Variable Interest Entities

6 Months Ended

Jun. 30, 2025

Variable Interest Entity Disclosures [Abstract]

Variable Interest Entities [Text Block]

Note 2 – Variable Interest Entities

Consolidated VIEs

As of June 30, 2025, Williams consolidated the following VIEs:

Northeast JV

Williams owns a 65 percent interest in the Northeast JV, a subsidiary that is a VIE due to certain voting rights being disproportionate to the obligation to absorb losses and substantially all of the Northeast JV’s activities being performed on Williams’ behalf. Williams is the primary beneficiary because it has the power to direct the activities that most significantly impact the Northeast JV’s economic performance. The Northeast JV provides midstream services for producers in the Marcellus Shale and Utica Shale regions. Future expansion activity is expected to be funded with capital contributions from Williams and the other equity partner on a proportional basis.

Gulfstar One

Williams owns a 51 percent interest in Gulfstar One, a subsidiary that, due to certain risk-sharing provisions in its customer contracts, is a VIE. Gulfstar One includes a proprietary floating-production system, Gulfstar FPS, and associated pipelines that provide production handling and gathering services in the eastern deepwater Gulf of America. Williams is the primary beneficiary because it has the power to direct the activities that most significantly impact Gulfstar One’s economic performance.

Cardinal

Williams owns a 66 percent interest in Cardinal, a subsidiary that provides gathering services for the Utica Shale region and is a VIE due to certain risks shared with customers. Williams is the primary beneficiary because it has the power to direct the activities that most significantly impact Cardinal’s economic performance. Future expansion activity is expected to be funded with capital contributions from Williams and the other equity partner on a proportional basis.

The following table presents amounts included in the Consolidated Balance Sheet that are only for the use or obligation of the consolidated VIEs:

	June 30,		December 31,
	2025		2024
	(Millions)
Assets (liabilities):
Cash and cash equivalents	$	72	$	15
Trade accounts and other receivables – net	178		178
Inventories	6		5
Other current assets and deferred charges	3		7
Property, plant, and equipment – net	4,846		4,896
Intangible assets – net	1,886		1,940
Regulatory assets, deferred charges, and other	24		27
Accounts payable	(73)		(57)
Other current liabilities	(37)		(29)
Regulatory liabilities, deferred income, and other	(266)		(263)

Nonconsolidated VIEs

Williams owns certain equity-method investments that are VIEs due primarily to its limited participating rights as a minority equity holder. Williams’ maximum exposure to loss is limited to the carrying value of these investments (included within Investments in the Consolidated Balance Sheet), which totaled $214 million at June 30, 2025.