Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2024 | Jul. 31, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2024 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | HESM | |
Entity Registrant Name | Hess Midstream LP | |
Entity Central Index Key | 0001789832 | |
Entity Current Reporting Status | Yes | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Shell Company | false | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity File Number | 001-39163 | |
Entity Tax Identification Number | 84-3211812 | |
Entity Address, Address Line One | 1501 McKinney Street | |
Entity Address, City or Town | Houston | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 77010 | |
City Area Code | 713 | |
Local Phone Number | 496-4200 | |
Entity Common Stock, Shares Outstanding | 91,421,383 | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity Incorporation, State or Country Code | DE | |
Title of 12(b) Security | Class A shares representing limited partner interests | |
Security Exchange Name | NYSE | |
Entity Interactive Data Current | Yes |
CONSOLIDATED BALANCE SHEETS (UN
CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Assets | ||
Cash and cash equivalents | $ 99.6 | $ 5.4 |
Accounts receivable from contracts with customers: | ||
Accounts receivable-trade | 3.3 | 1.9 |
Accounts receivable-affiliate | $ 109.7 | $ 122.5 |
Accounts Receivable, after Allowance for Credit Loss, Current, Related Party, Name [Extensible Enumeration] | us-gaap:RelatedPartyMember | us-gaap:RelatedPartyMember |
Other current assets | $ 1.5 | $ 7 |
Total current assets | 214.1 | 136.8 |
Equity investments | 89.2 | 90.2 |
Property, plant and equipment, net | 3,237.3 | 3,229.2 |
Long-term receivable—affiliate | 0.2 | 0.3 |
Deferred tax asset | 501.6 | 324.4 |
Other noncurrent assets | 7.7 | 8.6 |
Total assets | 4,050.1 | 3,789.5 |
Liabilities | ||
Accounts payable—trade | 38.1 | 38.5 |
Accounts payable-affiliate | $ 41.8 | $ 41.2 |
Accounts Payable, Current, Related Party, Name [Extensible Enumeration] | us-gaap:RelatedPartyMember | us-gaap:RelatedPartyMember |
Accrued liabilities | $ 88.1 | $ 105.9 |
Current maturities of long-term debt | 17.5 | 12.5 |
Other current liabilities | 6.7 | 12.1 |
Total current liabilities | 192.2 | 210.2 |
Long-term debt | 3,442.8 | 3,198.9 |
Deferred tax liability | 0.4 | 0.5 |
Other noncurrent liabilities | 12.1 | 16.7 |
Total liabilities | 3,647.5 | 3,426.3 |
Partners' capital | ||
Total Class A and Class B partners' capital | 464.5 | 340.2 |
Noncontrolling interest | (61.9) | 23 |
Total partners' capital | 402.6 | 363.2 |
Total liabilities and partners' capital | 4,050.1 | 3,789.5 |
Class A Shares | ||
Partners' capital | ||
Common unitholders | $ 464.5 | $ 340.2 |
CONSOLIDATED BALANCE SHEETS (_2
CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parenthetical) - shares | Jun. 30, 2024 | Dec. 31, 2023 |
Class A Shares | ||
Common units issued | 91,421,383 | 68,367,647 |
Common units outstanding | 91,421,383 | 68,367,647 |
Class B Shares | ||
Common units issued | 129,400,488 | 157,941,441 |
Common units outstanding | 129,400,488 | 157,941,441 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Revenues | ||||
Revenues | $ 364.6 | $ 323.5 | $ 719.3 | $ 627.8 |
Type of Revenue [Extensible List] | us-gaap:ServiceMember | us-gaap:ServiceMember | us-gaap:ServiceMember | us-gaap:ServiceMember |
Other income | $ 0.9 | $ 0.5 | $ 1.8 | $ 1.2 |
Total revenues | 365.5 | 324 | 721.1 | 629 |
Costs and expenses | ||||
Operating and maintenance expenses (exclusive of depreciation shown separately below) | 87.5 | 73.1 | 165.6 | 135.6 |
Depreciation expense | 50.5 | 47 | 100.3 | 94.4 |
General and administrative expenses | 5.2 | 5.8 | 10.9 | 12.2 |
Total operating costs and expenses | 143.2 | 125.9 | 276.8 | 242.2 |
Income from operations | 222.3 | 198.1 | 444.3 | 386.8 |
Income from equity investments | 3.7 | 1.7 | 6.4 | 3.3 |
Interest expense, net | 49.7 | 43.8 | 98.2 | 85.4 |
Income before income tax expense | 176.3 | 156 | 352.5 | 304.7 |
Income tax expense | 16 | 8.1 | 30.3 | 14.6 |
Net income | 160.3 | 147.9 | 322.2 | 290.1 |
Less: Net income attributable to noncontrolling interest | 110.8 | 122.8 | 228.1 | 244.3 |
Net income attributable to Hess Midstream LP | 49.5 | 25.1 | 94.1 | 45.8 |
Affiliate services | ||||
Revenues | ||||
Revenues | 358.5 | 321.9 | 707.9 | 625.3 |
Third-party services | ||||
Revenues | ||||
Revenues | $ 6.1 | $ 1.6 | $ 11.4 | $ 2.5 |
Class A Shares | ||||
Net income attributable to Hess Midstream LP per Class A share: | ||||
Net income attributable to Hess Midstream LP per Class A share, Basic | $ 0.59 | $ 0.5 | $ 1.19 | $ 0.97 |
Net income attributable to Hess Midstream LP per Class A share, Diluted | $ 0.59 | $ 0.5 | $ 1.19 | $ 0.97 |
Weighted average Class A shares outstanding | ||||
Weighted average Class A shares outstanding, Basic | 83.8 | 50.1 | 79.5 | 47.1 |
Weighted average Class A shares outstanding, Diluted | 83.8 | 50.2 | 79.5 | 47.1 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN PARTNERS' CAPITAL (DEFICIT) (UNAUDITED) - USD ($) $ in Millions | Total | Limited Partner Class A Shares | Noncontrolling Interest |
Balance, beginning of period at Dec. 31, 2022 | $ 529 | $ 245.1 | $ 283.9 |
Net income | 142.2 | 20.7 | 121.5 |
Equity-based compensation | 0.6 | 0.6 | |
Distributions to unitholders | (136.7) | (25.1) | (111.6) |
Recognition of deferred tax asset | 4.3 | 4.3 | |
Class B unit repurchase | (100) | (17.5) | (82.5) |
Transaction costs | (0.9) | (0.2) | (0.7) |
Balance, end of period at Mar. 31, 2023 | 438.5 | 227.9 | 210.6 |
Balance, beginning of period at Dec. 31, 2022 | 529 | 245.1 | 283.9 |
Net income | 290.1 | ||
Balance, end of period at Jun. 30, 2023 | 434.8 | 302.1 | 132.7 |
Balance, beginning of period at Mar. 31, 2023 | 438.5 | 227.9 | 210.6 |
Net income | 147.9 | 25.1 | 122.8 |
Equity-based compensation | 0.4 | 0.4 | |
Distributions to unitholders | (138.3) | (25.9) | (112.4) |
Recognition of deferred tax asset | 87.2 | 87.2 | |
Sales of shares held by Sponsors | 11 | (11) | |
Class B unit repurchase | (100) | (23.4) | (76.6) |
Transaction costs | (0.9) | (0.2) | (0.7) |
Balance, end of period at Jun. 30, 2023 | 434.8 | 302.1 | 132.7 |
Balance, beginning of period at Dec. 31, 2023 | 363.2 | 340.2 | 23 |
Net income | 161.9 | 44.6 | 117.3 |
Equity-based compensation | 0.5 | 0.5 | |
Distributions to unitholders | (143.6) | (50.7) | (92.9) |
Recognition of deferred tax asset | 100.4 | 100.4 | |
Sales of shares held by Sponsors | 5.2 | (5.2) | |
Class B unit repurchase | (100) | (35.6) | (64.4) |
Transaction costs | (0.7) | (0.3) | (0.4) |
Balance, end of period at Mar. 31, 2024 | 381.7 | 404.3 | (22.6) |
Balance, beginning of period at Dec. 31, 2023 | 363.2 | 340.2 | 23 |
Net income | 322.2 | ||
Balance, end of period at Jun. 30, 2024 | 402.6 | 464.5 | (61.9) |
Balance, beginning of period at Mar. 31, 2024 | 381.7 | 404.3 | (22.6) |
Net income | 160.3 | 49.5 | 110.8 |
Equity-based compensation | 0.1 | 0.1 | |
Distributions to unitholders | (145.7) | (52.1) | (93.6) |
Recognition of deferred tax asset | 107 | 107 | |
Sales of shares held by Sponsors | (2.7) | 2.7 | |
Class B unit repurchase | (100) | (41.3) | (58.7) |
Transaction costs | (0.8) | (0.3) | (0.5) |
Balance, end of period at Jun. 30, 2024 | $ 402.6 | $ 464.5 | $ (61.9) |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN PARTNERS' CAPITAL (DEFICIT) (UNAUDITED) (Parenthetical) - $ / shares | 3 Months Ended | |||
Jun. 30, 2024 | Mar. 31, 2024 | Jun. 30, 2023 | Mar. 31, 2023 | |
Statement of Partners' Capital [Abstract] | ||||
Distributions to unitholders - per unit/share | $ 0.6516 | $ 0.6343 | $ 0.5851 | $ 0.5696 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2024 | Jun. 30, 2023 | |
Cash flows from operating activities | ||
Net income | $ 322.2 | $ 290.1 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation expense | 100.3 | 94.4 |
Income from equity investments | (6.4) | (3.3) |
Distributions from equity investments | 7.4 | 4.4 |
Amortization of deferred financing costs | 4.4 | 4.2 |
Equity-based compensation expense | 0.6 | 1 |
Deferred income tax expense | 30.1 | 14.6 |
Changes in assets and liabilities: | ||
Accounts receivable - trade | (1.4) | (0.8) |
Accounts receivable – affiliate | 12.9 | 13.7 |
Other current and noncurrent assets | 5.2 | 5.6 |
Accounts payable – trade | (0.4) | (7.5) |
Accounts payable – affiliate | (12.7) | (4.4) |
Accrued liabilities | 5.1 | (2.7) |
Other current and noncurrent liabilities | (10.4) | (6) |
Net cash provided by operating activities | 456.9 | 403.3 |
Cash flows from investing activities | ||
Additions to property, plant and equipment | (118.7) | (107.3) |
Net cash used in investing activities | (118.7) | (107.3) |
Cash flows from financing activities | ||
Net proceeds from (repayments of) bank borrowings with maturities of 90 days or less | (340) | 180 |
Bank borrowings with maturities of greater than 90 days | ||
Repayments | (5) | |
Proceeds from issuance of senior notes | 600 | |
Deferred financing costs | (8.9) | |
Transaction costs | (0.8) | (1.1) |
Class B unit repurchase | (200) | (200) |
Distributions to shareholders/unitholders | (102.8) | (51) |
Distributions to noncontrolling interest | (186.5) | (224) |
Net cash used in financing activities | (244) | (296.1) |
Increase (decrease) in cash and cash equivalents | 94.2 | (0.1) |
Cash and cash equivalents, beginning of period | 5.4 | 3.1 |
Cash and cash equivalents, end of period | 99.6 | 3 |
Supplemental disclosure of non-cash investing and financing activities: | ||
(Increase) decrease in accrued capital expenditures and related liabilities | 10.8 | (2.1) |
Recognition of deferred tax asset | $ 207.4 | $ 91.5 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Pay vs Performance Disclosure | ||||
Net Income (Loss) | $ 49.5 | $ 25.1 | $ 94.1 | $ 45.8 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Jun. 30, 2024 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Note 1. Basis of Presentation Unless the context otherwise requires, references in this report to the “Company,” “we,” “our,” “us” or like terms, refer to Hess Midstream LP and its subsidiaries. The consolidated financial statements included in this report reflect all normal and recurring adjustments which, in the opinion of management, are necessary for a fair presentation of our consolidated financial position at June 30, 2024 and December 31, 2023, the consolidated results of operations for the three and six months ended June 30, 2024 and 2023, and the consolidated cash flows for the six months ended June 30, 2024 and 2023. The Company has no items of other comprehensive income (loss); therefore, net income (loss) is equal to comprehensive income (loss). The unaudited results of operations for the interim periods reported are not necessarily indicative of results to be expected for the full year. The consolidated financial statements were prepared in accordance with the requirements of the Securities and Exchange Commission (“SEC”) for interim reporting. As permitted under those rules, certain notes or other financial information that are normally required by U.S. generally accepted accounting principles (“GAAP”) have been condensed or omitted from these interim consolidated financial statements. These financial statements, therefore, should be read in conjunction with the financial statements and related notes included in the Company’s annual report on Form 10‑K for the year ended December 31, 2023. We consolidate the activities of Hess Midstream Operations LP (“the Partnership”), as a variable interest entity (“VIE”) under U.S. GAAP. We have concluded that we are the primary beneficiary of the VIE, as defined in the accounting standards, since we have the power, through our ownership, to direct those activities that most significantly impact the economic performance of the Partnership. This conclusion was based on a qualitative analysis that considered the Partnership’s governance structure and the delegation of control provisions, which provide us the ability to control the operations of the Partnership. All financial statement activities associated with the VIE are captured within gathering, processing and storage, and terminaling and export segments (see Note 11, Segments ). We currently do not have any independent assets or operations other than our interest in the Partnership. Our noncontrolling interest represents the approximate 58.6 % interest in the Partnership retained by Hess Corporation (“Hess”) and GIP II Blue Holding, L.P. (“GIP” and together with Hess, the “Sponsors”) at June 30, 2024 ( 69.8 % at December 31, 2023). See Note 2, Equity Transactions for a description of changes in noncontrolling interest related to the equity transactions. New Accounting Pronouncements In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. This ASU adds required disclosures of significant expenses for each reportable segment, as well as certain other disclosures to help users of financial statements understand how the chief operating decision maker evaluates segment expenses and operating results. The ASU does not change how an entity identifies its operating segments. The ASU is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. We adopted this ASU on April 1, 2024, and applied the amendments retrospectively to all prior periods presented in our consolidated financial statements (see Note 11, Segments ). In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. This ASU requires, among other disclosures, greater disaggregation of information, the use of certain categories in the rate reconciliation, and the disaggregation of income taxes paid by jurisdiction. The ASU is effective for public business entities for fiscal years beginning after December 15, 2024, with early adoption permitted. We continue to assess the impact of this ASU on our consolidated financial statements. |
Equity Transactions
Equity Transactions | 6 Months Ended |
Jun. 30, 2024 | |
Equity [Abstract] | |
Equity Transactions | Note 2. Equity Transactions Equity Offering Transactions On May 19, 2023, the Sponsors sold an aggregate of 12,765,000 of our Class A Shares representing limited partner interests (the “Class A Shares”), inclusive of the underwriters’ option to purchase up to 1,665,000 of additional shares, which was fully exercised, in an underwritten public offering at a price to the public of $ 27.00 per Class A Share, less underwriting discounts. The Sponsors received net proceeds from the offering of approximately $ 333.4 million, after deducting underwriting discounts. On February 8, 2024, GIP sold an aggregate of 11,500,000 of our Class A shares, inclusive of the underwriter’s option to purchase up to 1,500,000 of additional shares, which was fully exercised, in an underwritten public offering at a price to the underwriter of $ 32.83 per Class A Share. GIP received net proceeds from the offering of approximately $ 377.5 million. On May 31, 2024, GIP sold an aggregate of 10,000,000 of our Class A shares in an underwritten public offering at a price to the underwriter of $ 34.025 per Class A Share. GIP also granted the underwriter an option to purchase up to an additional 1,500,000 Class A shares at the same price per Class A share, which was exercised in full on June 3, 2024. GIP received net proceeds from the offering of approximately $ 391.3 million. The Company did no t receive any proceeds in the equity offering transactions. The above equity offering transactions were conducted pursuant to a registration rights agreement among us and the Sponsors. The Class A Shares sold in the offerings were obtained by GIP by exchanging to us the respective number of their Class B units representing limited partner interests in the Partnership (the “Class B Units”), together with an equal number of Class B shares representing limited partner interests in the Company (the “Class B Shares”) held by the Company’s general partner. As a result, the total number of Class A and Class B Shares did not change. The Company retained control in the Partnership based on the delegation of control provisions, as described in Note 1, Basis of Presentation . As a result of the equity offering transactions described above, we recognized adjustments increasing the carrying amount of the Class A shareholders’ capital balance by $ 2.5 mi llion (six months ended June 30, 2023: $ 11.0 million) and decreasing the carrying amount of noncontrollin g interest by an equal amount to reflect the change in ownership interest. Class B Unit Repurchases On March 27, 2023, the Company, the Partnership and our Sponsors entered into a unit repurchase agreement pursuant to which the Partnership agreed to purchase from the Sponsors 3,619,254 Class B Units for an aggregate purchase price of approximately $ 100.0 million. The repurchase transaction was consummated on March 30, 2023. The purchase price per Class B Unit was $ 27.63 , the closing price of the Class A Shares on March 27, 2023. On June 26, 2023, the Company, the Partnership and our Sponsors entered into a unit repurchase agreement pursuant to which the Partnership agreed to purchase from the Sponsors 3,350,084 Class B Units for an aggregate purchase price of approximately $ 100.0 million. The repurchase transaction was consummated on June 29, 2023. The purchase price per Class B Unit was $ 29.85 , the closing price of the Class A Shares on June 26, 2023. On March 11, 2024, the Company, the Partnership and our Sponsors entered into a unit repurchase agreement pursuant to which the Partnership agreed to purchase from the Sponsors 2,816,901 Class B Units for an aggregate purchase price of approximately $ 100.0 million. The repurchase transaction was consummated on March 14, 2024. The purchase price per Class B Unit was $ 35.50 , the closing price of the Class A Shares on March 11, 2024. On June 24, 2024, the Company, the Partnership and our Sponsors entered into a unit repurchase agreement pursuant to which the Partnership agreed to purchase from the Sponsors 2,724,052 Class B Units for an aggregate purchase price of approximately $ 100.0 million. The repurchase transaction was consummated on June 26, 2024. The purchase price per Class B Unit was $ 36.71 , the closing price of the Class A Shares on June 24, 2024. The repurchase transactions described above were funded using borrowings under the Partnership’s existing revolving credit facility and cash on hand (see Note 6, Debt and Interest Expense ). Pursuant to the terms of the repurchase agreements described above, immediately following each purchase of the Class B Units from the Sponsors, the Partnership cancelled the repurchased units, and the Company cancelled, for no consideration, an equal number of its Class B Shares. The repurchase transactions were accounted for in accordance with ASC 810 whereby changes in a parent’s ownership interest while the parent retains its controlling financial interest in its subsidiary are accounted for as equity transactions. The carrying amounts of the noncontrolling interest were adjusted to reflect the changes in the ownership interest with the difference between the amounts of consideration paid and the amounts by which the noncontrolling interest were adjusted recognized as a reduction in equity attributable to Class A shareholders. Distributions to noncontrolling interest holders related to the 2024 repurchase transactions exceeded the noncontrolling interest’s carrying value resulting in a deficit balance as shown in the accompanying consolidated statement of changes in partners’ capital (deficit). We incurred approximately $ 1.5 million of costs directly attributable to the repurchase transactions that were charged to equity (six months ended June 30, 2023: $ 1.8 million). As a result of the equity offering and the unit repurchase transactions described above, we also recognized an additional deferred tax asset of $ 207.4 million (six months ended June 30, 2023: $ 91.5 million) related to the change in the temporary difference between the carryi ng amount and the tax basis of our investment in the Partnership. The effect of recognizing the additional deferred tax asset was included in Class A shareholders’ equity balance in the accompanying consolidated statement of changes in partners’ capital (deficit) due to the transactions being characterized as transactions among or with shareholders. |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2024 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Note 3. Related Party Transactions In addition to the Class B Unit repurchase transactions and distributions to the Sponsors disclosed elsewhere in the Notes to consolidated financial statements, we had the following related party transactions: Commercial Agreements We have long-term fee based commercial agreements with certain subsidiaries of Hess to provide i) gas gathering, ii) crude oil gathering, iii) gas processing and fractionation, iv) storage services, v) terminaling and export services, and (vi) water handling services. For the services performed under these commercial agreements, we receive a fee per barrel of crude oil, barrel of water, Mcf of natural gas, or Mcf equivalent of NGLs, as applicable, delivered during each month, and Hess is obligated to provide us with minimum volumes of crude oil, water, natural gas and NGLs. Minimum volume commitments (“MVCs”) are equal to 80 % of Hess’ nominations in each development plan that apply on a three-year rolling basis such that MVCs are set for the three years following the most recent nomination. Without our consent, the MVCs resulting from the nominated volumes for any quarter or year contained in any prior development plan cannot be reduced by any updated development plan unless dedicated production is released by us. The applicable MVCs may, however, be increased as a result of the nominations contained in any such updated development plan. If Hess fails to deliver its applicable MVCs during any quarter, then Hess will pay us a shortfall fee equal to the volume of the deficiency multiplied by the applicable fee. Except for the water services agreements and except for a certain gathering sub-system as described below, each of our commercial agreements with Hess has an initial 10 -year term effective January 1, 2014 (“Initial Term”). For this gathering sub-system, the Initial Term is 15 years effective January 1, 2014 and for the water services agreements the Initial Term is 14 years effective January 1, 2019. Each of our commercial agreements other than our storage services agreement includes an inflation escalator capped at 3 % in any calendar year and a fee recalculation mechanism that allows fees to be adjusted annually during the Initial Term for updated estimates of cumulative throughput volumes and our capital and operating expenditures in order to target a return on capital deployed over the Initial Term of the applicable commercial agreement (or, with respect to the crude oil services fee under our terminal and export services agreement, the 20 -year period commencing on the effective date of the agreement). For certain crude oil gathering, terminaling, storage, gas processing and gas gathering commercial agreements with Hess, we exercised our renewal options to extend each of these commercial agreement for one additional 10 -year term (“Secondary Term”) effective January 1, 2024 through December 31, 2033. There were no changes to any provisions of the existing commercial agreements as a result of the exercise of the renewal options. For the remaining gathering sub-system, the Secondary Term is 5 years, and for the water services agreements the Secondary Term is 10 years, and we have the sole option to renew these remaining agreements for their Secondary Term that is exercisable at a later date. Upon the expiration of the Secondary Term, if any, the agreements will automatically renew for subsequent one-year periods unless terminated by either party no later than 180 days prior to the end of the applicable Secondary Term. Consistent with the existing terms of the commercial agreements, during the Secondary Term of each of our commercial agreements other than our storage services agreement and terminal and export services agreement (with respect to crude oil terminaling services), the fee recalculation model under each applicable agreement is replaced by an inflation-based fee structure. The initial fee for the first year of the Secondary Term is determined based on the average fees paid by Hess under the applicable agreement during the last three years of the Initial Term (with such fees adjusted for inflation through the first year of the Secondary Term). For each year following the first year of the Secondary Term, the applicable fee will be adjusted annually based on the percentage change in the consumer price index, provided that we may not increase any fee by more than 3 % in any calendar year solely by reason of an increase in the consumer price index, and no fee will ever be reduced below the amount of the applicable fee payable by Hess in the prior year as a result of a decrease in the consumer price index. During the Secondary Term, MVCs continue to be set at 80 % of Hess’ nominated volumes in each development plan set three years in advance. Except for the crude oil terminaling and water handling services, Hess is entitled to receive a credit, calculated in barrels or Mcf, as applicable, with respect to the amount of any shortfall fee paid by Hess and may apply such credit against any volumes delivered to us under the applicable agreement in excess of Hess’s nominated volumes during any of the following four quarters after such credit is earned, after which time any unused credits will expire. The shortfall amounts received under MVCs during the Secondary Term (except for the crude oil terminaling and water handling services) are recorded as deferred revenue and recognized as revenue as the credits are utilized or expire . At June 30, 2024, deferred revenue included in Accrued liabilities in the accompanying consolidated balance sheet was $ 1.3 million (December 31, 2023 : none ). Revenues attributable to our fee‑based commercial agreements with Hess, including revenues from third‑party volumes contracted with Hess and delivered to us under these agreements, for the three and six months ended June 30, 2024 were 98 % for both periods, compared with approximately 100 % of revenues for the three and six months ended June 30, 2023. In 2023, we began providing our services directly to third-party customers. Together with Hess, we are pursuing strategic relationships with third‑party producers and other midstream companies with operations in the Bakken in order to maximize our utilization rates. Revenues from contracts with customers, including affiliated services and third-party services, on a disaggregated basis are as follows: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 (in millions) Affiliate services Oil and gas gathering services $ 165.3 $ 152.7 $ 324.6 $ 297.3 Processing and storage services 135.2 121.6 270.6 235.4 Terminaling and export services 29.6 26.2 57.0 51.4 Water gathering and disposal services 28.4 21.4 55.7 41.2 Total affiliate services $ 358.5 $ 321.9 $ 707.9 $ 625.3 Third-party services 6.1 1.6 11.4 2.5 Total revenues from contracts with customers $ 364.6 $ 323.5 $ 719.3 $ 627.8 Other income 0.9 0.5 1.8 1.2 Total revenues $ 365.5 $ 324.0 $ 721.1 $ 629.0 The following table presents third-party pass-through costs for which we recognize revenues in an amount equal to the costs. These pass-through revenues are included in Affiliate services and the related pass-through costs are included in Operating and maintenance expenses in the accompanying unaudited consolidated statements of operations. Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 (in millions) Electricity and other related fees $ 13.6 $ 11.5 $ 27.0 $ 22.5 Produced water trucking and disposal costs 9.5 8.7 19.3 17.0 Rail transportation costs - ( 1.6 ) - ( 3.4 ) Total $ 23.1 $ 18.6 $ 46.3 $ 36.1 Omnibus and Employee Secondment Agreements Under our omnibus and employee secondment agreements, Hess provides substantial operational and administrative services to us in support of our assets and operations. For the three and six months ended June 30, 2024 and 2023 , we had the following charges from Hess. The classification of these charges between operating and maintenance expenses and general and administrative expenses is based on the fundamental nature of the services being performed for our operations. Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 (in millions) Operating and maintenance expenses $ 20.5 $ 19.5 $ 39.6 $ 37.4 General and administrative expenses 3.5 3.8 7.0 7.7 Total $ 24.0 $ 23.3 $ 46.6 $ 45.1 LM4 Agreements Separately from our commercial agreements with Hess, we entered into a gas processing agreement with Little Missouri 4 (“LM4”), a 50 / 50 joint venture with Targa Resources Corp., under which we pay a processing fee per Mcf of natural gas and reimburse LM4 for our proportionate share of electricity costs. These processing fees are included in Operating and maintenance expenses in the accompanying consolidated statements of operations. In addition, we share profits and losses and receive distributions from LM4 under the LM4 amended and restated limited liability company agreement based on our ownership interest. For the three and six months ended June 30, 2024 and 2023, we had the following activity related to our agreements with LM4: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 (in millions) Processing fee incurred $ 8.6 $ 5.8 $ 15.4 $ 10.8 Earnings from equity investments 3.7 1.7 6.4 3.3 Distributions received from equity investments 3.9 1.8 7.4 4.4 |
Property, Plant and Equipment
Property, Plant and Equipment | 6 Months Ended |
Jun. 30, 2024 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Note 4. Property, Plant and Equipment Property, plant and equipment, at cost, is as follows: Estimated useful lives June 30, 2024 December 31, 2023 (in millions, except for number of years) Gathering assets Pipelines 22 years $ 1,740.8 $ 1,703.7 Compressors, pumping stations and terminals 22 to 25 years 1,091.1 1,026.4 Gas plant assets Pipelines, pipes and valves 22 to 25 years 460.0 460.0 Equipment 12 to 30 years 428.2 428.2 Processing and fractionation facilities 25 years 432.4 424.7 Buildings 35 years 182.3 182.3 Logistics facilities and railcars 20 to 25 years 409.2 409.2 Storage facilities 20 to 25 years 19.9 19.9 Other 20 to 25 years 28.2 28.0 Construction-in-progress N/A 134.6 136.3 Total property, plant and equipment, at cost 4,926.7 4,818.7 Accumulated depreciation ( 1,689.4 ) ( 1,589.5 ) Property, plant and equipment, net $ 3,237.3 $ 3,229.2 |
Accrued Liabilities
Accrued Liabilities | 6 Months Ended |
Jun. 30, 2024 | |
Accrued Liabilities, Current [Abstract] | |
Accrued Liabilities | Note 5. Accrued Liabilities Accrued liabilities are as follows: June 30, 2024 December 31, 2023 (in millions) Accrued interest $ 40.4 $ 35.8 Accrued capital expenditures 18.9 42.9 Other accruals 28.8 27.2 Total $ 88.1 $ 105.9 |
Debt and Interest Expense
Debt and Interest Expense | 6 Months Ended |
Jun. 30, 2024 | |
Debt Disclosure [Abstract] | |
Debt and Interest Expense | Note 6. Debt and Interest Expense Fixed‑Rate Senior Notes On May 16, 2024 the Partnership issued $ 600.0 million aggregate principal amount of 6.500 % fixed‑rate se nior unsecured notes due 2029 to qualified institutional investors. Interest is payable semi‑annually on June 1 and December 1, commencing December 1, 2024. The Partnership used the proceeds to reduce indebtedness outstanding under the Partnership’s revolving credit facility, with the remaining net proceeds for general corporate purposes. As of June 30, 2024, the Partnership had: • $ 400.0 million aggregate principal amount of 5.500 % fixed‑rate senior unsecured notes due 2030 that were issued to qualified institutional investors. Interest is payable semi‑annually on April 15 and October 15. • $ 750.0 million aggregate principal amount of 4.250 % fixed‑rate senior unsecured notes due 2030 that were issued to qualified institutional investors. Interest is payable semi‑annually on February 15 and August 15. • $ 600.0 million aggregate principal amount of 6.500 % fixed‑rate senior unsecured notes due 2029 that were issued to qualified institutional investors. Interest is payable semi‑annually on June 1 and December 1. • $ 550.0 million aggregate principal amount of 5.125 % fixed‑rate senior unsecured notes due 2028 that were issued to qualified institutional investors. Interest is payable semi‑annually on June 15 and December 15. • $ 800.0 million aggregate principal amount of 5.625 % fixed‑rate senior unsecured notes due 2026 that were issued to qualified institutional investors. Interest is payable semi‑annually on February 15 and August 15. The notes described above are guaranteed by certain subsidiaries of the Partnership. Each of the indentures for the senior unsecured notes described above contains customary covenants that restrict our ability and the ability of our restricted subsidiaries to (i) declare or pay any dividend or make any other restricted payments; (ii) transfer or sell assets or subsidiary stock; (iii) incur additional debt; or (iv) make restricted investments, unless, at the time of and immediately after giving pro forma effect to such restricted payments and any related incurrence of indebtedness or other transactions, no default has occurred and is continuing or would occur as a consequence of such restricted payment and if the leverage ratio does not exceed 4.25 to 1.00. As of June 30, 2024, we were in compliance with all debt covenants under the indentures. In addition, the covenants included in the indentures governing the senior unsecured notes contain provisions that allow the Company to satisfy the Partnership’s reporting obligations under the indenture, as long as any such financial information of the Company contains information reasonably sufficient to identify the material differences, if any, between the financial information of the Company, on the one hand, and the Partnership and its subsidiaries on a stand-alone basis, on the other hand and the Company does not directly own capital stock of any person other than the Partnership and its subsidiaries, or material business operations that would not be consolidated with the financial results of the Partnership and its subsidiaries. The Company is a holding company and has no independent assets or operations. Other than the interest in the Partnership and the effect of federal and state income taxes that are recognized at the Company level, there are no material differences between the consolidated financial statements of the Partnership and the consolidated financial statements of the Company. Credit Facilities As of June 30, 2024 , the Partnership had $ 1.4 billion senior secured credit facilities (the “Credit Facilities”) consisting of a $ 1.0 billion 5 -year revolving credit facility and a $ 400.0 million 5 ‑year Term Loan A facility. The Credit Facilities mature in July 2027 . Facility fees accrue on the total capacity of the revolving credit facility. Borrowings under the 5 -year Term Loan A facility generally bear interest at Secured Overnight Financing Rate (“SOFR”) plus the applicable margin ranging from 1.65 % to 2.55 %, while the applicable margin for the 5 ‑year syndicated revolving credit facility ranges from 1.375 % to 2.050 %. Pricing levels for the facility fee and interest rate margins are based on the Partnership’s ratio of total debt to EBITDA (as defined in the Credit Facilities). If the Partnership obtains an investment grade credit rating, the pricing levels will be based on the Partnership’s credit ratings in effect from time to time. As of June 30, 2024 , there were no borrowings outstanding under the Partnership’s revolving credit facility, and borro wings of $ 392.5 million, excluding deferred issuance costs, were drawn and outstanding under the Partnership’s Term Loan A facility. The Credit Facilities can be used for borrowings and letters of credit for general corporate purposes. The Credit Facilities are guaranteed by each direct and indirect wholly owned material domestic subsidiary of the Partnership, and are secured by first priority perfected liens on substantially all of the presently owned and after-acquired assets of the Partnership and its direct and indirect wholly owned material domestic subsidiaries, including equity interests directly owned by such entities, subject to certain customary exclusions. The Credit Facilities contain representations and warranties, affirmative and negative covenants and events of default that the Partnership considers to be customary for an agreement of this type, including a covenant that requires the Partnership to maintain a ratio of total debt to EBITDA (as defined in the Credit Facilities) for the prior four fiscal quarters of not greater than 5.00 to 1.00 as of the last day of each fiscal quarter ( 5.50 to 1.00 during the specified period following certain acquisitions) and, prior to the Partnership obtaining an investment grade credit rating, a ratio of secured debt to EBITDA for the prior four fiscal quarters of not greater than 4.00 to 1.00 as of the last day of each fiscal quarter. As of June 30, 2024, the Partnership was in compliance with these financial covenants. Fair Value Measurement At June 30, 2024, our total debt had a carrying value of $ 3,460.3 million and had a fair value of approximately $ 3,397.8 million, based on Level 2 inputs in the fair value measurement hierarchy. The carrying value of the amounts under the Term Loan A facility and revolving credit facility at June 30, 2024 , approximated their fair value. Any changes in interest rates do not impact cash outflows associated with fixed rate interest payments or settlement of debt principal, unless a debt instrument is repurchased prior to maturity. |
Partners' Capital and Distribut
Partners' Capital and Distributions | 6 Months Ended |
Jun. 30, 2024 | |
Partners' Capital Notes [Abstract] | |
Partners' Capital and Distributions | Note 7. Partners’ Capital and Distributions Our partnership agreement requires that, within 45 days after the end of each quarter, we distribute all of our available cash, as defined in the partnership agreement, to shareholders of record on the applicable record date. The following table details the distributions declared and/or paid for the periods presented: z Period Record Date Distribution Date Distribution per Class A Share First Quarter 2023 May 4, 2023 May 12, 2023 $ 0.5851 Second Quarter 2023 August 3, 2023 August 14, 2023 $ 0.6011 Third Quarter 2023 November 2, 2023 November 14, 2023 $ 0.6175 Fourth Quarter 2023 February 8, 2024 February 14, 2024 $ 0.6343 First Quarter 2024 May 2, 2024 May 14, 2024 $ 0.6516 Second Quarter 2024 (1) August 8, 2024 August 14, 2024 $ 0.6677 (1) For more information, see Note 12, Subsequent Events. |
Earnings per Share
Earnings per Share | 6 Months Ended |
Jun. 30, 2024 | |
Earnings Per Share [Abstract] | |
Earnings per Share | Note 8. Earnings per Share We calculate earnings per Class A Share as we do not have any other participating securities. Substantially all of income tax expense is attributed to earnings of Class A Shares reflective of our organizational structure. Class B Units of the Partnership together with the equal number of Class B Shares of the Company are convertible to Class A Shares of the Company on a one -for-one basis. In addition, our restricted equity-based awards may have a dilutive effect on our earnings per share. Diluted earnings per Class A Share are calculated using the “treasury stock method” or “if-converted method,” whichever is more dilutive. Three Months Ended June 30, Six Months Ended June 30, (in millions, except per share amounts) 2024 2023 2024 2023 Net income $ 160.3 $ 147.9 $ 322.2 $ 290.1 Less: Net income attributable to noncontrolling interest 110.8 122.8 228.1 244.3 Net income attributable to Hess Midstream LP 49.5 25.1 94.1 45.8 Net income attributable to Hess Midstream LP Basic: $ 0.59 $ 0.50 $ 1.19 $ 0.97 Diluted: $ 0.59 $ 0.50 $ 1.19 $ 0.97 Weighted average Class A shares outstanding: Basic: 83.8 50.1 79.5 47.1 Diluted: 83.8 50.2 79.5 47.1 For the three and six months ended June 30, 2024 the weighted average number of Class A Shares outstanding included 17,859 and 29,143 d ilutive restricted shares, respectively, compared with 19,640 and 40,103 dilutive restricted shares for the three and six months ended June 30, 2023 , respectively. |
Concentration of Credit Risk
Concentration of Credit Risk | 6 Months Ended |
Jun. 30, 2024 | |
Risks and Uncertainties [Abstract] | |
Concentration of Credit Risk | Note 9. Concentration of Credit Risk As of June 30, 2024 and 2023, Hess and its affiliates represented 97 % and 100 % , respectively, of accounts receivable from contracts with customers. Total revenues attributable to Hess for the three and six months ended June 30, 2024 were 98 % for both periods, compared with approximately 100 % of revenues for the three and six months ended June 30, 2023 . |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 10. Commitments and Contingencies Environmental Contingencies The Company is subject to federal, state and local laws and regulations relating to the environment. On August, 12, 2022, the Company became aware of a produced water release from an underground pipeline located approximately 8 miles north of Ray, North Dakota. It is estimated that approximately 34,000 barrels of produced water were released, causing impacts to soils, crops, and groundwater. Remediation infrastructure was put in place and remediation and monitoring is ongoing. As of June 30, 2024 our reserves for all estimated remediation liabilities, inclusive of the produced water release above, in Accrued liabilities and Other noncurrent li abilities were $ 2.2 million and $ 3.3 million, respectively, compared with $ 1.7 million and $ 5.3 million, respectively, as of December 31, 2023. Legal Proceedings In the ordinary course of business, the Company is from time to time party to various judicial and administrative proceedings. We regularly assess the need for accounting recognition or disclosure of these contingencies. In the case of a known contingency, we accrue a liability when the loss is probable and the amount is reasonably estimable. If a range of amounts can be reasonably estimated and no amount within the range is a better estimate than any other amount, then the minimum of the range is accrued. On or about March 14, 2023, the Company received a Notice of Violation (the “Notice”) from the North Dakota Department of Environmental Quality (“DEQ”) in connection with the produced water release described under Environmental Contingencies above. The Notice alerts the Company that it may have violated the State’s water pollution control laws, but neither imposes nor waives any enforcement action. On January 11, 2024, the DEQ proposed an Administrative Consent Agreement (“ACA”) that included an administrative penalty of $ 0.4 million and further line monitoring practices with respect to certain water gathering pipelines. The Company is evaluating the proposed ACA and is engaging in further discussions with the DEQ. Based on currently available information, we believe it is remote that the outcome of known matters, including the produced water release described above, would have a material adverse impact on our financial condition, results of operations or cash flows. Accordingly, as of June 30, 2024 and December 31, 2023 , we did no t have material accrued liabilities for legal contingencies. |
Segments
Segments | 6 Months Ended |
Jun. 30, 2024 | |
Segment Reporting [Abstract] | |
Segments | Note 11. Segments Our operations are located in the United States and are organized into three reportable segments: (1) gathering, (2) processing and storage and (3) terminaling and export. Our reportable segments comprise the structure used by our Chief Executive Officer and Chief Financial Officer, who, collectively, have been determined to be our Chief Operating Decision Maker (“CODM”) to make key operating decisions and assess performance. These segments are strategic business units with differing products and services. Interest and Other includes certain functional departments that do not recognize revenues. Our CODM evaluates the segments’ operating performance based on Adjusted EBITDA, defined as net income (loss) before interest expense, income tax expense (benefit), and depreciation and amortization, as further adjusted for other non-cash, non‑recurring items, if applicable. For all of the segments, the CODM uses segment Adjusted EBITDA in the annual budgeting and monthly forecasting process. The CODM considers budget-to-current forecast and prior forecast-to-current forecast variances for Adjusted EBITDA on a monthly basis for evaluating performance of each segment and making decisions about allocating capital and other resources to each segment. The following tables reflect certain financial data for each reportable segment: Gathering Processing and Storage Terminaling and Export Total Reportable Segments Interest and Other Consolidated (in millions) For the Three Months Ended June 30, 2024 Revenues and other income $ 195.5 $ 139.5 $ 30.5 $ 365.5 $ - $ 365.5 Operating and maintenance expenses 50.8 27.3 9.4 87.5 - 87.5 Depreciation expense 31.5 14.6 4.4 50.5 - 50.5 General and administrative expenses 2.3 1.0 0.2 3.5 1.7 5.2 Income from equity investments - 3.7 - 3.7 - 3.7 Interest expense, net - - - - 49.7 49.7 Income tax expense - - - - 16.0 16.0 Adjusted EBITDA 142.4 114.9 20.9 278.2 Capital expenditures 69.5 3.2 - 72.7 Gathering Processing and Storage Terminaling and Export Total Reportable Segments Interest and Other Consolidated (in millions) For the Three Months Ended June 30, 2023 Revenues and other income $ 174.5 $ 122.8 $ 26.7 $ 324.0 $ - $ 324.0 Operating and maintenance expenses 43.8 23.8 5.5 73.1 - 73.1 Depreciation expense 28.2 14.5 4.3 47.0 - 47.0 General and administrative expenses 2.5 1.1 0.2 3.8 2.0 5.8 Income from equity investments - 1.7 - 1.7 - 1.7 Interest expense, net - - - - 43.8 43.8 Income tax expense - - - - 8.1 8.1 Adjusted EBITDA 128.2 99.6 21.0 248.8 Capital expenditures 46.4 2.7 3.0 52.1 Gathering Processing and Storage Terminaling and Export Total Reportable Segments Interest and Other Consolidated (in millions) For the Six Months Ended June 30, 2024 Revenues and other income $ 383.6 $ 278.6 $ 58.9 $ 721.1 $ - $ 721.1 Operating and maintenance expenses 97.1 52.5 16.0 165.6 - 165.6 Depreciation expense 62.3 29.3 8.7 100.3 - 100.3 General and administrative expenses 4.4 2.2 0.4 7.0 3.9 10.9 Income from equity investments - 6.4 - 6.4 - 6.4 Interest expense, net - - - - 98.2 98.2 Income tax expense - - - - 30.3 30.3 Adjusted EBITDA 282.1 230.3 42.5 554.9 Capital expenditures 101.2 6.6 0.1 107.9 Gathering Processing and Storage Terminaling and Export Total Reportable Segments Interest and Other Consolidated (in millions) For the Six Months Ended June 30, 2023 Revenues and other income $ 339.2 $ 237.2 $ 52.6 $ 629.0 $ - $ 629.0 Operating and maintenance expenses 82.2 44.0 9.4 135.6 - 135.6 Depreciation expense 57.0 29.0 8.4 94.4 - 94.4 General and administrative expenses 4.9 2.3 0.5 7.7 4.5 12.2 Income from equity investments - 3.3 - 3.3 - 3.3 Interest expense, net - - - - 85.4 85.4 Income tax expense - - - - 14.6 14.6 Adjusted EBITDA 252.1 194.2 42.7 489.0 Capital expenditures 95.8 3.6 10.0 109.4 The following table presents a reconciliation of reportable segment Adjusted EBITDA to income before income tax expense: Three Months Ended June 30, Six Months Ended June 30, (in millions) 2024 2023 2024 2023 Reconciliation of reportable segment Adjusted Total reportable segment Adjusted EBITDA $ 278.2 $ 248.8 $ 554.9 $ 489.0 Less: Depreciation expense 50.5 47.0 100.3 94.4 Unallocated general and administrative expenses 1.7 2.0 3.9 4.5 Interest expense, net 49.7 43.8 98.2 85.4 Income before income tax expense $ 176.3 $ 156.0 $ 352.5 $ 304.7 Total assets for the reportable segments are as follows: June 30, 2024 December 31, 2023 (in millions) Gathering $ 2,167.3 $ 2,138.6 Processing and Storage (1) 1,018.7 1,048.4 Terminaling and Export 255.4 264.4 Interest and Other 608.7 338.1 Total assets $ 4,050.1 $ 3,789.5 (1) Includes investment in equity investees of $ 89.2 million as of June 30, 2024 an d $ 90.2 million as of December 31, 2023 . |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2024 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 12. Subsequent Events On July 29, 2024 , the board of directors of our general partner declared a quarterly cash distribution of $ 0.6677 per Class A Share for the quarter ended June 30, 2024 . The distribution represents an increase of $ 0.0161 per Class A Share for the second quarter of 2024 as compared with the first quarter of 2024. The distribution will be payable on August 14, 2024 , to shareholders of record as of the close of business on August 8, 2024 . Simultaneously, the Partnership will make a distribution of $ 0.6677 per Class B Unit of the Partnership to the Sponsors. |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 6 Months Ended |
Jun. 30, 2024 | |
Accounting Policies [Abstract] | |
Presentation | The consolidated financial statements included in this report reflect all normal and recurring adjustments which, in the opinion of management, are necessary for a fair presentation of our consolidated financial position at June 30, 2024 and December 31, 2023, the consolidated results of operations for the three and six months ended June 30, 2024 and 2023, and the consolidated cash flows for the six months ended June 30, 2024 and 2023. The Company has no items of other comprehensive income (loss); therefore, net income (loss) is equal to comprehensive income (loss). The unaudited results of operations for the interim periods reported are not necessarily indicative of results to be expected for the full year. The consolidated financial statements were prepared in accordance with the requirements of the Securities and Exchange Commission (“SEC”) for interim reporting. As permitted under those rules, certain notes or other financial information that are normally required by U.S. generally accepted accounting principles (“GAAP”) have been condensed or omitted from these interim consolidated financial statements. These financial statements, therefore, should be read in conjunction with the financial statements and related notes included in the Company’s annual report on Form 10‑K for the year ended December 31, 2023. We consolidate the activities of Hess Midstream Operations LP (“the Partnership”), as a variable interest entity (“VIE”) under U.S. GAAP. We have concluded that we are the primary beneficiary of the VIE, as defined in the accounting standards, since we have the power, through our ownership, to direct those activities that most significantly impact the economic performance of the Partnership. This conclusion was based on a qualitative analysis that considered the Partnership’s governance structure and the delegation of control provisions, which provide us the ability to control the operations of the Partnership. All financial statement activities associated with the VIE are captured within gathering, processing and storage, and terminaling and export segments (see Note 11, Segments ). We currently do not have any independent assets or operations other than our interest in the Partnership. Our noncontrolling interest represents the approximate 58.6 % interest in the Partnership retained by Hess Corporation (“Hess”) and GIP II Blue Holding, L.P. (“GIP” and together with Hess, the “Sponsors”) at June 30, 2024 ( 69.8 % at December 31, 2023). See Note 2, Equity Transactions for a description of changes in noncontrolling interest related to the equity transactions. |
New Accounting Pronouncements | New Accounting Pronouncements In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. This ASU adds required disclosures of significant expenses for each reportable segment, as well as certain other disclosures to help users of financial statements understand how the chief operating decision maker evaluates segment expenses and operating results. The ASU does not change how an entity identifies its operating segments. The ASU is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. We adopted this ASU on April 1, 2024, and applied the amendments retrospectively to all prior periods presented in our consolidated financial statements (see Note 11, Segments ). In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. This ASU requires, among other disclosures, greater disaggregation of information, the use of certain categories in the rate reconciliation, and the disaggregation of income taxes paid by jurisdiction. The ASU is effective for public business entities for fiscal years beginning after December 15, 2024, with early adoption permitted. We continue to assess the impact of this ASU on our consolidated financial statements. |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Related Party Transactions [Abstract] | |
Summary of Revenues From Contracts With Customers Including Affiliated Services and Third-party Services on Disaggregated Basis | Revenues from contracts with customers, including affiliated services and third-party services, on a disaggregated basis are as follows: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 (in millions) Affiliate services Oil and gas gathering services $ 165.3 $ 152.7 $ 324.6 $ 297.3 Processing and storage services 135.2 121.6 270.6 235.4 Terminaling and export services 29.6 26.2 57.0 51.4 Water gathering and disposal services 28.4 21.4 55.7 41.2 Total affiliate services $ 358.5 $ 321.9 $ 707.9 $ 625.3 Third-party services 6.1 1.6 11.4 2.5 Total revenues from contracts with customers $ 364.6 $ 323.5 $ 719.3 $ 627.8 Other income 0.9 0.5 1.8 1.2 Total revenues $ 365.5 $ 324.0 $ 721.1 $ 629.0 |
Summary of Third-party Pass-through Costs for Which Revenues in Amount Equal to Costs are Recognized and Classification of Charges between Operating and Maintenance Expenses and General and Administrative Expenses | The following table presents third-party pass-through costs for which we recognize revenues in an amount equal to the costs. These pass-through revenues are included in Affiliate services and the related pass-through costs are included in Operating and maintenance expenses in the accompanying unaudited consolidated statements of operations. Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 (in millions) Electricity and other related fees $ 13.6 $ 11.5 $ 27.0 $ 22.5 Produced water trucking and disposal costs 9.5 8.7 19.3 17.0 Rail transportation costs - ( 1.6 ) - ( 3.4 ) Total $ 23.1 $ 18.6 $ 46.3 $ 36.1 For the three and six months ended June 30, 2024 and 2023 , we had the following charges from Hess. The classification of these charges between operating and maintenance expenses and general and administrative expenses is based on the fundamental nature of the services being performed for our operations. Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 (in millions) Operating and maintenance expenses $ 20.5 $ 19.5 $ 39.6 $ 37.4 General and administrative expenses 3.5 3.8 7.0 7.7 Total $ 24.0 $ 23.3 $ 46.6 $ 45.1 |
Summary of Activity Related to Agreements with Related Party | For the three and six months ended June 30, 2024 and 2023, we had the following activity related to our agreements with LM4: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 (in millions) Processing fee incurred $ 8.6 $ 5.8 $ 15.4 $ 10.8 Earnings from equity investments 3.7 1.7 6.4 3.3 Distributions received from equity investments 3.9 1.8 7.4 4.4 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Property, Plant and Equipment [Abstract] | |
Components of Property, Plant and Equipment | Property, plant and equipment, at cost, is as follows: Estimated useful lives June 30, 2024 December 31, 2023 (in millions, except for number of years) Gathering assets Pipelines 22 years $ 1,740.8 $ 1,703.7 Compressors, pumping stations and terminals 22 to 25 years 1,091.1 1,026.4 Gas plant assets Pipelines, pipes and valves 22 to 25 years 460.0 460.0 Equipment 12 to 30 years 428.2 428.2 Processing and fractionation facilities 25 years 432.4 424.7 Buildings 35 years 182.3 182.3 Logistics facilities and railcars 20 to 25 years 409.2 409.2 Storage facilities 20 to 25 years 19.9 19.9 Other 20 to 25 years 28.2 28.0 Construction-in-progress N/A 134.6 136.3 Total property, plant and equipment, at cost 4,926.7 4,818.7 Accumulated depreciation ( 1,689.4 ) ( 1,589.5 ) Property, plant and equipment, net $ 3,237.3 $ 3,229.2 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Accrued Liabilities, Current [Abstract] | |
Schedule of Accrued Liabilities | Accrued liabilities are as follows: June 30, 2024 December 31, 2023 (in millions) Accrued interest $ 40.4 $ 35.8 Accrued capital expenditures 18.9 42.9 Other accruals 28.8 27.2 Total $ 88.1 $ 105.9 |
Partners' Capital and Distrib_2
Partners' Capital and Distributions (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Partners' Capital Notes [Abstract] | |
Schedule of Distributions Declared and Paid | The following table details the distributions declared and/or paid for the periods presented: z Period Record Date Distribution Date Distribution per Class A Share First Quarter 2023 May 4, 2023 May 12, 2023 $ 0.5851 Second Quarter 2023 August 3, 2023 August 14, 2023 $ 0.6011 Third Quarter 2023 November 2, 2023 November 14, 2023 $ 0.6175 Fourth Quarter 2023 February 8, 2024 February 14, 2024 $ 0.6343 First Quarter 2024 May 2, 2024 May 14, 2024 $ 0.6516 Second Quarter 2024 (1) August 8, 2024 August 14, 2024 $ 0.6677 (1) For more information, see Note 12, Subsequent Events. |
Earnings per Share (Tables)
Earnings per Share (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings per Share | We calculate earnings per Class A Share as we do not have any other participating securities. Substantially all of income tax expense is attributed to earnings of Class A Shares reflective of our organizational structure. Class B Units of the Partnership together with the equal number of Class B Shares of the Company are convertible to Class A Shares of the Company on a one -for-one basis. In addition, our restricted equity-based awards may have a dilutive effect on our earnings per share. Diluted earnings per Class A Share are calculated using the “treasury stock method” or “if-converted method,” whichever is more dilutive. Three Months Ended June 30, Six Months Ended June 30, (in millions, except per share amounts) 2024 2023 2024 2023 Net income $ 160.3 $ 147.9 $ 322.2 $ 290.1 Less: Net income attributable to noncontrolling interest 110.8 122.8 228.1 244.3 Net income attributable to Hess Midstream LP 49.5 25.1 94.1 45.8 Net income attributable to Hess Midstream LP Basic: $ 0.59 $ 0.50 $ 1.19 $ 0.97 Diluted: $ 0.59 $ 0.50 $ 1.19 $ 0.97 Weighted average Class A shares outstanding: Basic: 83.8 50.1 79.5 47.1 Diluted: 83.8 50.2 79.5 47.1 |
Segments (Tables)
Segments (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Segment Reporting [Abstract] | |
Financial Data for Each Reportable Segment | The following tables reflect certain financial data for each reportable segment: Gathering Processing and Storage Terminaling and Export Total Reportable Segments Interest and Other Consolidated (in millions) For the Three Months Ended June 30, 2024 Revenues and other income $ 195.5 $ 139.5 $ 30.5 $ 365.5 $ - $ 365.5 Operating and maintenance expenses 50.8 27.3 9.4 87.5 - 87.5 Depreciation expense 31.5 14.6 4.4 50.5 - 50.5 General and administrative expenses 2.3 1.0 0.2 3.5 1.7 5.2 Income from equity investments - 3.7 - 3.7 - 3.7 Interest expense, net - - - - 49.7 49.7 Income tax expense - - - - 16.0 16.0 Adjusted EBITDA 142.4 114.9 20.9 278.2 Capital expenditures 69.5 3.2 - 72.7 Gathering Processing and Storage Terminaling and Export Total Reportable Segments Interest and Other Consolidated (in millions) For the Three Months Ended June 30, 2023 Revenues and other income $ 174.5 $ 122.8 $ 26.7 $ 324.0 $ - $ 324.0 Operating and maintenance expenses 43.8 23.8 5.5 73.1 - 73.1 Depreciation expense 28.2 14.5 4.3 47.0 - 47.0 General and administrative expenses 2.5 1.1 0.2 3.8 2.0 5.8 Income from equity investments - 1.7 - 1.7 - 1.7 Interest expense, net - - - - 43.8 43.8 Income tax expense - - - - 8.1 8.1 Adjusted EBITDA 128.2 99.6 21.0 248.8 Capital expenditures 46.4 2.7 3.0 52.1 Gathering Processing and Storage Terminaling and Export Total Reportable Segments Interest and Other Consolidated (in millions) For the Six Months Ended June 30, 2024 Revenues and other income $ 383.6 $ 278.6 $ 58.9 $ 721.1 $ - $ 721.1 Operating and maintenance expenses 97.1 52.5 16.0 165.6 - 165.6 Depreciation expense 62.3 29.3 8.7 100.3 - 100.3 General and administrative expenses 4.4 2.2 0.4 7.0 3.9 10.9 Income from equity investments - 6.4 - 6.4 - 6.4 Interest expense, net - - - - 98.2 98.2 Income tax expense - - - - 30.3 30.3 Adjusted EBITDA 282.1 230.3 42.5 554.9 Capital expenditures 101.2 6.6 0.1 107.9 Gathering Processing and Storage Terminaling and Export Total Reportable Segments Interest and Other Consolidated (in millions) For the Six Months Ended June 30, 2023 Revenues and other income $ 339.2 $ 237.2 $ 52.6 $ 629.0 $ - $ 629.0 Operating and maintenance expenses 82.2 44.0 9.4 135.6 - 135.6 Depreciation expense 57.0 29.0 8.4 94.4 - 94.4 General and administrative expenses 4.9 2.3 0.5 7.7 4.5 12.2 Income from equity investments - 3.3 - 3.3 - 3.3 Interest expense, net - - - - 85.4 85.4 Income tax expense - - - - 14.6 14.6 Adjusted EBITDA 252.1 194.2 42.7 489.0 Capital expenditures 95.8 3.6 10.0 109.4 |
Reconciliation of Reportable Segment Adjusted EBITDA to Income Before Income Tax Expense | The following table presents a reconciliation of reportable segment Adjusted EBITDA to income before income tax expense: Three Months Ended June 30, Six Months Ended June 30, (in millions) 2024 2023 2024 2023 Reconciliation of reportable segment Adjusted Total reportable segment Adjusted EBITDA $ 278.2 $ 248.8 $ 554.9 $ 489.0 Less: Depreciation expense 50.5 47.0 100.3 94.4 Unallocated general and administrative expenses 1.7 2.0 3.9 4.5 Interest expense, net 49.7 43.8 98.2 85.4 Income before income tax expense $ 176.3 $ 156.0 $ 352.5 $ 304.7 |
Total Assets for Reportable Segments | Total assets for the reportable segments are as follows: June 30, 2024 December 31, 2023 (in millions) Gathering $ 2,167.3 $ 2,138.6 Processing and Storage (1) 1,018.7 1,048.4 Terminaling and Export 255.4 264.4 Interest and Other 608.7 338.1 Total assets $ 4,050.1 $ 3,789.5 (1) Includes investment in equity investees of $ 89.2 million as of June 30, 2024 an d $ 90.2 million as of December 31, 2023 . |
Basis of Presentation - Additio
Basis of Presentation - Additional Information (Detail) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2024 | Dec. 31, 2023 | |
Hess Corporation and GIP II Blue Holding, L.P. | ||
Accounting Policies [Line Items] | ||
Noncontrolling interest percentage | 58.60% | 69.80% |
Equity Transactions - Additiona
Equity Transactions - Additional Information (Detail) - USD ($) | 6 Months Ended | ||||||||||
Jun. 30, 2024 | Jun. 24, 2024 | May 31, 2024 | Mar. 11, 2024 | Feb. 08, 2024 | Jun. 26, 2023 | May 19, 2023 | Mar. 27, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | |
Class of Stock [Line Items] | |||||||||||
Costs incurred to repurchase shares were charged to equity | $ 1,500,000 | $ 1,800,000 | |||||||||
Sponsors | |||||||||||
Class of Stock [Line Items] | |||||||||||
Equity offering transaction | 12,765,000 | ||||||||||
Shares issued, price per share | $ 27 | ||||||||||
Maximum | Sponsors | |||||||||||
Class of Stock [Line Items] | |||||||||||
Underwriters’ option to purchase additional shares | 1,665,000 | ||||||||||
5.500% Fixed Rate Senior Unsecured Notes due 2030 | |||||||||||
Class of Stock [Line Items] | |||||||||||
Fixed-rate senior notes | $ 400,000,000 | 400,000,000 | |||||||||
Class A Shares | |||||||||||
Class of Stock [Line Items] | |||||||||||
Proceeds from Issuance of public equity offering | 0 | ||||||||||
Additions to deferred tax asset | 207,400,000 | 207,400,000 | 91,500,000 | ||||||||
Net proceeds received by sponsors from public equity offering | $ 333,400,000 | ||||||||||
Increase (decrease) common unitholders | 464,500,000 | 464,500,000 | $ 340,200,000 | ||||||||
Class A Shares | GIP | |||||||||||
Class of Stock [Line Items] | |||||||||||
Equity offering transaction | 10,000,000 | 11,500,000 | |||||||||
Shares issued, price per share | $ 34.025 | $ 32.83 | |||||||||
Net proceeds from offering | $ 391,300,000 | $ 377,500,000 | |||||||||
Class A Shares | GIP | Maximum | |||||||||||
Class of Stock [Line Items] | |||||||||||
Underwriters’ option to purchase additional shares | 1,500,000 | 1,500,000 | |||||||||
Class A Shares | Equity Offering Transactions | |||||||||||
Class of Stock [Line Items] | |||||||||||
Increase (decrease) common unitholders | $ 2,500,000 | $ 2,500,000 | $ 11,000,000 | ||||||||
Class B Shares | |||||||||||
Class of Stock [Line Items] | |||||||||||
Repurchase of shares | 2,724,052 | 2,816,901 | 3,350,084 | 3,619,254 | |||||||
Value of shares repurchased | $ 100,000,000 | $ 100,000,000 | $ 100,000,000 | $ 100,000,000 | |||||||
Stock purchased price per share | $ 36.71 | $ 35.5 | $ 29.85 | $ 27.63 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | |
Related Party Transaction [Line Items] | |||||
Deferred revenue | $ 1.3 | $ 1.3 | $ 0 | ||
LM4 | |||||
Related Party Transaction [Line Items] | |||||
Percentage of ownership in joint venture | 50% | 50% | |||
Hess | Customer Concentration Risk | Revenue | |||||
Related Party Transaction [Line Items] | |||||
Revenues attributable to fee based commercial agreements | 98% | 100% | 98% | 100% | |
Hess | Amended and Restated Commercial Agreement | |||||
Related Party Transaction [Line Items] | |||||
Minimum volume commitments, Description | Minimum volume commitments (“MVCs”) are equal to 80% of Hess’ nominations in each development plan that apply on a three-year rolling basis such that MVCs are set for the three years following the most recent nomination. Without our consent, the MVCs resulting from the nominated volumes for any quarter or year contained in any prior development plan cannot be reduced by any updated development plan unless dedicated production is released by us. The applicable MVCs may, however, be increased as a result of the nominations contained in any such updated development plan. If Hess fails to deliver its applicable MVCs during any quarter, then Hess will pay us a shortfall fee equal to the volume of the deficiency multiplied by the applicable fee. | ||||
Minimum volume commitments expressed as percentage of related party nominations in development plans | 80% | ||||
Initial term of agreement | 10 years | ||||
Agreement description | each of our commercial agreements with Hess has an initial 10-year term effective January 1, 2014 (“Initial Term”). | ||||
Inflation escalator capped rate | 3% | ||||
Number of rights to extend the term of agreement | one | ||||
Advance period to call for extension of term of agreement | 3 years | ||||
Secondary term of agreement | 10 years | ||||
Hess | Amended and Restated Agreement for Certain Gas Gathering Sub-system | |||||
Related Party Transaction [Line Items] | |||||
Initial term of agreement | 15 years | ||||
Agreement description | For this gathering sub-system, the Initial Term is 15 years effective January 1, 2014 and for the water services agreements the Initial Term is 14 years effective January 1, 2019. | ||||
Secondary term of agreement | 5 years | ||||
Renew terms of agreement description | Upon the expiration of the Secondary Term, if any, the agreements will automatically renew for subsequent one-year periods unless terminated by either party no later than 180 days prior to the end of the applicable Secondary Term. | ||||
Hess | Amended and Restated Water Services Agreements | |||||
Related Party Transaction [Line Items] | |||||
Initial term of agreement | 14 years | ||||
Secondary term of agreement | 10 years | ||||
Hess | Terminal and Export Services Agreement | |||||
Related Party Transaction [Line Items] | |||||
Commercial agreement period | 20 years | ||||
Hess | Commercial Agreements Other Than Storage Services Agreement and Terminal and Export Services Agreement | |||||
Related Party Transaction [Line Items] | |||||
Minimum volume commitments, Description | During the Secondary Term, MVCs continue to be set at 80% of Hess’ nominated volumes in each development plan set three years in advance. Except for the crude oil terminaling and water handling services, Hess is entitled to receive a credit, calculated in barrels or Mcf, as applicable, with respect to the amount of any shortfall fee paid by Hess and may apply such credit against any volumes delivered to us under the applicable agreement in excess of Hess’s nominated volumes during any of the following four quarters after such credit is earned, after which time any unused credits will expire. The shortfall amounts received under MVCs during the Secondary Term (except for the crude oil terminaling and water handling services) are recorded as deferred revenue and recognized as revenue as the credits are utilized or expire. At June 30, 2024, deferred revenue included in Accrued liabilities in the accompanying consolidated balance sheet was $1.3 million (December 31, 2023: none).Revenues attributable to our fee‑based commercial agreements with Hess, including revenues from third‑party volumes contracted with Hess and delivered to us under these agreements, | ||||
Minimum volume commitments expressed as percentage of related party nominations in development plans | 80% | ||||
Maximum consumer price index percentage | 3% | ||||
Fee recalculation model description | the fee recalculation model under each applicable agreement is replaced by an inflation-based fee structure. The initial fee for the first year of the Secondary Term is determined based on the average fees paid by Hess under the applicable agreement during the last three years of the Initial Term (with such fees adjusted for inflation through the first year of the Secondary Term). For each year following the first year of the Secondary Term, the applicable fee will be adjusted annually based on the percentage change in the consumer price index, provided that we may not increase any fee by more than 3% in any calendar year solely by reason of an increase in the consumer price index, and no fee will ever be reduced below the amount of the applicable fee payable by Hess in the prior year as a result of a decrease in the consumer price index. | ||||
Targa Resources Corp. | LM4 | |||||
Related Party Transaction [Line Items] | |||||
Percentage of ownership in joint venture | 50% | 50% |
Related Party Transactions - Su
Related Party Transactions - Summary of Revenues From Contracts With Customers Including Affiliated Services and Third-party Services on Disaggregated Basis (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Disaggregation Of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | $ 364.6 | $ 323.5 | $ 719.3 | $ 627.8 |
Other income | 0.9 | 0.5 | 1.8 | 1.2 |
Total revenues | 365.5 | 324 | 721.1 | 629 |
Affiliate | ||||
Disaggregation Of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 358.5 | 321.9 | 707.9 | 625.3 |
Third Party | ||||
Disaggregation Of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 6.1 | 1.6 | 11.4 | 2.5 |
Oil and Gas Gathering Services | Affiliate | ||||
Disaggregation Of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 165.3 | 152.7 | 324.6 | 297.3 |
Processing and Storage Services | Affiliate | ||||
Disaggregation Of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 135.2 | 121.6 | 270.6 | 235.4 |
Terminaling and Export Services | Affiliate | ||||
Disaggregation Of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | 29.6 | 26.2 | 57 | 51.4 |
Water Gathering and Disposal Services | Affiliate | ||||
Disaggregation Of Revenue [Line Items] | ||||
Revenue from contract with customer including assessed tax | $ 28.4 | $ 21.4 | $ 55.7 | $ 41.2 |
Related Party Transactions - _2
Related Party Transactions - Summary of Third-party Pass-through Costs for Which Revenues in Amount Equal to Costs are Recognized (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Related Party Transaction [Line Items] | ||||
Reimbursement revenue | $ 364.6 | $ 323.5 | $ 719.3 | $ 627.8 |
Hess | ||||
Related Party Transaction [Line Items] | ||||
Total | 23.1 | 18.6 | 46.3 | 36.1 |
Hess | Electricity and Other Related Fees | ||||
Related Party Transaction [Line Items] | ||||
Reimbursement revenue | 13.6 | 11.5 | 27 | 22.5 |
Hess | Produced Water Trucking and Disposal Costs | ||||
Related Party Transaction [Line Items] | ||||
Reimbursement revenue | $ 9.5 | 8.7 | $ 19.3 | 17 |
Hess | Rail Transportation Costs | ||||
Related Party Transaction [Line Items] | ||||
Reimbursement revenue | $ (1.6) | $ (3.4) |
Related Party Transactions - _3
Related Party Transactions - Summary of Classification of Charges between Operating and Maintenance Expenses and General and Administrative Expenses (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Related Party Transaction [Line Items] | ||||
Operating and maintenance expenses | $ 87.5 | $ 73.1 | $ 165.6 | $ 135.6 |
Hess | ||||
Related Party Transaction [Line Items] | ||||
Operating and maintenance expenses | $ 20.5 | $ 19.5 | $ 39.6 | $ 37.4 |
Operating Cost and Expense, Related Party [Extensible Enumeration] | us-gaap:RelatedPartyMember | us-gaap:RelatedPartyMember | us-gaap:RelatedPartyMember | us-gaap:RelatedPartyMember |
General and administrative expenses | $ 3.5 | $ 3.8 | $ 7 | $ 7.7 |
Selling, General, and Administrative Expenses, Related Party [Extensible Enumeration] | us-gaap:RelatedPartyMember | us-gaap:RelatedPartyMember | us-gaap:RelatedPartyMember | us-gaap:RelatedPartyMember |
Total | $ 24 | $ 23.3 | $ 46.6 | $ 45.1 |
Related Party Transactions - _4
Related Party Transactions - Summary of Activity Related to Agreements with Related Party (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Related Party Transaction [Line Items] | ||||
Processing fee incurred | $ 87.5 | $ 73.1 | $ 165.6 | $ 135.6 |
Earnings from equity investments | 3.7 | 1.7 | 6.4 | 3.3 |
Distributions received from equity investments | 7.4 | 4.4 | ||
LM4 | ||||
Related Party Transaction [Line Items] | ||||
Processing fee incurred | $ 8.6 | $ 5.8 | $ 15.4 | $ 10.8 |
Operating Cost and Expense, Related Party [Extensible Enumeration] | us-gaap:RelatedPartyMember | us-gaap:RelatedPartyMember | us-gaap:RelatedPartyMember | us-gaap:RelatedPartyMember |
Earnings from equity investments | $ 3.7 | $ 1.7 | $ 6.4 | $ 3.3 |
Distributions received from equity investments | $ 3.9 | $ 1.8 | $ 7.4 | $ 4.4 |
Property, Plant and Equipment -
Property, Plant and Equipment - Components of Property, Plant and Equipment (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Property Plant And Equipment [Line Items] | ||
Total property, plant and equipment, at cost | $ 4,926.7 | $ 4,818.7 |
Accumulated depreciation | (1,689.4) | (1,589.5) |
Property, plant and equipment, net | 3,237.3 | 3,229.2 |
Logistics Facilities and Railcars | ||
Property Plant And Equipment [Line Items] | ||
Total property, plant and equipment, at cost | $ 409.2 | 409.2 |
Logistics Facilities and Railcars | Minimum | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, Estimated useful life | 20 years | |
Logistics Facilities and Railcars | Maximum | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, Estimated useful life | 25 years | |
Storage Facilities | ||
Property Plant And Equipment [Line Items] | ||
Total property, plant and equipment, at cost | $ 19.9 | 19.9 |
Storage Facilities | Minimum | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, Estimated useful life | 20 years | |
Storage Facilities | Maximum | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, Estimated useful life | 25 years | |
Other | ||
Property Plant And Equipment [Line Items] | ||
Total property, plant and equipment, at cost | $ 28.2 | 28 |
Other | Minimum | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, Estimated useful life | 20 years | |
Other | Maximum | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, Estimated useful life | 25 years | |
Construction-In-Progress | ||
Property Plant And Equipment [Line Items] | ||
Total property, plant and equipment, at cost | $ 134.6 | 136.3 |
Gathering Assets | Pipelines | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, Estimated useful life | 22 years | |
Total property, plant and equipment, at cost | $ 1,740.8 | 1,703.7 |
Gathering Assets | Compressors, Pumping Stations and Terminals | ||
Property Plant And Equipment [Line Items] | ||
Total property, plant and equipment, at cost | $ 1,091.1 | 1,026.4 |
Gathering Assets | Compressors, Pumping Stations and Terminals | Minimum | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, Estimated useful life | 22 years | |
Gathering Assets | Compressors, Pumping Stations and Terminals | Maximum | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, Estimated useful life | 25 years | |
Gas Plant Assets | Pipelines, Pipes and Valves | ||
Property Plant And Equipment [Line Items] | ||
Total property, plant and equipment, at cost | $ 460 | 460 |
Gas Plant Assets | Pipelines, Pipes and Valves | Minimum | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, Estimated useful life | 22 years | |
Gas Plant Assets | Pipelines, Pipes and Valves | Maximum | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, Estimated useful life | 25 years | |
Gas Plant Assets | Equipment | ||
Property Plant And Equipment [Line Items] | ||
Total property, plant and equipment, at cost | $ 428.2 | 428.2 |
Gas Plant Assets | Equipment | Minimum | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, Estimated useful life | 12 years | |
Gas Plant Assets | Equipment | Maximum | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, Estimated useful life | 30 years | |
Gas Plant Assets | Processing and Fractionation Facilities | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, Estimated useful life | 25 years | |
Total property, plant and equipment, at cost | $ 432.4 | 424.7 |
Gas Plant Assets | Buildings | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, Estimated useful life | 35 years | |
Total property, plant and equipment, at cost | $ 182.3 | $ 182.3 |
Accrued Liabilities - Schedule
Accrued Liabilities - Schedule of Accrued Liabilities (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Accrued Liabilities, Current [Abstract] | ||
Accrued capital expenditures | $ 40.4 | $ 42.9 |
Accrued interest | 18.9 | 35.8 |
Other accruals | 28.8 | 27.2 |
Total | $ 88.1 | $ 105.9 |
Debt and Interest Expense - Add
Debt and Interest Expense - Additional Information (Detail) - USD ($) | 6 Months Ended | |
May 16, 2024 | Jun. 30, 2024 | |
Debt Instrument [Line Items] | ||
Debt covenant, leverage ratio | 550% | |
Ratio of debt to EBITDA | 500% | |
Secured leverage ratio - Maximum | 400% | |
Debt instrument covenant, description | The Credit Facilities contain representations and warranties, affirmative and negative covenants and events of default that the Partnership considers to be customary for an agreement of this type, including a covenant that requires the Partnership to maintain a ratio of total debt to EBITDA (as defined in the Credit Facilities) for the prior four fiscal quarters of not greater than 5.00 to 1.00 as of the last day of each fiscal quarter (5.50 to 1.00 during the specified period following certain acquisitions) and, prior to the Partnership obtaining an investment grade credit rating, a ratio of secured debt to EBITDA for the prior four fiscal quarters of not greater than 4.00 to 1.00 as of the last day of each fiscal quarter. | |
Carrying Value | ||
Debt Instrument [Line Items] | ||
Total debt | $ 3,460,300,000 | |
Level 2 | ||
Debt Instrument [Line Items] | ||
Total debt fair value | $ 3,397,800,000 | |
Credit Facility | ||
Debt Instrument [Line Items] | ||
Credit facility - maturity year | 2027 | |
Maximum borrowing capacity | $ 1,400,000,000 | |
Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
Credit facility - Term | 5 years | |
Maximum borrowing capacity | $ 1,000,000,000 | |
Borrowings | $ 0 | |
Revolving Credit Facility | Minimum | ||
Debt Instrument [Line Items] | ||
Interest rate applicable margin | 1.375% | |
Revolving Credit Facility | Maximum | ||
Debt Instrument [Line Items] | ||
Interest rate applicable margin | 2.05% | |
Term Loan A Facility | ||
Debt Instrument [Line Items] | ||
Credit facility - Term | 5 years | |
Maximum borrowing capacity | $ 400,000,000 | |
Borrowings | $ 392,500,000 | |
Term Loan A Facility | Minimum | ||
Debt Instrument [Line Items] | ||
Interest rate applicable margin | 1.65% | |
Term Loan A Facility | Maximum | ||
Debt Instrument [Line Items] | ||
Interest rate applicable margin | 2.55% | |
Fixed-Rate Senior Unsecured Notes | ||
Debt Instrument [Line Items] | ||
Debt covenant, leverage ratio | 425% | |
6.500% Fixed Rate Senior Unsecured Notes due 2029 | ||
Debt Instrument [Line Items] | ||
Aggregate principal amount of fixed-rate senior notes | $ 600,000,000 | $ 600,000,000 |
6.500% Fixed Rate Senior Unsecured Notes due 2029 | Fixed-Rate Senior Unsecured Notes | ||
Debt Instrument [Line Items] | ||
Debt instrument interest rate | 6.50% | 6.50% |
Debt instrument due year | 2029 | 2029 |
Frequency of periodic interest payment | semi‑annually | semi‑annually |
Interest payment terms | Interest is payable semi‑annually on June 1 and December 1, commencing December 1, 2024. | Interest is payable semi‑annually on June 1 and December 1. |
5.500% Fixed Rate Senior Unsecured Notes due 2030 | ||
Debt Instrument [Line Items] | ||
Aggregate principal amount of fixed-rate senior notes | $ 400,000,000 | |
5.500% Fixed Rate Senior Unsecured Notes due 2030 | Fixed-Rate Senior Unsecured Notes | ||
Debt Instrument [Line Items] | ||
Debt instrument interest rate | 5.50% | |
Debt instrument due year | 2030 | |
Frequency of periodic interest payment | semi‑annually | |
Interest payment terms | Interest is payable semi‑annually on April 15 and October 15. | |
4.250% Fixed Rate Senior Unsecured Notes due 2030 | ||
Debt Instrument [Line Items] | ||
Aggregate principal amount of fixed-rate senior notes | $ 750,000,000 | |
4.250% Fixed Rate Senior Unsecured Notes due 2030 | Fixed-Rate Senior Unsecured Notes | ||
Debt Instrument [Line Items] | ||
Debt instrument interest rate | 4.25% | |
Debt instrument due year | 2030 | |
Frequency of periodic interest payment | semi‑annually | |
Interest payment terms | Interest is payable semi‑annually on February 15 and August 15. | |
5.625% Fixed Rate Senior Unsecured Notes due 2026 | ||
Debt Instrument [Line Items] | ||
Aggregate principal amount of fixed-rate senior notes | $ 800,000,000 | |
5.625% Fixed Rate Senior Unsecured Notes due 2026 | Fixed-Rate Senior Unsecured Notes | ||
Debt Instrument [Line Items] | ||
Debt instrument interest rate | 5.625% | |
Debt instrument due year | 2026 | |
Frequency of periodic interest payment | semi‑annually | |
Interest payment terms | Interest is payable semi‑annually on February 15 and August 15. | |
5.125% Fixed Rate Senior Unsecured Notes due 2028 | ||
Debt Instrument [Line Items] | ||
Aggregate principal amount of fixed-rate senior notes | $ 550,000,000 | |
5.125% Fixed Rate Senior Unsecured Notes due 2028 | Fixed-Rate Senior Unsecured Notes | ||
Debt Instrument [Line Items] | ||
Debt instrument interest rate | 5.125% | |
Debt instrument due year | 2028 | |
Frequency of periodic interest payment | semi‑annually | |
Interest payment terms | Interest is payable semi‑annually on June 15 and December 15. |
Partners' Capital and Distrib_3
Partners' Capital and Distributions - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2024 | |
Partners' Capital Notes [Abstract] | |
Period of cash distribution to shareholders | 45 days |
Partners' Capital and Distrib_4
Partners' Capital and Distributions - Schedule of Distributions Declared and Paid (Detail) | 6 Months Ended | |
Jun. 30, 2024 $ / shares | ||
First Quarter 2023 | ||
Distribution Made To Limited Partner [Line Items] | ||
Record Date | May 04, 2023 | |
Distribution Date | May 12, 2023 | |
Distribution per Class A Share | $ 0.5851 | |
Second Quarter 2023 | ||
Distribution Made To Limited Partner [Line Items] | ||
Record Date | Aug. 03, 2023 | |
Distribution Date | Aug. 14, 2023 | |
Distribution per Class A Share | $ 0.6011 | |
Third Quarter 2023 | ||
Distribution Made To Limited Partner [Line Items] | ||
Record Date | Nov. 02, 2023 | |
Distribution Date | Nov. 14, 2023 | |
Distribution per Class A Share | $ 0.6175 | |
Fourth Quarter 2023 | ||
Distribution Made To Limited Partner [Line Items] | ||
Record Date | Feb. 08, 2024 | |
Distribution Date | Feb. 14, 2024 | |
Distribution per Class A Share | $ 0.6343 | |
First Quarter 2024 | ||
Distribution Made To Limited Partner [Line Items] | ||
Record Date | May 02, 2024 | |
Distribution Date | May 14, 2024 | |
Distribution per Class A Share | $ 0.6516 | |
Second Quarter 2024 | ||
Distribution Made To Limited Partner [Line Items] | ||
Record Date | Aug. 08, 2024 | [1] |
Distribution Date | Aug. 14, 2024 | [1] |
Distribution per Class A Share | $ 0.6677 | [1] |
[1] For more information, see Note 12, Subsequent Events. |
Earnings per Share - Additional
Earnings per Share - Additional Information (Detail) - Class A Shares - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Dilutive Restricted Shares | ||||
Limited Partners Capital Account [Line Items] | ||||
Weighted average number shares | 17,859 | 19,640 | 29,143 | 40,103 |
Hess and GIP | ||||
Limited Partners Capital Account [Line Items] | ||||
Conversion of Class B units and Class B shares into Class A shares | 100% |
Earnings per Share - Schedule o
Earnings per Share - Schedule of Earnings per Share (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2024 | Mar. 31, 2024 | Jun. 30, 2023 | Mar. 31, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Limited Partners Capital Account [Line Items] | ||||||
Net income | $ 160.3 | $ 161.9 | $ 147.9 | $ 142.2 | $ 322.2 | $ 290.1 |
Less: Net income attributable to noncontrolling interest | 110.8 | 122.8 | 228.1 | 244.3 | ||
Net income attributable to Hess Midstream LP | $ 49.5 | $ 25.1 | $ 94.1 | $ 45.8 | ||
Class A Shares | ||||||
Net income attributable to Hess Midstream LP per Class A share: | ||||||
Net income attributable to Hess Midstream LP per Class A share, Basic | $ 0.59 | $ 0.5 | $ 1.19 | $ 0.97 | ||
Net income attributable to Hess Midstream LP per Class A share, Diluted | $ 0.59 | $ 0.5 | $ 1.19 | $ 0.97 | ||
Weighted average Class A shares outstanding | ||||||
Weighted average Class A shares outstanding, Basic | 83.8 | 50.1 | 79.5 | 47.1 | ||
Weighted average Class A shares outstanding, Diluted | 83.8 | 50.2 | 79.5 | 47.1 |
Concentration of Credit Risk -
Concentration of Credit Risk - Additional Information (Detail) - Customer Concentration Risk - Customers | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Accounts Receivable | ||||
Concentration Risk [Line Items] | ||||
Concentration risk, percentage | 97% | 100% | ||
Revenue | ||||
Concentration Risk [Line Items] | ||||
Concentration risk, percentage | 98% | 100% | 98% | 100% |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) | 6 Months Ended | ||
Jan. 11, 2024 USD ($) | Jun. 30, 2024 USD ($) Barrels | Dec. 31, 2023 USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |||
No of produced water released | Barrels | 34,000 | ||
Estimated remediation liabilities included in accrued liabilities | $ 2,200,000 | $ 1,700,000 | |
Environmental Loss Contingency, Current, Statement of Financial Position [Extensible Enumeration] | Accrued Liabilities, Current | Accrued Liabilities, Current | |
Estimated remediation liabilities included in other noncurrent liabilities | $ 3,300,000 | $ 5,300,000 | |
Environmental Loss Contingency, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other Liabilities, Noncurrent | Other Liabilities, Noncurrent | |
Accrued liabilities for legal contingencies | $ 0 | $ 0 | |
Administrative penalty | $ 400,000 |
Segments - Additional Informati
Segments - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2024 Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 3 |
Segments - Financial Data for E
Segments - Financial Data for Each Reportable Segment (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Segment Reporting Information [Line Items] | ||||
Revenues and other income | $ 365.5 | $ 324 | $ 721.1 | $ 629 |
Operating and maintenance expenses (exclusive of depreciation shown separately below) | 87.5 | 73.1 | 165.6 | 135.6 |
Depreciation expense | 50.5 | 47 | 100.3 | 94.4 |
General and administrative expenses | 5.2 | 5.8 | 10.9 | 12.2 |
Income from equity investments | 3.7 | 1.7 | 6.4 | 3.3 |
Interest expense, net | 49.7 | 43.8 | 98.2 | 85.4 |
Income tax expense | 16 | 8.1 | 30.3 | 14.6 |
Adjusted EBITDA | 278.2 | 248.8 | 554.9 | 489 |
Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenues and other income | 365.5 | 324 | 721.1 | 629 |
Operating and maintenance expenses (exclusive of depreciation shown separately below) | 87.5 | 73.1 | 165.6 | 135.6 |
Depreciation expense | 50.5 | 47 | 100.3 | 94.4 |
General and administrative expenses | 3.5 | 3.8 | 7 | 7.7 |
Income from equity investments | 3.7 | 1.7 | 6.4 | 3.3 |
Adjusted EBITDA | 278.2 | 248.8 | 554.9 | 489 |
Capital expenditures | 72.7 | 52.1 | 107.9 | 109.4 |
Interest and Other | ||||
Segment Reporting Information [Line Items] | ||||
General and administrative expenses | 1.7 | 2 | 3.9 | 4.5 |
Interest expense, net | 49.7 | 43.8 | 98.2 | 85.4 |
Income tax expense | 16 | 8.1 | 30.3 | 14.6 |
Gathering Opco | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenues and other income | 195.5 | 174.5 | 383.6 | 339.2 |
Operating and maintenance expenses (exclusive of depreciation shown separately below) | 50.8 | 43.8 | 97.1 | 82.2 |
Depreciation expense | 31.5 | 28.2 | 62.3 | 57 |
General and administrative expenses | 2.3 | 2.5 | 4.4 | 4.9 |
Adjusted EBITDA | 142.4 | 128.2 | 282.1 | 252.1 |
Capital expenditures | 69.5 | 46.4 | 101.2 | 95.8 |
Processing and Storage | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenues and other income | 139.5 | 122.8 | 278.6 | 237.2 |
Operating and maintenance expenses (exclusive of depreciation shown separately below) | 27.3 | 23.8 | 52.5 | 44 |
Depreciation expense | 14.6 | 14.5 | 29.3 | 29 |
General and administrative expenses | 1 | 1.1 | 2.2 | 2.3 |
Income from equity investments | 3.7 | 1.7 | 6.4 | 3.3 |
Adjusted EBITDA | 114.9 | 99.6 | 230.3 | 194.2 |
Capital expenditures | 3.2 | 2.7 | 6.6 | 3.6 |
Terminaling and Export | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenues and other income | 30.5 | 26.7 | 58.9 | 52.6 |
Operating and maintenance expenses (exclusive of depreciation shown separately below) | 9.4 | 5.5 | 16 | 9.4 |
Depreciation expense | 4.4 | 4.3 | 8.7 | 8.4 |
General and administrative expenses | 0.2 | 0.2 | 0.4 | 0.5 |
Adjusted EBITDA | $ 20.9 | 21 | 42.5 | 42.7 |
Capital expenditures | $ 3 | $ 0.1 | $ 10 |
Segments - Reconciliation of Re
Segments - Reconciliation of Reportable Segment Adjusted EBITDA to Income Before Income Tax Expense (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Reconciliation of reportable segment Adjusted EBITDA to income before income tax expense: | ||||
Total reportable segment Adjusted EBITDA | $ 278.2 | $ 248.8 | $ 554.9 | $ 489 |
Less: | ||||
Depreciation expense | 50.5 | 47 | 100.3 | 94.4 |
Unallocated general and administrative expenses | 1.7 | 2 | 3.9 | 4.5 |
Interest expense, net | 49.7 | 43.8 | 98.2 | 85.4 |
Income before income tax expense | $ 176.3 | $ 156 | $ 352.5 | $ 304.7 |
Segments - Total Assets for Rep
Segments - Total Assets for Reportable Segments (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 | |
Segment Reporting Information [Line Items] | |||
Total assets | $ 4,050.1 | $ 3,789.5 | |
Interest and Other | |||
Segment Reporting Information [Line Items] | |||
Total assets | 608.7 | 338.1 | |
Gathering Opco | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Total assets | 2,167.3 | 2,138.6 | |
Processing and Storage | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Total assets | [1] | 1,018.7 | 1,048.4 |
Terminaling and Export | Operating Segments | |||
Segment Reporting Information [Line Items] | |||
Total assets | $ 255.4 | $ 264.4 | |
[1] Includes investment in equity investees of $ 89.2 million as of June 30, 2024 an d $ 90.2 million as of December 31, 2023 . |
Segments - Total Assets for R_2
Segments - Total Assets for Reportable Segments (Parenthetical) (Detail) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2024 | Dec. 31, 2023 | |
Processing and Storage | ||
Segment Reporting Information [Line Items] | ||
Cash contributed to acquire equity investments | $ 89.2 | $ 90.2 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - $ / shares | 3 Months Ended | ||||
Jul. 29, 2024 | Jun. 30, 2024 | Mar. 31, 2024 | Jun. 30, 2023 | Mar. 31, 2023 | |
Subsequent Event [Line Items] | |||||
Distributions to unitholders - per unit/share | $ 0.6516 | $ 0.6343 | $ 0.5851 | $ 0.5696 | |
Subsequent Event | |||||
Subsequent Event [Line Items] | |||||
Distributions to unitholders decalred date | Jul. 29, 2024 | ||||
Distribution payable date | Aug. 14, 2024 | ||||
Distributions to unitholders record date | Aug. 08, 2024 | ||||
Subsequent Event | Class A Shares | |||||
Subsequent Event [Line Items] | |||||
Distribution made to limited partner increase from prior quarter declared | $ 0.0161 | ||||
Quarterly cash distribution declared per share | 0.6677 | ||||
Subsequent Event | Class B Shares | |||||
Subsequent Event [Line Items] | |||||
Quarterly cash distribution declared per share | $ 0.6677 |