Equity Method Investments

Equity method investments comprise the following as of the dates indicated:



	December 31,
	2017			2016
	Ownership	Amount		Ownership	Amount
Mars ⁽¹⁾	71.5%	187.4		71.5%	191.5
Bengal	50.0%	79.7		50.0%	76.1
Permian Basin⁽²⁾	50.0%	49.4		—%	—
LOCAP⁽¹⁾	41.48%	6.9		41.48%	4.0
Poseidon	36.0%	2.3		36.0%	13.2
Proteus	10.0%	17.4		10.0%	19.1
Endymion	10.0%	19.5		10.0%	20.8
		$	362.6		$	324.7

⁽¹⁾ We acquired an additional 22.9% interest in Mars and a 41.48% interest in LOCAP in the December 2017 Acquisition. The financial information presented has been retrospectively adjusted for the incremental ownership acquired.

⁽²⁾ We acquired a 50.0% interest in Permian Basin in the October 2017 Acquisition. The acquisition of this interest has been accounted for prospectively.

We use the equity method of accounting for our 50.0% interest in Permian Basin based on governance provisions which provide each partner with voting interests in accordance with its capital contributed, currently 50.0% for each partner. Additionally, there are certain significant activities and decisions which require a supermajority vote (75.0%) or unanimous consent of the partners.

As part of the December 2017 Acquisition, we acquired interests in certain entities where we have the ability to exercise significant influence. Our ownership in Mars increased from 48.6% to 71.5% and we continue to apply the equity method of accounting due to governance provisions that require unanimous voting by the partners on all significant decisions that impact the management and economic performance of Mars. We account for our LOCAP acquired interest of 41.48% under the equity method of accounting based on voting rights which are either majority in interest of the partners, proportionate to the partners ownership interests, or unanimous voting with respect to significant decisions that impact the management and economic performance of LOCAP.

Unamortized differences in the basis of the initial investments and our interest in the separate net assets within the financial statements of the investees are amortized into net income over the remaining useful lives of the underlying assets. As of December 31, 2017, 2016 and 2015, the unamortized basis differences included in our equity investments are $41.4 million, $42.7 million and $27.2 million, respectively. For the years ended 2017, 2016 and 2015, the net amortization expense was $3.8 million, $2.8 million and $1.9 million, respectively, which is included in income from equity method investments.

Our equity investments in affiliates balance was affected by the following during the periods indicated:



	December 31,
	2017							2016				2015
	Distributions Received		Income from Equity Investments		Purchase Price Adjustment			Distributions Received		Income from Equity Investments		Distributions Received		Income from Equity Investments
Mars ⁽¹⁾	$	125.9	$	121.8	$	—		$	88.3	$	79.8	$	62.8	$	59.4
Bengal	19.0		22.6		—			19.6		20.2		20.2		20.8
Permian Basin⁽²⁾	1.4		0.9		(0.1		)	—		—		—		—
LOCAP⁽¹⁾	7.9		10.7		—			8.2		8.4		8.7		8.4
Poseidon⁽³⁾	38.4		27.4		—			41.9		29.7		21.2		16.1
Proteus ⁽⁴⁾	2.9		1.5		0.3			—		—		—		—
Endymion ⁽⁴⁾	2.8		1.7		0.1			—		—		—		—
	$	198.3	$	186.6	$	0.3		$	158.0	$	138.1	$	112.9	$	104.7


⁽¹⁾	We acquired an additional 22.9% interest in Mars and a 41.48% interest in LOCAP in the December 2017 Acquisition. The financial information presented has been retrospectively adjusted for the incremental ownership acquired.


⁽²⁾	We acquired a 50.0% interest in Permian Basin in the October 2017 Acquisition. The acquisition of this interest has been accounted for prospectively.


⁽³⁾	We acquired a 36.0% interest in Poseidon in the July 2015 Acquisition. The acquisition of this interest has been accounted for prospectively.

⁽⁴⁾ The acquisition of our ownership interests in Proteus and Endymion was effective in the December 2016 Acquisition, for which we were not entitled to a distribution and the related equity investment income was less than $0.1 million. The acquisition of these interests has been accounted for prospectively.

See Note 3 - Acquisitions and Divestiture for additional information regarding the acquisitions of our equity investments. We acquired an additional 22.0% interest in Odyssey on December 1, 2017, which is now being consolidated in our financial statements on a retrospective basis.

Summarized Financial Information

The following presents aggregated selected balance sheet and income statement data for our equity method investments (on a 100% basis):



	For the Year Ended December 31, 2017													For the period October 17, 2017 -December 31, 2017 ⁽¹⁾
	Mars		Bengal		LOCAP		Poseidon			Proteus		Endymion		Permian Basin
Statements of Income
Total revenues	$	255.5	$	72.8	$	55.7	$	117.1		$	30.8	$	33.4	$	3.8
Total operating expenses	81.9		28.1		17.2		32.6			13.4		13.6		2.0
Operating income	173.6		44.7		38.5		84.5			17.4		19.8		1.8
Net income	173.6		44.8		26.5		78.5			17.4		20.3		1.8

	As of December 31, 2017
Balance Sheets
Current assets	$	47.6	$	25.0	$	9.2	$	18.7		$	54.8	$	8.9	$	18.7
Non-current assets	187.5		156.6		60.4		218.6			335.8		145.5		83.6
Total assets	$	235.1	$	181.6	$	69.6	$	237.3		$	390.6	$	154.4	$	102.3
Current liabilities	5.1		10.5		37.2		17.6			50.3		2.7		8.7
Non-current liabilities	—		0.3		21.8		237.4			206.2		16.0		0.7
Equity (deficit)	230.0		170.8		10.6		(17.7		)	134.1		135.7		92.9
Total liabilities and equity (deficit)	$	235.1	$	181.6	$	69.6	$	237.3		$	390.6	$	154.4	$	102.3

⁽¹⁾ Interest in Permian Basin was acquired by us on October 17, 2017, Permian Basin total revenue, total operating expenses and operating income (on a 100% basis) was $8.3 million, $5.0 million and $3.3 million, respectively.



	For the Year Ended December 31, 2016								For the Period December 28, 2016 - December 31, 2016 ⁽¹⁾
	Mars		Bengal		LOCAP		Poseidon		Proteus		Endymion
Statements of Income
Total revenues	$	229.8	$	69.5	$	51.4	$	120.3	$	0.3	$	0.3
Total operating expenses	83.0		28.7		17.1		30.7		0.1		0.2
Operating income	146.8		40.8		34.3		89.6		0.2		0.1
Net income	146.8		40.2		20.8		84.9		—		0.1

	As of December 31, 2016
Balance Sheets
Current assets	$	40.0	$	34.0	$	8.5	$	17.1	$	24.0	$	10.0
Non-current assets	197.5		147.5		46.6		233.6		194.7		154.1
Total assets	$	237.5	$	181.5	$	55.1	$	250.7	$	218.7	$	164.1
Current liabilities	5.1		16.8		38.8		20.7		2.2		2.9
Non-current liabilities	—		0.7		13.3		219.7		70.3		17.2
Equity	232.4		164.0		3.0		10.3		146.2		144.0
Total liabilities and equity	$	237.5	$	181.5	$	55.1	$	250.7	$	218.7	$	164.1

⁽¹⁾

Interests in Proteus and Endymion were acquired by us on December 27, 2016. For 2016, Proteus total revenue, total operating expenses and operating income (on a 100% basis) was $24.7 million, $11.7 million and $13.0 million, respectively. For 2016, Endymion total revenue, total operating expenses and operating income (on a 100% basis) was $28.1 million, $12.3 million and $15.8 million, respectively.



	For the Year Ended December 31, 2015						For the Period July 1, 2015 - December 31, 2015 ⁽¹⁾
	Mars		Bengal		LOCAP		Poseidon
Statements of Income
Total revenues	$	205.9	$	70.3	$	49.2	$	—
Total operating expenses	85.7		28.1		15.2		—
Operating income	120.2		42.2		34.0		—
Net income	120.3		42.1		20.9		45.9

	As of December 31, 2015
Balance Sheets
Current assets	$	40.9	$	29.0	$	8.8	$	18.5
Non-current assets	208.2		146.3		41.3		249.2
Total assets	$	249.1	$	175.3	$	50.1	$	267.7
Current liabilities	6.4		11.2		36.7		22.5
Non-current liabilities	—		0.9		11.2		203.5
Equity	242.7		163.2		2.2		41.7
Total liabilities and equity	$	249.1	$	175.3	$	50.1	$	267.7


⁽¹⁾	Interest in Poseidon was acquired by us on July 1, 2015. For 2015, Poseidon total revenue, total operating expenses and operating income (on a 100% basis) was $123.7 million, $28.6 million and $95.1 million, respectively.