Segment Information

6 Months Ended

Jun. 30, 2019

Note 3. Segment Information

We have the following reportable segments: United States (US onshore and Gulf of Mexico (until April 2018)); Eastern Mediterranean (Israel and Cyprus); West Africa (Equatorial Guinea, Cameroon and Gabon); Other International (Canada, New Ventures and Colombia); and Midstream. The Midstream segment includes the consolidated accounts of Noble Midstream Partners and other US onshore midstream assets.

The geographical reportable segments are in the business of crude oil and natural gas acquisition and exploration, development, and production (Oil and Gas Exploration and Production). The Midstream reportable segment develops, owns, and operates domestic midstream infrastructure assets, as well as invests in other midstream projects. The chief operating decision maker analyzes income before income taxes to assess the performance of Noble Energy's reportable segments as management believes this measure provides useful information in assessing our operating and financial performance across periods.

Expenses related to debt, such as interest and other debt-related costs, headquarters depreciation, corporate general and administrative expenses, exit costs and certain costs associated with mitigating the effects of our retained Marcellus Shale firm transportation agreements, are recorded at the Corporate level.



			Oil and Gas Exploration and Production								Midstream
(millions)	Consolidated		United States		Eastern Mediter-ranean		West Africa		Other Int'l		United States			Intersegment Eliminations and Other ⁽¹⁾			Corporate
Three Months Ended June 30, 2019
Crude Oil Sales	$	688	$	617	$	2	$	69	$	—	$	—		$	—		$	—
NGL Sales	84		84		—		—		—		—			—			—
Natural Gas Sales	182		72		105		5		—		—			—			—
Total Crude Oil, NGL and Natural Gas Sales	954		773		107		74		—		—			—			—
Sales of Purchased Oil and Gas	103		28		—		—		—		52			—			23
Income (Loss) from Equity Method Investees and Other	16		1		—		17		—		(2		)	—			—
Midstream Services Revenues – Third Party	20		—		—		—		—		20			—			—
Intersegment Revenues	—		—		—		—		—		91			(91		)	—
Total Revenues	1,093		802		107		91		—		161			(91		)	23
Lease Operating Expense	122		114		9		10		—		1			(12		)	—
Production and Ad Valorem Taxes	41		40		—		—		—		1			—			—
Gathering, Transportation and Processing Expense	96		124		—		—		—		31			(59		)	—



				Oil and Gas Exploration and Production											Midstream
(millions)	Consolidated			United States			Eastern Mediter-ranean		West Africa			Other Int'l			United States			Intersegment Eliminations and Other ⁽¹⁾			Corporate
Other Royalty Expense	1			1			—		—			—			—			—			—
Total Production Expense	260			279			9		10			—			33			(71		)	—
Depreciation, Depletion and Amortization	528			457			17		19			—			26			(6		)	15
Cost of Purchased Oil and Gas	113			28			—		—			—			48			—			37
Gain on Commodity Derivative Instruments	(60		)	(58		)	—		(2		)	—			—			—			—
Income (Loss) Before Income Taxes	28			70			65		59			(15		)	46			(15		)	(182		)
Additions to Long-Lived Assets, Excluding Acquisitions	647			478			119		12			2			52			(25		)	9
Investments in Equity Method Investees	144			—			—		—			—			144			—			—
Three Months Ended June 30, 2018
Crude Oil Sales	$	749		$	635		$	2	$	112		$	—		$	—		$	—		$	—
NGL Sales	137			137			—		—			—			—			—			—
Natural Gas Sales	214			98			111		5			—			—			—			—
Total Crude Oil, NGL and Natural Gas Sales	1,100			870			113		117			—			—			—			—
Sales of Purchased Oil and Gas	66			—			—		—			—			42			—			24
Income from Equity Method Investees and Other	49			—			—		36			—			13			—			—
Midstream Services Revenues – Third Party	15			—			—		—			—			15			—			—
Intersegment Revenues	—			—			—		—			—			85			(85		)	—
Total Revenues	1,230			870			113		153			—			155			(85		)	24
Lease Operating Expense	132			114			5		19			—			—			(6		)	—
Production and Ad Valorem Taxes	50			48			—		—			—			2			—			—
Gathering, Transportation and Processing Expense	98			131			—		—			—			22			(55		)	—
Other Royalty Expense	10			10			—		—			—			—			—			—
Total Production Expense	290			303			5		19			—			24			(61		)	—
Depreciation, Depletion and Amortization	465			394			15		26			—			22			(4		)	12
(Gain) Loss on Divestitures, Net	(78		)	21			10		—			—			(109		)	—			—
Cost of Purchased Oil and Gas	71			—			—		—			—			40			—			31
Loss on Commodity Derivative Instruments	249			196			—		53			—			—			—			—
Income (Loss) Before Income Taxes	10			(90		)	62		48			(13		)	175			(18		)	(154		)
Additions to Long-Lived Assets, Excluding Acquisitions	935			561			216		3			—			155			(18		)	18
Six Months Ended June 30, 2019
Crude Oil Sales	$	1,300		$	1,162		$	3	$	135		$	—		$	—		$	—		$	—
NGL Sales	180			180			—		—			—			—			—			—
Natural Gas Sales	411			180			222		9			—			—			—			—



				Oil and Gas Exploration and Production										Midstream
(millions)	Consolidated			United States			Eastern Mediter-ranean		West Africa		Other Int'l			United States		Intersegment Eliminations and Other ⁽¹⁾			Corporate
Total Crude Oil, NGL and Natural Gas Sales	1,891			1,522			225		144		—			—		—			—
Sales of Purchased Oil and Gas	177			42			—		—		—			85		—			50
Income from Equity Method Investees and Other	33			1			—		32		—			—		—			—
Midstream Services Revenues – Third Party	44			—			—		—		—			44		—			—
Intersegment Revenues	—			—			—		—		—			197		(197		)
Total Revenues	2,145			1,565			225		176		—			326		(197		)	50
Lease Operating Expense	273			239			19		34		—			2		(21		)	—
Production and Ad Valorem Taxes	90			87			—		—		—			3		—			—
Gathering, Transportation and Processing Expense	198			266			—		—		—			60		(128		)	—
Other Royalty Expense	4			4			—		—		—			—		—			—
Total Production Expense	565			596			19		34		—			65		(149		)	—
Depreciation, Depletion and Amortization	1,036			896			33		39		—			51		(13		)	30
Cost of Purchased Oil and Gas	200			42			—		—		—			79		—			79
Firm Transportation Exit Cost	92			—			—		—		—			—		—			92
Loss on Commodity Derivative Instruments	152			130			—		22		—			—		—			—
(Loss) Income Before Income Taxes	(345		)	(177		)	149		70		(31		)	119		(29		)	(446		)
Additions to Long-Lived Assets, Excluding Acquisitions	1,359			990			251		18		12			118		(48		)	18
Investments in Equity Method Investees	415			—			—		—		—			415		—			—
Six Months Ended June 30, 2018
Crude Oil Sales	$	1,522		$	1,317		$	4	$	201	$	—		$	—	$	—		$	—
NGL Sales	283			283			—		—		—			—		—			—
Natural Gas Sales	468			218			240		10		—			—		—			—
Total Crude Oil, NGL and Natural Gas Sales	2,273			1,818			244		211		—			—		—			—
Sales of Purchased Oil and Gas	119			—			—		—		—			64		—			55
Income from Equity Method Investees and Other	96			—			—		71		—			25		—			—
Midstream Services Revenues – Third Party	28			—			—		—		—			28		—			—
Intersegment Revenues	—			—			—		—		—			166		(166		)	—
Total Revenues	2,516			1,818			244		282		—			283		(166		)	55
Lease Operating Expense	287			240			12		41		—			—		(6		)	—
Production and Ad Valorem Taxes	104			101			—		—		—			3		—			—
Gathering, Transportation and Processing Expense	191			256			—		—		—			43		(108		)	—
Other Royalty Expense	27			27			—		—		—			—		—			—
Total Production Expense	609			624			12		41		—			46		(114		)	—



				Oil and Gas Exploration and Production											Midstream
(millions)	Consolidated			United States			Eastern Mediter-ranean			West Africa		Other Int'l			United States			Intersegment Eliminations and Other ⁽¹⁾			Corporate
Depreciation, Depletion and Amortization	933			800			28			52		—			38			(8		)	23
(Gain) Loss on Divestitures, Net	(666		)	15			(376		)	—		—			(305		)	—			—
Asset Impairments	168			168			—			—		—			—			—			—
Cost of Purchased Oil and Gas	128			—			—			—		—			61			—			67
Loss on Commodity Derivative Instruments	328			260			—			68		—			—			—			—
Income (Loss) Before Income Taxes	553			(127		)	535			112		(27		)	428			(40		)	(328		)
Additions to Long-Lived Assets, Excluding Acquisitions	1,840			1,095			363			5		2			397			(50		)	28
June 30, 2019
Property, Plant and Equipment, Net	$	18,775		$	13,095		$	2,879		$	773	$	36		$	1,841		$	(185	)	$	336
December 31, 2018
Property, Plant and Equipment, Net	$	18,419		$	13,044		$	2,630		$	805	$	37		$	1,742		$	(145	)	$	306

⁽¹⁾

The intersegment eliminations related to income before income taxes are the result of midstream expenditures. These costs are presented as property, plant and equipment within the E&P business on an unconsolidated basis, in accordance with the successful efforts method of accounting, and are eliminated upon consolidation.