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Derivative Instruments (Tables)
 6 Months Ended
Jun. 30, 2022
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Fair Value of Derivative Assets and Liabilities
The following table shows the fair value of our derivative instruments that are required to be measured at fair value on a recurring basis (in millions):
Fair Value Measurements as of
June 30, 2022December 31, 2021
Quoted Prices in Active Markets
(Level 1)		Significant Other Observable Inputs
(Level 2)		Significant Unobservable Inputs
(Level 3)		TotalQuoted Prices in Active Markets
(Level 1)		Significant Other Observable Inputs
(Level 2)		Significant Unobservable Inputs
(Level 3)		Total
Interest Rate Derivatives liability$— $— $— $— $— $(40)$— $(40)
Liquefaction Supply Derivatives asset (liability)(2)18 (8,462)(8,446)7 (9)(4,036)(4,038)
LNG Trading Derivatives asset (liability)9 (98)— (89)(22)(378)— (400)
FX Derivatives asset— 26 — 26 — 12 — 12 
Fair Value Measurement Inputs and Valuation Techniques The following table includes quantitative information for the unobservable inputs for our Level 3 Physical Liquefaction Supply Derivatives as of June 30, 2022 and December 31, 2021:
Net Fair Value Liability
(in millions)		Valuation ApproachSignificant Unobservable InputRange of Significant Unobservable Inputs / Weighted Average (1)
Physical Liquefaction Supply Derivatives$(8,462)Market approach incorporating present value techniquesHenry Hub basis spread
$(1.845) - $0.765 / $(0.033)
Option pricing modelInternational LNG pricing spread, relative to Henry Hub (2)
94% - 671% / 189%
(1)Unobservable inputs were weighted by the relative fair value of the instruments.
(2)Spread contemplates U.S. dollar-denominated pricing.
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation
The following table shows the changes in the fair value of our Level 3 Physical LNG Trading Derivatives and Physical Liquefaction Supply Derivatives (in millions):
Three Months Ended June 30,Six Months Ended June 30,
2022
2021 (1)
2022
2021 (1)
Balance, beginning of period$(7,423)$131 $(4,036)$241 
Realized and mark-to-market losses:
Included in cost of sales(1,407)(464)(4,482)(471)
Purchases and settlements:
Purchases90 (58)(242)(187)
Settlements278 2 298 28 
Balance, end of period$(8,462)$(389)$(8,462)$(389)
Change in unrealized losses relating to instruments still held at end of period$(1,407)$(464)$(4,482)$(471)
(1)Includes amounts recorded related to natural gas supply contracts that CCL had with a related party. The agreement ceased to be considered a related party agreement during 2021, as discussed in Note 12—Related Party Transactions.
Fair Value of Derivative Instruments by Balance Sheet Location
The following table shows the fair value and location of our derivative instruments on our Consolidated Balance Sheets (in millions):
June 30, 2022
Interest Rate Derivatives
Liquefaction Supply Derivatives (1)
LNG Trading Derivatives (2)
FX Derivatives
Total
Consolidated Balance Sheets Location
Current derivative assets$— $183 $63 $27 $273 
Derivative assets— 144 — — 144 
Total derivative assets— 327 63 27 417 
Current derivative liabilities— (1,640)(152)(1)(1,793)
Derivative liabilities— (7,133)— — (7,133)
Total derivative liabilities— (8,773)(152)(1)(8,926)
Derivative asset (liability), net$— $(8,446)$(89)$26 $(8,509)
December 31, 2021
Interest Rate Derivatives
Liquefaction Supply Derivatives (1)
LNG Trading Derivatives (2)
FX Derivatives
Total
Consolidated Balance Sheets Location
Current derivative assets$— $38 $2 $15 $55 
Derivative assets— 69 — — 69 
Total derivative assets— 107 2 15 124 
Current derivative liabilities(40)(644)(402)(3)(1,089)
Derivative liabilities— (3,501)— — (3,501)
Total derivative liabilities(40)(4,145)(402)(3)(4,590)
Derivative asset (liability), net$(40)$(4,038)$(400)$12 $(4,466)
(1)Does not include collateral posted with counterparties by us of $34 million and $20 million as of June 30, 2022 and December 31, 2021, respectively, which are included in margin deposits in our Consolidated Balance Sheets.
(2)Does not include collateral posted with counterparties by us of $135 million and $745 million, as of June 30, 2022 and December 31, 2021, respectively, which are included in margin deposits in our Consolidated Balance Sheets.
Derivative Net Presentation on Consolidated Balance Sheets
The following table shows the fair value of our derivatives outstanding on a gross and net basis (in millions) for our derivative instruments that are presented on a net basis on our Consolidated Balance Sheets:
Liquefaction Supply Derivatives
LNG Trading Derivatives
FX Derivatives
As of June 30, 2022
Gross assets$383 $104 $33 
Offsetting amounts(56)(41)(6)
Net assets$327 $63 $27 
Gross liabilities$(9,166)$(160)$(1)
Offsetting amounts393 8 — 
Net liabilities$(8,773)$(152)$(1)
As of December 31, 2021
Gross assets$155 $10 $48 
Offsetting amounts(48)(8)(33)
Net assets$107 $2 $15 
Gross liabilities$(4,382)$(551)$(10)
Offsetting amounts237 149 7 
Net liabilities$(4,145)$(402)$(3)
Interest Rate Derivatives [Member]  
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Schedule of Notional Amounts of Outstanding Derivative Positions
Notional Amounts
June 30, 2022December 31, 2021Weighted Average Fixed Interest Rate PaidVariable Interest Rate Received
Interest Rate Derivatives$—$4.5 billion2.30%One-month LIBOR
Derivative Instruments, Gain (Loss)
The following table shows the effect and location of our Interest Rate Derivatives on our Consolidated Statements of Operations (in millions):
Gain (Loss) Recognized in Consolidated Statements of Operations
Consolidated Statements of Operations LocationThree Months Ended June 30,Six Months Ended June 30,
2022202120222021
Interest Rate DerivativesDerivative gain (loss), net$(1)$(2)$2 $(1)
Commodity Derivatives [Member]  
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Schedule of Notional Amounts of Outstanding Derivative Positions
The following table shows the notional amounts of our Liquefaction Supply Derivatives and LNG Trading Derivatives (collectively, “Commodity Derivatives”):
June 30, 2022December 31, 2021
Liquefaction Supply Derivatives (1)LNG Trading DerivativesLiquefaction Supply DerivativesLNG Trading Derivatives
Notional amount, net (in TBtu)13,741 23 11,238 33 
(1)Excludes notional amounts associated with extension options that were uncertain to be taken as of June 30, 2022.
Derivative Instruments, Gain (Loss)
The following table shows the effect and location of our Commodity Derivatives recorded on our Consolidated Statements of Operations (in millions):
Gain (Loss) Recognized in Consolidated Statements of Operations
Consolidated Statements of Operations Location (1)Three Months Ended June 30,Six Months Ended June 30,
2022202120222021
LNG Trading DerivativesLNG revenues$30 $(379)$(217)$(441)
LNG Trading DerivativesCost of sales17 53 107 81 
Liquefaction Supply Derivatives (2)LNG revenues16 — 11 1 
Liquefaction Supply Derivatives (2)Cost of sales (3)(1,039)(341)(4,500)(404)
(1)Fair value fluctuations associated with commodity derivative activities are classified and presented consistently with the item economically hedged and the nature and intent of the derivative instrument.
(2)Does not include the realized value associated with derivative instruments that settle through physical delivery.
(3)Includes amounts recorded related to natural gas supply contracts that CCL had with a related party. The agreement ceased to be considered a related party agreement during 2021, as discussed in Note 12—Related Party Transactions.
FX Derivatives [Member]  
Derivative Instruments and Hedging Activities Disclosures [Line Items]  
Derivative Instruments, Gain (Loss)
The following table shows the effect and location of our FX Derivatives recorded on our Consolidated Statements of Operations (in millions):
Gain (Loss) Recognized in Consolidated Statements of Operations
Consolidated Statements of Operations LocationThree Months Ended June 30,Six Months Ended June 30,
2022202120222021
FX DerivativesLNG revenues$39 $(5)$67 $16