Commitments and Contingent Liabilities (Tables)

3 Months Ended

Mar. 31, 2022

The following table presents information regarding operating leases where we are the lessee at March 31, 2022:

Asset Category	ROU Asset Carrying Value (1)		Lease Liability Carrying Value (2)		Weighted- Average Remaining Term	Weighted- Average Discount Rate (3)
Storage and pipeline facilities	$	184	$	184	11 years	3.5%
Transportation equipment		20		22	3 years	2.7%
Office and warehouse space		164		195	15 years	2.9%
Total	$	368	$	401

(1)	Right-of-use (“ROU”) asset amounts are a component of “Other assets” on our Unaudited Condensed Consolidated Balance Sheet.
(2)	At March 31, 2022, lease liabilities of $51 million and $350 million were included within “Other current liabilities” and “Other long-term liabilities,” respectively.
(3)	The discount rate for each category of assets represents the weighted average of either (i) the implicit rate applicable to the underlying leases (where determinable) or (ii) our incremental borrowing rate adjusted for collateralization (if the implicit rate is not determinable). In general, the discount rates are based on either information available at the lease commencement date or January 1, 2019 for leases existing at the adoption date for ASC 842, Leases.

The following table disaggregates our total operating lease expense for the periods indicated:

	For the Three Months Ended March 31,
	2022		2021
Long-term operating leases:
Fixed lease expense:
Non-cash lease expense (amortization of ROU assets)	$	13	$	9
Related accretion expense on lease liability balances		3		3
Total fixed lease expense		16		12
Variable lease expense		–		1
Subtotal operating lease expense		16		13
Short-term operating leases		17		13
Total operating lease expense	$	33	$	26