Revenue

6 Months Ended

Jun. 30, 2020

Revenue from Contract with Customer [Abstract]

Revenue

Revenues

The following tables disaggregate total revenues by major source from contracts with customers and the gain (loss) on derivative activity for the three and six months ended June 30, 2020 and 2019.

	Three Months Ended June 30, 2020
	Gathering and Processing		Transportation and Storage		Eliminations		Total
	(In millions)
Revenues:
Product sales:
Natural gas	$	47	$	57	$	(53)	$	51
Natural gas liquids	143		3		(3)		143
Condensate	7		—		—		7
Total revenues from natural gas, natural gas liquids, and condensate	197		60		(56)		201
Loss on derivative activity	(4)		(1)		—		(5)
Total Product sales	$	193	$	59	$	(56)	$	196
Service revenues:
Demand revenues	$	34	$	113	$	—	$	147
Volume-dependent revenues	164		11		(3)		172
Total Service revenues	$	198	$	124	$	(3)	$	319
Total Revenues	$	391	$	183	$	(59)	$	515

	Three Months Ended June 30, 2019
	Gathering and Processing		Transportation and Storage		Eliminations		Total
	(In millions)
Revenues:
Product sales:
Natural gas	$	94	$	108	$	(95)	$	107
Natural gas liquids	237		5		(5)		237
Condensate	33		—		—		33
Total revenues from natural gas, natural gas liquids, and condensate	364		113		(100)		377
Gain on derivative activity	15		1		—		16
Total Product sales	$	379	$	114	$	(100)	$	393
Service revenues:
Demand revenues	$	68	$	123	$	—	$	191
Volume-dependent revenues	140		15		(4)		151
Total Service revenues	$	208	$	138	$	(4)	$	342
Total Revenues	$	587	$	252	$	(104)	$	735

	Six Months Ended June 30, 2020
	Gathering and Processing		Transportation and Storage		Eliminations		Total
	(In millions)
Revenues:
Product sales:
Natural gas	$	103	$	130	$	(113)	$	120
Natural gas liquids	315		5		(5)		315
Condensate	34		—		—		34
Total revenues from natural gas, natural gas liquids, and condensate	452		135		(118)		469
Gain (loss) on derivative activity	16		(1)		—		15
Total Product sales	$	468	$	134	$	(118)	$	484
Service revenues:
Demand revenues	$	73	$	255	$	—	$	328
Volume-dependent revenues	327		28		(4)		351
Total Service revenues	$	400	$	283	$	(4)	$	679
Total Revenues	$	868	$	417	$	(122)	$	1,163

	Six Months Ended June 30, 2019
	Gathering and Processing		Transportation and Storage		Eliminations		Total
	(In millions)
Revenues:
Product sales:
Natural gas	$	222	$	270	$	(236)	$	256
Natural gas liquids	507		11		(11)		507
Condensate	67		—		—		67
Total revenues from natural gas, natural gas liquids, and condensate	796		281		(247)		830
Gain on derivative activity	6		—		—		6
Total Product sales	$	802	$	281	$	(247)	$	836
Service revenues:
Demand revenues	$	128	$	254	$	—	$	382
Volume-dependent revenues	287		33		(8)		312
Total Service revenues	$	415	$	287	$	(8)	$	694
Total Revenues	$	1,217	$	568	$	(255)	$	1,530

MRT Rate Case Settlements

In June 2018, MRT filed a general NGA rate case (the 2018 Rate Case), and in October 2019, MRT filed a second rate case (the 2019 Rate Case). MRT began collecting the rates proposed in the 2018 Rate Case, subject to refund, on January 1, 2019. On March 26, 2020, FERC issued an order approving settlements filed in the 2018 Rate Case and the 2019 Rate Case. Upon issuance of the order and approval of the settlement of the MRT rate cases, the Partnership recognized $17 million of revenues from amounts previously held in reserve related to transportation and storage services performed in 2019. In May 2020, $21 million previously held in reserve was refunded to customers, which is inclusive of interest.

Accounts Receivable

The following table summarizes the components of accounts receivable, net of allowance for doubtful accounts.

	June 30, 2020		December 31, 2019
	(In millions)
Accounts Receivable:
Customers	$	205	$	239
Contract assets (1)	29		18
Non-customers	4		12
Total Accounts Receivable (2)	$	238	$	269

____________________

(1)Contract assets reflected in Total Accounts Receivable include accrued minimum volume commitments. Contract assets are primarily attributable to revenues associated with estimated shortfall volumes on certain annual minimum volume commitment arrangements. Total Accounts Receivable does not include contract assets related to firm service transportation contracts with tiered rates of $8 million as of June 30, 2020 and $6 million as of December 31, 2019, which are reflected in Other Assets.

(2)Total Accounts Receivable includes Accounts receivable, net of allowance for doubtful accounts and Accounts receivable—affiliated companies.

Contract Liabilities

Our contract liabilities primarily consist of prepayments received from customers for which the good or service has not yet been provided in connection with the prepayment.

The table below summarizes the change in the contract liabilities.

	June 30, 2020		December 31, 2019		Amounts recognized in revenues
	(In millions)
Deferred revenues (1)	$	48	$	48	$	20

The table below summarizes the timing of recognition of these contract liabilities as of June 30, 2020.

	2020		2021		2022		2023		2024 and After
	(In millions)
Deferred revenues (1)	$	21	$	8	$	6	$	6	$	7

____________________

(1)Deferred revenues includes deferred revenue—affiliated companies. This amount is included in Other current liabilities and Other long-term liabilities.

Remaining Performance Obligations

Our remaining performance obligations consist primarily of firm arrangements and minimum volume commitment arrangements. Upon completion of the performance obligations associated with these arrangements, customers are invoiced and revenue is recognized as Service revenues in the Condensed Consolidated Statements of Income. The table below summarizes the timing of recognition of the remaining performance obligations as of June 30, 2020.

	2020		2021		2022		2023		2024 and After
	(In millions)
Transportation and Storage	$	233	$	406	$	345	$	324	$	1,167
Gathering and Processing	57		121		123		121		313
Total remaining performance obligations	$	290	$	527	$	468	$	445	$	1,480