Dispositions

6 Months Ended

Jun. 30, 2019

Discontinued Operations and Disposal Groups [Abstract]

Dispositions

Dispositions

United States Segment

In the second quarter of 2019, we entered into agreements to sell non-core, proved properties and classified these transactions as held for sale in the consolidated balance sheet at June 30, 2019, with total assets of $26 million and total liabilities of $7 million.

In the second quarter of 2018, we entered into separate agreements to sell non-core, non-operated conventional properties, primarily in the Gulf of Mexico. These transactions closed during the third quarter of 2018.

International Segment

In July 2019, we closed on the sale of our U.K. business (Marathon Oil U.K. LLC and Marathon Oil West of Shetlands Limited), which resulted in proceeds of approximately $95 million and reflects the assumption by RockRose Energy PLC (the buyer) of the U.K. business’ working capital and cash equivalent balances of approximately $345 million on December 31, 2018. The transaction has an effective date of January 1, 2019.

Our U.K. business was classified as held for sale in the consolidated balance sheets at June 30, 2019, with total assets of $1,049 million (including $125 million in cash restricted by escrow agreement terms with the balance transferring to buyer upon close) and total liabilities of $1,046 million, including asset retirement obligations of $966 million. For the second quarter of 2019 and 2018, we had approximately $22 million and $48 million, in income before income taxes relating to our U.K business. For the six months ended June 30, 2019 and 2018, we had approximately $37 million and $107 million, in income before income taxes relating to our U.K business.

In the second quarter of 2019, we closed on the sale of our 15% non-operated interest in the Atrush block in Kurdistan for proceeds of $63 million, before closing adjustments. This property was classified as held for sale in the consolidated balance sheet at December 31, 2018, with total assets of $58 million and total liabilities of $17 million.

In the first quarter of 2018, we closed on the sale of our subsidiary, Marathon Oil Libya Limited, which held our 16.33% non-operated interest in the Waha concessions in Libya, to a subsidiary of Total S.A. (Elf Aquitaine SAS) for proceeds of approximately $450 million, excluding closing adjustments, and recognized a pre-tax gain of $255 million.