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Revenue from Contracts with Customers
 12 Months Ended
Dec. 31, 2024
Revenue from Contract with Customer [Abstract]  
Revenue from Contracts with Customers Revenue from Contracts with Customers
Sales of natural gas, NGLs and oil. Under the Company's natural gas, NGLs and oil sales contracts, the Company generally considers the delivery of each unit (MMBtu or Bbl) to be a separate performance obligation that is satisfied upon delivery. These contracts typically require payment within 25 days of the end of the calendar month in which the commodity is delivered. A significant number of these contracts contain variable consideration because the payment terms refer to market prices at future delivery dates. In these situations, the Company has not identified a standalone selling price because the terms of the variable payments relate specifically to the Company's efforts to satisfy the performance obligations. Other contracts, such as fixed price contracts or contracts with a fixed differential to New York Mercantile Exchange (NYMEX) or index prices, contain fixed consideration. The Company allocates the fixed consideration to each performance obligation on a relative standalone selling price basis, which requires judgment from management. For these contracts, the Company generally concludes that the fixed price or fixed differentials in the contracts are representative of the standalone selling price.

Based on management's judgment, the performance obligations for the sale of natural gas, NGLs and oil are satisfied at a point in time because the customer obtains control and legal title of the asset when the natural gas, NGLs or oil is delivered to the designated sales point.

The sales of natural gas, NGLs and oil presented in the Statements of Consolidated Operations represent the Company's share of revenues net of royalties and exclude revenue interests owned by others. When selling natural gas, NGLs and oil on behalf of royalty or working interest owners, the Company acts as an agent and, thus, reports the revenue on a net basis.

Pipeline revenue. The Company provides gathering, transmission and storage services under firm and interruptible service contracts.

Firm service contracts generally require the customer to pay a firm reservation fee, which is a fixed, monthly charge to reserve an agreed upon amount of pipeline or storage capacity regardless of whether the customer uses the capacity. Under its firm service contracts, the Company has a stand-ready obligation to provide the firm service over the life of the contract. The performance obligation for revenue from firm reservation fees is satisfied over time as the pipeline capacity is made available to the customer. As such, the Company recognizes firm reservation fee revenue evenly over the contract period using a time-elapsed output method to measure progress.

Volumetric-based fees, which are charges based on the volume of gas gathered, transported or stored, can also be charged under firm service contracts for each firm contracted volume gathered, transported or stored as well as for volumes gathered, transported or stored in excess of the firm contracted volume so long as capacity exists.

Interruptible service contracts require the customer to pay volumetric-based fees and generally do not guarantee access to the pipeline or storage facility.

The performance obligation for revenue from volumetric-based fees is generally satisfied upon the Company's monthly invoicing to the customer for volumes gathered, transported or stored during the month. The amount invoiced generally corresponds directly to the value of the Company's performance to date as the customer obtains value as each volume is gathered, transported or stored. Gathering service contracts are invoiced on a one-month lag, with payment typically due within 21 days of the invoice date. Revenue for gathering services provided but not yet invoiced is estimated based on contract data, preliminary throughput and allocation measurements on a monthly basis. Transmission and storage service contracts are invoiced at the end of each calendar month, with payment typically due within 10 days of the invoice date.

For both firm reservation and volumetric-based fee revenues, the Company allocates the transaction price to each performance obligation based on the estimated relative standalone selling price. Any excess of consideration received over revenue recognized results in the deferral of those amounts until future periods based on a units-of-production or straight-line methodology as these methods align with the consumption of services provided to the customer. The units-of-production methodology requires the use of judgment to estimate future production volumes.

Certain of the Company's gathering service agreements are structured with MVCs, which specify minimum quantities that the customer will be charged regardless of whether such quantities are gathered. Revenue is recognized for MVCs when the performance obligation has been met, which is the earlier of when the gas is gathered or when the likelihood that the customer will be able to meet its MVC is remote. If a customer fails to meet its MVC for a specified period (thus not exercising all the contractual rights to gathering services within the specified period), the customer is obligated to pay a contractually-determined fee based on the shortfall between actual volume gathered and the MVC.
Disaggregated revenue information. The table below provides disaggregated information on the Company's revenues. Certain other revenue contracts are outside the scope of ASU 2014-09, Revenue from Contracts with Customers. These contracts are reported in pipeline, net marketing services and other revenues in the Statements of Consolidated Operations. Derivative contracts are also outside the scope of ASU 2014-09.
Years Ended December 31,
202420232022
(Thousands)
Revenues from contracts with customers:
Production:
Sales of natural gas, NGLs and oil
Natural gas sales$4,224,882 $4,520,817 $11,448,293 
NGLs sales615,933 427,760 586,715 
Oil sales93,551 96,191 79,160 
Sales of natural gas, NGLs and oil4,934,366 5,044,768 12,114,168 
Gathering:
Pipeline revenue
Firm reservation fee revenue (a)313,987 — — 
Volumetric-based fee revenue (b)452,476 161,395 96,947 
Total766,463 161,395 96,947 
Transmission:
Pipeline revenues
Firm reservation fee revenue183,088 — — 
Volumetric-based fee revenue34,968 — — 
Total218,056 — — 
Intersegment eliminations and other(704,517)(148,830)(83,321)
Total revenues from contracts with customers (c)5,214,368 5,057,333 12,127,794 
Other sources of revenue:
Gain (loss) on derivatives51,117 1,838,941 (4,642,932)
Net marketing services and other revenues7,824 12,649 12,827 
Total other sources of revenue58,941 1,851,590 (4,630,105)
Total operating revenues$5,273,309 $6,908,923 $7,497,689 

(a)Firm reservation fee revenue for the year ended December 31, 2024 included unbilled revenues supported by MVCs of $4.2 million.
(b)Volumetric-based fee revenue for the year ended December 31, 2024 included unbilled revenues supported by MVCs of $4.5 million.
(c)For contracts with customers where the Company's performance obligations had been satisfied and an unconditional right to consideration existed as of the balance sheet date, the Company recorded amounts due from contracts with customers of $939.9 million and $584.8 million in accounts receivable in the Consolidated Balance Sheets as of December 31, 2024 and 2023, respectively.
Summary of remaining performance obligations. The following table summarizes the transaction price allocated to the Company's remaining obligations on all contracts with fixed consideration as of December 31, 2024. The table excludes contracts that qualified for the exception to the relative standalone selling price method as of December 31, 2024.
20252026202720282029ThereafterTotal
(Thousands)
Gathering firm reservation fees:
Third-party contracts$101,671 $92,311 $85,651 $85,651 $85,651 $371,792 $822,727 
Affiliate contracts91,918 101,728 101,393 97,701 97,701 1,482,452 1,972,893 
Total Gathering firm reservation fees193,589 194,039 187,044 183,352 183,352 1,854,244 2,795,620 
Gathering revenues supported by MVCs:
Third-party contracts82,396 89,217 80,904 77,153 65,788 185,423 580,881 
Affiliate contracts372,446 397,966 410,621 411,740 410,621 2,042,451 4,045,845 
Total Gathering revenues supported by MVCs454,842 487,183 491,525 488,893 476,409 2,227,874 4,626,726 
Transmission firm reservation fees:
Third-party contracts176,189 174,435 171,768 169,410 166,324 814,742 1,672,868 
Affiliate contracts241,507 261,045 261,045 260,715 260,383 1,964,638 3,249,333 
Total Transmission firm reservation fees417,696 435,480 432,813 430,125 426,707 2,779,380 4,922,201 
Total$1,066,127 $1,116,702 $1,111,382 $1,102,370 $1,086,468 $6,861,498 $12,344,547 

As of December 31, 2024, the Company had no remaining performance obligations on its natural gas sales contracts with fixed consideration.

In addition, based on total projected contractual revenues, the Company's firm gathering third-party contracts and firm transmission and storage third-party contracts had a weighted average remaining term of approximately 10 years and 11 years, respectively, as of December 31, 2024. Based on total projected contractual revenues, the Company's firm gathering affiliate contracts and firm transmission and storage affiliate contracts had a weighted average remaining term of approximately 14 years and 13 years, respectively, as of December 31, 2024.