2020 | 20.2 |
2021 | 18.5 |
2022 | 16.5 |
2023 | 9.8 |
Thereafter | 24.9 |
Total payments | $ 110.8 |
Preferred Stock - Additional In
Preferred Stock - Additional 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 | |
Equity [Abstract] | |||||
Preferred Series A dividends payable | $ 22.9 | $ 22.9 | $ 22.9 | ||
Preferred stock dividend paid | 22.9 | $ 45.8 | |||
Accrued preferred dividends payable date | Aug. 14, 2019 | ||||
Deemed dividends on Series A Preferred Stock | $ 8.1 | $ 7.2 | $ 16 | $ 14.1 |
Common Stock and Related Matt_3
Common Stock and Related Matters - Additional Information (Details) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2019 | Sep. 20, 2018 | May 09, 2017 | |
2017 ATM Program [Member] | |||
Securities Financing Transaction [Line Items] | |||
Amount of common stock authorized under equity distribution agreement | $ 750 | ||
2018 ATM Program [Member] | |||
Securities Financing Transaction [Line Items] | |||
Amount of common stock authorized under equity distribution agreement | $ 750 | ||
Equity Distribution Agreement May 2017 [Member] | |||
Securities Financing Transaction [Line Items] | |||
Amount of common stock authorized under equity distribution agreement | $ 382.1 | ||
Issuance of common stock (in shares) | 0 | ||
Equity Distribution Agreement September 2018 [Member] | |||
Securities Financing Transaction [Line Items] | |||
Amount of common stock authorized under equity distribution agreement | $ 750 | ||
Issuance of common stock (in shares) | 0 |
Common Stock and Related Matt_4
Common Stock and Related Matters - Dividends Declared And Or Paid (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | ||
Dividends Payable [Line Items] | |||||
Accrued preferred dividends payable date | Aug. 14, 2019 | ||||
Dividends Declared per Share of Common Stock | $ 0.91 | $ 0.91 | $ 1.82 | $ 1.82 | |
Dividend Declared, Q2 2019 [Member] | |||||
Dividends Payable [Line Items] | |||||
Accrued preferred dividends payable date | Aug. 15, 2019 | ||||
Total Common Dividends Declared | $ 215.1 | ||||
Amount of Common Dividends Paid or To Be Paid | 211.5 | ||||
Accrued Dividends | [1] | $ 3.6 | $ 3.6 | ||
Dividends Declared per Share of Common Stock | $ 0.91000 | ||||
Dividend Declared, Q1 2019 [Member] | |||||
Dividends Payable [Line Items] | |||||
Accrued preferred dividends payable date | May 15, 2019 | ||||
Total Common Dividends Declared | $ 215.2 | ||||
Amount of Common Dividends Paid or To Be Paid | 211.5 | ||||
Accrued Dividends | [1] | 3.7 | $ 3.7 | ||
Dividends Declared per Share of Common Stock | $ 0.91000 | ||||
Dividend Declared, Q4 2018 [Member] | |||||
Dividends Payable [Line Items] | |||||
Accrued preferred dividends payable date | Feb. 15, 2019 | ||||
Total Common Dividends Declared | $ 215.2 | ||||
Amount of Common Dividends Paid or To Be Paid | 211.2 | ||||
Accrued Dividends | [1] | $ 4 | $ 4 | ||
Dividends Declared per Share of Common Stock | $ 0.91000 | ||||
[1] | Represents accrued dividends on restricted stock and restricted stock units that are payable upon vesting. |
Partnership Units and Related_3
Partnership Units and Related Matters - Summary of Distributions Declared and Paid by the Partnership (Details) - Distributions Paid [Member] - USD ($) $ in Millions | 3 Months Ended | ||
Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | |
Distributions Made To Members Or Limited Partners [Abstract] | |||
Distributions payable date | Aug. 13, 2019 | Apr. 5, 2019 | Feb. 13, 2019 |
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 - Additional Information (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 | Jun. 30, 2019 | Jun. 30, 2018 | |
Limited Partners Capital Account [Line Items] | |||||
Capital contributions to partnership | $ 190 | $ 190 | |||
Preferred unit, issued | 5,000,000 | ||||
Distributions from partnership | 5.6 | $ 5.6 | |||
Subsequent Event [Member] | |||||
Limited Partners Capital Account [Line Items] | |||||
Distributions declaration month | 2019-07 | ||||
Distribution declared | $ 0.1875 | ||||
Distributions from partnership | $ 0.9 | ||||
Distributions payable date | Aug. 15, 2019 | ||||
Series A Preferred Units due November 1, 2020 [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% | ||||
Series A Preferred Units [Member] | |||||
Limited Partners Capital Account [Line Items] | |||||
Preferred unit, dividend interest rate | 9.00% | ||||
Series A Cumulative Redeemable Perpetual Preferred Units [Member] | |||||
Limited Partners Capital Account [Line Items] | |||||
Distribution to preferred unitholders | $ 2.8 | $ 5.6 | |||
Holders of Limited Partner Interests [Member] | |||||
Limited Partners Capital Account [Line Items] | |||||
Limited partner capital contribution allocation percentage | 98.00% | ||||
Targa Resources Genaral Partner LLC [Member] | |||||
Limited Partners Capital Account [Line Items] | |||||
General partner capital contribution allocation percentage | 2.00% |
Earnings per Common Share (Deta
Earnings per Common Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | ||
Earnings Per Share [Abstract] | |||||
Net income (loss) | $ 48.9 | $ 121.1 | $ 24.2 | $ 160 | |
Less: Net income attributable to noncontrolling interests | 59.1 | 12 | 73.3 | 28 | |
Less: Dividends on preferred stock | 31 | 30.1 | 61.8 | 59.9 | |
Net income (loss) attributable to common shareholders | $ (41.2) | $ 79 | $ (110.9) | $ 72.1 | |
Weighted average shares outstanding - basic (in shares) | 232.4 | 221.1 | 232.3 | 219.9 | |
Net income available per common share - basic (in dollars per share) | $ (0.18) | $ 0.36 | $ (0.48) | $ 0.33 | |
Weighted average shares outstanding - basic (in shares) | 232.4 | 221.1 | 232.3 | 219.9 | |
Dilutive effect of common stock equivalents | [1] | 1.7 | 1.6 | ||
Weighted average shares outstanding - diluted (in shares) | 232.4 | 222.8 | 232.3 | 221.5 | |
Net income available per common share - diluted (in dollars per share) | $ (0.18) | $ 0.35 | $ (0.48) | $ 0.33 | |
[1] | The dilutive effects of common stock equivalents were computed using the treasury method for warrants and unvested stock awards, and the if-converted method for convertible preferred stock. For the periods with net income attributable to common shareholders, the anti-dilution sequencing rule was applied from the most dilutive to the least dilutive common shares. |
Earnings per Common Share - Sum
Earnings per Common Share - Summary of Potential Common Stock Equivalents Excluded from Determination of Diluted Earnings Per Share (Details) - shares shares in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | ||
Unvested Restricted Stock Awards [Member] | |||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||||
Anti-dilutive shares excluded from the determination of diluted earnings per share (in shares) | 1.1 | 1.2 | |||
Series A Preferred Stock [Member] | |||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||||
Anti-dilutive shares excluded from the determination of diluted earnings per share (in shares) | [1] | 46.5 | 46.5 | 46.5 | 46.5 |
[1] | The Series A Preferred has no mandatory redemption date, but is redeemable at our election in year six for a 10% premium to the liquidation preference and for a 5% premium to the liquidation preference in year seven and thereafter. If the Series A Preferred is not redeemed by the end of year twelve, the investors have the right to convert the Series A Preferred into TRC common stock. See Note 12 – Preferred Stock. |
Earnings per Common Share - S_2
Earnings per Common Share - Summary of Potential Common Stock Equivalents Excluded from Determination of Diluted Earnings Per Share (Parenthetical) (Details) - Series A Preferred Stock [Member] | 6 Months Ended |
Jun. 30, 2019 | |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |
Preferred stock redemption premium percentage in sixth year | 10.00% |
Preferred stock redemption premium percentage in year seven and thereafter | 5.00% |
Derivative Instruments and He_3
Derivative Instruments and Hedging Activities - Notional Volumes Of The Partnership's Commodity Derivative Contracts (Details) - Targa Resources Partners LP [Member] | 6 Months Ended |
Jun. 30, 2019MMBTUbbl | |
Year 2019 [Member] | Swaps [Member] | Condensate [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 4,306 |
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] | 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 [Member] | NGL [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 16,620 |
Year 2019 [Member] | Options [Member] | Condensate [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 590 |
Year 2019 [Member] | Options [Member] | NGL [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 410 |
Year 2020 [Member] | Swaps [Member] | Condensate [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 3,240 |
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] | 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 [Member] | NGL [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 12,844 |
Year 2020 [Member] | Options [Member] | Condensate [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2020 [Member] | Options [Member] | NGL [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2021 [Member] | Swaps [Member] | Condensate [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 2,254 |
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] | 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 [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 2021 [Member] | Options [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] | 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] | 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 [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 2022 [Member] | Options [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] | 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] | 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 [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 |
Year 2023 [Member] | Options [Member] | NGL [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 Value 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, Current | $ 103.9 | $ 115.3 |
Derivative assets, Long-term | 47.4 | 34.1 |
Derivative assets | 151.3 | 149.4 |
Derivative liabilities | 53.6 | 36.7 |
Derivative liabilities, Current | (50.9) | (33.6) |
Derivative liabilities, Long-term | (2.7) | (3.1) |
Derivative liabilities | (53.6) | (36.7) |
Designated as Hedging Instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 126.7 | 144.1 |
Derivative liabilities | (18) | (20.4) |
Derivative liabilities | 18 | 20.4 |
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) |
Derivative liabilities | 17.2 | 18.9 |
Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Long-Term Liabilities from Risk Management Activities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | (0.8) | (1.5) |
Derivative liabilities | 0.8 | 1.5 |
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 |
Not Designated as Hedging Instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 24.6 | 5.3 |
Derivative liabilities | (35.6) | (16.3) |
Derivative liabilities | 35.6 | 16.3 |
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) |
Derivative liabilities | 33.7 | 14.7 |
Not Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Long-Term Liabilities from Risk Management Activities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | (1.9) | (1.6) |
Derivative liabilities | 1.9 | 1.6 |
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 |
Derivative Instruments and He_5
Derivative Instruments and Hedging Activities - Pro Forma Impact Of Offsetting Assets (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 |
Derivative Asset [Abstract] | ||
Gross asset | $ 151.3 | $ 149.4 |
Derivative assets | 151.3 | 149.4 |
Pro forma net presentation, asset, total | 121 | 116.4 |
Counterparties with Offsetting Positions 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, total | 44.8 | 40.5 |
Current Assets from Risk Management Activities [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 103.9 | 115.3 |
Pro forma net presentation, asset, current | 76.2 | 85.3 |
Current Assets from Risk Management Activities [Member] | Counterparties with Offsetting Positions or Collateral [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 76.4 | 100 |
Pro forma net presentation, asset | 48.7 | 70 |
Current Assets from Risk Management Activities [Member] | Counterparties without Offsetting Position [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 27.5 | 15.3 |
Pro forma net presentation, asset, current | 27.5 | 15.3 |
Long-Term Assets from Risk Management Activities [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 47.4 | 34.1 |
Pro forma net presentation, asset, noncurrent | 44.8 | 31.1 |
Long-Term Assets from Risk Management Activities [Member] | Counterparties with Offsetting Positions or Collateral [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 30.1 | 8.9 |
Pro forma net presentation, asset | 27.5 | 5.9 |
Long-Term Assets from Risk Management Activities [Member] | Counterparties without Offsetting Position [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 17.3 | 25.2 |
Pro forma net presentation, asset, noncurrent | $ 17.3 | $ 25.2 |
Derivative Instruments and He_6
Derivative Instruments and Hedging Activities - Pro Forma Impact Of 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 Positions 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 Liabilities from Risk Management Activities [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (50.9) | (33.6) |
Pro forma net presentation, liability, current | (42.9) | (17.8) |
Current Liabilities from Risk Management Activities [Member] | Counterparties with Offsetting Positions or Collateral [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (43.9) | (33.6) |
Pro forma net presentation, liability, current | (35.9) | (17.8) |
Current Liabilities from Risk Management Activities [Member] | Counterparties without Offsetting Position [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (7) | |
Pro forma net presentation, liability, current | (7) | |
Long-Term Liabilities from Risk Management Activities [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (2.7) | (3.1) |
Pro forma net presentation, liability, noncurrent | (0.1) | (0.1) |
Long-Term Liabilities from Risk Management Activities [Member] | Counterparties with Offsetting Positions or Collateral [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (2.6) | (3.1) |
Pro forma net presentation, liability, noncurrent | $ (0.1) | |
Long-Term Liabilities from Risk Management Activities [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 Positions or Collateral [Member] | ||
Derivative Asset [Abstract] | ||
Gross collateral | (19.7) | (14.2) |
Current Assets from Risk Management Activities [Member] | ||
Derivative Asset [Abstract] | ||
Gross collateral | (19.7) | (14.2) |
Current Assets from Risk Management Activities [Member] | Counterparties with Offsetting Positions 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 | 1 Months Ended | |
May 31, 2019USD ($) | Jun. 30, 2019USD ($)Swap | |
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Estimated fair value of derivative instruments, net asset | $ 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 | ||
Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Input Reconciliation [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 | |
Carrying Value [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Assets from commodity derivative contracts | [1] | 135 | 144.4 |
Liabilities from commodity derivative contracts | [1] | 37.3 | 31.7 |
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Cash and cash equivalents | 226.5 | 232.1 | |
Carrying Value [Member] | TRC Revolver [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 435 | 435 | |
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] | Partnership's Accounts Receivable Securitization Facility [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 298.3 | 280 | |
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 | [1] | 135 | 144.4 |
Liabilities from commodity derivative contracts | [1] | 37.3 | 31.7 |
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Cash and cash equivalents | 226.5 | 232.1 | |
Fair Value [Member] | Level 1 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Assets from commodity derivative contracts | [1] | 0 | 0 |
Liabilities from commodity derivative contracts | [1] | 0 | 0 |
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Cash and cash equivalents | 0 | 0 | |
Fair Value [Member] | Level 2 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Assets from commodity derivative contracts | [1] | 134.6 | 137.5 |
Liabilities from commodity derivative contracts | [1] | 37.2 | 31.3 |
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Cash and cash equivalents | 0 | 0 | |
Fair Value [Member] | Level 3 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Assets from commodity derivative contracts | [1] | 0.4 | 6.9 |
Liabilities from commodity derivative contracts | [1] | 0.1 | 0.4 |
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Cash and cash equivalents | 0 | 0 | |
Fair Value [Member] | TRC Revolver [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 435 | 435 | |
Fair Value [Member] | TRC Revolver [Member] | Level 1 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
Fair Value [Member] | TRC Revolver [Member] | Level 2 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 435 | 435 | |
Fair Value [Member] | TRC Revolver [Member] | Level 3 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
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] | TRP Revolver [Member] | Level 1 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
Fair Value [Member] | TRP Revolver [Member] | Level 2 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 190 | 700 | |
Fair Value [Member] | TRP Revolver [Member] | Level 3 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
Fair Value [Member] | Partnership's Accounts Receivable Securitization Facility [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 298.3 | 280 | |
Fair Value [Member] | Partnership's Accounts Receivable Securitization Facility [Member] | Level 1 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
Fair Value [Member] | Partnership's Accounts Receivable Securitization Facility [Member] | Level 2 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 298.3 | 280 | |
Fair Value [Member] | Partnership's Accounts Receivable Securitization Facility [Member] | Level 3 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
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] | Senior Unsecured Notes [Member] | Level 1 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
Fair Value [Member] | Senior Unsecured Notes [Member] | Level 2 [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] | Senior Unsecured Notes [Member] | Level 3 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
Targa Pipeline Partners LP [Member] | Carrying Value [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | [2] | 2.4 | 2.4 |
Targa Pipeline Partners LP [Member] | Fair Value [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | [2] | 2.4 | 2.4 |
Targa Pipeline Partners LP [Member] | Fair Value [Member] | Level 1 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | [2] | 0 | 0 |
Targa Pipeline Partners LP [Member] | Fair Value [Member] | Level 2 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | [2] | 0 | 0 |
Targa Pipeline Partners LP [Member] | Fair Value [Member] | Level 3 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | [2] | $ 2.4 | 2.4 |
Outrigger Permian Acquisition | Carrying Value [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | 308.2 | ||
Outrigger Permian Acquisition | Fair Value [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | 308.2 | ||
Outrigger Permian Acquisition | Fair Value [Member] | Level 1 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | 0 | ||
Outrigger Permian Acquisition | Fair Value [Member] | Level 2 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | 0 | ||
Outrigger Permian Acquisition | Fair Value [Member] | Level 3 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | $ 308.2 | ||
[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 16 – 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. |
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) |
New Level 3 derivative instruments | 0 |
Transfers out of Level 3 | 0 |
Unrealized gain/(loss) included in OCI | 0 |
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 |
Commodity Derivative Contracts Asset/(Liability) [Member] | Permian Acquisition [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 | $ 0 |
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: 2019-04-01 | 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 gain on sale of our inland marine barge business to a third party during the second quarter of 2018. |
Other Operating (Income) Expe_4
Other Operating (Income) Expense (Parenthetical) (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2018USD ($) | |
Inland Marine Barge Business [Member] | |
Other Operating Income Expense [Line Items] | |
(Gain) loss on sale or disposal of assets | $ 48.1 |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | ||
Cash: | |||||
Interest paid, net of capitalized interest | [1] | $ 113.2 | $ 83.9 | ||
Income taxes paid, net of refunds | 0.4 | (0.5) | |||
Non-cash investing activities: | |||||
Deadstock commodity inventory transferred to property, plant and equipment | 21.2 | 26.8 | |||
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: | |||||
Reduction of Owner's Equity related to accrued dividends on unvested equity awards under share compensation arrangements | $ 6.9 | $ 6.5 | 6.9 | 6.5 | |
Accrued tax withholding obligations | 2.2 | ||||
Impact of tax on transaction costs associated with sale of ownership interest | 2.6 | ||||
Accretion of deemed dividends on Series A Preferred Stock | 8.1 | $ 7.2 | 16 | 14.1 | |
Impact of accounting standard adoption recorded in retained earnings | 5.2 | ||||
Accrued distributions to noncontrolling interests | $ 49.6 | 49.6 | |||
Non-cash balance sheet movements related to acquisition of related party: | |||||
Noncontrolling interest | 1.1 | ||||
Lease liabilities arising from recognition of right-of-use assets: | |||||
Operating lease | 6.6 | ||||
Finance lease | 4.5 | ||||
Retained Earnings [Member] | |||||
Non-cash investing activities: | |||||
Impact of capital expenditure accruals on property, plant and equipment | $ (4.8) | 145.2 | |||
Non-cash financing activities: | |||||
Impact of accounting standard adoption recorded in retained earnings | $ 5.2 | ||||
[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
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: | ||||
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: | ||||
Revenues | 1,684.2 | 2,154.1 | 3,660.7 | 4,327.4 |
Fees from Midstream Services [Member] | ||||
Revenues: | ||||
Revenues | 311.1 | 290.3 | 634 | 572.6 |
Gathering and Processing [Member] | ||||
Revenues: | ||||
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: | ||||
Revenues | 1,564.3 | 2,083.1 | 3,458.1 | 4,192.5 |
Operating margin | 184.4 | 129.9 | 336.3 | 268.3 |
Other Segment [Member] | ||||
Revenues: | ||||
Revenues | 46 | (3.5) | 48.1 | (21.4) |
Operating margin | 46 | (3.5) | 48.1 | (21.4) |
Corporate and Eliminations [Member] | ||||
Revenues: | ||||
Revenues | (591.8) | (999.5) | (1,460.4) | (1,930.3) |
Operating Segments [Member] | ||||
Revenues: | ||||
Revenues | 1,995.3 | 2,444.4 | 4,294.7 | 4,900 |
Operating Segments [Member] | Sales of Commodities [Member] | ||||
Revenues: | ||||
Revenues | 1,684.2 | 2,154.1 | 3,660.7 | 4,327.4 |
Operating Segments [Member] | Fees from Midstream Services [Member] | ||||
Revenues: | ||||
Revenues | 311.1 | 290.3 | 634 | 572.6 |
Operating Segments [Member] | Gathering and Processing [Member] | ||||
Revenues: | ||||
Revenues | 435.6 | 449.6 | 883.1 | 876.2 |
Operating Segments [Member] | Gathering and Processing [Member] | Sales of Commodities [Member] | ||||
Revenues: | ||||
Revenues | 259.4 | 273.6 | 507 | 538.7 |
Operating Segments [Member] | Gathering and Processing [Member] | Fees from Midstream Services [Member] | ||||
Revenues: | ||||
Revenues | 176.2 | 176 | 376.1 | 337.5 |
Operating Segments [Member] | Logistics and Marketing [Member] | ||||
Revenues: | ||||
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: | ||||
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: | ||||
Revenues | 134.9 | 114.3 | 257.9 | 235.1 |
Operating Segments [Member] | Other Segment [Member] | ||||
Revenues: | ||||
Revenues | 46 | (3.5) | 48.1 | (21.4) |
Operating Segments [Member] | Other Segment [Member] | Sales of Commodities [Member] | ||||
Revenues: | ||||
Revenues | 46 | (3.5) | 48.1 | (21.4) |
Intersegment Eliminations [Member] | Gathering and Processing [Member] | ||||
Revenues: | ||||
Revenues | 541.2 | 914.7 | 1,365.8 | 1,783 |
Intersegment Eliminations [Member] | Gathering and Processing [Member] | Sales of Commodities [Member] | ||||
Revenues: | ||||
Revenues | 539.7 | 913 | 1,362.5 | 1,779.2 |
Intersegment Eliminations [Member] | Gathering and Processing [Member] | Fees from Midstream Services [Member] | ||||
Revenues: | ||||
Revenues | 1.5 | 1.7 | 3.3 | 3.8 |
Intersegment Eliminations [Member] | Logistics and Marketing [Member] | ||||
Revenues: | ||||
Revenues | 50.6 | 84.8 | 94.6 | 147.3 |
Intersegment Eliminations [Member] | Logistics and Marketing [Member] | Sales of Commodities [Member] | ||||
Revenues: | ||||
Revenues | 43.6 | 76.4 | 82.1 | 131.5 |
Intersegment Eliminations [Member] | Logistics and Marketing [Member] | Fees from Midstream Services [Member] | ||||
Revenues: | ||||
Revenues | 7 | 8.4 | 12.5 | 15.8 |
Intersegment Eliminations [Member] | Corporate and Eliminations [Member] | ||||
Revenues: | ||||
Revenues | (591.8) | (999.5) | (1,460.4) | (1,930.3) |
Intersegment Eliminations [Member] | Corporate and Eliminations [Member] | Sales of Commodities [Member] | ||||
Revenues: | ||||
Revenues | (583.3) | (989.4) | (1,444.6) | (1,910.7) |
Intersegment Eliminations [Member] | Corporate and Eliminations [Member] | Fees from Midstream Services [Member] | ||||
Revenues: | ||||
Revenues | $ (8.5) | $ (10.1) | $ (15.8) | $ (19.6) |
Segment Information - Other Fin
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 | $ 18,318.2 | $ 18,318.2 | $ 16,938.2 | |||
Goodwill | 46.6 | 46.6 | $ 46.6 | |||
Capital expenditures | 857.1 | $ 734.8 | 1,762.6 | $ 1,292.7 | ||
Operating Segments [Member] | ||||||
Other financial information [Abstract] | ||||||
Total assets | [1] | 18,318.2 | 15,596.1 | 18,318.2 | 15,596.1 | |
Goodwill | 46.6 | 256.6 | 46.6 | 256.6 | ||
Operating Segments [Member] | Gathering and Processing [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 | ||
Operating Segments [Member] | Logistics and Marketing [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 | ||
Operating Segments [Member] | Other Segment [Member] | ||||||
Other financial information [Abstract] | ||||||
Total assets | [1] | 124.8 | 74.6 | 124.8 | 74.6 | |
Operating Segments [Member] | Corporate and Eliminations [Member] | ||||||
Other financial information [Abstract] | ||||||
Total assets | [1] | 160.1 | 173.6 | 160.1 | 173.6 | |
Capital expenditures | $ 10.8 | $ 34.4 | $ 27.8 | $ 68.1 | ||
[1] | Assets in the Corporate and Eliminations column primarily include tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. |
Segment Information - Summary o
Segment Information - Summary of Consolidated 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 | $ 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 | |
Derivative Activities - Hedge [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Non-customer revenue | 43.3 | (7.7) | 64.6 | (35.7) | |
Derivative Activities - Non-hedge [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 | 217.6 | 416.4 | 628.9 | 886.6 | |
NGL [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Revenue recognized | 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 | 172.1 | 103.5 | 309.8 | 190.4 | |
Petroleum Products [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Revenue recognized | 56.8 | 59.6 | 76 | 107.8 | |
Gathering and Processing Fees [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Total revenues | 177.5 | 173.7 | 371.9 | 327.1 | |
Sales of Commodities [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Total revenues | 1,684.2 | 2,154.1 | 3,660.7 | 4,327.4 | |
Other [Member] | |||||
Revenue from External Customer [Line Items] | |||||
Total revenues | 3.1 | 4 | 15.8 | 13.6 | |
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 | |
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 - Reconcili
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 | (72.8) | (57) | (153.6) | (113.8) |
Interest income (expense), net | (72.1) | (62) | (152.7) | (46) |
Change in contingent considerations | 0.8 | 60.6 | (8.9) | 4.5 |
Other, net | 3.4 | 46.3 | 1.2 | 47.5 |
Income (loss) before income taxes | 45.6 | 153.9 | 18 | 201.6 |
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 Segment [Member] | ||||
Reconciliation of reportable segment operating margin to income (loss) before income taxes: | ||||
Operating margin | $ 46 | $ (3.5) | $ 48.1 | $ (21.4) |