Commitments and Contingent Liabilities (Tables)

6 Months Ended

Jun. 30, 2024

The following table presents information regarding operating leases where we are the lessee at June 30, 2024:

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	$	203	$	202	8 years	4.4%
Transportation equipment		49		50	4 years	4.8%
Office and warehouse space		174		209	12 years	3.3%
Total	$	426	$	461

(1)	Right of use (“ROU”) asset amounts are a component of “Other assets” on our Unaudited Condensed Consolidated Balance Sheet.
(2)	At June 30, 2024, lease liabilities of $95 million and $366 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 June 30,				For the Six Months Ended June 30,
	2024		2023		2024		2023
Long-term operating leases:
Fixed lease expense:
Non-cash lease expense (amortization of ROU assets)	$	23	$	17	$	43	$	33
Related accretion expense on lease liability balances		4		3		8		7
Total fixed lease expense		27		20		51		40
Variable lease expense		4		3		8		6
Total long-term operating lease expense		31		23		59		46
Short-term operating leases		30		27		59		52
Total operating lease expense	$	61	$	50	$	118	$	98