Property, Plant and Equipment, Net of Accumulated Depreciation

12 Months Ended

Dec. 31, 2024

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment, Net of Accumulated Depreciation

PROPERTY, PLANT AND EQUIPMENT, NET OF ACCUMULATED DEPRECIATION

Property, plant and equipment, net of accumulated depreciation consisted of the following (in millions):

	December 31,
	2024		2023
Terminal and related assets
Terminal and interconnecting pipeline facilities	$	34,282	$	34,069
Land	465		463
Construction-in-process	5,486		3,480
Accumulated depreciation	(7,231)		(6,099)
Total terminal and related assets, net of accumulated depreciation	33,002		31,913
Fixed assets and other
Computer and office equipment	36		37
Furniture and fixtures	31		31
Computer software	122		125
Leasehold improvements	47		43
Other	24		21
Accumulated depreciation	(188)		(183)
Total fixed assets and other, net of accumulated depreciation	72		74
Assets under finance leases
Marine assets	587		532
Accumulated depreciation	(109)		(63)
Total assets under finance leases, net of accumulated depreciation	478		469
Property, plant and equipment, net of accumulated depreciation	$	33,552	$	32,456

The following table shows depreciation expense and offsets to LNG terminal costs (in millions):

	Year Ended December 31,
	2024		2023		2022
Depreciation expense	$	1,213	$	1,190	$	1,113
Offsets to LNG terminal costs (1)	—		—		204

(1)We recognize offsets to LNG terminal costs related to the sale of commissioning cargoes because these amounts were earned or loaded prior to the start of commercial operations of the respective Trains of the Liquefaction Projects during the testing phase for its construction.

Terminal and related assets

Our terminal and related assets are depreciated using the straight-line depreciation method applied to groups of LNG terminal assets with varying useful lives. The identifiable components of our terminal and related assets have depreciable lives between 6 and 50 years, as follows:

Components	Useful life (years)
LNG storage tanks	50
Natural gas pipeline facilities	40
Marine berth, electrical, facility and roads	35
Water pipelines	30
Regasification processing equipment	30
Sendout pumps	20
Liquefaction processing equipment	6-50
Other	10-30

Fixed Assets and Other

Our fixed assets and other are recorded at cost and are depreciated on a straight-line method based on estimated lives of the individual assets or groups of assets.

Assets under Finance Leases

Our assets under finance leases primarily consist of certain tug vessels and LNG vessel time charters that meet the criteria to be classified as finance leases. These assets are depreciated on a straight-line method over the respective lease term. See Note 11—Leases for additional details of our finance leases.