Fair Value Measurements, Guarantees, and Concentration of Credit Risk (Tables)

12 Months Ended

Dec. 31, 2022

Fair Value Disclosures [Abstract]

Fair Value Assets and Liabilities Measured On Recurring Basis [Table Text Block]

The following table presents, by level within the fair value hierarchy, certain of our significant financial assets and liabilities. The carrying values of cash and cash equivalents, accounts receivable, accounts payable, and commercial paper approximate fair value because of the short-term nature of these instruments. Therefore, these assets and liabilities are not presented in the following table.

					Fair Value Measurements Using
	Carrying Amount		Fair Value		Quoted Prices In Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(Millions)
Assets (liabilities) at December 31, 2022:
Measured on a recurring basis:
ARO Trust investments	$	230	$	230	$	230	$	—	$	—
Commodity derivative assets (1)	166		166		20		132		14
Commodity derivative liabilities (1)	(810)		(810)		(22)		(718)		(70)
Other financial assets (liabilities) - net	(5)		(5)		—		(5)		—
Additional disclosures:
Long-term debt, including current portion	(22,554)		(21,569)		—		(21,569)		—
Guarantees	(38)		(25)		—		(9)		(16)
Assets (liabilities) at December 31, 2021:
Measured on a recurring basis:
ARO Trust investments	$	260	$	260	$	260	$	—	$	—
Commodity derivative assets (2)	84		84		2		81		1
Commodity derivative liabilities (2)	(488)		(488)		(69)		(403)		(16)
Other financial assets (liabilities) - net	(7)		(7)		—		(7)		—
Additional disclosures:
Long-term debt, including current portion	(23,675)		(27,768)		—		(27,768)		—
Guarantees	(39)		(26)		—		(10)		(16)

(1)Net commodity derivative assets and liabilities exclude $202 million of net cash collateral in Level 1.

(2)Net commodity derivative assets and liabilities exclude $296 million of net cash collateral in Level 1.

Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation

The following table presents a reconciliation of changes in fair value of our net commodity derivatives classified as Level 3 in the fair value hierarchy.

	Year Ended December 31,
	2022		2021
	(Millions)
Balance at beginning of period	$	(15)	$	(2)
Gains (losses) included in our Consolidated Statement of Income	(31)		(62)
Purchases, issuances, and settlements	(5)		13
Acquired derivatives (Note 3)	—		24
Transfers into Level 3	(24)		—
Transfers out of Level 3	19		12
Balance at end of period	$	(56)	$	(15)

Fair Value Measurements, Nonrecurring [Table Text Block]

The following table presents impairments of assets and equity-method investments associated with certain nonrecurring fair value measurements within Level 3 of the fair value hierarchy, except as specifically noted.

					Impairments
					Year Ended December 31,
	Segment	Date of Measurement	Fair Value		2022		2021		2020
			(Millions)
Impairment of certain assets:
Certain capitalized project costs (1)	Transmission & Gulf of Mexico	June 30, 2021	$	1			$	2
Certain capitalized project costs (1)	Transmission & Gulf of Mexico	December 31, 2020	42						$	170
Certain gathering assets (2)	Northeast G&P	December 31, 2020	5						12
Impairment of certain assets					$	—	$	2	$	182
Impairment of equity-method investments:
RMM (3)	West	December 31, 2020	$	421					$	108
RMM (4)	West	March 31, 2020	557						243
Brazos Permian II (4)	West	March 31, 2020	—						193
BRMH (5)	Northeast G&P	March 31, 2020	191						229
Appalachia Midstream Investments (5)	Northeast G&P	March 31, 2020	2,700						127
Aux Sable (5)	Northeast G&P	March 31, 2020	7						39
Laurel Mountain (5)	Northeast G&P	March 31, 2020	236						10
Discovery (5)	Transmission & Gulf of Mexico	March 31, 2020	367						97
Impairment of equity-method investments					$	—	$	—	$	1,046

______________

(1)Relates to capitalized project development costs for the Northeast Supply Enhancement project. Approvals required for the project from the New York State Department of Environmental Conservation and the New Jersey Department of Environmental Protection have been denied and we have not refiled at this time. Beginning in May 2020, we discontinued capitalization of costs related to this project. Considering that the customer precedent agreements and FERC certificate for the project remain in effect, we had previously concluded that the probability of completing the project was sufficient to not require impairment. However, developments in the political and regulatory environments caused us to slightly lower that assessed probability such that the capitalized project costs required impairment. The estimated fair value of the materials within the capitalized project costs at December 31, 2020 considered other internal uses and salvage values for the Property, plant, and equipment – net. The remaining capitalized costs were determined to have no fair value. The estimated fair value of certain capitalized project costs at June 30, 2021, was determined by a market approach, which incorporated an indication of interest by a third-party.

(2)Relates to a gathering system in the Marcellus Shale region, that was sold in 2021. The estimated fair value of the Property, plant, and equipment – net and Intangible assets – net of accumulated amortization was determined using a market approach, which incorporated an indication of interest by a third party. These inputs resulted in a fair value measurement within Level 2 of the fair value hierarchy.

(3)During the fourth quarter of 2020, RMM renegotiated service contracts with a significant customer in connection with the customer’s Chapter 11 bankruptcy proceedings. The renegotiated contracts result in lower service rates and lower projected future cash flows. As a result, we evaluated this investment for other-than-temporary impairment. The fair value was measured using an income approach. We utilized a discount rate of 18 percent in our analysis.

(4)Following the previously described declining market conditions during the first quarter of 2020, we evaluated these investments for other-than-temporary impairment. The fair value was measured using an income approach. Both investees operate in primarily oil-driven basins where significant expected reductions in producer activities led to reduced estimates of expected future cash flows. Our fair value estimates also reflected discount rates of approximately 17 percent for these investments. We also considered any debt held at the investee level, and its impact to fair value. The industry weighted-average discount rates utilized were significantly influenced by the market declines previously discussed.

(5)Following the previously described declining market conditions during the first quarter of 2020, we evaluated these investments for other-than-temporary impairment. The impairments within our Northeast G&P segment are primarily associated with operations in wet-gas areas where producer drilling activities are influenced by NGL prices which historically trend with crude oil prices. The fair values of our investments in BRMH and Aux Sable Liquid Products LP (Aux Sable) were estimated using a market approach, reflecting valuation multiples ranging from 5.0x to 6.2x EBITDA (weighted-average 6.0x). The fair values of the other investments, including gathering systems that are part of Appalachia Midstream Investments, were estimated using an income approach, with discount rates ranging from 9.7 percent to 13.5 percent (weighted-average 12.6 percent). We also considered any debt held at the investee level, and its impact to fair value. The assumed valuation multiples and industry weighted-average discount rates utilized were both significantly influenced by the market declines previously discussed.

Concentration of receivables, net of allowances, by product or service [Table Text Block]

The following table summarizes concentration of receivables, net of allowances:

	December 31,
	2022		2021
	(Millions)
NGLs, natural gas, and related products and services	$	505	$	486
Regulated interstate natural gas transportation and storage	311		274
Marketing of natural gas and NGLs	858		609
Upstream activities	97		82
Accounts Receivable related to revenues from contracts with customers	1,771		1,451
Receivables from derivatives	889		462
Other accounts receivable	63		65
Trade accounts and other receivables - net	$	2,723	$	1,978