| Business Segment Information |
Business Segment Information
EOG's operations are all crude oil and natural gas exploration and production related. The Segment Reporting Topic of the ASC establishes standards for reporting information about operating segments in annual financial statements. Operating segments are defined as components of an enterprise about which separate financial information is available and evaluated regularly by the chief operating decision maker, or decision-making group, in deciding how to allocate resources and in assessing performance. EOG's chief operating decision-making process is informal and involves the Chairman of the Board and Chief Executive Officer and other key officers. This group routinely reviews and makes operating decisions related to significant issues associated with each of EOG's major producing areas in the United States, Trinidad, the United Kingdom and China. For segment reporting purposes, the chief operating decision maker considers the major United States producing areas to be one operating segment.
As previously reported, during the fourth quarter of 2014, EOG completed the sale of substantially all of its Canadian operations (see Note 17). As a result, information relating to EOG's remaining Canadian operations has been included in the Other International segment and prior year amounts have been reclassified to conform to current year presentation. Financial information by reportable segment is presented below as of and for the years ended December 31, 2016, 2015 and 2014 (in thousands): | | | | | | | | | | | | | | | | | | United States | | Trinidad | | Other International (1) | | Total | 2016 | | | | | | | | Crude Oil and Condensate | $ | 4,265,036 |
| | $ | 9,600 |
| | $ | 42,705 |
| | $ | 4,317,341 |
| Natural Gas Liquids | 437,238 |
| | — |
| | 12 |
| | 437,250 |
| Natural Gas | 475,715 |
| | 234,108 |
| | 32,329 |
| | 742,152 |
| Gains (Losses) on Mark-to-Market Commodity Derivative Contracts | (99,608 | ) | | — |
| | — |
| | (99,608 | ) | Gathering, Processing and Marketing | 1,967,390 |
| | (1,131 | ) | | — |
| | 1,966,259 |
| Gains (Losses) on Asset Dispositions, Net | 196,043 |
| | (145 | ) | | 9,937 |
| | 205,835 |
| Other, Net | 81,386 |
| | (8 | ) | | 25 |
| | 81,403 |
| Net Operating Revenues (2) | 7,323,200 |
| | 242,424 |
| | 85,008 |
| | 7,650,632 |
| Depreciation, Depletion and Amortization | 3,365,390 |
| | 145,591 |
| | 42,436 |
| | 3,553,417 |
| Operating (Loss) Income | (1,192,338 | ) | | 46,473 |
| | (79,416 | ) | | (1,225,281 | ) | Interest Income | 358 |
| | 932 |
| | 1,329 |
| | 2,619 |
| Other (Expense) Income | (15,703 | ) | | 2,667 |
| | (40,126 | ) | | (53,162 | ) | Net Interest Expense | 298,125 |
| | — |
| | (16,444 | ) | | 281,681 |
| Income (Loss) Before Income Taxes | (1,505,808 | ) | | 50,072 |
| | (101,769 | ) | | (1,557,505 | ) | Income Tax Provision (Benefit) | (516,180 | ) | | 64,281 |
| | (8,920 | ) | | (460,819 | ) | Additions to Oil and Gas Properties, Excluding Dry Hole Costs | 6,223,228 |
| | 75,407 |
| | 30,734 |
| | 6,329,369 |
| Total Property, Plant and Equipment, Net | 25,221,517 |
| | 274,850 |
| | 210,711 |
| | 25,707,078 |
| Total Assets | 27,907,083 |
| | 889,253 |
| | 663,097 |
| | 29,459,433 |
|
| | | | | | | | | | | | | | | | | | United States | | Trinidad | | Other International (1) | | Total | 2015 | | | | | | | | Crude Oil and Condensate | $ | 4,917,731 |
| | $ | 13,122 |
| | $ | 3,709 |
| | $ | 4,934,562 |
| Natural Gas Liquids | 407,570 |
| | — |
| | 88 |
| | 407,658 |
| Natural Gas | 637,452 |
| | 368,639 |
| | 54,947 |
| | 1,061,038 |
| Gains on Mark-to-Market Commodity Derivative Contracts | 61,924 |
| | — |
| | — |
| | 61,924 |
| Gathering, Processing and Marketing | 2,254,477 |
| | (1,342 | ) | | — |
| | 2,253,135 |
| Gains (Losses) on Asset Dispositions, Net | (12,176 | ) | | 393 |
| | 2,985 |
| | (8,798 | ) | Other, Net | 47,464 |
| | (3 | ) | | 448 |
| | 47,909 |
| Net Operating Revenues (3) | 8,314,442 |
| | 380,809 |
| | 62,177 |
| | 8,757,428 |
| Depreciation, Depletion and Amortization | 3,139,863 |
| | 154,853 |
| | 18,928 |
| | 3,313,644 |
| Operating Income (Loss) | (6,566,282 | ) | | 175,658 |
| | (295,455 | ) | | (6,686,079 | ) | Interest Income | 1,913 |
| | 389 |
| | 1,167 |
| | 3,469 |
| Other Income (Expense) | 6,461 |
| | 8,780 |
| | (16,794 | ) | | (1,553 | ) | Net Interest Expense | 274,606 |
| | 1,400 |
| | (38,613 | ) | | 237,393 |
| Income (Loss) Before Income Taxes | (6,832,514 | ) | | 183,427 |
| | (272,469 | ) | | (6,921,556 | ) | Income Tax Provision | (2,463,213 | ) | | 63,502 |
| | 2,670 |
| | (2,397,041 | ) | Additions to Oil and Gas Properties, Excluding Dry Hole Costs | 4,495,730 |
| | 102,358 |
| | 112,316 |
| | 4,710,404 |
| Total Property, Plant and Equipment, Net | 23,593,995 |
| | 350,766 |
| | 265,960 |
| | 24,210,721 |
| Total Assets | 25,347,134 |
| | 886,826 |
| | 736,510 |
| | 26,970,470 |
| 2014 | |
| | |
| | |
| | |
| Crude Oil and Condensate | $ | 9,526,149 |
| | $ | 29,604 |
| | $ | 186,727 |
| | $ | 9,742,480 |
| Natural Gas Liquids | 924,454 |
| | — |
| | 9,597 |
| | 934,051 |
| Natural Gas | 1,321,175 |
| | 483,071 |
| | 112,140 |
| | 1,916,386 |
| Gains on Mark-to-Market Commodity Derivative Contracts | 834,273 |
| | — |
| | — |
| | 834,273 |
| Gathering, Processing and Marketing | 4,040,024 |
| | 6,064 |
| | 228 |
| | 4,046,316 |
| Gains on Asset Dispositions, Net | 96,339 |
| | — |
| | 411,251 |
| | 507,590 |
| Other, Net | 49,950 |
| | 37 |
| | 4,257 |
| | 54,244 |
| Net Operating Revenues (4) | 16,792,364 |
| | 518,776 |
| | 724,200 |
| | 18,035,340 |
| Depreciation, Depletion and Amortization | 3,684,943 |
| | 188,592 |
| | 123,506 |
| | 3,997,041 |
| Operating Income (Loss) | 5,074,911 |
| | 277,471 |
| | (110,559 | ) | | 5,241,823 |
| Interest Income | 849 |
| | 253 |
| | 1,137 |
| | 2,239 |
| Other Income (Expense) | (14,953 | ) | | 8,712 |
| | (41,048 | ) | | (47,289 | ) | Net Interest Expense | 269,166 |
| | — |
| | (67,708 | ) | | 201,458 |
| Income (Loss) Before Income Taxes | 4,791,641 |
| | 286,436 |
| | (82,762 | ) | | 4,995,315 |
| Income Tax Provision | 1,837,185 |
| | 98,559 |
| | 144,084 |
| | 2,079,828 |
| Additions to Oil and Gas Properties, Excluding Dry Hole Costs | 7,133,727 |
| | 76,138 |
| | 261,312 |
| | 7,471,177 |
| Total Property, Plant and Equipment, Net | 28,391,741 |
| | 382,719 |
| | 398,184 |
| | 29,172,644 |
| Total Assets | 32,867,310 |
| | 865,674 |
| | 1,025,615 |
| | 34,758,599 |
|
| | (1) | Other International primarily consists of EOG's United Kingdom, China, Canada and Argentina operations. The Argentina operations were sold in the third quarter of 2016. |
| | (2) | EOG had sales activity with three significant purchasers in 2016, one totaling $1.2 billion, one totaling $1.1 billion and one totaling $1.0 billion of consolidated Net Operating Revenues in the United States segment. |
| | (3) | EOG had sales activity with two significant purchasers in 2015, one totaling $1.7 billion and the other totaling $1.4 billion of consolidated Net Operating Revenues in the United States segment. |
| | (4) | EOG had sales activity with two significant purchasers in 2014, one totaling $4.0 billion and the other totaling $3.0 billion of consolidated Net Operating Revenues in the United States segment. |
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