Investments and Advances

12 Months Ended

Dec. 31, 2019

Investments in and Advances to Affiliates, Schedule of Investments [Abstract]

Equity in earnings, together with investments in and advances to companies accounted for using the equity method and other investments accounted for at or below cost, is shown in the following table. For certain equity affiliates, Chevron pays its share of some income taxes directly. For such affiliates, the equity in earnings does not include these taxes, which are reported on the Consolidated Statement of Income as “Income tax expense.”



Investments and Advances							Equity in Earnings
	At December 31						Year ended December 31
	2019			2018			2019			2018			2017
Upstream
Tengizchevroil	$	20,214		$	16,017		$	3,067		$	3,614		$	2,581
Petropiar	1,396			1,361			80			317			175
Petroboscan	1,139			1,315			(11		)	357			154
Caspian Pipeline Consortium	883			1,022			155			170			155
Angola LNG Limited	2,423			2,496			(26		)	172			27
Other	881			1,541			(478		)	19			104
Total Upstream	26,936			23,752			2,787			4,649			3,196
Downstream
Chevron Phillips Chemical Company LLC	6,241			6,218			880			1,034			723
GS Caltex Corporation	3,796			3,924			13			373			290
Other	1,443			1,383			288			273			230
Total Downstream	11,480			11,525			1,181			1,680			1,243
All Other
Other	(14		)	(16		)	—			(2		)	(1		)
Total equity method	$	38,402		$	35,261		$	3,968		$	6,327		$	4,438
Other non-equity method investments	286			285
Total investments and advances	$	38,688		$	35,546
Total United States	$	7,203		$	7,500		$	641		$	1,033		$	788
Total International	$	31,485		$	28,046		$	3,327		$	5,294		$	3,650

Descriptions of major affiliates, including significant differences between the company’s carrying value of its investments and its underlying equity in the net assets of the affiliates, are as follows:

Tengizchevroil Chevron has a 50 percent equity ownership interest in Tengizchevroil (TCO), which operates the Tengiz and Korolev crude oil fields in Kazakhstan. At December 31, 2019, the company’s carrying value of its investment in TCO was about $110 higher than the amount of underlying equity in TCO’s net assets. This difference results from Chevron acquiring a portion of its interest in TCO at a value greater than the underlying book value for that portion of TCO’s net assets. Included in the investment is a loan to TCO to fund the development of the Future Growth and Wellhead Pressure Management Project with a balance of $3,350.

Petropiar Chevron has a 30 percent interest in Petropiar, a joint stock company which operates the heavy oil Huyapari Field and upgrading project in Venezuela’s Orinoco Belt. At December 31, 2019, the company’s carrying value of its investment in Petropiar was approximately $130 less than the amount of underlying equity in Petropiar’s net assets. The difference represents the excess of Chevron’s underlying equity in Petropiar’s net assets over the net book value of the assets contributed to the venture.

Petroboscan Chevron has a 39.2 percent interest in Petroboscan, a joint stock company which operates the Boscan Field in Venezuela. At December 31, 2019, the company’s carrying value of its investment in Petroboscan was approximately $90 higher than the amount of underlying equity in Petroboscan’s net assets. The difference reflects the excess of the net book value of the assets contributed by Chevron over its underlying equity in Petroboscan’s net assets. The company also has an outstanding long-term loan to Petroboscan of $566 at year-end 2019.

Caspian Pipeline Consortium Chevron has a 15 percent interest in the Caspian Pipeline Consortium, a variable interest entity, which provides the critical export route for crude oil from both TCO and Karachaganak. The company has investments and advances totaling $883, which includes long-term loans of $199 at year-end 2019. The loans were provided to fund 30 percent of the initial pipeline construction. The company is not the primary beneficiary of the consortium because it does not direct activities of the consortium and only receives its proportionate share of the financial returns.

Angola LNG Limited Chevron has a 36.4 percent interest in Angola LNG Limited, which processes and liquefies natural gas produced in Angola for delivery to international markets.

Chevron Phillips Chemical Company LLC Chevron owns 50 percent of Chevron Phillips Chemical Company LLC. The other half is owned by Phillips 66.

GS Caltex Corporation Chevron owns 50 percent of GS Caltex Corporation, a joint venture with GS Energy. The joint venture imports, refines and markets petroleum products, petrochemicals and lubricants, predominantly in South Korea.

Other Information “Sales and other operating revenues” on the Consolidated Statement of Income includes $8,006, $10,378 and $8,165 with affiliated companies for 2019, 2018 and 2017, respectively. “Purchased crude oil and products” includes $5,694, $6,598 and $4,800 with affiliated companies for 2019, 2018 and 2017, respectively.

“Accounts and notes receivable” on the Consolidated Balance Sheet includes $810 and $884 due from affiliated companies at December 31, 2019 and 2018, respectively. “Accounts payable” includes $506 and $631 due to affiliated companies at December 31, 2019 and 2018, respectively.

The following table provides summarized financial information on a 100 percent basis for all equity affiliates as well as Chevron’s total share, which includes Chevron’s net loans to affiliates of $4,331, $3,402 and $3,853 at December 31, 2019, 2018 and 2017, respectively.



	Affiliates						Chevron Share
Year ended December 31	2019		2018		2017		2019		2018		2017
Total revenues	$	66,473	$	84,469	$	70,744	$	32,628	$	40,679	$	33,460
Income before income tax expense	13,197		16,693		13,487		5,954		6,755		5,712
Net income attributable to affiliates	9,809		13,321		10,751		4,366		6,384		4,468
At December 31
Current assets	$	30,791	$	32,657	$	33,883	$	12,998	$	12,813	$	13,568
Noncurrent assets	97,177		87,614		82,261		41,531		36,369		32,643
Current liabilities	26,032		26,006		26,873		10,610		9,843		10,201
Noncurrent liabilities	21,593		20,000		21,447		5,068		4,446		4,224
Total affiliates’ net equity	$	80,343	$	74,265	$	67,824	$	38,851	$	34,893	$	31,786