NOTE 14 INVESTMENTS AND RELATED-PARTY TRANSACTIONS

EQUITY INVESTMENTS

As of December 31, 2017, and 2016, investments in unconsolidated entities comprised $1.5 billion and $1.4 billion of equity-method investments, respectively.

As of December 31, 2017, Occidental’s equity investments consisted mainly of an equity interest in Plains Pipeline, a 24.5-percent interest in the stock of Dolphin Energy, a 50-percent interest in OxyChem Ingleside facility, and various other partnerships and joint ventures. Equity investments paid dividends of $297 million, $224 million, and $438 million to Occidental in 2017, 2016 and 2015, respectively. As of December 31, 2017, cumulative undistributed earnings of equity-method investees since they were acquired was immaterial. As of December 31, 2017, Occidental’s investments in equity investees exceeded the underlying equity in net assets by approximately $649 million, of which $464 million represented goodwill and the remainder comprised intangibles amortized over their estimated useful lives.

The following table presents Occidental’s interest in the summarized financial information of its equity-method investments:

For the years ended December 31, (in millions)	2017		2016		2015
Revenues	$	1,252	$	1,238	$	1,050
Costs and expenses	973		1,043		827

Net income	$	279	$	195	$	223


As of December 31, (in millions)	2017		2016

Current assets	$	602	$	914
Non-current assets	$	2,072	$	3,605
Current liabilities	$	247	$	577
Long-term debt	$	1,174	$	1,957
Other non-current liabilities	$	66	$	159
Stockholders’ equity	$	1,187	$	1,826

Occidental’s investment in Dolphin, which was acquired in 2002, consists of two separate economic interests through which Occidental owns (i) a 24.5-percent undivided interest in the upstream operations under an agreement which is proportionately consolidated in the financial statements; and (ii) a 24.5-percent interest in the stock of Dolphin Energy, which operates a pipeline and is accounted for as an equity investment.

RELATED-PARTY TRANSACTIONS

From time to time, Occidental purchases oil, NGLs, power, steam and chemicals from and sells oil, NGLs, natural gas, chemicals and power to certain of its equity investees and other related parties. During 2017, 2016 and 2015, Occidental entered into the following related-party transactions and had the following amounts due from or to its related parties:

For the years ended December 31, (in millions)	2017		2016		2015
Sales (a)	$	636	$	602	$	555
Purchases (b)	$	387	$	7	$	26
Services	$	38	$	17	$	32
Advances and amounts due from	$	63	$	59	$	60
Amounts due to	$	45	$	—	$	5

(a)

In 2017, 2016 and 2015, sales of Occidental-produced oil and NGLs to Plains Pipeline affiliates accounted for 86 percent, 89 percent and 87 percent of these totals, respectively. Sales to Plains Pipeline affiliates related to Occidental’s oil and gas production are disclosed above. In addition to these sales, Occidental conducts marketing activities with Plains Pipeline affiliates for oil, NGLs and transportation. Net margins associated with these marketing activities are negligible.

(b)

In 2017, purchases of ethylene from the Ingleside ethylene cracker accounted for 98 percent of related-party purchases.