Segment Information

12 Months Ended

Dec. 31, 2014

Segment Reporting [Abstract]

Segment Information

Segment Information

We have three reportable operating segments.  Each of these segments is organized and managed based upon both geographic location and the nature of the products and services it offers:

• North America E&P ("N.A. E&P") – explores for, produces and markets crude oil and condensate, NGLs and natural gas in North America;

• International E&P ("Int'l E&P") – explores for, produces and markets crude oil and condensate, NGLs and natural gas outside of North America and produces and markets products manufactured from natural gas, such as LNG and methanol, in E.G.; and

• Oil Sands Mining (“OSM”) – mines, extracts and transports bitumen from oil sands deposits in Alberta, Canada, and upgrades the bitumen to produce and market synthetic crude oil and vacuum gas oil.

Information regarding assets by segment is not presented because it is not reviewed by the chief operating decision maker (“CODM”).  Segment income represents income from continuing operations excluding certain items not allocated to segments, net of income taxes, attributable to the operating segments. Our corporate and operations support general and administrative costs are not allocated to the operating segments. These costs primarily consist of employment costs (including pension effects), professional services, facilities and other costs associated with corporate and operations support activities. Gains or losses on dispositions, certain impairments, unrealized gains or losses on crude oil derivative instruments, or other items that affect comparability (as determined by the CODM) also are not allocated to operating segments.

As discussed in Note 5, we closed the sale of our Angola assets in the first quarter of 2014 and our Norway business in the fourth quarter of 2014, and both are reflected as discontinued operations and excluded from the International E&P segment in all periods presented.

Year Ended December 31, 2014							Not Allocated
(In millions)	N.A. E&P		Int'l E&P		OSM		to Segments				Total
Sales and other operating revenues	$	5,770	$	1,410	$	1,556	$	—			$	8,736
Marketing revenues	1,839		219		52		—				2,110
Total revenues	7,609		1,629		1,608		—				10,846
Income from equity method investments	—		424		—		—				424
Net gain (loss) on disposal of assets and other income	23		57		4		(96		)	(c)	(12		)
Less:
Production expenses	891		386		969		—				2,246
Marketing costs	1,836		217		52		—				2,105
Exploration expenses	608		185		—		—				793
Depreciation, depletion and amortization	2,342		269		206		44				2,861
Impairments	23		—		—		109			(d)	132
Other expenses (a)	473		197		54		392			(e)	1,116
Taxes other than income	385		—		20		1				406
Net interest and other	—		—		—		238				238
Income tax provision (benefit)	381		288		76		(353		)		392
Segment income/Income from continuing operations	$	693	$	568	$	235	$	(527	)		$	969
Capital expenditures (b)	$	4,698	$	534	$	212	$	51			$	5,495

^(a)  Includes other operating expenses and general and administrative expenses.

^(b)  Includes accruals.

^(c)  Primarily related to the sale of non-core acreage from our North America E&P segment (see Note 5).

^(d)  Proved property impairments (see Note 14).

^(e)  Includes pension settlement loss of $99 million (see Note 19).

Year Ended December 31, 2013							Not Allocated
(In millions)	N.A. E&P		Int'l E&P		OSM		to Segments				Total
Sales and other operating revenues	$	5,068	$	2,654	$	1,576	$	(52	)	(c)	$	9,246
Marketing revenues	1,797		264		18		—				2,079
Total revenues	6,865		2,918		1,594		(52		)		11,325
Income from equity method investments	—		427		—		(4		)	(d)	423
Net gain (loss) on disposal of assets and other income	12		50		5		(32		)	(e)	35
Less:
Production expenses	797		359		1,000		—				2,156
Marketing costs	1,796		262		18		—				2,076
Exploration expenses	725		166		—		—				891
Depreciation, depletion and amortization	1,927		331		218		24				2,500
Impairments	41		—		—		55			(f)	96
Other expenses (a)	420		161		66		401			(g)	1,048
Taxes other than income	318		—		22		5				345
Net interest and other	—		—		—		278				278
Income tax provision (benefit)	324		1,358		69		(289		)		1,462
Segment income/Income from continuing operations	$	529	$	758	$	206	$	(562	)		$	931
Capital expenditures (b)	$	3,649	$	456	$	286	$	58			$	4,449

^(a)     Includes other operating expenses and general and administrative expenses.

^(b)    Includes accruals.

^(c)    Unrealized loss on crude oil derivative instruments (see Note 15).

^(d)    EGHoldings impairment (see Note 14).

^(e)    Related to the disposal of assets from our North America E&P segment (see Note 5).

^(f)    Proved property impairments (see Note 14).

^(g)    Includes pension settlement loss of $45 million (see Note 19).

Year Ended December 31, 2012							Not Allocated
(In millions)	N.A. E&P		Int'l E&P		OSM		to Segments				Total
Sales and other operating revenues	$	3,944	$	3,719	$	1,521	$	53		(c)	$	9,237
Marketing revenues	2,451		248		30		—				2,729
Total revenues	6,395		3,967		1,551		53				11,966
Income from equity method investments	2		368		—		—				370
Net gain (loss) on disposal of assets and other income	11		21		4		114			(d)	150
Less:
Production expenses	706		377		996		—				2,079
Marketing costs	2,444		259		31		—				2,734
Exploration expenses	588		97		—		—				685
Depreciation, depletion and amortization	1,428		318		217		45				2,008
Impairments	11		—		—		360			(e)	371
Other expenses (a)	400		116		60		464			(f)	1,040
Taxes other than income	226		—		22		(5		)		243
Net interest and other	—		—		—		222				222
Income tax provision (benefit)	223		2,294		58		(327		)		2,248
Segment income/Income from continuing operations	$	382	$	895	$	171	$	(592	)		$	856
Capital expenditures (b)	$	3,988	$	235	$	188	$	115			$	4,526

^(a)     Includes other operating expenses and general and administrative expenses.

^(b)    Includes accruals.

^(c)    Unrealized gain on crude oil derivative instruments (see Note 15).

^(d)    Related to the disposal of assets from our North America E&P and International E&P segments (see Note 5).

^(e)    Proved property impairments (see Note 14).

^(f)    Includes pension settlement loss of $45 million (see Note 19).

Revenues from external customers are attributed to geographic areas based upon selling location. The following summarizes revenues from external customers by geographic area.

	Year Ended December 31,
(In millions)	2014		2013		2012
United States	$	7,609	$	6,813	$	6,448
Canada	1,608		1,594		1,551
Libya(a)	244		1,106		1,989
Other international	1,385		1,812		1,978
Total revenues	$	10,846	$	11,325	$	11,966

^(a)  See Note 12 for discussion of Libya operations.

In 2014, sales to Shell Oil and its affiliates accounted for approximately 10 percent of our total revenues. In 2013, Statoil, the purchaser of the majority of our Libyan crude oil, accounted for approximately 10 percent of our total revenues. In 2012, Statoil accounted for approximately 15 percent of our total revenues, while sales to Shell Oil and its affiliates accounted for approximately 12 percent of total revenues.

Revenues by product line were:

	Year Ended December 31,
(In millions)	2014		2013		2012
Crude oil and condensate	$	8,170	$	8,688	$	9,301
Natural gas liquids	371		313		201
Natural gas	693		693		835
Synthetic crude oil	1,525		1,542		1,409
Other	87		89		220
Total revenues	$	10,846	$	11,325	$	11,966

The following summarizes certain long-lived assets by geographic area, including property, plant and equipment and equity method investments.

	December 31,
(In millions)	2014		2013
United States	$	16,518	$	14,635
Canada	9,802		9,794
Norway (a)	—		977
Equatorial Guinea	1,949		1,977
Other international	1,884		1,963
Total long-lived assets	$	30,153	$	29,346

^(a)    Decrease in 2014 is due to the previously discussed sale of our Norway business.