Transactions with Affiliates (Tables)

12 Months Ended

Dec. 31, 2018

The tables below summarize the swap prices compared to the forward market prices:



	DJ Basin Complex
per barrel except natural gas	2016 - 2018 Swap Prices		2016 Market Prices⁽¹⁾		2017 Market Prices ⁽¹⁾		2018 Market Prices ⁽¹⁾
Ethane	$	18.41	$	0.60	$	5.09	$	5.41
Propane	47.08		10.98		18.85		28.72
Isobutane	62.09		17.23		26.83		32.92
Normal butane	54.62		16.86		26.20		32.71
Natural gasoline	72.88		26.15		41.84		48.04
Condensate	76.47		34.65		45.40		49.36
Natural gas (per MMBtu)	5.96		2.11		3.05		2.21

6. TRANSACTIONS WITH AFFILIATES (CONTINUED)



	Hugoton System ⁽²⁾
per barrel except natural gas	2016 Swap Prices		2016 Market Prices ⁽¹⁾
Condensate	$	78.61	$	18.81
Natural gas (per MMBtu)	5.50		2.12



	MGR Assets
per barrel except natural gas	2016 - 2018 Swap Prices		2017 Market Prices ⁽¹⁾		2018 Market Prices ⁽¹⁾
Ethane	$	23.11	$	4.08	$	2.52
Propane	52.90		19.24		25.83
Isobutane	73.89		25.79		30.03
Normal butane	64.93		25.16		29.82
Natural gasoline	81.68		45.01		47.25
Condensate	81.68		53.55		56.76
Natural gas (per MMBtu)	4.87		3.05		2.21


⁽¹⁾	Represents the New York Mercantile Exchange forward strip price as of December 8, 2015, December 1, 2016, and December 20, 2017, for the 2016 Market Prices, 2017 Market Prices and 2018 Market Prices, respectively, adjusted for product specification, location, basis and, in the case of NGLs, transportation and fractionation costs.


⁽²⁾	The Hugoton system was sold in October 2016. See Note 3.

Related Party Transactions Tables

The following table summarizes Anadarko’s contributions and distributions of other assets to WES:



	Year Ended December 31,
	2018			2017			2016			2018		2017		2016
thousands	Purchases									Sales
Cash consideration	$	(254	)	$	(3,910	)	$	(3,965	)	$	—	$	—	$	623
Net carrying value	59,089			5,283			3,496			—		—		(605		)
Partners’ capital adjustment	$	58,835		$	1,373		$	(469	)	$	—	$	—	$	18

The following table summarizes material affiliate transactions:



	Year ended December 31,
thousands	2018		2017			2016
Revenues and other ⁽¹⁾	$	1,353,711	$	1,539,105		$	1,358,918
Equity income, net – affiliates ⁽¹⁾	195,469		115,141			101,692
Cost of product ⁽¹⁾	168,535		74,560			75,983
Operation and maintenance ⁽²⁾	115,948		82,249			82,133
General and administrative ⁽³⁾	49,672		43,221			41,983
Operating expenses	334,155		200,030			200,099
Interest income ⁽⁴⁾	16,900		16,900			16,900
Interest expense ^{(5) (6)}	6,746		224			(7,747		)
APCWH Note Payable borrowings ⁽⁶⁾	321,780		98,813			—
Settlement of the Deferred purchase price obligation – Anadarko ⁽⁷⁾	—		(37,346		)	—
Distributions to WGP unitholders ⁽⁸⁾	400,194		360,523			315,505
Distributions to WES unitholders ⁽⁹⁾	7,583		7,100			5,614
Above-market component of swap agreements with Anadarko	51,618		58,551			45,820


⁽¹⁾	Represents amounts earned or incurred on and subsequent to the date of the acquisition of WES assets, as well as amounts earned or incurred by Anadarko on a historical basis related to WES assets prior to the acquisition of such assets by WES.


⁽²⁾	Represents expenses incurred on and subsequent to the date of the acquisition of WES assets, as well as expenses incurred by Anadarko on a historical basis related to WES assets prior to the acquisition of such assets by WES.

⁽³⁾

Represents general and administrative expense incurred on and subsequent to the date of the acquisition of WES assets, as well as a management services fee for expenses incurred by Anadarko for periods prior to the acquisition of WES assets by WES. These amounts include equity-based compensation expense allocated to WES and WGP by Anadarko (see WES LTIP and WGP LTIP and Anadarko Incentive Plan within this Note 6) and amounts charged by Anadarko under the WGP and WES omnibus agreements.


⁽⁴⁾	Represents interest income recognized on the note receivable from Anadarko.


⁽⁵⁾	Includes amounts related to the Deferred purchase price obligation - Anadarko (see Note 3 and Note 13).


⁽⁶⁾	Includes amounts related to the APCWH Note Payable (see Note 13 and Note 15).


⁽⁷⁾	Represents the cash payment to Anadarko for the settlement of the Deferred purchase price obligation - Anadarko (see Note 3).


⁽⁸⁾	Represents distributions paid under WGP’s partnership agreement (see Note 4 and Note 5).


⁽⁹⁾	Represents distributions paid to other subsidiaries of Anadarko under WES’s partnership agreement (see Note 4 and Note 5).

The following table summarizes the amounts WGP reimbursed to Anadarko, separate from, and in addition to, those reimbursed by WES:



	Year Ended December 31,
thousands	2018		2017		2016
General and administrative expenses	$	269	$	263	$	258
Public company expenses	2,895		1,821		2,449
Total reimbursement	$	3,164	$	2,084	$	2,707

LTIP Award Activity Tables

The following table summarizes WGP LTIP award activity for the years ended December 31, 2018, 2017 and 2016:



	2018				2017				2016
	Weighted-Average Grant-Date Fair Value		Units		Weighted-Average Grant-Date Fair Value		Units		Weighted-Average Grant-Date Fair Value		Units
Phantom units outstanding at beginning of year	$	43.39	5,763		$	39.78	5,658		$	47.20	12,537
Vested	43.39		(5,763	)	39.78		(5,658	)	47.20		(12,537	)
Granted	35.08		7,128		43.39		5,763		39.78		5,658
Phantom units outstanding at end of year	35.08		7,128		43.39		5,763		39.78		5,658

Western Gas Partners, LP [Member]

Related Party Transactions Tables

The following table summarizes the amounts WES reimbursed to Anadarko:



	Year Ended December 31,
thousands	2018		2017		2016
General and administrative expenses	$	35,077	$	31,733	$	29,360
Public company expenses	15,409		9,379		8,410
Total reimbursement	$	50,486	$	41,112	$	37,770

LTIP Award Activity Tables

The following table summarizes WES LTIP award activity for the years ended December 31, 2018, 2017 and 2016:



	2018				2017				2016
	Weighted-Average Grant-Date Fair Value		Units		Weighted-Average Grant-Date Fair Value		Units		Weighted-Average Grant-Date Fair Value		Units
Phantom units outstanding at beginning of year	$	55.73	7,180		$	49.30	7,304		$	68.78	5,477
Vested	55.73		(7,180	)	49.30		(7,304	)	68.78		(5,477	)
Granted	49.88		8,020		55.73		7,180		49.30		7,304
Phantom units outstanding at end of year	49.88		8,020		55.73		7,180		49.30		7,304